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Thursday 16 December 2021
Worcester Man Sentenced for Cocaine DistributionRead the Press Release
BOSTON – A Worcester man was sentenced today for distributing nearly one kilogram of cocaine.
Julio Rivera, 47, was sentenced by U.S. District Court Judge Timothy S. Hillman to five years in prison and four years of supervised release. On Sept. 2, 2021, Rivera was convicted by a federal jury of distribution and possession with intent to distribute 500 grams or more of cocaine.
In October 2018, a federal investigation into co-conspirator Melvin Burgos intercepted numerous communications between Burgos and co-conspirator William Torres arranging to obtain one kilogram of cocaine from Rivera. On Nov. 1, 2018, Rivera led Burgos to his storage unit in Worcester where he distributed 900 grams of cocaine to Burgos. Agents subsequently stopped both Rivera and Burgos and a search of Rivera’s vehicle recovered the phone he used to communicate with Torres and Burgos, which he had attempted to destroy. A search of Burgos’ vehicle resulted in the seizure of the 900 grams of cocaine.
Torres and Burgos each pleaded guilty to their role in the conspiracy. On Feb. 26, 2021, Torres was sentenced to five years in prison and four years of supervised release. Burgos is scheduled to be sentenced on Jan. 5, 2022.
Acting United States Attorney Nathaniel Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. Assistant U.S. Attorneys John T. Mulcahy and Mackenzie A. Queenin of Mendell’s Criminal Division prosecuted the case.
Woodford County Man Pleads Guilty to Wire Fraud in Connection with Fraudulently Obtained COVID Relief LoansRead the Press Release
LEXINGTON, Ky. – A Versailles, Ky., man, Randall “Rocky” Blankenship, Jr., 49, pleaded guilty on Thursday, before U.S. District Judge Karen C. Caldwell, to a conspiracy to commit wire fraud to obtain Paycheck Protection Program loans under false pretenses.
According to his plea agreement, in April 2020, Blankenship submitted four fraudulent applications for Paycheck Protection Program (PPP) loans for Blankenship RV Finance Solutions LLC, RSGG Properties LLC, RSGG Holdings LLC, and RSGG Investments LLC, all business entities he formed. The Paycheck Protection Program was created as part of the CARES Act, a law passed in March 2020 in response to the COVID-19 pandemic. Paycheck Protection Program loans were designed to provide an incentive for small businesses to keep workers on their payroll during the pandemic; these loans would be forgiven by the United States Small Business Administration, if the borrower established that loan proceeds were used for payroll, rent, or other approved business expenses. The amount of the loan was dependent on the business’s payroll.
As part of his fraudulent PPP loan applications, Blankenship, with the assistance of a certified public accountant, created fake tax documents and payroll records indicating that his businesses had hundreds of thousands of dollars in quarterly payroll; when in fact, none of the entities had any payroll expense at all. Blankenship submitted the applications through Kentucky Bank and Independence Bank; and as a result, he obtained fraudulent PPP loans totaling $1,323,829. According to his plea, he used some of the funds for a RV business he owned (which had already received its own PPP loan and was ineligible for additional loans at the time), as well as personal use, including paying off casino debt and purchasing real estate.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; Jodi Cohen, Special Agent in Charge, Federal Bureau of Investigation, Louisville Field Office; Kathy Enstrom, Special Agent in Charge, Federal Deposit Insurance Corporation, Office of Inspector General (FDIC-OIG); and Stephen Donnelly, Acting Special Agent in Charge, Eastern Region, Office of Inspector General for the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection (FRB), jointly announced the guilty plea. The investigation was conducted by the FBI, FDIC-OIG, and FRB. The United States was represented by Assistant U.S. Attorney Paul McCaffrey.
Blankenship is scheduled to be sentenced on March 17, 2022. Blankenship agreed to pay restitution of $1,323,829. He faces a maximum of twenty years in prison, a fine of not more than $250,000, and supervised release of not more than three years. However, any sentence will be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
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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Watervliet Felon Charged with Unlawful Possession of a FirearmRead the Press Release
ALBANY, NEW YORK – Calvin Strong, age 29, of Watervliet, New York, was ordered detained today pending trial on a charge that he unlawfully possessed a firearm as a felon.
The announcement was made by United States Attorney Carla B. Freedman and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
The complaint alleges that Strong, a felon, possessed a handgun in Watervliet on or about November 23, 2021. The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
The charge carries a maximum sentence of 10 years in prison, a fine of up to $250,000, and a term of post-imprisonment supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by the United States Probation Office for the Northern District of New York, the ATF, U.S. Marshals Service, and the Watervliet Police Department, and is being prosecuted by Assistant U.S. Attorney Rick Belliss.
USP Canaan Inmate Charged with Attempt to Introduce Narcotics and Tobacco into A Federal PrisonRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Antonio Bishop, age 37, an inmate at United States Penitentiary, Canaan (USP Cannan), Waymart, Pennsylvania, was indicted on December 14, 2021, by a federal grand jury on charges stemming from an attempt to introduce narcotics and tobacco into a federal prison.
According to United States Attorney John C. Gurganus, the indictment alleges that inmate Bishop attempted to provide suboxone and amphetamines, narcotic controlled substances, to inmates, and to possess and obtain tobacco, all of which is considered contraband in a federal prison.
The case was investigated by the Bureau of Prisons Special Investigation Section (SIS) and the Federal Bureau of Investigation (FBI). Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.
Indictments and Criminal Informations 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 total penalty under federal law for these offenses is 20 years, 6 months of 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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USP Canaan Inmate Charged with Assault with A Dangerous Weapon and Possession of A Prohibited ObjectRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Louis Borrero, age 38, an inmate at United States Penitentiary, Canaan (USP Canaan), in Waymart, Pennsylvania, was indicted on December 14, 2021, by a federal grand jury on assault and weapon possession charges.
According to United States Attorney John C. Gurganus, the indictment alleges that inmate Borrero assaulted a victim on July 16, 2021 at USP Canaan with a razor blade, which is a contraband weapon in a federal prison.
The case was investigated by the Bureau of Prisons Special Investigation Section (SIS) and the Federal Bureau of Investigation (FBI). Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.
Indictments and Criminal Informations 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 combined penalty under federal law for these offenses is 15 years of 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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U.S. Attorney’s Office Announces More Than $1.1 Million Awarded to Specialized Court Dockets in Summit CountyRead the Press Release
The U.S. Attorney’s Office for the Northern District of Ohio announced today that the Department of Justice Office of Justice Programs (OJP) has awarded $1,175,000 in grant funding to support the Summit County Valor Court and Hope Court initiatives.
The Summit County Valor Court was awarded $625,000. The Valor Court was established due to the recognition that many veterans return to civilian life with serious trauma, both physical and mental, which may lead to their involvement with the criminal justice system. This specialized docket gives veterans access to programs, treatment and interaction with mentors in an initiative to enhance chances of success.
The Summit County Hope Court was awarded $550,000. The Hope Court (Healing, Opportunity, Progress & Empowerment) is the first felony specialized court for individuals who have been diagnosed with a severe and persistent mental health illness in Summit County. As a certified specialized docket with the Ohio Supreme Court, HOPE Court aims to improve life stability, reduce criminal recidivism, increase compliance with court orders and more.
Learn more about these specialty courts here.
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The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov.
U.S. Attorney's Office Testifies at Hearing on D.C. Revised Criminal Code Act of 2021Read the Press Release
The U.S. Attorney’s Office for the District of Columbia testified today at a hearing on the District of Columbia Revised Criminal Code Act of 2021.
Elana Suttenberg, Special Counsel to the U.S. Attorney, testified at a hearing of the District of Columbia Council’s Committee on the Judiciary and Public Safety. Today’s hearing is the third in a series. As stated today, the U.S. Attorney’s Office is committed to continuously seeking to improve the criminal law and the criminal justice system in the District, and looks forward to continuing to engage the Council and the community in a discussion of how to make our criminal law more fair and just for all.
Special Counsel Suttenberg also provided written remarks, below:
STATEMENT OF ELANA SUTTENBERG
SPECIAL COUNSEL TO THE UNITED STATES ATTORNEY
UNITED STATES ATTORNEY’S OFFICE FOR THE DISTRICT OF COLUMBIA
Thursday, December 16, 2021, 9:30 a.m.
Virtual Hearing via Zoom
Chairman Allen and Members of the Council:
My name is Elana Suttenberg, and I am the Special Counsel for Legislative Affairs at the United States Attorney’s Office for the District of Columbia (USAO-DC). I thank you for the opportunity to appear at today’s public hearing regarding the “Revised Criminal Code Act of 2021” (RCCA).
USAO-DC supports the goal of reforming the D.C. criminal code to ensure that statutes are clear and consistent, logically ordered, and proportionate in their penalties. In many ways, the RCCA is consistent with that goal, and we appreciate the Council considering these recommendations further. The RCCA is the product of a tremendous amount of work by the D.C. Criminal Code Reform Commission (CCRC) Executive Director, CCRC staff, and Advisory Group members, and we recognize their efforts. The RCCA creates many positive reforms to the criminal code, and is an important part of criminal justice reform in the District. USAO-DC participated as a member of the CCRC Advisory Group, and we voted in favor of submitting the final recommendations to the Council and Mayor. At the time of the vote, however, we were clear that our vote was not intended to express support for all of the CCRC’s recommendations. While we were supportive of moving this process forward, we believe that there are some substantial remaining issues that should be addressed before the Council takes final action.
Our most significant concerns focus on accountability for the most violent crimes (such as child sexual abuse, murder, burglary, robbery, and carjacking), and that some of the RCCA proposals are not integrally related to substantive criminal law and overlook the realities of certain resource constraints impacting Superior Court and our office. My testimony today will highlight those significant concerns, and my subsequent written testimony will address additional concerns.
Provisions that Should Be Disaggregated from the Revised Criminal Code Act
Initially, there are several provisions that are not integrally related to the substantive criminal law that the CCRC was tasked with revising. These provisions should be disaggregated from the RCCA and considered on their own merit as separate legislation. A reform of the substantive criminal laws is already a tremendous endeavor that will have a significant impact on the criminal justice system. The RCCA should focus first and foremost on these substantive criminal laws, and the Council should consider these additional procedural provisions—if at all—once the criminal justice system has responded to the RCCA’s impacts. Even though we believe that these provisions should be disaggregated from the RCCA, we offer the following concerns.
Expanded Right to a Jury Trial for Misdemeanors
The RCCA proposes dramatically expanding the right to a jury trial for misdemeanor offenses, such that, within several years, all offenses punishable by any period of incarceration would be jury demandable. See RCCA Amendments to D.C. Code § 16-705.
We respect the right to a jury in appropriate cases, including all felony cases. Jury demandability requirements for misdemeanors, however, should remain consistent with current law. When considering any changes to the jury demandability provisions, we strongly encourage the Council to closely engage with D.C. Superior Court to understand their resources, their funding, and how any change would both directly impact cases on the criminal dockets and indirectly impact cases on other dockets through the diversion of resources. Given the import of this change, we would encourage the Council to seek testimony on this proposal from D.C. Superior Court. Under non-pandemic court operations, there are approximately 3 to 5 misdemeanor cases scheduled for trial every day in each of the 6 general misdemeanor courtrooms, and approximately 2 trials a day in each of the 2 domestic violence misdemeanor courtrooms (that is, roughly 110 to 170 misdemeanor trials per week). By contrast, there is approximately 1 felony case scheduled for trial every day in each of the 8 felony courtrooms (that is, roughly 40 trials per week), and approximately 1 felony case scheduled for trial per week for the 4 to 5 calendars that handle the most serious felony cases (including sexual abuse and murder). Creating new rights to demand a jury in misdemeanor cases will strain both court and prosecutorial resources. Jury trials typically take longer to complete than bench trials, and must be scheduled farther in advance than bench trials. Consequently, creating additional misdemeanor jury trials would require more judges, more jurors (which would result in D.C. residents being called for jury duty more frequently), and additional prosecutorial resources. Further, felony cases—especially felony cases involving a detained defendant—are typically prioritized for trials in the court system, so it will likely take longer for misdemeanor cases to go to trial. This may result in delayed justice for victims, as victims will invariably need to wait longer for cases to resolve at trial, even in relatively straightforward misdemeanor cases. To our knowledge, no one has begun to analyze what it would take to create the infrastructure to handle a two-to-four-fold increase in the number of scheduled jury trials, what constraints exist that are beyond the District’s control (such as the current size of Superior Court), and what delays in justice could ensue from all of these changes. Given the consequences involved, these issues should be analyzed and discussed before any action is taken.
Deferred Dispositions for Misdemeanors
The RCCA proposes that, for every misdemeanor, when a defendant is found guilty of the offense, the court may defer further proceedings and place a defendant on probation before judgment for a period not to exceed one year. Under the proposal, if the defendant does not violate any of the conditions of probation, the court “shall” dismiss the proceedings. Following a dismissal, the defendant may move to seal the arrest and court proceedings. See RCCA § 22A-602(c).
