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Friday 28 January 2022
South Florida Federally Licensed Gun Shop Owner and Employee Charged with Illegal Sale of Unregistered Fully Automatic Short-Barreled Rifles and Other FirearmsRead the Press Release
Miami, Florida -- Miami federal prosecutors have charged the owner of a South Florida federally licensed gun shop, along with another of the shop’s operators, with various federal firearms crimes relating to illegal cash sales of unregistered machine guns, silencers, and other devices.
Defendant Manuel Reguiera, 50, owns Miami Gun Shops, Inc, a federally licensed firearms store, and operates it with Defendant Anderson Rabel, 38. According to the criminal complaint affidavit, on different dates from November 2021 to January 2022, defendants stored, sold and, in some cases, assembled fully automatic short-barreled rifles, AR-style pistols, and silencers. None of the rifles, pistols, or silencers had serial numbers, the weapons were all sold for cash, and code words were used when speaking about the illegal firearms over the telephone, says the affidavit. It is alleged that in connection with these weapons sales, Reguiera and Rabel failed to complete federally required paperwork, failed to initiate background checks on the buyer, and even failed to check the buyer’s identification, all of which federal law requires.
The criminal complaint affidavit also alleges that Reguiera sold “switch” devices. When installed, a switch allows a firearm to expel more than one bullet by a single pull of the trigger, turning the weapon into a fully automatic machine gun.
Reguiera and Rabel made their initial federal court appearances today before U.S. Magistrate Judge Lisette Reid, who sits in Miami. Reguiera and Rabel are each charged with possession of an unregistered firearm; unlawful transfer of a firearm; and conspiring to do the following: possession of an unregistered firearm, unlawful transfer of a firearm, failure to keep proper records as required by federal laws, and failure to conduct required background checks. They each face up to ten years’ imprisonment, if convicted.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida; Christopher Robinson, Acting Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Division; Marshal Gadyaces S. Serralta, U.S. Marshal for the Southern District of Florida; Manuel A. Morales, Interim Chief of Police, City of Miami Police Department; Alfredo “Freddy” Ramirez III, Director, Miami Dade Police Department (MDPD); and George Fuente, Acting Chief of Police, Hialeah Police Department announced the charges.
ATF Miami, SDFL U.S. Marshals Service, City of Miami PD, Miami-Dade PD, and City of Hialeah PD investigated the case. A City of Miami Police Department Gang Intelligence Unit led to the investigation and arrests being announced today.
Assistant U.S. Attorney Karla Albite is prosecuting the case.
This case stems from Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. In 2017, PSN was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case is also part of the Miami-Dade Chiefs of Police Operation Community Shield Initiative.
A criminal complaint contains mere allegations. Defendants are innocent unless and until found guilty beyond a reasonable doubt.
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-mj-02120.
Click here for a picture of the AR-style pistols.
Click here for a picture of the short-barreled rifles.
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Santa Rosa man pleads guilty to trafficking methamphetamine and fentanylRead the Press Release
ALBUQUERQUE – Paul James Jaramillo, III, 31, of Santa Rosa, New Mexico, pleaded guilty in federal court on Jan. 27 to possession with intent to distribute methamphetamine and fentanyl.
A federal grand jury indicted Jaramillo on May 12, 2021, on one count of possession with intent to distribute methamphetamine and one count of possession with intent to distribute fentanyl.
In the plea agreement, Jaramillo admitted that on March 11, 2021, while a resident at Diersen Charities Residential Reentry Center in Albuquerque, he accessed his “stash” of methamphetamine and fentanyl, which had been hidden in a bathroom stall. He admitted that the drugs in his possession were not meant for his own personal use and that he intended to deliver or transfer them to another person.
Jaramillo remains in custody pending sentencing, which has not been scheduled. The maximum penalty for each count is up to 20 years in prison.
The FBI Albuquerque Field Office investigated this case with assistance from the Bernalillo County Sheriff’s Office. Assistant U.S. Attorney Kyle T. Nayback is prosecuting the case.
San Diego Man Arrested and Charged with RobberyRead the Press Release
Assistant U. S. Attorney Carling Donovan (619) 546-4343
NEWS RELEASE SUMMARY – January 28, 2022
SAN DIEGO – Patrick Harrison Hawley was arrested by FBI Special Agents and San Diego Police Department detectives late last night in San Diego on a criminal complaint charging him with one count of Hobbs Act Robbery.
According to the complaint, Hawley is alleged to have robbed the Metro T-Mobile store located at 650 Douglas Drive in Oceanside, California. During that robbery, Hawley allegedly threatened to chop the employee’s head off if she did not comply with his demands for cash and electronic devices. Hawley robbed the store of approximately $300 along with cell phones and other electronic devices valued at approximately $3,500, before fleeing the scene on foot.
Hawley made his initial appearance this afternoon before U.S. Magistrate Judge Allison H. Goddard. He is scheduled to appear for a detention hearing set for February 3 at 10 a.m.
DEFENDANT Case Number 22mj300
Patrick Harrison Hawley Age: 34 San Diego, CA
SUMMARY OF CHARGES
Interference with Commerce by Robbery – Title 18, U.S.C., Section 1951(a)
Maximum penalty: Twenty years in prison and $250,000 fine
AGENCY
Federal Bureau of Investigation
San Diego Police Department
*The charges and allegations contained in an indictment or complaint are merely accusations, and the defendants are considered innocent unless and until proven guilty.
This case is the result of the ongoing efforts of the Violent Crime and Human Trafficking (VCHT) Section. Formed in 2019, the VCHT is tasked with leading collaborations between federal and local law enforcement in the investigation and prosecution of cases involving violent crimes, firearms and gang cases; sex trafficking and child exploitation; civil rights, and labor trafficking. The VCHT Section oversees the Southern District of California Coordinators for Project Safe Neighborhoods, Human Trafficking, and Project Safe Childhood. The VCHT Section also provides federal prosecutors to the downtown San Diego Violent Crimes Task Force-Gang Group, the North County Gang Task Force, and the East County Gang Task Force.
Rosebud Man and Woman Indicted for Kidnapping, Assault, and Tampering ChargesRead the Press Release
United States Attorney Dennis R. Holmes announced that a Rosebud, South Dakota, man and woman have been indicted by a federal grand jury for Kidnapping, Assault with a Dangerous Weapon, Assault Resulting in Serious Bodily Injury, Tampering with a Victim, and Evidence Tampering.
Russell Eagle Bear, age 39, and Cleo Kills In Water, age 39, were indicted on January 20, 2022. Eagle Bear appeared before U.S. Magistrate Judge Mark A. Moreno on January 21, 2022, and Kills In Water appeared before U.S. Magistrate Judge Mark A. Moreno on January 27, 2022. Both pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life 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 between December 6, 2021, and December 7, 2021, in Mellette County, South Dakota, Eagle Bear and Kills In Water kidnapped and held a man and woman against their will and assaulted both the man and woman with a dangerous weapon; the assault against the male resulted in serious bodily injury. Eagle Bear and Kills In Water further destroyed evidence of their crime and made threats to both victims in an attempt to prevent them from reporting their actions to law enforcement.
The charges are merely accusations and Eagle Bear and Kills In Water are presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Abby Roesler is prosecuting the case.
Eagle Bear and Kills In Water were remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Repeat embezzler sentenced to prison for stealing nearly $300,000 from her employerRead the Press Release
Seattle – A 75-year-old woman from Lynnwood, Washington, who worked as a contract accountant, was sentenced today in U.S. District Court in Seattle to 6 months in prison and one year of home detention, announced U.S. Attorney Nick Brown. Over seven years, Judith Wright stole nearly $300,000 from Transportation Demand Management LLC (“TDM”), a Washington State passenger transportation company. This is Wrights second conviction for embezzling. In 1994 she was sentenced to a year and a day in prison for embezzling from the bank where she served as Chief Financial Officer.
At the sentencing hearing U.S. District Judge Richard A. Jones noted Wright’s prior conviction saying, “Even with the passage of time, you have little respect for the law.” Judge Jones said Wright had violated the trust of her employer and deprived others of money that could have changed their lives.
According to records filed in the case, between February 2010 and January 2017, Wright wrote some 120 fraudulent checks to herself and then disguised the payments in company books as if they were made to legitimate vendors. The fraud came to light when a new Chief Financial Officer at the company began questioning some of the entries. An FBI analysis of the accounts revealed that much of the money was clearly used for non-business expenses such as more than $78,000 in payments to Nordstrom, more than $17,000 spent with QVC (the home shopping network) and more than $20,000 spent at Costco.
This is the second time Wright has been sentenced for a similar embezzlement scheme. In 1994 she wrote unauthorized checks at the bank where she worked to pay her credit card bills. In that case the total theft was $45,000.
Under the terms of the plea agreement, Wright will pay $298,737 in restitution to her former employer.
The case was investigated by the FBI.
The case was prosecuted by Assistant United States Attorney Justin Arnold.
Repeat Sex Offender on Supervised Release Is Sentenced to 24.5 Years for Child PornographyRead the Press Release
ASHEVILLE, N.C. – U.S. District Judge Martin Reidinger has sentenced John Webb Powell, 51, of Burnsville, N.C., to 294 months in prison on child pornography charges, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Judge Reidinger ordered Powell to serve a lifetime under court supervision upon completion of the prison term and to register as a sex offender.
Ronnie Martinez, Special Agent in Charge of Homeland Security Investigations (HSI) in North Carolina and South Carolina, and Sheriff Shane Hilliard of the Yancey County Sheriff’s Office join U.S. Attorney King in making today’s announcement.
“Powell will spend the next two decades where he belongs: behind bars,” said U.S. Attorney King. “Recidivist sex offenders who prey on vulnerable children pose a serious danger to the community and will be prosecuted to the fullest extent of the law. I commend the investigative efforts of HSI and the Yancey County Sheriff’s Office. Their work on this case ensured that Powell was brought to justice and will no longer inflict harm upon his victim.”
“As a result of the collaborative work of HSI and its law enforcement partners, Powell’s days of victimizing children have come to an end,” said Special Agent in Charge Martinez. “As a repeat offender, today’s significance sentence will ensure Powell will no longer pose a threat to children and communities in the region.”
“The Yancey County Sheriff’s Office will always be diligent in our efforts to protect the children of our community from sexual predators,” said Sheriff Hilliard. “We would like to thank Homeland Security Investigations and the U.S. Attorney’s Office for their assistance in the investigation and subsequent conviction of this repeat sex offender.”
