Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
28 March 2022
Federal Court Shuts Down South Florida Tax PreparersRead the Press Release
On March 25, a federal court in the Southern District of Florida permanently enjoined two Miami-area tax return preparers and their businesses from preparing federal tax returns or operating any tax return preparation business in the future. The court ordered that they disgorge more than $60,000 in return preparer proceeds to the United States. The court also issued a narrower injunction against a third preparer and his business.
The complaint alleged that defendant Tammi King owned and operated two return preparation businesses, Kingsworld Financial Services Corp. and Brightstar Management Corp. in South Florida, and employed defendant Norman Williams Jr. to prepare tax returns. The complaint also alleged that a third individual, John Gay Jr., owned a return preparation business called the Tax Doctor LLC, with which King was affiliated at one time. According to the complaint, King, Williams and Gay all prepared tax returns for customers that included fraudulent self-employment expenses, false energy credits, and fake charitable contributions. As one example, the complaint alleged that Williams, a Miami-area firefighter, fabricated more than $1,300,000 in fraudulent cash charitable contributions for 96 of his fellow firefighters for the 2019 tax year.
On Friday, King, Williams and King’s businesses consented to permanent injunctions. They must permanently cease all operations at any office location, including offices located at 8876 N.W. 7th Avenue in Miami and 1130 W. Sunrise Boulevard in Fort Lauderdale. The approximately $60,000 in disgorgement ordered by the court is based on fees associated with returns filed by King and Williams, including 238 returns Williams prepared for fellow-firefighters between tax years 2018 and 2020.
The court also issued a narrower injunction against Gay and The Tax Doctor LLC, to which Gay consented. The injunction does not shut down The Tax Doctor LLC, but requires that Gay and this business employ heightened document substantiation and record keeping requirements before preparing and filing returns claiming certain credits and deductions, including the Child Tax Credit, head of household status for a taxpayer, dependent care deductions and certain tuition-related credits.
Deputy Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Return preparer fraud is one of the IRS’ Dirty Dozen Tax Scams and taxpayers seeking a return preparer should remain vigilant. (More information can also be found here.) The IRS has information on its website for choosing a tax preparer, has launched a free directory of federal tax preparers, and offers information on how to avoid “ghost” tax preparers, whose refusal to sign a return should be a red flag to taxpayers. The IRS also has a checklist of things to remember when filing income tax returns in 2022.
In addition, IRS Free File, a public-private partnership, offers free online tax preparation and filing options on IRS partner websites for individuals whose adjusted gross income is under $72,000. For individuals whose income is over that threshold, IRS Free File offers electronical federal tax forms that can be filled out and filed online for free. The IRS has tips on how seniors and individuals with low to moderate income can get other help or guidance on tax return preparation, too.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
East Bay Resident Charged in Insider Trading Securities Fraud SchemeRead the Press Release
OAKLAND–A federal grand jury handed down an indictment charging Dileep Kumar Reddy Kamujula with securities fraud in connection with alleged illegal securities trading based on inside information obtained from an employee of San Francisco-based cloud communications company Twilio, Inc. (Twilio), announced U.S. Attorney Stephanie M. Hinds, and Federal Bureau of Investigation Acting Special Agent in Charge Timothy M. Stone.
“The charges in this indictment relate to a scheme to profit on the confidential information of a San Francisco-based public company to gain an illegal edge in the stock market,” said U.S. Attorney Hinds. “This Office will continue to aggressively pursue this type of securities fraud because it threatens the integrity of the markets and hurts everyone who plays by the rules.”
“Insider trading is not a game - it’s a federal crime,” said Acting Special Agent in Charge Stone. “This investigation should be a forceful disincentive for those tempted to commit any type of securities fraud. The FBI and our partners will take decisive action against those who seek to illegally exploit material nonpublic corporate information for their own gain.”
According to the indictment unsealed today, Kamujula, 35, of Fremont, Calif., illegally traded in Twilio stock options after receiving material nonpublic information from an employee identified in the indictment as “Insider One.” The indictment alleges that as part of Insider One’s employment, the employee had regular access to a financial records system used by Twilio to monitor and account for customer sales. Insider One allegedly accessed confidential information concerning Twilio's financial results before those results were made public and passed on the information to Kamujula. The indictment alleges that Twilio maintained written policies prohibiting the dissemination of such material nonpublic and confidential information. Twilio also had policies that restricted all employees from trading in the company’s securities during time periods around earnings releases. In addition, the indictment alleges that the employee breached a duty to maintain the confidentiality of the information and that Kamujula knew Insider One breached that duty when the employee provided the tipped information.
The indictment describes how Kamujula obtained and used insider information in the Spring of 2020 for his own gain. According to the indictment, beginning April of 2020, Insider One provided Kamujula with confidential nonpublic information regarding Twilio's financial results before those results were publicly disclosed. Around this time, Twilio accounting employees were in the process of determining the financial results of the company during that quarter, including the preparation of the SEC Form 10-Q that would be filed with the SEC and contain the financial reports for the quarter. The indictment alleges that between April 9, 2020, and May 6, 2020, Kamujula purchased approximately 257 call options for a total cost of approximately $133,333. Then, on May 6, 2020, Twilio announced its quarterly earnings, and in that press release Twilio reported earnings of $0.06 per share, a profit that exceeded the Wall Street analyst consensus estimate of earnings. On May 7, 2020, the day after the financial results were reported, Twilio's stock price increased by nearly 40 percent. The indictment alleges that after the announcement, on or about May 7 and May 8, 2020, Kamujula sold all 257 Twilio call options he had acquired in the preceding four weeks for a total profit of approximately $961,662.
Kamujula is charged with two counts, and a forfeiture allegation. The first count charges a violation of 18 U.S.C. §§ 1348 and 2, and the second count charges a violation of 15 U.S.C. §§ 78j(b) and 78ff and 17 C.F.R. §§ 240, 10b-5, and 240.10b5-1 (also referred to as Section 10(b) of the Securities Exchange Act of 1933 and Rule 10b-5 thereunder). The maximum statutory penalty for a violation of 18 U.S.C. § 1348 is 25 years in prison and a $250,000 fine (or twice the gross gain made from the offense). The maximum statutory penalty for a violation of 15 U.S.C. §§ 78j(b) and 78ff and 17 C.F.R. §§ 240, 10b-5, and 240.10b5-1 is 20 years in prison and a $5 million fine. The court may order additional terms of supervised release, as well as additional monetary penalties and restitution. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
An indictment merely alleges that crimes have been committed, and defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Kamujula made his initial federal court appearance this morning before U.S. Magistrate Judge Donna M. Ryu and was released on secured bond. Magistrate Judge Ryu scheduled Kamujula’s next appearance for April 22, 2022, for a status conference before U.S. District Judge Jon S. Tigar.
In a separate civil action, the United States Securities and Exchange Commission filed civil charges against Kamujula, alleging he engaged in insider trading, and against five other individuals, alleging they violated securities laws in connection with trading in Twilio securities.
The case is being prosecuted by the Corporate and Securities Fraud Section of the U.S. Attorney’s Office for the Northern District of California. The prosecution is the result of an investigation by the FBI. The U.S. Attorney’s Office appreciates the assistance of the San Francisco Regional Office of the Securities and Exchange Commission and FINRA.
Dubuque Man Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
A man who illegally possessed a firearm pled guilty on March 28, 2022, in federal court in Cedar Rapids.
Edgar Martinez, Jr., age 35, from Dubuque, Iowa, was convicted of being in possession of a firearm as a person previously convicted of multiple felonies and domestic abuse, and while being an unlawful user of cocaine and marijuana.
At the plea hearing, Martinez admitted to traveling throughout Dubuque in possession of a Black Taurus G2C 9mm caliber pistol, a clear plastic bag containing cocaine, and marijuana. Martinez also admitted being prohibited from possessing a gun because he has multiple felony convictions and a conviction for domestic abuse.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Martinez remains in custody of the United States Marshal pending sentencing. Martinez faces a possible maximum sentence of not more than 10 years’ imprisonment without the possibility of parole, a fine of not more than $250,000, and up to three years of supervised release following any term of imprisonment.
The case is being prosecuted by Special Assistant United States Attorney Jason D. Norwood and was investigated by the City of Dubuque Police Department’s Drug Task Force and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 22-CR-1006.
Follow us on Twitter @USAO_NDIA.
Drug Dealer Who Attempted to Tamper with a Witness and Make “Hooch” While in Jail Sentenced to Nearly Three Decades in Federal PrisonRead the Press Release
A drug trafficker was sentenced March 25, 2022, to a total of 29 years in federal prison.
Curtis James Johnson, age 36, from Talladega, Alabama, received the prison term after a July 30, 2021 guilty plea to possession with intent to distribute a controlled substance and an August 16, 2021 guilty plea to possessing a firearm in furtherance of a drug trafficking crime.
Johnson sold methamphetamine to another individual in May 2021. Law enforcement’s subsequent searches of two homes led to the discovery of methamphetamine and a loaded firearm at a relative’s residence and a loaded firearm at another residence associated with Johnson. This all occurred in the Cedar Rapids, Iowa, area. Johnson was arrested after the searches.
Following his arrest, Johnson called his mother using another inmate’s phone account in the jail and discussed paying a witness to not attend Johnson’s upcoming trial. Prior to the current conduct, Johnson had amassed a lengthy criminal history, including convictions for battery causing bodily injury and assault causing bodily injury. Johnson was also previously convicted of burglary and felony drug trafficking offenses. Evidence at sentencing showed Johnson was also involved in making “hooch” while in jail.
Johnson was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Johnson was sentenced to 288 months’ imprisonment for the drug count and 60 months for the firearm count for a total of 348 months’ imprisonment. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
Johnson is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and investigated by the Cedar Rapids Police Department and the Drug Enforcement Administration.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-cr-28.
Follow us on Twitter @USAO_NDIA.
Driver Who Led Officers on High-Speed Chase Charged with Meth Trafficking, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – A man who led police officers on a high-speed chase in a stolen car driving the wrong way on Interstate 70 was charged in federal court today with illegally possessing several firearms and more than two kilograms of methamphetamine.
Davon R. Williams, 28, was charged in a criminal complaint filed in the U.S. District Court in Kansas City, Mo., with one count of being a felon in possession of firearms, one count of possessing methamphetamine to distribute, and one count of possessing firearms in furtherance of a drug-trafficking crime.
According to an affidavit filed in support of today’s federal criminal complaint, Independence, Mo., police officers saw an orange Hyundai that had been reported as stolen parked on the west side of Hometown Studios, 14800 E. 42nd Street in Independence at approximately 10 a.m. Saturday, March 26. An officer placed a portable tire deflation device underneath the front passenger tire of the Hyundai to deflate the tire if someone attempted to leave in the vehicle. Officers kept the vehicle under surveillance until Williams got into the driver’s seat and a woman (who is not charged in this case) got into the front passenger’s seat. Williams was carrying a black zip bag and a white trash bag in one hand while shouldering a black backpack.
Police officers attempted to box in the Hyundai with their patrol cars, but Williams was able to flee from officers and circle around the parking lot, maneuvering through multiple parked vehicles as well as the police vehicles attempting to block him in. Williams made it to 42nd Street, where he began accelerating as police officers pursued him. Williams traveled to Noland Road before going onto the ramp to I-70, traveling westbound in the eastbound lanes of I-70.
Due to the substantial public safety risk by Williams entering into oncoming traffic, officers terminated their pursuit. An officer saw the Hyundai farther down the interstate, in the grass, with Williams and the woman running from the vehicle. Williams was carrying a black backpack. The woman was caught and taken into custody.
Williams was found walking westbound next to U.S. 40 Highway and began running from officers. An Independence police sergeant deployed his Taser, which struck Williams in the left elbow, and Williams continued to run and jumped the guard rail under the I-70 bridge on the south side of U.S. 40 Highway. The police sergeant jumped the guard rail and grabbed Williams, who was trying to jump back on the highway. They struggled and Williams was taken into custody.
Officers searched Williams, who had $7,581 and .9 grams of crack cocaine in his pants pockets. The backpack, which was located nearby, contained an SAR Arms 9mm firearm, 314 grams of marijuana, 92.4 grams of cocaine, 4.6 grams of powder cocaine, a plastic sandwich bag with five 30-milligram Oxycodone pills, and a sandwich bag that contained multiple sandwich bags with various pills believed to be ecstasy. On the ground next to the backpack was a loaded FNS 9mm handgun.
Officers searched the stolen Hyundai, which had severe damage, including airbag deployment. Officers found an AR-15 style rifle with no serial number in the back seat, loaded with 27 rounds of 5.56 ammunition and an additional round chambered. A black duffle bag, also in the back seat, contained a freezer bag with 1.022 kilograms of methamphetamine, a freezer bag with 1.027 kilograms of methamphetamine, a freezer bag with 111 grams of methamphetamine, a freezer bag with 170 grams of methamphetamine, and six sandwich bags that each contained between 26 and 29 grams of marijuana. A large white trash bag that contained three bags with a total of 1.238 kilograms of marijuana was also in the back seat.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Williams has two prior felony convictions for the distribution, delivery, or manufacture of a controlled substance.
The charges contained in this complaint are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Sean Foley. It was investigated by the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
District Court Orders New Jersey Company to Stop Distribution of Adulterated Pet Food Contaminated with SalmonellaRead the Press Release
A federal court today ordered a Carneys Point, New Jersey company to stop distributing adulterated pet food in violation of the Federal Food, Drug and Cosmetic Act (FDCA).
