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Thursday 17 February 2022
Eagle Butte Man Charged with Theft from an Indian Tribal OrganizationRead the Press Release
United States Attorney Dennis R. Holmes announced that an Eagle Butte, South Dakota. man has been indicted by a federal grand jury for Theft from an Indian Tribal Organization.
Conroy Clown, age 43, was indicted on February 8, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 10, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to five years in custody and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between March 14, 2019, and July 5, 2019, in Eagle Butte, Clown did knowingly embezzle, steal, and convert to his own use, assets belonging to the Cheyenne River Motel, an Indian Tribal organization, in an amount greater than $1,000.
The charge is merely an accusation and Clown is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Clown was released on bond pending trial. A trial date has not been set.
Eagle Butte Man Charged with Theft from an Indian Tribal OrganizationRead the Press Release
United States Attorney Dennis R. Holmes announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Theft from an Indian Tribal Organization.
Robert Chasing Hawk, Jr., age 38, was indicted on February 8, 2022. He appeared before U.S. Magistrate Judge Mark A. Moreno on February 10, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to five years in custody and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between January 7, 2021, and March 8, 2021, in Eagle Butte, Chasing Hawk did knowingly embezzle, steal, and convert to his own use, assets belonging to the Elderly Nutrition Program, an Indian Tribal organization, in an amount greater than $1,000.
The charge is merely an accusation and Chasing Hawk is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Jay Miller is prosecuting the case.
Chasing Hawk was released on bond pending trial. A trial date has not been set.
Dupree Man Sentenced for Striking, Beating, or WoundingRead the Press Release
United States Attorney Dennis R. Holmes announced that a Dupree, South Dakota man convicted of Striking, Bearing, or Wounding was sentenced on February 10, 2022, by U.S. Magistrate Judge Mark A. Moreno.
Bradley Speker, age 30, was sentenced to six months in federal prison, followed by one year of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $25.
Speker was indicted by a federal grand jury on January 12, 2021. He pled guilty on February 10, 2022.
The conviction stemmed from an incident that occurred on January 7, 2021, in Eagle Butte, South Dakota, wherein Speker assaulted an individual by striking the victim with his fist.
This case was investigated by Cheyenne River Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Jay Miller prosecuted the case.
Speker was immediately turned over to the custody of the U.S. Marshals Service.
Drug trafficking and brandishing a firearm send Billings man to prison for more than eight yearsRead the Press Release
BILLINGS — A Billings man who admitted to trafficking cocaine and ecstasy and brandishing a firearm in relation to those crimes after being indicted in a sex and drug trafficking investigation was sentenced today to eight years and nine months in prison to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.
Djavon Lamont King, 31, pleaded guilty in February 2021 to conspiracy to possess with intent to distribute cocaine and ecstasy and to possession of and brandishing a firearm in furtherance of a drug trafficking crime.
U.S. District Judge Susan P. Watters presided.
In court documents filed in the case, the prosecution alleged that in 2019, King, a co-defendant, Mario Drake, and others conspired to distribute illegal narcotics, including cocaine and ecstasy. On April 24, 2019, two individuals attempted to distribute some of the ecstasy related to the conspiracy. The transaction, which involved a buyer, was set to occur at a motel in Billings. However, at the meeting a struggle ensued, and the buyer assaulted one of the individuals and left the scene. Following this incident, the individual informed King and Drake about what had occurred at the motel. In response, on April 29, 2019, King, Drake, and others, arranged a meeting with the buyer, during which they assaulted the buyer while holding firearms. King and others later informed the two individuals who had gone to the drug deal that they retaliated against the buyer in response to the failed drug deal.
Drake has pleaded guilty to charges and is awaiting sentencing.
The U.S. Attorney’s Office, including Assistant U.S. Attorneys Zeno B. Baucus and Benjamin D. Hargrove, prosecuted the case, which was investigated by the FBI and Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Disbarred Lawyer Sentenced to 12 Years in Prison for Stealing Injured Clients’ Settlement Money and Cheating on Federal Income TaxesRead the Press Release
LOS ANGELES – A disbarred personal-injury lawyer was sentenced today to 144 months in federal prison for stealing settlement money from multiple clients, including a multimillion-dollar settlement that should have been paid to a car accident victim, and for cheating on his federal income taxes.
Philip James Layfield, a.k.a. “Philip Samuel Pesin,” 48, formerly of Coto de Caza, was sentenced by United States District Judge Michael W. Fitzgerald, who said in court that Layfield’s actions were “appalling” and his criminal conduct was “sheer evil.”
Judge Fitzgerald found the total loss in this case to be approximately $5,552,756. The exact amount of restitution that Layfield will be ordered to pay to his victims will be determined at a hearing scheduled for May 12.
At the conclusion of a 13-day trial in August 2021, a federal jury found Layfield guilty of 19 counts of wire fraud, one count of mail fraud, one count of tax evasion, one count of failure to collect and pay over payroll taxes, and one misdemeanor charge of failure to file a tax return.
Layfield owned and operated law firms, including Layfield & Barrett (L&B), which, at various times, maintained offices in Los Angeles; Irvine; El Segundo; Park City, Utah; and Scottsdale, Arizona.
After he had misappropriated millions of dollars from clients’ settlements, Layfield relocated to Costa Rica. Just before getting on a flight to Costa Rica, Layfield borrowed $700,000 from a business lender by providing misleading information and failing to disclose material information. He then used substantial portions of the loan proceeds for personal expenses, including buying a horse and shipping horses to Costa Rica.
In one case, Layfield entered into an agreement to represent an individual who was struck by an automobile in Orange County and suffered significant injuries. After negotiating a $3.9 million settlement related to the accident, Layfield misappropriated the money owed to the victim – approximately $2 million – for personal and unrelated business uses, including to pay clients whose settlement proceeds Layfield had earlier misappropriated. Long after Layfield misappropriated the victim’s settlement proceeds, Layfield attempted to placate the victim by paying her $25,000 from other clients’ settlement proceeds.
Layfield also failed to file a federal income tax return for the tax year 2016, despite receiving more than $3 million, including embezzled client settlement money. Layfield also caused his law firm to not pay approximately $120,000 in payroll taxes to the United States government for the second quarter of 2017.
“The evidence, including [Layfield’s] own testimony, showed that [Layfield] repeatedly stole money from his trust account that he should have paid to his clients who had suffered horrible personal injuries,” prosecutors argued in a sentencing memorandum. “They had hired [Layfield] to bring them closure and some sense of relief. Their faith in the legal system shaken, [Layfield] compounded his clients’ stress and anxiety by forcing them to hire other counsel to try to recover money from [Layfield], only to find little or nothing.”
The State Bar of California disbarred Layfield in October 2018. Layfield also was a certified public accountant, but his CPA license expired in July 2019, according to the California Board of Accountancy.
Homeland Security Investigations, IRS Criminal Investigation and the FBI investigated this matter.
Assistant United States Attorneys Mark Aveis and Carolyn S. Small of the Major Frauds Section and Ian V. Yanniello of the International Narcotics, Money Laundering and Racketeering Section prosecuted this case.
Department of Justice Announces Initiative to Protect Americans from Collusive Schemes Amid Supply Chain DisruptionsRead the Press Release
In the wake of persistent price increases initially stemming from supply chain disruptions caused by the COVID-19 global pandemic, the Antitrust Division and the FBI announced an initiative today to deter, detect and prosecute those who would exploit supply chain disruptions to engage in collusive conduct.
“Temporary supply chain disruptions should not be allowed to conceal illegal conduct,” said Assistant Attorney General Jonathan Kanter of the Justice Department’s Antitrust Division. “The Antitrust Division will not allow companies to collude in order to overcharge consumers under the guise of supply chain disruptions.”
“The lingering challenge of supply chain disruptions from the COVID-19 pandemic has created an opportunity for criminals to fix prices and overcharge customers,” said Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division. “The FBI and our law enforcement partners will continue to collaborate and investigate schemes that violate our antitrust laws and stifle our economic recovery.”
As part of the initiative, the Antitrust Division is prioritizing any existing investigations where competitors may be exploiting supply chain disruptions for illicit profit and is undertaking measures to proactively investigate collusion in industries particularly affected by supply disruptions. The Antitrust Division has also formed a working group focusing on global supply chain collusion with its global partners, the Australian Competition and Consumer Commission, the Canadian Competition Bureau, the New Zealand Commerce Commission and the United Kingdom Competition and Markets Authority. The working group is developing and sharing intelligence, utilizing existing international cooperation tools, to detect and combat collusive schemes.
Economies across the globe have faced significant challenges caused by supply chain disruptions resulting from the COVID-19 global pandemic. Transportation constraints, disruptions to routine business operations and difficulty in obtaining raw materials have all led to increased costs of production and shipment, which in turn have resulted in higher prices for consumers. Supply chain disruptions have been broad in scope, affecting a variety of industries ranging from agriculture to health care.
While many individuals and businesses across various sectors in the economy have responded and will continue to respond to supply chain disruptions caused by the pandemic with laudable ingenuity — bringing goods to communities in need, expanding existing capacity and developing products and services to meet new needs — others may seek to use supply chain disruptions as a cover for collusive schemes. For those who seek to exploit supply chain disruptions for their own illicit gain, the Antitrust Division, along with the FBI, will investigate and prosecute criminal violations of the antitrust laws, including agreements between individuals and businesses to fix prices or wages, rig bids or allocate markets. Anyone with information on price fixing, bid rigging, market-allocation agreements or other anticompetitive conduct should call the Antitrust Division’s Citizen Complaint Center at 1-888-647-3258, or visit http://www.justice.gov/atr/report-violations.
The Department of Justice is committed to working closely with the public, the business community and other federal agencies to enforce the antitrust laws for the protection and welfare of the American people.
Defendant Charged with Making False Statements to Obtain Firearms Allegedly Used in Shooting of Federal OfficerRead the Press Release
Richland, Washington – Vanessa R. Waldref, United States Attorney for the Eastern District of Washington, announced that a federal Grand Jury has returned a seven-count indictment charging Defendant Kenneth Rankin Gazzaway II, 47, of Newport, Washington, with making False Statements Connected to the Purchase of Firearms, making False Statements to a Federal Firearms Licensee, and Possessing a Firearm with an Obliterated Serial Number. Gazzaway is alleged to have illegally obtained firearms that were used in the shooting of an undercover officer on November 5, 2021.
According to court documents, on November 5, 2021, Defendant Randy Holmes is alleged to have attempted to rob an undercover ATF Special Agent at gunpoint. Holmes and the ATF agent were both wounded by gunfire during the incident. The FBI’s investigation revealed that the gun Holmes is alleged to have used to shoot the undercover ATF officer was a Glock Model 17 9mm pistol recovered at the scene.
An ATF Firearms Trace Report identifies Gazzaway as the purchaser of that particular Glock Model 17, and indicates that he purchased that firearm, along with several others, in August 2021. Another of the guns Gazzaway purchased is alleged to have been recovered in Kennewick, Washington, in connection with a different robbery in which shots were fired in November 2021. Gazzaway is alleged to have engaged in other multiple-firearm purchases as well. In fact, between June and August 2021, Gazzaway is alleged to have purchased at least eleven handguns in two bulk purchases. At least three of those eleven firearms are alleged to have been recovered in criminal investigations less than 100 days after Gazzaway purchased them. The basis of Gazzaway’s federal charges is that he knowingly failed to state that he was a user of methamphetamine when he purchased these firearms. Gazzaway is detained pending trial.
“Part of making Eastern Washington a safe and strong community is ensuring that guns are only in the hands of people who should have them. There is a reason that firearm purchase forms require potential buyers to state whether they abuse illegal narcotics,” said U.S. Attorney Vanessa R. Waldref. “The United States Attorney’s Office will vigorously pursue illegal firearm conduct wherever it occurs in Eastern Washington, and no matter how many links there may be in a chain of ownership.” If he is convicted on all charges, Gazzaway faces potential sentencing exposure of 45 years in federal custody.
“Mr. Gazzaway is alleged to have made false statements when purchasing firearms, including firearms that are alleged to have been used shortly thereafter in connection with the commission of crimes – including the shooting of one of our agents. This case demonstrates the dangers of illegal narcotic users purchasing and possessing firearms,” said ATF Seattle Field Division Special Agent in Charge Jonathan T. McPherson. “We will vigorously investigate anyone who illegally purchases or possesses firearms, particularly when those firearms fall into the hands of those who commit other crimes.”
This case is being investigated by ATF, and prosecuted by Caitlin A. Baunsgard, Assistant United States Attorney for the Eastern District of Washington.
