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Thursday 13 January 2022
Omaha Woman Sentenced to 10 Years’ Imprisonment for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Jan Sharp announced that Natasha Wolterman, 40, of Omaha, Nebraska, was sentenced today in federal court in Omaha for Conspiracy to Possess with Intent to Distribute Methamphetamine. United States District Court Judge Brian C. Buescher sentenced Wolterman to 10 years’ imprisonment. There is no parole in the federal system. After completing her term of imprisonment, Wolterman will be required to serve a 5-year term of supervised release.
On June 5, 2019, Omaha Police detectives utilized a cooperating witness to collect drug proceeds from several methamphetamine suppliers inside of an Omaha hotel. Officers placed a video and audio recording device in the cooperator’s hotel room that captured the delivery of drug proceeds by Wolterman, who delivered $1,600 to the cooperator while discussing her drug trafficking. The cooperator had previously supplied Wolterman with 2 pounds of methamphetamine.
Another cooperating witness was arrested on June 7, 2019 after he was found in possession of methamphetamine and a gun outside of an Omaha hotel. Prior to his arrest, the cooperator was seen riding in a car with Wolterman, who was released prior to an inventory search of the car. More than 5 grams of actual methamphetamine were found in a woman’s purse inside of the car. During an interview with the cooperator, he described Wolterman as dealing in pound quantities of methamphetamine.
This case was investigated by the Omaha Police Department.
Omaha Man Convicted of Attempted Enticement of a MinorRead the Press Release
United States Attorney Jan Sharp announced that Nathaniel S. Theisen, 36, of Omaha, Nebraska, was sentenced today in federal court in Omaha for Attempted Enticement of a Minor. United States District Judge Brian C. Buescher sentenced Theisen to 120 months’ imprisonment. There is no parole in the federal system. After his release from prison, he will begin a 10-year term of supervised release. Judge Buescher ordered Theisen to pay a $2,500 fine and a $5,000 JVTA assessment. Theisen will also be required to register as a sex offender when he completes his sentence of imprisonment.
In late August 2020, Theisen responded to an online prostitution advertisement by texting the phone number listed in the ad. An undercover law enforcement officer purporting to be a 15-year-old female responded to Theisen’s texts. Theisen arranged to meet the 15-year-old female on February 2, 2021 at the girl’s apartment building in Omaha, offering to pay the female $200 for two hours of her time, during which the girl was expected to perform sexual acts with Theisen. Theisen was arrested when he arrived at the apartment building.
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 Attorney’s 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 Omaha FBI's Child Exploitation and Human Trafficking Task Force and the Douglas County Sheriff’s Office.
Ohio County man admits to drug chargeRead the Press Release
WHEELING, WEST VIRGINIA – Cordale Antonio Williams, of Wheeling, West Virginia, has admitted to a drug charge, First Assistant United States Attorney Randolph J. Bernard announced.
Williams, 41, pleaded guilty today to one count of “Distribution of Cocaine Base.” Williams admitted to selling cocaine base, also known as “crack,” in June 2020 in Ohio County.
Williams 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 Shawn M. Adkins is prosecuting the case on behalf of the government. The Ohio Valley Drug Task Force, a HIDTA-funded initiative, and the Bureau of Alcohol, Tobacco, Firearms & Explosives investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Nixa Woman Pleads Guilty to Meth Trafficking After High-Speed ChaseRead the Press Release
SPRINGFIELD, Mo. – A Nixa, Missouri, woman who led law enforcement officers on a high-speed chase at night with no headlights pleaded guilty in federal court today to trafficking methamphetamine.
Gina N. Nunez, 43, pleaded guilty before U.S. District Judge M. Douglas Harpool to one count of possessing methamphetamine with the intent to distribute.
By pleading guilty today, Nunez admitted that she was in possession of methamphetamine found in her vehicle after she led officers on a high-speed chase over two stop strips before crashing her vehicle and being arrested.
A sergeant with the Christian County, Mo., Sheriff’s Department attempted to stop Nunez, who was driving a gray Honda on U.S. Highway 65, a few minutes before midnight on June 27, 2021. She was driving approximately 17 to 32 miles per hour on the highway and crossing over the center line. Nunez waved at the officer as he followed her with his emergency lights and siren on for approximately three minutes. Nunez then accelerated to speeds in excess of 100 miles per hour northbound on U.S. Highway 65 to the Finley River bridge, where Ozark, Mo., police officers had positioned spike strips. Nunez continued travelling at speeds in excess of 100 miles per hour, without headlights, into Greene County.
The Greene County, Mo., Sheriff’s Department deployed a spike strip near U.S. Highway 65 and Chestnut Expressway. Nunez continued northbound on U.S. Highway 65 at speeds in excess of 100 miles per hour. At approximately 12:16 a.m., Nunez exited the highway onto Interstate 44 and crashed into the guardrail. Her vehicle was disabled, and she was arrested.
Law enforcement officers searched Nunez’s vehicle and found six plastic bags in the front passenger floorboard that contained a total of 126 grams of pure methamphetamine.
Under federal statutes, Nunez is subject to a mandatory minimum sentence of five years in federal prison without parole, up to a sentence of 40 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Cameron A. Beaver. It was investigated by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Missouri State Highway Patrol, the Christian County, Mo., Sheriff’s Department, the Greene County, Mo., Sheriff’s Department, the Springfield, Mo., Police Department, the Nixa, Mo., Police Department, and the Ozark, Mo., Police Department.
New York Resident Sentenced to 24 Months’ Imprisonment for Aggravated Identity TheftRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Josue Peguero, age 22, Bronx, New York was sentenced on January 12, 2022, to 24 months’ imprisonment and ordered to pay $19,138.01 in restitution by U.S. District Court Judge Sylvia H. Rambo after pleading guilty to a charge of aggravated identity theft.
According to United States Attorney John C. Gurganus, on January 4, 2020, Steelton Borough Police observed Peguero and two other individuals tampering with a U.S. Mail blue collection box near an intersection in the Borough of Steelton, Pennsylvania. One individual used an item to “fish” into the mailbox’s opening, while Peguero stood nearby as a lookout, and a third individual drove a getaway vehicle. The police made a traffic stop and found the Peguero and the other two in possession of numerous debit cards in others’ names. They also possessed an ATM withdrawal receipt for one debit card and a $2,500 deposit receipt for a different debit card. The receipts matched debit cards in the defendants’ possession. These cards did not match any of the defendant’s names.
The United States Postal Inspection Service conducted a follow up investigation. It established that Peguero and the other two individuals had conducted multiple fraudulent debit card transactions in New York City just prior to traveling to the Harrisburg area to fish into mailboxes and obtain stolen checks. These transactions involved the use of stolen, altered checks and debit cards belonging to other people. The investigation further determined that the three had been involved in the stealing of checks and the depositing of these checks in a fraudulent manner for several months leading up to the time of their arrest. The other two individuals also pleaded guilty to aggravated identity theft; one has been sentenced and the other is pending sentencing.
Assistant U.S. Attorney Ravi Romel Sharma prosecuted the case.
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Nevada, Mo., Business Owner Pleads Guilty to False Tax ReturnRead the Press Release
SPRINGFIELD, Mo. – A Nevada, Missouri, business owner who failed to pay taxes on nearly $1.5 million of income pleaded guilty in federal court today to filing a false tax return.
“When businesses and individuals don’t pay their fair share in taxes, they are breaking the law and cheating their law-abiding neighbors,” said U.S. Attorney Teresa Moore. “This business owner shirked his responsibilities as a citizen by willfully failing to pay taxes on nearly $1.5 million of income.”
Kevin R. Morrow, 53, waived his right to a grand jury and pleaded guilty before U.S. Chief Magistrate Judge David P. Rush to a federal information that charges him with filing a false tax return.
“This time of year, hard-working Americans are preparing to submit their federal tax returns, and the majority of them will fully and honestly report their income,” said IRS-CI Special Agent in Charge Tyler Hatcher, St. Louis Field Office. “In fairness to them, IRS-Criminal Investigation will aggressively pursue those who attempt to avoid paying their fair share of taxes and hold them accountable.”
By pleading guilty today, Morrow admitted that he omitted a total of $1,467,326 in income from the federal income tax returns he filed from 2014 through 2016. During that time, Morrow operated Morrow Show Steers, a cattle sale business, but did not report any of this income and, therefore, did not pay any taxes on this income. According to today’s plea agreement, Morrow’s false tax returns led to federal tax due and owing in the amount of $92,928. The total tax loss to the Missouri Department of Revenue is $11,910. Under the terms of his plea agreement, Morrow must pay a total of $104,838 in restitution to the federal government and the state of Missouri.
The specific charge to which Morrow pleaded guilty today is filing a false tax return on April 15, 2017. Morrow falsely claimed he received income of only $13,617 in 2016, and willfully did not report that he received additional income of $444,462 from his cattle sale business.
Under federal statutes, Morrow is subject to a sentence of up to three years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorneys Casey Clark and Shannon Kempf. It was investigated by IRS-Criminal Investigation and the Missouri Department of Revenue – Compliance and Investigation Bureau.
NC Pharmacy Operator Pleads Guilty to Conspiracy to Fraudulently Bill Medicare, Medicaid and Private Insurance CompaniesRead the Press Release
WILMINGTON, N.C. – A Pembroke woman pleaded guilty today to Conspiracy to Commit Healthcare Fraud.
According to court documents, Melisha Oxendine West pleaded guilty to Conspiracy to Commit Healthcare fraud. The charge to which West pled guilty alleges that from 2006 through July of 2017, West was employed at Townsend’s Pharmacy, located at 111 S. Main Street in Red Springs, North Carolina. During that time, West conspired with the owner of the pharmacy and others to bill fraudulent claims to Medicare, Medicaid, and private health insurers, such as Blue Cross and Blue Shield of NC. According to the charge, West and others did this by fraudulently reauthorizing previously existing prescriptions from licensed medical providers, and billing health care benefit programs as though those drugs had been dispensed.
West pleaded guilty to a violation of Title 18, United States Code, Section 1349, and faces a statutory maximum of 10 years in prison and a fine amounting to as much as twice the gross gain or loss from the offense. The sentencing before United States District Judge Louise W. Flanagan will not occur earlier than 90 days from today.
Michael Easley, U.S. Attorney for the Eastern District of North Carolina made the announcement after United States Magistrate Judge Robert Jones accepted the plea. The United States Department of Health and Human Services Office of the Inspector General is investigating the case and Assistant U.S. Attorney William M. Gilmore is prosecuting the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:21-cr-00129-FL-1.
Munster Woman Ordered to Pay over $80,000 in Restitution to Chapter 13 Bankruptcy TrusteeRead the Press Release
HAMMOND—Mary Lois Cossey, age 55, of Munster, Indiana, was sentenced by United States District Court Judge Philip P. Simon today following her August 2021 plea of guilty to one count of wire fraud, announced United States Attorney Clifford D. Johnson.
Cossey was sentenced to a term of 2 years’ probation, and was ordered to pay $81,159.97 in restitution to the Chapter 13 Trustee appointed to administer her case for the benefit of her creditors.
According to documents in this case, Cossey engaged in a scheme to defraud the Chapter 13 bankruptcy trustee and her creditors in order to take advantage of the benefits of bankruptcy—including the imposition of a stay on collection and elimination of debts—without making the financial sacrifices required under Chapter 13 of the Bankruptcy Code. Cossey did not disclose on her bankruptcy petition a debt relationship with her personal friend and creditor, identified in the Indictment as Individual A. Even though she was prohibited from incurring new debts during her bankruptcy case, Cossey charged over $240,000 on Individual A’s credit card during the course of her bankruptcy for personal expenses including multiple vacations, luxury clothing and accessories, and jewelry. Cossey incurred other post-petition debts without the permission of the Chapter 13 bankruptcy trustee and failed to disclose changes in her employment and income during her case. Cossey repaid most of her debt to Individual A, while unsecured creditors received only 27% repayment for debts that were discharged in bankruptcy.
This case was investigated by the Federal Bureau of Investigation and the Internal Revenue Service in collaboration with the Northern Indiana Bankruptcy Fraud Working Group coordinated by Region 10 U.S. Trustee, Nancy J. Gargula. A trial attorney from the U.S. Trustee’s South Bend Office also provided assistance. This case was prosecuted by Assistant United States Attorneys Abizer Zanzi and Thomas McGrath.