In a complaint filed March 15, the United States alleged that Bravo Packing Inc., and its owners and operators, Joseph Merola and Amanda Lloyd, violated the FDCA by distributing adulterated animal food and by causing animal food to become adulterated while held for sale. The complaint alleged that samples collected during U.S. Food and Drug Administration (FDA) inspections of the Bravo facility in July 2019 and April 2021 contained Salmonella, a pathogenic microorganism that can cause the illness known as salmonellosis in both humans and animals. Salmonella can be transferred from animal food to humans through handling of the food, or directly from infected animals to humans. Salmonellosis can cause symptoms such as diarrhea, fever and abdominal cramps that last several days in healthy adults. Absent prompt treatment, salmonellosis can cause severe dehydration and even death in infants, young children, the elderly, transplant recipients, pregnant women and individuals with weakened immune systems.
“Animal food manufacturers must ensure that their products are safe,” said Principal Deputy Assistant Attorney General Brian M. Boynton, head of the Justice Department’s Civil Division. “The department will continue to work closely with the FDA to ensure that pet food is manufactured in compliance with the law.”
“The food we give our pets should be safe for them to eat and safe for people to handle,” said Director Steven Solomon, DVM, MPH of the FDA’s Center for Veterinary Medicine. “The FDA has taken this action to protect public health because, despite multiple inspections, notifications of violations and recalls, this firm continued to operate under insanitary conditions and produce pet food contaminated with harmful bacteria. We will not tolerate firms that put people or animals at risk and will take enforcement actions when needed.”
The defendants agreed to settle the suit and be bound by a consent decree of permanent injunction. The negotiated consent decree requires, among other things, that the defendants stop receiving, processing, manufacturing, preparing, packing, holding and distributing adulterated pet food until they take specific remedial measures and demonstrate to the FDA that they will comply with federal law.
The government was represented by Trial Attorney Noah T. Katzen of the Civil Division’s Consumer Protection Branch, with the assistance of Tara Boland of the FDA’s Office of Chief Counsel. The U.S. Attorney’s Office for the District of New Jersey also provided assistance.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at http://www.justice.gov/civil/consumer-protection-branch.
Detainee Pleads Guilty to Injuring Officers in Assault at Detention CenterRead the Press Release
HONOLULU – David Akui-Cabanilla, III, 36, pleaded guilty today in federal court to two counts of assaulting a federal officer resulting in bodily injury. U.S. District Court Judge Leslie E. Kobayashi took Akui-Cabanilla’s guilty plea and scheduled sentencing for August 25, 2022.
Akui-Cabanilla admitted to assaulting multiple correctional officers on March 23, 2020, while he was a detainee at the Federal Detention Center in Honolulu. According to court documents and information presented to the court, in preparation for his attacks, Akui-Cabanilla, who was detained prior to trial on a separate federal charge for possessing a firearm as a convicted felon, fashioned two makeshift weapons. The first weapon was a long tube sock tied to the loop of a locked metal padlock. The second weapon was a “shiv” formed from a razor blade with a piece of bedsheet tied around one end, simulating a handle.
A correctional officer was stationed in the office in Akui-Cabanilla’s housing unit when Akui-Cabanilla entered the office and struck him in the head with the locked metal padlock. Akui-Cabanilla took the officer’s Bureau of Prisons-issued keys and pepper spray. He left the office and ran towards the door leading out of the housing unit.
As Akui-Cabanilla tried to unlock the door, other correctional officers opened it. Akui-Cabanilla sprayed multiple officers in the face with pepper spray. He then punched one of the correctional officers on the side of his head and face, knocking him down to the ground. The correctional officers struggled with Akui-Cabanilla before finally subduing him.
The first correctional officer was discovered unconscious on the floor of the housing unit office. He and the area around him were covered in blood. Taken by emergency medical transport to Queens Medical Center, he sustained a concussion and other serious injuries that resulted in hospitalization for five days. After that, he underwent two weeks of physical therapy before being able to return to work.
The correctional officer whom Akui-Cabanilla punched in the head also received emergency medical treatment at Queens Medical Center on March 23. He subsequently underwent months of periodic physical therapy for his injuries.
Each count of assaulting a federal officer resulting in bodily injury provides for a sentence of up to 20 years in prison, three years of supervised release, and a fine of $250,000.
“This case illustrates the dangers correctional officers face each time they report for duty,” said United States Attorney Clare E. Connors. “We will investigate these types of unprovoked violent assaults against correctional officers and initiate additional prosecutions against culpable detainees.”
“The FBI will not tolerate the assault of any federal officer especially while performing their official duties,” said FBI Special Agent in Charge Steven Merrill. “The FBI is committed to holding Mr. Akui-Cabanilla accountable for such an egregious act. We thank the U.S. Attorney’s Office for the District of Hawaii for the additional prosecution.”
The investigation in the case was conducted by the Federal Bureau of Investigation. Assistant U.S. Attorney Mohammad Khatib is prosecuting the case.
Department of Justice Fiscal Year 2023 Funding RequestRead the Press Release
Today, the President submitted to Congress his Budget for Fiscal Year 2023 (FY23), which requests a total of $37.65 billion in discretionary resources for the Department of Justice, an increase of $2.63 billion over the Fiscal Year 2022 enacted level.
“The President’s Budget would enable the Justice Department to carry out our mission of upholding the rule of law, keeping our country safe, and protecting civil rights,” said Attorney General Merrick B. Garland. “We will put these resources to work to keep our country safe from threats both foreign and domestic – from terrorism and gun violence to cybercrime and corporate crime. At the same time, we will step up our efforts to protect civil rights by combating hate crimes, safeguarding fair elections, and strengthening trust and accountability in law enforcement. This Budget would also allow us to reinvigorate antitrust enforcement and ensure the just administration of our nation’s immigration courts and correctional systems. We look forward to working with Congress to secure this Budget’s timely passage.”
Key resource requests for the Department of Justice include:
- A total of more than $20 billion to expand the capacity of the Department’s law enforcement components and U.S. Attorneys’ Offices to keep our country safe from a wide range of complex and evolving threats. Key investments to keep our country safe include:
- $10.80 billion for the FBI and $2.77 billion for the U.S. Attorneys’ Offices to carry out their complex mission sets, including by keeping our country safe from violent crime, cybercrime, hate crimes, terrorism, espionage, and the proliferation and potential use of weapons of mass destruction.
- $2.52 billion for the Drug Enforcement Administration (DEA) to continue the fight against dangerous drug trafficking gangs and cartels and to prevent the flow of deadly drugs into our communities.
- $1.81 billion for the U.S. Marshals Service (USMS) to assist local law enforcement in apprehending violent fugitives from our neighborhoods and to protect our nation’s judges and courts.
- $1.73 billion for the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) to expand multijurisdictional gun trafficking strike forces with additional personnel, enhance the National Integrated Ballistic Information Network, and modernize the National Tracing Center to further build ATF’s capacity to fulfill trace requests from local, state, federal, and international law enforcement agencies.
- Funding to expand the Justice Department’s efforts to protect children from crime and exploitation; fight elder fraud, abuse, and neglect; combat human trafficking; and promote safety and justice in Indian Country.
- Significant investments in grants for state and local law enforcement partners nationwide dedicated to funding the police, preventing crime, and accelerating criminal justice system reform, including:
- A total of $6.24 billion in discretionary and mandatory resources in FY23 for the Office of Justice Programs to support critical longstanding Justice Department grant programs – including Byrne Justice Assistant Grants, Project Safe Neighborhoods, and programs that serve victims of crime – as well as new programs that will provide state, local, and Tribal governments with additional resources to prevent crime, reduce gun violence, and accelerate criminal justice system reform.
- A total of $2.83 billion in discretionary and mandatory resources in FY23 for the Community Oriented Policing Service (COPS Office) to support the hiring of police and sworn law enforcement personnel nationwide and the implementation of community-based strategies to combat violent crime.
- $1 billion for the Office on Violence Against Women to support longstanding Violence Against Women Act (VAWA) programs, including programs that provide critical resources to all states and territories to fund police, prosecutors, courts and victim services as well as resources to provide legal assistance for victims, transitional housing, and homicide and domestic violence reduction initiatives.
- The President is proposing a total of $30 billion in new mandatory resources to support law enforcement, crime prevention, community violence intervention, and justice system reform. More details will be provided on this mandatory funding in the coming weeks.
- Critical investments to support the Justice Department’s mission of protecting civil rights, including:
- Robust support for the Justice Department’s core civil rights components: $215.2 million for the Civil Rights Division to expand its efforts to deter and prosecute hate crimes; safeguard fair elections; and combat discrimination; $25 million for the Community Relations Service to provide mediation and conciliation services to communities impacted by conflict; an additional $17.8 million for the FBI and an additional $8.2 million for the U.S. Attorneys to bolster their civil rights work; and $10 million for the Office for Access to Justice.
- $106.3 million in new funding to strengthen trust and accountability in law enforcement by expanding, formalizing, and managing Body Worn Camera programs for the FBI, DEA, USMS, and ATF.
- $7.9 million in new funding for the Environment and Natural Resources Division’s efforts to advance environmental justice and combat the climate crisis.
- Critical investments in the Antitrust Division, the Consumer Protection Branch, the FBI, U.S. Attorneys’ Offices, and the Criminal Division to promote economic competition; prevent the theft of intellectual property; deter and prosecute corporate crime; protect the government against fraud; and combat corruption. Among other investments, the President’s budget would provide a total of $273 million for the Antitrust Division to reinvigorate antitrust enforcement and protect consumers.
- Resources to ensure the just administration of our nation’s immigration courts and correctional system, including:
- $1.35 billion for the Executive Office for Immigration Review (EOIR) to reduce the backlog of immigration cases, including by supporting 100 new immigration judges, expanding EOIR’s virtual court initiative, and investing new resources in legal access programming.
- $8.18 billion for the Federal Bureau of Prisons (BOP) to ensure the health, safety, and wellbeing of incarcerated individuals and correctional staff; fully implement the First Step Act and ease carriers to successful reentry; and ensure transparency, accountability, and effective oversight of all federal prisons and detention centers.
- A total of more than $20 billion to expand the capacity of the Department’s law enforcement components and U.S. Attorneys’ Offices to keep our country safe from a wide range of complex and evolving threats. Key investments to keep our country safe include:
DEA Agrees to Assist in Testing of Suspected Narcotics in Cases Being Prosecuted in D.C. Superior CourtRead the Press Release
WASHINGTON – The U.S. Drug Enforcement Administration (DEA) will perform drug testing at its laboratories on evidence submitted by prosecutors in District of Columbia cases under a new agreement with the U.S. Attorney’s Office for the District of Columbia, announced U.S. Attorney Matthew M. Graves.
The DEA will perform the testing under a one-year agreement with the U.S. Attorney’s Office following the loss of accreditation last year of the District of Columbia Department of Forensic Sciences (DFS), which had been doing the analysis since 2018. In addition to handling new cases, the DEA will test suspected narcotics in dozens of cases that are now pending in the Superior Court of the District of Columbia.
“Fentanyl and other dangerous narcotics are leading to hospitalizations and deaths in neighborhoods throughout our community,” said U.S. Attorney Graves. “We are committed to working with our law enforcement partners to act against those who distribute and sell these drugs. We are especially grateful to DEA Administrator Anne Milgram and the DEA for this significant support. The DEA’s agreement to test suspected narcotics will enable us to prosecute cases more effectively and efficiently and to achieve justice for those accused of drug offenses.”
The DEA worked with the U.S. Attorney’s Office and handled drug analysis for Superior Court cases until 2018, when the testing was shifted to DFS. On May 2, 2021, the ANSI National Accreditation Board withdrew its accreditation of DFS for all forensic evidence disciplines, creating a gap in the testing of suspected narcotics that the DEA’s laboratories now will fill.
Convicted Terrorist Sentenced to over 15 Years in Federal Prison for Selling Pounds of Methamphetamine While on Supervised ReleaseRead the Press Release
SANTA ANA, California – An Orange County man was sentenced today to 188 months in federal prison for selling nearly four pounds of methamphetamine while he was on supervised release following a 2009 terrorism conviction.
Ahmed Binyamin Alasiri, 45, a.k.a. Kevin Lamar James, of Garden Grove, was sentenced by United States District Judge Cormac J. Carney. Judge Carney also sentenced Alasiri to 24 months in federal prison for violating the terms of his supervised release, a sentence that will run concurrently to Alasiri’s 188-month term.
Alasiri pleaded guilty in October 2021 to one count of distribution of methamphetamine.
About one year after being released from prison and while serving a term of federal supervised release, Alasiri sold methamphetamine to a buyer on three occasions.
“[Alasiri] was industrious and obtained legitimate full-time employment, yet he did not hesitate to traffic in drugs to earn income,” prosecutors argued in a sentencing memorandum. “He valued his personal short-term goals over respect for the law, the societal and individual damage caused by narcotics, and the risk of arrest for drug trafficking.”
On July 24, 2020, Alasiri sold the buyer 430 grams of pure methamphetamine in exchange for $3,700. On August 6, 2020, Alasiri exchanged 435 grams of pure methamphetamine to the buyer for $3,700. On August 20, 2020, Alasiri distributed 877 grams of pure methamphetamine to the buyer in exchange for $7,400.
The total weight of the methamphetamine was approximately 1.7 kilograms (3.8 pounds).