According to filed court documents and yesterday’s sentencing hearing, in February 2020, Powell was communicating with a minor female via text messages. Over the course of their communications, Powell solicited and received from the minor, images depicting the minor engaging in sexually explicit conduct. According to information contained in court documents, Powell also committed repeated sexual assaults against the minor over an extended time period. A forensic analysis of Powell’s seized cell phone further revealed that Powell had conducted internet searches for images containing child pornography. At the time of the offense, Powell was registered as a sex offender and was on supervised release for a previous federal offense of possession of child pornography.
On October 18, 2021, Powell pleaded guilty to receiving child pornography. He is currently in federal custody and will be transferred to the custody of the federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, U.S. Attorney King thanked HSI and the Yancey County Sheriff’s Office for their investigation of the case.
The U.S. Attorney’s Office in Asheville prosecuted the case as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Red Lake Man Pleads Guilty to Possessing Child PornographyRead the Press Release
MINNEAPOLIS – A Red Lake man has pleaded guilty to possessing images depicting the sexual abuse of children, announced Acting U.S. Attorney Charles J. Kovats.
According to court documents, on March 7, 2020, following a traffic stop, Bobby Lee Donnell, Sr., 43, was arrested by the Red Lake Police Department pursuant to an open warrant. After taking Donnell into custody, officers found on Donnell’s cell phone images of child sexual abuse involving minors under the age of 12.
Donnell pleaded guilty yesterday before U.S. District Judge Wilhelmina M. Wright to one count of possession of child pornography. A sentencing hearing will be scheduled for a later date.
This case was the result of an investigation conducted by the FBI Headwaters Safe Trails Task Force, the Red Lake Tribal Police Department, and the Minnesota Bureau of Criminal Apprehension (BCA).
Assistant U.S. Attorney Evan B. Gilead is prosecuting the case.
Raleigh Man Involved in Shooting Sentenced to 57 Months in Federal PrisonRead the Press Release
WILMINGTON, N.C. – A Raleigh man was sentenced today to 57 months in prison for knowingly possessing a firearm and ammunition while being a convicted felon. On September 2, 2021, Tevin Darius Young pled guilty to the charge.
According to court documents and other information presented in court, Tevin Darius Young, 31, of Raleigh, was involved in a shooting event on September 29, 2019 in the area of Milburnie Road and Gibney Drive in Raleigh. An investigation of the shooting ultimately led to the search of a residence where officers found Young in possession of a stolen .45 caliber Glock handgun, a 26 round .45 caliber magazine, and various rounds of ammunition.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case with the assistance of the Raleigh Police Department. Assistant U.S. Attorneys Evan Rikhye and William M. Gilmore prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:21-CR-127-M.
Quebec Woman Pleads Guilty to Selling Protected Wildlife SkullsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Vanessa Rondeau, 27, of Montreal, Quebec, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to trafficking in protected wildlife. The charge carries a maximum penalty of five years in prison and a $250,000 fine.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that on January 13, 2020, during online communications with an undercover U.S. Fish and Wildlife Service (FWS) Special Agent, Rondeau agreed to sell a polar bear skull to the agent for $780 USD. On January 24, 2020, Rondeau entered the U.S. at the Champlain, NY port of entry with the polar bear skull in violation of the Endangered Species Act and proceeded to a third-party shipping business to send the polar bear skull to the agent in Amherst, NY. The agent received the package on February 2, 2020. On January 26, 2021, Rondeau again communicated with the agent and agreed to sell another polar bear skull for $584.11 USD. On February 11, 2021, the agent received a Canada Post package from Rondeau which was labeled as “1 Cadre,” which is the French word for “frame.”
Rondeau also illegally trafficked in other protected wildlife by shipping and/or bringing wildlife from Canada to the United States without being declared to the FWS. The total value of the wildlife illegally trafficked by Rondeau was approximately $37,204.
The plea is the result of an investigation by the United States Fish and Wildlife Service, under the direction of Ryan Noel, Special Agent-in-Charge of the USFWS-Office of Law Enforcement North-Atlantic Appalachian Region. Additional assistance was provided by Environment and Climate Change Canada, and the Vermont Offices of Homeland Security Investigations and Customs and Border Protection.
Sentencing is scheduled for June 9, 2022, at 9:30 a.m. before Judge Vilardo.
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Prior Felon Pleads Guilty to New Drug ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.-U.S. Attorney Trini E. Ross announced today that Julian Riley, 47, of Rochester, NY, pleaded guilty before U.S. District Judge Charles J. Siragusa to conspiracy to possess with intent to distribute, 500 grams or more of cocaine, 40 grams or more of fentanyl, and crack cocaine. The charge carries a minimum penalty of 10 years in prison, a maximum of life, and an $8,000,000 fine.
Assistant U.S. Attorney Matthew T. McGrath, who is handling the case, stated that Riley was the leader of a drug trafficking organization that sold large quantities of cocaine, crack cocaine and fentanyl out of a drug house on Clifton Street in Rochester. The residence was an active location for walk-up, hand to hand drug sales. On May 28, 2020, Rochester Police Officers executed a series of search warrants on the Clifton Street residence and other locations used by the organization. Large amounts of cocaine and cash were recovered during the execution of the search warrants. In December 2015, Riley was convicted on a federal charge of drug conspiracy and sentenced to serve 77 months in prison.
The plea is the result of an investigation by the Rochester Police Department, under the direction of Interim Police Chief David Smith and the Drug Enforcement Administration, under the direction of Acting Special-Agent-in-Charge Timothy Foley.
Sentencing is scheduled for May 3, 2022, at 10:00 a.m. before Judge Siragusa.
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Preston County woman admits to wire fraudRead the Press Release
CLARKSBURG, WEST VIRGINIA – Markitta Miller, of Reedsville, West Virginia, has admitted to wire fraud, United States Attorney William Ihlenfeld announced.
Miller, 28, pleaded guilty today to one count of “Conspiracy to Commit Wire Fraud.” Miller admitted to working with others to stage a vehicle accident, fabricate injuries, and file false insurance claims. The crime occurred from March to July 2019 in Taylor and Preston Counties.
Miller faces up to 20 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. ATF and the West Virginia Insurance Commission Fraud Unit investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Portland Man Sentenced for Possessing Child PornographyRead the Press Release
PORTLAND, Maine—A Portland man was sentenced today in federal court for possessing child pornography, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge John A. Woodcock, Jr. sentenced Andrew Hazelton, 29, to five years in prison to be followed by five years of supervised release. Hazelton pleaded guilty on July 22, 2021.
According to court records, in October 2019, Hazelton chatted online with a 10-year-old girl. During the chat—after learning that the girl was 10—he said he wanted to see her “sexy body,” and asked her to send him pictures of her in her panties and without a shirt. He also said he wished he could have sex with her.
FBI investigators later learned of the chat, and in April 2021 executed search warrants for Hazelton’s Portland residence and for his person. Agents encountered Hazelton just outside the residence. He had a smartphone in his pants pocket that he provided to investigators. An analysis of the phone revealed a folder containing dozens of video files depicting minors, some of them prepubescent, engaging in sexually explicit conduct.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report an incident involving the possession, distribution, receipt, or production of child pornography, file a report with the National Center for Missing & Exploited Children at www.cybertipline.com or 1-800-843-5678. Your report will be forwarded to a law enforcement agency for investigation and action. If you have an emergency that requires an immediate law enforcement response, please call 911 or contact your local police or sheriff’s department.
Pittsburgh Cocaine Dealer Sentenced to 6 Years in PrisonRead the Press Release
PITTSBURGH, PA - A resident of Pittsburgh, PA, has been sentenced in federal court to six years’ (72 months’) imprisonment, followed by three years of supervised release on his conviction of federal narcotics charges, United States Attorney Cindy K. Chung announced today.
Chief United States District Judge Mark R. Hornak imposed the sentence yesterday on Monty Grinage, 43, of the Swissvale area.
According to information presented to the court, Grinage sold powder cocaine in the Pittsburgh area between June and November of 2017.
United States Attorney Chung commended the Federal Bureau of Investigation and the Pennsylvania State Police, with assistance from the South Strabane Police Department, the Elizabeth Borough Police Department, the Penn Hills Police Department, and the Perryopolis Police Department, for the investigation leading to the successful prosecution of Grinage.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Pendleton County man admits to methamphetamine and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Cody Alan Grapes, of Riverton, West Virginia, has admitted to drug and firearms charges, United States Attorney William Ihlenfeld announced.
Grapes, 32, pleaded guilty today to one count of “Possession with Intent to Distribute Methamphetamine” and one count of “Possession of a Firearm in Furtherance of a Drug Crime.” Grapes admitted to having methamphetamine and a 5.56 mm rifle in November 2019 in Grant County.
Grapes faces up to 20 years of incarceration and a fine of up to $1,000,000 for the drug charge. Grapes faces at least five years of incarceration and a fine of up to $250,000 for the firearms charge. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Paul Hendler Pleads Not Guilty to Forgery, False Statement ChargesRead the Press Release
The United States Attorney for the District of Vermont announced that Paul Hendler, 49, of Burlington, pleaded not guilty today in United States District Court in Burlington to federal forgery and false statement charges. U.S. Magistrate Judge Kevin J. Doyle released Hendler on conditions pending trial, which has not been scheduled.
In 2011, the U.S. Attorney’s Office first charged Hendler in a wide-ranging fraud indictment that accused Hendler of committing a variety of frauds against individuals and businesses. Hendler eventually pleaded guilty to wire fraud and money laundering and in 2015 was sent to prison. The court also ordered Hendler to pay restitution to multiple victims in a total amount of about $555,000. When Hendler got out of prison, he began a three-year term of supervised release. As a condition of supervised release, the court ordered Hendler to pay 10% of his gross monthly income toward his restitution obligation. Hendler’s release was supervised by the U.S. Probation Office in Vermont, and Hendler was required to submit monthly supervision reports to the Probation Office that included disclosures about monthly earnings and other cash inflows.
On January 27, 2022, a federal grand jury in Burlington returned a two-count indictment that charged Hendler with forgery and making false statements. According to the indictment, between 2019 and January 2021, Hendler performed some consulting and other work for a business that operated two restaurants in South Hero. Also according to the indictment, in 2020, Hendler took possession of the company’s check book. Between 2019 and January 2021, the indictment alleges, Hendler embezzled tens of thousands of dollars from the business by stealing cash receipts generated by the restaurants, forging the business owner’s signature on checks Hendler made out to himself, and by fraudulently inducing the owner to give him blank checks, signed by her, which Hendler then made payable to himself.