We support the desire to expand diversion for low-level offenses, in recognition that a conviction may not be the most fair and just result in all cases. Consistent with that recognition, we have been working to expand our pre-trial diversion program with the goal of maximizing public safety, reducing recidivism, and enhancing a fair and efficient criminal justice system. The RCCA proposal, however, would allow judicially crafted diversion after a trial or guilty plea for all misdemeanor offenses—including the most serious misdemeanor offenses, such as certain sex offenses involving adult and child victims, domestic violence, stalking, and voyeurism. To guide our diversion, we have detailed internal guidelines for which defendants are eligible for these diversions (which helps ensure similarly situated defendants are treated the same) and the types of diversion opportunities that should be available for a particular defendant. In short, we have a standardized system for identifying defendants who could benefit from diversion and then offering them the most appropriate diversion opportunity. By contrast, there have been no developed guidelines regarding the implementation of judicially led diversion, including what types of diversion may be most appropriate for a particular defendant or case. We want to ensure that our pre-trial diversion program is robust, allowing for the most appropriate plea agreement or diversion opportunity, and creating consistency between cases; this proposal may undermine our ability to accomplish that goal.
Universal Second Look
The RCCA proposes expanding the Second Look (also known as IRAA/Incarceration Reduction Amendment Act) provisions to allow any person—regardless of their age at the time of the offense—to petition the court for review of their sentence after the person has been incarcerated for 15 years. See RCCA Amendments to D.C. Code § 24-403.03.
We recommend that the Council delay consideration of this proposal. We recognize that the goal of a sentencing review mechanism is to offer second chances, and to ensure that people who have served their time have opportunities for rehabilitation and reentry. This proposal, however, would expand second look review from current law, which was significantly expanded by the Council earlier this year. Based on data obtained from the Federal Bureau of Prisons (BOP) this past summer, there are currently 460 people in the custody of BOP who became immediately eligible to apply for a sentence reduction as a result of the recently enacted Second Look Act, which allowed a person who was between 18 and 24 years old at the time they committed an offense and who has served 15 years’ incarceration to move for release. Expanding the current IRAA to permit a universal second look would allow an additional 335 individuals in the custody of BOP who were 25 or older at the time of their offense and have served 15 years’ incarceration to immediately move for release. Given that this pool of eligible individuals was so recently expanded, we encourage the Council to delay further consideration of any additional expansion. Before any additional expansion, we should review the impacts of this expansion, including offenses—particularly violent offenses—committed by people released under this provision, the impact that this expansion has had on victims and their families, the supports available to assist victims with navigating this process, and the supports available to assist individuals released under this provision with reentry and reintegration to society.
Concerns with Substantive Criminal Law Proposals Under the Revised Criminal Code Act
Burglary Penalties
The RCCA proposes creating three gradations of Burglary. First Degree Burglary—which requires that a victim directly perceive the defendant inside a dwelling—would be punishable by a maximum of 4 years’ incarceration, and Enhanced First Degree Burglary—committed with a firearm or dangerous weapon—would be punishable by a maximum of 8 years’ incarceration.[1] See RCCA § 22A-3801.
However, the RCCA’s proposed maximum penalties for First Degree Burglary and Enhanced First Degree Burglary do not adequately account for the harms and trauma that can be incurred by what is, in essence, a home invasion. A statutory maximum does not represent the legislature’s sense of what the minimum amount, or even average amount, of punishment associated with a crime should entail. Rather, a statutory maximum—by definition—reflects the legislature’s belief as to what a person should be sentenced to for committing the worst possible version of that offense. Homes are where people live, where they keep their children safe, where they store their most valuable and sentimental possessions, and where they feel most secure. A burglary can shatter this sense of security, sometimes irrevocably. The maximum penalty for this crime, therefore, should recognize that a burglary violates the sanctity of the home, and the maximum penalty should be increased so that it is commensurate with the harms that can be caused by this type of invasion. Notably, the District’s Sentencing Guidelines categorize First Degree Burglary as a Group 5 offense—a person convicted of this offense with the lowest criminal history would face a guideline range of between 3 and 7 years in prison; a person convicted of this offense with the highest criminal history would face a guideline range of 7 years or more in prison. The Guidelines categorize First Degree Burglary While Armed as a Group 3 offense—a person convicted of this offense with the lowest criminal history would face a guideline range of between 7.5 and 15 years in prison; a person convicted of this offense with the highest criminal history would face a guideline range of 11.5 years or more in prison. The RCCA proposal represents an unwarranted departure.
Robbery and Carjacking Penalties
The RCCA proposes creating three gradations of Robbery, depending on the level of bodily injury suffered by the victim, and the type of property that was involved. A robbery that did not result in serious or significant bodily injury, and where the property taken was valued at less than $5,000, would be categorized as Third Degree Robbery, with a statutory maximum of 2 years’ incarceration. Committing this offense while armed with a firearm would be categorized as Enhanced Third Degree Robbery, with a statutory maximum of 4 years’ incarceration, with a higher maximum penalty if the firearm actually caused bodily injury to the victim. The RCCA also proposes subsuming the offense of Carjacking into Robbery. Unarmed Carjacking would be categorized as Second Degree Robbery, with a statutory maximum of 4 years’ incarceration, and Armed Carjacking would be categorized as Enhanced Second Degree Robbery, with a statutory maximum of 8 years’ incarceration. See RCCA § 22A-2201.
While we could support reductions in the maximum penalties for these offenses, the proposed reductions are simply too great. The maximum penalty for Carjacking should recognize that Carjacking is akin to burglary in some ways, as it may involve a traumatic intrusion into a person’s personal and presumed secure space.[2] It also results in the loss of what is often a much more significant asset than is lost in another form of robbery. Further, the proposed maximum penalties for Robbery and Enhanced Robbery are insufficient to account for the harms that can be incurred in a robbery, particularly where the robbery is committed while armed with a dangerous weapon. For example, under the RCCA proposal, both a defendant who held a gun to a victim’s head and threatened to kill the victim in connection with a robbery and a defendant who fired a gun indiscriminately at a victim, but did not hit the victim because of bad aim, could each be sentenced to a maximum of 4 years’ incarceration for that offense. A maximum possible sentence of 4 years’ incarceration would be woefully inadequate for such conduct. Notably, the District’s Sentencing Guidelines categorize Robbery as a Group 6 offense—a person convicted of this offense with the lowest criminal history would face a guideline range of between 1.5 and 5 years; a person convicted of this offense with the highest criminal history would face a guideline range of 3.5 years or more in prison. The Guidelines categorize Armed Robbery as a Group 5 offense—a person convicted of this offense with the lowest criminal history would face a guideline range of between 3 and 7 years in prison; a person convicted of this offense with the highest criminal history would face a guideline range of 7 years or more in prison. The RCCA’s proposed departure is unwarranted.
Felony Murder
The RCCA proposes eliminating accomplice liability for felony murder. See RCCA § 22A-2101(g). The RCCA also proposes requiring that, for felony murder, the lethal act be committed “in the course of and in furtherance of committing or attempting to commit” the predicate offense, and proposes limiting the predicate offenses for felony murder from current law, including eliminating certain types of child physical abuse and other serious crimes as potential predicates for a felony murder conviction. See RCCA § 22A-2101(b)(3).
However, we recommend that, with respect to accomplice liability, the Council adopt a compromise position, and create an affirmative defense to felony murder. Under this affirmative defense, a defendant would not be liable for felony murder if the defendant could prove that they did not commit the lethal act, and either believed no participant in the predicate felony offense intended to cause death or serious bodily injury, or made reasonable efforts to prevent another participant from causing the death or serious bodily injury of another. Notably, creating such an affirmative defense is consistent with a previous recommendation of the CCRC. This compromise position recognizes that accomplice liability for felony murder is necessary in many situations because, even where it is possible to prove the identity of the perpetrators of the offense, it is often not possible to identify the specific offender who “commit[ed] the lethal act.” Without some form of accomplice liability, crimes committed by multiple perpetrators would escape felony murder liability, while the same offense committed by a single perpetrator could result in felony murder liability. For example, a gang rape perpetrated by two or more individuals that resulted in the victim’s death may result in no liability for murder, as it may not be possible to determine which defendant committed the lethal act. A father and mother both systematically abusing their child, resulting in the child’s death, may result in no liability for murder. Where two individuals fire gunshots at a victim at the same time in the course of an armed robbery or carjacking, and it is impossible to prove which bullet caused the victim’s death, there may be no liability for murder. These examples show the necessity of accomplice liability for felony murder in situations where its absence would otherwise mean that neither person responsible for killing someone in the course of what is an inherently dangerous and violent offense is held accountable for murder. In murder cases, unlike for other offenses, the murdered victim cannot provide any information about what happened during the offense. By altering liability for accomplices under a felony murder theory, the RCCA proposal would effectively remove murder liability for certain felony murders committed by groups of perpetrators. Indeed, the more people who commit the predicate offense together, the less likely it would be that liability could attach for felony murder.
Defense to Child Sexual Abuse
The RCCA proposes departing from long-standing District law that mistake of age is not a legal defense to child sexual abuse,[3] and creating an affirmative defense to felony child sexual abuse where: (1) the victim is 14 or 15 years old (or 16 or 17, in the case of sexual abuse by a person in a position of trust or authority); (2) the defendant reasonably believes the victim is 16 or older (or 18 or older, in the case of sexual abuse by a person in a position of trust or authority); and (3) the reasonable belief is based on an oral or written statement that the victim made to the defendant about the victim’s age. See RCCA § 22A-2302(g)(2)-(3). For less severe forms of child sexual abuse, the government would be required to prove, as an element, that the defendant was reckless as to the victim’s age. See RCCA § 22A-2304(a)(1)(A) (Sexually suggestive conduct with a minor); RCCA § 22A-2305(a)(2)(A) (Enticing a minor into sexual conduct); RCCA § 22A-2306(a)(2) (Arranging for sexual conduct with a minor or person incapable of consenting).
However, because this defense would allow for the introduction of evidence regarding the defendant’s objectively “reasonable belief” as to the age of the victim, the existence of this defense could, practically, create a legally sanctioned justification for the defense to introduce evidence that would otherwise have no probative value at trial. For example, to show an objectively “reasonable belief,” the defendant may seek to elicit testimony relating to the child victim’s appearance, including the child victim’s physical development, maturity, and clothing, or photos of how the child victim presents themselves on social media. This testimony would be elicited to show why the victim appeared to be older than the victim’s true age. Allowing evidence of the defendant’s “reasonable belief” would allow this type of demeaning and humiliating evidence to be deemed probative and, thus, admissible at trial. If this proposal goes into effect, a defendant may also seek to introduce evidence currently precluded by the Rape Shield Law[4] regarding the victim’s prior sexual behavior to validate their “reasonable belief” that the child victim was of consenting age. Such evidence could include, for example, the victim’s known history of engaging in sexual acts with adults, prior pregnancies or births, involvement in prostitution and/or other sexually related behavior of an adult nature that suggested to the defendant that the victim was of a legally mature age. This evidence is the exact type that exposes the extremely intimate life of the victim (and here, a child victim) that the Rape Shield Law was specifically designed to exclude except in the most unusual cases where the probative value of the evidence is precisely demonstrated. We account for compelling fact patterns in exercising our charging discretion, where—despite the strict liability for this offense—a person may have reasonably believed that the victim was not underage. Allowing for this legal defense, however, may permit the defendant to elicit evidence at trial in a manner that is inappropriate, unnecessarily humiliating for the sexual assault victim, and directly contrary to the compelling policy reasons behind the Rape Shield Law.[5]
Requirement that Certain Sexual Conduct Have a “Sexual” Intent
The RCCA proposes adding the modifier “sexually” to certain conduct before it can constitute a “sexual act” or “sexual contact,” such that certain behavior would only constitute a sexual offense if the defendant has a “sexual” intent. See RCCA §§ 22A-101(118)(c), 22A-101(119)(B)(ii).[6]
However, adding the modifier “sexually” would constitute an ill-advised change from current law, as it would unduly limit situations where the defendant’s conduct should qualify as a sexual act or sexual contact. Sexual violence can be about power and control, not sex or sexual gratification. When committing a sexual offense, a defendant may be motivated by a desire to be violent or to assert power over a victim, not necessarily to be sexually aroused. For example, if, at a fraternity or sorority hazing, a defendant publicly penetrated another person with an object, the defendant may not have been acting with a sexual desire, but may have been acting with an intent to abuse, humiliate, harass, or degrade the victim. This would and should constitute a sexual offense. Further, even where a victim clearly experiences a sexual violation, it is often difficult, if not impossible, to prove that a defendant committed the offense for a sexual reason. For example, if a defendant grabs the vagina, breast, or buttocks of a stranger, that victim likely will feel sexually violated, and the conduct should constitute a sexual offense. Absent evidence of the defendant having an erection or outwardly manifesting sexual pleasure through words or actions—which is rare in many cases, particularly those involving sudden, brief, sexual assaults of strangers—the government may not be able to prove that the defendant’s actions were sexually arousing or gratifying. The government, however, would be able to show that, at a minimum, the defendant intended to humiliate, degrade, or harass the victim.