Alasiri admitted in his plea agreement that he – not the buyer – first raised the topic of selling drugs, and that he had “family members who were drug traffickers and that he himself sold drugs to customers.”
Alasiri is on supervised release after completing a 16-year federal prison sentence for conspiring to levy war against the United States through terrorism. Alasiri’s co-conspirators committed numerous armed robberies of gas stations to raise money for attacks Alasari planned on U.S. military operations and Israeli and Jewish facilities in Southern California. Alasiri completed his prison sentence in September 2019.
This case was investigated by the FBI’s Joint Terrorism Task Force (JTTF) in Orange County, with assistance from the following JTTF agencies and other partners: the Los Angeles Police Department, the Los Angeles County Sheriff’s Department, the United States Probation Office, the Federal Bureau of Prisons, the California Department of Corrections and Rehabilitation, the Garden Grove Police Department, the Drug Enforcement Administration, the Orange County Sheriff’s Department, the California Highway Patrol, the United States Department of Defense, and the Orange County Intelligence Assessment Center.
Assistant United States Attorney Dennise D. Willett of the Terrorism and Export Crimes Section prosecuted this case.
Columbia County Woman Indicted on Tax Evasion, Bank Fraud, and Aggravated Identity Theft ChargesRead the Press Release
WILLIAMSPORT -The United States Attorney’s Office for the Middle District of Pennsylvania announced that on March 24, 2022, Linda Tarlecki, age 60, of Aristes, Pennsylvania, was indicted by a federal grand jury on charges of tax evasion, bank fraud, and aggravated identity theft.
According to United States Attorney John C. Gurganus, the indictment alleges that from 2013 through 2017 while she was as an employee and Township Supervisor of Conyngham Township, Tarlecki embezzled approximately $160,000 of township funds. The embezzlement was accomplished in part by Tarlecki writing unauthorized checks to herself from the township’s bank account and forging the signatures of other township supervisors on these checks. Tarlecki then failed to report the embezzled funds as income on her income tax returns.
The case was investigated by the Internal Revenue Service and the Pennsylvania State Police. Assistant U.S. Attorney Geoffrey W. MacArthur is prosecuting the case.
If convicted, the maximum penalty under federal law for each tax count is 5 years of imprisonment, a term of supervised release following imprisonment, and a fine. The maximum penalty for bank fraud is 30 years of imprisonment. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
# # #
Coachella Valley Drug Dealer Sentenced to Almost 22 Years in Federal Prison for Distributing MethamphetamineRead the Press Release
LOS ANGELES – A Palm Springs man with a long criminal record and who previously claimed to have led a Coachella Valley street gang was sentenced today to 260 months in federal prison after admitting he sold distribution quantities of methamphetamine on five occasions.
Efrain Chavez, 37, whose street moniker is “Chino,” was sentenced by United States District Judge Dale S. Fischer. Chavez pleaded guilty in November to five counts of distributing methamphetamine.
When he pleaded guilty, Chavez admitted selling a total of 2.88 kilograms (about 6.3 pounds) of methamphetamine during five transactions in 2019. The sales took place in parking lots in Cathedral City, Palm Springs, and Colton.
When he was arrested in this case in November 2019, Chavez was in possession of another 2.2 kilograms (nearly 5 pounds) of methamphetamine.
Chavez has a criminal history that goes back 19 years and includes five prior felony convictions, prosecutors said in a sentencing memorandum that noted at one time Chavez was the “self-proclaimed leader of the Barrio San Rafael street gang.”
Chavez conducted the methamphetamine sales while on probation for being a convicted felon in possession of a firearm.
“Earlier sentences have not deterred [Chavez] from becoming a career offender, including multiple two-year sentences and a five-year sentence,” according to the sentencing memo. “Even being on supervision did not stop defendant from committing five felonies here.”
Once he completes the prison sentenced, Chavez will be on supervised release for an additional 10 years.
Homeland Security Investigations led the investigation into Chavez under the umbrella of the Riverside County Gang Impact Team, which also includes representatives of the Palm Springs Police Department.
Assistant United States Attorney Eli A. Alcaraz of the Riverside Branch Office prosecuted this matter.
Chief Financial Officer of Connecticut Insurance Firm Sentenced in $33 Million Scheme to Steal Client Healthcare Funds and Defraud Multiple LendersRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that ERIN VERESPY was sentenced to 66 months in prison for her participation in a widespread, $33 million scheme to misappropriate client healthcare funds and defraud multiple lenders through her role as the Chief Financial Officer of Employee Benefit Solutions LLC (“EBS”), an insurance firm located in Wilton, Connecticut. VERESPY previously pled guilty before U.S. District Judge Cathy Seibel, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “For nearly two years, Erin Verespy helped manage a sophisticated, widespread scheme to steal millions of dollars of client healthcare funds, including with false and inflated invoices. As part of that scheme, Verespy also defrauded lenders out of millions. In doing so, she abused a position of trust as a fiduciary of client money that was meant to pay for important healthcare expenses. Thanks to the coordinated and tireless efforts of our law enforcement partners to untangle this fraud, Verespy will now serve a significant sentence in federal prison.”
According to the Information, the Complaint, other court filings, and statements made during court proceedings:
From at least July 2017 and continuing through 2019, ERIN VERESPY served as the CFO of EBS, which offered a variety of healthcare insurance-related services to clients. EBS, among other things, provided third party healthcare claims administration (“TPA”) services to clients that elected to “self-fund” (or self-insure) their employee healthcare plans. As a TPA, EBS would purportedly administer, process, and pay healthcare claims for its clients’ employees in exchange for an administrative fee.
Between at least 2015 and continuing through 2019, EBS represented an automobile dealership chain (“Company-1”) headquartered in Westchester County, New York. During this time period, EBS served as a TPA for Company-1’s self-funded employee healthcare program and purported to process and pay claims to medical providers that treated Company-1’s employees. To do this, EBS generated bimonthly “check register” invoices for Company-1 that listed all employee healthcare expenses from healthcare providers during that two-week period. EBS also administered a bank account on Company-1’s behalf for the express purpose of paying Company-1 healthcare claims. Company-1 would fund each check register by paying the invoiced amount, expecting that EBS would promptly pay the claims to the healthcare providers. During this time period, Company-1 transferred approximately $26 million to EBS for the payment of healthcare claims.
In reality, a significant amount of purported checks listed on the EBS “check register” invoices were never actually deposited by the healthcare providers. Instead, approximately $17.87 million in Company-1 healthcare payments were misappropriated, with the overwhelming majority simply transferred by EBS into its own operating account, where they were used for non-healthcare expenses by the managers and owners of EBS. For example, a review of bank records indicates that Company-1 healthcare funds were used by VERESPY’s co-conspirators to pay their home mortgage expenses, as well as a personal credit card account with expenses relating to boating, luxury cars, and golf. VERESPY personally made over one million dollars from her participation in the fraudulent scheme.
EBS, through VERESPY and her co-conspirators, made decisions on what few Company-1 healthcare claims they did pay based on which healthcare providers were likely to complain if they did not receive payment, or if the claims were connected to Company-1 executives. VERESPY, for example, discussed the timing of payments for Company-1 “VIPs” as well as a “Not VIP” claim that was nonetheless the subject of complaining phone calls.
The “check registers” sent to Company-1 also contained millions of dollars in fraudulent or inflated healthcare claims that were eventually paid by Company-1. EBS routinely inflated the Company-1 check registers at the direction of VERESPY and her co-conspirators. Such efforts were typically accomplished through VERESPY and her co-conspirators instructing others to manually create fraudulent entries in the EBS claims processing software, including fake claims under the name of a business controlled by VERESPY’s co-conspirators. VERESPY and her co-conspirators also took steps to conceal their fraud from Company-1 by creating and sending manipulated and fabricated bank statements and checks to create the appearance that healthcare claims were being paid by EBS, when in reality they were not.
By mid-2017, as EBS buckled under mounting outstanding fiduciary obligations, VERESPY and her co-conspirators began an elaborate effort to conceal and perpetuate the ongoing fraud on Company-1 by applying for multiple fraudulent bank loans and merchant cash advances designed in part to pay various fiduciary obligations that EBS owed to Company-1. VERESPY and her co-conspirators fraudulently applied for and received millions of dollars in loans under the auspices of financing the purchase of upgraded billing software for EBS, which included VERESPY and her co-conspirators submitting fabricated invoices from a fake company that supposedly sold the billing software.
In addition to the prison term, ERIN VERESPY, 50, of Trumbull, Connecticut, was sentenced to 5 years of supervised release. The Court also ordered VERESPY to pay $16,053,508.19 in restitution and forfeit $1,066,038.02. On April 14, 2021, VERESPY pled guilty to one count of conspiracy to commit wire fraud and bank fraud, in violation of Title 18, United States Code, Section 1349.
Mr. Williams praised the outstanding investigative work of the U.S. Postal Inspection Service and the Special Agents of the United States Attorney’s Office. Mr. Williams also thanked the U.S. Department of Labor, Employee Benefits Security Administration; the U.S. Department of Labor, Office of Inspector General; and the United States Secret Service, which are assisting in the investigation, as well as the U.S. Attorney’s Office for the District of Connecticut.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney Nicholas S. Bradley is in charge of the prosecution.
Chicago, Illinois, Man Sentenced to 121 Months in Prison for Possession with Intent to Distribute MethamphetamineRead the Press Release
ROCK ISLAND, Ill. – A Chicago, Illinois, man, Corey Deandre Jamison, 24, of the 9600 block of South Yates Blvd., was sentenced on March 25, 2022, to 121 months in prison for possession with intent to distribute methamphetamine. Jamison was also sentenced to four years of supervised release.
The government stated at Jamison’s sentencing that authorities began investigating the distribution of methamphetamine in the Galesburg and Macomb, Illinois, areas in fall 2020. Law enforcement agents determined that Jamison was a source of the methamphetamine being distributed.
Also at the sentencing hearing, the district court held Jamison accountable for the distribution of at least one pound of methamphetamine over a four-month period, finding that the evidence showed that Jamison utilized at least two other drug dealers to sell some of the methamphetamine for him.
Jamison pleaded guilty to the possession with intent to distribute methamphetamine charge in December 2021.
The statutory penalty for the offense is between five and 40 years of imprisonment.
The investigation was conducted by the Galesburg Police Department, the Macomb Police Department, and the Federal Bureau of Investigation. Assistant U.S. Attorney John Mehochko represented the federal government in the prosecution.
Chicago Man Sentenced to Prison for Violent CarjackingRead the Press Release
ST. PAUL, Minn. – A Chicago man has been sentenced to 52 months in prison followed by three years of supervised release for aiding and abetting a carjacking in downtown Minneapolis. Acting U.S. Attorney Charles J. Kovats made the announcement after U.S. District Judge Susan Richard Nelson sentenced the defendant.
According to court documents, on June 1, 2020, officers with the Minneapolis Police Department responded to a report of a carjacking in the downtown area. A witness told officers that two men, one later identified as Delaney Nicholas Harris, 21, the second an unidentified accomplice, approached a man who was exiting his vehicle, and threw him to the ground. One of the men displayed a gun, threatened to kill the victim, and demanded his car keys. The witness also told officers that Harris had been holding a red plastic cup just prior to the incident. Officers recovered the cup and later found that the fingerprints and DNA on the cup were a match for Harris.
Harris also entered his guilty plea on March 25, 2022, to a single count of aiding and abetting carjacking.
This case is the result of an investigation conducted by the FBI and the Minneapolis Police Department.
Assistant U.S. Attorney David P. Steinkamp prosecuted the case.
Career Criminal Sentenced to More Than 21 Years in Prison for Possessing AmmunitionRead the Press Release
Tampa, Florida – U.S. District Judge William F. Jung has sentenced Victor Ricardo Grant (40, Brandon) to 21 years and 10 months in federal prison for possessing ammunition as convicted felon. A federal jury had found Grant, who is a career criminal under the Armed Career Criminal Act, guilty on December 15, 2021.
According to court records and testimony presented at trial, the FBI obtained a search warrant for Grant’s residence as part of an investigation into a series of credit union robberies and carjackings that had been committed in Hillsborough and Pinellas Counties in 2019. Investigators found approximately 400 rounds of 7.62 caliber ammunition inside backpacks kept in Grant’s bedroom closet and in the attic of his home. Ammunition drum magazines and loaded magazine clips for an AK-47 rifle were also found in the backpack hidden in the attic. Grant, having previously been convicted of several felony offenses, is prohibited from possessing a firearm or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Hillsborough County Sheriff’s Office, the Florida Department of Law Enforcement, the Pinellas County Sheriff’s Office, the Pinellas Park Police Department, the St. Petersburg Police Department, and the Clearwater Police Department. It was prosecuted by Assistant United States Attorneys Michael Sinacore and Diego Novaes.
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.
Berkeley County woman sentenced for drug chargesRead the Press Release
MARTINSBURG, WEST VIRGINIA – Kristina Gilmore, of Martinsburg, West Virginia, was sentenced today to four years of probation for drug charges, United States Attorney William Ihlenfeld announced.
Gilmore, also known as “Diamond,” 26, pled guilty in December 2020 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Heroin, Fentanyl, and Cocaine Base” and one count of “Aiding and Abetting Distribution of Heroin and Fentanyl Mixture.” Gilmore admitted to working with others to distribute heroin, fentanyl, and cocaine base in February 2020 in Berkeley County and elsewhere.
Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The Bureau for Alcohol, Tobacco, Firearms & Explosives and the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
These charges are the result of investigations supported by the Organized Crime Drug Enforcement Task Force (OCDETF) under the Attorney General-led Synthetic Opioid Surge (SOS)/Special Operations Division (SOD) Project Clean Sweep. This initiative seeks to reduce the supply of synthetic opioids in “hot spot” areas previously identified by the Attorney General of the United States, thereby reducing drug overdoses and drug overdose deaths, and identify wholesale distribution networks and sources of supply operating nationally and internationally.
OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
U.S. District Judge Gina M. Groh presided.
Assault with a bat sends Wolf Point man to prison for 54 monthsRead the Press Release
GREAT FALLS — A Fort Peck Indian Reservation man who admitted to aiding in attacking a man in the head with a bat was sentenced today to 54 months in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.
Rick John Morales, Jr., 32, who resides in both Wolf Point and Poplar, pleaded guilty in November 2021 to assault resulting in serious bodily injury, aiding and abetting.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris also ordered $13,505 restitution to be joint and several with the codefendant.
In court documents filed in the case, the government alleged that Morales aided and abetted codefendant Harry B. Azure in assaulting the victim, identified as John Doe, on Nov. 19, 2019, in Wolf Point. John Doe called 911 for medical assistance and told a responding tribal officer that three individuals kicked in the door to his residence, struck him multiple times in the head with a small baseball bat and left. Doe ultimately was flown to a Billings hospital where staff determined the victim had a severe traumatic brain injury. The victim later told law enforcement that the assault occurred days after an incident involving Morales. Azure was sentenced previously to 32 months in prison for conviction in the case.
The U.S. Attorney’s Office, including Assistant U.S. Attorney Wendy Johnson, prosecuted the case, which was investigated by the FBI and Fort Peck Tribal Police.
XXX
Armed Drug Trafficker Sentenced to Three Years in PrisonRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Ramzi Kori, 21, of Burlington, Vermont, was sentenced today to serve three years in prison after his convictions for possession with intent to distribute heroin and for being a felon in possession of a firearm. United States District Judge Christina Reiss also ordered Kori to serve a three-year term of supervised release after his incarceration. Kori may face additional incarceration for a probation violation that is pending in Saratoga County, New York.
According to court records, on July 6, 2021, law enforcement conducted a traffic stop on a Land Rover, seeking to arrest the registered owner of the vehicle who had an outstanding federal arrest warrant. Kori was determined to be the sole occupant of the vehicle. A Burlington Police K-9 alerted to the vehicle, resulting in a search of the Land Rover. In bags located on the front passenger seat, agents found 6,850 bags of fentanyl-laced heroin, a loaded 9 mm Sig Sauer handgun, and $2,500 cash. An examination of Kori’s finances determined that at the time of his arrest, Kori had over $50,000 in various financial accounts. Government witnesses reported that Kori had been dealing heroin in the Burlington area since 2020.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of the Drug Enforcement Administration and the Burlington Police Department, as well as the assistance of the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Assistant United States Attorney Jonathan A. Ophardt handled the prosecution. Kori was represented by Brooks McArthur, Esq.
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 works 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. For more information, please visit https://www.justice.gov/psn
Anchorage Child Sex Offender Sentenced to 27.5 Years in PrisonRead the Press Release
ANCHORAGE – An Anchorage man was sentenced today to 27.5 years in prison followed by a lifetime of supervised release in front of U.S. District Judge Joshua M. Kindred after pleading guilty to two counts of online enticement or coercion in relation involving two victims. He also admitted to relevant conduct involving sex trafficking of a juvenile and the production of child pornography involving three total juvenile victims in Anchorage.
According to court documents, Alex Asino, 34, was indicted in November 2019 on counts involving child sex trafficking, production and distribution of child pornography and coercion and enticement of a minor.
Asino’s conduct came to the attention of the FBI in November 2019. During online communications, Asino told an undercover law enforcement officer he had a sexual relationship with a 15-year-old female that he met through a social media application. During his communications with the undercover officer, Asino sent images of the 15-year-old victim’s body and face and then directed the officer to a website where Asino had posted sexually explicit images of the victim. Additionally, Asino provided pornographic photos of a third minor victim to the officer along with how much he had paid her to have sex with him.
Asino preyed on his minor victims through online social media applications, such as but not limited to Snapchat, Tagged and Whisper and would meet minor females through pay dating websites. Asino distributed meth, cash, food, gifts and cab fares to minors in exchange for sexual favors. He also posted images of child pornography and personal videos of sexual acts with minors on pornographic websites.
In September 2018, Asino was charged by the State of Alaska for delivering a controlled substance to a minor, sexual abuse of a minor and possession of child pornography. He was subsequently released on bail and placed under house arrest. While on house arrest, Asino continued to engage in the sexual exploitation of at least two additional minor victims.
“The real tragedy in cases like this one is the incalculable damage experienced by the minor victims,” said U.S. Attorney John E. Kuhn, Jr., District of Alaska. “While nothing can erase that harm, this lengthy sentence ensures that vulnerable girls in our community will be protected from Asino’s predations for many years.”
“The defendant’s disturbing pattern of committing sexual exploitation crimes against child victims is abhorrent,” said Special Agent in Charge Antony Jung of the FBI Anchorage Field Office. “The FBI is committed to working alongside federal, state, and local partners to identify, and hold accountable, those who abuse and exploit children in Alaska.”
The Federal Bureau of Investigation (FBI) and Anchorage Police Department (APD) investigated the case as part of the FBI’s Child Exploitation and Human Trafficking Task Force.
Assistant U.S. Attorney Adam Alexander prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices, Project Safe Childhood combines federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
###
Albuquerque man appears in court following arrest for a string of bank robberiesRead the Press Release
ALBUQUERQUE, N.M. – Jason Smeltzer, 40, of Albuquerque, appeared in federal court on March 25 for a preliminary and detention hearing where he was charged with robbing four local banks. Smeltzer will be conditionally released to La Pasada Halfway House pending trial, which has not been scheduled.
According to a criminal complaint, from Jan. 20 to Feb. 23, Smeltzer allegedly robbed four Albuquerque banks, one of which was robbed twice for a total of five robberies. Each time, Smeltzer allegedly entered the bank and presented a similar demand note to a teller. Once the tellers complied, Smeltzer allegedly fled on foot. Following the fourth robbery, the teller allegedly observed Smeltzer entering a vehicle parked nearby.
On Jan. 21, the FBI received a tip through the National Threat Operation Center identifying Smeltzer as a possible suspect. On Feb. 23, robbery detectives from the Albuquerque Police Department initiated a traffic stop of Smeltzer’s vehicle and FBI agents responded to the scene. Smeltzer was taken into custody.
“Bank robbery is one of several crimes that will place you in the path of our federal task force officers and eventually in federal court,” said Fred J. Federici, United States Attorney for the District of New Mexico. “We are all affected by these crimes, and the U.S. Attorney’s Office is prepared to aggressively prosecute.”
“The FBI has been catching bank robbers for almost a century, and we bring that extensive experience to bear on every one of these crimes we investigate,” said Special Agent in Charge Raul Bujanda of the FBI Albuquerque Field Office. “Be assured that if you rob a bank in New Mexico, the FBI, U.S. Attorney's Office, and our law enforcement partners will spare no resource in bringing you to justice. We want to thank the public for their help, which should make anyone think twice before committing this type of crime.”
A complaint is only an allegation. A defendant is considered innocent unless and until proven guilty. If convicted, Smeltzer faces up to 20 years in prison.
The FBI Albuquerque Violent Crimes and Gangs Task Force investigated this case. Assistant United States Attorney Presiliano Torrez is prosecuting the case.
# # #
27 March 2022
Oglala Man Indicted for Failure to Register as a Sex OffenderRead the Press Release
United States Attorney Dennis R. Holmes announced that an Oglala, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Aric Singing Goose, a/k/a Eric Sharpfish, age 34, was indicted on March 8, 2022. He appeared before U.S. Magistrate Judge Daneta L. Wollmann on March 25, 2022, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to ten years in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that Singing Goose, a person required to register as a sex offender by reason of conviction under federal law, knowingly failed to register and update his registration. The allegations include various dates beginning on or about May 27, 2021, and ending on or about December 1, 2021, while living in the District of South Dakota.
The charges are merely accusations and Singing Goose is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Abby Roesler is prosecuting the case.
Singing Goose was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Manderson Man Pleads Not Guilty to Sexual Abuse of a MinorRead the Press Release
United States Attorney Dennis R. Holmes announced that a Manderson, South Dakota, man has been indicted by a federal grand jury for one count of Sexual Abuse and two counts of Sexual Abuse of a Minor.
John Joseph White Plume, Sr., age 50, was indicted on October 21, 2021. He appeared before U.S. Magistrate Judge Daneta Wollmann on February 23, 2022, and pleaded not guilty to the Indictment.
The maximum penalty upon conviction is lifetime imprisonment and/or a $250,000 fine, up to life of supervised release, and a $300 assessment to the Federal Crime Victims Fund. Restitution may also be ordered.
The charges relate to White Plume knowingly engaging in and attempting to engage in sexual acts with a minor female at Manderson in March 2021.
The charges are merely accusations and White Plume is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Oglala Sioux Tribe Department of Public Safety and the Federal Bureau of Investigation. Assistant U.S. Attorney Megan Poppen is prosecuting the case.
White Plume was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has been set for May 3, 2022.
26 March 2022
Former Financial Secretary-Treasurer of UAW Local 412 Pleads Guilty to Embezzling over $2 Million in Union FundsRead the Press Release
DETROIT, MI – Timothy Edmunds, the former Financial Secretary-Treasurer of Local 412 of the United Auto Workers union, pleaded guilty today to embezzling $2.2 million in union funds and to money laundering, announced U.S. Attorney Dawn N. Ison.
Joining in the announcement are Irene Lindow, Special Agent in Charge of the U.S. Department of Labor – Office of Inspector General, Josh Hauxhurst, Acting Special Agent in Charge of the Detroit, Michigan office of the Federal Bureau of Investigation, Sarah Kull, Special Agent in Charge of the Detroit, Michigan office of the Internal Revenue Service – Criminal Investigations, and Thomas Murray, District Director, U.S. Department of Labor – Office of Labor-Management Standards.
Timothy Edmunds, 54, of South Lyon, Michigan, pleaded guilty to Counts 1 and 3 of the Indictment, to the crimes of embezzling union funds and money laundering, respectively, before United States District Judge Sean Cox.
Between 2011 and 2021, Edmunds served as the Financial Secretary-Treasurer of union Local 412 of the International Union, United Automobile, Aerospace, and Agricultural Workers of America (“UAW”). UAW Local 412 is headquartered in Warren, Michigan, and it represents approximately 2,600 members employed by the automaker FCA US LLC, which is owned by Stellantis N.V. The local union’s members include many of those employed at the following Stellantis facilities located within the Detroit area: Sterling Stamping Plant, Mack Engine Plant, Warren Truck Assembly Plant, Warren Stamping Plant, and Jefferson Assembly Plant.
As an elected officer of UAW Local 412, Edmunds was responsible to hold Local 412’s money and property solely for the benefit of the organization and its members and to manage, invest, and expend the funds in accordance with the UAW constitution and Local 412 bylaws. Instead, Edmunds systematically drained the Local 412 accounts of $2.2 million by (1) using Local 412 debit cards for over $142,000 in personal purchases, (2) cashing Local 412 checks worth $170,000 into accounts he personally controlled, and (3) transferring $1.5 million from bona fide Local 412 accounts into accounts that he personally controlled. Edmunds then converted the funds for his own personal use.
To conceal his theft from other UAW officers and the Local 412 members, Edmunds created false bank statements and caused false Department of Labor (“DOL”) reports to be filed with the U.S.
DOL. Edmunds supplied the fake bank statements to international UAW auditors in an effort to conceal his embezzlement.
Evidence indicates that Edmunds used portions of the proceeds of his embezzlement to gamble extensively, to purchase firearms, and to purchase various high-end vehicles. For example, between 2018 and 2020, Edmunds used the UAW Local 412 debit card to make over $30,000 in unauthorized withdrawals at the Greektown Casino. While gambling at the Greektown Casino, records indicate that Edmunds had cash buy-ins of over $1 million, and he put over $16 million in play while gambling at the casino.
Based on his conviction for embezzling union funds, Edmunds faces a maximum of five years in prison and a fine of up to $10,000. For money laundering, Edmunds faces a maximum of ten years in prison and a fine of up to $250,000.
Under the terms of the parties’ Rule 11 Plea Agreement, Edmunds faces a sentencing guideline range of between 46 to 57 months in prison. Edmunds also will owe $1.9 million in restitution to the UAW. Although Edmunds embezzled $2.2 million in UAW funds, Edmunds returned approximately $300,000 in stolen UAW funds before his crimes were discovered.