The second count of the indictment accuses Hendler of making materially false statements to the U.S. Probation Office in his monthly supervision reports. According to the indictment, the reports Hendler filled out and gave to Probation significantly underreported the amount of money Hendler was receiving from the South Hero restaurant business.
The U.S. Attorney emphasizes that the charges in the indictment are merely accusations and that Hendler is presumed innocent unless and until he is proven guilty.
If convicted, Hendler faces up to ten years of imprisonment on the forgery charge, up to five years of imprisonment on the false statement charge, and a fine of up to $250,000 for each offense. The actual sentence would be determined with reference to federal sentencing guidelines. The United States is also seeking forfeiture of money or property that Hendler obtained from the alleged forgery.
This case was investigated by the Boston Office of the U.S. Treasury Department’s Office of the Inspector General for Tax Administration.
Hendler was represented at today’s hearing by the Office of the Federal Public Defender. The prosecutor is Assistant U.S. Attorney Gregory Waples.
Park Hills Missouri man pleads guilty to possession of child pornographyRead the Press Release
ST. LOUIS – United States District Court Judge Rodney W. Sippel accepted a plea of guilty from Scott E. Reid on today’s date for possession of child pornography. A grand jury in the Eastern District of Missouri previously indicted Reid for the charge. Judge Sippel set sentencing for April 29, 2022.
According to the plea agreement, on or about August 11, 2019, Reid uploaded via the internet multiple images of child sexual abuse material to a website. Uploaded were images including that of a minor female engaged in lascivious behavior.
On December 19, 2019, a search warrant was executed at the residence of Reid in St. Francois County, Missouri. Law enforcement seized computers and electronics on which Reid had downloaded from the internet 3,344 images and 24 videos of child pornography depicting juveniles engaged in sexual conduct. Reid admitted that he has viewed child pornography beginning as early as 1995 through internet chatrooms.
The case was investigated by the U.S. Secret Service, the Missouri State Highway Patrol, the Missouri State Technical Assistance Team and the St. Francis County Prosecuting Attorney’s Office.
Paducah Man Sentenced to 12 Months in Prison for Cares Act FraudRead the Press Release
PADUCAH, Ky – A Paducah man was sentenced on Tuesday, January 25, 2022, to 12 months in prison and an ordered to pay restitution in the amount of $7,500 for fraud related to the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents, Javon A. Wiley, 20, filed fraudulent applications with the Small Business Administration (SBA) in order to receive Economic Injury Disaster Loan (EIDL) funds, a CARES Act financial assistance program which provided loan assistance (including $10,000 advances) for small businesses and other eligible entities for loans up to $2 million. The EIDL proceeds could be used to pay fixed debts, payroll, accounts payable, and other bills that could have been paid had the disaster not occurred.
Wiley received a $4,000 grant and $3,500 loan through the EIDL program from the SBA by applying for COVID-19 disaster relief funds for a car detailing business that he claimed to own. Law enforcement discovered, however, that this business did not actually exist, and that Wiley had provided false information to the SBA in order to obtain the funds. Wiley also attempted to obtain an additional $10,000 in COVID-19 relief funds by submitting an application to the SBA for a barber shop that also did not exist. In that application, Wiley claimed the fictitious barber shop employed ten workers in Paducah and requested a $1,000 grant for each employee.
“With the assistance of our federal, state, and local law enforcement partners, we will continue to identify, apprehend, and prosecute fraudsters who steal federal relief funds,” stated Michael A. Bennett, United States Attorney for the Western District of Kentucky. “Applicants in need and hardworking taxpayers who fund financial assistance programs deserve nothing less.”
“This case should serve as a strong deterrent for criminal actors who are considering taking part in related fraud schemes. The U.S. Secret Service, along with our local, state and federal law enforcement partners, will continue to investigate and arrest criminals who attempt to defraud our citizens and businesses.” said Robert Holman, Special Agent in Charge, U.S. Secret Service - Louisville Field Office.
The United States Secret Service investigated the case with the assistance of the Paducah Police Department and the SBA Office of Inspector General.
Assistant U.S. Attorney Raymond McGee prosecuted the case.
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Online Contact Lens Company Ordered to Pay $3.5 Million in Civil Penalties and Consumer Redress for Violating Federal Contact Lens LawsRead the Press Release
The Department of Justice, together with the Federal Trade Commission (FTC), today announced that the government will collect $1.5 million in civil penalties and $2 million in consumer redress from online contact lens company Vision Path Inc., dba Hubble Contacts (Hubble), as part of a settlement to resolve allegations that Hubble violated the Fairness to Contact Lens Consumers Act and the FTC’s Contact Lens Rule.
In a complaint filed in the U.S. District Court for the District of Columbia, the government alleged that Hubble violated the federal Fairness to Contact Lens Consumers Act and the FTC’s Contact Lens Rule by selling contact lenses online without taking the steps required to verify the subscriber’s contact lens prescription, improperly substituting Hubble’s own brand of contact lenses for those originally prescribed by consumers’ eye care practitioners and procuring what it falsely portrayed as independent consumer reviews of its products and services. In addition to requiring Hubble to pay civil penalties and consumer redress, the stipulated order entered by the court today requires Hubble to refrain from altering prescriptions to change the brand prescribed, to verify the prescription for contact lens orders submitted without a written prescription, to cease other deceptive practices and to satisfy ongoing recordkeeping, certification and compliance obligations.
“The Department of Justice will not tolerate the violation of laws intended to ensure that consumers receive the products prescribed for them,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The department is committed to protecting consumers from companies that engage in deceptive practices.”
“Hubble’s business model boosted its bottom line but created needless risk for its customers’ eye health,” said Director Samuel Levine of the FTC’s Bureau of Consumer Protection. “Today’s action makes clear that firms will pay a price for deceiving their customers, flouting the Contact Lens Rule, and using misleading reviews.”
This matter is being handled by Claude Scott of the Civil Division’s Consumer Protection Branch and Alysa S. Bernstein and Paul Spelman of the FTC.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. For more information about the FTC, visit its website at https://www.FTC.gov.
North Tonawanda Man Pleas Guilty to Child Pornography ChargeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Matthew Ostrowski, 49, of North Tonawanda, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to possession of child pornography involving a prepubescent minor. The charge carries a maximum penalty of 20 years in prison, and a fine of $250,000.
Assistant U.S. Attorney Laura Higgins, who is handling the case, stated that in October 2019, Ostrowski uploaded and distributed an image containing child pornography to the gaming application Discord. On December 17, 2019, investigators executed a federal search warrant at Ostrowski’s Meadow Drive residence in North Tonawanda and seized seven electronic devices, as well as his iPhone. A forensic analysis of the iPhone recovered 4,204 image files of child pornography and 8,523 images of child exploitative material, a majority of which depicted minors under the age of 12. The search of the iPhone also resulted in the recovery of deleted text conversations between Ostrowski and a minor female victim, who communicated for at least a year over Kik and SnapChat, while the minor female was 15 and 16 years old. During that time, Ostrowski requested that she send him “nudes.” On February 5, 2020, another federal search warrant was executed at the defendant’s residence. Investigators located a computer, which contained 178 image files and five videos of child pornography, a majority of the files depict minors under the age of 12.
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino.
Sentencing is scheduled for June 7, 2022, before Judge Sinatra.
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North Carolina Surgeon and Wife Sentenced to Prison for Tax CrimesRead the Press Release
A North Carolina surgeon and his wife were sentenced today to five years in prison for federal employment and individual income tax crimes.
According to evidence presented at trial and statements made in court, James Rice, an orthopedic surgeon, and his wife Susan Rice, who worked for his medical practice, conspired to defraud the IRS, evaded payment of taxes, failed to pay over employment taxes and failed to file tax returns. In total, the Rices did not pay more than $2.4 million in personal, corporate and employment taxes that they owed.
From 1992 to present, James Rice owned and operated Sandhills Orthopaedic, a medical practice located in Pinehurst, North Carolina. Susan Rice handled the practice’s administrative operations. Between 2007 and 2016, the Rices conspired to defraud the United States with respect to Sandhills Orthopaedic’s employment taxes and their individual income taxes. To accomplish this, the Rices transferred approximately $1 million from Sandhills Orthopaedic’s business bank accounts to other accounts they controlled, including personal bank accounts and a business account related to an unrelated truffle company owned by Susan Rice. The Rices also used Sandhills Orthopaedic’s business bank accounts to pay for personal expenses, including a country-club membership and dog kennel boarding.
The Rices also withheld nearly $580,000 in taxes from the paychecks of the medical practice’s employees, then used those withholdings for their own personal gain rather than paying them over to the IRS as required by law. Finally, from 2014 to 2016 the Rices did not file individual tax returns, and James Rice did not file corporate taxes for another entity he owned, even though they were respectively required to file returns for all of those years.
“As a result of today’s sentence, James and Susan Rice’s prolonged effort to evade paying their taxes has come to an end,” said Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division. “Each year, the vast majority of Americans and businesses follow the tax laws and pay their fair share. Those who willfully evade such obligations should fully expect to be held accountable for their criminal conduct.”
“Failure to pay over withheld taxes is a serious offense,” said Special Agent in Charge Donald “Trey” Eakins of the IRS Criminal Investigation, Charlotte Field Office. “Employment tax evasion results in the loss of tax revenue to the U.S. government and the loss of future Social Security and Medicare benefits for those employees. The investigation of employment tax fraud is a priority for IRS Criminal Investigation, and our special agents will vigorously pursue anyone who collects these taxes and then uses the funds for their own personal gain.”
On Sept. 20, 2021, a federal jury convicted the Rices of one count of conspiracy to defraud the United States, one count of tax evasion, two counts of failure to pay over employment taxes and three counts of failure to file tax returns. The jury also convicted James Rice of three counts of failure to file corporate tax returns. In addition to the term of imprisonment, U.S. District Judge Catherine C. Eagles ordered the Rices to serve three years of supervised release and to pay approximately $2.4 million in restitution to the United States.
Acting Deputy Assistant Attorney General Goldberg made the announcement.
IRS-Criminal Investigation investigated the case.
Trial Attorneys Alexander Effendi and Michael L. Jones of the Justice Department’s Tax Division prosecuted the case.