An indictment is merely an allegation and all Defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Damianville Man Sentenced for Attempting to Entice and Enticing a MinorRead the Press Release
East St. Louis, Ill. – Paul L. Jansen, 26, of Damiansville, Illinois, was sentenced on Wednesday,
February 16, 2022, to 188 months imprisonment for attempted enticement of a minor and
enticement of a minor. The sentence will run concurrently for both counts. Jansen was
also sentenced to 15 years supervised release, fined $400 ($200 per count), and ordered to pay a
$200 special assessment fee.
According to the stipulation of facts agreed to by the parties, Jansen attempted to persuade,
induce, entice, and coerce two victims he knew to be under the age of 18, to engage in sexual
activity. Jansen contacted the victims using a cellular phone and the internet. The acts occurred
between October 27, 2017, and November 25, 2018.Evidence adduced at sentencing was that Jansen would often initiate contact with females, the
majority of whom were minors, and within a short time, ask to set up a meeting. The investigation
revealed instances of this behavior in several cities in the Metro East area.This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May
2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and
abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child
Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and
local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and
to identify and rescue victims. For more information about Project Safe Childhood,
please visit www.usdoj.gov/psc. For more information about internet safety
education, please visit www.usdoj.gov/psc and click on the tab “resources.”
The case was investigated by the O’Fallon, Illinois, Police Department and the United States Secret
Service.
Assistant United States Attorney Angela Scott prosecuted the case.Court of Appeals Upholds 300-Month Sentence for Former Resident of PlainfieldRead the Press Release
CONCORD – United States Attorney John J. Farley announced that the United States Court of Appeals for the First Circuit has rejected Edward Brown’s appeal of his 300-month prison sentence.
Brown, 79, formerly of Plainfield, was convicted in 2009 of a series of offenses arising from his role in leading an armed standoff with the United Marshals Service after his conviction and sentencing for tax-related charges. Brown was initially sentenced to 444 months of imprisonment for his role in the standoff. Because of new legal precedent from the United States Supreme Court, one of Brown's convictions was no longer valid and he was entitled to be resentenced. At his resentencing, the court imposed a 300-month prison sentence.
In a 45-page opinion issued on Wednesday, the Court of Appeals rejected Brown’s argument that the district judge erred by imposing a 300-month sentence.
“Thanks to this decision, Edward Brown will remain in federal prison, which is exactly where he belongs,” said U.S. Attorney Farley. “Brown’s dangerous and reckless actions could have led to an extensive loss of life. This lengthy sentence holds him accountable for his criminal conduct and ensures that he cannot endanger lives in the Granite State again.”
This case was investigated by the United States Marshals Service with substantial assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Internal Revenue Service, the New Hampshire State Police, the Plainfield Police Department, the Lebanon Police Department, and the Sullivan County Sheriff’s Office. The appeal was handled by Assistant U.S. Attorney Seth R. Aframe.
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Council Bluffs Man Sentenced to Federal Prison for Firearm OffenseRead the Press Release
COUNCIL BLUFFS, IA – Jason Henry Miller, age 45, of Council Bluffs, was sentenced February 14, 2022, to 30 months in prison for Prohibited Person in Possession of a Firearm. His term of imprisonment will be followed by three years of supervised release. According to court documents, Miller pleaded guilty to the charge on September 2, 2021.
In June of 2020, a while investigating a drug case, law enforcement officers located a firearm that had been modified to be an automatic weapon. Officers were able to obtain information that Miller was the one who modified the weapon. The weapon had been fired on his property while in his possession. At the time of the offense, Miller was a drug user and had convictions for domestic violence and was prohibited from possessing a firearm.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Council Bluffs Police Department, Iowa Division of Narcotics Enforcement, Pottawattamie County Sheriff’s Office, Omaha Police Department, and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. This case was prosecuted by the United States Attorney’s Offices for the Southern District of Iowa.
Convicted Felon Pleads Guilty to Federal Firearm and Cocaine Distribution ChargesRead the Press Release
Ocala, Florida –United States Attorney Roger B. Handberg announces that Jeffrey Walt Boston (45, Orlando) has pleaded guilty to possessing a firearm as a convicted felon and possessing with the intent to distribute a mixture and substance containing cocaine. Boston faces a maximum penalty of 30 years in federal prison. A sentencing date has not yet been set. Boston had been indicted on July 20, 2021.
According to the plea agreement, Boston is a felon who previously had been convicted in state court of resisting arrest with violence, battery on a law enforcement officer, delivery of cocaine, and possession of cocaine. On June 4, 2021, while in Lake County, Boston tossed a cigarette box containing cocaine from the window of the car he was driving. A nearby deputy retrieved the box, recognized the contents, then pursued and stopped Boston. During the pursuit, Boston discarded a bag of marijuana that hit the deputy’s windshield. A subsequent search of the car revealed a matching cigarette box with cocaine, a stolen, loaded pistol under the driver’s seat, 13 bags of cocaine, 5 Alprazolam pills, and marijuana. Boston admitted that all the drugs and the loaded firearm belonged to him. He also confirmed that his fingerprints would be on the firearm. As a convicted felon, Boston is prohibited from possessing firearms and ammunition under federal law.
This case was investigated by the Lake County Sheriff’s Office, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Clay County Man Pleads Guilty to Federal Charge of Sexually Exploiting Three Children in His CustodyRead the Press Release
Jacksonville, Florida –United States Attorney Roger B. Handberg announces that Edward Alan Hardin (35, Clay County) has pleaded guilty to one count of attempted production of child sex abuse material and one count of possession of such material. Hardin faces a minimum mandatory term of 15 years, and up to 40 years, in federal prison and a potential lifetime term of supervised release. His sentencing hearing has not yet been set.
According to the plea agreement, at various times in 2018, 2019, and 2020, Hardin had access to three female children who were in his custody. One of those children – referred to as Minor Victim 1 – had known Hardin since she was a toddler and considered Hardin to be a father figure. Beginning when Minor Victim 1 was about 12 or 13 years old, Hardin provided money and gifts to Minor Victim 1 in exchange for the sexual abuse of Minor Victim 1.
On May 8, 2020, a deputy with the Clay County Sheriff’s Office observed Hardin’s truck parked at a shopping center in Orange Park. As the deputy approached Hardin’s truck on foot, he observed Hardin in the driver’s seat of the truck, and then observed Minor Victim 1 sit up in the passenger seat of the truck. The deputy smelled the aroma of marijuana emanating from the truck. As the deputy approached the passenger door of the truck, he could see that Hardin’s pants were unzipped and that Hardin and Minor Victim 1 appeared nervous. Minor Victim 1 agreed to speak with a detective and disclosed text messages between she and Hardin that showed that Hardin, on multiple occasions, had made arrangements to pay Minor Victim 1 for sex. Minor Victim 1 stated that Hardin had been sexually abusing her in the truck prior to the deputy approaching. Hardin was arrested and admitted to engaging in sexual intercourse with Minor Victim 1 earlier that day, but he claimed it was the first time and that it had been consensual.
Minor Victim 1 also identified two other child victims who had been sexually abused by Hardin.
Minor Victim 2 was interviewed and disclosed that Hardin had transported her to Valdosta, Georgia to visit a particular theme park in July 2018, when she was 15 years old. Minor Victim 2 informed detectives that Hardin had sexually abused her during the trip, and continued to maintain a sexual relationship with her until around March 2020, during all of which time Minor Victim 2 was underage.
Minor Victim 3 was interviewed and disclosed that when she was 13 years old she had attended a sleepover with Minor Victim 1. During the sleepover, Hardin provided Minor Victim 3 and Minor Victim 1 with marijuana, and Minor Victim 3 was encouraged to allow Hardin to sexually assault her, and he did so. Hardin then gave Minor Victim 3 and Minor Victim 1 $20 as payment for the sex act.
Hardin’s phone was searched and contained photos of Minor Victim 2 engaged in sexually explicit conduct. Additionally, Hardin’s phone contained text messages to Minor Victim 1 in which Hardin repeatedly requested that Minor Victim 1 produce pornographic images of herself and provide them to Hardin.
This case was investigated by Homeland Security Investigations and the Clay County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Laura Cofer Taylor.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Claremore Woman Pleads Guilty to Child Abuse and Child Neglect in Indian CountryRead the Press Release
A Claremore woman who injured one child and put a second at risk when she drove while under the influence of illegal substances pleaded guilty Thursday in federal court, announced U.S. Attorney Clint Johnson.
Ashley Nicole Blizzard, 33, pleaded guilty to child abuse in Indian Country and child neglect in Indian Country. If the plea agreement is accepted by U.S. District Judge Claire V. Eagan, Blizzard will spend four years in federal prison followed by five years of supervised release. Judge Eagan will sentence Blizzard on June 14, 2022.
“Ashley Blizzard acted recklessly when she placed two children in harm’s way while driving under the influence,” said U.S. Attorney Clint Johnson. “Thankfully the Rogers County Sheriff’s Office answered the call for assistance and quickly located and stopped Blizzard. They are to be commended for their swift action to protect the young child inside the vehicle.”
Blizzard admitted that on Feb. 28, 2020, she harmed the health, safety and welfare of an 11-year-old child by striking him with a vehicle and hitting his arm while in front of a Claremore home. The child was trying to stop Blizzard from driving under the influence with a 2-year-old in her vehicle. Blizzard further stated that she failed to protect the 2-year-old child from exposure to the use or possession of illegal drugs or illegal activities, admitting that she drove the vehicle while under the influence of illegal substances and while the toddler sat on top of a broken meth pipe in the front passenger seat of the vehicle. The child was also unrestrained.
Deputies from the Rogers County Sheriff’s Office located the defendant, stopped her, then took her into custody after finding her license was revoked and locating drug paraphernalia in the vehicle. The children are citizens of the Eastern Shawnee Tribe of Oklahoma. The crime occurred within the boundaries of the Cherokee Nation reservation.
The FBI and Rogers County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney Leah Paisner is prosecuting the case.
Charleston Man Pleads Guilty to Producing Child PornographyRead the Press Release
CHARLESTON, W.Va. – A Charleston man pleaded guilty to producing child pornography.
According to court documents and statements made during the plea hearing, Brian Wayne Shaffer, 51, admitted that he used his cell phone to photograph the female genitalia of a prepubescent minor who he was living with in August 2021. Shaffer further admitted that he used his cell phone to upload the photo of the nude minor and sent it to another individual who Shaffer had been communicating with on YouTube. Shaffer admitted he uploaded the photograph using his Gmail address on or about August 24, 2021. At the time Shaffer produced child pornography of the prepubescent minor, he previously had been convicted of first degree sexual assault of another prepubescent female in Kanawha County Circuit Court.
Shaffer faces a sentence of at least 25 years and up to 50 years in prison when he is sentenced on May 16, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the U.S. Department of Homeland Security Investigations (“HSI”), the West Virginia State Police - Internet Crimes Against Children (ICAC) Task Force, and the West Virginia State Police.
United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Kristin F. Scott is prosecuting the case.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative of the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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-00195.
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Charleston Man Pleads Guilty to Being a Felon in Possession of a FirearmRead the Press Release
Gulfport, Miss. – A Charleston, South Carolina man pleaded guilty to being a felon in possession of a firearm, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Jermicha Fomby of the Federal Bureau of Investigation.
Kendrell O’Mars Sheppard, 31, pled guilty in U.S. District Court in Gulfport.
According to court documents and information presented to the Court, on May 11, 2020, an officer with the Biloxi Police Department conducted a traffic stop on an F-150 pickup truck traveling eastbound on I-10 in Harrison County. Kendrell O’Mars Sheppard was a passenger in the truck. During the stop, officers obtained consent to search the truck. They discovered two Smith and Wesson firearms and approximately $7,000.00 in cash. While interacting with Sheppard, officers noticed a bulge in one of Sheppard’s socks. Sheppard admitted the bulge was cocaine.
Sheppard was taken into custody. Post Miranda, he admitted that the guns belonged to him, that he was a felon, and that the cocaine belonged to him.
Sheppard is scheduled to be sentenced on May 19, 2022. He faces a maximum sentence of 10 years imprisonment. However, if he is determined to be an armed career criminal, he faces from 15 years to life imprisonment.
The FBI and Biloxi Police Department investigated the case.
Assistant U.S. Attorney Jonathan Buckner is prosecuting the case.
Carter Lake Man Sentenced for Accessing Child PornographyRead the Press Release
COUNCIL BLUFFS, IA – Zachery McCuen, age 29, of Carter Lake, was sentenced on February 14, 2022, to 96 months in prison for Accessing Child Pornography. McCuen’s term of imprisonment will be followed by five years of supervised release. According to court documents, McCuen pleaded guilty to the charge on October 1, 2021.
On January 18, 2019, Homeland Security received information that child pornography was being traded in a chat group on Kik messenger. One of the Kik users was identified as McCuen and in October 2018, he was communicating with, exchanging, and receiving images and videos of child pornography with another Kik user from California.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. Homeland Security Investigations investigated and the case was prosecuted by the United States Attorney’s Offices for the Southern District of Iowa.