Edmunds is the seventeenth defendant convicted in connection with the ongoing criminal investigation into corruption within the UAW or relating to illegal payoffs to UAW officials by FCA executives. The following other individuals have already pleaded guilty to their participation in the scheme and have been sentenced: former UAW President Gary Jones (28 months), former FCA Vice President for Employee Relations Alphons Iacobelli (66 months), former FCA Financial Analyst Jerome Durden (15 months), former Director of FCA’s Employee Relations Department Michael Brown (12 months), former senior UAW officials Virdell King (60 days), Keith Mickens (12 months), Nancy A. Johnson (12 months), Monica Morgan, the widow of UAW Vice President General Holiefield (18 months), former UAW Vice President Norwood Jewell (15 months), former senior UAW official Michael Grimes (28 months), former UAW Midwest CAP President Edward “Nick” Robinson (12 months), former UAW Vice President Joseph Ashton (30 months), former UAW President Dennis Williams (21 months) and former UAW Region 5 Director UAW Board member Vance Pearson (12 months). The company, FCA US LLC, now known as Stellantis, pleaded guilty in January 2021 to conspiring to violate the Taft-Hartley Act, and was ordered to pay a fine of $30 million and be subject to an outside Monitor for three years. Former senior UAW official Jeffrey Pietrzyk passed away before being sentenced.
In December 2020, the United States filed a civil lawsuit against the International UAW under the Anti-Fraud Injunction Act based on the criminal investigation of the UAW, FCA US LLC, and FCA’s executives. Subsequently, the United States and the International UAW entered into a Consent Decree to settle the lawsuit that was approved by the U.S. District Court. The Court has appointed attorney Neil Barofsky to serve as the Independent Monitor of the UAW for six years. The Monitor is tasked with providing federal oversight of the UAW concerning fraud, corruption, and misconduct within the UAW.
U.S. Attorney Dawn Ison commended the outstanding work of the Internal Revenue Service – Criminal Investigations, the U.S. Department of Labor – Office of Labor-Management Standards and Office of Inspector General, and the Federal Bureau of Investigation in conducting a comprehensive criminal investigation into labor corruption activities involving a vital sector of the local and national economy.
“The hard-working men and women of the UAW deserve leaders dedicated to serving the best interests of the membership,” said United States Attorney Dawn N. Ison. “Today’s conviction demonstrates our zealous pursuit of those who would seek to take advantage of their positions of trust within the UAW to steal and defraud union members.”
"Timothy Edmunds engaged in a multifaceted scheme to embezzle funds from UAW Local 412 and conceal his crimes from the union's membership. He embezzled approximately $2 million to personally enrich himself at the expense of dues-paying UAW 412 members. We will continue to work with our law enforcement partners to protect the financial integrity of labor organizations,” stated Irene Lindow, Special Agent-in-Charge, Chicago Region, U.S. Department of Labor Office of Inspector General.
“By stealing money from the union, Tim Edmunds betrayed the UAW members who elected him to serve on their behalf," said Josh Hauxhurst, Acting Special Agent in Charge of the FBI's Detroit Field Office. “The FBI will continue to work with our federal partners to root out corruption from the UAW and other labor unions.”
“Mr. Edmunds is yet another example of a UAW official enriching himself at the expense of the UAW membership. IRS Criminal Investigation will continue working with our law enforcement partners to vigorously investigate allegations of fraud involving UAW officials.” said Special Agent in Charge Sarah Kull, Internal Revenue Service – Criminal Investigation, Detroit Field Office.
The case is being prosecuted by Assistant U.S. Attorney David A. Gardey.An Inkster Resident Charged with Bank RobberyRead the Press Release
DETROIT, MI – An Inkster resident appeared in federal court this afternoon in Detroit on charges stemming from a bank robbery in Dearborn, Michigan, announced United States Attorney Dawn N. Ison.
Joining United States Attorney Dawn Ison in the announcement is Acting Special Agent in Charge Josh Hauxhurst, Federal Bureau of Investigation, Detroit Division and Issa Shahin, Chief, Dearborn Police Department.
Appearing was Charles William Woolery, age 52.
According to court records, on March 2, 2022, at approximately 3:04 p.m., Woolery, wearing a tan Carhartt suit, black beanie hat, and a black facemask, entered the Dearborn Federal Savings Bank, located at 22315 Michigan Avenue in Dearborn, approached a victim teller, handed her a note and gestured to his hip as if he had a weapon. The note demanded the teller to “smile” and put money in a bag or Woolery would “kill everyone.” The teller, fearing for her safety, placed $1,690 in a black bag and handed it to Woolery. Woolery then fled the bank on foot and was later arrested by Dearborn police officers, without incident, in a Port-a-John located in the parking lot of the Hampton Inn on Michigan Avenue. Officers found the $1,690 in the front of a Lions’ hoodie that Woolery was wearing. Officers also found the black beanie hat, black facemask, the robbery note, a full tan Carhartt style suit, and tan gloves like those used in the bank robbery in the Port-a-John where Woolery was found hiding.
A criminal complaint is merely an allegation, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law. Trial cannot be held on felony charges in a complaint. When the investigation is completed, determinations will be made whether to seek a felony indictment.
If convicted, Woolery faces a statutory maximum penalty of 20 years in prison for bank robbery. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case is being investigated by special agents of the FBI along with the assistance of the Dearborn Police Department. Assistant U.S. Attorney Rosemary Gardey is prosecuting the case.
25 March 2022
Winooski Woman Charged with Distribution of MethamphetamineRead the Press Release
The Office of the United States Attorney for the District of Vermont announced today that Julie Overfield, 62, of Winooski, Vermont was arrested Wednesday during the execution of a search warrant at her residence. Overfield was charged by criminal complaint with Distribution of Methamphetamine. Overfield is scheduled to appear on Monday before United States Magistrate Judge Kevin J. Doyle.
According to court records, law enforcement used a confidential source to purchase methamphetamine from Overfield in early March. A federal search warrant was granted to search Overfield’s apartment, from which law enforcement seized approximately 27 grams of suspected cocaine base, 64 grams of suspected cocaine, and 15 grams of suspected methamphetamine. Officers also located multiple digital scales and packaging materials.
The United States Attorney’s Office emphasizes that a criminal complaint contains allegations only and that Overfield is presumed innocent until and unless convicted of a crime.
United States Attorney Nikolas P. Kerest commended the investigatory efforts of the Drug Enforcement Administration and the Winooski Police Department.
The prosecutor is Assistant United States Attorney Jonathan Ophardt. Overfield is represented by the Federal Public Defender.
West Plains Man Sentenced to 20 Years for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – A West Plains, Missouri, man was sentenced in federal court today for his role in a conspiracy to distribute large amounts of methamphetamine in Howell, Greene, and Texas counties.
Luis Ortiz Rodriguez, 39, was sentenced by U.S. District Judge Stephen R. Bough to 20 years and 10 months in federal prison without parole.
On Sept. 7, 2021, Rodriguez pleaded guilty to participating in a conspiracy to distribute methamphetamine in Howell, Greene, and Texas counties from Dec. 31, 2015, to June 21, 2019. Rodriguez also pleaded guilty to possessing a firearm in furtherance of a drug-trafficking crime.
Rodriguez admitted that he met co-defendant Jose I. Gonzales, 39, of West Plains, after being released from prison in March 2018. Rodriguez and Gonzales agreed to use Rodriguez’s source of supply and Gonzales’s connections in West Plains to distribute methamphetamine. Rodriguez paid $3,000 per pound to purchase methamphetamine in Oklahoma, which he transported to Missouri for distribution.
Rodriguez also admitted that he had almost a pound of methamphetamine on Jan. 4, 2019, but it was dumped shortly before law enforcement officers executed a search warrant on that day. When officers executed the search warrant, Rodriguez had left the house. The kitchen sink was full of ice and the faucet was running hot, which is a known tactic to dispose of drugs.
Officers contacted Rodriguez in the parking lot of the Casey’s General Store in West Plains as the house was being searched. Rodriguez told officers there was an electronic safe in the house, which contained a Taurus .410-caliber revolver loaded with two .45-caliber rounds and three shotgun rounds. Rodriguez provided the combination to open the safe and officers seized the firearm. Officers also seized a baggie that contained 1.64 grams of methamphetamine, one hydrocodone pill, additional ammunition, and drug paraphernalia from the master bedroom.
Law enforcement officers seized more than five kilograms of methamphetamine from co-defendant Shirley J. Hicks, 64, of West Plains, a leader of the conspiracy. When law enforcement officers executed a search warrant at Hicks’s residence on July 24, 2018, they found a red toolbox inside a shop/barn that contained six bags with a total of 5.627 kilograms of pure methamphetamine. Inside a bedroom closet in the house, officers also found 12 bags with a total of 243 grams of pure methamphetamine inside a black leather bag, and a blue waterproof box that contained 122.892 grams of pure methamphetamine During the search, officers also found five handguns in the toolbox and five more firearms in the house. Officers also seized a total of $20,393, which Hicks admitted was proceeds from her distribution of methamphetamine. Rodriguez took over as a leader of the conspiracy following Hicks’ arrest.
Rodriguez is the seventh defendant to plead guilty and be sentenced in this case. Hicks was sentenced to 20 years and one month in federal prison without parole. Gonzalez was sentenced to 10 years in federal prison without parole. Fontella J. Noose, 41, of Springfield, was sentenced to 20 years in federal prison without parole. Benny D. Griffin, 59, of West Plains, was sentenced to 15 years in federal prison without parole. Jordan W. Gutierrez, 27, of West Plains, was sentenced to 12 years and six months in federal prison without parole. Shaun M. Ross, 44, of West Plains, was sentenced to six years in federal prison without parole.
Co-defendants Raymon F. Ortega, 65, of West Plains, and James E. Cooper, 55, of Mountain View, Mo., have pleaded guilty and await sentencing.
This case is being prosecuted by Assistant U.S. Attorney Jessica R. Eatmon. It was investigated by the South Central Drug Task Force, the Drug Enforcement Administration, the Missouri State Highway Patrol, the Howell County, Mo., Sheriff’s Department, the West Plains, Mo., Police Department, and the Mountain View, Mo., Police Department.
Webster City Man Sentenced to Federal Prison for Possessing Child PornographyRead the Press Release
A Webster City, Iowa man who possessed child pornography was sentenced March 2, 2022, to 11 years in federal prison. Brady Vandemark, age 37, received the prison term after an October 14, 2021, guilty plea to possession of child pornography.
In a plea agreement, Vandemark admitted to distributing, receiving, and possessing child pornography. Vandemark’s collection of child pornography contained the equivalent of over 100,000 images, including depictions of minors who had not yet reached 12 years of age. Before his guilty plea and sentencing, Vandemark ran from law enforcement while on pretrial release. Vandemark cut off his monitoring device and months later was discovered in a relative’s home, in a closet behind a fake wall with a loaded rifle. After a lengthy stand-off with law enforcement, where Vandemark was threatening suicide, he was taken into custody without anyone being harmed. At the sentencing hearing, Vandemark apologized for his behavior and credited an FBI Special Agent, whom he said “saved his life that day.”
Vandemark was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Vandemark was sentenced to 132 months’ imprisonment. He was ordered to pay $44,000 in restitution to victims in this case. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe 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.”
Vandemark is being held in the United States Marshal’s custody until he be transported to a federal prison.
The case was prosecuted by Assistant United States Attorneys Ron Timmons and Mikala Purdy-Steenholdt, and investigated by the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-3044.
Follow us on Twitter @USAO_NDIA.
Waterbury Man Charged with Federal Firearm and Drug OffensesRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Hartford has returned a three-count indictment charging DARTRE BOOKER, 27, of Waterbury, with firearm possession and heroin distribution offenses.
The indictment was returned on March 3, 2022. Booker appeared today via videoconference before U.S. Magistrate Judge S. Dave Vatti and entered a plea of not guilty to the charges. Booker has been detained since his arrest on related state charges on February 16, 2022.
The indictment alleges that, on February 16, 2022, Booker possessed two loaded Glock 9mm pistols and heroin that he intended to distribute.
It is further alleged that Booker’s criminal history includes two state convictions for felony firearm offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
The indictment charges Booker with possession with intent to distribute heroin, which carries a maximum term of imprisonment of 20 years; unlawful possession of a firearm by a felon, which carries a maximum term of imprisonment of 10 years; and possession of a firearm in furtherance of a drug trafficking crime, which carries a mandatory consecutive term of imprisonment of at least five years.
U.S. Attorney Boyle stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This matter is being investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Federal Bureau of Investigation and Waterbury Police Department. The case is being prosecuted by Assistant U.S. Attorney Natasha M. Freismuth.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Virtual reality event company resolves ADA complaintRead the Press Release
HOUSTON - Infinity Experiences Inc. has reached an agreement under Title III of the Americans with Disabilities Act (ADA) to improve communication regarding physical accessibility, announced U.S. Attorney Jennifer B. Lowery.
The Infinite is a unique 3-D immersive virtual reality space exploration experience. Infinity Experiences Inc. designed The Infinite based on various NASA missions. The event embarked on a world tour starting in December 2021. It will make stops in three cities per year until 2026, the first of which was in Houston.
The investigation began after an individual with a disability complained that the exhibit was inaccessible. The Infinite’s website did not fully disclose to the public how the exhibit was accessible to individuals with disabilities. This potentially deterred them from attending the exhibit.
However, Infinity Experiences cooperated and promptly addressed the issue, immediately agreeing to revise their website to include a detailed FAQ regarding accessibility and the logistics of attending the event.
The investigation was conducted under Title III of the ADA of 1990 which prohibits discrimination against individuals with disabilities by private places of public accommodation. Under Title III, The Infinite is a place of public accommodation and is subject to the requirements of the ADA.
The U.S. Attorney's Office for the Southern District of Texas is committed to vigorously enforcing the ADA and welcomes public comments or complaints. To file a comment or complaint, or to learn more about the ADA, individuals can contact the U.S. Attorney's Office for the Southern District of Texas at (713) 567-9140 or via email.