Mandatory Minimums
The RCCA proposes eliminating all mandatory minimum sentences from the D.C. Code. See RCCA § 22A-603. While we recognize and agree with the desire to reduce the number of mandatory minimums, we cannot support eliminating them all, and argue that two in particular should remain in light of their direct relation to serious violent crime. First, the 30-year mandatory minimum sentence for premeditated First Degree Murder should be maintained. District law has long provided for a minimum sentence for First Degree Murder, an offense that is uniformly viewed as the most serious offense. Every state has some mandatory minimum for First Degree Murder, and the concern that a mandatory minimum sentence may lead to a disproportionately harsh sentence for a less serious offense does not apply to First Degree Murder. Second, the 5-year mandatory minimum for committing a crime of violence while armed with a firearm should be maintained. Under the RCCA’s proposed structure, a 5-year mandatory minimum sentence should attach to an enhancement that involves a dangerous weapon or imitation dangerous weapon, where: (1) the underlying offense is a crime of violence; and (2) the weapon involved was a firearm or imitation firearm. This would attach a mandatory minimum to offenses such as armed carjacking, armed sexual assault, armed robbery, and armed kidnapping, but would not extend a mandatory minimum to drug-related offenses. The presence of any firearm is inherently dangerous and can create a significant risk of violence—including a risk of violence to both intended and unintended victims—and the presence of that firearm during a crime of violence necessitates a proportionate sentence. A minimum sentence reflects the community and the legislature’s sense that committing a crime of violence while armed is unacceptable by community standards, and will be penalized accordingly.
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USAO-DC is committed to continuously seeking to improve the criminal law and the criminal justice system in the District, and looks forward to continuing to engage the Council and the community in a discussion of how to make our criminal law more fair and just for all.
[1] Because the RCCA proposes removing the requirement in current law that, at the time of sentencing, a period of incarceration be reserved as back-up time under D.C. Code § 24-403.01(b-1), these RCCA maximum penalties correspond to maximums of 5 years’ and 10 years’ incarceration, respectively, under current law.
[2] See, e.g., Dan Morse and Luz Lazo, With Carjackings on the Rise, this Trio of Fed-Up Strangers Intervened, Washington Post (December 4, 2021) (“For victims, the suddenness of being carjacked can extend out the trauma. One moment, they’re in their car—something often associated with contentment, whether it’s listening to music or smelling a fresh coffee nestled in the cup holder—the next moment there’s a gun or knife stuck in their face, said Christopher Herrmann, an assistant professor at the John Jay College of Criminal Justice in New York. ‘It’s just as bad, really, as an armed person coming into your house,’ Herrmann said. In Montgomery County, victims’ advocate Greg Wims has worked with carjacking survivors for nearly 30 years. It can take days or weeks to fully realize the danger they went through. ‘Then the thought really hits: I was almost killed over my car,’ said Wims, founder of the Victims’ Rights Foundation.”).
[3] See D.C. Code § 22-3011(a).
[4] See D.C. Code §§ 22-3021, 3022.
[5] See Scott v. United States, 953 A.2d 1082, 1089 (D.C. 2008) (the purpose of the Rape Shield Law is to “safeguard against unwarned invasions of privacy” and “to exclude legally irrelevant evidence that may distract the jury or lead it to discount the complainant’s injury because of societal stereotypes and prejudices”).
[6] Under the RCCA proposal, a “sexual act” would include: “Penetration, however slight, of the anus or vulva of any person by any body part or by any object, with the desire to sexually abuse, humiliate, harass, degrade, arouse, or gratify any person, or at the direction of someone with such a desire” (emphasis added). RCCA §§ 22A-101(118)(c). A “sexual contact” would include: “Touching of the clothed or unclothed genitalia, anus, groin, breast, inner thigh, or buttocks of any person: (i) With any clothed or unclothed body part or any object, either directly or through the clothing; and (ii) With the desire to sexually abuse, humiliate, harass, degrade, arouse, or gratify any person, or at the direction of someone with such a desire” (emphasis added). RCCA § 22A-101(119)(B)(ii).
Two Men Sentenced for Their Role in the Attempted Murder of Federal AgentsRead the Press Release
DETROIT - Two men have been sentenced for their role in the Attempted Murder of Federal Agents, announced Acting United States Attorney Saima Mohsin.
Mohsin was joined in the announcement by Keith Krolczyk, Acting Special Agent in Charge of the Detroit Field Office of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Kevin Keshawn Young, a/k/a “Gucci,” 24, of Detroit, was sentenced to 180 months in federal prison and Aaron Marquis Shooks, a/k/a “Boogey,” 23, of Detroit, was sentenced to 151 months in federal prison. Both pleaded guilty to Attempted Murder of Federal Agents before United States District Court Judge Sean F. Cox on August 4, 2021, for their roles in shooting at two ATF agents on April 15, 2019, on Detroit’s east side.
According to court records, Defendant Aaron Shooks and other members/associates of a gang known as the OES 187 Head Hunters (“OES”) were involved in two shootings. The first was a shootout in front of St. John’s Hospital, which was part of an ongoing, violent feud between OES and a gang known as Block Squad. Shortly after, Shooks, who was driving, went to pick up more people. After getting back on the road, one of the passengers—Defendant Kevin Young—got out of the car and fired eleven shots at ATF agents in an unmarked vehicle who were investigating other gang activity. Young claimed he thought he was shooting at rival gang members rather than law enforcement.
“Every day our law enforcement officers put their lives on the line and risk personal injury to protect our citizens from senseless violence,” said Acting United States Attorney Saima Mohsin. “When officers or agents are assaulted while performing those duties, the perpetrators can expect that every resource of this office will be used to prosecute them to the fullest extent of the law, and to seek justice.”
“Our special agents and other law enforcement officers risk their personal safety everyday doing their job, protecting the public and enforcing the law, to make our community safe. We are proud of them and their unrelenting professionalism.” commented ATF Acting Special Agent in Charge Keith Krolczyk Detroit Field Division. “We continue to be thankful to United States Attorney’s office for their partnership in the fight against violent offenders.”
The case was investigated by agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant United States Attorneys Alyse Wu, Eric Straus and Robert Moran prosecuted the case.
Two Florida Men Plead Guilty to $35 Million COVID-19 Relief Fraud SchemeRead the Press Release
Two Florida men pleaded guilty this week in the Northern District of Ohio for leading a nationwide scheme to fraudulently obtain over $35 million in Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents, James R. Stote, 55, of Hollywood, and Phillip J. Augustin, 52, of Coral Springs, conspired to obtain millions of dollars in fraudulent PPP loans. Augustin and Stote obtained a fraudulent PPP loan for Augustin’s company, Clear Vision Music Group LLC, using falsified documents. After submitting that application, Stote and Augustin immediately began working to obtain larger PPP loans for themselves and their associates. Stote and Augustin recruited additional PPP loan applicants and prepared and submitted fraudulent loan applications for them in exchange for a share of the loan proceeds. The applications they submitted for all of the loans in the scheme relied on fake payroll numbers, falsified IRS forms and phony bank statements. They submitted or facilitated at least 79 fraudulent loan applications worth at least $35 million and planned to submit more.
“These convictions, and the numerous convictions of others involved in this wide-ranging conspiracy, demonstrate that people will be held accountable for defrauding the PPP Program,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Fraud against PPP programs directly harms taxpayers and undermine public trust in essential government support during the pandemic. We will continue to combat fraud and ensure that COVID-19 relief goes to those who deserve it.”
“While many businesses in our communities relied upon relief funds to keep their doors open and employees paid, these defendants profited off a scheme that stole millions of taxpayer dollars intended for struggling businesses and spent it lavishly on themselves,” said First Assistant U.S. Attorney Michelle M. Baeppler for the Northern District of Ohio. “Theft of government funds will not be tolerated, and prosecuting PPP fraud remains a priority for law enforcement.”
Stote and Augustin each pleaded guilty to conspiracy to commit wire fraud. They are scheduled to be sentenced at a later date and each face a maximum penalty of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
In addition, Diamond Smith, 37, of Miramar, was sentenced today to 20 months after pleading guilty on Aug. 4 in the Southern District of Florida to conspiracy to commit wire fraud. Smith, a recording artist, admitted to obtaining a PPP loan of $426,717 for his company, Throwbackjersey.com LLC, using falsified documents and false information. Upon completion of that loan, Smith then sought and obtained another PPP loan of $708,065 for his other company, Blue Star Records LLC, using falsified documents and false information. Smith admitted to using PPP loan proceeds at the Seminole Hard Rock Hotel and Casino and on luxury items, including a Ferrari. Authorities seized the Ferrari at the time of Smith’s arrest. Smith further admitted that he paid more than $250,000 to Stote and Augustin as kickbacks for their assistance in preparing and submitting the fraudulent loan applications. Smith was ordered to pay $1,111345.23 in restitution and $1,134,782 in forfeiture in addition to his term of imprisonment.
“When the Paycheck Protection Program was implemented over one year ago, our Office committed to protecting South Floridians from those trying to exploit the Covid-19 pandemic,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “Our work is not done. We will continue to hold accountable those who wrongfully obtain funds intended to help struggling small businesses survive the current health and economic crisis.”
“From submitting false documentation to recruiting other individuals, the defendants went to great lengths to defraud the Paycheck Protection Program of millions of dollars,” said Special Agent in Charge Bryant Jackson of IRS Criminal Investigation (IRS-CI), Cincinnati Field Office. “IRS-CI will continue to work with our law enforcement partners to hold those accountable that defraud programs designed to help struggling Americans and businesses.”
“This sentencing serves as a deterrent to anyone who would commit fraud targeting COVID-19 relief programs,” said Acting Assistant Director Jay Greenberg of the FBI’s Criminal Investigative Division. “Programs like these were created to help individuals during a pandemic, not for fraudsters to take advantage for personal gain. The FBI will continue to pursue criminal actors who engage in this activity.”
“Conspiring to fraudulently use SBA program funds is unacceptable,” said Special Agent in Charge Sharon Johnson of the SBA Office of Inspector General’s (SBA-OIG) Central Region. “OIG will aggressively root out fraud to protect the integrity of SBA’s programs, which are intended to provide vital assistance to the nation’s small businesses. I want to thank the Department of Justice and our law enforcement partners for their dedication and commitment to seeing justice served.”
In total, 25 people have been charged for their participation in this scheme in the Northern District of Ohio, Southern District of Florida and Middle District of North Carolina. To date, 20 of those defendants have been convicted.
The IRS-CI, FBI and SBA-OIG are investigating the cases.
Trial Attorney Philip Trout of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Elliot Morrison of the Northern District of Ohio and David Turken and Aimee Jimenez of the Southern District of Florida are prosecuting the cases.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 150 defendants in more than 95 criminal cases and has seized over $75 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Three Middlesex County Individuals Charged with $2.1 Million in Paycheck Protection Program Fraud and Economic Injury Disaster Loan Fraud SchemesRead the Press Release
NEWARK, N.J. – Three Middlesex County, New Jersey, residents were arrested today for their roles in fraudulently obtaining over $2.1 million in federal Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL), U.S. Attorney Philip R. Sellinger announced.
Arlen G. Encarnacion, 35, of Perth Amboy, New Jersey, is charged by complaint with 11 counts of bank fraud, three counts of wire fraud, and two counts of money laundering. Kent Encarnacion, 28, of Perth Amboy, is charged by separate complaint with one count of bank fraud and two counts of money laundering. Jacquelyn Pena, 36, of Perth Amboy, is charged by separate complaint with three counts of bank fraud and two counts of money laundering. They are all scheduled to have their initial appearances by videoconference this afternoon before U.S. Magistrate District Judge Leda Dunn Wettre.
According to documents filed in these cases and statements made in court:
Arlen G. Encarnacion submitted 11 fraudulent PPP loan applications to two different lenders on behalf of nine purported businesses and three fraudulent EIDL applications to the Small Business Association (SBA) on behalf of three purported businesses. Kent Encarnacion submitted one fraudulent PPP loan application on behalf of a purported business to one lender and Jacquelyn Pena submitted three fraudulent PPP loan applications to two different lenders on behalf of three purported businesses.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal on the PPP loan to be forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses at least a certain percentage of the PPP loan proceeds on payroll expenses.
The applications the defendants each submitted allegedly contained fraudulent representations to the participating lenders and the SBA, including bogus federal tax return documentation. The defendants also each fabricated the existence of employees and the wages paid to the non-existent employees through the purported businesses. According to Social Security Administration records, there were no Forms W-3, Transmittal or Wage and Tax Statements, nor Forms W-2, Wage and Tax Statements processed for any of the defendants’ entities between 2018 and 2020.
Based on the defendants’ alleged misrepresentations, the lenders and the SBA approved the defendants’ PPP loan and EIDL applications and provided their purported businesses with approximately $2.1 million in federal COVID-19 emergency relief funds meant for distressed small businesses. Of this amount, Arlen G. Encarnacion received approximately $1.69 million, Kent Encarnacion approximately $156,000, and Jacquelyn Pena approximately $335,000. The defendants then transferred a substantial portion of the proceeds, including in connection with Jacquelyn Pena’s purchase of real estate and Arlen G. Encarnacion’s purchase of a luxury Lamborghini SUV.
Each count of bank fraud charged in the complaints carries a maximum penalty of 30 years in prison and a $1 million fine; each count of wire fraud carries a maximum penalty of 20 years; and each count of money laundering carries a maximum penalty of 10 years in prison. Both the wire fraud and money laundering counts carry a maximum fine of $250,000 or twice the gross gain to the defendant or gross loss to the victim, whichever is greatest.
U.S. Attorney Sellinger credited postal inspectors of U.S. Postal Inspection Service, Newark Division, under the direction of Acting Inspector in Charge Raimundo Marrero; special agents of IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez; special agents of the U.S. Attorney’s Office for the District of New Jersey, under the direction of Special Agent in Charge Thomas Mahoney; special agents of the Social Security Administration – Office of the Inspector General, New York Field Division, under the direction of Special Agent in Charge John Grasso; special agents of the Federal Housing Finance Agency – Office of Inspector General, under the direction of Special Agent in Charge Robert Manchak; special agents of the Board of Governors of the Federal Reserve System and the Consumer Financial Protection Bureau – Office of Inspector General, under the direction of Acting Special Agent in Charge Stephen Donnelly; special agents of the Federal Deposit Insurance Corporation – Office of the Inspector General, under the direction of Special Agent in Charge Patricia Tarasca in New York; and special agents of the U.S. Department of Homeland Security – Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark, with the investigation leading to the charges. He also thanked the Middlesex County Prosecutor’s Office and the Perth Amboy Police Department for their assistance.