Mobile Man Sentenced to 57 Months in Firearms CaseRead the Press Release
MOBILE, AL – A Mobile man was sentenced today to 57 months in prison for being a felon in possession of a firearm and ammunition.
According to court documents, Jydrick Leon Frazier, 30, was arrested by Mobile police on July 8, 2020, after he crashed a truck that had been reported stolen earlier that day in Ocean Springs, Mississippi. Police searched the stolen truck and found a loaded .380-caliber pistol underneath the seat and ammunition in the center console. Frazier admitted that he knowingly possessed the pistol and the ammunition. At the time of the offense, Frazier knew that he had been convicted of multiple felony crimes, including robbery, theft, breaking and entering a vehicle, and possession of forged instruments. Under federal law, Frazier is prohibited from possessing firearms or ammunition as a result of his felony convictions.
Senior United States District Judge Callie V.S. Granade ordered Frazier to serve a three-year term of supervised release upon his release from prison, during which time he will undergo drug testing and treatment. The court did not impose a fine, but Judge Granade ordered Frazier to pay $100 in special assessments.
U.S. Attorney Sean P. Costello of the Southern District of Alabama made the announcement.
The Federal Bureau of Investigation and the Mobile Police Department investigated the case.
Assistant U.S. Attorney Justin Roller prosecuted the case on behalf of the United States.
Missoula nurse admits diverting drugsRead the Press Release
MISSOULA — A Community Medical Center nurse accused of diverting drugs meant for patients for her own use admitted to charges today, U.S. Attorney Leif M. Johnson said.
Mary Schmidt Monahan, 61, of Missoula, pleaded guilty to unlawfully obtaining controlled substances as charged in an indictment. Monahan faces a maximum of four years in prison, a $250,000 fine and one year of supervised release.
U.S. District Judge Dana L. Christensen presided. Sentencing was set for April 26. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Monahan was released pending further proceedings.
The government alleged in court documents that from January 2020 until about February 2021, Monahan diverted fentanyl and hydromorphone while employed as a nurse in the Post-Anesthesia Care Unit at Community Medical Center in Missoula. In January 2021, another CMC employee observed Monahan engaging in what appeared to be the diversion of drugs. Monahan had two vials on her workstation when she placed something in her pocket, pulled up the sleeve of her jacket to her elbow and moved out of the employee’s field of vision. When Monahan emerged, she wiped her forearm with an alcohol pad and raised her arm in the air. Shortly thereafter, Monahan requested the employee serve as a witness to the disposal of drugs, including hydromorphone and fentanyl. A review of Monahan’s dispensing records noted that in December 2020, she had distributed amounts above the normal drug quantity for her unit. When questioned by supervisors, Monahan admitted she had been diverting drugs for about a year. Monahan admitted to Drug Enforcement Administration agents that she had obtained medications for patients but administered only a portion of the drugs and kept the remainder for herself.
Assistant U.S. Attorney Karla E. Painter is prosecuting the case, which was investigated by the Drug Enforcement Administration with assistance from the Missoula Police Department.
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Michigan Man Arrested for Unemployment Fraud and Identity Theft Related to COVID-19 PandemicRead the Press Release
BOSTON – A Michigan man was arrested yesterday in Michigan in connection with his alleged involvement in a fraudulent scheme to obtain COVID-19-related unemployment assistance.
Devin Smith, 30, was charged with one count of wire fraud and one count of aggravated identity theft. Smith was released on conditions following an initial appearance in federal court in Michigan yesterday afternoon. He will appear in federal court in Boston at a later date.
In March 2020, in response to the global coronavirus pandemic, Congress passed the Coronavirus Aid, Relief, and Economic Security Act (CARES Act). The CARES Act provided funding to existing state unemployment insurance programs and created a new temporary federal program called Pandemic Unemployment Assistance (PUA). The PUA program, which in Massachusetts was administered by the Department of Unemployment Assistance, provided unemployment insurance benefits for individuals who are not eligible for other types of unemployment benefits.
According to the charging document, Smith participated in a scheme to obtain proceeds from fraudulent unemployment and PUA claims submitted in nine different states, including Massachusetts, between March and May 2020. Smith allegedly used stolen identities, including the identities of Massachusetts residents, to submit fraudulent unemployment and PUA claims and to purchase various commercial goods. Additionally, it is alleged that Smith filed multiple fraudulent unemployment and PUA claims in his own name in six different states, including in Massachusetts.
The charge of wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater, and forfeiture. The charge of aggravated identity theft provides for a mandatory sentence of two years in prison to be served consecutively to any other sentence imposed. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Rachael S. Rollins and Jonathan Mellone, Special Agent in Charge of Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigations made the announcement today. Valuable assistance in the investigation was provided by the U.S. Postal Service and the Massachusetts Department of Unemployment Assistance. Assistant U.S. Attorney Christopher J. Markham of Rollins’ Securities, Financial & Cyber Fraud Unit is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Mexican trafficker convicted following two-ton marijuana seizureRead the Press Release
BROWNSVILLE, Texas – A 20-year-old Mexican citizen faces up to life in prison after pleading guilty to conspiring to transport over four thousand pounds of marijuana, announced U.S. Attorney Jennifer B. Lowery.
Jorge Monjaraz-Perez pleaded guilty today.
At the hearing, he admitted he conspired with a drug trafficking organization to move at least 1,886 kilograms of marijuana.
He also acknowledged running a marijuana stash house in Brownsville and that he participated in at least seven drug trafficking events. Law enforcement seized all the marijuana, each ranging between 91 kilograms and 528 kilograms.
U.S. District Judge Fernando Rodriguez Jr. will impose sentencing April 19. At that time, Monjaraz-Perez faces up to life in prison.
He has been and will remain on bond pending that hearing.
The FBI and Drug Enforcement Administration conducted the investigation with the assistance of Border Patrol and Texas Department of Public Safety. Assistant U.S. Attorney David A. Lindenmuth is prosecuting the case.
Mexican citizen sentenced to federal prison for using disabled veteran’s Social Security number for benefitsRead the Press Release
CINCINNATI – Fernando Arroyo-Alonso, 59, was sentenced in U.S. District Court today to one year and one day in prison for stealing the identity of a disabled United States veteran.
The defendant was arrested in Warren County in May 2021 for misusing a Social Security number.
According to court documents, in May 2019, Arroyo-Alonso submitted an online application for Title XVI Supplemental Security Income benefits using the identity of a disabled veteran who also receives Title XVI Supplemental Security Income and Veterans Affairs benefits.
The defendant used the victim’s identity, date of birth and Social Security number to obtain an Ohio driver’s license in the victim’s name. In actuality, the victim does not reside in Ohio.
Arroyo-Alonso also obtained a criminal record while using the victim’s identity.
After serving his sentence, Arroyo-Alonso will be deported to Mexico.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio, and Andrew Boockmeier, Special Agent in Charge, Social Security Administration, Office of Inspector General (SSA-OIG), announced the sentence imposed today by Senior U.S. District Judge Michael R. Barrett. The U.S. Marshals Service, U.S. Secret Service, Homeland Security Investigations (HSI), the Ohio BMV and the Hamilton Township Police assisted with this investigation. Special Assistant United States Attorney Timothy Landry is representing the United States in this case.
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Members of Retail Theft Organization Face Federal and State ChargesRead the Press Release
Members of a large-scale theft ring have been charged by Federal and State prosecutors for their roles in an organization whose operations crossed state lines and caused more than $10 million in losses to retailers, announced U.S. Attorney Clint Johnson and Oklahoma Attorney General John O’Connor.
This week, local, state, and federal law enforcement arrested 24 defendants in Tulsa and the surrounding areas, as part of Operation Booster Buster. Five defendants remain at large.
The U.S. Attorney’s Office and the Oklahoma Attorney General’s Office charged a total of 29 defendants with taking part in the largescale retail theft ring staged out of northeastern Oklahoma.
“Organized retail crime is costly to the economic well-being of our communities. This alleged retail theft ring is estimated to have caused retailers more than $10 million in losses,” said U.S. Attorney Clint Johnson. “A joint team of investigators have worked meticulously over the past several years to connect the evidence and bring this case forward for prosecution. I am thankful for their professionalism and persistence.”
“This investigation was complex, challenging, and lengthy,” Oklahoma Attorney General John O’Connor said. “These are serious crimes. Organized crime is on the rise nationwide, and my office is committed to holding criminals accountable for their actions. I want to thank the state, local, and federal law enforcement agents and prosecutors for their work and partnership in this case.”
Charges were announced at a press conference Thursday. U.S. Attorney Johnson and Oklahoma Attorney General O’Connor were joined by Tulsa Chief of Police Wendell Franklin, Special Agent in Charge Christopher Miller of Homeland Security Investigations, Special Agent in Charge Christopher Altemus Jr. of IRS-Criminal Investigation, and Tulsa County Sheriff Vic Regalado.
Stores targeted include Reasor’s, Sprouts, Walmart, Sam’s Club, Costco, Walgreens, CVS, GNC and others.
For example, on Sept. 4, 2019, defendants Amber Clayson, Latoya Duhart and others allegedly boosted $1,329 worth of over-the-counter products, such as Flonase, Mucinex, Nexium, Zegerid, and Allegra, from a Reasor’s in Jenks, Oklahoma.
According to the federal indictment and the state’s probable cause affidavit, defendant Linda Been led the ring of “boosters” that netted $4.5 million from the sale of stolen merchandise and over-the-counter products to fencing organizations outside of Oklahoma. “Fences” then sold the stolen products through e-commerce sites, like eBay and Amazon.
Normally, fences paid Been half the market value for each item. Been, in turn, paid boosters half of her expected profit for each item they brought to her. Financial payments for stolen products were normally made through PayPal, Venmo, and Cash App, and some payments were made with drugs.
Been provided her boosters with a detailed list of items to steal and the pricing she would pay for each. She further instructed her ring on boosting techniques, including box stuffing. Box stuffing occurs when criminals conceal higher-value items inside lower-value item boxes and only paying for the lower-valued items.
Been and her team of boosters allegedly stole products from retailers in Oklahoma, Kansas, Texas, Missouri, Arkansas, and Colorado. Been would pay boosters’ expenses when they traveled outside the state. She would further pay boosters’ bond when arrested so they could continue boosting.
Boosters would then deliver the goods to predetermined locations in Tulsa, Sand Springs, and Cleveland, Oklahoma. Defendants Billy Osborne, Juston Osborne, Corey Fields, and Amanda Johnson allegedly helped manage the operation by storing stolen inventory at their residences or businesses and by prepping the merchandise for bulk shipments to fences outside the state. Been also stored stolen merchandise at her residences, prepared inventories, coordinated payment, and shipped the pallets of stolen items.
“Consumers and businesses incur a high price for thieves who commit larcenies and profit by selling their stolen goods to well organized theft rings,” said Tulsa Police Chief Wendell Franklin. “Thieves should take notice. Tulsa is not going to capitulate and allow criminals to disrupt commerce in our city.”
“These federal indictments are a result of the tremendous work and collaboration accomplished by our trusted law enforcement partners, said Christopher Miller, acting Special Agent in Charge HSI Dallas. “It does not matter where these criminal networks operate and sell their illegally acquired goods. We will work without end to ensure those involved are investigated and brought to justice.”
The investigation into the retail theft ring began in 2019 when an organized crime investigator from a pharmacy retailer shared information with Tulsa Police Detectives about bulk thefts at their Tulsa area locations. Investigators linked several boosters in the Tulsa area to Been and her son, state defendant Curtis Leon Gann Jr. They also noted that Been and Gann Jr. were allegedly selling over-the-counter medications, along with other commonly stolen items on their eBay accounts.
The Tulsa Police Department reached out to lead investigator Agent Thomas Helm with the Oklahoma Attorney General’s Office. Once it was determined that crimes linked to Been’s retail theft organization also occurred in surrounding states, a federal investigation was launched.
The U.S. Attorney’s Office, the Oklahoma Attorney General’s Office, Tulsa Police Department, Homeland Security Investigations (HSI), and IRS Criminal Investigation joined forces to lead Operation Booster Buster. HSI Task Force Officers from the Tulsa County Sheriff’s Office also joined in the investigation.