Niobrara Man Sentenced for Sexual Abuse of a ChildRead the Press Release
United States Attorney Jan Sharp announced that Warren Lee Mackey, 68, of Niobrara, Nebraska, was sentenced on January 27, 2022, by Senior United States District Judge Joseph F. Bataillon to 30 years’ imprisonment for aggravated sexual abuse of a child and 10 years’ imprisonment for sexual abuse of a child, to be served concurrently. Mackey will be on supervised release for 5 years after his release from prison. There is no parole in the federal system.
A jury found Mackey guilty in October 2021 for an offense that occurred on the Santee Sioux Nation Indian Reservation. The charges stemmed from a disclosure made by an 11-year-old child that the defendant touched her clitoris and her breast. The defendant claimed during an interview with the Federal Bureau of Investigation that he was asleep and did not know whether he had done anything to the child, but was dreaming about an adult female.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was investigated by the Federal Bureau of Investigation.
New Orleans Man Indicted for Christmas Eve Bank RobberyRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that DEVIN CHANEY, age 32, was charged today in a two-count indictment with one count for bank robbery in violation of Title 18, United States Code, Section 2113(a) and (d) and one count for use of a firearm during and in relation to a crime of violence pursuant to Title 18 United States Code, Section 924(c)(1)(A)(ii).
According to the indictment, CHANEY robbed the Capital One Bank located in New Orleans, Louisiana on December 24, 2021. CHANEY used a firearm when committing the bank robbery.
If convicted of armed bank robbery, CHANEY faces a maximum term of imprisonment of 25 years, a fine of up to $250,000.00, up to five years supervised release after imprisonment, and a $100 mandatory special assessment fee. If convicted of brandishing a firearm during the bank robbery, CHANEY faces a mandatory consecutive minimum sentence of seven years up to a maximum of life imprisonment, up to a $250,000.00 fine, up to 5 years supervised release and a $100 mandatory special assessment fee.
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.
U. S. Attorney Evans reiterated that an indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation Violent Crimes Task Force and New Orleans Police Department in investigating this matter. Assistant United States Attorney Julia K. Evans is in charge of the prosecution.
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Minneapolis Man Sentenced to Prison for Sexually Abusing a Minor Aboard a Flight En Route to MSPRead the Press Release
MINNEAPOLIS – A Minneapolis man has been sentenced to 15 months in prison for engaging in abusive sexual contact on an airplane. Acting U.S. Attorney Charles J. Kovats made the announcement after U.S. District Judge Nancy E. Brasel sentenced the defendant.
According to court documents, in April 2019, Neeraj Chopra, 41, knowingly engaged in abusive sexual contact with a 16-year-old victim who was seated next to him aboard a Jet Blue flight from Boston to Minneapolis. During the flight, Chopra retrieved a blanket from his backpack and draped it over his lap, with a portion of the blanket also covering the victim’s right leg. Chopra put his hand under the blanket and began inappropriately touching the victim. Chopra ignored the victim’s multiple requests to stop and continued to inappropriately touch the victim.
On July 14, 2021, following a three-day trial, a federal jury convicted Chopra on one count of abusive sexual contact.
This case was the result of an investigation conducted by the Federal Bureau of Investigation, with assistance from the Minneapolis-St. Paul Airport Police.
This case was prosecuted by Assistant U.S. Attorneys Lauren O. Roso and Michelle E. Jones.
Minneapolis Felon Sentenced to 9.5 Years in Prison for Illegal Possession of a Firearm, AmmunitionRead the Press Release
MINNEAPOLIS – A Minneapolis man has been sentenced to 115 months in prison followed by three years of supervised release for illegally possessing a firearm and ammunition as a felon. Acting U.S. Attorney Charles J. Kovats made the announcement after U.S. District Judge Wilhelmina M. Wright sentenced the defendant.
On August 3, 2021, following a four-day trial, Johnnie Lamar Haynes, 33, was convicted of one count of possessing a firearm as a felon and one count of possessing ammunition as a felon.
According to the evidence presented at trial, on August 5, 2019, Minneapolis police officers responded to a shots-fired call at a gas station near Lowry Avenue and Logan Avenue North in Minneapolis. Upon arrival, officers found 11 discharged cartridge casings on the street in front of the gas station. Video surveillance footage showed Haynes interacting with two men inside the gas station. After leaving the gas station the two other men got in a vehicle and drove off. Minutes later, the two men circled the block in their vehicle and returned to the gas station. Haynes then began shooting at the vehicle as it drove off. A nearby business was in the line of Haynes’s gunfire and was struck by multiple rounds. Surveillance video footage from the business captured the bullets entering the building, causing employees to duck and take shelter.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Minneapolis Police Department.
Assistant U.S. Attorney Thomas Calhoun-Lopez prosecuted the case.
Milwaukee Pharmacy Chain to Pay over $2 Million to Resolve Allegations It Violated the False Claims ActRead the Press Release
United States Attorney Richard G. Frohling announced today that Hayat Pharmacy agreed to pay $2,050,000 to resolve allegations that it submitted false claims to Medicare and Medicaid for prescription medications.
Hayat Pharmacy operates 23 pharmacy locations in the greater Milwaukee area. The United States alleged that Hayat Pharmacy submitted false claims to Medicare and Medicaid in 2019 for two prescription medications, a topical cream consisting of iodoquinol, hydrocortisone, and aloe, and a multivitamin with the trade name Azesco. During the relevant time period, Medicaid paid thousands of dollars per prescription for the iodoquinol-hydrocortisone-aloe cream, and Medicare paid hundreds of dollars per prescription for Azesco. The United States alleged that Hayat Pharmacy switched Medicaid and Medicare patients from lower cost medications to the iodoquinol-hydrocortisone-aloe cream and Azesco without any medical need and/or without a valid prescription. In addition to paying over $2 million to resolve the allegations concerning these false claims, Hayat Pharmacy agreed to conduct annual training concerning waste, fraud and abuse, and compliance with rules concerning medication switches.
“Medicare and Medicaid only pay for prescription medications that are needed by patients, not prescriptions dispensed by pharmacies simply to increase their profits,” said United States Attorney Frohling. “This settlement imposes a significant penalty on Hayat Pharmacy and will make the federal government whole for the pharmacy chain’s wrongdoing.”
“Our watchdog agency will hold accountable pharmacies who try to boost their profits by billing federal health care programs for medically unnecessary medications,” said Special Agent in Charge Mario M. Pinto, HHS-OIG, Chicago Region.
James B. Hurley, Acting Special Agent in Charge, Federal Bureau of Investigation, Milwaukee Field Office, said: “The FBI prioritizes efforts to stop healthcare fraud and will continue to hold accountable pharmacies and other medical providers who misuse Medicare and Medicaid dollars. By requiring Hayat Pharmacy to repay over $2 million, this settlement underscores that healthcare providers cannot put their interests ahead of their patients or the taxpayers.”
The government’s investigation resulted from a whistleblower complaint filed under the qui tam provisions of the False Claims Act. The whistleblower will receive a share of the settlement. The lawsuit is captioned United States ex rel. Hussein v. Hayat Pharmacy, LLC, et al., 20-cv-472, and is pending in the District Court for the Eastern District of Wisconsin.
Assistant United States Attorney Michael Carter represented the government in this matter. The HHS-OIG, FBI, and the Wisconsin Department of Justice assisted in the investigation. The settlement agreement states allegations only; Hayat Pharmacy does not admit liability for the allegations.
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Mexican Man Who Used a Fraudulent Permanent Resident Card Sentenced to Jail Time and Supervised ReleaseRead the Press Release
A man who used a false identification document was sentenced today to nine days in prison.
Francisco Gonzalez-Matias, age 42, a citizen of Mexico illegally present in the United States and residing in Waterloo, Iowa, received the sentence after a November 22, 2021 guilty plea to one count of unlawful use of an identification document.
At the guilty plea, Gonzalez-Matias admitted he used a fraudulent Permanent Resident Card, also known as a “green card,” when he completed employment forms at a business in Cedar Falls in April 2021. On the employment application, Gonzalez-Matias falsely claimed to be a lawful permanent resident of the United States. The Alien Registration number on the green card was assigned to a male from Russia. Gonzalez-Matias also used a fictitious Social Security Number on employment and tax forms at the business. Social Security and Permanent Resident cards are documents used to prove identity and are prescribed by statute or regulation for entry into or as evidence of authorized stay or employment in the United States. As an illegal alien, Gonzalez-Matias was not authorized to work in the United States.
Gonzalez-Matias was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Gonzalez-Matias was sentenced to nine days’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Gonzalez-Matias was released following the hearing to begin serving his term of supervised release.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2029.
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Meridian Man Sentenced to 5 Years in Prison for Possession of a Firearm in Furtherance of a Drug Trafficking CrimeRead the Press Release
Jackson, Miss. – A Meridian man was sentenced to 60 months in prison for possession of a firearm in furtherance of a drug trafficking crime, announced U.S. Attorney Darren LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court records, on August 10, 2019, Reginald D’Mond Kelly, 44, was arrested by officers of the Lauderdale County Sheriff’s Office for pending charges related to the sale of narcotics. During the course of the arrest, Kelly’s vehicle was searched, and the officers found methamphetamine and a 9mm caliber handgun in the vehicle’s trunk.
Kelly pled guilty on September 14, 2021, to possession of a firearm in furtherance of a drug trafficking crime.
The Lauderdale County Sheriff’s Office and the ATF investigated the case.
Assistant U.S. Attorney Charles W. Kirkham prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Member of United Skinhead Nation Guilty of Federal Firearms OffenseRead the Press Release
Miami, Florida – This week, 58-year-old Leslie Lee Gross, pled guilty in federal court in Fort Pierce to possessing a firearm and ammunition as a convicted felon.
As part of his guilty plea, Leslie Lee Gross admitted that on July 5, 2020, he sold a Smith & Wesson, Model M&P40, .40 caliber semi-automatic pistol and two loaded .40 caliber magazines. Gross admitted he had discussed the time he spent in prison with the buyer and told the buyer that he was a member of the Aryan Brotherhood, a neo-Nazi prison gang. Gross also admitted that when he sold the firearm, he was an active member of the United Skinhead Nation, which is known as a racist skinhead hate group with chapters in Florida and Tennessee. Gross claimed he had to get guns on the street because he was unable to legally purchase firearms due to his criminal history.
U.S. District Judge Aileen M. Cannon will sentence Gross in Fort Pierce on April 7, at 10:45 a.m. Gross faces up to 10 years in federal prison.
Juan Antonio Gonzalez, U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, FBI Miami, made the announcement.
FBI Miami investigated this case. Assistant U.S. Attorney Michael D. Porter is prosecuting it.