The government is represented by Assistant U.S. Attorneys Mark C. Orlowski and Olajide A. Araromi of the U.S. Attorney’s Office’s Government Fraud Unit in Newark.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Three Men Facing Federal Indictment for a Murder-For-Hire Conspiracy and Related ChargesRead the Press Release
Baltimore, Maryland – A federal grand jury has returned an indictment charging Daquante Thomas, a/k/a “Glock,” age 19, of Baltimore, Maryland; Jourdain Larose, a/k/a “JBlacc,” age 26, of Ellicott City, Maryland, and Tyrik Braxton, a/k/a “Son-Son,” age 25, of Baltimore, Maryland, for a federal murder-for-hire conspiracy, use of interstate commerce facilities in the commission of a murder-for hire, and use and discharge of a firearm during a crime of violence resulting in death. The indictment was returned on December 15, 2021. The defendants are expected to have initial appearances at a later date in U.S. District Court in Baltimore.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge LC. Cheeks, Jr. of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; Chief Lisa Myers of the Howard County Police Department; and Howard County State’s Attorney Rich Gibson
According to the indictment, Larose was a member of the Crips street gang and trafficked in controlled substances. As detailed in the indictment, Larose accused Juan Ross, age 23, of Columbia, Maryland, of cooperating with law enforcement, including on a live social media conversation on September 9, 2020, and in text message. Juan Ross was arrested on drug and weapon charges on September 5, 2020, but was released on bail after being interviewed by police. On October 4, 2020, Juan Ross was shot and killed in the area of Basket Ring Road in Columbia, sustaining multiple gunshot wounds to the head.
The five-count indictment alleges that Larose solicited others to kill Juan Ross and that Thomas and Braxton accepted payment from Larose to commit the murder. As detailed in the indictment, the defendants allegedly used interstate commerce facilities, specifically cellular telephones and a vehicle, in the commission of the murder-for-hire.
Larose allegedly provided a gun to a conspirator on September 12, 2020, for the purpose of killing John Ross. Prior to October 4, 2020, when the conspirator had not committed the murder yet, the indictment alleges that Larose solicited Braxton to commit the murder instead. Braxton then allegedly enlisted Thomas and Conspirator 2 to kill Juan Ross for Larose.
According to the indictment, on October 4, 2020, after text messaging each other about the address where they could find the victim, Braxton, Thomas, and Conspirator 2 drove to the area of Basket Ring Court in Columbia to locate Juan Ross, then drove to a drug store nearby. A short time later, Thomas and Conspirator returned to the area of Basket Ring Court, shot and killed Juan Ross and drove away together.
A few hours later, Braxton allegedly texted Larose that he had something important to discuss, and Larose told Braxton to Facetime him. As detailed in the indictment, on October 7, 2020, Braxton texted Larose, “It’s going to be hot as sh** out here” to which Larose responded, “It already is bro.”
If convicted, the defendants face a maximum sentence of life in prison for use and discharge of a firearm resulting in death, for the murder-for-hire conspiracy, and for use of interstate commerce facilities in the commission of murder-for-hire. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
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.
This case was made possible by investigative leads generated from the Bureau of Alcohol, Tobacco, Firearms, and Explosives’ (ATF) National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
This case 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. Project Safe Neighborhoods (PSN) is 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.
United States Attorney Erek L. Barron commended the ATF, the Howard County Police Department, and the Howard County State’s Attorney’s Office for their work in the investigation and prosecution and thanked the FBI, the Maryland State Police, the Anne Arundel County Police Department, the Baltimore County Police Department, and the Baltimore Police Department for their assistance. Mr. Barron thanked Assistant U.S. Attorneys Kim Y. Oldham and Lindsey N. McCulley, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Texas Woman Sentenced for Conspiring to Stage Automobile Accidents in Order to Defraud Insurance and Trucking CompaniesRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced GENETTA ISREAL (“ISREAL”), age 53, of Houston, Texas, was sentenced today for Conspiracy to Commit Wire Fraud, in violation of Title 18, United States Code, Section 371, arising out of staged automobile accidents with tractor-trailers occurring in New Orleans. Thus far, twenty-nine (29) of the thirty-three (33) indicted defendants have tendered guilty pleas in federal court.
According to documents filed in federal court, Damian Labeaud (“Labeaud”), Mario Solomon (“Solomon”), Larry Williams (“Williams”), and ISREAL were charged with staging an accident on June 12, 2017, occurring on Chef Menteur Highway near the Danziger Bridge in New Orleans. Labeaud and Williams planned to stage an automobile accident to obtain money through fraud. During their planning, Labeaud told Williams that he had an attorney, Daniel Patrick Keating (“Keating”), who has been identified in other documents filed in federal court, who would handle everything. Williams recruited ISREAL and another individual (now deceased) to participate in the fraudulent scheme. Williams borrowed a Chevrolet Trailblazer, and Labeaud operated the Trailblazer to collide with a 2015 Peterbilt tractor-trailer. After the staged accident, Labeaud fled the scene and Williams got behind the wheel to make it appear that he was operating the Trailblazer during the staged accident. Solomon picked up Labeaud after the staged accident. Williams told the New Orleans Police Department (“NOPD”) that he was the driver of the Trailblazer and that the tractor-trailer was at fault. After the staged accident, Labeaud introduced Williams and ISREAL to Keating.
Williams and ISREAL were treated by doctors and healthcare providers at the direction of Keating. On June 12, 2018, Keating’s firm filed the Larry Williams Lawsuit in Civil District Court (“CDC”) for the Parish of Orleans and on September 14, 2018, Keating’s firm demanded approximately $60,000.00 in settlement for the deceased passenger and approximately $56,155.00 in settlement for ISREAL. After the suit was filed, Williams and ISREAL each provided false testimony in depositions taken in conjunction with the lawsuit filed by Keating’s firm.
U.S. District Judge Eldon Fallon sentenced ISREAL to three (3) years probation with the first six (6) months to be served under home incarceration. In addition, ISREAL was ordered to pay restitution in the amount of $28,816.64 and a $100 mandatory special assessment fee.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Federal Bureau of Investigation, Louisiana State Police, and the Metropolitan Crime Commission with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit; Assistant U.S. Attorney Edward Rivera; Assistant U.S. Attorney Maria Carboni; and Assistant U.S. Attorney Brandon Long.
Tennessee Nurse Practitioner Arrested for Unlawfully Distributing Prescription OpioidsRead the Press Release
Memphis, TN – A Tennessee nurse practitioner was arrested today for allegedly distributing prescription drugs unlawfully from the medical clinic she owned and operated.
According to court documents, Kelly McCallum, 39, of Dyersburg, unlawfully prescribed controlled substances, including oxycodone and hydrocodone, at the Convenient Care Clinic (Clinic). Over approximately four years, McCallum prescribed more than two million opioid pills and more than 900,000 pills containing benzodiazepines. McCallum is alleged to have provided prescriptions to individuals with whom she had close personal relationships, including individuals with whom she had sexual relationships. She is also alleged to have prescribed dangerous combinations of controlled substances to her patients and, when she was out of the office, left pre-signed prescriptions for staff to distribute controlled substances in her absence. McCallum also faces health care fraud charges for allegedly billing TennCare and Medicare for fraudulent office visits on days that she was away from the Clinic.
McCallum is charged with maintaining a drug-involved premises, unlawful distribution of controlled substances, and health care fraud. If convicted, McCallum faces a maximum penalty of 20 years in prison for the drug charges, and a maximum of 10 years in prison for health care fraud. 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; Acting U.S. Attorney Joseph C. Murphy of the Western District of Tennessee; Special Agent in Charge J. Todd Scott of the Drug Enforcement Administration’s (DEA) Louisville Division; Special Agent in Charge Douglas Korneski of the FBI Memphis Field Office; Special Agent in Charge Derrick L. Jackson of the Department of Health and Human Services Office of the Inspector General (HHS-OIG) Atlanta Regional Office; and Special Agent in Charge Terry L. Reed Sr. of the Tennessee Bureau of Investigation (TBI) made the announcement.
The DEA, FBI, HHS-OIG, and TBI are investigating the case.
Assistant Chief Jillian Willis of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christie Hopper of the U.S. Attorney’s Office for the Western District of Tennessee are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in October 2018, the ARPO Strike Force, which operates in 10 districts, has charged more than 90 defendants who are collectively responsible for distributing more than 105 million pills. The ARPO Strike Force is part of the Health Care Fraud Strike Force Program, which since March 2007 has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at: https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
indictment
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Tennessee Nurse Practitioner Arrested for Unlawfully Distributing Prescription OpioidsRead the Press Release
A Tennessee nurse practitioner was arrested today for allegedly distributing prescription drugs unlawfully from the medical clinic she owned and operated.
According to court documents, Kelly McCallum, 39, of Dyersburg, unlawfully prescribed controlled substances, including oxycodone and hydrocodone, at the Convenient Care Clinic (Clinic). Over approximately four years, McCallum prescribed more than two million opioid pills and more than 900,000 pills containing benzodiazepines. McCallum is alleged to have provided prescriptions to individuals with whom she had close personal relationships, including individuals with whom she had sexual relationships. She is also alleged to have prescribed dangerous combinations of controlled substances to her patients and, when she was out of the office, left pre-signed prescriptions for staff to distribute controlled substances in her absence. McCallum also faces health care fraud charges for allegedly billing TennCare and Medicare for fraudulent office visits on days that she was away from the Clinic.
McCallum is charged with maintaining a drug-involved premises, unlawful distribution of controlled substances, and health care fraud. If convicted, McCallum faces a maximum penalty of 20 years in prison for the drug charges, and a maximum of 10 years in prison for health care fraud. 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; Acting U.S. Attorney Joseph C. Murphy of the Western District of Tennessee; Special Agent in Charge J. Todd Scott of the Drug Enforcement Administration’s (DEA) Louisville Division; Acting Assistant Director Jay Greenberg of the FBI’s Criminal Investigative Division; Special Agent in Charge Douglas Korneski of the FBI Memphis Field Office; Special Agent in Charge Derrick L. Jackson of the Department of Health and Human Services Office of the Inspector General (HHS-OIG) Atlanta Regional Office; and Special Agent in Charge Terry L. Reed Sr. of the Tennessee Bureau of Investigation (TBI) made the announcement.
The DEA, FBI, HHS-OIG and TBI are investigating the case.
Assistant Chief Jillian Willis of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Christie Hopper of the U.S. Attorney’s Office for the Western District of Tennessee are prosecuting the case.
The Fraud Section leads the Appalachian Regional Prescription Opioid (ARPO) Strike Force. Since its inception in October 2018, the ARPO Strike Force, which operates in 10 districts, has charged more than 90 defendants who are collectively responsible for distributing more than 105 million pills. The ARPO Strike Force is part of the Health Care Fraud Strike Force Program, which since March 2007 has charged more than 4,200 defendants who collectively have billed the Medicare program for more than $19 billion. In addition, the Centers for Medicare & Medicaid Services, working in conjunction with the Office of the Inspector General for the Department of Health and Human Services, are taking steps to hold providers accountable for their involvement in health care fraud schemes. More information can be found at: https://www.justice.gov/criminal-fraud/health-care-fraud-unit.
Taylorsville Woman Charged with Making False Statements to Obtain Millions of Dollars in PPP Loans.Read the Press Release
SALT LAKE CITY – Allison Marie Baver, 41, of Taylorsville, has been charged with nine federal criminal counts related to making false statements on loan applications to obtain funds obtained through the Small Business Administration’s Paycheck Protection Program (PPP). In the indictment, Baver is charged with eight counts of making a false statement to a bank and one count of money laundering.
According to the allegations contained in the federal indictment, Baver is the listed owner and agent for Allison Baver Entertainment, LLC, and submitted eight PPP loan applications from April 13, 2020, through April 26, 2020 to Northeast Bank and Meridian Bank. In each of the loan applications, Baver allegedly sought 10 million dollars of PPP loan funding for her entertainment company. However, prosecutors allege that Baver falsely stated in each loan application that ABE’s average monthly payroll was between $4,000,000 to $4,769,583, when ABE had no average monthly payroll; and, that ABE had between 100 to 430 employees, when ABE had no employees. Prosecutors also allege that these false statements resulted in Baver fraudulently obtaining 10 million dollars in PPP loans from Meridian Bank, and that Baver accepted that money and transferred it to a separate bank account where she began using a portion of the funding to invest in a movie.
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.
Assistant United States Attorneys are prosecuting the case and the FBI and the Small Business Administration Office of Inspector General are conducting the investigation.
Allegations are not findings of guilt and defendants are presumed innocent until proven guilty at trial.
Syracuse Man Sentenced to 84 Months for Drug CrimesRead the Press Release
SYRACUSE, NEW YORK – Waldemar Colon, age 45, of Syracuse, was sentenced yesterday to serve 84-months in federal prison for his convictions for conspiracy to distribute and possesses with intent to distribute heroin, fentanyl, and cocaine; and aiding and abetting the distribution of heroin and fentanyl, announced United States Attorney Carla B. Freedman, John B. DeVito, Special Agent in Charge of the New York Field Division of the United States Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), and Chief Kenton Buckner, City of Syracuse Police Department.