Assistant U.S. Attorney Elizabeth Karpati and Paralegal Specialist Ray Babauta handled this matter.
Vinita Man Convicted for Attempting to Sexually Entice a MinorRead the Press Release
A Vinita man was convicted in federal court for attempting to sexually entice an individual he believed to be a 14-year-old boy.
“John Flechs attempted to groom a child for sexual abuse via social media, but instead, was messaging an undercover officer with the Rogers County Sheriff’s Office,” said U.S. Attorney Clint Johnson. “Law Enforcement’s online undercover work is vital to unmasking predators who may have already reached out to a child or plan to do so in the future. Because of his conduct, Flechs was convicted of attempted coercion and enticement of a minor.”
At trial, federal prosecutors argued that John William Thomas Flechs, 37, attempted to persuade, induce, entice, or coerce the “teenager” through common grooming tactics such as flattery, joking, and the introduction of sexual topics, that escalated over several days of messaging.
Starting on Jan. 15, 2021, Flechs initiated a conversation with the undercover officer. In Kik messages, Flechs complimented the “teenager” and asked him to send photographs on three occasions. Flechs further described sexual encounters he had with male relatives, introduced graphic sexual topics that would allude to sexual acts on the boy, discussed the boy’s penis size, and asked if he had ever had anal sex. He then suggested they meet.
Still posing as the 14-year-old boy, the undercover agreed to meet Flechs at a skate park. Flechs was taken into custody when he arrived at the park.
The Rogers County Sheriff’s Office conducted the investigation. Assistant U.S. Attorneys Julie A. Childress and Edward Snow are prosecuting the case.
The case was brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identity and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Two Men Face Federal Drug Charges After Multi-Agency Enforcement Operation at Rutland MotelRead the Press Release
The Office of the United States Attorney for the District of Vermont announced today that Daniel Ruiz, 34, of Springfield, Massachusetts, and Joel Ivan Caquias Aviles, 21, of Lebanon, Pennsylvania, were arrested Wednesday evening and charged yesterday by criminal complaint with Conspiracy to Distribute Controlled Substances. Both men are scheduled to appear before United States Magistrate Judge Kevin J. Doyle this afternoon.
According to court records, numerous federal, state, and local law enforcement agencies assisted in a Rutland City Police Department operation targeting drug trafficking that has been occurring at the Highlander Motel in Rutland, Vermont. Surveillance and interdiction efforts provided probable cause to search three rooms at the motel. When officers executed the search warrant on Room 15 of the Motel, Daniel Ruiz fled out the motel window. Ruiz was subsequently apprehended and found in possession of $1,700. Joel Ivan Caquias Aviles was detained in Room 15. During the search of the room, officers located approximately 37 grams of suspected cocaine base, 168 bags of suspected heroin, over $5,000, and a Glock 9-millimeter handgun. The investigation revealed that Ruiz and Caquias Aviles were using a juvenile to assist in their distribution of drugs to customers.
The United States Attorney’s Office emphasizes that a criminal complaint contains allegations only and that Ruiz and Caquias Aviles are presumed innocent until and unless convicted of a crime.
United States Attorney Nikolas P. Kerest commended the collaborative investigatory efforts of the Rutland City Police Department, the Department of Homeland Security’s Homeland Security Investigations, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Drug Enforcement Administration, the Federal Bureau of Investigation, the Vermont State Police, the Bennington Police Department, the Weathersfield Police Department, the Rutland County Sheriff’s Department, the Ludlow Police Department, the Rutland Town Police Department, and the Vermont Department of Corrections.
The prosecutor is Assistant United States Attorney Jonathan Ophardt. Ruiz is represented by the Federal Public Defender. Caquias Aviles is represented by Devin McLaughlin, Esq.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime. https://www.justice.gov/psn
Two Individuals Sentenced to Federal Prison for Continuous Violations of Court’s OrdersRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Steven Abboud (58, Davenport) to 5 months’ imprisonment and his codefendant, Diana Robinson (54, Davenport), to 21 days in federal prison for criminal contempt. The court also ordered them to each serve one year of supervised release following their incarceration. The defendant company, Phazzer Electronics, Inc., was sentenced to 2 years’ probation and fined $10,000. The defendants had been found guilty on December 27, 2021, after a 2-day bench trial.
According to court documents, the case originated from a civil case in which Phazzer Electronics, Inc. was being sued for patent and trademark infringement, false advertising, and unfair competition. In that case, the Court ordered Phazzer Electronics, Inc. to stop selling certain products that violated patent and trademark laws. The company was first held in civil contempt for violating the court’s order and was warned that continued violations could result in criminal contempt proceedings. Abboud was an officer of the company and de facto owner, and Robinson was an employee and agent of the company. During the criminal proceedings, the court found that Abboud and Robinson, acting as agents of Phazzer Electronics, engaged in a pattern of activity that continued to violate the court order and that the defendants took conscious steps to circumvent the order.
This case was prosecuted by Assistant United States Attorney John Gardella.
Trout Creek woman sentenced to four years in prison for embezzling more than $650,000 from companyRead the Press Release
MISSOULA – A Trout Creek woman convicted of embezzling more than $650,000 while working for a Trout Creek company was sentenced today to four years in prison, to be followed by three years of supervised release, U.S. Attorney Leif M. Johnson said.
Tina Rae Wood, 49, pleaded guilty in November 2021 to wire fraud.
U.S. District Judge Donald W. Molloy presided. Judge Molloy also ordered $650,843 in restitution and allowed Wood to self-report to the Bureau of Prisons.
The government alleged in court documents that Wood was hired in 2013 by a supply company in Trout Creek as an office administrator and secretary. Wood eventually became in charge of depositing payments from customers and had access to the company’s accounting system. For almost five years, Wood used the accounting software to embezzle checks from one of the company’s biggest customers and deposited most of the stolen money into a personal bank account she opened in a bank in Thompson Falls. Wood blamed the company’s accounting software for her misdeeds, and she ordered deposit slips for her personal bank account that referenced the company name, likely to avoid scrutiny from bank personnel. In February 2019, when the company’s owner realized something was amiss, he contacted Wood. Wood refused to talk to the owner and cleaned out her desk the next weekend. An investigation found 109 customer checks, totaling about $650,843, that Wood had deposited into her own account.
Assistant U.S. Attorney Timothy J. Racicot prosecuted the case, which was investigated by the FBI.
XXX
Three Men Plead Guilty to Setting Fire to Police Vehicle During May 2020 Protest in Las VegasRead the Press Release
LAS VEGAS — Three Las Vegas men pleaded guilty this week to conspiring to and setting fire to a Las Vegas Metropolitan Police Department (LVMPD) patrol vehicle during a protest in downtown Las Vegas in May 2020.
Tyree Walker (23), Devarian Haynes (23), and Ricardo Densmore (24) pleaded guilty to one count of civil disorder. U.S. District Judge Andrew P. Gordon scheduled a sentencing hearing for June 22, 2022.
According to court documents and admissions made in court, on May 31, 2020, LVMPD officers were assigned to the downtown area for crowd control at protests relating to George Floyd’s death. Walker, Haynes, and Densmore each admitted to participating in setting fire to a marked LVMPD patrol vehicle parked near the intersection of South Ninth Street and East Carson Avenue. In addition, the defendants also admitted that they created a substantial risk of harm to others in the vicinity, knowing there was ammunition in the patrol vehicle that could have caused an explosion.
Walker, Haynes, and Densmore each face a statutory maximum penalty of five years in prison, a term of supervised release, and a fine of $250,000.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Special Agent in Charge Patrick Gorman of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) made the announcement.
This case was investigated by the ATF, the LMVPD, Las Vegas Fire & Rescue, and the FBI-led Criminal Apprehension Team in conjunction with the Joint Terrorism Task Force.
###
Surprise Man Sentenced for Illegal VotingRead the Press Release
PHOENIX, Ariz. – Joseph John Marak, 62, of Surprise, Arizona, was sentenced today by U.S. District Judge Susan M. Brnovich to 30 months of supervised probation and fined $2,400. Marak previously pleaded guilty to one count of Submission of a Materially False Voter Registration Application, a felony offense.
Johnson pleaded guilty in January 2022 to submitting a voter registration application in which he falsely certified that “I am not a convicted felon.” Marak’s certification was false because in August 2011, he was convicted of 18 felony counts in the United States District Court of the Eastern District of North Carolina and was sentenced to 72 months in prison. Marak further admitted that based upon his fraudulent registration, he voted in six federal elections from 2016 to 2020.
“This is the second voter fraud case we’ve charged in the last year, and the first arising out of the 2020 election cycle,” said United States Attorney Gary Restaino. “Voting is a crucial civil right, and exercising one’s voice is a key part of a felon’s reentry to society. But there are rules: If you wish to vote in Arizona following a felony conviction, please speak first with your local County Recorder to fully understand the process for restoring your voting rights.”
The Federal Bureau of Investigation conducted the investigation in this case. Assistant U.S. Attorney Frank T. Galati handled the prosecution.
CASE NUMBER: CR-22-00021-SMB
RELEASE NUMBER: 2022-032_MarakSouthfield Resident Sentenced to More Than Ten Years in Federal Prison for Drug TraffickingRead the Press Release
DETROIT – U.S. District Court Judge Stephen J. Murphy sentenced Leron Liggins, 34, formerly of Southfield to 10 ½ years in federal prison on Tuesday, March 22, 2022, United States Attorney Dawn N. Ison announced today.
Ison was joined in the announcement by Acting Special Agent in Charge Kent R. Kleinschmidt, Drug Enforcement Administration, Detroit Field Division and Special Agent in Charge Paul D. Vanderplow, Bureau of Alcohol, Tobacco, Firearms and Explosives, Detroit Field Division.
In October 2021, a jury found Liggins guilty of one count of participating in a drug conspiracy and one count of possession with intent to distribute heroin. The evidence at trial established that from 2015 to 2018, Liggins distributed heroin by concealing it in suitcases flown across the United States to be sold in Michigan. Liggins also paid others to travel across the country with drugs and cash concealed in their checked luggage so that those drugs could be sold in several other states.
“This defendant engaged in a conspiracy to distribute illicit drugs that endangered our neighborhoods and ruined lives,” said U.S. Attorney Dawn Ison. “I hope that a significant sentence like the one handed down in this case sends the clear message that our office and our law enforcement partners are committed to disrupting drug trafficking and prosecuting those who seek to profit by sending dangerous drugs into our communities.”
“This sentencing should serve as a notice to would-be drug traffickers that DEA and our law enforcement partners will employ every resource to bring you to justice,” said Acting Special Agent in Charge Kent R. Kleinschmidt. “Mr. Liggins has a demonstrated pattern of trading the suffering of others for his own personal gain and that pattern has come to an end.”
This case was the result of a joint investigation by the Drug Enforcement Administration (DEA) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). The case was prosecuted by Assistant United States Attorneys Andrea Hutting and Tim McDonald.South Georgia pastor, tax preparer admits CARES Act fraudRead the Press Release
BRUNSWICK, GA: A South Georgia man holding himself out as a pastor, mortician, restaurateur, and tax preparer has admitted lying to receive COVID-19 small business assistance.
Mack Devon Knight, 45, of Kingsland, Ga., pled guilty to two counts of Wire Fraud, said David H. Estes, U.S. Attorney for the Southern District of Georgia. The plea subjects Knight to a possible statutory sentence of up to 20 years in prison, substantial financial penalties and restitution, and up to three years of supervised release after completion of any prison sentence.
There is no parole in the federal system.
“Congress provided emergency taxpayer funding through the Coronavirus Aid, Relief and Security (CARES) Act to help financially struggling small businesses during the pandemic,” said U.S. Attorney Estes. “I have made fraud related to these funds a priority, and Mack Knight’s prosecution should once again make it clear that this office and our law enforcement partners will not tolerate those who would try to personally profit from this program by inventing businesses and submitting fake documents.”
As described in court documents and testimony, in February and March 2021, Knight applied for Economic Injury Disaster Loans (EIDLs) from the Small Business Administration (SBA) on behalf of multiple Camden County, Ga., businesses. Those EIDL applications falsely claimed that Knight had a series of businesses he claimed had up to hundreds of thousands of dollars of gross revenue prior to the COVID-19 pandemic. In pleading guilty, Knight admitted that those applications were fraudulent, and admitted to sending fictious documents to the SBA, including a fake tax document and an altered bank record.
As a result of those fraudulent filings, Knight received $149,900 from the SBA on behalf of a claimed tax business, and he used a large portion of the funds to buy a Mercedes-Benz S-Class sedan. As part of his plea agreement, Knight is forfeiting the vehicle to the United States.
“COVID-19 disaster relief loans were issued by the government to help businesses struggling to survive during a pandemic, not to use for personal pleasures like Knight used them for,” said Philip Wislar, Acting Special Agent in Charge of FBI Atlanta. “The FBI is dedicated to holding accountable anyone who would abuse taxpayer dollars and divert them from citizens who desperately need them.”
To report a COVID-19-related fraud scheme or suspicious activity, contact the National Center for Disaster Fraud (NCDF) by calling the NCDF Hotline at 1-866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The Federal Bureau of Investigation investigated the case. Knight was prosecuted for the United States by Assistant U.S. Attorneys Jonathan A. Porter and Patrick J. Schwedler.