Career Offender Sentenced to 200 Months Imprisonment in SWGA Illegal Drug Market CaseRead the Press Release
ALBANY, Ga. – The final defendant involved in a high-volume drug trafficking operation was sentenced to federal prison for his crime.
Eddie Houston, 43, of McDonough, Georgia, was sentenced as a career offender to serve 200 months in prison to be followed by five years of supervised release after he previously pleaded guilty to possession with intent to distribute methamphetamine before U.S. District Judge Leslie Gardner on Nov. 15, 2021. There is no parole in the federal system.
“Career criminal offenders will face the possibility of federal prosecution and lengthy prison sentences for choosing to repeatedly break the law and diminish the well-being and safety of our communities,” said U.S. Attorney Peter D. Leary. “The U.S. Attorney’s Office and our law enforcement partners will hold repeat offenders accountable for their crimes.”
“This case demonstrates the commitment of the FBI and our partners to end an epidemic that is killing our citizens and making our communities more dangerous,” said Phillip Wislar, Acting Special Agent in Charge of FBI Atlanta. “The fact that Houston received such a lengthy sentence is an example of how serious this crime is and serves as a warning to anyone who is involved in drug trafficking that they will be brought to justice for their crimes.”
“These sentences are a direct result of the dedicated efforts of the DEA and its law enforcement partners,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “The distribution of methamphetamine continues to ravage many communities across the country. Southwest Georgia and elsewhere are much safer because these drug traffickers have been removed from the streets.”
“This investigation illustrates that drug trafficking at any level will not be tolerated in the state of Georgia. It is paramount that violators of drug laws be held accountable. The Georgia Bureau of Investigation is fully committed to working with our local and federal partners in drug enforcement to address these types of crimes,” said GBI Director Vic Reynolds.
“The efforts of the local, state and federal agencies involved are evident of the commitment to addressing crime in our neighborhoods. We will continue to use all resources available to remove
those persons and groups intent on enabling the drug culture to exist and flourish within our community,” said Albany Police Chief Michael Persley.
According to court documents, Houston’s convicted co-defendants Sherrod Winchester and James Malone, 52, both of Albany, regularly obtained and distributed large quantities of a variety of controlled substances for distribution in Albany and Panama City, Florida, since May 2018. Under surveillance, GBI agents observed Houston and convicted co-defendant Shannon Mason, 41, of Leesburg, Georgia, who regularly acted as an illegal drug courier for Winchester and Malone, conducting an exchange with a man at a drug store parking lot in Stone Mountain, Georgia, in February 2020. Officers stopped and arrested Houston and Mason in possession of 1,106 grams of cocaine and 990 grams of methamphetamine hydrochloride.
Winchester, Malone, and Mason—along with other co-defendants—were convicted and sentenced earlier this year for their roles in operating a high-volume drug trafficking operation in Albany. Winchester was sentenced to serve 300 months in prison to be followed by five years of supervised release after he previously pleaded guilty to conspiring to distribute controlled substances; Malone was sentenced to serve 240 months in prison to be followed by five years of supervised release after he pleaded guilty to distribution of methamphetamine; and, Mason was sentenced to serve 75 months in prison to be followed by two years of supervised release after she pleaded guilty to distribution of methamphetamine. To learn more about this case, please visit: https://www.justice.gov/usao-mdga/pr/southwest-georgian-sentenced-25-years-prison-operating-high-volume-open-air-illegal
The case was investigated by the FBI, DEA, GBI and the Albany-Dougherty Drug Unit.
Assistant U.S. Attorney Leah McEwen prosecuted the case.
Burlington County Couple Charged with Forced Labor and Other CrimesRead the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, couple was charged today with forced labor and other crimes involving two undocumented individuals, U.S. Attorney Philip R. Sellinger and Civil Rights Division Assistant Attorney General Kristen Clarke announced.
Bolaji Bolarinwa, 47, and Isiaka Bolarinwa, 65, both of Moorestown, New Jersey, are both charged in an eight-count indictment with two counts of forced labor. Bolaji Bolarinwa is also charged with two counts of bringing in and harboring certain undocumented individuals and two counts of unlawful conduct with respect to documents in furtherance of forced labor. Both defendants are scheduled to appear today by videoconference before U.S. Magistrate Judge Ann Marie Donio.
According to the indictment:
From 2015 to 2016, Bolaji Bolarinwa unlawfully obtained labor and services from one victim by means of serious harm or threats of serious harm, and from another victim by means of force or threats of force. She abused and threatened abuse of legal process against both victims. Bolarinwa’s spouse, Isiaka Bolarinwa, participated in the scheme and financially benefitted from the victims’ forced labor.
Bolaji Bolarinwa knew that both victims had entered the United States illegally and harbored them from detection for her own financial gain. She confiscated and possessed the passports and visas of both victims.
Both defendants face a maximum penalty on each forced labor count of 20 years in prison. Bolaji Bolarinwa faces a maximum penalty on each undocumented individual harboring count of 10 years in prison and a maximum penalty on each unlawful document conduct count of five years in prison. They also each face a fine on each count of up to $250,000 or twice the gross gain or gross loss from the offense, whichever is greatest.
U.S. Attorney Sellinger and Assistant Attorney General Clarke credited special agents of the FBI, Newark Field Office, under the direction of Special Agent in Charge George M. Crouch Jr., with the investigation leading to the indictment.
The government is represented by Assistant U.S. Attorney Jeffrey Bender of the U.S. Attorney’s Office in Camden and Trial Attorneys Elizabeth Hutson and Vasantha Rao of the Department of Justice’s Civil Rights Division.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Bronx Man Sentenced for Conspiring to Distribute More than One Kilo of Heroin in SpringfieldRead the Press Release
BOSTON – A Bronx man was sentenced yesterday in connection with his role in a large-scale drug conspiracy that trafficked dozens of kilos of heroin and fentanyl into Springfield, Mass. from Bronx, N.Y. and the Dominican Republic.
Richard Rosario, 36, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 26 months in prison and five years of supervised release. The government recommended a sentence of 102 months in prison. In February 2020, Rosario was convicted by a jury of one count of conspiring to distribute and possession with intent to distribute more than one kilogram of heroin in violation of the Controlled Substances Act.
Rosario routinely travelled to a heroin mill in Springfield where he and others packaged kilos of heroin for retail distribution for a drug trafficking organization (DTO) which was run by Alberto Marte. The Marte DTO had direct contact with heroin supply sources in the Dominican Republic. On a monthly basis, members of the organization transported between eight and 20 kilos of heroin to the Springfield area. Marte and 11 others have pleaded guilty to crimes resulting from their roles in the organization. In March 2020, Marte was sentenced to 15 years in prison.
On Sept. 22, 2016, a search at the heroin mill resulted in the seizure of 1.7 kilograms of heroin, some of which was mixed with fentanyl, that had been packaged or was about to be packaged. Rosario and others had packaged 1.5 kilograms of heroin in addition to what was discovered when they searched the premises. Evidence showed that Rosario regularly packaged more than three kilograms of heroin at a time, an amount that could yield more than 200,000 dosage units of heroin.
United States Attorney Rachael S. Rollins; Hampden County District Attorney Anthony D. Gulluni; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Springfield Police Commissioner Cheryl Clapprood; Chicopee Interim Police Chief Jeff Gawron; Holyoke Police Chief David Pratt; and West Springfield Police Chief Ronald Campurciani made the announcement. Assistant U.S. Attorneys Neil L. Desroches, of Rollins’s Springfield Branch Office, and Stephen W. Hassink, of Rollins’s Narcotics and Money Laundering Unit, prosecuted the case.
Bridger Man Sentenced on Multiple Sexual Abuse ChargesRead the Press Release
United States Attorney Dennis R. Holmes announced that a Bridger, South Dakota, man convicted of three counts of Aggravated Sexual Abuse of a Child, Sexual Abuse of a Minor, and Abusive Sexual Contact of a Child involving two different victims, was sentenced on February 14, 2022, by Chief Judge Roberto A. Lange, U.S. District Court.
Bennett Belt, age 48, was sentenced to 32 years in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $500.
Belt was indicted by a federal grand jury on August 11, 2020. He was found guilty by a jury on November 5, 2021.
Between July 2003 and September 2017, in Bridger, Belt engaged in multiple sexual acts with children.
This case was investigated by the Federal Bureau of Investigation, the Cheyenne River Sioux Tribe Law Enforcement Services, and the Pennington County Sherriff’s Office. Assistant U.S. Attorneys Jay Miller and Abby Roesler prosecuted the case.
Belt was immediately turned over to the custody of the U.S. Marshals Service.
Boston-Area Real Estate Developer Sentenced for Tax EvasionRead the Press Release
BOSTON – A Tewksbury real estate developer was sentenced yesterday in federal court in Boston for defrauding the government of more than $480,000 by engaging in a multi-year tax evasion scheme.
Arnold Martel, 61, was sentenced by U.S. District Court Judge George A. O’Toole Jr. to two years of probation. The government recommended a sentence of 18 months in prison and one year of supervised release. Martel was also ordered to pay restitution in the amount of $482,489 to the IRS and a fine of $25,000. On May 13, 2021, Martel pleaded guilty to one count of tax evasion.
Martel deliberately evaded his responsibility to pay a significant portion of his tax obligations on income from a large condominium development that he built and marketed. From approximately 2014 through 2017, buyers paid Martel’s business the sales price for condos sold. For extras and upgrades to the condos, however, Martel directed buyers to pay him personally. Martel then failed to report this additional income to his tax preparer or report it as income on his tax returns. In total, Martel personally received more than $1.2 million in payments for condo upgrades. For tax years 2014 through 2017, Martel did not report this income on this tax returns resulting in a tax loss of over $482,000.
United States Attorney Rachael S. Rollins and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston made the announcement. Assistant U.S. Attorney David Holcomb of Rollins’ Securities, Financial & Cyber Fraud Unit prosecuted the case.
Blackstone Labs Founder Sentenced for Conspiracy to Sell Anabolic Steroids and Unlawful Dietary SupplementsRead the Press Release
A Florida man who co-founded a sports and dietary supplements retailer was sentenced today to 54 months in prison for conspiring to sell illegal anabolic steroids and other products marketed as dietary supplements that were unlawful under federal law. A second Florida man was sentenced to 13 months in prison for his role in the scheme.
According to court documents, Phillip Braun, 41, of Boca Raton, founded and operated Blackstone Labs LLC, a Boca Raton-based sports and dietary supplements retailer. Braun, who pleaded guilty in November 2021 to conspiracy to distribute controlled substances and to selling unapproved new drugs, is also the CEO of Blackstone. U.S. District Judge William P. Dimitrouleas of the Southern District of Florida sentenced Braun to 54 months in prison and ordered him to forfeit $3 million. The court also ordered Blackstone Labs to pay $1.2 million in forfeiture.
Anthony Ventrella, 43, of Delray Beach, Florida, operated a series of companies that manufactured many of the illegal products marketed and sold by Blackstone. Ventrella, who pleaded guilty in September 2021 to conspiracy to commit mail and wire fraud as part of the scheme, was sentenced to 13 months in prison. The court also ordered Ventrella’s company, Ventech Labs, to forfeit equipment used to make the illegal products.
“Selling controlled substances and unapproved drugs falsely labelled as dietary supplements is illegal and potentially dangerous,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The Department of Justice will work with law enforcement partners to investigate and prosecute individuals and companies who disregard public safety to make a profit.”
“Drug products that are disguised as supplements can pose a serious risk to the health of U.S. consumers,” said Special Agent in Charge Justin C. Fielder of the Food and Drug Administration Office of Criminal Investigations (FDA OCI) Miami Field Office. “We will continue to investigate and bring to justice those who jeopardize public health.”
On Jan. 27, Aaron Singerman, who co-founded and operated Blackstone Labs with Braun, was sentenced to 54 months in prison and ordered to forfeit $2.9 million.
In total, eight individuals and three companies were convicted in connection with the activities of Blackstone Labs. James Boccuzzi, who was convicted by a jury on Dec. 9, 2021 of one count of conspiracy to defraud the FDA and one count of conspiracy to distribute controlled substances, is scheduled to be sentenced on March 11.
FDA OCI investigated the case.
Trial Attorneys Alistair Reader and Stephen Gripkey, Senior Litigation Counsel David A. Frank and Assistant Director John W. Burke of the Civil Division’s Consumer Protection Branch are prosecuting the cases with assistance from Assistant U.S. Attorney Daren Grove of the U.S. Attorney’s Office for the Southern District of Florida. Laura Akowuah, Brian Furlong and Sarah Hawkins from the FDA’s Office of Chief Counsel provided assistance with the investigation and prosecution.