Colon was also ordered to serve a 5-year term of supervised release following his prison sentence.
As part of his previous guilty plea, Colon admitted that he conspired with Luis Carrasquillo and Isidro De Los Santos to sell heroin mixed with fentanyl, and cocaine from De Los Santos’s apartment on Gifford Street in Syracuse as part of a conspiracy that existed from December 2018 through January 31, 2019. Colon also pled guilty to aiding and abetting the sale of a mixture of heroin and fentanyl on December 19, 2018.
On January 31, 2019, ATF Special Agents assisted by DEA and the Syracuse Police Department-Intelligence Unit executed a federal search warrant at Isidro De Los Santos’s residence and recovered over twenty-one ounces (608 grams) of heroin mixed with fentanyl in two packages. A federal search warrant executed at the adjacent apartment of another involved defendant, Anthony Moreno, on the same day resulted in the seizure of over 18 ounces (521grams) of cocaine.
Isidro De Los Santos pled guilty to conspiracy to distribute and possess with intent to distribute controlled substances, and distribution of controlled substances, and was sentenced on November 13, 2020 to serve a sentence of nine years (108 months) in prison, and a 5-year term of supervised release.
Anthony Moreno pled guilty to conspiracy to possess with intent to distribute controlled substances, and on November 17, 2020 was sentenced on to serve 51 months in prison, followed by a 5-year term of supervised release.
Luis Carrasquillo pled guilty to conspiracy to distribute and possess with intent to distribute controlled substances, and distribution of controlled substances, and was sentenced on November 4, 2021 to serve a sentence of 71 months in prison, and a 5-year term of supervised release.
This case was investigated by the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Syracuse Police Department-Intelligence Section, and the United States Drug Enforcement Administration (DEA), and was prosecuted by Assistant U.S. Attorney Richard Southwick
Stockton Man Sentenced to 6.5 Years in Prison for Firearms TraffickingRead the Press Release
SACRAMENTO, Calif. — Johnnie Earl Ross III, 21, of Stockton, was sentenced Tuesday by United States District Judge John A. Mendez to 6.5 years in prison for conspiracy to deal firearms without a license and possession of an unregistered machine gun, Acting United States Attorney Phillip A. Talbert announced.
According to court documents, between Oct. 10, 2019, and Oct. 22, 2020, Ross and his co-conspirators sold at least 13 firearms to an undercover agent or confidential source on behalf of the Everybody Killa (EBK) street gang in Stockton. Many of the firearms were obtained out of state in Reno, Nevada, and some were obtained by a straw purchaser from federally licensed firearms dealers in Reno. One of the firearms was a Glock handgun with a switch that converted it to a fully automatic firearm.
This case is the product of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives; Homeland Security Investigations; and the San Joaquin County Sheriff’s Office. Assistant U.S. Attorney David W. Spencer is prosecuting the case.
Charges remain pending against co-defendant Vin Whealen Gaines Jr. He is in custody and scheduled for a status hearing on Jan. 18. The charges against Gaines are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Statement of U.S. Attorney Erek L. Barron on the Ambush Shooting of Baltimore Police OfficerRead the Press Release
Baltimore, Maryland – Statement from United States Attorney for the District of Maryland Erek L. Barron:
“Today’s cowardly ambush shooting of a Baltimore Police Department patrol officer in the line of duty is a tragic example of the risks facing law enforcement officers every day in the performance of their duties to keep our communities safe. My thoughts and prayers are with the officer and the officer’s family for a swift and full recovery. We will not tolerate this type of senseless violence. Those who perpetrated this attack must be found and prosecuted. I encourage anyone with information to contact the Baltimore Police Department. To the men and women of the Baltimore Police Department and all Maryland law enforcement, please know that all of us at the U.S. Attorney’s Office stand with you and thank you for your bravery and devotion to justice.”
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Statement from Attorney General Merrick B. Garland Regarding Purdue Pharma BankruptcyRead the Press Release
Attorney General Merrick B. Garland issued the following statement regarding the U.S. District Court's decision to invalidate the Purdue Pharma bankruptcy plan:
"We are pleased with the District Court’s decision invalidating the Purdue Pharma bankruptcy plan. The bankruptcy court did not have the authority to deprive victims of the opioid crisis of their right to sue the Sackler family. The department remains committed to opioid abatement efforts and supporting victims of opioid abuse."
St. Louis man pleads guilty to conspiracy to possess and discharge a firearmRead the Press Release
ST. LOUIS – United States District Court Judge E. Richard Webber accepted a plea of guilty from Deronte McDaniels on today’s date. McDaniels pleaded guilty to conspiracy to possess and discharge a firearm in furtherance of drug trafficking. Judge Webber set sentencing for March 16, 2022.
According to the plea agreement, in or around October 2019, relative to a shooting investigation by the University City Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) was requested to assist in locating the suspect, a co-conspirator of McDaniels. ATF surveillance revealed McDaniels’ co-conspirators in this case were actively distributing fentanyl within the Eastern District of Missouri.
On October 20, 2019, a co-conspirator was shot in the arm which McDaniels witnessed. McDaniels was the intended target of this drug related shooting and returned fire utilizing his co-conspirator’s handgun.
In retaliation for this incident, on October 21, 2019, McDaniels and two co-conspirators possessed one or more firearms in furtherance of the commission of a drug trafficking crime. During this violation, they caused the death of David Anderson by shooting him in a case of mistaken identity. The co-conspirators in the investigation have cases pending before the court.
The maximum possible penalty provided by law for the crime to which McDaniel is pleading guilty is imprisonment of not more than 20 years, a fine of not more than $250,000, or both such imprisonment and fine. The court may also impose a period of supervised release of not more than 3 years.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the University City Police Department.
Six Aerospace Executives and Managers Indicted for Leading Roles in Labor Market Conspiracy that Limited Workers’ Mobility and Career ProspectsRead the Press Release
Note: The defendants in this case, Mahesh Patel, Robert Harvey, Harpreet Wasan, Steven Houghtaling, Tom Edwards, and Gary Prus were acquitted by the court of the charges alleged in the indictment described in the press release below.
A federal grand jury in Bridgeport, Connecticut, returned an indictment yesterday charging a former manager of a major aerospace engineering company and five executives of outsource engineering suppliers (Suppliers) for participating in a long-running conspiracy to restrict the hiring and recruiting of employees among their respective companies. The conspiracy affected thousands of engineers and other skilled workers in the aerospace industry who perform services in the design, manufacturing and servicing of aircraft components for both commercial and military purposes.
According to the one-count felony indictment unsealed today in the U.S. District Court for the District of Connecticut, six individuals — Mahesh Patel, of Connecticut; Robert Harvey, of South Carolina; Harpreet Wasan, of Connecticut; Steven Houghtaling, of Connecticut; Tom Edwards, of Connecticut; and Gary Prus, of Florida — conspired with unnamed others to allocate employees by agreeing not to hire or solicit employees from each other’s companies.
This indictment is the first in an ongoing investigation into labor market allocation in the aerospace engineering services industry. Patel, described as a leader of the conspiracy given his position and authority as the Suppliers’ common customer, was previously charged by complaint. He was arrested and appeared before a federal magistrate judge on the charge last week, and was released on a $100,000 appearance bond. The remaining defendants are expected to appear before federal district courts in different districts this week.
“Conduct that corrupts competition for workers has no place in our economy,” said Assistant Attorney General Jonathan S. Kanter of the Department of Justice’s Antitrust Division. “Our investigation revealed a prolonged and widespread scheme to deprive aerospace workers of the ability to plan their own careers and earn competitive pay. The Department of Justice and our law enforcement partners will continue to hold individuals and companies accountable for criminal conduct aimed at depriving workers of the myriad benefits that flow from competition.”
“No one should be illegally denied the opportunity to pursue better jobs, higher pay and greater benefits,” said Peter S. Jongbloed, Counsel to the U.S. Attorney for the District of Connecticut. “It is vital that the labor market in the defense and aerospace remain fair, open and competitive, and we look forward to continuing the partnership with the Antitrust Division and our law enforcement partners to prosecute this important case.”
“Anticompetitive practices undermine legitimate procurement and acquisition processes designed to ensure equity among parties that do business with the government. The DoD Office of Inspector General’s Defense Criminal Investigative Service (DCIS) is fully committed to prioritizing investigations involving corruption of the DoD labor market,” said Principal Deputy Director James R. Ives of the DCIS. “We will continue to partner with the Department of Justice to ensure the labor market that supplies goods and services to the U.S. military remains competitive.”
According to the indictment, the defendants and co-conspirators recognized the mutual financial benefit of the conspiracy — namely, reducing the rise in labor costs that would occur when aerospace workers were free to find new employment in a competitive environment. Patel and certain other co-conspirators explicitly appealed to this financial benefit when communicating with each other about the agreement.
The maximum penalty under the Sherman Act for a conspiracy to restrain trade is 10 years of imprisonment and a fine of $1 million. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either amount is greater than the statutory maximum fine.
The charges are the result of an ongoing federal antitrust investigation into labor market allocation in the aerospace engineering services industry, conducted by the Antitrust Division’s New York Office, the U.S. Attorney’s Office for the District of Connecticut, and the New Haven and New York Resident Agencies of DCIS. Anyone with information in connection with this investigation should contact the Antitrust Division’s Complaint Center at 888-647-3258, or visit http://www.justice.gov/atr/report-violations.
An indictment merely alleges that a crime has been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Six Aerospace Executives and Managers Indicted for Leading Roles in Labor Market Conspiracy that Limited Workers’ Mobility and Career ProspectsRead the Press Release
A federal grand jury in Bridgeport, Connecticut, returned an indictment yesterday charging a former manager of a major aerospace engineering company and five executives of outsource engineering suppliers (Suppliers) for participating in a long-running conspiracy to restrict the hiring and recruiting of employees among their respective companies. The conspiracy affected thousands of engineers and other skilled workers in the aerospace industry who perform services in the design, manufacturing and servicing of aircraft components for both commercial and military purposes.
According to the one-count felony indictment unsealed today in the U.S. District Court for the District of Connecticut, six individuals — Mahesh Patel, of Connecticut; Robert Harvey, of South Carolina; Harpreet Wasan, of Connecticut; Steven Houghtaling, of Connecticut; Tom Edwards, of Connecticut; and Gary Prus, of Florida — conspired with unnamed others to allocate employees by agreeing not to hire or solicit employees from each other’s companies.
This indictment is the first in an ongoing investigation into labor market allocation in the aerospace engineering services industry. Patel, described as a leader of the conspiracy given his position and authority as the Suppliers’ common customer, was previously charged by complaint. He was arrested and appeared before a federal magistrate judge on the charge last week, and was released on a $100,000 appearance bond. The remaining defendants are expected to appear before federal district courts in different districts this week.
“Conduct that corrupts competition for workers has no place in our economy,” said Assistant Attorney General Jonathan S. Kanter of the Department of Justice’s Antitrust Division. “Our investigation revealed a prolonged and widespread scheme to deprive aerospace workers of the ability to plan their own careers and earn competitive pay. The Department of Justice and our law enforcement partners will continue to hold individuals and companies accountable for criminal conduct aimed at depriving workers of the myriad benefits that flow from competition.”
“No one should be illegally denied the opportunity to pursue better jobs, higher pay and greater benefits,” said Peter S. Jongbloed, Counsel to the U.S. Attorney for the District of Connecticut. “It is vital that the labor market in the defense and aerospace remain fair, open and competitive, and we look forward to continuing the partnership with the Antitrust Division and our law enforcement partners to prosecute this important case.”
“Anticompetitive practices undermine legitimate procurement and acquisition processes designed to ensure equity among parties that do business with the government. The DoD Office of Inspector General’s Defense Criminal Investigative Service (DCIS) is fully committed to prioritizing investigations involving corruption of the DoD labor market,” said Principal Deputy Director James R. Ives of the DCIS. “We will continue to partner with the Department of Justice to ensure the labor market that supplies goods and services to the U.S. military remains competitive.”
According to the indictment, the defendants and co-conspirators recognized the mutual financial benefit of the conspiracy — namely, reducing the rise in labor costs that would occur when aerospace workers were free to find new employment in a competitive environment. Patel and certain other co-conspirators explicitly appealed to this financial benefit when communicating with each other about the agreement.
The maximum penalty under the Sherman Act for a conspiracy to restrain trade is 10 years of imprisonment and a fine of $1 million. The maximum fine may be increased to twice the gain derived from the crime or twice the loss suffered by the victims of the crime if either amount is greater than the statutory maximum fine.
The charges are the result of an ongoing federal antitrust investigation into labor market allocation in the aerospace engineering services industry, conducted by the Antitrust Division’s New York Office, the U.S. Attorney’s Office for the District of Connecticut, and the New Haven and New York Resident Agencies of DCIS. Anyone with information in connection with this investigation should contact the Antitrust Division’s Complaint Center at 888-647-3258, or visit http://www.justice.gov/atr/report-violations.
An indictment merely alleges that a crime has been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Serial Arsonist Sentenced to Five Years in Federal Prison for Setting Fires to Publix StoreRead the Press Release
Tampa, Florida – U.S. District Judge Mary S. Scriven has sentenced Robert Timon Lovett (50, Bradenton) to five years in federal prison for arson.