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 21-cr-14024.
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Member of Armed Robbery Crew Sentenced to 14 Years in PrisonRead the Press Release
LAS VEGAS – A Henderson man who was a member of a crew that robbed at least nine stores in southern Nevada was sentenced today to 14 years in prison.
Kaili Tualau (31) pleaded guilty in October 2021 to three counts of interference with commerce by robbery and one count of brandishing a firearm in furtherance of a crime. In addition to the term of imprisonment, U.S. District Judge James C. Mahan sentenced Tualau to three years of supervised release.
According to court documents, between March and October 2016, Tualau and co-conspirators Jason Goldsby, Rudy Redmond, Bonnie Madrigal, Jessie Mendoza, and others robbed at least nine pawn shops in Las Vegas and Henderson. During each robbery, one robber stood guard at the door brandishing a firearm, while another robber used a sledgehammer to break open a display case and steal high value jewelry and watches. The robbers then fled in a stolen getaway vehicle, which they later abandoned for a second getaway vehicle. In total, the stolen items were valued at approximately $201,900.
Goldsby, Redmond, and Madrigal all pleaded guilty in September and October 2021. Redmond has been sentenced, while Goldsby and Madrigal are awaiting sentencing. Mendoza pleaded guilty in September 2019 to his role in one robbery and was sentenced to 43 months in prison.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Special Agent in Charge Aaron C. Rouse for the FBI made the announcement.
This case was investigated by the FBI with significant assistance from the Las Vegas Metropolitan Police Department and Henderson Police Department. Assistant U.S. Attorneys Tony Lopez, Jim Fang, and Simon Kung are prosecuting the case.
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Medical Imaging Companies CEO Sentenced to 5 Years in Prison for $250 Million Health Care Fraud Run via State Workers’ Comp SystemRead the Press Release
SAN DIEGO – The CEO of several Southern California-based medical imaging companies was sentenced today to 60 months in federal prison for running a scheme that submitted more than $250 million in fraudulent claims through the California Workers’ Compensation System for medical services procured through bribes and kickbacks to physicians and others.
Sam Sarkis Solakyan, 40, of Glendale, was sentenced by United States District Judge Cynthia A. Bashant. Judge Bashant also ordered him to pay $27,937,175 in restitution to the victim insurers. She also banned him from working in the health care and workers compensation industries for his three-year term of supervised release once he completes his prison sentence.
During an eight-day trial that concluded on July 2, a jury found Solakyan guilty of one count of conspiracy to commit honest services mail fraud and health care fraud, and 11 counts of honest services mail fraud.
“[Solakyan] paid some $9 million in kickbacks in order to generate over $250 million in fraudulent medical billings, the vast majority of which were for MRIs [magnetic resource images] that were…totally medically unnecessary,” prosecutors wrote in a sentencing memorandum. “[Solakyan] devised, and through his kickbacks fueled, a cross-referral scheme that incentivized [co-conspirators] to herd patients to physicians who overprescribed ancillary services in exchange for cash and other economic benefits.”
Solakyan was the CEO of several medical-imaging companies, including the Glendale-based Vital Imaging Inc., and San Diego MRI Institute. Solakyan operated diagnostic imaging facilities throughout California, including the Bay Area, Los Angeles and Orange counties, and San Diego.
From no later than mid-2013 to November 2016, Solakyan conspired with physicians and others to perpetrate a scheme in which physicians were paid bribes and kickbacks in exchange for the referral of workers’ compensation patients. The compensation offered to the corrupt doctors consisted of either cash or referrals of new patients in what is known as a “cross-referral” scheme.
The conspirators obscured the true nature of their financial relationships to conceal the bribes and kickbacks, including by entering into various sham agreements such as contracts for “marketing,” “administrative services,” and “scheduling,” when in fact the money Solakyan paid amounted to volume-based, per- magnetic resonance imaging (MRI) scan bribes and kickbacks to induce physicians to refer and continue referring patients to Solakyan’s companies.
Solakyan’s recruiters required physicians to refer a minimum number of patients to receive “cross-referrals,” and those referrals stopped if the physicians failed to meet the minimum quota. Solakyan paid more than $8.6 million in kickbacks disguised largely as sham “scheduling” fees in exchange for MRI referrals, payments which were concealed from patients and health insurers.
In total, Solakyan submitted and caused to be submitted more than $250 million in claims for medical services procured through the payment of bribes and kickbacks.
The FBI and the California Department of Insurance, Fraud Division, investigated this matter.
Assistant United States Attorneys Adam P. Schleifer of the Major Frauds Section and Faraz R. Mohammadi of the Santa Ana Branch Office prosecuted this case.
Maryland man admits to role in drug trafficking and firearms conspiracyRead the Press Release
MARTINSBURG, WEST VIRGINIA – Charles Grant, of Waldorf, Maryland, has admitted to a drug charge, United States Attorney William Ihlenfeld announced.
Grant, 61, pleaded guilty today to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Eutylone.” Grant admitted to working with others to distribute Eutylone from June 2019 to December 2020 in Berkeley and Jefferson Counties and elsewhere.
Grant faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The FBI; U.S. Marshals Service; Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms, & Explosives; the West Virginia Air National Guard; the Eastern Panhandle Drug Task Force, a HIDTA-funded initiative; the West Virginia State Police; the Harpers Ferry Police Department, and the Metropolitan Police Department of Washington, D.C. investigated. The EPDTF consists of the West Virginia State Police, Berkeley County Sheriff’s Office, the Jefferson County Sheriff’s Office, Ranson Police Department, the Charles Town Police Department, and the Martinsburg Police Department
U.S. Magistrate Judge Robert W. Trumble presided.
Man Who Orchestrated the Sale of Hundreds of Kilos of Meth for the Universal Aryan Brotherhood Pleads GuiltyRead the Press Release
A member of the Universal Aryan Brotherhood has pleaded guilty in federal court for leading and organizing the sale of hundreds of kilos of methamphetamine throughout Oklahoma, announced U.S. Attorney Clint Johnson.
Jeremy C. Anderson, 34, pleaded guilty to the charge of continuing criminal enterprise but refused to cooperate with the United States. If the plea agreement is accepted by a federal judge, Anderson will serve 22 years in federal prison.
“Jeremy Anderson’s methamphetamine operation helped support the Universal Aryan Brotherhood’s criminal enterprise and contributed to addiction and violence in Oklahoma. He has now been held accountable,” said U.S. Attorney Clint Johnson. “The successful prosecution of this criminal enterprise is an example of what can be accomplished when law enforcement agencies team up to share their unique capabilities and resources.”
In his plea agreement, Anderson admitted from at least 2011 and continuing through December 2018, he led, organized and managed a large-scale methamphetamine distribution enterprise. The enterprise involved more than five people who obtained and distributed hundreds of kilos of methamphetamine at Anderson’s direction. The methamphetamine was manufactured in Mexico and distributed throughout the state of Oklahoma, including Tulsa. Anderson obtained hundreds of thousands of dollars from the sale and distribution of the drug.
Anderson was initially charged on Dec. 7, 2018, with 17 other UAB members and associates. The indictment was unsealed Feb. 20, 2019, and alleged the gang to be a racketeering enterprise that committed acts of murder, kidnapping, the trafficking of methamphetamine and firearms, money laundering, assault, and robbery throughout the State of Oklahoma.
The UAB was established in 1993 within the Oklahoma Department of Corrections and modeled itself after the principles and ideology of the Aryan Brotherhood, a California-based prison gang that formed in the 1960s.
U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and IRS-Criminal Investigation led the investigation with assistance from the Tulsa County Sheriff’s Office, the Oklahoma Department of Corrections, the Tulsa and Enid Police Departments, the Oklahoma Bureau of Narcotics and Dangerous Drugs, the U.S. Marshals Service, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Dennis A. Fries is prosecuting this case.
You can find the press release announcing charges here.
Man Sentenced to More Than 17 Years in Federal Prison for Meth ConspiracyRead the Press Release
On January 26, 2022, a man who conspired to distribute methamphetamine was sentenced in federal court in Sioux City.
Nicholas Griffin, 38, from Sioux City, Iowa, pled guilty on August 31, 2021, to conspiracy to distribute methamphetamine. Griffin was previously convicted of four felony drug offenses, including possession with intent to deliver marijuana in Dickinson County in 2004; delivery of cocaine in Dickinson County in 2008; possession of MDMA with intent to deliver in Blackhawk County in 2008; and possession of marijuana with intent to deliver in Webster County in 2015.
Evidence at the hearings showed that from November 2020 through January 2021, Griffin and others distributed more than 10 pounds of methamphetamine in the Webster and Hamilton County areas. In January 2021, law enforcement attempted to stop the vehicle Griffin was driving. Griffin attempted to flee, with speeds reaching in excess of 100 mph, ultimately resulting in Griffin crashing his vehicle into a utility pole in Fort Dodge, Iowa. During a search of the vehicle, law enforcement seized approximately 10 pounds of methamphetamine, about ½ gram of cocaine, about ¼ ounce of marijuana, and $7,559 in U.S. currency.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Griffin was sentenced to 214 months’ imprisonment and a ten-year term of supervised release following any imprisonment. Griffin remains in custody of the United States Marshal until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Iowa Division of Narcotics Enforcement, Iowa State Patrol, Fort Dodge Police Department, Webster County Iowa Sheriff’s Office, Hamilton County Iowa Sheriff’s Office, and Iowa DCI Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-3001. Follow us on Twitter @USAO_NDIA.
Maine and New Hampshire Herring Fishermen Charged with Conspiracy, Fraud, and Falsification of RecordsRead the Press Release
PORTLAND, Maine: Five fishermen from Maine and one fisherman from New Hampshire, along with a corporation, were charged with conspiracy, mail fraud, and obstruction of justice in connection with a multi-year scheme to sell unreported Atlantic herring and falsify fishing records, U.S. Attorney Darcie N. McElwee announced.
Glenn Robbins, 75, of Eliot; Ethan Chase, 44, of Portsmouth, New Hampshire; Neil Herrick, 46, of Rockland; Andrew Banow, 35, of Rockport; Stephen Little, 56, of Warren; Jason Parent, 49, of Owls Head; and Western Sea, Inc., were named in a 35-count indictment returned today.
According to the indictment, between June 2016 and September 2019, the owner, captains, and crew aboard the F/V Western Sea sold more than 2.6 million pounds of Atlantic herring that was not reported to the National Oceanic and Atmospheric Administration (NOAA). NOAA relies upon accurate reports to set policies designed to ensure a sustainable fishery. The indictment alleges that members of the crew were paid directly by fish dealers and lobster vessel operators for the unreported herring.