South Bend Man Sentenced to 106 Months in PrisonRead the Press Release
SOUTH BEND – Joseph Blair, Jr., 30 years old, of South Bend, Indiana, was sentenced by United States District Court Judge Damon R. Leichty after pleading guilty to armed drug trafficking and being a felon in possession of a firearm, announced United States Attorney Clifford D. Johnson.
Blair was sentenced to 106 months in prison followed by 3 years of supervised release.
According to documents in this case, in December of 2020, law enforcement searched Blair’s home and recovered over 150 grams of methamphetamine and a loaded handgun. A search of his car resulted in the recovery of over 200 grams of methamphetamine, two rifles, and a magazine for a high capacity rifle.
This case was investigated by the Drug Enforcement Administration with the assistance of the South Bend Police Department. This case was prosecuted by Assistant U.S. Attorney Joel Gabrielse.
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.
###
South Bay Woman Charged with Attempted Arson of Bank BranchRead the Press Release
LOS ANGELES – A South Bay woman was charged today in a federal grand jury indictment alleging she threw a Molotov cocktail inside a bank in Torrance after having a dispute with the branch manager.
Teranee Millet, 34, of Gardena, is charged with one count of attempted arson and one count of unlawful possession of a destructive device. A federal grand jury returned the indictment today. Millet’s arraignment is expected to occur in the coming weeks at United States District Court.
According to an affidavit previously filed in this case, on September 20, 2021, Millet entered a Bank of America branch in Torrance. She spoke to the bank manager and demanded to be helped by another teller because she believed she had been waiting in line for too long.
When the bank manager informed her that no other tellers were available and she would have to continue waiting, Millet allegedly used profane language and then yelled, “I’m going to blow this bitch up!” In response, the bank manager called 911 and informed law enforcement of Millet’s comments, court papers state.
A few minutes later, Millet returned to the bank branch and threw a Molotov cocktail into the bank, lighting a fire in the middle of the bank. A bank customer attempted to put it out. Law enforcement officers responded within a few minutes, secured the scene and recovered the item that Millet allegedly threw on the floor of the bank to start the fire. On her way out of the bank’s parking lot and before law enforcement arrived, she allegedly threatened another customer and threw a glass bottle at the customer’s truck.
Law enforcement used bank surveillance photos to help identify Millet.
Millet was arrested in Fulton County, Georgia on December 2, 2021, after she allegedly led law enforcement on a chase in a stolen U-Haul van that ended with the van crashing. Law enforcement recovered from the van, among other items, a gym bag containing four packs of glass bottles with tissue paper inserted inside the bottles, a can of lighter fluid and a five-gallon can of gasoline, according to court documents. Millet sustained injuries in the crash and later received medical treatment.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proved guilty beyond a reasonable doubt.
If convicted, Millet would face a mandatory minimum sentence of five years in federal prison and a statutory maximum sentence of 20 years’ imprisonment for the attempted arson charge. The possession of a destructive device charge carries a statutory maximum penalty of 10 years in federal prison.
The FBI, the Torrance Police Department, and the Torrance Fire Department investigated this matter.
Assistant United States Attorney Maria Elena Stiteler of the International Narcotics, Money Laundering, and Racketeering Section is prosecuting this case.
Six Individuals Sentenced for Cross-Country, Multi-Kilogram, Drug Trafficking ConspiracyRead the Press Release
ALEXANDRIA, Va. – Four individuals were sentenced today, along with two others on February 4 and 25, to a combined 33 years in prison for their roles in a conspiracy to distribute controlled substances including fentanyl, methamphetamine, cocaine, and heroin.
According to court documents, the following individuals were sentenced for the following offenses:
- Fredrick Sutherland, 56, of Los Angeles, California, was sentenced today to 33 months in prison for conspiring to distribute fentanyl, methamphetamine, cocaine, and heroin;
- Rico Gerrod Spinner, 45, of Washington, D.C., was sentenced today 140 months in prison for conspiring to distribute fentanyl and methamphetamine;
- Andre Emelio Hamilton, 37, of Washington, D.C., was sentenced today to 60 months in prison for conspiring to distribute cocaine;
- Martique Henry, 28, of Washington, D.C., was sentenced today to 66 months in prison for conspiring to distribute heroin;
- Jason Rose, 36, of Inglewood, California, was sentenced on February 25 to 36 months in prison for conspiring to distribute fentanyl, methamphetamine, cocaine and heroin; and
- Ola L’Chelle Clark, 36, of District Heights, Maryland, was sentenced on February 4 to 60 months in prison for conspiring to distribute fentanyl, methamphetamine, cocaine, and heroin.
According to court documents, from October 2020 through January 2021, Sutherland was a California-based tractor-trailer driver who delivered narcotics to several sub-distributors operating in various locations across the United States, including the Ohio, New York, Connecticut, Missouri and the Washington, D.C. metropolitan areas. Sub-distributors supplied by Sutherland included Spinner, Henry, Clark, and Hamilton. Sutherland would work with Rose, who would fly from California to cities in advance of Sutherland’s tractor-trailer arriving and meet with Sutherland to receive the narcotics. Rose would then transport the narcotics to customers, collect the narcotics proceeds from the customers, and take the proceeds back to Sutherland to transport to California.
On October 9, 2020, Sutherland and Rose delivered narcotics to Spinner, Henry, and Clark. Following the transactions, a pursuit by law enforcement after an attempted traffic stop of Spinner’s vehicle resulted in Spinner being apprehended and law enforcement locating a duffle bag used by Spinner containing approximately eight kilograms of methamphetamine and over five kilograms of fentanyl. A separate traffic stop of the vehicle used by Henry and Clark resulted in the recovery of approximately one kilogram of heroin. Also on October 9, 2020, law enforcement searched locations associated with Spinner where approximately $161,159, a loaded Taurus .44 Magnum Revolver, a stolen loaded CZ75 .40 caliber pistol, and 320 grams of heroin were seized.
Sutherland also transported narcotics to Hamilton, who was found on December 26, 2020 in possession of approximately one kilogram of cocaine, approximately $55,000 in U.S. currency, and high-end jewelry appraised at approximately $115,445 in U.S. currency. At his arrest, Sutherland was found in possession of approximately $225,330 hidden in a cabinet in his tractor trailer. All of these funds will be forfeited to the United States.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; and Michael L. Chapman, Loudoun County Sheriff, made the announcement after sentencing by Senior U.S. District Judge Liam O’Grady.
Assistant U.S. Attorneys Bibeane Metsch and Michael BenAry prosecuted the case.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF) Operation Angels Envy. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to the federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principle mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
Assistance was provided by the Washington/Baltimore High Intensity Drug Trafficking Area (HIDTA) task force.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case Numbers 1:21-cr-42 and 1:21-cr-40.
Shalimar Man Sentenced to Seventy Years in Federal Prison for the Production and Distribution of Child PornographyRead the Press Release
PENSACOLA, FLORIDA – Jeffrey W. Boone, Jr., 32, of Shalimar, Florida, was sentenced to seventy years in federal prison on multiple counts of child sexual exploitation after pleading guilty on November 18, 2021. The sentence was announced by Jason R. Coody, United States Attorney for the Northern District of Florida.
“There is no greater charge than the protection of our children,” stated U.S. Attorney Coody. “Acts of such depravity are horrific and will be vigorously investigated and prosecuted. Our law enforcement partners are to be commended for the swift, collaborative efforts, which resulted in the rescue of this child.”
The federal charges related to Boone’s involvement on the social media platform Kik Messenger. In October 2021, undercover agents of the Federal Bureau of Investigation (FBI) noticed Boone, utilizing an anonymized username, possessing and distributing images of child pornography. It appeared to the agents that Boone was producing the images himself with a small minor female. Based upon what they were witnessing, the FBI immediately obtained online records relating to the anonymous username that Boone was utilizing, and the agents were able to trace the illicit activity back to Boone in Shalimar, Florida. That same day, FBI agents obtained a search warrant and executed it on Boone’s residence along with the Okaloosa County Sheriff’s Office. The minor female was rescued at that time, preventing further abuse from Boone. Law enforcement also seized digital devices resolving back to Boone, confirming his victimization of the child.
Boone’s prison sentence will be followed by a lifetime of supervised release. He will also be required to register as a sex offender and will be subject to sex offender conditions.
“Whether a local, state, or federal agency, there is nothing more fundamental to the law enforcement mission than protecting our children from abuse and exploitation,” said Okaloosa County Sheriff Eric Aden. “We are proud to have partnered with the FBI in its determined and detailed investigation to locate a person responsible for producing and distributing child pornography, and to gather the evidence necessary to hold that individual accountable for his vile actions.”
“The exploitation of children is a heinous crime that requires swift and intense law enforcement action,” said Sherri E. Onks, Special Agent in Charge of the FBI Jacksonville Division. “We at the FBI are prepared to do everything in our power, with a sense of urgency and alongside our partners, to protect innocent children and bring predators to justice.”
The case was investigated by the Federal Bureau of Investigation, the Okaloosa County Sheriff’s Office, and other members of the Internet Crimes Against Children Task Force. The case was prosecuted by Assistant United States Attorneys David L. Goldberg and Amanda Gordon.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Serial Bank Robber Indicted on Federal ChargesRead the Press Release
Miami, Florida – A 52-year-old Hialeah man with a prior felony conviction who went on a four-month bank robbery spree was federally indicted yesterday on 11 counts of bank robbery.
According to the criminal complaint, Jorge Ariel Cabrera (“Cabrera”) robbed 11 banks in Miami, Broward, and Palm Beach counties. During each robbery, Cabrera approached the teller window and pressed a handwritten note to the window, demanding money and threatening that he had a gun. The victims complied with Cabrera’s demands, at which point Cabrera grabbed the money and fled the banks. Cabrera was successful in stealing $65,950.
On the day of his arrest, leaving the last bank that he had robbed, Cabrera fled from officers in his vehicle, led them to his apartment complex, and was found hiding in the apartment complex’s fitness center, after discarding the clothes he was wearing in the robbery.
After taking Cabrera into custody, Cabrera admitted to law enforcement that he robbed each of the 11 banks.
Cabrera faces a maximum penalty of 20 years’ imprisonment for each of the 11 counts in the indictment.
Juan Antonio Gonzalez, United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, FBI Miami, announced the indictment.
FBI Miami investigated this case, with assistance from Hialeah Police Department and Miami-Dade Police Department. Assistant United States Attorney Brooke Latta is prosecuting this case.
Criminal complaints, informations, and indictments contain mere allegations and defendants are innocent unless and until found guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 22-cr-60056.
###
Salt Lake City Man Sentenced to 10 Years in Prison for Attempting to Provide Material Support to ISISRead the Press Release
SALT LAKE CITY – Murat Suljovic, 24, of Salt Lake City, was sentenced to 10 years in federal prison followed by 20 years of supervised release by a U.S. District Court Judge in Utah on Thursday for attempting to provide material support to the Islamic State of Iraq (ISIS) which is a designated foreign terrorist organization.
According to the plea agreement, Suljovic admitted that, in January 2019, he used an online persona to pretend to be an ISIS leader and provide would-be attackers advice about potential terrorist attack targets and plans. Suljovic admitted he used this persona to provide a bomb-making tutorial video to someone he believed to be an ISIS supporter with the understanding that it was to train and assist in carrying out an attack for ISIS.
Suljovic admitted that, by providing the bomb tutorial, he knowingly attempted to provide material support to ISIS, knowing that ISIS has engaged in terrorism.
“Suljovic provided advice on potential targets, along with providing a bomb-making tutorial video and advice on how to plan an attack, to people he believed were motivated to carry out a terrorist attack on behalf of ISIS,” said United States Attorney Andrea Martinez. “The fact that Suljovic carried out these actions while living in Salt Lake City shows the global reach of terrorist networks and should remind us to stay vigilant against the ongoing fight against terrorist organizations.”
“This case should serve as a reminder that the threat of terrorism is very real, and one we cannot underestimate,” said Special Agent in Charge Dennis Rice of the Salt Lake City FBI. “The FBI’s Joint Terrorism Task Force works around the clock to protect our communities from those intent on causing grave harm.”
The case was investigated by the FBI and members of its Joint Terrorism Task Force and prosecuted by Assistant U.S. Attorneys Carl D. LeSueur and Tyler L. Murray of the Utah U.S. Attorney’s Office with the assistance of National Security Division Counterterrorism Section Trial Attorney Michael Dittoe.
Salisbury Medical Practice Pays the United States over $286,000 to Resolve Claims that it Billed for Medical Services Not ProvidedRead the Press Release
Baltimore, Maryland – Peninsula Internal Medicine, L.L.C., a medical practice located in Salisbury, Maryland, and the Estate of Candy Burns have paid the United States $286,631.33 to settle allegations that Peninsula Internal Medicine (“PIM”) and its former owner, Candy Burns, submitted false claims to the United States for medical services that were not provided.
The settlement agreement was announced today by United States Attorney for the District of Maryland Erek L. Barron and Maureen Dixon, Special Agent in Charge of the Office of Inspector General for the Department of Health and Human Services.
“Medical providers know that they can only bill for services that are actually provided,” said United States Attorney Erek L. Barron. “The United States Attorney’s Office is committed to ferreting out fraud in Medicare and other federal healthcare programs and will hold practices and individuals accountable for their actions.”