Lovett had pleaded guilty on September 29, 2021.
According to court documents, on three consecutive dates in 2020 (December 25, 26, and 27), Lovett started a fire at a Publix store in Bradenton, Florida. On December 26 and 27, Lovett actually entered the store and purchased the lighter fluid he used to start the fires, both of which he set while the store was open for business. The fire he set on December 26 caused significant heat damage to the back of the store.
Law enforcement officers apprehended Lovett on December 28, 2020, when he returned to the same Publix and again purchased lighter fluid. In a statement to law enforcement, Lovett admitted to starting the fires on each of the three preceding days.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Manatee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Charlie D. Connally.
San Pedro Train Engineer Pleads Guilty to Terrorism Charge for Intentionally Derailing Locomotive Near U.S. Navy Hospital ShipRead the Press Release
LOS ANGELES – A train engineer at the Port of Los Angeles pleaded guilty today to a federal criminal charge for running a locomotive at full speed off the end of railroad tracks near a United States Navy hospital ship that was deployed to provide medical relief during the early months of the COVID-19 pandemic.
Eduardo Moreno, 45, of San Pedro, pleaded guilty to one count of committing a terrorist attack and other violence against railroad carriers and mass transportation systems.
According to his plea agreement, on March 31, 2020, Moreno drove a train at high speed, did not slow down near the end of the railroad track, and intentionally derailed the train off the tracks near the United States Naval Ship Mercy – a hospital ship then docked in the Port of Los Angeles.
No one was injured in the incident, and the Mercy was not harmed or damaged, according to court documents. The incident resulted in the train leaking a substantial amount of fuel, which required clean up by fire and other hazardous materials personnel.
Moreno admitted in his plea agreement that he caused approximately $700,000 in damages because of the derailment.
In his first interview with the Los Angeles Port Police, Moreno acknowledged that he “did it,” saying that he was suspicious of the Mercy and believed it had an alternate purpose related to COVID-19 or a government takeover, according to an affidavit filed with a criminal complaint in this case. Moreno stated that he acted alone and had not pre-planned the attempted attack. While admitting to intentionally derailing and crashing the train, he said he knew it would bring media attention and “people could see for themselves,” referring to the Mercy, according to the affidavit.
In a second interview with FBI agents, Moreno stated that “he did it out of the desire to ‘wake people up,’” according to the affidavit. “Moreno stated that he thought that the Mercy was suspicious and did not believe ‘the ship is what they say it’s for.’”
United States District Judge Philip S. Gutierrez has scheduled a March 11, 2022 sentencing hearing, at which time Moreno will face a statutory maximum sentence of 20 years in federal prison.
The FBI’s Joint Terrorism Task Force and the Port of Los Angeles Police investigated this matter.
Assistant United States Attorneys Reema M. El-Amamy and Christine M. Ro of the Terrorism and Export Crimes Section and Trial Attorney Taryn Meeks of the Department of Justice’s Counterterrorism Section are prosecuting this case.
Sacramento Man Sentenced to 2.5 Years in Prison for Fentanyl DistributionRead the Press Release
SACRAMENTO, Calif. — Christopher Kegan Williams, 26, of Sacramento, was sentenced on Tuesday by United States District Judge John A. Mendez to 2.5 years in prison for distribution of fentanyl, Acting United States Attorney Phillip A. Talbert announced.
According to court documents, between Sept. 2019 and March 2020, Williams brokered the sale of a total of approximately 480 fentanyl-laced counterfeit oxycodone M-30 pills to a confidential source in three separate transactions.
This case is the product of an investigation by the Drug Enforcement Administration, Homeland Security Investigations, the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the U.S. Marshals Service, the U.S. Postal Inspection Service, the Yuba-Sutter Narcotic and Gang Enforcement Task Force (NET-5), the California Highway Patrol, the Butte Interagency Narcotics Task Force (BINTF), the Tri-County Drug Enforcement Team (TRIDENT), the Sacramento County Sheriff’s Department, the Sacramento Police Department, the Roseville Police Department, the Manteca Police Department, the Yuba City Police Department, and the West Sacramento Police Department. Assistant U.S. Attorney David W. Spencer is prosecuting the case.
Co-defendant Mateo Elias Guerrero-Gonzales pled guilty to distribution of fentanyl on Dec. 14, 2021. Guerrero-Gonzales is scheduled to be sentenced on April 5, 2022. Charges remain pending against 14 co-defendants. A status hearing is set for Jan. 25, 2022. The charges against the remaining defendants are only allegations; they are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at www.justice.gov/OCDETF.
Raleigh Man Sentenced to 85 Months for Setting Fire to Businesses During Downtown RiotsRead the Press Release
NEW BERN, N.C. – Richard Rubalacava was sentenced today in federal court to 85 months in prison for maliciously damaging several downtown businesses by fire. On March 23, 2021, he pled guilty to setting fire to the Dollar General Express store on East Davie Street.
According to court documents and other information presented in court, Rubalacava, age 27, joined the riotous crowds following the May 30, 2020 civil protest over George Floyd’s murder in Minneapolis, Minnesota. Rubalacava was captured on video entering the Dollar General several times, stealing merchandise and setting fire to miscellaneous items. The sprinkler system extinguished the fire, but the damage was extensive. Rubalacava was also ordered to pay restitution to Dollar General in the amount of $354,379.22.
Rubalacava had also been charged with setting a fire inside the Budacai Restaurant on East Martin Street. He further admitted to vandalizing the Red Hat building with other rioters on the same evening.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Raleigh Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorneys Daniel W. Smith and Susan B. Menzer prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-CR-00341-FL.
Queens Man Sentenced to 33 Months in Prison for Posting Threats to Kill a Member of Congress and Illegally Possessing AmmunitionRead the Press Release
Earlier today, in federal court in Brooklyn, Eduard Florea was sentenced by United States District Judge Eric R. Komitee to 33 months in prison for transmitting threats to injure others, including threats against now-United States Senator Raphael Warnock, and possessing ammunition after having been convicted of a felony. Florea pleaded guilty to the charges in August 2021.
Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the sentence.
“With today’s sentence, the defendant faces serious consequences for threatening the life of United States Senator Raphael Warnock as part of his effort to foment violence at the Capital on January 6, 2021 in connection with attempts to overturn the results of the 2020 election,” stated United States Attorney Peace. “This Office is deeply committed to protecting our democratic institutions and preserving our democracy, and will vigorously prosecute those who would undermine our founding principles as a nation by threatening the safety of our elected representatives or those who seek elected office.”
Florea posted threatening statements online about killing elected officials, including now-United States Senator Warnock, and committing other acts of violence in Washington, D.C., in connection with the certification of the results of the 2020 Presidential Election. For example, on January 5, 2021, at approximately 8:40 p.m., Florea posted, “We need to all come to an agreement . . . and go armed . . . and really take back Washington.” A few minutes later, Florea posted, “Tomorrow may very [well] be the day war kicks off . . .” At 11:53 p.m. the same day, Florea posted, “Warnock is going to have a hard time casting votes for communist policies when he’s swinging with the f***ing fish.” In the early morning hours of January 6, 2021, at approximately 12:42 a.m., Florea referenced Senator Warnock and stated, “Dead men can’t pass sh*t laws . . .”
On January 6, 2021, after the assault on the United States Capitol had begun, Florea posted that he intended to travel to Washington, D.C., as part of a group armed with firearms ready to engage in additional violence. Between approximately 2:00 p.m. and 6:00 p.m.—while the Capitol was under siege—Florea posted the following messages, among others:
- “Mine are ready….I am ready…. we need to regroup outside of DC and attack from all sides… talking to some other guys….I will keep watching for the signal.”
- “I am awaiting my orders…armed and ready to deploy….”
- “Guns cleaned loaded . . . got a bunch of guys all armed and ready to deploy . . . we are just waiting for the word”
- “Me and some guys are gearing up to head in. . . . where are you . . . 3 cars already are enroute . . . .all armed.”
- “It’s time to unleash some violence.”
On January 12, 2021, FBI Special Agents and Task Force Officers with the New York Joint Terrorism Task Force executed a search warrant at Florea’s home in Middle Village, Queens. The search revealed that Florea, who had been previously convicted of a New York state firearms-related felony, illegally possessed more than 1,000 rounds of ammunition.
The government’s case is being handled by the Office’s National Security and Cybercrime Section. Assistant United States Attorneys Francisco J. Navarro and Andrew P. Wenzel are in charge of the prosecution.
The Defendant:
EDUARD FLOREA
Age: 41
Middle Village, QueensE.D.N.Y. Docket No. 21-CR-037 (EK)
Providence Man Sentenced for Trafficking FirearmsRead the Press Release
BOSTON – A Providence, R.I., man was sentenced today in federal court in Boston in connection with trafficking firearms from North Carolina.
Chiweze Ihunwo, 24, previously of Randolph, Mass., was sentenced by U.S. District Court Judge Leo T. Sorokin to 15 months in prison and three years of supervised release. On Aug. 17, 2021, Ihunwo pleaded guilty to one count of engaging in the business of dealing in firearms without a license.
In 2019 and 2020, Ihunwo traveled from Massachusetts to North Carolina for the purpose of acquiring firearms to be resold for profit. After acquiring these firearms, Ihunwo traveled back to Massachusetts and sold them to various individuals. At various times, Ihunwo advertised the firearms for sale via social media. In addition, Ihunwo made arrangements to sell firearms to a person who soon thereafter was arrested in connection with a June 23, 2020 shooting incident on I-95 in Providence.
During a search of a residence in Providence where Ihunwo had been staying, an AK-style pistol and various rounds of ammunition were recovered.
Acting United States Attorney Nathaniel R. Mendell and James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives made the announcement. Assistance was provided by the Randolph Police Department, the Providence Police Department and the Rhode Island State Police. Assistant U.S. Attorney Mackenzie Duane of Mendell’s Major Crimes Unit prosecuted the case.
Previously Deported Alien Charged with Illegal Re-EntryRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jose Sanchez-Flores, age 33, of Mexico, was indicted on December 15, 2021, by a federal grand jury with illegal re-entry into the United States by a previously deported alien.
According to United States Attorney John C. Gurganus, Sanchez-Flores was previously deported from the United States to Mexico in January 2016. He is alleged to have illegally reentered the United States again sometime after that time. He was located in the United States on December 5, 2021, in Adams County, Pennsylvania, when a Pennsylvania State Police trooper charged him with public drunkenness and possession of a personal use quantity of marijuana. Those state charges are pending.
This matter was investigated by U.S. Immigration and Customs Enforcement and Removal Operations (ERO) and is being prosecuted by Assistant United States Attorney
Joanne M. Sanderson.
Indictments and Criminal Informations 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.
Sanchez-Flores faces a maximum penalty of 10 years of 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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Portsmouth Fraudster Sentenced for Absconding and Fraud OffensesRead the Press Release
RICHMOND, Va. – A Portsmouth man was sentenced today to over 10 years in prison for charges of conspiracy, fraud, identity theft, and failure to appear.
According to court documents, Troy McFarland, 27, conspired with another man to repeatedly commit credit card fraud at the expense of more than a dozen identity theft victims and multiple financial institutions. McFarland and his co-conspirator used credit and debit cards re-encoded with stolen financial information to purchase goods and services from local retailers, including a luxury car rental, a hotel stay, dining expenses, motorcycle equipment, furniture, prepaid gift cards, and a $14,310 Rolex watch.
After McFarland was arrested on July 31, 2020, he was released to a third-party custodian in Portsmouth and required to submit to location monitoring. On October 24, 2020, he removed his location-monitoring device and absconded. On March 4, he was located and arrested again. While McFarland’s whereabouts were unknown, he released multiple music videos about his lack of remorse for his crimes and boasted about having removed his location-monitoring device. At the time of his arrest, he was found in possession of more debit and credit cards associated with suspected fraud.
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; Daniel A. Adame, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service; and Steve R. Drew, Chief of Newport News Police, made the announcement after sentencing by Senior U.S. District Judge Henry E. Hudson.
The United States Marshals Service provided significant assistance in this case.
Assistant U.S. Attorney D. Mack Coleman and former Managing Assistant U.S. Attorney Howard J. Zlotnick prosecuted the case.
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. 4:20-cr-44.
Poplar man admits assault charges in stabbings on Fort Peck Indian ReservationRead the Press Release
GREAT FALLS – A Poplar man accused of stabbing two individuals at a Wolf Point residence on the Fort Peck Indian Reservation admitted to assault charges on Dec. 15, U.S. Attorney Leif M. Johnson said today.
Dewayne C. Shoots, Jr., 28, pleaded guilty to an indictment charging him with two counts of assault resulting in serious bodily injury. The crime carries a maximum penalty of 10 years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris will determine a sentence based on the U.S. Sentencing Guidelines and other statutory factors. Sentencing was set for April 7, 2022. Shoots was detained pending further proceedings.
The government alleged in court documents that on March 5, 2020, a Wolf Point police officer was dispatched to a resident at about 1:09 a.m. A caller reported that Shoots had stabbed multiple victims. The officer saw a victim, identified as John Doe, outside the residence and covered in blood. John Doe said that Shoots had stabbed him. Another victim, identified as Jane Doe, was inside the residence and had also been stabbed by Shoots. Witnesses confirmed they saw Shoots fighting with the John Doe and then Shoots stabbed both John Doe and Jane Doe. Both victims suffered serious injuries.