“The type of unscrupulous and unlawful fishing alleged in the Indictment returned by the grand jury directly affects the economic benefit of law-abiding fishermen and fishing communities,” said Director James Landon, NOAA Office of Law Enforcement. “We will continue to help bring to justice those who are proven to have violated U.S. fishing laws and regulations, to help ensure the sustainability of our living marine resources while also maximizing economic benefit.”
NOAA’s Office of Law Enforcement and the Maine Marine Patrol investigated the case.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Long Island Man Pleads Guilty to Heroin and Fentanyl TraffickingRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Donta Riddick pleaded guilty to possession of heroin and fentanyl with intent to distribute on September 15, 2020. Riddick also admitted to the distribution of heroin and fentanyl on September 13, 2020 that caused the death of a 21-year old resident of Massapequa, New York. As part of his guilty plea, Riddick agreed to a sentence of 198 months’ imprisonment, to be followed by five years’ supervised release, subject to the Court’s approval. Today’s proceeding was held before United States District Judge Gary R. Brown.
Breon Peace, United States Attorney for the Eastern District of New York, Timothy Foley, Acting Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), and Patrick J. Ryder, Commissioner, Nassau County Police Department (NCPD), announced the guilty plea.
“Today, the defendant admitted to trafficking heroin laced with fentanyl that caused the overdose death of a young woman on Long Island,” stated United States Attorney Peace. “The opioid epidemic and the tragic overdose deaths of so many have had a devastating impact on our communities. This Office, together with our federal and local partners, will continue to work tirelessly to prosecute and hold accountable those who contribute to this serious problem.”
“The facts of the case clearly demonstrate fentanyl’s lethal nature. Today’s guilty plea culminates one of many DEA investigations targeting drug trafficking rings whose illegal actions contribute to the rising drug-related overdose rates. I commend the investigators and prosecutors involved in this case,” stated DEA Acting Special Agent-in-Charge Foley.
“Defendant Donta Riddick did intentionally sell illegal drugs to a young woman who ultimately passed from an overdose of those drugs which were laced with deadly fentanyl. The multi-agency investigation led to the arrest of the defendant which removes a dangerous drug dealer from our communities. I would like to thank and congratulate all of the investigators and those respective agencies for a job well done,” stated NCPD Commissioner Ryder.
According to court filings and statements made by the defendant at the guilty plea proceeding, on the night of September 13, 2020, Riddick sold fentanyl-laced heroin to the victim, who suffered a fatal overdose at a motel in Massapequa the following morning. A review of the victim’s cell phone by law enforcement revealed text messages she exchanged with Riddick in which she appeared to be ordering heroin from the defendant. On September 15, 2020, during the subsequent investigation by the DEA and NCPD, Riddick was arrested in possession of street-level quantities of the same fentanyl-laced heroin that had caused the death of the victim the day before.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Charles N. Rose and Samantha Alessi are in charge of the prosecution.
The Defendant:
DONTA RIDDICK
Age: 35
West Babylon, New YorkE.D.N.Y. Docket No. 20-CR-517 (S-1) (GRB)
Lee’s Summit Man Pleads Guilty to Arson, Insurance Fraud ConspiracyRead the Press Release
KANSAS CITY, Mo. – A Lee’s Summit, Missouri, man has pleaded guilty in federal court to leading an arson and insurance fraud conspiracy and to illegally possessing firearms.
Wandale J. Fulton, 40, pleaded guilty before U.S. District Judge Greg Kays on Thursday, Jan. 27, to one count of conspiracy to use fire in the commission of wire and mail fraud, one count of arson in the commission of a federal felony, and one count of conspiracy to commit bank fraud. Fulton also pleaded guilty to the charge contained in a separate federal indictment, one count of being a felon in possession of firearms.
By pleading guilty, Fulton admitted that he participated in an arson and insurance fraud conspiracy from 2013 through 2019. Fulton and co-conspirators bought houses in Kansas City, Mo., insured them, had them burned or vandalized, and then filed insurance claims on the houses.
Conspirators made false claims on insurance applications, such as claiming the houses were rented or occupied, that there were valuable contents in the houses, and that the houses had been renovated. After obtaining insurance, a co-conspirator would set fire to the house. The homeowner would then claim a total loss with the insurance company.
Fulton also admitted that he and his co-conspirators submitted fraudulent loan applications to Heartland Community Credit Union. They also presented fraudulent bills of sale for automobiles to Heartland to obtain loans to purchase cars. The plea agreement cites four fraudulent automobile loans obtained by conspirators from the credit union, ranging from $18,300 to $25,200. In each of those instances, Heartland issued a check to the loan applicant and the checks were delivered directly to Fulton, who deposited them into his own bank account.
ATF agents executed a search warrant at Fulton’s residence on March 26, 2019. During the search, agents found a Taurus .40-caliber semi-automatic handgun in a shoebox in the bedroom closet and an Anderson Manufacturing AM-15 semi-automatic firearm in a backpack in a closet. Agents later found a Taurus 9mm pistol in a computer bag.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Fulton has a prior felony conviction for manslaughter.
Four co-conspirators have also pleaded guilty and await sentencing.
Under federal statutes, Fulton is subject to a sentence of up to 20 years in federal prison without parole, plus a mandatory consecutive sentence of 10 years in federal prison without parole for use of fire in the commission of a federal felony. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Brent Venneman. It was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, the Lee’s Summit, Mo., Police Department, the Kansas City, Mo., Police Department, and the Kansas City, Mo., Fire Department.
Lakeland Man Sentenced to 5 Years in Federal Prison for Possessing Images and Videos Depicting the Sexual Abuse of InfantsRead the Press Release
Tampa, Florida – U.S. District Judge Thomas P. Barber has sentenced Matthew Holton (25, Lakeland) to five years in federal prison for possessing images and videos depicting young children being sexually abused. Holton was also ordered to serve a lifetime term of supervised release, to register as a sex offender, and to pay $21,000 in restitution to child victims. Holton had pleaded guilty on June 4, 2021.
According to court documents, agents with Homeland Security Investigations began investigating the internet upload of an image depicting the sexual abuse of a child between the ages of one and three, as reported by an internet service provider to the National Center of Missing and Exploited Children. Agents executed a search warrant at Holton’s residence and seized his iPhone that contained more than 1,000 images and 19 videos of child sexual abuse materials, including depictions of minors as young as one years old.
“Every time child pornography is viewed, it re-victimizes a young child,” said HSI Tampa acting Assistant Special Agent in Charge Jennifer Silliman. “This criminal will now face the consequences of his crimes.”
This case was investigated by Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Ilyssa M. Spergel.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Lake City Incest Chatroom Administrator Sentenced to 20 Years for Distributing Child Sexual Abuse MaterialRead the Press Release
Jacksonville, Florida – Chief U.S. District Judge Timothy J. Corrigan has sentenced John Thomas Jackson (43, Lake City) to 20 years in federal prison for distributing visual depictions of child sexual abuse. The Court also ordered Jackson to serve a life term of supervised release, to register as a sex offender, and to forfeit the phone that he had used to distribute the images and videos of children being sexually abused.
Jackson had pleaded guilty on October 25, 2021, and has been detained since his arrest on July 4, 2021.
According to court documents, the FBI received information that an individual using the alias “Terry Borden” was sending hundreds of files over the internet depicting prepubescent children being sexually abused. The FBI interviewed an individual who was chatting online with “Terry Borden” and reviewed communication between “Terry Borden” and the other individual in which “Terry Borden” indicated that he planned to produce sexually explicit photographs of two minor girls the next day. “Terry Borden” also discussed plans to molest a child and have sex with a child over the course of the weekend. Further investigation confirmed that the user “Terry Borden” was actually John Thomas Jackson.
Jackson also engaged in an online chat with an FBI agent posing as a 14-year-old girl, sent nude photographs of himself and photographs of himself wearing women’s underwear to the 14-year-old “child,” and requested nude photographs of the minor. He told the “child” that he had previously engaged in sexual activity with an 8-year-old female child and invited the “child” to join a private chat room that catered to individuals interested in sexual activity between “daughters and daddies” of which he was the administrator. Jackson uploaded files depicting child sexual abuse material to that chatroom prior to and after he invited the “child” to join the chat room.
The Columbia County Sheriff’s Office and the FBI executed a search warrant at Jackson’s residence on July 4, 2021. During an interview with law enforcement, Jackson admitted that he is “Terry Borden,” that he watches and trades videos of children as young as 2-years-old being sexually assaulted, and that he has sexual urges that are satisfied by his viewing of child sexual abuse material. Jackson admitted to trading files depicting the sexual assault of children over the internet with hundreds of individuals and that he has been doing so for 10 years.
This case was investigated by the Federal Bureau of Investigation and the Columbia County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Kelly S. Karase. Assistant United States Attorney Mai Tran handled the forfeiture.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Knoxville Man Sentenced to 240 Months for Transportation and Possession of Child PornographyRead the Press Release
KNOXVILLE, Tenn.– On January 27, 2022, Timothy Chad Canady (Canady), 43, currently of Knoxville, was sentenced by the Honorable Katherine A. Crytzer, in the United States District Court for the Eastern District of Tennessee at Knoxville to serve 240 months in federal prison.
As part of the plea agreement filed with the court, Canady agreed to plead guilty to an indictment charging him with one count of transportation of child pornography in violation of 18 U.S.C. § 2252A (1) and 2252A(b)(1) and one count of possession of child pornography in violation of 18 U.S.C. § 2252A(a)(5)(B) and 2252A(b)(2). As part of the federal sentence, following his release from federal prison, Canady will be placed on supervised release for life. Canady will be required to register with state sex offender registry where he lives, works, or attends school and will be required to comply with special sex offender conditions during his supervised release.
According to documents filed in court and witness testimony, from November 2017 through February 2020, defendant transported child pornography in interstate commerce and possessed child pornography. Canady used social media websites to communicate with others to trade links of child pornography. Canady used multiple phones, 15 email addresses and 14 usernames to transport and collect the child pornography. In Canady’s possession were found 640 images and 153 videos of child pornography, including sadistic depictions portraying infants and toddlers engaged in sexually explicit conduct. Canady had been paroled in June 2015 after serving approximately 12 years on a 40-year sentence for facilitation to commit felony murder and two counts of attempted aggravated robbery.