On June 25, 2019, Candy Burns was indicted by the United States on one count of health care fraud and nine counts of wire fraud. The criminal case was captioned United States v. Burns, Criminal Case No. JKB 19-CR-313. On or about December 5, 2019, Burns suffered a brain aneurysm and persisted in a vegetative state. The United States dismissed the indictment against Burns in April 2020. In January 2021, Burns died.
According to the settlement agreement, from January 1, 2009 to June 30, 2016, PIM and Burns billed and were paid for blood draws that were not rendered. The blood draws were performed by LabCorp while in PIM’s Winterplace Parkway location and LabCorp was paid for these blood draws. Additionally, PIM and Burns were paid by Medicare for smoking cessation counseling that was not performed. Finally, the settlement agreement resolves claims that PIM and Burns violated Medicare’s “incident to” rules by billing for services performed by mid-level providers on Fridays when no physician supervised or directed medical services. Medicare reimburses at a higher rate if the services provided by a mid-level provider is performed “incident to” the direction and supervision of a physician. The only physician employed at PIM did not work on Fridays. Notwithstanding that fact, Burns and PIM billed Medicare for services on Fridays as if they were supervised by a physician, thus falsely entitling them to greater reimbursement.
The civil settlement resolves a lawsuit filed by Kimberly Elliott, a former employee of PIM, under the whistleblower provision of the False Claims Act. The False Claims Act permits private parties to file suit on behalf of the United States for false claims and obtain a portion of the government's recovery. The civil lawsuit is captioned United States ex rel. Kimberly Elliott v. Peninsula Internal Medicine, LLC and the Estate of Candy Burns, JKB 15-176 (D. Md). As part of the settlement, the Ms. Elliott will receive $57,326.26.
The claims resolved by this settlement are allegations only, and there has been no determination of liability.
U.S. Attorney Erek L. Barron commended the HHS Office of Inspector General for its work in the investigation. The case was handled by Assistant United States Attorney Thomas Corcoran.
For more information on the Maryland U.S. Attorney’s Office, its priorities, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/affirmative-civil-enforcement.
# # #
Romanian National Admits Role in ATM Skimming SchemeRead the Press Release
Leonard C Boyle, United States Attorney for the District of Connecticut, announced that NICOLAE MARIUS BARBU, 50, a citizen of Romania, pleaded guilty today via videoconference before U.S. Magistrate Judge Robert M. Spector to an offense stemming from his participation in an extensive ATM skimming scheme that defrauded banks in Connecticut and elsewhere.
According to court documents and statements in court, between February and June 2017, a Connecticut bank experienced approximately 35 incidents of ATM skimming at locations in Stratford, Monroe, Trumbull, Greenwich, Fairfield and elsewhere in Connecticut. As part of the scheme, conspiracy members placed skimming devices at the ATMs to capture account numbers and personal identification numbers (“PINs”) from customers who used their ATM cards at the ATMs while the devices were in place. Conspiracy members then used the captured information to make substitute ATM cards, and obtained money and made purchases using those cards. Barbu joined this conspiracy in April 2017.
In addition, in April 2018, Barbu and another individual stole credit cards from an individual’s belongings at a gym in Rockville, Maryland. They then used the cards to make more than $9,000 in purchases at Microsoft and Apple stores in Maryland.
Barbu pleaded guilty to one count of conspiracy to commit bank fraud, an offense that carries a maximum term of imprisonment of 30 years. He is scheduled to be sentenced by U.S. District Judge Michael P. Shea in Hartford on June 16, 2022.
Barbu was arrested in Michigan in June 2021. He has been detained since his arrest.
Barbu has agreed to pay restitution $139,533 to the victim bank, and $9,536 to the banks that issued the credit cards used for his fraudulent purchases.
This investigation has been conducted by the Connecticut Financial Crimes Task Force, U.S. Secret Service, Greenwich Police Department, Monroe Police Department, Homeland Security Investigations (HSI), and several local police departments.
The case is being prosecuted by Assistant U.S. Attorney Anastasia E. King.
Road Rage Incident leads to Capture, Conviction and Sentencing for Felon in Possession of a FirearmRead the Press Release
United States Attorney Jan Sharp announced that Leslie Graber, 34, of Bellevue, Nebraska, was sentenced today in federal court in Omaha as a felon in possession of a firearm. Chief United States District Judge Robert F. Rossiter, Jr., sentenced Graber to 68 months’ imprisonment for the firearm possession. At the time of the offense, Graber was being monitored on federal supervised release for a prior conviction for being a felon in possession of a firearm in November 2019. Graber’s supervision was revoked, and he was sentenced to an additional 16 months’ imprisonment for a total sentence of 84 months in the Bureau of Prisons. Graber will serve an additional 3-year term of supervised release following his release. There is no parole in the federal system.
On August 13, 2020, Bellevue Police responded to a call involving a road rage incident where the victim stated that the suspect pointed a gun at him. The victim explained that he was behind a blue car driving northbound on Highway 75. While he was behind the car, it slammed on its breaks to possibly “brake check” him, so he went around the suspect car to pass him. As they neared the off-ramp to Chandler Road in Bellevue and the cars were parallel, the driver, Graber, displayed a firearm. Graber tossed the firearm at some point after the incident. The next day, August 14, 2020, Bellevue Police Department Officers were dispatched to Old Towne Bellevue in reference to a party finding a firearm. Upon arrival, officers were directed to a Glock model 17 handgun which was lying on the grass along the northwest corner of the caller’s property. A DNA analysis performed on the firearm showed a match to the DNA of Graber. The gun was also reported as stolen from a home burglary.
On January 15, 2021, a warrant for violations of supervised release was issued for Graber. On February 20, 2021, Graber had additional felony warrants issued for him in Sarpy County, Nebraska for being a felon in possession of a firearm, use of a weapon to commit a felony, terroristic threats, assault, and theft. This incident involved Graber threatening an individual with a pistol while wearing ‘Police’ marked body armor. He was subsequently convicted in Sarpy County District Court of attempted use of a firearm and terroristic threats and sentenced to 5-10 years in the Nebraska Department of Corrections.
This case was investigated by the Bellevue Police Department and was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime.
Religious Leader Indicted and Arrested for Coercion and Enticement of a MinorRead the Press Release
SAN JUAN, Puerto Rico – A federal grand jury returned an indictment charging pastor Emmanuel Morales-Hernández, 29, of Lares, Puerto Rico, with coercion and enticement of a minor and attempted receipt of child exploitation material, announced W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico. The arrest follows an investigation by U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) with the assistance of the Puerto Rico Police Bureau (PRPB) and the U.S. Attorney’s Office for the District of Puerto Rico.
According to court documents, around November and December of 2021, Emmanuel Morales-Hernández knowingly persuaded, induced, enticed, and coerced an individual who had not attained the age of 18 to engage in sexual activity. The man was arrested at his residence without incident. The defendant is a well-known pastor in Lares and Utuado. Morales-Hernández utilized his position of public trust to entice and coerce a 16-year-old minor.
“The defendant used his position of trust in his community to prey on a minor, making him the victim of child exploitation,” said U.S. Attorney Muldrow. “If you are a victim or know of another victim of this individual, please come forward; contact the authorities so we can protect you and others from these crimes. We want the community to know that the U.S. Attorney’s Office and the Department of Justice, along with our federal, state and local partners, are committed to protecting children from these criminals.”
“The sexual exploitation of minors, in all forms, is a despicable and a very serious crime. HSI will fiercely investigate these crimes to identify the alleged perpetrator, arrest him or her, and obtain solid evidence that will prevail in court,” said Iván J. Arvelo, Special Agent in Charge for HSI San Juan. “We will continue working with our local and federal partners and using all resources available and robust investigative authorities to identify you, arrest you and prosecute you.”
Morales-Hernández had his initial hearing before U.S. Magistrate Judge Bruce McGiverin on March 24. He was transferred to the Guaynabo Metropolitan Detention Center awaiting the outcome of his case.
If convicted, Morales-Hernández faces a mandatory minimum penalty of 10 years in prison for the enticement and coercion charge, and a mandatory minimum penalty of five years for the attempted receipt of child exploitation material. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant United States Attorney Jenifer Hernández-Vega, Chief of the Child Exploitation and Immigration Unit, is in charge of the prosecution of this case.
HSI is the principal investigative arm of DHS and a vital U.S. asset in combatting transnational crimes and threats. One of HSI’s top priorities is to protect the public from crimes of victimization, and HSI’s child exploitation investigations program is a central component of this mission. HSI is recognized as a global leader in this investigative discipline, and is committed to utilizing its vast authorities, international footprint and strong government and non-government partnerships to identify and rescue child victims, identify and apprehend offenders, prevent transnational child sexual abuse and help make the internet a safer place for children.
For more information about HSI’s efforts to protect children from online sexual abuse, visit https://www.ice.gov/topics/iGuardians.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
###
Previously Removed Dominican Republic Man Charged with Illegally Reentering the United States and Possession and Use of Fraudulent DocumentsRead the Press Release
St. Croix, USVI – Reynaldo Mejia-Mejia, a citizen of the Dominican Republic, was arrested March 23, 2022 on St. Croix and charged by federal complaint with illegally reentering the United States and possession and use of fraudulent documents.
According to court documents, Reynaldo Mejia-Mejia , age 33, presented himself to U.S. Customs and Border Protection (CBP) officers for inspection to board a Spirit airlines flight from St. Croix, USVI to Fort Lauderdale, FL on March 23, 2022. He presented a Washington State driver’s license in the name of another individual with a photo of his likeness as proof of identification to travel.
During questioning at the primary inspection, Mejia stated he was born in Puerto Rico, however, the CBP officer noticed that Mejia’s accent was that of one distinctive to the Dominican Republic. A subsequent fingerprint check positively identified Mr. Mejia-Mejia, and record checks revealed he was previously deported by Immigration in 2018 and 2019 from the United States to the Dominican Republic. The driver’s license Mejia-Mejia presented was determined to be counterfeit, and Mejia-Mejia admitted that he had purchased it. Further, there are no records of Reynaldo Mejia-Mejia legally entering the United States. Reynaldo Mejia-Mejia did not receive permission from the Attorney General to reapply for admission to the United States at the time of the encounter on March 23, 2022, and Mejia-Mejia is not a citizen or national of the United States. Reynaldo Mejia-Mejia is a citizen and national of the Dominican Republic, and he was not in possession of the required legal documents to be present or to enter the United States.
Homeland Security Investigations and CBP are investigating the case.
Assistant U.S. Attorney Melissa Ortiz is prosecuting the case. Detention and preliminary hearings are scheduled for Wednesday, March 30, 2022 in U.S. District Court.
U.S. Attorney Gretchen Shappert reminds the public that a criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Pittsburgh Man Pleads to Drug and Gun Charges, Awaits Sentencing in Federal CustodyRead the Press Release
PITTSBURGH, PA -- A resident of Pittsburgh Pennsylvania, pleaded guilty in federal court to charges of violating federal firearm and narcotic laws, United States Attorney Cindy K. Chung announced today.
Guy Wallar Jr., age 24, formerly of the Uptown neighborhood, pleaded guilty to two counts before United States District Judge J. Nicholas Ranjan.
In connection with the guilty plea, the court was advised that on June 28, 2021, officers with the Duquesne Police Department noticed a male seated in the driver seat of a parked vehicle who was slumped over the arm rest. The vehicle was in the Truman Towers parking lot, a known drug trafficking area that had a shooting earlier that day. Upon approaching the vehicle, the officers detected the strong odor of burning marijuana and observed, in plain view, the driver sleeping, marijuana, and drug packaging material.
The officers woke the driver and asked him to exit the vehicle. The driver, and sole occupant of the vehicle, identified himself as Guy Wallar, Jr. Wallar then requested to show the officers something in the vehicle. As Mr. Wallar attempted to access the vehicle, officers told him to stop for fear of the destruction of evidence and officer safety. However, Wallar again tried to access the vehicle, and officers detained him. A search of Mr. Wallar incident to his arrest resulted in the seizure of marijuana, a cellular phone, and $8,517.00.
Officers requested consent to search the vehicle, which Wallar granted. The subsequent search resulted in the seizure of approximately 110 net grams of cocaine, an additional cellular phone, suspected narcotics, and a Polymer 80 pistol containing 16 rounds of ammunition.
On July 1, 2021, the same officers who arrested Wallar on June 28, 2021, observed Wallar walking out of Truman Towers. Based upon their recent interactions with Wallar and the Polymer 80, the officers asked for consent to search Wallar for weapons. Wallar consented, and an officer patted down Waller, feeling a baggie of suspected narcotics in his pocket. The officer pulled a baggie from the pocket, and it contained approximately 6 net grams of cocaine base, in the form commonly known as crack. The officers again arrested Mr. Wallar, and a search incident to arrest resulted in the seizure of two cellular phones and $882.00.
Following the return of the Superseding Indictment, law enforcement arrested Wallar near his vehicle on October 5, 2021. During the arrest, law enforcement observed a marijuana blunt in plain view within the vehicle. Subsequently, law enforcement applied for and obtained a federal search warrant for the vehicle. The search resulted in the seizure of small quantities of suspected marijuana and cocaine, in addition to $10,471.00.
Judge Ranjan scheduled sentencing for July 20, 2022, at 2:00 p.m.. The law provides for a total sentence of life in prison, a fine of $1,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court remanded the defendant into the custody of the U.S. Marshals Service.
Assistant United States Attorney Brendan J. McKenna is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the City of Duquesne Police Department conducted the investigation that led to the prosecution of Wallar.