U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, IRS-Criminal Investigation, the Tulsa Police Department, Oklahoma Attorney General’s Office, and Tulsa County Sheriff’s Office conducted the investigation. Assistant U.S. Attorney’s Richard M. Cella and Reagan V. Reininger are prosecuting the case on behalf of the federal government. Senior Deputy Attorney General Joy Thorp and Assistant Attorney General Kenneth Dane Towery are prosecuting the case on behalf of the state of Oklahoma.
*A “booster” is a person who steals goods and merchandise, specifically, but not limited to OTC from retail stores.
* A “fence” or “fencing operation” is a person, organization or entity that purchases or receives stolen goods and merchandise from boosters. The fence or fencing operation then re-sells the stolen goods and merchandise to third parties.
An indictment and other charging documents are merely an allegation, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Maryland U.S. Attorney’s Office Continues Fight Against Human TraffickingRead the Press Release
Baltimore, Maryland - January is Human Trafficking Awareness Month. As a founding member of the Maryland Human Trafficking Task Force, the Maryland U.S. Attorney’s Office pledges to continue to combat human trafficking by working with our partners to investigate and prosecute traffickers and rescue victims. The Maryland Human Trafficking Task Force (MHTTF) was formed in 2007 by the U.S. Attorney's Office, the Attorney General of Maryland, and the State's Attorney for Baltimore City to serve as the lead investigative, prosecutorial, and victim services coordinating body for anti-human trafficking activity in the State of Maryland. The MHTTF is a multidisciplinary team of agencies and organizations committed to a victim-centered approach in the fight against human trafficking in Maryland. Our record of success in rescuing and serving a range of labor and sex trafficking victims is irrespective of gender, nationality, sexual orientation, or age. Our communities, including the vulnerable victims who are the targets of traffickers, benefit greatly from awareness of the types of human trafficking; indicators of human trafficking; and resources available to survivors of human trafficking.
Human trafficking is defined as using force, fraud, or coercion to obtain labor or engage in commercial sex acts. Human trafficking also encompasses the use of minors in commercial sex acts regardless of whether force, fraud or coercion was used. Often, traffickers make false promises of a job or pose as benefactors to lure their victims and force them into human trafficking. Although human trafficking is usually associated with commercial sex, labor trafficking is just as prominent. Forced labor is a category of human trafficking in which individuals are coerced into legitimate and illegitimate industries, including domestic service, massage parlors, agriculture, restaurants, hotels, and manufacturing sweatshops. According to the U.S. State Department, human trafficking is now the second highest grossing criminal enterprise, with more than $150.2 billion per year earned from the use of forced labor.
Human trafficking has many faces. Victims can be of any age, race, gender, nationality, and come from any socioeconomic group. Human traffickers often target the most vulnerable, including individuals who suffer from disenfranchisement, social exclusion, or economic vulnerability (including individuals who have a history of domestic violence, substance abuse, reside in an unstable living situation, and youths in foster care or the juvenile justice system). Foreign-born individuals face unique challenges, such as language barriers and economic instability, leaving them at the mercy of their traffickers.
Maryland is not exempt from the horrors of human trafficking. The close proximity between areas of affluence and poverty, a substantial immigrant population, and other factors create favorable conditions for human traffickers (and their customers) to exploit the vulnerable—including children, recent immigrants, the drug-addicted, and those facing housing instability. Maryland’s central location on the Eastern Seaboard makes it both a pass-through state and a destination for human traffickers. The Interstate 95 corridor’s numerous hotels, rest stops, truck stops, and bus stations are prime locations for traffickers to exploit their victims. According to the National Human Trafficking Hotline, 529 phone calls, text messages, webchat, online tip reports, or emails indicating human trafficking instances were reported in Maryland in 2020. Additionally, the National Human Trafficking Hotline reported 136 cases of human trafficking in Maryland for the year 2020. To view the National Human Trafficking Hotline reported cases for Maryland, visit https://humantraffickinghotline.org/state/Maryland.
An effective way to combat human trafficking is to connect with fellow community members and look for key signals and indicators. Common indicators that a person could be a victim of human trafficking include (but are not limited to) a disconnection from social groups, dangerous or unsuitable living conditions, bruises in various stages of healing, and apparent coaching on what to say in response to questions. Other ways to combat human trafficking are by attacking the conditions that lead to trafficking, such as poverty, addiction, and homelessness; educating yourself and others on trafficking indicators; and reporting suspicious activity to the National Human Trafficking Hotline at 1(888)-373-7888. You can also text “HELP” or “INFO” to 233733. Visit the Department of Homeland Security and Investigation’s Blue Campaign for more indicators of human trafficking. For more information on human trafficking in Maryland, please visit the Maryland Human Trafficking Task Force’s website.
Federal Prosecution of Human Trafficking Cases – Examples in 2021
United States v. Aaron Crawford: On October 6, 2021, Aaron Crawford, age 37, of Washington, D.C., pled guilty to two counts of sex trafficking of a minor. According to his plea agreement, from April 2019 to December 2019, Crawford recruited, harbored, and transported two minor victims to engage in commercial sex acts. Specifically, Crawford posted a juvenile victim (Victim 1) in online advertisements for commercial sex and provided lodging in two locations for Victim 1 where Victim 1 conducted sex “dates.” Victim 1 was 15-years-old and had been reported missing for two months at the time. Crawford instructed Victim 1 to send sexually explicit images to him for the online advertisements; these images constituted child pornography. Upon further investigation, law enforcement located numerous communications on Crawford’s phone between Crawford, Victim 1, and sex procurers between November 5, 2019 and December 6, 2019. Crawford sent “johns” the addresses where Victim 1 was kept on 182 occasions. The majority of the communications were related to facilitating prostitution in various locations in Maryland and the District of Columbia.
Further, in January 2020, law enforcement officers were advised that a 16-year-old female (Victim 2) had been trafficked by an individual known as “Fly.” In an interview with law enforcement, Victim 2 positively identified Crawford as the individual she knew as “Fly.” Crawford first met Victim 2 in March 2017 when Victim 2 was 13-years-old. Later, after they met again in April 2019, Crawford introduced Victim 2 to an adult female who encouraged Victim 2 to work as a prostitute. After Victim 2 engaged in commercial sex dates, Crawford declined to share the profits with Victim 2. Victim 2 then left with the adult female. When they met again in August 2019, Victim 2 performed sex acts for customers at Crawford’s direction at an apartment complex and a parking lot. When Victim 2 declined to engage in further commercial sex dates, Crawford raped Victim 2 and threatened to kill her if she did not engage in more sex dates. Victim 2 escaped soon thereafter when Crawford left the apartment complex where he was keeping her.
Crawford faces a term of imprisonment between 10 and 23 years in federal prison. His sentencing is scheduled for February 2, 2022 at 2:00 pm.
United States v. Kamal Dorchy: On May 27, 2021, Kamal Dorchy, age 46, of Beltsville, Maryland, was sentenced to eight years in federal prison, followed by 15 years of supervised release, for conspiracy to commit sex trafficking. According to his plea agreement, from September 2016 to July 2017, Dorchy used Internet websites to post prostitution advertisements and recruit sex workers for his prostitution business through advertisements for massage work or prostitution. In his guilty plea, Dorchy admitted to recruiting a 17-year-old minor victim to work for him in his prostitution business in July 2017. Further, Dorchy arranged prostitution dates for the minor victim by posting ads on Internet websites, including for dates in Maryland. When Dorchy could not be present for the minor victim’s prostitution dates, he employed his cousin to act as “security.”
United States v. Xavier Lee: Xavier Lee, a/k/a “X,” age 41, of Elkton, Maryland, pleaded guilty to the federal charge of sex trafficking of a minor on February 25, 2021. According to his plea agreement, for the past decade Lee operated an illicit prostitution business for financial gain, including a website where Lee posted advertisements of women whom he made available for sexual acts with paying customers. That website was seized by the FBI, in conjunction with the United States Attorney’s Office and the Maryland State Police. Further, Lee admitted that he had sexual contact with Minor Victim 5. Minor Victim 5 was 14 years old when he first engaged in sexual acts with Minor Victim 5. Investigators recovered eight videos from Lee’s electronic devices, which were recorded by Lee and documented the sexual abuse of Minor Victim 5. Some videos depicted Minor Victim 5 engaged in sexual acts with Lee or with another adult man. Finally, Lee admitted that in 2013, Lee also instructed Minor Victim 4, who was sixteen to seventeen years old, to do prostitution dates. These prostitution dates were arranged through Lee’s website. Lee was aware of Minor Victim 4’s true age during the time because Minor Victim 4 advised Lee of her true age.
United States v. Charles Nabit: On September 27, 2021, Baltimore businessman Charles Nabit, age 66, of Baltimore, Maryland, was sentenced to 18 months in federal prison, followed by three years of supervised release, for transportation of an individual to engage in prostitution. U.S. District Judge George L. Russell also ordered Nabit to pay a fine of $55,000 and a special assessment of $5,100. Nabit, who owns residences and resides in Bethany Beach, Delaware and Deerfield Beach, Florida, is the owner of Westport Group, LLC. and previously owned Mountain Manor Treatment Center, a comprehensive drug treatment center in Baltimore. Nabit regularly paid money for commercial sex with women that he knew regularly used narcotics or were severely addicted to narcotics, including one victim who died from a drug overdose, and another victim that Nabit supplied with cocaine. As stated in his plea agreement, Nabit regularly paid for commercial sex with at least seven women who regularly used narcotics or suffered from serious substance abuse disorders. Additionally, Nabit regularly transported victims to and from his Baltimore office for commercial sex and, in one instance, paid a victim (Victim 6) to travel with him for commercial sex dates. Despite Victim 6 discussing her addiction struggles on several occasions, Nabit paid Victim 6 with monetary payment and cocaine.
United States v. Gerald Marshall: On May 4, 2021, Gerald Marshall, age 31, of Baltimore, Maryland was sentenced to 54 months in federal prison, followed by five years of supervised release, for conspiracy to engage in sex trafficking of a minor. Marshall admitted that he conspired to traffic two minor girls, ages 15 and 17, to engage in commercial sex acts. U.S. District Judge George J. Hazel ordered Marshall to pay $2,405 in restitution to each of the minor victims. According to Marshall’s plea agreement, beginning in or about January 2018, Marshall conspired with co-defendant Sean Dean, age 29, of Baltimore, Maryland to recruit, harbor, transport, and/or maintain three females, including two minors, to engage in commercial sex acts. In furtherance of the sex trafficking enterprise, Marshall rented hotel rooms in Timonium and Laurel, Maryland to be used by the victims to engage in commercial sex acts. Marshall and Sean Dean transported the victims to the various hotels where they would stay for multiple days. While in the hotel rooms, at Dean’s direction, the victims used a website to advertise themselves for commercial sex acts. The advertisements contained pictures of the victims in provocative poses and provided contact information for clients to use to secure a “date” with the victims. The victims were required to share a portion of the proceeds from any commercial sex acts with Dean.
United States v. Sean Dean: On July 9, 2021, Sean Dean, age 29, of Baltimore, Maryland was sentenced to 10 years in federal prison, followed by 10 years of supervised release, for conspiracy to engage in sex trafficking of a minor. According to Dean’s plea agreement, from December 2017 until January 2018, Dean recruited, harbored, transported, and/or maintained five females, including four minors ranging from 15 to 17 years old, to engage in commercial sex acts. Dean utilized social media and cellular telephones to recruit, monitor, direct, and communicate with the four girls and the woman. In furtherance of his sex trafficking enterprise, Dean and Gerald Marshall rented hotel rooms for victims to engage in commercial sex acts and transported the victims to various hotels for commercial sex acts. Dean and Marshall transported three of the minor girls and the woman to a hotel in Timonium. The victims were at the hotel for approximately one week and met with multiple customers per day to engage in commercial sex acts. The victims shared a portion of the proceeds earned from their commercial sex acts with Dean and Marshall.