The criminal indictment was the result of an investigation by the Department of Homeland Security, Homeland Security Investigations, and Knoxville Police Department’s Internet Crimes Against Children unit.
Assistant United States Attorney Jennifer Kolman represented the United States in court.
This case was brought as part of Project Safe Childhood (PSC), 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 Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC 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 PSC, please visit www.justice.gov/psc. For more information about internet safety education, please visit www.justice.gov/psc/resources.html and click on the tab "resources.
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Justice Department secures agreement with Kroger to make online COVID-19 vaccine registration accessible for people with disabilitiesRead the Press Release
COLUMBUS, Ohio – United States Attorney Kenneth L. Parker announced today a Department of Justice settlement agreement with Ohio-based retailer The Kroger Co. The agreement, secured under the Americans with Disabilities Act (ADA), will eliminate barriers preventing people with certain disabilities from getting information about COVID-19 vaccinations and booking their vaccination appointments online.
Kroger has 2,800 retail grocery stores under the Kroger name and others, with a presence in 35 states and the District of Columbia.
The COVID-19 Vaccine Registration Portal for Kroger-branded stores, currently located at https://www.kroger.com/health/pharmacy/covid-care, was not accessible to people with certain disabilities, including those who use screen reader software. For instance, critical medical screening questions, were not read to screen readers users. These included questions about current COVID-related symptoms, allergies, and reactions to previous vaccines. Further, when a screen reader user selected an available appointment time, the website told them that the available appointment was “unavailable” instead of “selected.”
Under today’s settlement, Kroger will make content about the COVID-19 vaccine, including the forms for scheduling an appointment to get the vaccine, conform to the Web Content Accessibility Guidelines (WCAG), Version 2.1, Level AA. WCAG is a set of voluntary industry guidelines for making information on a website accessible to users with disabilities.
Kroger also must regularly test the pages of its website that include vaccine scheduling and information about the COVID-19 vaccine, and quickly fix any problems that keep people with disabilities from being able to use these pages.
“All individuals deserve a full and equal opportunity to access services like vaccines,” U.S. Attorney Parker said. “This office will continue to partner with the Department of Justice’s Civil Rights Division to ensure that equal access.”
“Access for people with disabilities should never be an afterthought, including during the COVID-19 pandemic,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “When a store’s website is inaccessible, people with disabilities may struggle to get potentially life-saving vaccines for themselves and their loved ones. This agreement helps fulfill the promise of the ADA by ensuring individuals with disabilities have equal access to healthcare.”
ADA complaints may be filed online at www.ada.gov/complaint.
Anyone in the Southern District of Ohio may also report civil rights violations to the Civil Rights Coordinator of the U.S. Attorney’s Office for the Southern District of Ohio by emailing [email protected] or calling 614-469-5715.
Assistant United States Attorney Michael J.T. Downey is representing the United States in this matter in the Southern District of Ohio.
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Justice Department Secures Agreement to Make Online COVID-19 Vaccine Registration Accessible for People with Disabilities at Kroger Grocery ChainRead the Press Release
The Justice Department today announced that it has secured a settlement agreement with The Kroger Co. (Kroger) under the Americans with Disabilities Act (ADA) that will eliminate barriers preventing people with certain disabilities from getting information about COVID-19 vaccinations and booking their vaccination appointments online. Kroger is an Ohio-based retailer with approximately 2,800 retail grocery stores under the Kroger name and other brands, with a presence in 35 states and the District of Columbia. Today’s resolution is the department’s third agreement on the critical issue of COVID-19 vaccination website accessibility, following settlement announcements in November 2021 (Rite Aid Corporation) and December 2021 (Hy-Vee Inc.).
The COVID-19 vaccine registration portal for Kroger-branded stores, currently located at https://www.kroger.com/health/pharmacy/covid-care, was not accessible to people with certain disabilities, including those who use screen reader software. For instance, critical medical screening questions about current COVID-related symptoms, allergies and reactions to previous vaccines were not read to screen reader users. Further, when a screen reader user selected an available appointment time, the website told them that the available appointment was “unavailable,” instead of “selected.”
“Access for people with disabilities should never be an afterthought, including during the COVID-19 pandemic,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “When a store’s website is inaccessible, people with disabilities may struggle to get potentially life-saving vaccines for themselves and their loved ones. This agreement helps fulfill the promise of the ADA by ensuring individuals with disabilities have equal access to healthcare.”
“All individuals deserve a full and equal opportunity to access services like vaccines,” said U.S. Attorney Kenneth L. Parker for the Southern District of Ohio. “This office will continue to partner with the Department of Justice’s Civil Rights Division to ensure that equal access.”
Under today’s settlement, Kroger will conform web content about the COVID-19 vaccine, including the forms for scheduling an appointment to get the vaccine, to the Web Content Accessibility Guidelines (WCAG), Version 2.1, Level AA. WCAG is a set of voluntary industry guidelines for making information on a website accessible to users with disabilities. Kroger also must regularly test the pages of its website that include vaccine scheduling and information about the COVID-19 vaccine, and quickly fix any problems that keep people with disabilities from being able to use these pages.
This matter was handled jointly by the Disability Rights Section of the Civil Rights Division and the U.S. Attorney’s Office for the Southern District of Ohio. Title III of the ADA requires public accommodations like drugstores and grocery stores to provide individuals with disabilities with full and equal enjoyment of goods and services, such as vaccines. The ADA also requires public accommodations to ensure effective communication with people with disabilities, including by using auxiliary aids and services like accessible technology.
For more information on the Civil Rights Division, please visit www.justice.gov/crt. For more information on the ADA, please call the department’s toll-free ADA Information Line at 800-514-0301 (TDD 800-514-0383) or visit www.ada.gov. ADA complaints may be filed online at www.ada.gov/complaint. Anyone in the Southern District of Ohio may also report civil rights violations to the Civil Rights Coordinator of the U.S. Attorney’s Office for the Southern District of Ohio by calling 614-469-5715 or emailing [email protected].
Jefferson Township Man Sentenced to Probation for Possessing Firearms While an Unlawful User of A Controlled SubstanceRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that James C. Cartwright, age 34, of Jefferson Township, Pennsylvania, was sentenced on January 27, 2022, by U.S. District Court Judge Malachy E. Mannion to two years of probation for possessing two firearms while an unlawful user of a controlled substance.
According to United States Attorney John C. Gurganus, Cartwright previously admitted that between November 2, 2019, and through July 1, 2020, in Wayne and Lackawanna Counties, he was in possession of two firearms, a Taurus PT740 and a Heritage Arms revolver, while knowing that he was an unlawful user of a controlled substance.
The matter was investigated by the Drug Enforcement Administration. Assistant U.S. Attorney James M. Buchanan prosecuted the case.
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.
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Jacksonville Nurse Sentenced to Federal Prison for Tampering with Intensive Care Unit Patient’s MedicationRead the Press Release
Jacksonville, Florida – U.S. District Judge Timothy J. Corrigan has sentenced Jerome Clampitt II to six months in federal prison, followed by six months of home detention for tampering with a consumer product, specifically, injectable fentanyl.
Clampitt had pleaded guilty on October 27, 2021.
According to court documents, on January 30, 2020, Clampitt, a registered nurse, was working a night shift in the intensive care unit of a hospital in Jacksonville. A patient under Clampitt’s care was prescribed and receiving an intravenous dose of fentanyl, which is used both as a pain medication and as anesthesia. Two fellow employees saw Clampitt using a syringe to inject a substance into the device that dispensed fentanyl into the patient, when there was no medically valid reason for Clampitt to do so. Laboratory testing eventually determined that the patient’s dose of fentanyl had been diluted with saline.
When interviewed by law enforcement officers, Clampitt eventually admitted that he had diverted drugs from patients at the hospital for personal use. During that interview, however, he denied diluting patient drugs with saline.
An audit of hospital records showed multiple discrepancies in Clampitt’s handling of controlled substances during the time he worked for the hospital, which had been less than a month. Investigators later learned that in 2019, a separate hospital had employed Clampitt and discovered discrepancies in its records that suggested he might have been diverting drugs for his own use. That hospital fired Clampitt after he refused to submit to a drug test.
As part of his guilty plea, Clampitt admitted that he knew that his activities resulted in one or more critically ill patients receiving diluted fentanyl, which lacked prescribed quantities of active medication necessary to control pain. Having been deprived of medically-necessary medication, such patients would endure pain and suffering and were exposed to increased risks of illness and death, stemming from, among other things, possible infection and respiratory, cardiovascular, and musculoskeletal complications.
This case was investigated by the U.S. Food and Drug Administration, Office of Criminal Investigations, and the Jacksonville Sheriff’s Office – Pharmaceutical Diversion & Designer Drug Unit attached to the North Florida High Intensity Drug Trafficking Area. It was prosecuted by Assistant United States Attorney Michael J. Coolican.
Iowa man sentenced to federal prison after admitting to sex crimes at Georgia military baseRead the Press Release
SAVANNAH, GA: A former U.S. Army soldier previously stationed at Fort Stewart has been sentenced to prison after admitting he committed sex crimes against a minor.
Jason L. Adkins, 46, of Swann, Iowa, was sentenced to 76 months in prison after pleading guilty to Abusive Sexual Contact with a Child Under 12 Years of Age, said David H. Estes, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge William T. Moore Jr. also ordered Adkins to serve 15 years of supervised release after completion of his prison term.
There is no parole in the federal system.
“Thanks to the difficult work of law enforcement and education professionals, Jason Adkins has been brought to justice for his depraved actions,” said U.S. Attorney Estes. “We will be relentless in protecting our most vulnerable citizens.”
As described in court documents and testimony, Adkins had been stationed in Fort Stewart prior to retiring from the Army in 2015, after which he relocated to Altoona, Iowa. Officers with the Police Department in Altoona contacted Army Criminal Investigation Command to report Adkin’s arrest on state child sex crimes charges in 2019, and the subsequent investigation determined that Adkins had committed similar offenses in both locations. His federal sentence will be served consecutively to a four-year state sentence for his crimes in Iowa.
“Army CID Special Agents work tirelessly to ensure those who perpetrate the heinous crime of sexual assault against a child are held accountable,” said Gregory Ford, Director of the U.S. Army Criminal Investigation Division (CID). “This sentence is a
reflection of the steadfast relationships CID maintains with our federal, state, and local law enforcement partners across the country. I want to thank the Altoona Police Department for their dedication to this complex investigation.”The case was investigated by the U.S. Army Criminal Investigation Division and the Altoona Police Department and prosecuted for the United States by Assistant U.S. Attorney Marcela C. Mateo and Special Assistant U.S. Attorney Darron Hubbard.