Black Hawk Man Sentenced to 46 Months in Federal Prison for Drug Trafficking ConspiracyRead the Press Release
United States Attorney Dennis R. Holmes announced that a Black Hawk, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on February 11, 2022, by U.S. District Judge Jeffrey L. Viken.
Eric Yockey, age 36, was sentenced to 46 months in federal prison, followed by three years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Yockey was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on July 23, 2020. He pleaded guilty on September 22, 2021. During his involvement in the conspiracy, the defendant traveled to California with a co-conspirator and received heroin in payment for assisting in the trip. He also obtained more heroin on other occasions, which was then distributed to people in South Dakota.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff's Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota National Guard, and the South Dakota Highway Patrol. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Yockey was immediately returned to the custody of the U.S. Marshals Service.
Big Lake Gas Ordered to Pay $3 Million FineRead the Press Release
A west Texas gas plant has been ordered to pay a $3 million criminal fine, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Big Lake Gas Plant L.P., a subsidiary of West Texas Gas, Inc., pleaded guilty in September 2021 to one count of negligent endangerment and one count of violating the Clean Air Act. The company, represented by counsel, was sentenced Thursday by U.S. District Judge James Wesley Hendrix.
In plea papers, the company admitted that in April 2018, the plant negligently released approximately 525 pounds of hydrogen sulfide into the ambient air. (Hydrogen sulfide is a toxic gas that can compromise the human nervous system and respiratory tract and can cause life-threatening health effects if not handled properly.)
One employee, identified in court documents by the initials C.T., died as a result of exposure sustained while working at the plant. Another employee, identified by the initials G.T., was injured while trying to assist C.T.
The company further admitted that it knowingly failed to properly update its risk management plan following the incident, an update required by law.
“Big Lake’s flagrant disregard of federal clean air regulations had calamitous consequences,” said U.S. Attorney Chad Meacham. “Our prayers are with the family of the employee killed in the 2018 hydrogen sulfide incident. We hope today’s sentencing brings them a measure of peace.”
“The defendant’s willful and knowing disregard for federal safety regulations and industry practices placed both workers and the public at grave risk, resulting in a tragic and preventable fatality and release of dangerous gasses.” said Todd “Tony” Adams, Assistant Special Agent-in-Charge of the EPA’s Southwest Office criminal enforcement program. “EPA and its state partners continue to hold accountable companies that place workers, local communities, and the environment at risk.”
In a related civil case, five subsidiaries of Big Lake’s parent company, West Texas Gas, agreed to pay more than $3 million in civil penalties and to spend up to $5 million on compliance measures in order to resolve claims that it violated federal Clean Air Act chemical accident prevention requirements at plants in Texas and New Mexico.
Assistant U.S. Attorney Sean Taylor prosecuted the criminal case against Big Lake. Assistant U.S. Attorney Ann Haag handled the civil case against West Texas Gas in partnership with the Justice Department’s Environment and Natural Resources Division. The Environmental Protection Agency’s criminal enforcement program investigated with the assistance of the Texas Commission on Environmental Quality's Environmental Crimes Unit and the Federal Bureau of Investigation.
Beckley Man Pleads Guilty to Federal Drug CrimeRead the Press Release
BECKLEY, W.Va. – Artie Ray Warwick, Jr., 53, of Beckley, pleaded guilty today to a federal drug crime.
According to court documents, Warwick admitted that on March 2, 2020 law enforcement officers executed a search warrant at his residence in Beckley. During the search, officers found in excess of 300 grams of methamphetamine, a small amount of heroin, cocaine, and an assortment of prescription pills. Warwick admitted that he intended to distribute the methamphetamine in and around Raleigh County. The officers also recovered 104 marijuana plants which Warwick was growing inside his house. As part of the plea, defendant also admitted to being in possession of over 800 grams of methamphetamine on October 25, 2021, that he admitted he intended to distribute in and around Beckley, and to selling small quantities of marijuana.
Warwick pleaded guilty to possession with the intent to distribute 50 grams or more of a substance containing methamphetamine and faces not less than five years and up to 40 years in prison when he is sentenced on June 10, 2022.
United States Attorney Will Thompson made the announcement and commended the investigative work of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Beckley/Raleigh County Drug and Violent Crime Unit. The Beckley/Raleigh County Drug and Violent Crime Unit is comprised of officers from the West Virginia State Police, the Raleigh County Sheriff’s Department, and the Beckley Police Department.
United States District Judge Frank W. Volk presided over the hearing. Assistant United States Attorney Timothy D. Boggess is handling the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:21-cr-00230.
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Bakersfield Man Indicted for Unlawful Possession of AmmunitionRead the Press Release
FRESNO, Calif. — Jose Betancourt, 28, of Bakersfield, was charged today by a federal grand jury with two counts of being a felon in possession of ammunition, U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Dec. 9, 2021, law enforcement officers attempted to stop Betancourt for traffic infractions as he drove in Bakersfield. Betancourt sped off and discarded a bag from his moving vehicle that contained an unmarked privately made AR-style rifle known as a “ghost gun,” two armor plate carriers, black gloves, a mask, high-capacity magazines and over 100 rounds of rifle ammunition. The officers recovered Betancourt’s bag in the middle of the street approximately 1,000 feet from Garces High School. Betancourt ultimately crashed his vehicle, exited and ran from pursuing police officers. Immediately prior to surrendering, Betancourt threw a .40 caliber ghost gun with a loaded magazine towards a nearby apartment building. Betancourt cannot lawfully possess firearms or ammunition because he was convicted in 2015 for reckless evasion, and in 2020 for possessing controlled substances for sale and being a felon in possession of a firearm.
This case is the product of an investigation by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Bakersfield Police Department. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
If convicted, Betancourt faces a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charge is only an allegation; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
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.
Arizona Man Sentenced to over 11 Years in Prison for Conspiracy to Sell Narcotics on the Dark WebRead the Press Release
SACRAMENTO, Calif. — David Lee White, 52, of Chandler, Arizona, was sentenced today by U.S. District Judge Troy L. Nunley to 11 years and three months in prison, U.S. Attorney Phillip A. Talbert announced.
According to court documents, White and co-defendants Jason Keith Arnold, and Alicia McCoy, both also of Chandler, Arizona, operated the vendor accounts SICKNESSVERSION2 and 23MIGHTYMOUSE23 on the dark web marketplace known as Dream. These vendor accounts distributed heroin, cocaine, methamphetamine, marijuana, and other federally controlled substances on the dark web.
Law enforcement agents working undercover purchased heroin and other controlled substances from these vendor accounts on various dates in 2018, and had them sent to an address in the Eastern District of California. Agents subsequently executed a search warrant at a motel room in which White and McCoy were staying and seized at least 315 grams of heroin, 45 grams of cocaine, 593 grams of methamphetamine, and 30 grams of marijuana. Agents also seized a loaded and unregistered Kel-tec 9 mm handgun from a nightstand in the motel room.
Arnold pleaded guilty on March 5, 2020, and is scheduled to be sentenced on March 31, 2022. Charges are pending against McCoy, and a status conference is scheduled for April 4, 2022. The charges against her are allegations; she is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was the product of an investigation by the Northern California Illicit Digital Economy (NCIDE) Task Force, which includes agents from Homeland Security Investigations, the Federal Bureau of Investigation, the United States Postal Inspection Service, the United States Postal Service Office of Inspector General, the Internal Revenue Service - Criminal Investigation, and the Drug Enforcement Administration. The NCIDE Task Force is a federal task force focused on targeting all forms of illicit dark web and cryptocurrency activity in the Eastern District of California and beyond. Assistant United States Attorneys Paul Hemesath and Sam Stefanki prosecuted the case.
Albuquerque man arraigned on federal firearms chargeRead the Press Release
ALBUQUERQUE, N.M. – Shane Alderete, 46, of Albuquerque, was arraigned in federal court today on a charge of being a felon in possession of a firearm and ammunition. Alderete will remain in custody pending trial, which has not been scheduled.
A federal grand jury indicted Alderete on Feb. 8. According to the indictment and other court records, on Dec. 2, 2021, a Bernalillo County Sheriff’s Deputy, who is an officer for the FBI’s Albuquerque Violent Crime Gang Task Force, performed a traffic stop on Alderete’s vehicle. After the deputy activated the lights on his marked patrol vehicle, Alderete allegedly continued at a low rate of speed for approximately two blocks before stopping.
After the deputy asked Alderete to get out of the vehicle, the deputy observed a firearm in the vehicle. The vehicle was sealed, towed and later searched. During the search, a loaded firearm and additional ammunition were recovered from the vehicle.
Alderete was previously convicted of two counts of possession of a controlled substance and three counts of trafficking of a controlled substance. As a previously convicted felon, Alderete cannot legally possess a firearm or ammunition.
An indictment is only an allegation. A defendant is considered innocent unless and until proven guilty. If convicted, Alderete faces up to ten years in prison.
The Violent Crime Gang Task Force investigated this case. Assistant United States Attorney Niki Tapia-Brito is prosecuting the case.
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Albuquerque man accused of robbing postal carrierRead the Press Release
ALBUQUERQUE, N.M. – Rayshawn Boyce, 26, of Albuquerque, made an initial appearance in federal court today facing charges of robbery of a postal employee, theft or receipt of stolen or reproduced keys or locks, and brandishing a firearm during and in relation to a crime of violence. Boyce will remain in custody pending a detention hearing scheduled for Feb. 22.
According to a criminal complaint, on Jan. 18 a United States Postal Service (USPS) letter carrier was gathering mail from his vehicle on Domingo Road NE in Albuquerque when Boyce and another person allegedly grabbed the carrier by the back of the shirt, pulled him from the vehicle and threw him onto the ground. Boyce and his accomplice allegedly pointed handguns at the carrier’s head and demanded his postal keys. The carrier complied and Boyce and his accomplice allegedly fled the area.
A complaint is only an allegation. A defendant is considered innocent unless and until proven guilty. If convicted, Boyce faces up to 10 years in prison for stolen keys, up to 10 years in prison for robbing a postal employee and a minimum of seven years and up to life in prison for brandishing a firearm during a crime of violence.
The United States Postal Inspection Service investigated this case with assistance from Homeland Security Investigations (HSI). Assistant United States Attorney Letitia Simms is prosecuting the case.
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Alabama Man Sentenced for EscapeRead the Press Release
CHARLESTON, W.Va. – An Alabama man was sentenced today to one year in prison for escape to run consecutively to the federal sentence he is currently serving.
According to court documents, Jonathan Felts, 32, admitted he left Dismas Charities, Inc., a Bureau of Prisons residential reentry facility in St. Albans, without permission and did not return. Felts had been confined at Dismas because of a previous federal conviction for being a felon in possession of a firearm.
United States Attorney Will Thompson made the announcement and commended the investigative work of the United States Marshal Service.
United States District Judge Irene C. Berger imposed the sentence. Assistant U.S. Attorney Negar M. Kordestani 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-00179.
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Alabama Man Federally Indicted for Arson in Connersville, IndianaRead the Press Release
INDIANAPOLIS – A federal grand jury returned an indictment on January 19, 2022, charging an Alabama man with interstate travel for the purpose of committing a crime of violence. The indictment was unsealed today following the defendant’s arrest in Birmingham, Alabama.
According to court documents, on or about October 28 and 29, 2021, Tommy Lee Harrison, Sr., 37, of Birmingham, Alabama, traveled from Alabama to Fayette County, Indiana, to commit arson.
Harrison is charged with one count of interstate travel in aid of racketeering enterprises. The defendant will make his initial court appearance in the Northern District of Alabama before a U.S. Magistrate Judge. Harrison will make his initial court appearance in the Southern District of Indiana at a later date. If convicted, he faces a maximum penalty of 20 years in federal prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
“Interstate travel to commit arson is a very serious offense that poses a significant danger to the community,” said U.S. Attorney Zachary A. Myers. “Anyone involved in committing such crimes must be held accountable. I commend the FBI and the prosecution team for their hard work to uncover the facts in this continuing investigation.”
The Federal Bureau of Investigation is investigating the case.
U.S. Attorney Myers thanked Assistant United States Attorney Bradley P. Shepard, who is prosecuting the case.
An indictment is merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Ahoskie Man Sentenced to 9 Years in Prison for Knifepoint Robbery of Clothing StoreRead the Press Release
RALEIGH, N.C. – Rashad Jerrod Taylor, 34, of Ahoskie, was sentenced today to 108 months in prison for interference of commerce by robbery. The October 2020 indictment charged Taylor with three robbery offenses: the February 26, 2019, robbery of Food Mart in Aulander, Bertie County; the November 14, 2019, robbery of Speedway and the November 30, 2019, robbery of Citi Trends both located in Ahoskie, Hertford County. On November 19, 2021, he entered a guilty plea to robbing Citi Trends.