United States v. Adolph J. Scott: In August 2021, a federal grand jury returned an indictment charging Adolph J. Scott, age 36, of Spring Lake, North Carolina, for the federal charges of sex trafficking by force, fraud, and coercion; interstate transportation of an individual to engage in prostitution; and possession with intent to distribute controlled substances. According to the three-count indictment, from at least January 2020 to February 2021, in the District of Maryland, the Eastern District of North Carolina, and elsewhere, Scott recruited, enticed, transported, advertised, and solicited Victim 1 to conduct sexual acts for his financial benefit. Specifically, the indictment alleges from January 23, 2021 to January 24, 2021 that Scott transported Victim 1 from Maryland to North Carlina with the intent that Victim 1 would engage in prostitution and sexual activity. The indictment further alleges that Scott also possessed controlled substances with intent to distribute including: a mixture or substance containing a detectable amount of fentanyl, a mixture or substance containing a detectable amount of heroin, and a mixture or substance containing a detectable amount of cocaine. An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States v. Feliciano De-Jesus Diaz-Martinez: On November 18, 2021, a federal trial jury convicted Feliciano de Jesus Diaz-Martinez, a/k/a Alex, age 43, of Owings Mills, Maryland, of sex trafficking of a child, enticement of a minor to engage in prostitution, sex trafficking by force, fraud and coercion, and distribution of a controlled substance. According to the evidence presented at his nine-day trial, from 2016 through May 2019, Diaz-Martinez, a Guatemalan national in the United States illegally, caused more than eight individuals, including minors, to engage in commercial sex acts for his own financial benefit by means of force, fraud, and coercion. Trial testimony confirmed that Diaz-Martinez knew that Victim 1 was 16 years old when he first caused her to engage in commercial sex acts. Victim 1 continued to work for Diaz-Martinez until she was approximately 18 years old. The evidence proved that nearly all of the victims that Diaz-Martinez caused to engage in commercial sex acts suffered from serious substance abuse disorders, including addictions to heroin, crack cocaine, and Xanax. Diaz-Martinez took half or all of the money earned by the victims working for him, and sold some of the victims narcotics, often at prices significantly higher than he paid to purchase the drugs. Several victims testified that Diaz-Martinez frequently demanded that they engage in sex acts with him, free of charge, and that he retaliated against the victims if he was not personally satisfied with the sexual encounter.
Federal Grant Funding
In December 2021, the Department of Justice’s Office of Justice Programs and its component, the Office of Victims of Crime, gave $600,000 to the University of Baltimore School of Law and Maryland Volunteer Lawyers Service (MVLS), the largest provider of pro bono civil legal services in Maryland. The MVLS will use funds over the course of three years to extend the reach of their Human Trafficking Prevention Project in Baltimore City and into more rural areas of Maryland, as well as to increase the number of staff who will deliver free legal services and full representation to survivors.
Training
In 2021, the U.S. Attorney’s Office and our partners conducted 14 training events for law enforcement and other professionals fighting human trafficking, training a total of 725 individuals including through the Human Trafficking Investigators Seminar and the Human Trafficking Professionals Seminar, both of which occurred in October 2021.
The U.S. Attorney’s Office for the District of Maryland has deployed many resources in the fight against human trafficking and we will continue to make the investigation and prosecution of human trafficking cases a priority.
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Man from Saudi Arabia sentenced to 30 months in federal prison for illegal possession of a firearm and ammunitionRead the Press Release
ALBUQERQUE, N.M. – Hassan Alqahtani, 29, of Saudi Arabia, was sentenced in federal court on Jan. 6 to two years and six months in prison for being an alien in possession of a firearm and ammunition. A jury convicted Alqahtani on May 14, 2021.
According to a criminal complaint and other court records, on Aug. 8, 2019, the FBI received a tip about Alqahtani, a citizen of Saudi Arabia, illegally possessing a firearm and making threats. On Dec. 12, 2019, law enforcement executed a search warrant at Alqahtani’s residence and discovered a loaded firearm and ammunition. As an international student on a F1 student visa, Alqahani cannot legally possess a firearm or ammunition.
Upon his release from prison, Alqahtani may be subject to deportation by the Department of Homeland Security, and will be subject to two years of supervised release.
The FBI Albuquerque Field Office investigated this case with assistance from the Department of Homeland Security. Assistant U.S. Attorneys Jack Burkhead and Paul Mysliwiec prosecuted the case.
Lynn Man Pleads Guilty to Firearms OffensesRead the Press Release
BOSTON – A Lynn man pleaded guilty today in connection with illegally possessing and selling firearms.
Jufrandy Montano, 32, pleaded guilty to one count of dealing in firearms without a license, one count of being a felon in possession of a firearm and ammunition and one count of possession of an unregistered firearm. Montano was indicted on Sept. 28, 2021. U.S. District Court Judge Allison D. Burroughs scheduled sentencing for April 27, 2022. Montano is currently in Maine state custody where he is serving a sentence on unrelated state charges.
Between March 4 and March 19, 2020, Montano sold three firearms. Additionally, on March 4, 2020, Montano possessed a 12-gauge sawed-off shotgun that was not registered to him in the National Firearms Registration and Transfer Records. Montano does not possess a license to import, manufacture, or deal firearms and is prohibited from possessing firearms due to a prior felony conviction.
The charge of dealing in firearms without a license provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of possession of an unregistered firearm provides for a sentence of up to 10 years in prison, three years supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Rachael S. Rollins and James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division, made the announcement. Assistant U.S. Attorney Benjamin A. Saltzman of Rollins’ Criminal Division is prosecuting the case.
This prosecution is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Loose Creek Man Sentenced to 15 Years for Meth Trafficking, Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – A Loose Creek, Missouri, man was sentenced in federal court today for illegally possessing methamphetamine and a firearm.
Leif Christopher Haslag, 39, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole.
On July 1, 2021, Haslag pleaded guilty to one count of possessing methamphetamine with the intent to distribute and one count of being a felon in possession of a firearm.
Law enforcement officers were conducting surveillance on Sept. 12, 2019, and saw Haslag leaving a Jefferson City, Mo., residence in a Ford Explorer with license plates that were registered to another vehicle. Officers stopped Haslag and searched the vehicle. Inside, they found approximately 48.3 grams of pure methamphetamine and a loaded Taurus 9mm handgun.
Haslag told investigators he had sold between four and six ounces of methamphetamine in the past 30 days. He also told them he had purchased the handgun the day before for $75, with the intent to sell it.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Haslag has seven prior felony convictions for burglary, seven prior felony convictions for theft, multiple prior felony convictions related to drug trafficking, and a prior felony conviction for stealing a motor vehicle.
This case was prosecuted by Assistant U.S. Attorney Lauren E. Kummerer. It was investigated by the Drug Enforcement Administration, the Jefferson City, Mo., Police Department, and the MUSTANG Drug Task Force.
Local Man Sentenced for Obstructing Police During May 30, 2020, Pittsburgh ProtestRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA, has been sentenced in federal court to one day in custody of United States Marshal Service, three years of supervised release, and 365 days of home detention on his conviction of Obstruction of Law Enforcement During Civil Disorder, United States Attorney Cindy K. Chung announced today.
United States District Judge Arthur J. Schwab imposed the sentence on Joseph Harrison Craft, 29, of Pittsburgh, PA 15201.
According to information presented to the court, Craft interfered with and obstructed the Pittsburgh Police during the course of the civil disorder that occurred in connection with the protests which took place in downtown Pittsburgh on May 30, 2020. At the conclusion of the protest march, Craft was part of a group of protesters who then attempted to prevent the movement of police vehicles attempting to leave the scene. Craft then approached an unoccupied police vehicle and smashed out the window of the vehicle. Shortly after Craft left this area, other members of the crowd set the police vehicle on fire. Craft then went into the downtown area near Fifth Avenue and Smithfield Street, where he and others moved large decorative planters into the street to block the passage of police vehicles. When the police attempted to disburse the crowd with smoke cannisters, Craft tossed two of those cannisters back in the direction of the officers.
Assistant U.S. Attorney Shaun Sweeney prosecuted this case for the government.
United States Attorney Chung commended the Federal Bureau of Investigation and the Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Craft.
Lexington Man Gets 15 Years in Federal Prison for Gun ChargeRead the Press Release
COLUMBIA, SOUTH CAROLINA — United States Attorney Corey F. Ellis announced today that Stephen Johnson Craft, 43, of Lexington, was sentenced to fifteen years in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition.
Evidence presented to the court established that on February 24, 2020, a deputy with the Lexington County Sheriff’s Department observed a vehicle abruptly turn without signaling. The deputy attempted to conduct a traffic stop and the vehicle abruptly turned into a private driveway. Craft was the passenger in the vehicle and stated the vehicle belonged to him.
In the backseat of the passenger compartment of the vehicle, the deputy located a black backpack containing a .40 caliber Glock pistol. The Glock had one cartridge loaded in the chamber and a magazine containing an additional nine rounds. The deputy also found marijuana in the vehicle.
Craft’s prior record includes a 1996 criminal domestic violence, a 1997 armed robbery, a 2008 grand larceny, a 2010 criminal domestic violence of a high and aggravated nature, a 2010 attempt to manufacture methamphetamine, a 2014 carrying a concealed weapon, a 2016 possession of a firearm by a person convicted of a violent felony, a 2016 possession with intent to distribute methamphetamine, and a 2018 assault and battery first degree.
United States District Judge J. Michelle Childs sentenced Craft to 180 months in federal prison, to be followed by a five-year term of court-ordered supervision. There is no parole in the federal system.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Lexington County Sheriff’s Department 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.
Special Assistant United States Attorney Casey Rankin Smith of the 11th Judicial Circuit Solicitor’s Office prosecuted the case.
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Lab Owner Pleads Guilty to $6.9 Million Genetic Testing & COVID-19 Testing Fraud SchemeRead the Press Release
A Florida man pleaded guilty today in the Southern District of Florida to a $6.9 million conspiracy to defraud Medicare by paying kickbacks and bribes to obtain doctors’ orders for medically unnecessary lab tests that were then billed to Medicare. The defendant exploited the COVID-19 pandemic by bundling COVID-19 testing with other forms of testing that patients did not need, including genetic testing and tests for rare respiratory pathogens.
According to court documents, Christopher Licata, 45, of Delray Beach, admitted that, as owner of Boca Toxicology LLC (dba Lab Dynamics), he bribed patient brokers who would refer Medicare beneficiaries and doctors’ orders authorizing medically unnecessary genetic testing to Licata’s laboratory. Licata and these patient brokers entered into sham agreements to disguise the true purpose of these payments. Once the COVID-19 pandemic began, Licata exploited patients’ fears of COVID-19 by bundling COVID-19 tests with more expensive, medically unnecessary testing, including respiratory pathogen panel testing and, at times, genetic testing for cardiovascular diseases, cancer, diabetes, obesity, Parkinson’s, Alzheimer’s and dementia. In total, Licata caused his laboratory to submit over $6.9 million in false and fraudulent claims to Medicare for these medically unnecessary tests.
Licata pleaded guilty to one count of conspiring to commit health care fraud. He is scheduled to be sentenced on March 24 and faces a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; Special Agent in Charge George L. Piro of the FBI’s Miami Field Office; and Special Agent in Charge Omar Pérez Aybar of the U.S. Department of Health and Human Services Office of the Inspector General (HHS-OIG) made the announcement.
The FBI’s Miami Field Office and HHS-OIG are investigating the case.
Trial Attorneys Jamie de Boer and Dermot Lynch of the Criminal Division’s Fraud Section are prosecuting the case.
In May 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the department in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
The Fraud Section leads the Health Care Fraud Strike Force. Since its inception in March 2007, the Health Care Fraud Strike Force, which maintains 15 strike forces operating in 24 federal districts, has charged more than 4,600 defendants who have collectively billed federal health care programs and private insurers for approximately $23 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Knoxville Man Sentenced to Prison for Defrauding COVID-19 Economic Relief ProgramsRead the Press Release
KNOXVILLE, Tenn. – On January 13, 2022, James Waylon Howell, 39, of Knoxville was sentenced to 18 months in prison by the Honorable R. Leon Jordan, in the United States District Court for the Eastern District of Tennessee at Knoxville.
Howell pleaded guilty to engaging in more than $150,000 in fraud related to the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act, and to committing money laundering.
“This prosecution highlights the Department of Justice’s commitment to aggressively prosecute those who have defrauded these important programs enacted to provide economic relief to those who have suffered financially as a result of the COVID-19 pandemic,” said United States Attorney Francis M. Hamilton III. “Fortunately, the quick and capable work of our federal partners permitted the recovery of a substantial amount of stolen funds.”
“Our office will continue to investigate those who fraudulently take advantage of Coronavirus aid funding that is available to help others during the pandemic, and bring them to justice,” said FBI Special Agent in Charge Joe Carrico.