Assistant U.S. Attorney Wendy A. Johnson is prosecuting the case, which was investigated by the FBI, Wolf Point Police Department and Roosevelt County Sheriff’s Office.
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Pittsburgh Woman Sentenced to Prison for Bank Robbery SpreeRead the Press Release
PITTSBURGH, PA- A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 30 months’ imprisonment, and three years’ supervised release on her conviction for a series of bank robberies that occurred in West Mifflin, McCandless, and Penn Hills, United States Attorney Cindy K. Chung announced today.
United States District Judge Nora Barry Fischer imposed the sentence on Donna Poremski, 45, of Pittsburgh's South Side neighborhood.
According to information presented to the court, Jasmine Parrish, a former employee of PNC bank, met her co-defendant, Donna Poremski, while the two worked together in the home-healthcare industry.
Parrish and Poremski conspired together to commit three bank robberies on June 23, 2018, September 6, 2018, and October 18, 2018.
During the first bank robbery, on June 23, 2018, Parrish and Poremski entered the PNC Bank, located in West Mifflin, and attempted to conceal their identities by dressing in traditional Middle Eastern attire, including wearing hijabs that covered their faces. Additionally, Parrish carried a cane and wore a surgical mask over her face with a tube that connected to an oxygen tank. The women approached the teller station and handed one of the tellers a note as well as threatened that they had a bomb. The Court also was informed that Poremski was observed on surveillance footage brandishing what appeared to be a firearm, and that the two women then directed the bank employees to empty their cash drawers and enter the bank vault where the bank employees were forced to put the money into the suitcase. The women stole $61,124.00 from this bank.
During the second bank robbery, on September 6, 2018, Poremski brandished what appeared to be a .9mm pistol and demanded money from the tellers. After obtaining the money from the teller’s cash drawer, Poremski directed the bank employees into the bank vault where the bank employees were forced to put money into Poremski’s bag. While the bank robbery was underway, Parrish was observed driving Poremski’s vehicle near the bank. Prior to the bank robbery, Parrish entered the bank to scope it out. The women stole $35,500.00 from this bank.
During the third bank robbery, on October 18, 2018, Poremski demanded money from the tellers and threatened to use a firearm but never brandished one. Parrish admitted that the women stole $350.00 from this bank.
A total of $97,004.00 was taken from the West Mifflin, McCandless and Penn Hills PNC banks, during these robberies for which Poremski and Parrish are both liable.
Prior to imposing sentence, Judge Fischer stated that Poremski’s offenses were “egregious”; but, that Poremski was not the “brains” of the operation between the two women and that her co-defendant took advantage of Poremski’s controlled substance addiction. Further, the Court deemed a variance appropriate in light of Poremski’s age, mental health, physical condition, difficult upbringing, employment record and post-offense rehabilitative efforts and her remorse.
Jasmine Parrish was previously sentenced to 40 months in prison followed by five years of supervised release.
Assistant United States Attorney Rebecca L. Silinski prosecuted this case on behalf of the government.
United States Attorney Chung commended the Federal Bureau of Investigation, West Mifflin Borough Police Department, the McCandless Police Department, the Penn Hills Police Department and the City of Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Poremski.
Philip R. Sellinger Sworn in as 62nd U.S. Attorney for District of New JerseyRead the Press Release
NEWARK, N.J. – Philip R. Sellinger today took the oath of office as U.S. Attorney for the District of New Jersey.
U.S. Attorney Sellinger was the co-managing partner of the New Jersey office of an international law firm, an office he founded in 2002. He previously served as co-chair of the firm’s Global Litigation Practice Group from 2013 to 2017. From 1984 to 2002, Mr. Sellinger worked at a New Jersey law firm, where he held several leadership positions, including co-chair of the firm’s Litigation Department and member of the firm’s Management Committee. Mr. Sellinger previously served as an Assistant U.S. Attorney in the United States Attorney’s Office for the District of New Jersey from 1981 to 1984. Mr. Sellinger served as a law clerk for U.S. District Judge Anne E. Thompson for the District of New Jersey from 1979 to 1980.
Mr. Sellinger received his J.D. from New York University School of Law in 1979 and his B.A., summa cum laude, from the University of Massachusetts at Amherst, in 1976.
As the 62nd U.S. Attorney for the District of New Jersey, U.S. Attorney Sellinger is responsible for overseeing all federal criminal prosecutions and the litigation of all civil matters in New Jersey in which the federal government has an interest. Between the offices in Newark, Camden, and Trenton, Mr. Sellinger supervises a staff of approximately 155 federal prosecutors, and approximately 130 support personnel.
Philadelphia Man Sentenced for Role in Drug Trafficking SchemeRead the Press Release
PITTSBURGH – A Philadelphia man was sentenced to 24 months’ incarceration for violating federal drug laws, United States Attorney Cindy K. Chung announced today.
Elijah Lane, age 27, was sentenced by United States District Judge Robert J. Colville. Judge Colville also ordered that Lane serve six years of supervised release following his prison term.
According to information provided to the court, Lane conspired to possess with intent to distribute and distributed a quantity of fentanyl and heroin from January 2017 to June 2020. Additionally, Lane possessed with intent to distribute and/or distributed a quantity of fentanyl and heroin within 1,000 feet of a school or playground on May 21, 2020.
Assistant United States Attorneys Craig W. Haller and Yvonne M. Saadi prosecuted this case on behalf of the United States.
The Pennsylvania State Police, the Federal Bureau of Investigation, and the Butler County District Attorney’s Drug Task Force led the investigation leading to the conviction and sentence in this case.
Pevely man sentenced to 25 years in prison for producing child pornographyRead the Press Release
ST. LOUIS – William Jackson, 46, of Pevely, Missouri appeared before United States District Court Judge Stephen R. Clark on today’s date and was sentenced to 25 years in prison for producing child pornography. Jackson previously pleaded guilty in August 2021.
According to the plea agreement, on April 29, 2020, Jackson responded to an advertisement that was placed on an online forum by an undercover law enforcement officer. Jackson communicated with the undercover officer's fictitious persona and expressed interest in engaging in sexual activity with the individual that Jackson believed to be an underage female.
On April 29, 2020, Jackson travelled to the State of Illinois from Missouri to meet who he believed would be the underage female minor with the intention of engaging in sexual conduct with her. Jackson was arrested by law enforcement at that time. A review of Jackson's cellular telephone conducted subsequent to that arrest revealed ten images of sexual abuse of a young minor female.
Agents determined Jackson and a co-defendant were sexually abusing a minor. Acting together, they produced and transmitted via the internet at least ten images of the sexual abuse of the minor victim utilizing digital recording equipment on an Apple iPhone cellular telephone.
The case was investigated by the St. Louis County Police Department and the Federal Bureau of Investigation.
Pennsylvania man pleads guilty for receiving child pornographyRead the Press Release
ST. LOUIS – United States District Court Judge Stephen R. Clark accepted a plea of guilty from Dallas Crawford on yesterday’s date for receiving child pornography. A grand jury in the Eastern District of Missouri previously indicted Crawford in September 2020. Sentencing is scheduled for April 14, 2022.
According to the plea agreement, on October 12, 2018, the FBI was contacted by the father of a twelve-year-old minor who had recently been in contact with a person he believed to be an adult via the Snapchat social media application. The parents became aware of the relationship while reviewing the victim's electronic devices. The father believed that pornographic images had been sent via the Snapchat social media platform.
Agents identified Crawford as the user of the account and a search warrant was obtained and served on Crawford's home in Pennsylvania on April 24, 2019. Several electronic devices were seized from Crawford. A subsequent search revealed files of child pornography. In addition, Crawford received images and videos of child pornography over the internet. Specifically, via social media applications like Snapchat.
The case was investigated by the St. Louis County Police Department and the Federal Bureau of Investigation.
Parker Man Sentenced to Federal Prison for RobberyRead the Press Release
PHOENIX, Ariz. – Last week, Thomas Leon Hamalowa, 39, of Parker, Arizona, was sentenced by U.S. District Judge John J. Tuchi to 41 months in prison, followed by three years of supervised release. Hamalowa previously pleaded guilty to robbery.
On September 4, 2020, Hamalowa was an inmate at the Colorado River Indian Tribes (“CRIT”) Adult Detention Facility when the victim, a CRIT Detention Officer, transported Hamalowa to Indian Health Services (“IHS”) for medical treatment. After leaving the IHS facility, Hamalowa physically wrestled with the victim in the parking lot, threw the victim to the ground, and drove off in the CRIT Adult Detention Facility vehicle. This robbery occurred on the CRIT Indian Reservation and both Hamalowa and the victim are members of the CRIT Tribe.
The Federal Bureau of Investigation and the CRIT PD conducted the investigation in this case. Christina J. Reid-Moore, Assistant U.S. Attorney, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-2020-00679-PHX-JJT
RELEASE NUMBER: 2021-093_Hamalowa# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Parent Sentenced in College Admissions CaseRead the Press Release
BOSTON – The chief executive officer of a California liquor distribution company was sentenced today in federal court in Boston for her involvement in the college admissions case.
Marci Palatella, 66, of Hillsborough, Calif., was sentenced by U.S. District Court Judge Nathaniel M. Gorton to six weeks in prison, a $250,000 fine, two years of supervised release with the first six months spent in home confinement and 500 hours of community service. On Aug. 26, 2021, Palatella pleaded guilty to one count of conspiracy to commit honest services mail fraud.
Palatella engaged in a scheme to defraud The College Board by paying William “Rick” Singer $75,000 to bribe Igor Dvorskiy, a corrupt test administrator, to allow Mark Riddell, a corrupt test “proctor,” to secretly correct her son’s SAT exam answers to obtain a fraudulently inflated score. In addition, Palatella agreed with Singer and others to pay $500,000 to facilitate her son’s admission to USC as a football recruit, even though he was not actually being recruited and would not play on the USC football team.
Singer previously pleaded guilty and is pending sentencing.
Case information, including the status of each defendant, charging documents, and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Joleen D. Simpson, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Mark Deckett, Resident Agent in Charge of the Department of Education, Office of Inspector General made the announcement today. Assistant U.S. Attorneys Leslie A. Wright, Kristen A. Kearney, Ian J. Stearns and Stephen E. Frank of Mendell’s Criminal Division prosecuted the case.
Oil City Man Charged with Robbing Tobacco Store with a GunRead the Press Release
ERIE, Pa. - A former resident of Oil City, Pennsylvania has been indicted by a federal grand jury in Erie on a charges of Hobbs Act robbery and federal firearms laws, United States Attorney Cindy K. Chung announced today.
The two-count Indictment named Mark Daniel Fenstermaker, 38, as the sole defendant.
According to the Indictment presented to the court, on or about October 14, 2021, Fenstermaker committed a robbery of Spanky’s Tobacco World in Venango County, Pennsylvania and used or carried a firearm which was brandished in furtherance of the robbery.
The case is part of Project Safe Neighborhood (PSN), the centerpiece of the Department of Justice’s violent crime reductions 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 prevent and reentry programs for lasting reductions in crime.
The law provides for a maximum total of life in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.Assistant United States Attorney Paul S. Sellers is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and Pennsylvania State Police conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Northern Nevada Man Convicted of Passport FraudRead the Press Release
RENO – A federal jury convicted a northern Nevada man yesterday of making false statements on his U.S. passport application.
According to court documents and evidence presented at trial, on February 27, 2018, William Phillip Neidinger (60), also known as William Joseph Beck III, provided a false birthdate, place of birth, and Social Security number on his U.S. passport application.
U.S. District Judge Howard D. McKibben presided over the three-day jury trial. Neidinger was found guilty of one count of false statements in application for a U.S. passport. He is scheduled to be sentenced on March 15, 2022, and faces a statutory maximum penalty of ten years in prison.
Acting U.S. Attorney Christopher Chiou for the District of Nevada made the announcement.
This case was investigated by the U.S. Department of State’s Diplomatic Security Service, the Federal Bureau of Investigation’s Latent Print Unit, U.S. Marshals Service, California Department of Health Care Services, Placer County California Health and Human Services, Nevada Department of Welfare and Social Services, Placer County District Attorney’s Investigators, Colusa-Sutter-Yolo Regional Child Support Agency (CA), and the Naval Criminal Investigative Service (Naval Air Station Fallon). Assistant U.S. Attorneys Randolph St. Clair and Richard Casper are prosecuting the case.
If you are aware of fraud associated with a U.S. passport application, please contact [email protected].
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North Carolina Man Indicted on Carjacking and Gun ChargesRead the Press Release
Columbia, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that a Federal Grand Jury in Columbia returned an indictment against a North Carolina man accused of carjacking two people last December. Shia Lee, 33, of Burlington, North Carolina, was charged on December 7 with carjacking and brandishing a weapon during the commission of a violent crime.
The indictment alleges that on December 19, 2020, Lee brandished a firearm and stole a 2012 Jeep Grand Cherokee from two people at a rest area outside of Orangeburg, one of whom was an off-duty law enforcement officer.
According to the Orangeburg County Sheriff’s Office, Lee later abandoned the vehicle in Branchville and stole a 2014 Dodge Caravan that was left running outside a convenience store. Lee led law enforcement officers on a vehicle pursuit and was subsequently taken into custody. The victims in these incidents were not injured.
“Lee’s alleged actions placed his victims, law enforcement officers, and the public in great danger,” said Federal Bureau of Investigation (FBI) Columbia Special Agent in Charge, Susan Ferensic. “The quick action taken by our law enforcement partners was vital in helping us put together this case for indictment.”