According to court records and statements made during hearings, on November 30, 2019, at around 6:30 p.m., Taylor entered the Citi Trends clothing store in Ahoskie with a hunting knife. The manager was present with one employee and four customers. Taylor told the manager to give him everything and led her behind the counter to the register. He told her to hurry up and thrust the knife at her in a stabbing motion before holding it near her neck. Taylor took $475 and walked calmly out of the store.
Hertford County Sheriff’s Office responded and gathered written statements and video surveillance of the robbery. A short time later, an officer detained Taylor a fifth of a mile from Citi Trends. His clothing matched the description from the robbery. A pat down for weapons revealed $454 in Taylor’s pockets.
Taylor was transported to the City Trends parking lot, and the manager identified him as the robber. After Taylor became upset and began speaking, the manager also noted that she recognized his voice. During processing, officers seized from Taylor a small baggie containing cocaine. Officers estimated that the cocaine would have cost $20 on the street, accounting for all but $1 of the difference in recovered and stolen money.
Taylor’s federal prosecution followed nine prior state felony convictions. His criminal record includes common law robbery, assault with a deadly weapon inflicting serious injury, two convictions for being a felon in possession of firearms, and multiple drug-related felonies.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina, made the announcement after sentencing by U.S. District Judge James C. Dever III. The Aulander Police Department, Ahoskie Police Department, Bertie County Sheriff’s Office, Hertford County Sheriff’s Office, and Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation. Assistant U.S. Attorney Jake D. Pugh prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 2:20-cr-0042-D.
Aberdeen Man Sentenced for Possession of Child PornographyRead the Press Release
United States Attorney Dennis R. Holmes announced that an Aberdeen, South Dakota, man convicted of Possession of Child Pornography was sentenced on February 15, 2022, by U.S. District Judge Charles B. Kornmann.
Charles Chambers, age 35, was sentenced to 240 months in federal prison, followed by 10 years of supervised release, $5,000 fine, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Chambers was indicted by a federal grand jury on April 6, 2021. He pled guilty on November 1, 2021.
The conviction stemmed from an incident on February 23, 2021, when Chambers accessed hundreds of digital files containing child pornography into his KIK Messenger account. Chambers used his cellular phone and the internet to access the files in interstate commerce.
This case was investigated by the Federal Bureau of Investigation and the Aberdeen Police Department. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Chambers was immediately turned over to the custody of the U.S. Marshals Service.
11 Members and Associates of the Brooklyn-Based Woo Gang Charged with Multi-Million Dollar COVID-19 Unemployment Insurance FraudRead the Press Release
A criminal complaint was unsealed today in federal court in Brooklyn charging Romean Brown, Tyrek Clarke, Kennith Desir, Stephan Dorminvil, Kai Heyward, Keith James, Oneal Marks, Jahriah Olivierre, Christopher Jean Pierre, Roleeke Smith and Christopher Topey with conspiracy to commit access device fraud and aggravated identity theft in connection with a scheme to obtain millions of dollars in unemployment insurance benefits funded, in whole or in part, by COVID-19 pandemic assistance programs. Eight defendants were arrested this morning in New York City and will make their initial appearances this afternoon before United States Magistrate Judge Sanket J. Bulsara. Heyward was arrested in Delaware and will make his initial appearance this afternoon in federal court in Wilmington. Brown was arrested in California and will make his initial appearance this afternoon in federal court in Los Angeles. Olivierre remains at large.
Breon Peace, United States Attorney for the Eastern District of New York, Jonathan Mellone, Special Agent-in-Charge, U.S. Department of Labor, Office of Inspector General, New York Regional Office (DOL-OIG), and Keechant L. Sewell, Commissioner, New York City Police Department (NYPD), announced the arrests and charges.
“As alleged, the defendants conspired to steal millions of dollars in pandemic-related unemployment assistance and then brazenly flaunted the proceeds of their crimes on social media,” stated United States Attorney Peace. “These government programs are designed to provide financial assistance to those who are most in need during an unprecedented pandemic. This Office and its law enforcement partners will vigorously prosecute gang members and anyone else who exploits the pandemic and steals from taxpayer-funded programs."
Mr. Peace also thanked the New York State Department of Labor for its assistance during the investigation.
“The Unemployment Insurance Program exists to provide needed assistance to qualified individuals who are unemployed due to no fault of their own. Fraud against the Unemployment Insurance Program distracts state workforce agencies, like the New York State Department of Labor, from ensuring benefits go to individuals who are eligible to receive them. The Office of Inspector General will continue to work closely with our many law enforcement partners, to investigate those who exploit the Unemployment Insurance Program,” stated DOL-OIG Special Agent-in-Charge Mellone.
“COVID benefit payments were meant to keep Americans who lost jobs, income, and financial stability from drowning in debt. These funds were never intended to be a multi-million dollar slush fund to pay for rented Beverly Hills mansions, high-end restaurants and expensive foreign cars for members of gangs and crews connected to gun violence in New York City. I commend the work of the NYPD Intelligence Bureau’s Criminal Investigation Section and our partners in the Department of Labor Office of the Inspector General as well as the prosecutors for the United States Attorney for the Eastern District of New York for their work on this investigation,” stated NYPD Commissioner Sewell.
As alleged in the complaint, the defendants are all members or associates of the Brooklyn-based Woo gang. Between March 2020 and October 2021, the defendants used the personally identifiable information of more than 800 victims to submit nearly 1,000 claims to the New York State Department of Labor for unemployment insurance benefits funded, in whole or in part, by COVID-19 pandemic assistance programs. The defendants ultimately obtained approximately $4.3 million in unemployment insurance after having filed for approximately $20 million in benefits. During the period of the charged conspiracy, the defendants posted photos of themselves on social media flashing gang signs, standing in front of luxury vehicles, and holding stacks of United States currency. Several of the defendants appeared in a music video entitled “Trappin,” which was posted to YouTube on May 8, 2021. The lyrics of the song include, “Unemployment got us workin’ a lot,” a reference to the defendants’ fraudulent scheme.
In response to the COVID-19 pandemic, Congress established programs and provided additional funding for unemployment insurance benefits for unemployed persons. These programs included the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), which was signed into law on March 27, 2020, and created programs for pandemic unemployment assistance and federal pandemic unemployment compensation.
The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.
The government’s case is being prosecuted by the Office’s Organized Crime and Gangs Section and Public Integrity Section. Assistant United States Attorneys Michael W. Gibaldi and Robert Polemeni are in charge of the prosecution.
The Defendants:
ROMEAN BROWN
Age: 23
Los Angeles, CaliforniaTYREK CLARKE
Age: 21
Miami, FloridaKENNITH DESIR
Age: 20
Brooklyn, New YorkSTEPhAN DORMINVIL
Age: 21
Brooklyn, New YorkKAI HEYWARD
Age: 22
Brooklyn, New YorkKEITH JAMES
Age: 20
Brooklyn, New YorkONEAL MARKS
Age: 20
Brooklyn, New YorkJAHRIAH OLIVIERRE
Age: 22
Brooklyn, New YorkCHRISTOPHER JEAN PIERRE
Age: 21
Brooklyn, New YorkROLEEKE SMITH
Age: 20
Brooklyn, New YorkCHRISTOPHER TOPEY
Age: 21
Brooklyn, New YorkE.D.N.Y. Docket No. 22-MJ-169
"Long Time Coming" Update: Chicago Man Pleads Guilty to Federal Drug OffenseRead the Press Release
CHARLESTON, W.Va. – Floyd Dermonta Ramsey, 42, of Chicago, Illinois, pleaded guilty today to possession with intent to distribute fentanyl, cocaine, and marijuana.
According to court documents and statements made in court, Ramsey admitted to entering Parkersburg on August 31, 2021, in possession of approximately 98 pills containing fentanyl, 62.83 grams of cocaine, and approximately three pounds of marijuana. These substances were seized by a law enforcement officer in connection with a traffic stop. Ramsey admitted he intended to distribute these controlled substances to other people.
Ramsey faces up to 20 years in prison when he is sentenced on May 18, 2022.
Robert Sanders, Jr., still faces federal charges as a result of the nearly year-long investigation dubbed “Long Time Coming.” Ambera Roberts, Era Dawn Corder, Matthew Edward Depew, and Carlo Ramsey, all of Parkersburg, previously entered guilty pleas in this case and await sentencing. Also as a result of the investigation, more than a dozen individuals were arrested on state charges in Wood County.
United States Attorney Will Thompson made the announcement and commended the excellent investigative work of the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Parkersburg Narcotics Task Force (PNTF), the Parkersburg Police Department, the West Virginia State Police, the United States Postal Inspection Service, the Vienna Police Department, the Williamstown Police Department, the Wood County Sheriff’s Office, the Cabell County Sheriff’s Department, the Boyd County (KY) Sheriff’s Department, the Russell (KY) Police Department and the Raceland (KY) Police Department.
Senior United States District Judge John T. Copenhaver, Jr. presided over the hearing. Assistant United States Attorney Jeremy B. Wolfe is handling the prosecution.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00163.
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Wednesday 16 February 2022
Woman Sentenced to Federal Prison for Bank RobberyRead the Press Release
WILMINGTON, N.C. – A Harrisburg, Pennsylvania woman was sentenced today to 42 months in prison for robbing a bank in Ayden, North Carolina. She was also ordered to pay restitution for all the banks. On November 2, 2021, Circe Nena Baez pled guilty to the charges.
According to court documents and other information presented in court, Baez, 38, entered the Southern Bank in Ayden on July 24, 2019, and handed a note to the bank teller demanding money. The note also threatened that Baez’s children were being held hostage. The bank teller gave $2,494 to Baez who then left the bank. After leaving the bank, Baez met with her co-conspirator, Alexis Morales, who was the driver for the robbery. Law enforcement agents later verified that no children were held hostage as part of the robbery.
Baez and Morales also robbed three other banks in the same manner during July 2019. Those robberies occurred in Pennsylvania, Delaware, and Hamlet, North Carolina. The Federal Bureau of Investigation and local police departments were able to track Baez and Morales to Charlotte, North Carolina and arrested them.
Morales also pled guilty to the robbery and is awaiting sentencing.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Federal Bureau of Investigation, the Ayden Police Department, the Hamlet Police Department, the Delaware State Police, the Carlisle Borough Police and the Charlotte Mecklenburg Police Department investigated the case and Assistant U.S. Attorneys Bryan Stephany and John Parris prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 4:20-cr-00072-M.
Wilmington Woman Pleads Guilty to Collecting Social Security Monies Issued to Her Deceased Mother for More Than a DecadeRead the Press Release
WILMINGTON, N.C. – A Wilmington woman pleaded guilty yesterday to Theft of Government Property.
According to court documents, Antoinette Andrea Colbert, 49, of Wilmington, pled guilty to theft of government property in connection with the ongoing receipt and use of her deceased mother’s Social Security benefits for more than a decade. The investigation showed that the defendant’s mother passed away in 2007, but her death was never reported to the Social Security Administration by family. Then, in 2008, after her mother’s death, Social Security mailings were rerouted to the defendant’s address in Wilmington, North Carolina. Various benefit card replacements were also routed to the defendant’s address. The defendant was also identified on bank footage utilizing her deceased mother’s Social Security benefits.
Colbert pleaded guilty to a violation of Title 18, United States Code, Section 641 and faces a maximum of up to ten years in prison when sentenced in May of this year.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after Chief U.S. District Judge Richard E. Myers II accepted the plea. The Social Security Administration Office of Inspector General investigated the case and Assistant U.S. Attorney William M. Gilmore is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:21-CR-136-M.
Weyers Cave Man Sentenced to 10 Years for Possession, Receipt of Thousands of Images of Child PornographyRead the Press Release
HARRISONBURG, Va. – A Weyers Cave, Virginia man, who was found to be in possession of child pornography after being reported to the FBI, was sentenced today to 120 months in federal prison.
John Taylor Whittington, 69, pleaded guilty in September 2021, to one count of possession of child pornography and one count of receipt of child pornography.
“When child pornography images are downloaded, shared, or otherwise viewed, it perpetuates the victimization of innocent children,” United States Attorney Christopher R. Kavanaugh said today. “These cases are a top priority for our office, and we are grateful for the diligent efforts of our law enforcement partners in helping to bring yet another predator to justice.”
“Through this investigation, the FBI and our partners were able to remove an individual from society who had a careless, disregard for the welfare of these young victims,” Stanley Meador, Special Agent in Charge of the FBI’s Richmond Division said today. “We are committed to identifying these criminals and holding them accountable; but more importantly we are committed to identifying the young children victimized by these criminals and providing resources to assist them as they heal and grow into adulthood. If you, or someone you know, has been a victim of child pornography - or you suspect a crime is occurring - please report it to authorities immediately.”