“While businesses were suffering and trying their best to make it through the pandemic, others chose greed,” Assistant Special Agent in Charge of IRS-Criminal Investigation Brian Thomas said. “IRS-CI will continue to use its financial expertise to track and recommend prosecution of criminals taking advantage of a crisis.”
The CARES Act is a federal law enacted in March 2020 to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. Two primary sources of relief provided by the CARES Act were the Paycheck Protection Program (“PPP”) and the Economic Injury Disaster Loan (“EIDL”) program. PPP loans consisted of more than $640 billion in forgivable loans to small businesses for payroll, mortgage interest, rent, and utilities. The EIDL program provided low-interest loans to business owners to pay for items like accounts payable and other bills that could not be paid as a result of COVID-19.
As stated in defendant’s filed plea agreement, from April 2020 to June 2020, Howell fraudulently applied for four loans totaling $154,700 through the PPP and EDIL programs. Howell submitted fraudulent applications under the names of two businesses that did not qualify for the COVID-19 relief funds that Howell sought. Howell submitted two fraudulent applications to financial institutions seeking PPP funds and two fraudulent applications to the Small Business Administration seeking EIDL funds. As part of his fraud scheme, Howell submitted false supporting records, including Internal Revenue Service documents, and made false statements about the number of individuals the companies employed, the revenue generated, and the waged paid. Howell also made false statements about the business entities and the intended use of the loan proceeds.
For example, according to the plea agreement, on April 1, 2020, Howell submitted an online application to the Small Business Administration in the name of Advanced Strategy Holdings, LLC, seeking $83,800 in EIDL funds. On the application and in the supporting documents, Howell submitted to the SBA in support of the loan, Howell claimed that Advanced Strategy Holdings employed four individuals, generated $700,000 in gross revenue, incurred $0 in cost of goods sold, and paid wages of $440,000 in the twelve months preceding the COVID-19 pandemic. These claims were all false.
This case is the result of an investigation conducted by the FBI and the Internal Revenue Service - Criminal Investigation.
Assistant United States Attorney William A. Roach, Jr., who also serves as the Office’s Coronavirus Fraud Coordinator, prosecuted the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Justice Department Resolves Housing Discrimination Lawsuit Against the City of Arlington, TexasRead the Press Release
The Justice Department announced today that the City of Arlington, Texas, has agreed to pay $395,000 to resolve a lawsuit alleging that it violated the Fair Housing Act when it refused to support an affordable housing development that would have served low-income families with children.
“Local governments that resort to discriminatory tactics to block the development of affordable housing and to lock out families with children will be held accountable,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This settlement should send a strong message to jurisdictions across the country that we will use the law to protect families with children from discriminatory denials of housing opportunities.”
“Under the Fair Housing Act, cities cannot discriminate against families with children – nor can they discriminate on the basis of race, color, national origin, sex (including gender identity and sexual orientation), religion or disability,” said U.S. Attorney Chad E. Meacham for the Northern District of Texas. “This law is just as important now as it was when it was passed more than 50 years ago, and we are committed to upholding it.”
The settlement, which still must be approved by the U.S. District Court for the Northern District of Texas, resolves a lawsuit filed today alleging that the City violated federal law in connection with an affordable housing development in 2017. Specifically, the suit alleges that the City violated the Fair Housing Act when it blocked the development of an affordable housing project proposed by Community Development Inc. (CDI), that would have been financed by the federal Low-Income Housing Tax Credit (LIHTC). As alleged in the lawsuit, such tax credits are awarded by the State of Texas on a competitive basis, and it is very difficult for new developments to obtain tax credits unless they receive a Resolution of Support or a Resolution of No Objection from the local government. The lawsuit alleges that the City declined to issue such a resolution for CDI’s development because the City had a policy of supporting LIHTC developments only for senior housing intended for persons 55 years or older. As a result, CDI’s proposed housing for families with children did not receive tax credits and it was not developed.
CDI filed a complaint with the Department of Housing and Urban Development (HUD) alleging that the City’s conduct discriminated against families with children in violation of the Fair Housing Act. After an investigation, HUD determined that the City had violated the statute and referred the matter to the Department of Justice.
“Families with children deserve to have equal access to affordable housing opportunities, and the Fair Housing Act makes it illegal for local governments to discriminate based on familial status,” said Damon Smith, General Counsel of HUD. “HUD commends the Department of Justice for reaching this resolution and will continue to hold government entities accountable when they violate the Fair Housing Act.”
Under the settlement, the City will pay $395,000 to CDI. The settlement also requires the City to maintain a non-discriminatory policy for future LIHTC developments, provide Fair Housing Act training to certain city officials, and submit to compliance and reporting requirements for the term of the settlement.
The federal Fair Housing Act prohibits discrimination in housing on the basis of race, color, religion, sex, familial status (having one or more children under 18), national origin and disability. More information about the Civil Rights Division and the laws it enforces is available at www.justice.gov/crt.
Individuals who believe they have been victims of housing discrimination should contact the Department of Justice toll-free at 1-833-591-0291, by email at [email protected], or submit a report online at www.civilrights.justice.gov. Such individuals may also contact the U.S. Department of Housing and Urban Development at 1-800-669-9777 or by filing a complaint online.
Justice Department Announces Retirement of U.S. Trustee Program Director Cliff WhiteRead the Press Release
The Justice Department today announced the retirement of Clifford White, the Director of the Justice Department’s U.S. Trustee Program (USTP), which oversees the administration of bankruptcy cases, effective March 31, 2022.
“I want to express my appreciation to Cliff, not only for his 17 years of leadership of the U.S. Trustee Program, but also for 40 years of exceptional public service,” said Attorney General Merrick B. Garland. “During his long service as the head of USTP, Cliff oversaw the work of USTP’s 21 regions and 90 field offices to ensure the integrity and efficiency of the bankruptcy system. I wish him all the best in his future endeavors.”
White is a career civil servant who has held numerous leadership positions within the government. He was twice recognized with Presidential Rank Awards — the highest recognition accorded to career officials — first by President George W. Bush and then by President Barack Obama.
Under White’s leadership, USTP successfully implemented many significant statutory changes; launched major enforcement initiatives to combat fraud and abuse; enforced compliance with bankruptcy laws; and, most recently, upheld the legal rights of victims of the opioid crisis in the Purdue Pharma case by challenging releases of liability that shield alleged wrong doers.
Learn more information on the program at: https://www.justice.gov/ust.
Justice Department Announces New Rule Implementing Federal Time Credits Program Established by the First Step ActRead the Press Release
Today, the Department of Justice announced that a new rule has been submitted to the Federal Register implementing the Time Credits program required by the First Step Act for persons incarcerated in federal facilities who committed nonviolent offenses. As part of the implementation process, the Federal Bureau of Prisons (BOP) has begun transferring eligible inmates out of BOP facilities and into either a supervised release program or into Residential Reentry Centers (RRCs) or home confinement (HC).
“The First Step Act, a critical piece of bipartisan legislation, promised a path to an early return home for eligible incarcerated people who invest their time and energy in programs that reduce recidivism,” said Attorney General Merrick B. Garland. “Today, the Department of Justice is doing its part to honor this promise, and is pleased to implement this important program.”
The First Step Act of 2018 provides eligible inmates the opportunity to earn 10 to 15 days of time credits for every 30 days of successful participation in Evidence Based Recidivism Reduction Programs and Productive Activities. The earned credits can be applied toward earlier placement in pre-release custody, such as RRCs and HC. In addition, at the BOP Director’s discretion, up to 12 months of credit can be applied toward Supervised Release. Inmates are eligible to earn Time Credits retroactively back to Dec. 21, 2018, the date the First Step Act was enacted, subject to BOP’s determination of eligibility.
Implementation will occur on a rolling basis, beginning with immediate releases for inmates whose Time Credits earned exceed their days remaining to serve, are less than 12 months from release, and have a Supervised Release term. Some of these transfers have already begun, and many more will take place in the weeks and months ahead as BOP calculates and applies time credits for eligible incarcerated individuals.
The final rule will be published by the Federal Register in the coming weeks and will take immediate effect. The rule, as it was submitted to the Federal Register, can be viewed here: https://www.bop.gov/inmates/fsa/docs/bop_fsa_rule.pdf
Please note: This is the text of the First Step Act Time Credits final rule as signed by the Director of the Federal Bureau of Prisons, but the official version of the final rule will be as it is published in the Federal Register.
Judge sentences St. Louis man to 11 years in prison on drug and gun chargesRead the Press Release
Pursuant to the plea agreement, on January 30, 2019, Ellison was driving in Washington, Missouri and committed several traffic violations. A Washington Police department patrol officer conducted a traffic stop of Ellison's vehicle upon observing these traffic violations.
At the time he was pulled over by the police, Ellison possessed a fully loaded and stolen .22 caliber pistol in a pocket of his coat as well as six rounds of .38 caliber ammunition and a large amount of United States currency. Discovered by police around his waistband, Ellison possessed a plastic baggie containing methamphetamine.
At Ellison’s residence in his bedroom, law enforcement located several other weapons. Law enforcement located these items and Ellison admitted to law enforcement that he had sold some of the drugs that the police had located in his possession. Ellison was previously convicted of a felony which prohibited him from possessing any firearms.
The Washington Missouri Police Department, the Bureau of Alcohol, Tobacco and Firearms and the Missouri Highway Patrol investigated the case.
Judge sentences St. Louis man for identity theft schemeRead the Press Release
ST. LOUIS – United States District Judge Henry E. Autrey sentenced Arondo Harris to a term of 41 months in federal prison on January 12, 2022. Harris was convicted by a jury in May of six counts of identity theft. This case is of significance because the identity theft arose in connection with Harris’ filing of counterfeit quit claim deeds with the City of St. Louis Recorder of Deeds Office.
When property located in the City of St. Louis, Missouri is to be transferred through a quit claim deed, the grantor, the current owner of the property, and the grantee, the future owner of the property, must sign the quit claim deed, and their signatures must be authenticated by a licensed notary public.
According to court documents, between January 9, 2019 and February 6, 2019, Harris presented to the City of St. Louis Recorder of Deeds Office three quit claim deeds that contained the forged signatures of the properties’ true owners. Each of the forged signatures had had been falsely authenticated through the seal and forged signature of a licensed notary public. The property owners of one of the residences had died prior to the forgery of their signatures.
As a result of the false notarization of the quit claim deeds, representatives of the Recorders Office accepted the deeds as legitimate and falsely recorded Harris as the owner of three residences located in the City of St. Louis.
The Court determined that Harris’ conduct resulted in losses of more than $150,000 to the legitimate owners of the properties. It also determined that Harris caused substantial financial hardship to one of the victims because that individual was left homeless by the fraudulent activities.
This case was investigated by the United States Postal Inspection Service and was prosecuted based upon a referral by the Circuit Attorney’s Office for the City of St. Louis.
Judge sentences O’Fallon, Missouri man for the receipt of child pornographyRead the Press Release
ST. LOUIS – Jason McCraw, age 47, of O’Fallon, Missouri, appeared before United States District Court Judge Sarah E. Pitlyk on today’s date. Based on a previous plea of guilty, McCraw was sentenced to 72 months in federal prison followed by a lifetime of supervised release for the receipt of child pornography.
According to the plea agreement, on November 26, 2019, a social networking application reported its detection of twenty-six images of child pornography on an account belonging to McCraw. On June 10, 2020, a search warrant was executed at the St. Charles County residence of McCraw and multiple electronic items belonging to him were seized.
Additionally, McCraw provided law enforcement with his Apple iPhone cellular telephone and the password associated with the phone. On June 10, 2020, McCraw admitted to law enforcement that he had possibly over one hundred images or videos of child pornography on his cellular telephone and that he had been downloading child pornography from the internet for four to five years.
On the Apple iPhone, law enforcement found 2,398 images and 101 videos of child pornography that had been downloaded by McCraw from the internet onto his phone. Law enforcement also located multiple digital communication over the social networking application Kik Messenger in which McCraw discusses his sexual interest in minors and traded child sexual abuse material and child erotica with others via social media.
This case was investigated by the Federal Bureau of Investigation and the St. Charles County Police Department Cybercrime Unit.