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 800-843-5678, or https://report.cybertip.org/.
Iowa man sentenced to federal prison after admitting to sex crimes at Georgia military baseRead the Press Release
SAVANNAH, GA: A former U.S. Army soldier previously stationed at Fort Stewart has been sentenced to prison after admitting he committed sex crimes against a minor.
Jason L. Adkins, 46, of Swann, Iowa, was sentenced to 76 months in prison after pleading guilty to Abusive Sexual Contact with a Child Under 12 Years of Age, said David H. Estes, U.S. Attorney for the Southern District of Georgia. U.S. District Court Judge William T. Moore Jr. also ordered Adkins to serve 15 years of supervised release after completion of his prison term.
There is no parole in the federal system.
“Thanks to the difficult work of law enforcement and education professionals, Jason Adkins has been brought to justice for his depraved actions,” said U.S. Attorney Estes. “We will be relentless in protecting our most vulnerable citizens.”
As described in court documents and testimony, Adkins had been stationed in Fort Stewart prior to retiring from the Army in 2015, after which he relocated to Altoona, Iowa. Officers with the Police Department in Altoona contacted Army Criminal Investigation Division to report Adkin’s arrest on state child sex crimes charges in 2019, and the subsequent investigation determined that Adkins had committed similar offenses in both locations. His federal sentence will be served consecutively to a four-year state sentence for his crimes in Iowa.
“Army CID Special Agents work tirelessly to ensure those who perpetrate the heinous crime of sexual assault against a child are held accountable,” said Gregory Ford, Director of the U.S. Army Criminal Investigation Division (CID). “This sentence is a reflection of the steadfast relationships CID maintains with our federal, state, and local law enforcement partners across the country. I want to thank the Altoona Police Department for their dedication to this complex investigation.”
The case was investigated by the U.S. Army Criminal Investigation Division and the Altoona Police Department and prosecuted for the United States by Assistant U.S. Attorney Marcela C. Mateo and Special Assistant U.S. Attorney Darron Hubbard.
Anyone with information on suspected child sexual exploitation can contact the National Center for Missing and Exploited Children at 800-843-5678, or https://report.cybertip.org/.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Jan. 25 was:
Preston Jay Spotted Eagle, 30, of Browning, on charges of theft of government property, injury or depredation to government property and Golden and Bald Eagle Protection Act violation. If convicted of the most serious crime, Spotted Eagle faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Spotted Eagle was released pending further proceedings. The U.S. Fish & Wildlife Service investigated the case. PACER case reference. 21-87.
Deion Vincent Brown, also known as Peat and D, 27, of Detroit, Michigan, on charges of conspiracy to possess with intent to distribute controlled substances and possession with intent to distribute controlled substances. Brown faces a maximum of 20 years in prison, a $1 million fine and three years of supervised release. Brown was released pending further proceedings. The FBI, Tri-Agency Task Force, Russell Country High Intensity Drug Trafficking Area Task Force and Bureau of Indian Affairs investigated the case. PACER case reference. 21-72.
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Jan. 27 was:
Thomas Clay Sebastian, 24, of Billings, on charges of attempted coercion and enticement. If convicted of the most serious crime, Sebastian faces a mandatory minimum 10 years to life in prison, a $250,000 fine and five years to life of supervised release. Sebastian was detained pending further proceedings. The FBI investigated the case. PACER case reference. 22-09.
Jason Robert Kroepelin, 32, of Billings, on charges of attempted coercion and enticement and possession of child pornography. If convicted of the most serious crime, Kroepelin faces a mandatory minimum 10 years to life in prison, a $250,000 fine and five years to life of supervised release. Kroepelin was detained pending further proceedings. The FBI, Homeland Security Investigations, Billings Police Department, Yellowstone County Sheriff’s Office and Eastern Montana High Intensity Drug Trafficking Area Task Force investigated the case. PACER case reference. 22-05.
Alex Jason Todd, 22, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Todd faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release. Todd was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 22-10.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Indian Trail Man Is Sentenced to 30 Months in Prison for Scheme to Defraud COVID-19 Unemployment Insurance Benefit ProgramRead the Press Release
CHARLOTTE, N.C. – U.S. District Judge Robert J. Conrad sentenced Joseph Ransome, 51, of Indian Trail, N.C., to 30 months in prison for wire fraud yesterday, for defrauding the COVID-19 Unemployment Insurance (UI) benefit program, announced Dena J. King, U.S. Attorney for the Western District of North Carolina. Judge Conrad also ordered Ransome to serve three years of supervised release and to pay $44,172 in restitution.
The Coronavirus Aid, Relief and Economic Security (CARES) Act is a federal lawenacted March 29, 2020, designed to provide emergency financial assistance, including expanded UI benefits, to millions of Americans suffering the economic effects of the COVID-19 pandemic.
According to plea documents and statements made in court, from March 2020 through July 2020, Ransome received UI benefits to which he was not entitled. Court documents show that Ransome applied for fraudulent UI benefits in multiple states, including in North Carolina, New Jersey, New York, and elsewhere. Ransome filed for the UI benefits based on fraudulent claims, including non-existent employment and false reason for termination. For example, Ransome falsely claimed to have been laid off from Walmart in North Carolina due to COVID-19, when in fact Ransome had been laid off due to misconduct. Ransome also falsely claimed prior employment at Target, BestBuy, Lowe’s, and Hobby Lobby, and falsely claimed that he had been laid off from some of these companies because he had been diagnosed with COVID-19 or due to lack of work because of the coronavirus when he had never in fact been employed by those companies. As a result of the fraudulent scheme, during the relevant time period, Ransome applied for more than $163,000 in fraudulent UI benefits provided under the expanded CARES Act.
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In a separate case, Judge Conrad revoked Bryon Jones’s supervised release after the defendant violated its terms by engaging in a scheme to defraud the U.S. Small Business Administration (SBA). According to court documents in this case, Jones, 66, of Charlotte, used false and fraudulent business information to apply for and receive through his business, Ramses Air Freight & Transport, Inc., $142,900 in COVID-19 relief funds disbursed by the SBA under the Economic Injury Disaster Loan (EIDL) program. Jones, who was on a 10-year term of federal supervised release for a previous drug trafficking conviction, was ordered to serve 24 months in prison and five years of supervised release for the new violations.
In making today’s announcement, U.S. Attorney King commended the U.S. Postal Inspection Service, the FBI, and the Atlanta Regional Office of the U.S. Department of Labor, Office of the Inspector General, for their investigation of the Ransome case. Jones’s investigation was conducted by the U.S. Postal Inspection Service, the SBA and the U.S. Probation Office.
Assistant U.S. Attorney Caryn Finley was in charge of the prosecution against Ransome. The Jones prosecution was handled by Assistant U.S. Attorney Graham Billings.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form. Members of the public in the Western District of North Carolina are also encouraged to call 704-344-6222 to reach their local Coronavirus Fraud Coordinator.
Illinois Man Pleads Guilty to Marijuana TraffickingRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that Syed Ahmad, 47, of Chicago, Illinois, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to conspiracy to possess with intent to distribute, and to distribute, 100 kilograms or more of marijuana. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40, and a $5,000,000 fine.
Assistant U.S. Attorneys Joshua A. Violanti and Misha Coulson, who are handling the case, stated Ahmad received marijuana and marijuana-based products from a co-conspirator and drove the marijuana and marijuana products to various customers across the United States, including in Western New York, for further distribution. On December 31, 2017, in Morgan County, Illinois, investigators recovered approximately 1,000 lbs. of marijuana from an RV driven by Ahmad.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The plea is the result of an investigation by Homeland Security Investigations, under the direction of Acting Special Agent-in-Charge Matthew Scarpino.
Sentencing is scheduled for June 7, 2022, before Judge Vilardo.
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Illegal Alien Sentenced to Prison for Unlawful Possession of Two FirearmsRead the Press Release
A Mexican man who illegally possessed firearms was sentenced yesterday to more than two years in federal prison.
Pedro Salazar-Trejo, age 34, a citizen of Mexico illegally present in the United States and residing in Cedar Rapids, Iowa, received the prison term after a guilty plea on October 4, 2021, to one count of Possession of a Firearm by an Illegal Alien.
In a plea agreement, Salazar-Trejo admitted that he unlawfully possessed two firearms in July 2021 while being illegally present in the United States. Salazar-Trejo had previously been deported three times and did not have permission to reenter the United States. While in the United States illegally, Salazar-Trejo was convicted in Texas of forgery of government documents, a social security card and driver’s license, in 2005, and fleeing the scene of an accident in 2008. Salazar-Trejo was first deported in May 2014 following a conviction in the Southern District of Texas for illegal entry into the United States. He was deported a second time in December 2017 following his arrest during a traffic stop in Cedar Rapids, Iowa, by ICE officials. He was deported a third time in September 2019 following a conviction in the Western District of Texas for Illegal Reentry of a Deported Alien, a felony.
On July 22, 2021, Cedar Rapids Police Officers responded to a local hotel after Salazar-Trejo called them saying someone was going to kill him and had planted a bomb in his hotel room. Inside the hotel room officers saw and seized a 9mm pistol and a semi-automatic rifle with a high-capacity magazine. Both firearms were loaded and both had a round in the chamber. Salazar-Trejo was taken into custody without incident.
Salazar-Trejo was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Salazar-Trejo was sentenced to 27 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Salazar-Trejo 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 Daniel C. Tvedt and investigated by the Cedar Rapids Police Department and the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-48.
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Houston-Area Woman Charged with Obstruction of the Enforcement of the Federal Criminal Sex Trafficking StatuteRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that DAJANAE DRAKE, age 28, from Missouri City, Texas, was charged today in a one-count bill of information with obstruction, attempted obstruction, and interference with the enforcement of the federal criminal sex trafficking statute, in violation of Title 18, United States Code, Section 1591(d). According to court documents, the criminal acts occurred between about June 25, 2021, and November 28, 2021.
If convicted, DRAKE faces a maximum term of up to twenty-five (25) years in prison, a fine of up to $250,000.00, up to five (5) years of supervised release after imprisonment, and a mandatory $100 special assessment fee per count.
U. S. Attorney Evans reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
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.”
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation and the Jefferson Parish Sheriff’s Office in this matter. Assistant United States Attorney Jordan Ginsberg is in charge of the prosecution.
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