In late 2020, FBI executed a search warrant at Whittington’s home and seized multiple electronic devices including multiple laptops, seven thumb drives, and hundreds of portable storage devices.
A forensic examination of the electronic devices seized from Whittington’s home revealed approximately 4,700 images depicting minor-aged children engaging in sexually explicit conduct.
Whittington admitted that he was attracted to minor-aged females and possessed images of what he knew to be child pornography.
The Federal Bureau of Investigation, the Virginia State Police, the Augusta County Commonwealth Attorney’s Office, and the Augusta County Sheriff’s Office investigated the case.
Assistant U.S. Attorney Rachel Barish Swartz prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood organizes federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc.
West Warwick Man Admits to Trafficking Thousands of Fentanyl PillsRead the Press Release
PROVIDENCE, R.I. – A West Warwick man who arranged to sell thousands of counterfeit OxyContin pills containing fentanyl to an undercover member of the Rhode Island DEA Drug Task Force pleaded guilty in federal court today to fentanyl trafficking charges, announced United States Attorney Zachary A. Cunha.
Richard Delsanto, 28, pleaded guilty to distributing 40 grams or more of fentanyl and possession with intent to distribute 400 grams or more of fentanyl.
According to charging documents, in April and May 2021, an undercover Newport Police Department detective assigned to the DEA Drug Task Force engaged in a series of text messages with Delsanto to arrange for the purchase of 1,000 counterfeit OxyContin pills known to contain fentanyl. Delsanto delivered the pills on May 4, in exchange for $5,000. Nine days later, the undercover detective arranged for a second delivery of pills from Delsanto. As Delsanto arrived at an agreed-upon meeting location, members of the DEA Drug Task Force stopped Delsanto’s vehicle and seized approximately 3,000 pills containing fentanyl. An additional 700 fentanyl pills were seized from Delsanto’s residence during a court-authorized search.
Delsanto is scheduled to be sentenced on May 16, 2022.
Distributing 40 grams or more of fentanyl is punishable by statutory penalties of 40 years in federal prison, with a mandatory minimum 5 years of imprisonment, and a term of federal supervised release of 4 years. Possession with intent to distribute 400 grams or more of fentanyl is punishable by statutory penalties of up to life in prison, with a mandatory minimum term of 10 years of imprisonment, and a term of 5 years of federal supervised release. The defendant’s sentence will be determined by a federal district judge after consideration of the U.S. Sentencing Guidelines and other statutory factors.
The case is being prosecuted by Assistant U.S. Attorney G. Michael Seaman.
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Waterbury Man Sentenced for Violating Federal Sex Offender Registration and Notification ActRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, announced that CHRISTOPHER POSKUS, 47, of Waterbury, was sentenced today by U.S. District Judge Janet Bond Arterton in New Haven to 16 months of imprisonment, followed by five years of supervised release, for failing to register as a sex offender.
The Sex Offender Registration and Notification Act (“SORNA”), which was passed by Congress in 2006 as part of the Adam Walsh Act, provides a comprehensive set of minimum standards for sex offender registration and notification in the United States and seeks to strengthen the nationwide network of sex offender registration and notification programs. In part, SORNA requires registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
According to court documents and statements made in court, in 2010, Poskus was convicted in state court of possession of child pornography and was sentenced to 14 years of incarceration, suspended after seven years, and 10 years of probation. He also was required to register as a sex offender upon his release from prison. While on probation, Poskus violated several mandatory and special conditions, had his probation revoked, returned to prison, and eventually was placed under house arrest with GPS monitoring.
In July 2019, Poskus removed his GPS monitoring device and fled to California. On August 29, 2019, the U.S. Marshals Service located and arrested Poskus in San Francisco, where he was residing in a homeless shelter. Poskus failed to update his Connecticut sex offender registration to reflect an interstate change of residence, and he failed to register as a sex offender in California.
Poskus was detained from the date of his arrest until December 21, 2020, when he began serving a seven-year term of probation. On January 7, 2021, state probation officers were unable to contact Poskus, and they subsequently discovered that Poskus had left Connecticut by train shortly after his release from prison. He was again located in San Francisco, and has been detained in federal custody on March 18, 2021. Poskus again had failed to update his Connecticut sex offender registration to reflect an interstate change of residence, and he failed to register as a sex offender in California.
On October 14, 2021, Poskus pleaded guilty to two counts of failing to register as a sex offender.
This matter was investigated by the United States Marshal Service and was prosecuted by Assistant U.S. Attorney Joseph Vizcarrondo.
Virginia Woman Who Fled to Nicaragua with Her Child for More Than A Decade Pleads Guilty to International Parental KidnappingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. – U.S. Attorneys Trini E. Ross, of the Western District of New York, and Nikolas Kerest, of the District of Vermont, announced today that Lisa Miller, 53, formerly of Virginia, pleaded guilty before U.S. District Judge Richard J. Arcara to international parental kidnapping, which carries a maximum penalty of three years in prison and a $250,000 fine.
Defendant Miller was in a civil union with Janet Jenkins under Vermont law. Miller was artificially inseminated during the civil union and had a child, IMJ. In 2003, Miller sought termination of the civil union and disputes arose regarding Miller’s and Jenkin’s parental rights of IMJ. Miller disputed those parental rights in both Virginia and Vermont courts. Prior to September 2009, Jenkins had been awarded parental rights in Vermont. In early September 2009, the Vermont family court, which had jurisdiction over the dispute regarding the parental rights of IMJ, ordered that Janet Jenkins was entitled to an unsupervised parental visit with IMJ on the weekend of September 25, 2009. Miller was aware of the court ordered visit but did not want to allow unsupervised visitation for that weekend. In the early morning of September 22, 2009, Miller removed IMJ from the United States to Canada via Buffalo, NY, and eventually to Nicaragua, with the intention to take IMJ out of the country in order to obstruct Jenkin’s court ordered parental rights. Miller remained out of the country until she voluntarily returned to the United States in January 2021, after IMJ had reached 18 years of age.
Three other defendants were charged and convicted for their roles in this case. Philip Zodhiates was charged in the Western District of New York and convicted following a jury trial of international parental kidnapping and conspiracy to commit international parental kidnapping and sentenced to serve 36 months in prison. Zodhiates organized the kidnapping of IMJ. He also assisted in the recruitment of Mennonite Pastor Kenneth Miller, who was convicted following a jury trial of international parental kidnapping in the District of Vermont and sentenced to serve 27 months in prison. Timothy Miller was also charged, convicted, and sentenced to time served (eight months) for his role in assisting Lisa Miller. He purchased a one-way plane ticket for Lisa Miller and IMJ to travel from Toronto, Ontario to Nicaragua. Upon their arrival in Nicaragua, Timothy Miller assisted Lisa Miller and IMJ financially including providing them with shelter.
The plea is the culmination of an investigation by the Vermont Office of the U.S. Marshal’s Service, under the direction of Marshal Bradley Larose; the Vermont Office of the Federal Bureau of Investigation, under the direction of Janeen DiGuiseppi, Special Agent-in-Charge; and the U.S. Department of State’s Diplomatic Security Service (DSS). Assistant U.S. Attorneys Michael DiGiacomo and Paul Van de Graaf are handling the case.
Sentencing is scheduled for June 9, 2022, before Judge Arcara.
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Virginia Man Pleads Guilty to Laundering Millions from Fraud Schemes Targeting Victims Across the United States Perpetrated by Ghana-Based Criminal EnterpriseRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that FRED ASANTE pled guilty to conspiracy to commit money laundering for his role in a criminal enterprise based in the Republic of Ghana (“Ghana”) involving the theft of tens of millions of dollars. ASANTE was arrested on February 17, 2021 in Virginia and pled guilty today before U.S. District Judge Jed S. Rakoff. ASANTE has been detained since his arrest.
U.S. Attorney Damian Williams said: “Fred Asante admitted today to laundering money from victims of various fraud schemes, including cruel scams targeting elderly online daters searching for companionship. Compounding the disappointment of learning their potential soulmate was indeed nonexistent, Asante’s victims later found they were also targets of a Ghana-based criminal enterprise netting over $35 million in illegal proceeds. We implore the millions of Americans looking for someone special online to use extra caution, and be especially beware if solicited for money or other personal information.”
According to the Indictment, public court filings, and statements made in court:
From at least in or about 2013 through at least in or about 2020, ASANTE was a member of a criminal enterprise (the “Enterprise”) based in Ghana that committed a series of frauds against individuals and businesses located across the United States, including in the Southern District of New York. The frauds perpetrated by the Enterprise have consisted of, among other frauds, business email compromises, romance scams, and fraud schemes related to the novel coronavirus/COVID-19 pandemic. First, the objective of the Enterprise’s business email compromise fraud scheme was to trick and deceive businesses into wiring funds into accounts controlled by the Enterprise through the use of email accounts that “spoofed” or impersonated employees of a victim company or third parties engaged in business with a victim company. Second, the Enterprise conducted the romance scams by using electronic messages sent via email, text messaging, or online dating websites that deluded victims, many of whom were vulnerable older men and women who lived alone, into believing the victim was in a romantic relationship with a fake identity assumed by members of the Enterprise. Once members of the Enterprise had gained the trust of the victims using the fake identity, they used false pretenses to cause the victims to wire money to bank accounts the victims believed were controlled by their romantic interests, when in fact the bank accounts were controlled by members of the Enterprise. Finally, the Enterprise submitted fraudulent loan applications through a loan program of the United States Small Business Administration (the “SBA”) designed to provide relief to small businesses during the COVID-19 pandemic, namely the Economic Injury Disaster Loan (“EIDL”) Program. The Enterprise submitted fraudulent EIDL applications in the names of actual companies to the SBA and when an EIDL loan was approved, the funds were ultimately deposited in bank accounts controlled by members of the Enterprise.
ASANTE and other members of the Enterprise received fraud proceeds from victims of the Enterprise in dozens of business bank accounts that they controlled in New York, New Jersey, and Virginia. The business bank accounts were opened in the names of companies formed by ASANTE and other members of the Enterprise that were purportedly involved in, among other things, automobile sales, food imports and exports, and freight trucking and shipping. Once ASANTE received fraud proceeds in bank accounts under his control, he withdrew, transported, and laundered those fraud proceeds to other members of the Enterprise abroad. The defendant primarily laundered the fraud proceeds through his business by using the proceeds to purchase automobiles, food products, and other goods from U.S.-based suppliers and distributors of such products and shipping those products to Ghana and elsewhere. The defendant’s transactions had the appearance of legitimate business transactions when, in fact, the products had been purchased using the proceeds of fraud schemes. This trade-based money laundering scheme was designed to obscure the origin of the fraud proceeds as well as the identity of the ultimate beneficiaries of these schemes. In total, from in or about 2016 through in or about 2020, the defendant controlled over a dozen business bank accounts with deposits totaling over $35 million.
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FRED ASANTE, 36, of Fredericksburg, Virginia, pled guilty to one count of conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Under the terms of his plea agreement, ASANTE agreed to pay a money judgment of $647,488 and to forfeit his interest in approximately $323,646 seized by the Government from his bank accounts as well as a 2021 Mercedes-Benz GLE AMG seized by the Government.
ASANTE will be sentenced on May 18, 2022, by Judge Rakoff. ASANTE’s co-conspirator, LORD ANING, pled guilty to conspiracy to commit wire fraud on October 15, 2021, and will be sentenced on February 28, 2022 at 4:30 p.m. before Judge Rakoff.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation.
The prosecution of this case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant United States Attorneys Sagar K. Ravi, Katherine Reilly, and Mitzi Steiner are in charge of the prosecution.
U.S. Attorney’s Office, Eastern District of Louisiana Joins Its Federal, State and Local Law Enforcement Partners in Addressing Violent CrimeRead the Press Release
NEW ORLEANS – Today, in a demonstration of unity, U.S. Attorney Duane A. Evans joined federal, state, and local law enforcement agencies to announce their joint efforts to address the violent crime spike occurring in the City of New Orleans. The collaborative effort features a team comprised of the U.S. Attorney’s Office, Eastern District of Louisiana, U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), U.S. Drug Enforcement Administration (DEA), Federal Bureau of Investigation (FBI), U.S. Department of Homeland Security Investigations (HSI), U.S. Marshals Service (USMS), City of New Orleans Office of Criminal Justice Coordination, Orleans Parish District Attorney’s Office, Louisiana State Police (LSP), and the New Orleans Police Department (NOPD).
The components of the collaborative deterrence plan include:
- Investigative resources focused on the most violent offenders/gangs and the use of federal prosecution for long-term criminal deterrence.