Jonesport Man Pleads Guilty to Embezzling Funds from EstateRead the Press Release
BANGOR, Maine: A Jonesport man pleaded guilty in federal court today to wire fraud, U.S. Attorney Darcie N. McElwee announced.
According to court records, from April through October 2020, Donald McMahon, 34, embezzled approximately $95,000 from a bank account owned by an estate being probated in Washington County. McMahon carried out the scheme by obtaining unauthorized access to the estate account. He then made hundreds of transfers from the estate’s bank account using PayPal, an online money transfer system, in order to convert the funds to his own use.
McMahon faces up to 20 years in prison and $250,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by the FBI and the Washington County Sheriff’s Office.
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Joint Efforts of Federal, State, and Local Authorities Result in Arrests of Twelve Defendants for Gun, Drug OffensesRead the Press Release
COLUMBIA, SOUTH CAROLINA — United States Attorney Corey F. Ellis announced today that twelve individuals have been charged with gun and/or drug-related offenses and have been arrested by a joint team of federal, state, and local law enforcement officers, led by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). This release follows the arraignments, multiple detention hearings, and superseding indictments.
The following defendants who have been arrested and arraigned on their respective charges face a potential penalty of life imprisonment:
- Craig Thomas Burris, 55, of Myrtle Beach, is charged with possession of a firearm and ammunition as a convicted felon, possession of heroin and fentanyl with intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime.
- Taurus Jermaine Dotson, 38, of Columbia, is charged with possession of a firearm and ammunition as a convicted felon; possession with intent to distribute and distribution of methamphetamine, fentanyl, cocaine, and crack cocaine; and possession of a firearm in furtherance of a drug trafficking crime.
- Leon Johnny King, 37, of Columbia, is charged with possession of firearms and ammunition as a convicted felon; possession with intent to distribute and distribution of heroin, fentanyl, and Etizolam; possession with intent to distribute heroin, cocaine, and crack cocaine; and possession of a firearm in furtherance of a drug trafficking crime.
- Jamel Lamont Lewis, 32, of Winnsboro, is charged with possession of a firearm and ammunition as a convicted felon, possession with intent to distribute methamphetamine, and possession of a firearm in furtherance of a drug trafficking crime.
- Christopher Joel Roach, 28, of West Columbia, is charged with possession of firearms and ammunition as a convicted felon; possession with intent to distribute heroin, fentanyl, cocaine, methamphetamine, marijuana, and tramadol; and possession of a firearm in furtherance of a drug trafficking crime.
- Jacobi Kwejuan Scott, 33, of Columbia, is charged with possession of firearms and ammunition as a convicted felon, possession of marijuana with intent to distribute, and possession of a firearm in furtherance of a drug trafficking crime.
- Davian Kejuanis Mosley, 21, of Hopkins, is charged with multiple counts of robbery affecting commerce and brandishing a firearm during a crime of violence.
The following defendant who has been arrested and arraigned on his respective charges faces a potential penalty of 20 years imprisonment:
- Jeffrey Tavoun Allen, 35, of Columbia, is charged with possession with intent to distribute and distribution of heroin and fentanyl and possession with intent to distribute crack cocaine and fentanyl.
The following defendants who have been arrested and arraigned on their respective charges face a potential penalty of 10 years imprisonment:
- Paul James, III, 33, of Columbia, is charged with possession of a firearm and ammunition as a convicted felon.
- Demetreus Alexa Lewis, 32, of Elgin, is charged with possession of firearms and ammunition as a convicted felon.
- Latrell Ira Miles Maurice, 35, of Columbia, is charged with possession of a firearm and ammunition as a convicted felon.
- Sylivon Jarqaous Moye, 28, of Columbia, is charged with possession of firearms and ammunition as a convicted felon.
These cases were investigated by ATF in conjunction with several state and local law enforcement agencies, including the Richland County Sheriff’s Department, Fairfield County Sheriff’s Department, Orangeburg Department of Public Safety, and Columbia Police Department.
These cases are being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorneys Chris Taylor and Lauren Hummel are prosecuting the cases.
The United States Attorney stated that all charges against these defendants are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Insurance Agent Sentenced for $3M Fraud SchemeRead the Press Release
NORFOLK, Va. – A West Valley City, Utah, man was sentenced today to 5 years in prison for conspiracy to commit wire fraud as part of an investment fraud scheme against mostly elderly victims.
According to court documents, Tony Scott Sellers, 62, was a licensed insurance salesman in Idaho. From about January 2011 through August 2017, Sellers, along with other conspirators, made material misrepresentations and omissions to sell illiquid, highly speculative investment vehicles that were sold and controlled by Daryl Bank, among others. Based on these fraudulent representations, unsuspecting investors cashed out of 401(k) and other retirement accounts to purchase the investments, without knowing that 20% to 70% of their funds would be skimmed off the top in the form of purported “fees.” In September 2021, Bank was sentenced to 35 years in prison for his role in a nationwide investment fraud scheme that resulted in over $25 million in losses to more than 300 victims, most of whom were elderly.
As a result of Seller’s part in this investment fraud scheme, victims suffered losses in excess of $3 million. Most of the victims were at or near retirement age when Sellers and his co-conspirators defrauded them.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Brian Dugan, Special Agent in Charge of the FBI’s Norfolk Field Office; Darrell J. Waldon, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); and Greg Torbenson, Acting Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement after sentencing by Senior U.S. District Judge Raymond A. Jackson.
Significant assistance in this case was provided by the Virginia State Corporation Commission.
Assistant U.S. Attorneys Melissa O’Boyle, Andrew Bosse, and Elizabeth Yusi prosecuted the case.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. Elder abuse is an intentional or negligent act by any person that causes harm or a serious risk of harm to an older adult. It is a term used to describe five subtypes of elder abuse: physical abuse, financial fraud, scams and exploitation, caregiver neglect and abandonment, psychological abuse, and sexual abuse. Elder abuse is a serious crime against some of our nation’s most vulnerable citizens, affecting at least 10 percent of older Americans every year. Together with our federal, state, local and tribal partners, the Department of Justice is steadfastly committed to combatting all forms of elder abuse and financial exploitation through enforcement actions, training and resources, research, victim services, and public awareness. This holistic and robust response demonstrates the Department’s unwavering dedication to fighting for justice for older Americans.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-47.
Illegal Possession of Firearm Results in Federal Prison SentenceRead the Press Release
SHREVEPORT, La. – Nathan P. McCall, 32, of Shreveport, Louisiana, was sentenced today to 70 months in prison, followed by 2 years of supervised release, for illegal possession of a firearm, announced United States Attorney Brandon B. Brown. McCall was sentenced by Chief United States District Judge S. Maurice Hicks, Jr. In addition, restitution was ordered in the amount of $8,750 to Barksdale Federal Credit Union.
According to evidence presented to the court, on December 7, 2020, officers with the Shreveport Police Department found McCall sitting in a vehicle parked in front of a local credit union and were given permission to search his vehicle. Inside the trunk, law enforcement officers found a Glock pistol beside a checkbook where the top check had been made payable to Nathan McCall. Officers also found a loaded 9mm drum magazine inside the vehicle. The ordered restitution stems from conduct involving McCall’s unauthorized use of an elderly woman’s checkbook.
McCall has a previous felony conviction for possession of a controlled substance in 2011 and was prohibited from possessing any firearm or ammunition.
The case was investigated by the Federal Bureau of Investigation, Bureau of Alcohol, Tobacco, Firearms and Explosives, along with the Caddo Parish Financial Crimes Task Force, and was prosecuted by Assistant U.S. Attorney Leon H. Whitten.
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Helena pawn shop owner sentenced for firearms crimesRead the Press Release
GREAT FALLS — A Helena pawn shop owner who admitted to lying about gun sales and failing to keep proper records was sentenced today to four years of probation, U.S. Attorney Leif M. Johnson said.
Catherine Suzanne Morsette, 39, of Boulder, who owned Modern Pawn and Consignment in Helena, pleaded guilty in September 2021 to two counts of false statement during a firearms transaction and to failure to keep proper records.
Chief U.S. District Court Judge Brian M. Morris presided. Chief Judge Morris also ordered $4,955 restitution.
The government alleged in court documents that an undercover investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives of Modern Pawn led to multiple defendants indicted on firearms crimes. Morsette, who was the federal firearms licensee for Modern Pawn, facilitated two straw purchases in the pawn shop in April 2021. Morsette also sold a firearm in the pawn shop that was not listed in the inventory records and did not require the actual purchaser to fill out any required paperwork.
During the undercover investigation, a man and a woman went to the business where the man looked at a Beretta 9mm pistol in April 2021. The man let Morsette know that he was not a Montana resident and showed his out-of-state driver’s license. Morsette instructed the woman to fill out the ATF form because she could not sell that firearm to the man. The woman completed the form and bought the 9mm pistol for the man. Morsette then sold the man a Smith and Wesson .45-caliber pistol after she called her husband and co-defendant, Isaiah Morsette, to confirm that the .45-caliber pistol was not in the store’s system. Isaiah Morsette has pleaded guilty to charges and is pending sentencing.
The government further alleged that in April 2021, a man, identified as #3, bought a Ruger .44 magnum revolver for a man identified as #2. Catherine Morsette knowingly made a false statement by stating the named purchaser of the revolver was the actual purchaser, Man #3, when in fact she knew the actual purchaser was Man #2.
The U.S. Attorney’s Office prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Helena Police Department and Lewis and Clark County Sheriff’s Office.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Grant County man sentenced for firearms chargeRead the Press Release
ELKINS, WEST VIRGINIA – Bryan Edward Summerton, of Petersburg, West Virginia, was sentenced today to 60 months of incarceration for a firearms charge, United States Attorney William J. Ihlenfeld, II announced.
Summerton, 36, pleaded guilty in August 2021 to one count of “Possession of a Firearm in Furtherance of a Drug Crime.” Summerton admitted to having a 9mm pistol during drug trafficking in April 2020 in Grant County.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative; the Bureau of Alcohol, Tobacco, Firearms & Explosives; and the Grant County Sheriff’s Office investigated. The Task Force consists of members from the Drug Enforcement Administration, West Virginia State Police, the FBI, the Mineral County Sheriff’s Office, the Hampshire County Sheriff’s Office, the Hardy County Sheriff’s Office, the Grant County Sheriff’s Office, and the Keyser Police Department.
U.S. District Judge Thomas S. Kleeh presided.
Original case press release here: https://www.justice.gov/usao-ndwv/pr/grant-and-hardy-county-residents-indicted-fentanyl-and-firearms-charges
Grand Jury Indicts Two in Investigation into Robbery and Assault of U.S. Postal CarrierRead the Press Release
PROVIDENCE, R.I. – A federal grand jury on Wednesday returned an indictment charging two Providence men in connection with the alleged robbery and assault of a U.S, Postal Service carrier and the alleged trafficking of more than 500 grams of cocaine, announced United States Attorney Zachary A. Cunha.
The indictment charges Juan Bautista Rosario-Sandoval, 29, with conspiracy to assault and rob a U.S. mail carrier, assault and robbery of a U.S. mail carrier, and conspiracy to possess more than 500 grams of cocaine. Duralline Azcona Rodriguez, 24, is charged with conspiracy to possess more than 500 grams of cocaine.
The indictment alleges that on September 18, 2021, Rosario-Sandoval and another unknown person approached a U.S. mail carrier and conspired to forcibly take a Priority Mail Express Parcel addressed for delivery to a Providence address. When the postal carrier refused to hand over the package, Rosario-Sandoval and the second person allegedly opened the doors to the carrier’s Postal Service vehicle, began to pull at and punch the carrier, and then stole and fled with the package. It is further alleged that Rodriquez was in a nearby vehicle to assist in obtaining the package from the Postal Service carrier.
It is alleged that the package contained more than 500 grams of cocaine.
A federal indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Conspiracy to possess more than 500 grams of cocaine is punishable by statutory penalties of up to 40 years imprisonment and supervised release up to life. Conspiracy to assault and rob a U.S. mail carrier and assault and rob a U.S. mail carrier are each punishable by up to 10 years in federal prison and 3 years of federal supervised release.
The case is being prosecuted by Assistant U.S. Attorney William J. Ferland.
The matter was investigated by United States Postal Inspection Service agents, with the assistance of Providence Police and the Rhode Island State Police.