- Daily investigative coordination and interagency de-confliction reviews to include the following:
- Interagency sharing of analytical and investigative resources targeting violent crime;
- USMS violent offender warrant list for violent criminals; and
- ATF NIBIN (National Integrated Ballistic Information Network) and eTrace leads.
- Proactive community engagement to guide law enforcement in the apprehension of violent criminals, identification of cooperators, and the development of leads for short-term and long-term racketeering, and VCAIT (Violent Crime Abatement Investigation Team) investigations.
U.S. Attorney Evans stated, "As a law enforcement collective, we recognize the imminency of the violent crime surge sweeping across our community. We want the public to know that federal, state, and local law enforcement stands ready to collaborate, combine resources and continue to target those who prey on our citizens. Victims of crime also should know that law enforcement is committed to preventing, investigating, and solving the crimes that have plagued our community. Just as importantly, the perpetrators of these offenses are on notice that they will be apprehended and held accountable for their actions.”
“The safety and well-being of our citizens is paramount. ATF is proud to work with our law enforcement partners to target gun violence in our communities and has pledged manpower and resources as part of this effort,” said ATF Special Agent in Charge Kurt Thielhorn. “This initiative demonstrates our collective commitment to combatting violent crime in our communities.” Contact ATF TipLine at (888) ATF-TIPS (1-888-283-8477).
“DEA is proud to be a partner in this joint effort to curb the rising violent crime in our city and beyond. The combined strength that federal, state and local law enforcement agencies bring to bear in the battle against these violent offenders will strike a significant blow to their criminal and drug trafficking organizations. By working together, we will leverage our respective resources and expertise to achieve results that we could not accomplish on our own. Our combined, concentrated efforts will make our communities a safer place to live by disrupting the flow of guns and dangerous drugs to our neighborhoods,” said DEA Special Agent in Charge Brad L. Byerley.
“Violence undermines one of the most basic freedoms of all Americans – the right to feel safe and secure in our own homes and in our communities. Today, let this message be clear to gang members and violent criminals: we will deploy our collective strength to ensure the safety and security of our neighborhoods and communities," said FBI Special Agent in Charge Douglas A. Williams, Jr. Please call (504) 816-3000 or submit an anonymous tip at fbi.gov/tips
“Our number one priority is to keep the American public safe. With HSI’s unique transnational authorities, our special agents stand ready to collaborate with and support our local, state, and federal law enforcement partners to target the violent criminal activity plaguing our community,” said HSI New Orleans Deputy Special Agent in Charge Jeb Bison. “By coming together in a common mission with our law enforcement partners, we will be able to pool our resources and more efficiently and effectively make our neighborhoods safer.”
The U.S. Marshals Service (USMS) is committed to this initiative with our local, state, and federal partners and feel that partnerships are the key to reducing the uptick of violent crime across the New Orleans metro area. Our USMS New Orleans Task Force has a history of being actively engaged in working with our partners to locate violent felony offenders, sex offenders, and the recovery of missing endangered children.
“The impact of violent crime in our communities is far reaching and affects every aspect of our daily lives,” stated Colonel Lamar Davis, Louisiana State Police Superintendent. “Louisiana State Police is committed to maintaining successful and productive relationships with our public safety partners to combine resources and combat violent crime in the Greater New Orleans area and across the state.”
“From the very beginning of my administration, we have understood the importance of collaborating with our local, state and national partners in the fight against crime in this city. I am grateful to stand with US Attorney Duane Evans, NOPD Chief Shaun Ferguson and all of our law enforcement partners in this fight to announce the Violent Crime Deterrent Plan. This unified, strategic plan across agencies will allow us all to combine and coordinate efforts to fight the rise of crime in New Orleans. There is a crime surge happening in this country, but here in New Orleans, we are surging back together,” stated Orleans Parish District Attorney Jason Williams.
"We thank each of our partners for the work that they do day-in and day-out to keep our city safe," said Criminal Justice Commissioner Tenisha Stevens. "The Mayor's Office of Criminal Justice Coordination and this administration is dedicated to collaborating with all of our justice system partners, at the local, state, and federal level, to work together to ensure accountability at all points of the system and do the work that we have been called to do."
“The citizens of this city should know that the plan we’re carrying out is a force-multiplier for NOPD will make New Orleans a safer place to live and visit,” NOPD Superintendent Shaun Ferguson said. “And to individuals who continue to commit violent acts and steal from your neighbors, you need to know we’re coming for you, and we’ll see you soon.”
If you suspect or are aware of any criminal activity, please contact your local federal investigative agency or NOPD.
U.S. Attorney joins FBI in Albuquerque billboard campaign targeting violent crimeRead the Press Release
ALBUQUERQUE, N.M. – United States Attorney for the District of New Mexico Fred J. Federici joined FBI Albuquerque Special Agent in Charge Raul Bujanda and local and state law enforcement partners to announce a new billboard campaign aimed at reducing violent crime.
The billboards’ message: “Gun crime = Federal time. No parole.”
“Our simple message today is for dangerous criminals who are responsible for driving up violent crime in Albuquerque,” said U.S. Attorney Federici. “And that message is that you should think twice if you are a convicted felon who chooses to carry a gun, or are a criminal who is drug trafficking or robbing people using a gun, because you could find yourself with a one-way ticket to federal court. This office vigorously enforces our federal laws, and we are resolved to both identifying the most dangerous criminals and determining the most just and effective avenue for prosecuting them. We are committed to restoring the sense of safety the people of Albuquerque so much deserve."
The U.S. Attorney and Special Agent in Charge were joined by local and state partners from the Violent Crime and Gang Task Force: Albuquerque Police Chief Harold Medina; Bernalillo County Sheriff Manny Gonzales; and New Mexico Department of Public Safety Secretary Jason Bowie.
Below are the U.S. Attorney’s remarks from the event:
Thank you and good morning.
My name is Fred Federici. I am the United States Attorney for the District of New Mexico. We really appreciate you joining us here today for this message. It is an important community message for all of us.
I first want to thank FBI Special Agent in Charge Raul Bujanda. He and his staff committed to this public awareness campaign, and we are happy to be here with him today and with all our state and local partners.
Getting the message on this billboard out to those who need to hear it is just one part of the Department of Justice’s ongoing strategy to combat violent crime. That’s a strategy that I know you will be hearing more about in the months to come from the Department. But combating violent crime is something to which the United States Attorney’s Office has been over the past several years and is fully committed, as the SAC just told you.
Our simple message today is targeted at felons who possess guns, carjackers, people holding up businesses with guns, bank robbers, and people trafficking drugs or committing other violent crimes and choosing to do that with guns. And our simple message to them is this: If you want to find yourself staring down the barrel of a federal indictment, then commit just one of the federal crimes I just listed and you will find yourself with a one-way ticket to federal court.
So, for example, if you have spent time in the past in a jail cell or a prison cell wearing government-issued orange coveralls and you get out and you decide that it’s still a good idea to possess a gun, then know that you may well find yourself on the working end of a federal indictment. We have federal prosecutors standing by ready to do just that.
And let me be very clear about the potential federal penalties that just some of these crimes carry that are implicated by this billboard behind me.
For example, if you illegally possess a firearm as a prohibited person, like a convicted felon, that’s a federal crime punishable by up to 10 years in a federal prison. Depending on the violence of your criminal history, you could be facing a mandatory minimum of 15 years in a federal prison cell for possessing that firearm.
Or if you decide to carry or use a firearm during a violent crime or drug trafficking crime, by federal law you can face a minimum of five years in prison and up to life in prison, and that’s on top of the penalty that you’re going to face for the underlying crime that’s attached to it. If you actually choose to brandish a firearm during that crime, well then guess what: it’s a minimum of seven years in federal prison on top of the penalty for the underlying crimes.
And if you are so foolish as to decide to discharge a firearm during such a crime, it’s a minimum of 10 years that you might get to spend sitting in a federal prison on top of the penalty that you will get for the underlying crime.
And finally, if you have certain prior convictions, you could be facing a minimum penalty as high as 25 years in a federal prison.
As our SAC just told us, offenders should also be aware that the FBI’s Violent Crime Task Force, which we put together in Albuquerque, and by “we,” I mean everybody standing up here - the Sheriff, APD, the FBI, the DPS, New Mexico State Police, everybody, and others – the FBI Violent Crime Task Force that has been put together in Albuquerque is formidable and it includes federal, state and local officers. And almost every single day prosecutors from the U.S. Attorney’s Office who lead our Project Safe Neighborhood initiative work together with our state counterparts to try to identify the most dangerous offenders. That’s the goal here: to try to identify the most dangerous offenders on the streets of Albuquerque and find the most just and effective venue for prosecuting them.
Those for whom the message on this billboard is intended should also be on notice that for the last few years we have developed the strongest working relationship that I know of over my 27 years of being a prosecutor in New Mexico. The strongest working relationship we have ever had with our state and local counterparts in this district. We are all fully committed to this fight.
In fact, since mid-2017 we have brought literally hundreds of cases involving some of the most dangerous offenders arrested by the Albuquerque Police Department over to the U.S. Attorney’s Office for federal prosecution. So these billboards should serve notice to those who need to hear it that we are here to vigorously enforce federal criminal laws.
Like you, all of us live here, all of us work here. Like you, all of our families live here, go to school here and work here. And we do not think it’s acceptable that there are criminals who think that they own the streets of Albuquerque, because they don’t. Our families should not have to go to bed at night used to hearing police helicopters flying overhead trying to catch dangerous criminals or hearing gunshots from our back yards.
So, I can assure you that we are fully committed to doing everything we can to help our state counterparts restore the sense of safety that the people of Albuquerque so much deserve.
Thank you.
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Two Rhode Island Men Charged in Wide-Ranging Fentanyl Trafficking ConspiracyRead the Press Release
BOSTON – Two Rhode Island men have been arrested and charged for their alleged roles in a fentanyl trafficking conspiracy that spanned across Massachusetts, Rhode Island and New York.
Jasdrual Perez, 33, of Cranston, R.I., and Erik Ventura, 33, of Providence, R.I., were charged with one count each of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl. Following initial appearances before U.S. District Court Magistrate Judge Donald L. Cabell, Perez and Ventura were detained pending a hearing which is scheduled for Feb. 18, 2022.
According to the charging documents, in September 2019, agents began an investigation into a drug trafficking organization (DTO) headed by Perez. The investigation revealed that Perez, Ventura and others allegedly conspired to distribute large quantities of controlled substances, including fentanyl pills, to customers in numerous locations across Massachusetts, Rhode Island and New York. The investigation further revealed that the DTO manufactured fentanyl pills for distribution. In July 2021, law enforcement seized close to 1,100 counterfeit oxycodone pills suspected to contain fentanyl in Dedham, allegedly attributable to the Perez DTO.
According to court documents, on Feb. 7, 2022, a search of Perez’s residence resulted in the seizure of two pill presses, a gallon-sized freezer bag suspected to contain fentanyl pills, more than 50,000 counterfeit oxycodone pills suspected to contain fentanyl and multiple marijuana plants. In total, over 10 kilograms of suspected fentanyl was seized. A search of another home where Perez resides resulted in the seizure of more than $80,000 in alleged drug proceeds.
The charge of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl provides for a mandatory minimum sentence of 10 years and up to life in prison, at least five years and up to a lifetime of supervised release and a fine of up to $10 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Rachael S. Rollins, Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division and Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service, Criminal Investigations, Boston Field Office, made the announcement today. Special assistance in the investigation was provided by the United States Attorney’s Office for the District of Rhode Island; the Federal Bureau of Investigation, Providence Field Office; the Drug Enforcement Administration, Providence Field Office; the Rhode Island State Police Department; and the Cranston, Warwick and West Warwick Police Departments. Assistant U.S. Attorneys Craig E. Estes and Lindsey E. Weinstein of Rollins’ Narcotics & Money Laundering Unit are prosecuting the case.
This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs, and transnational criminal organizations. 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 defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Two More Defendants Added to Federal Indictment Alleging Fraud Scheme at Chicago Elementary SchoolRead the Press Release
CHICAGO — An ongoing federal investigation into an alleged fraud scheme at a Chicago elementary school has resulted in charges against two new defendants.
An eleven-count superseding indictment unsealed today in U.S. District Court in Chicago alleges that SARAH JACKSON ABEDELAL carried out a fraud scheme while serving as Principal of Brennemann Elementary School on the North Side of Chicago. The first aspect of the scheme involved overtime fraud, for which Abedelal was initially charged last year. The superseding indictment adds a second aspect to the alleged scheme – procurement fraud – and charges two new defendants: former Brennemann Assistant Principal JENNIFER MCBRIDE, also known as “Jennifer Ellen,” and former Brennemann Business Manager WILLIAM JACKSON. McBride allegedly participated in the overtime aspect of the fraud scheme, while Jackson allegedly participated in both the overtime and procurement aspects.