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Former Florida Resident Sentenced for Bank RobberyRead the Press Release
PORTLAND, Maine: A former Florida resident was sentenced in federal court today for bank robbery, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge George Z. Singal sentenced Joshua Strickland, aka “Ash Strickland,” 36, to five years and 10 months in prison and two years of supervised release. Strickland was also ordered to pay $13,994 in restitution. Strickland pleaded guilty on July 27, 2021.
According to court records, on January 3, 2019, Strickland entered the Bank of America branch in Portland and approached one of the tellers. Strickland handed her a note that stated, “This is a robbery. I have a gun. If I feel like you are trying anything I will start shooting people.” Strickland demanded that the teller provide $5,000. Strickland subsequently fled to Las Vegas, Nevada, prior to being arrested.
The FBI and the Portland and South Portland police departments investigated the case.
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Former Corrections Officer Sentenced to 3 Years for Smuggling Drugs and Cell Phones into State PrisonRead the Press Release
SAN DIEGO – Anibal Navarro, a former corrections officer at Richard J. Donovan Correctional Facility, was sentenced in federal court today to 37 months in prison for smuggling methamphetamine, heroin, marijuana and cell phones into state prison.
Navarro pleaded guilty, admitting that he was part of a network of 12 individuals both inside and outside the prison that smuggled in contraband and illegal narcotics. All the other defendants have pleaded guilty and been sentenced (case number 17cr446-AJB).
One of Navarro’s co-conspirators, prison inmate Martin Gomez, organized and directed the other participants, including Navarro, from his cell in California state prisons in San Diego and Los Angeles. Gomez arranged for individuals outside of prison to smuggle contraband into Donovan prison and deliver drugs and cell phones to various inmates through Navarro. Gomez directed those inmates to receive the contraband and deliver it to still other inmates within the prison.
Gomez approached Navarro while Gomez was an inmate at Donovan, offering him an avenue to make extra money that Gomez knew Navarro needed. Navarro was paid between $1,000 and $2,000 each time he smuggled contraband into the prison. Gomez continued to lead the conspiracy for over two years, even after he was transferred out of Donovan to another prison. Over 500 grams of methamphetamine, heroin, cell phones, and other contraband were smuggled into Donovan through Navarro at Gomez’s direction while he was incarcerated elsewhere.
The smuggled phones were used to coordinate criminal activity both inside and outside Donovan.
“Corrections Officers are charged with the responsibility of keeping the public, inmates, and other prison staff safe,” said U.S. Attorney Randy Grossman. “Former Officer Navarro personally profited from creating a dangerous environment in the prison by smuggling in extremely harmful and addictive narcotics. Additionally, cell phones inside a prison allow inmates to coordinate other illegal acts, like smuggling drugs, fraud, and even violence. Today’s sentence demonstrates that the significant consequences far outweigh any financial gain for those who abuse their positions of trust.” Grossman thanked the prosecution team, the FBI, the California Department of Corrections and Rehabilitation’s Office of Internal Affairs, the California Department of Corrections and Rehabilitation’s Investigative Service Unit and the United States Postal Service – Inspector Service, for their excellent work on this case.
“Anibal Navarro abused his position and betrayed his oath as a Corrections Officer to further a conspiracy which included smuggling dangerous drugs and cell phones into our state prison system, allowing inmates to continue their criminal enterprise even while incarcerated,” said FBI Special Agent in Charge Suzanne Turner. “Today’s sentence hopefully sends a message to any government employee considering using their position of authority to further their own interests and enrich themselves – the FBI will continue to work diligently to root out public corruption at all levels.”
The FBI encourages the public to report allegations of public corruption to our hotline at (877) NO-BRIBE (662-7423).
DEFENDANT Case No. 16cr1664
Anibal Navarro Age 43 Chula Vista, California
SUMMARY OF CHARGES
Conspiracy to Distribute Illegal Narcotics – Title 21, U.S.C., Sections 841(a) and 846;
Bribery Concerning Programs Receiving Federal Funds – Title 18, U.S.C., Section 666
Maximum penalty: Life in prison and $20 million fine
AGENCY
Federal Bureau of Investigation – San Diego Field Office
California Department of Corrections and Rehabilitation’s Office of Internal Affairs
California Department of Corrections and Rehabilitation’s Investigative Service Unit
United States Postal Service – Inspector Service
Foley Meth Dealer Sentenced to Fourteen Years in PrisonRead the Press Release
MOBILE, AL – A Foley man was sentenced today to 168 months in prison for conspiracy to possession with intent to distribute methamphetamine.
According to court documents, John Douglas Havranek, Jr., 45, was implicated in an investigation involving a group of local distributors who were receiving methamphetamine ice from outside the state. Havranek sold methamphetamine to a cooperating co-conspirator who was acting as a confidential informant for authorities. The informant obtained recorded conversation with Havranek during the controlled buy of methamphetamine in which Havranek discussed his source of supply for methamphetamine ice in California. Other cooperating co-conspirators implicated Havranek in the distribution scheme. Havranek was arranging for the shipment of packages containing methamphetamine ice from California to different addresses in the Foley area. Payment for the methamphetamine distributed locally was wired to Havranek to California to pay for the drugs. Havranek pled guilty to the conspiracy charge in May of 2021.
United States District Court Judge Terry F. Moorer imposed the sentence of 168 months imprisonment, to be followed by a supervised release term of 5 years. Special conditions of his supervision include drug testing and treatment, and a model search condition. No fine was imposed, but the judge ordered that Havranek pay $100 in special assessments.
The case was investigated by the Baldwin County Sheriff’s Office, the Baldwin County Drug Task Force and Homeland Security Investigations. Assistant United States Attorney Gloria Bedwell prosecuted the case on behalf of the United States.Five New York City Men Charged in Connection with “Grandparent” Mail Fraud SchemeRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Josiah DeJesus, age 20, Jashua Noboa-Nival, age 20, Yeurys Peguero-Rosario, age 22, Ramon Peguero-Rosario, age 19, and Nelson Rivas-Bello, age 27, all of Bronx, New York, were indicted by a federal grand jury for their participation in a mail fraud scheme that targeted older victims and fraudulently induced them to send money through the mail under false pretenses.
According to United States Attorney John C. Gurganus, the indictment alleges that on diverse dates in July through October 2020, the above-named defendants traveled from New York to various locations in Pennsylvania, including addresses in Luzerne and Lackawanna County, and picked up UPS and Fed Ex packages containing thousands of dollars in cash sent by elderly victims under the false pretense that their grandchildren had been arrested and were in immediate need of money. The indictment further alleges that the victims sent the money after receiving fraudulent phone calls made by the named defendants’ co-conspirators, who posed either as the victims’ grandchildren or as a public defender representing the victims’ grandchildren.
The matter was investigated by the Federal Bureau of Investigation (Philadelphia Division) and the Berks County District Attorney’s Office. Assistant United States Attorney Jeffery St John is prosecuting the case.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for these offenses is 20 years imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Fentanyl Dealers Sentenced to 12 and 8 Years in Federal PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Paul G. Byron has sentenced Bolivar Anibal Cordova, Jr. (42, Windermere) and Luis Manuel Cordero (40, Orlando) to 12 years and 7 months and 8 years and 6 months in federal prison, respectively, for their roles in a conspiracy to distribute fentanyl-laced heroin. Cordova and Cordero had pleaded guilty in October 2021. A third individual, Jose Armando Delgado-Martinez (34, Orlando), previously pleaded guilty to his role in this conspiracy. Delgado-Martinez is scheduled to be sentenced on January 26, 2022.
According to court documents, between August 2019 and April 1, 2021, Cordova, Cordero, and Delgado-Martinez worked together to distribute fentanyl-laced heroin to, and collect drug proceeds from, a DEA cooperating source and undercover officers on 15 occasions. In addition to distributing approximately 680 grams of fentanyl-laced heroin to the DEA for approximately $35,000, the conspirators also maintained a storage locker that contained more than 611 grams of pure fentanyl. The conspirators also produced Spanish-language rap videos depicting drug dealing, proceeds, and guns along with the torture, mutilation, and murder of government informants. Cordova’s sentence was enhanced due to his leadership role in the organization and his possession of a firearm when he was arrested. Cordero’s sentence was enhanced as a result of his role in maintaining the storage locker where the 600 grams of fentanyl was stored.
This case was investigated by the Drug Enforcement Administration, with assistance from the Florida Highway Patrol and the Winter Park Police Department. It is being prosecuted by Assistant United States Attorney Dana E. Hill.
East Providence Man Sentenced for Laundering Proceeds of Email and Online ScamsRead the Press Release
PROVIDENCE, R.I. – An East Providence man who played a critical role in an international money laundering conspiracy that moved nearly $1.8 million to Nigeria obtained through various scams perpetrated in the United States was sentenced today to 42 months in federal prison, announced United States Attorney Zachary A. Cunha.
Samson Ikotun, 34, pleaded guilty on September 29, 2021, to conspiracy to commit money laundering.
According to court documents and information presented to the court, victims were defrauded of $1.784,654 through romance scams, lottery frauds, rental property frauds, email compromises, and other schemes. Ikotun moved more than $888,000 of that money to co-conspirators in Nigeria, using various banking methods and the purchase of used vehicles that were shipped to Nigeria and resold.
According to court documents, as an FBI, U.S. Postal Inspection Service, and Tallmadge, Ohio, and Moscow, Idaho Police Department investigation into Ikotun and others criminal activity was concluding, Ikotun was apprehended by FBI agents at the airport with a one-way ticket to Nigeria.
U.S. District Court Chief Judge John J. McConnell, Jr., sentenced Ikotun today to 42 months in federal prison to be followed by two years federal supervised release. The court is expected to issue a restitution order at a later date.
The case was prosecuted by Assistant U.S. Attorney John P. McAdams.
United States Attorney Cunha thanks United States Customs and Border Patrol; United States Secret Service; Rhode Island State Police; Providence, North Providence, East Providence, and Johnston, RI, Police Departments; Seekonk, Newton, Norfolk, and Hull, MA, Police Departments; New York State Police; Murphysboro, IL, Police Department; Greybull, WY, Police Department; Grand Island, NE, Police Department; Boca Raton, FL, Police Department; Lake County, FL, Sheriff’s Office; Brecknock Township, PA, Police Department; East Ridge, TN, Police Department; and San Angelo, TX, Police Department for their assistance in the investigation of the defendants involved in this conspiracy.
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Dover Man Sentenced to Prison for Transportation of Child PornographyRead the Press Release
U.S. Attorney Bridget M. Brennan announced that Brenton Cronebach, 56, of Dover, Ohio, was sentenced today by Judge Dan Polster to 121 months in prison and five years of supervised release after Cronebach pleaded guilty to transportation of child pornography in September of 2021.
“Accessing and transporting child pornography contributes to the abuse and exploitation of children here and around the world,” said First Assistant U.S. Attorney Michelle M. Baeppler. “Today’s sentence demonstrates that these offenses are serious and come with significant penalties.”
According to court documents, on May 12, 2021, law enforcement officers executed a search warrant at Cronebach’s residence after receiving a tip that numerous files of child pornography had been uploaded to several Google accounts associated with Cronebach. During the search of the residence, investigators seized a laptop, numerous computer disks and multiple USB storage devices containing more than 10,000 images and 1,000 videos of child pornography.
During an interview with law enforcement, Cronebach stated that he downloaded the files onto USB drives and then uploaded them to Google in the event the drives were damaged.
This case was investigated by the Ohio Internet Crimes Against Children Task Force and the FBI, Canton Resident Agency. This case was prosecuted by Assistant U.S. Attorney Michael A. Sullivan.
Dominican National Sentenced for Social Security MisuseRead the Press Release
BOSTON – A Dominican national previously residing in Lawrence was sentenced on Tuesday, Jan. 11, 2022 in connection with using another individual’s social security number.
Angel Bautista Rossi, 44, was sentenced by U.S. District Court Judge William G. Young to 18 months in prison and three years of supervised release. Bautista Rossi will be subject to deportation proceedings upon completion of his sentence.
In August 2017, Bautista Rossi used the identity and social security number of a U.S. citizen in an application for a Massachusetts driver’s license and to obtain medical benefits. In July 2020, Bautista Rossi, using the stolen identity, was arrested in Norfolk County on unrelated drug charges currently pending in the Norfolk Superior Court.
United States Attorney Rachael S. Rollins and John Cremonini, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Boston Field Office, made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Rollins’ Major Crimes Unit prosecuted the case.
Dominican National Sentenced for Fentanyl TraffickingRead the Press Release
BOSTON – A Dominican national was sentenced yesterday for drug trafficking activities involving fentanyl.
Angel Aybar Carmona, 26, was sentenced by U.S. District Court Judge Denise J. Casper to 13 months in prison. On Sept. 16, 2021, Carmona pleaded guilty to one count of distribution of and possession with intent to distribute 40 grams or more of fentanyl.
In December 2020, Carmona provided a sample of fentanyl along with his phone number to an undercover law enforcement officer. In subsequent text message conversations with Carmona, the undercover officer arranged to purchase 120 grams of fentanyl inside a store in Lawrence. After completing the sale, Carmona was arrested.
United States Attorney Rachael S. Rollins and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement. Valuable assistance was provided by the Lawrence Police Department. Assistant U.S. Attorney Stephen Hassink of Rollins’ Narcotics and Money Laundering Unit prosecuted the case.
Dayton man pleads guilty to dealing fentanyl cocaine mixture that caused multiple fatal and nonfatal overdosesRead the Press Release
DAYTON, Ohio – A Dayton man pleaded guilty in federal court here today to distributing fentanyl and cocaine that resulted in six overdoses in the late hours of New Year’s Eve and into the early hours of New Year’s Day 2019.
Kelsey V. Williams, Jr., 40, was indicted by a federal grand jury in the Southern District of Ohio in May 2021 and arrested in June 2021 in Minnesota.
According to court documents, on New Year’s Eve 2018 and New Year’s Day 2019, the defendant distributed a fentanyl and cocaine mixture responsible for four fatal and two nonfatal overdoses.
Distributing a controlled substance that results in death or serious bodily injury is a federal crime punishable by 20 years up to life in prison.
Kenneth L. Parker, United States Attorney for the Southern District of Ohio; J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Dayton Police Chief Kamran Afzal announced the plea entered into today before Senior U.S. District Judge Walter H. Rice. Assistant United States Attorneys Amy M. Smith and Ryan A. Saunders are representing the United States in this case.
This case is being prosecuted as part of Operation S.O.S. In July 2018, the Department of Justice announced the launch of Operation Synthetic Opioid Surge (S.O.S), a program aimed at reducing the supply of synthetic opioids in 10 high impact areas and identifying wholesale distribution networks and international and domestic suppliers.
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Couple Sentenced to 50 Years in Child Pornography CaseRead the Press Release
A married couple has been sentenced to a combined 50 years in federal prison for producing and distributing sexually explicit images of a minor relative, announced U.S. Attorney for the Northern District of Texas Chad E. Meacham.
Edward Lee Wheeler, 27, of Russell Springs, KY, pleaded guilty in September 2021 to production of child pornography and was sentenced Thursday to 30 years in federal prison. His wife, Jessica Roxanna Wheeler, 35, of Lubbock, pleaded guilty in October 2020 to receipt and distribution of child pornography and was sentenced in November 2021 to 20 years in federal prison.
The investigation began in June 2020, when a family member called law enforcement to report he had discovered Facebook messages between Mr. Wheeler and Ms. Wheeler discussing sexual acts with a 13-year-old relative.
In plea papers, the couple admitted to abusing the child.
Mr. Wheeler, they admitted, gave the child over-the-counter supplements – which he called “enhancers” – that he claimed were activated through sexual activity. (These “enhancers” were not real.) He claimed he needed sexually explicit images of the child to track the enhancers’ performance. Ms. Wheeler took the photos and sent them to her husband.
According to Facebook messages, Mr. Wheeler also engaged in sexual acts with the child. At one point, the couple discussed impregnating the child so that they could sell the infant to a European agency that would conduct medical testing on the baby. (Such an agency does not exist.) Mr. Wheeler told Ms. Wheeler the agency had offered him $42 billion; Ms. Wheeler told the child they were considering going through with the deal.
At the sentencing hearing, prosecutors explained that both Mr. Wheeler and Ms. Wheeler knew the “enhancers” did not work and the “agency” did not exist, but concocted the elaborate fantasy as an “escape from reality.”
The child is currently living out of state and receiving psychological care.
The Lubbock Police Department, the Federal Bureau of Investigation’s Dallas Field Office – Lubbock Resident Agency, and Homeland Security Investigations’ Dallas Field Office conducted the investigation with the assistance of the Havelock Police Department in Havelock, NC, the Bowling Green Police Department in Bowling Green, KY, the Russell Springs Sheriff’s Office in Russell Springs, KY, and the FBI’s Louisville Field Office – Bowling Green and Lexington Resident Agencies. Assistant U.S. Attorney Callie Woolam prosecuted the case.
Convicted Felon, Caught in Possession of a Stolen Semi-Automatic Rifle, Pleads Guilty in Albany PSN CaseRead the Press Release
ALBANY, Ga. – An Albany resident with a prior felony conviction found in illegal possession of a stolen loaded semi-automatic weapon during a car wreck investigation has pleaded guilty to a federal gun charge in a Project Safe Neighborhoods case.
Willie Frank Lewis, 28, of Albany, pleaded guilty to possession of a firearm by a convicted felon before U.S. District Judge Louis Sands on Tuesday, Jan. 11. Lewis is facing a maximum ten years in prison to be followed by three years of supervised release and a $250,000 fine. Sentencing has been scheduled for April 21. There is no parole in the federal system.
“Convicted felons found in possession of stolen firearms are breaking federal law and face the possibility of prosecution,” said U.S. Attorney Peter D. Leary. “Central to the Department of Justice’s Project Safe Neighborhoods’ program is focusing enforcement efforts on repeat felons. Our office is working close with local law enforcement to prosecute violent offenders and bring them to justice.”
According to court documents, Albany Police Department officers were investigating a car accident on Oct. 9, 2020. Lewis was a passenger in an involved vehicle and was sitting alone in the back seat with a rifle in plain view near his legs. The gun, an American Tactical 5.56mm caliber semi-automatic rifle, was loaded with 30 rounds of ammunition. The firearm was later determined to have been stolen in a local residential burglary. Lewis admitted to officers that he was convicted of trafficking amphetamine in Florida. It is illegal for a convicted felon to possess a firearm.
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.
The case was investigated by the Albany Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
Assistant U.S. Attorney Melody Ellis is prosecuting the case for the Government.
Connecticut Man Pleads Guilty to Enticement of A Minor to Engage in Sexual Activity and A Child Pornography OffenseRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on January 12, 2022, Christopher Capozza, age 40, of Newington, Connecticut, pleaded guilty before U.S. District Court Judge Robert D. Mariani to one count of online enticement of a minor to engage in illegal sexual activity and one count of production of child pornography.
According to United States Attorney John C. Gurganus, Capozza admitted at his guilty plea that between July 23, 2020, and December 31, 2020, he used Snapchat to arrange to meet and have sexual intercourse with a 14-year-old at motels and other places. Capozza also admitted that on August 23, 2020, he persuaded the same minor victim to make several pornographic videos and then send those videos to him via Snapchat.
The charges stem from an investigation by the Federal Bureau of Investigation (FBI), the Omaha, Nebraska Police Department, and the United States Attorney’s Offices for the Districts of Connecticut and Nebraska. Assistant United States Attorney James M. Buchanan is prosecuting the case.
The maximum penalties under federal law for these offenses is life imprisonment, a term of supervised release following imprisonment, and a fine. The production of child pornography charge carries a mandatory minimum 15 years in prison. The online enticement charge carries a mandatory minimum sentence of 10 years in prison. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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."
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Colombian National Extradited to the United States Pleads Guilty to Drug ConspiracyRead the Press Release
Tampa, Florida – Oscar Marsiglia Barrios (54, Colombia) today pleaded guilty to conspiracy to distribute cocaine knowing and intending it to be imported into the United States. Marsiglia Barrios faces a maximum penalty of life in federal prison. A sentencing date has not yet been set.
According to court documents, beginning in approximately February 2015 and continuing through on or about October 26, 2017, Marsiglia Barrios
was part of a transnational criminal conspiracy that transported cocaine from Colombia to the United States. Specifically, Marsiglia Barrios operated out of the Puerto Nuevo region of Colombia and was responsible for recruiting, hiring, and paying individuals to transport cocaine out of Colombia and into the United States in cargo ships.
Marsiglia Barrios was arrested in Colombia in August 2019 and extradited to the Middle District of Florida in March 2021.
This case was investigated by the United States Drug Enforcement Administration and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Diego F. Novaes.
The Department of Justice’s Office of International Affairs provided significant assistance with the defendant’s extradition. The U.S. Marshals Service also provided critical assistance by extraditing Oscar Marsiglia Barrios from Colombia to the Middle District of Florida.
This case was part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Clarks Summit Man Sentenced to 94 Months’ Imprisonment for His $400,000 Automobile Warranty Fraud SchemeRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Brian Larry, age 60, of Clarks Summit, Pennsylvania, was sentenced to 94 months’ imprisonment by United States District Court Judge Malachy E. Mannion for fraud, aggravated identity theft, and false statement offenses. A federal jury previously convicted Larry of all 13 charges in his indictment on May 10, 2021.
According to United States Attorney John C. Gurganus, Larry defrauded his former employer, a Wilkes-Barre based automobile warranty company, out of over $400,000. From January 2014 through October 2018, Larry, the manager of the claims department, stole the personal information of warranty policy owners. Larry then provided it to his coconspirators, who created false invoices for nonexistent automobile repair work supposedly performed at various garages in Rhode Island, Massachusetts, and Pennsylvania. The scheme included the forgery of the policy owners’ signatures on the paperwork. The false and forged documentation was then sent to the warranty company, where Larry approved payment of the invoices, in exchange for cash kickbacks. During the course of the scheme, Larry and his coconspirators obtained approximately $400,000 paid out by the warranty company pursuant to the false invoices, including thousands of dollars in repair work for Larry’s personal vehicle that he charged to other policy owners. The evidence at trial showed that Larry then falsified internal warranty company documents in an attempt to conceal his crimes. When confronted by FBI special agents, Larry denied receiving cash kickbacks in exchange for his participation in the scheme.
In pronouncing the sentence, Judge Mannion highlighted that Larry had expressed no remorse for his illegal conduct. Judge Mannion also ordered Larry to pay $394,701.96 to the victim of his crimes, and to serve three years of supervised release following service of his imprisonment term.
Three of Larry’s coconspirators also were convicted in this investigation:
- Matthew Gershkoff, age 64, of North Providence, Rhode Island pleaded guilty to conspiring to commit wire and mail fraud, and to aggravated identity theft, and was sentenced to 30 months of imprisonment and three years of supervised release. Gershkoff was convicted of preparing false invoices for nonexistent automobile repairs at multiple automobile repair shops located in Rhode Island and in Massachusetts, and for forging policy owners’ signatures. Gershkoff pleaded guilty on May 18, 2020, to causing between $250,000 and $550,000 of fraudulent loss to the Wilkes-Barre based automobile warranty company, and was ordered to pay restitution of $385,352.19.
- Herman Cabral, age 62, of Cranston, Rhode Island, pleaded guilty to conspiring to commit wire fraud, and was sentenced to 10 months of imprisonment and three years of supervised release. Cabral was convicted of processing false invoices for nonexistent automobile repairs through his Providence, Rhode Island automobile detailing shop, A Plus Auto Services. Cabral pleaded guilty on July 23, 2019, to causing between $150,000 and $250,000 of fraudulent loss to the Wilkes-Barre based automobile warranty company, and was ordered to pay $211,644.03 in restitution.
- Jason Pannone, age 40, of North Providence, Rhode Island pleaded guilty to conspiring to commit wire and mail fraud, and to aggravated identity theft, and was sentenced to 18 months of imprisonment and two years of supervised release. Pannone was convicted of processing false invoices for nonexistent automobile repairs through his Providence, Rhode Island automobile detailing shop, Platinum Auto Services, and through Ultra Auto Services, where he was employed. Pannone pleaded guilty on March 23, 2021, to causing between $95,000 and $150,000 of fraudulent loss to the Wilkes-Barre based automobile warranty company, and was ordered to pay restitution of $128,667.16.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorneys Phillip J. Caraballo and Jeffrey St John prosecuted the case.
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