The superseding indictment charges Abedelal, 58, of Chicago, with one count of wire fraud. McBride, 40, of Northbrook, Ill., is charged with four counts of wire fraud. Jackson, 37, of Chicago, is charged with five counts of wire fraud and one count of mail fraud. Arraignments in U.S. District Court in Chicago have not yet been scheduled.
The superseding indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Will Fletcher, Inspector General of the Chicago Board of Education, Office of Inspector General. The government is represented by Assistant U.S. Attorneys Terry M. Kinney and Patrick Mott.
According to the superseding indictment, the procurement aspect of the fraud scheme was carried out by Abedelal, Jackson, and a sales representative for a company that sold goods to Chicago Public Schools. The trio allegedly submitted or caused to be submitted to CPS false purchase orders and invoices totaling more than $45,000, ostensibly for office and school supplies. In reality, they knew that the false orders and invoices were actually meant to conceal the receipt of iPhones, iPads, and approximately $30,000 in gift cards intended for the personal use of Abedelal, the indictment alleges.
The overtime aspect of the fraud scheme was allegedly carried out by Abedelal and McBride, with assistance from Jackson, two other former employees at the school, and others. The charges allege that Abedelal authorized unearned overtime pay for certain employees and directed them to deliver the proceeds to Abedelal or McBride in the form of cash or gift cards. Abedelal told the employees that the money would be used to fund legitimate school expenses, when, in fact, Abedelal intended to convert the money to her own personal use, the indictment alleges. Abedelal, McBride, Jackson, and others prepared or caused to be prepared fraudulent overtime sheets to conceal the scheme, the indictment states.
The public is reminded that an indictment 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. Each count in the indictment is punishable by up to 20 years in federal prison. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Two Indicted for Conspiracy to Defraud the North Carolina Medicaid Program and Money LaunderingRead the Press Release
CHARLOTTE, N.C. – A federal grand jury in Charlotte has indicted two individuals on federal charges in connection with a scheme to obtain more than $15 million from the North Carolina Medicaid program, announced Dena J. King, U.S. Attorney for the Western District of North Carolina.
Joining U.S. Attorney King in making today’s announcement are Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, Donald “Trey” Eakins, Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), and Attorney General Josh Stein, who oversees the North Carolina Medicaid Investigations Division (MID).
The indictment charges Donald Booker, 56, of Charlotte, and Delores Jordan, 53, of Louisville, Kentucky, with conspiracy to commit health care fraud, violations of the Anti-Kickback Statute, conspiracy to commit money laundering, and money laundering.
According to allegations contained in the indictment, Booker owned United Diagnostic Laboratories (UDL), a urine toxicology testing laboratory, and United Youth Care Services (UYCS), a company that provided mental health and substance abuse treatment services. Jordan owned Legacy Housing, a subsidized housing provider. The indictment alleges that from January 2016 to December 2020, Booker and his co-conspirators executed a conspiracy to defraud the North Carolina Medicaid program by paying illegal kickbacks to Jordan and other co-conspirators in exchange for urine samples from Medicaid-eligible beneficiaries.
The indictment alleges that Jordan and other co-conspirators recruited housing-vulnerable individuals and other Medicaid-eligible beneficiaries for housing and other programs and services. Once enrolled, the beneficiaries were required to submit urine specimens for drug testing as a condition of their participation in the program. The specimens were allegedly provided to UDL and UYCS for medically unnecessary urine drug testing. The indictment further alleges that Booker and his co-conspirators paid the recruiters a kickback from UYCS’s NC Medicaid reimbursement on the drug testing. It is also alleged that Booker and Jordan executed a conspiracy to launder the proceeds of the kickback and health care fraud conspiracy in order to conceal and disguise the nature and source of UYCS’s illegal kickback payments for drug testing referrals.
Booker and Jordan have been arrested by the FBI.
The charges in the indictment are allegations. The defendants are presumed innocent until proven guilty in a court of law.
The FBI, IRS-CI, and NC Medicaid Investigations Division are in charge of the investigation.
The prosecution for the government is handled by Assistant U.S. Attorney Graham Billings of the U.S. Attorney’s Office in Charlotte.
Twin Brothers Facing Federal Charges for Allegedly Obtaining over $1 Million in Covid-19 Loans and Unemployment Insurance BenefitsRead the Press Release
Greenbelt, Maryland – A federal criminal complaint has been filed charging Jerry Phillips, age 24, of Temple Hills, Maryland, for the federal charges of wire fraud and aggravated identity theft; and Jaleel Phillips, age 24, of Temple Hills, Maryland, for wire fraud, in relation to an alleged scheme to unlawfully obtain COVID-19 relief loans and unemployment benefits.
Jerry and Jaleel Phillips made their initial appearances today at 1:30 p.m. and 2:30 p.m.; respectively, in U.S. District Court in Greenbelt before U.S. Magistrate Judge Charles B. Day.
The criminal complaint was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge Quenton Sallows, of the Mid-Atlantic Region, Federal Deposit Insurance Corporation Office of Inspector General (FDIC-OIG); Acting Special Agent in Charge Troy W. Springer, of the Washington Regional Office, U.S. Department of Labor - Office of Inspector General; and Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
According to the criminal complaint, IP addresses linked to Jaleel and Jerry Phillips were used to submit fraudulent Paycheck Protection Program loan applications (PPP), Economic Injury Disaster loan applications (EIDL), and unemployment insurance claims resulting in $1 million in received funds.
As stated in the affidavit in support of the criminal complaint, the Phillips brothers allegedly created fictitious aliases, used the personal identifying information of real people, and used out of business or fake corporate entities to apply for EIDL and PPP loans, and unemployment benefits.
Further, the complaint alleges that the brothers created several financial and email accounts under aliases, including “Kenneth Williams,” “Allen Gator,” and “Jamal Hopkins.” The aliases were supported by fake Maryland driver’s licenses, social security numbers, and birth dates. The complaint further alleges that after receiving the fraudulently obtained funds, the defendants used the funds to purchase a 2020 Camaro, furniture, home improvement items and services, and made many other purchases. Significant funds were also transferred between the various financial accounts established in the aliases’ names. Additionally, the criminal complaint alleges that the defendants used several fraudulent Maryland driver’s licenses to create multiple accounts in popular digital currency exchange platforms.
If convicted, Jerry Phillips and Jaleel Phillips face a maximum sentence of 20 years in federal prison for wire fraud. Jerry Phillips faces an additional two years in federal prison consecutive to any other sentence imposed for aggravated identity theft. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
A criminal complaint is not a finding of guilt. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
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.
United States Attorney Erek L. Barron commended the DOL-OIG, SBA-OIG, IRS-CI, FDIC-OIG, and the Mississippi Attorney General’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Harry M. Gruber, who is prosecuting the federal case. He also thanked the Office of Mississippi Attorney General Lynn Fitch-Public Integrity Division, for its assistance.
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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Three Men Guilty in Scheme to Defraud Elderly and Vulnerable Victims of More Than $5 MillionRead the Press Release
United States Attorney Leonard C Boyle, Inspector in Charge Ketty Larco-Ward of the U.S. Postal Inspection Service’s Boston Division, and J. Russell George, the Treasury Inspector General for Tax Administration, today announced that a federal jury in Bridgeport has found three men guilty of offenses related to their participation in lottery and romance scams that defrauded primarily elderly victims across the country of millions of dollars.
Yesterday, after a week-long trial before U.S. District Judge Stefan R. Underhill, FAROUQ FASASI, 27, RODNEY THOMAS, JR., 31, and RALPH PIERRE, 32, all formerly of New Haven, were convicted of conspiracy, fraud and money laundering offenses.
According to the evidence presented during the trial, in a lottery scam, scammers notify victims by telephone, through online communications, or by mail, that they have won the lottery. The victims are then told that in order to collect the prize they must pay fees for things like taxes, shipping and processing. Often, once a victim sends a small amount of money, a scammer will ask for larger sums of money with a promise of more winnings. The victims never receive winnings. In a romance scam, scammers take advantage of people looking for companionship by pretending to be prospective companions. Scammers typically create fake online profiles on dating websites that include false personal details such as the death of a spouse, or military service, to lure victims to trust them. Once they have gained the trust of victims, scammers will ask victims for money, falsely claiming to need money for medical or business emergencies, for travel to see the victim, or other purposes.
Between approximately August 2015 and March 2020, Fasasi, Thomas and others used lottery scams, romance scams and other fraudulent means to induce elderly victims to provide them with money, gifts and personal details. Victims sent cash, money orders or checks through the mail to various addresses in Connecticut, and also wired or deposited money into bank accounts in Connecticut controlled by conspiracy members and their associates.
Fasasi, Thomas, Pierre and other co-conspirators lived together for a time at a residence on Sherman Avenue in New Haven, where many packages containing cash, checks and money orders from victims were delivered. To help launder the money obtained from fraud victims, Pierre formed a fake charity, called “Global Protection Foundation,” and opened four bank accounts in the fake charity’s name.
The investigation revealed that these scams defrauded more than 200 victims across the U.S. of more than $5 million. Many of the victims were elderly and vulnerable, and some victims lost their life savings. One Connecticut victim lost more than $1 million.
The jury found Fasasi and Thomas guilty of one count of conspiracy to commit mail and wire fraud, one count of conspiracy to commit money laundering, and one count of mail fraud. Fasasi was also found guilty of three counts of money laundering. Pierre was found guilty of one count of conspiracy to commit money laundering and one count of money laundering. Judge Underhill scheduled sentencing for May 10.
Three other individuals have been charged and convicted of offenses stemming from their participation in this scheme.
“The Justice Department is committed to rooting out and prosecuting those who steal from seniors and other vulnerable victims,” said U.S. Attorney Boyle. “These verdicts will help to heal the many individuals who gave thousands of dollars to these predators. I encourage all to resist falling victim to these schemes and not send any money to anyone you haven’t met in person. Instead, call your local police department, or 833-FRAUD-11, for assistance and to report these crimes.”
“The verdicts exemplify the U.S. Postal Inspection Service’s dedication to protecting those who have been victimized by scams that utilize the U. S. Mail to perpetuate fraud,” said Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division. “The financial loss suffered by some of our most vulnerable population is devastating, often unrecoverable. The teamwork exhibited between multiple federal law enforcement agencies ensured the success of this investigation.”
The Justice Department has established a National Elder Fraud Hotline to provide services to seniors who may be victims of financial fraud. The Hotline is staffed by experienced case managers who can provide personalized support to callers. Case managers assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll free number is 833-FRAUD-11 (833-372-8311). For more information, please visit: https://ovc.ojp.gov/program/stop-elder-fraud/providing-help-restoring-hope.
This matter is being investigated by the U.S. Postal Inspection Service, Treasury Inspector General for Tax Administration (TIGTA), U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), U.S. Secret Service, U.S. Army-CID, and New Haven Police Department. The case is being prosecuted by Assistant U.S. Attorneys Heather L. Cherry and Stephanie T. Levick
Texarkana Men Sentenced for Federal Drug Trafficking and Firearms ViolationsRead the Press Release
TEXARKANA, Texas – A Texarkana father and son have been sentenced to federal prison for drug trafficking and firearms violations in the Eastern District of Texas, announced U.S. Attorney Brit Featherston today.
Kelvin Lorenzo Harris, also known as Fifth Ward, 57, pleaded guilty on Sep. 7, 2021 to conspiring to distribute methamphetamine, using a firearm in relation to a drug trafficking offense and being a felon in possession of a firearm. Harris was sentenced to 180 months in federal prison by U.S. District Judge Robert W. Schroeder, III on Feb. 15, 2022. Markelvin Renard McHenry, also known as Black, 33, pleaded guilty to the same charges on Sep. 1, 2021, and was sentenced to 165 months in federal prison today by Judge Schroeder.
According to information presented in court, Harris and McHenry conspired to sell methamphetamine and a short-barreled shotgun in Texarkana. Specifically, Harris displayed the sawed-off shotgun during a methamphetamine transaction in October 2020. Several weeks later, Harris was arrested on unrelated charges. After his arrest, Harris directed his son, McHenry, to go get the short-barreled shotgun. McHenry then sold methamphetamine and his father's shotgun, disposing of the money from the shotgun as Harris directed. Both Harris and McHenry have been convicted of multiple felonies, including burglary of a habitation, possession of a controlled substance, unlawful possession of a firearm by a felon, and theft of a firearm. As convicted felons, they are prohibited by federal law from owning or possessing firearms or ammunition.
Harris and McHenry were indicted by a federal grand jury on April 22, 2021, and charged with federal drug trafficking and firearms violations.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Texarkana, Texas Police Department and prosecuted by Assistant U.S. Attorney Jonathan R. Hornok.
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