The case was investigated by the FBI, Orangeburg County Sheriff’s Office, City of Bamberg Police Department, Branchville Police Department, City of Laurens Police Department, and Denmark Police 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.
The case is being prosecuted by Assistant U.S. Attorney Elliott Daniels.
If convicted, Lee faces a mandatory minimum of seven years in prison and up to life imprisonment, plus a fine of up to $250,000 and up to five years of court ordered supervision to follow any term of imprisonment. Lee will be arraigned before a United States Magistrate Judge on December 21 at 10:45 a.m. in Courtroom 7 of the Matthew J. Perry Courthouse in Columbia.
All charges in the indictment are only accusations and the defendant is presumed innocent until and unless proven guilty.
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Nooksack tribal member sentenced to prison for sexual abuse of a minorRead the Press Release
Seattle – A 22-year-old member of the Nooksack Indian Tribe was sentenced today in U.S. District Court in Seattle to 42 months in prison and 15 years of supervised release, for sexual abuse of a minor, announced U.S. Attorney Nick Brown. Kamron Dylan Duane Cooper, was indicted in February 2020, and pleaded guilty in June 2121. At the sentencing hearing U.S. District Judge Robert S. Lasnik said that the young girls Cooper victimized will continue to suffer emotionally from their sexual abuse and that the sentence imposed recognizes the harm he has caused.
According to records filed in the case, between March 2018 and January 2019, Cooper engaged in sex acts with a 13-year-old on the Lummi Reservation. Cooper groomed the teen, persuading her to engage in sexual activity. Cooper was on supervised release at the time for juvenile offenses involving sexual assaults on two 14-year-old girls. Those assaults also occurred on the Lummi Reservation.
Cooper will be required to register as a sex offender following his prison term. As part of his 15-years of supervised release, Cooper will undergo sex offender treatment.
The case was investigated by the Lummi Nation Police Department and the FBI.
The case was prosecuted by Assistant United States Attorney J. Tate London. Mr. London serves as a Tribal Liaison for the U.S. Attorney’s Office, Western District of Washington.
New Mexico woman admits phoning threat to Montana Trappers Association banquet in DillonRead the Press Release
MISSOULA – A New Mexico woman accused of calling the Montana Trappers Association during a fundraising banquet in Dillon to say she and her boyfriend had placed a bomb at the event admitted to charges on Dec. 15, U.S. Attorney Leif M. Johnson said today.
Dora Sandra Gomez, also known as Bella Gomez, 64, of Albuquerque, New Mexico, pleaded guilty to interstate communication of a threat as charged in a superseding information. Gomez faces a maximum of five years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge Kathleen L. DeSoto presided.
In court documents filed in the case, the government alleged that on May 8, the Montana Trappers Association (MTA) hosted a fundraising banquet, attended by about 130 people, at the events hall in Dillon. At about 7:35 p.m., a secretary at the events hall received a phone call from a masked phone number. The caller said that she and her boyfriend were aware of the MTA banquet and that they didn’t like the organization. According to the secretary, the caller said a bomb was placed inside the banquet hall and that it could be triggered by a cell phone. The secretary immediately notified the Dillon Police Department. Officers evacuated the building and notified the FBI, which sent a team from Helena to search the building with a bomb-sniffing dog. No explosives were found.
The FBI determined that the call was made from a cellular phone belonging to Gomez and that the caller had dialed *67 prior to calling the facility in Dillon in order to mask the number from appearing on caller ID. Gomez admitted to the FBI to making the call to disrupt the MTA event because her ex-boyfriend was in attendance and she wanted to ruin his evening. Although Gomez admitted to saying words to the effect of “people who hate trappers are coming and someone will get hurt,” she denied ever using the word “bomb” or “explosive device.” The parties agreed that Gomez intended to communicate a threat with her statement, “people who hate trappers are coming and someone will get hurt.”
The Court set sentencing for March 30, 2022 and continued Gomez’s release pending further proceedings. The Court will determine Gomez’s sentence based on the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorney Jeffrey K. Starnes is prosecuting the case, which was investigated by the FBI and Dillon Police Department.
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Moline, Illinois, Woman Sentenced to Two Years in Prison for Theft of Public MoneyRead the Press Release
ROCK ISLAND, Ill. – A Moline, Illinois woman, Michelle Crowell, 48, of the 200 block of 31st Avenue, was sentenced to two years’ imprisonment on December 14, 2021, for stealing public money, specifically Social Security and Disability benefit payments.
Crowell had pleaded guilty to the offense on August 5, 2021. The government presented evidence at sentencing establishing that Crowell had accessed her deceased mother’s bank account on a recurring basis over a four-year period and had stolen Social Security and Disability benefits meant for her mother, resulting in a total loss of $36,087 to the Social Security Administration.
At Crowell’s sentencing hearing, U.S. District Court Chief Judge Sara Darrow stated that Crowell’s offense was a crime of opportunity that came at a great cost to the public.
“Programs such as Social Security serve an important purpose in our society,” said U.S. Attorney Gregory K. Harris. “When individuals such as the defendant defraud these types of programs, they harm those who are most in need.”
The statutory penalties for theft of public money include up to ten years in prison and not more than three years of supervised release.
The Social Security Administration’s Office of the Inspector General investigated the case. Assistant U.S. Attorneys Grant Hodges and Jennifer Mathew represented the government in the prosecution.
Missouri Man Indicted for Making Threats Against the Pennsylvania State PoliceRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Damian Smith-Birge, age 26, of Neosho, Missouri, was indicted on December 14, 2021, by a federal grand jury for making threats against the Pennsylvania State Police.
According to United States Attorney John C. Gurganus, the indictment alleges that on November 18, 2021, Smith-Birge telephoned the Pennsylvania State Police Stroudsburg barracks and made threats against law enforcement. The indictment also alleges that during the recorded calls, Smith-Birge referenced the December 2020 officer involved shooting incident that occurred in Hamilton Township, Monroe County, Pennsylvania. Smith-Birge was arrested in Missouri on a federal criminal complaint on November 22, 2021.
The case was investigated by the Federal Bureau of Investigation (FBI) and the Pennsylvania State Police. Assistant U.S. Attorney Jenny P. Roberts 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 this offense is 5 years of 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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Mississippi Man Pleads Guilty to Aiming Laser Pointer at AircraftRead the Press Release
Memphis, TN – Eugene Conrad, 52, of Michigan City, Mississippi, has pleaded guilty to aiming a laser pointer at aircraft. Acting U.S. Attorney Joseph C. Murphy Jr., announced the guilty plea today.
According to information presented in court, on July 15, 2021, agents with the Federal Aviation Administration (FAA) notified the FBI Memphis Field Office of reports indicating that planes flying into the Memphis Airport from the east were consistently being struck in the cockpit and cabin by a green laser coming from the Hardeman County, Tennessee and Benton County, Mississippi area. From January 1, 2021 to July 15, 2021 there were 49 strikes by a green laser on aircraft, mainly Federal Express Planes flying at various altitudes.
On July 16, 2021, agents conducted surveillance in Saulsbury, Tennessee, during which time agents received reports from Memphis International Airport’s Air Traffic Control relaying that aircraft in the vicinity were being struck by a laser. Agents could see a general originating location but the lasering ceased before a specific origin could be determined.
On August 11, 2021, surveillance was again established near Saulsbury, Tennessee with an aircraft from the Tennessee Bureau of Investigation (TBI), with a camera affixed for surveillance. At approximately 9:30 pm, the TBI aircraft entered the area over Hardeman County, TN and almost immediately began reporting laser strikes originating from the south and southwest of their position.
The TBI plane circled the area several times, surveillance equipment pinpointed an individual standing in front of a residence located at the intersection of Whippoorwill Road and Hamer Road in Benton County, Mississippi near the TN/MS border.
When agents arrived on the scene, they observed a male, later identified as Eugene Conrad, walking around a house while lasering the plane. A green laser pointer was found in an outdoor trashcan. Conrad admitted to law enforcement to intentionally striking planes flying near his residence with the green laser for several months.
Conrad pled guilty on December 14, 2021.
Sentencing is set for March 10, 2022, before U.S. District Judge Thomas L. Parker where Conrad faces up to five years in federal prison to be followed by three years supervised release and a $250,000 fine. There is no parole in the federal system.
This case was investigated by the FBI – Joint Terrorism Task Force, the Tennessee Bureau of Investigation, and the Federal Aviation Administration.
Assistant U.S. Attorney Stephen Hall is prosecuting this case on behalf of the government.
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Mexican National Sentenced for Central Valley Drug ConspiracyRead the Press Release
FRESNO, Calif. — Genaro Serrato-Calles (“Serrato”), aka “Alejandro,” aka “Meno,” 49, of Michoacán, Mexico, was sentenced Tuesday to 148 months in prison for conspiring to distribute methamphetamine and heroin, Acting United States Attorney Phillip A. Talbert announced.
His sentencing follows his guilty plea, which was entered last summer, along with the guilty pleas of his co-defendants, Antonio Castellanos, 38, of Whittier, Calif., Antonio Valencia-Hernandez (“Valencia”), 65, of Michoacán, Mexico, and Jose Reyes-Pineda (“Reyes”), 48, of Guerrero, Mexico. According to court documents, Serrato, who was convicted in 2006 in Stanislaus County of possessing ephedrine with the intent to manufacture methamphetamine, began working with sources in Mexico in 2014 to import and distribute drugs in the Modesto area. In April 2015, he coordinated with Valencia to pick up approximately 13 pounds of methamphetamine from Reyes in Anaheim for distribution in Modesto. Gualberto Agustin-Gomez, 45, a citizen of Mexico, also assisted in the packaging and transferring of the methamphetamine. In June 2015, Serrato coordinated the shipment of over 20 pounds of high-purity crystal methamphetamine to a stash house in Modesto. Serrato also supplied Valencia with approximately one half-pound of heroin for redistribution.
Last month, Valencia and Reyes were sentenced to 12 years and 3 months and one and a half years in prison, respectively. Agustin-Gomez was previously sentenced to seven and a half years in prison. Castellanos is scheduled for sentencing on January 18, 2022. Castellanos faces a maximum statutory penalty of life in prison, a statutory mandatory minimum prison term of 10 years, and a $10 million fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
This case was the product of an investigation by the Drug Enforcement Administration; Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); Homeland Security Investigations; Central Valley High Intensity Drug Trafficking Area (HIDTA) Task Force; San Joaquin County Metropolitan Narcotics Task Force; Stanislaus Drug Enforcement Agency; and Orange County Sheriff’s Special Investigations Bureau. Assistant United States Attorney Karen Escobar and Melanie Alsworth are prosecuting the case.
The case was also part of an Organized Crime Drug Enforcement Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Mexican Citizen Pleads Guilty to Distributing Fentanyl in BakersfieldRead the Press Release
FRESNO, Calif. — Jesus Adrian Pena-Gamez, 33, a citizen of Mexico, pleaded guilty Tuesday to possessing with the intent to distribute fentanyl, Acting United States Attorney Phillip A. Talbert announced. Pena-Gamez is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on March 14, 2022.
According to court documents, on April 7, 2021, Pena-Gamez and codefendant Carlos Ivan Campana met in the parking lot of a Bakersfield restaurant to sell to a person 15,000 counterfeit M-30 pills containing fentanyl. During the meeting, Pena-Gamez and Campana were arrested and law enforcement officers recovered from Pena-Gamez’s vehicle approximately three pounds of pills containing a detectable amount of fentanyl.
Codefendant Campana is charged in the indictment with distribution of fentanyl and methamphetamine on three prior occasions between November 2020 and April 2021. He is scheduled to appear for a status conference on March 9, 2022. The charges against him are only allegations; he is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case was the product of an investigation by the Drug Enforcement Administration. Assistant United States Attorney Christopher D. Baker is prosecuting the case.
Pena-Gamez faces a minimum sentence of ten years in prison, a maximum term of life in prison, and a $10,000,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Methamphetamine Found in Postal Package Leads to Arrest and Conviction of Alexandria ManRead the Press Release
LAFAYETTE, La. - United States Attorney Brandon B. Brown announced that Derrick Felton, 43, of Alexandria, Louisiana, has been sentenced by United States District Judge Jay Zainey to 188 months in prison, followed by 5 years of supervised release, on drug trafficking charges.
Felton was charged in an indictment on July 13, 2018 following an investigation by agents with the Federal Bureau of Investigation (FBI) into suspicious packages that were detected by a postal employee delivering mail in November 2017. The packages had been shipped from Los Angeles, California to an address in the Western District of Louisiana and one of the packages had a torn bottom. Upon inspection, the postal employee discovered what appeared to be bags of methamphetamine inside the package. Law enforcement agents with the FBI were contacted and a drug dog alerted on each of the three packages. A search warrant was then obtained for the packages.
During execution of the search warrant, agents found inside each package a combined 18 pounds of methamphetamine. Inside the boxes, the methamphetamine was surrounded by cooking pans. Agents analyzed the cooking pans and found Felton’s fingerprints on two of the pans. Felton pleaded guilty on August 24, 2021 and acknowledged that he facilitated the delivery of the 18 pounds of methamphetamine to the Western District of Louisiana. A laboratory analysis of the substance inside the boxes was determined to contain approximately 8 kilograms of a mixture or substance methamphetamine.
The FBI and U.S. Postal Service investigated the case and Assistant U.S. Attorneys John W. Nickel and Robert C. Abendroth prosecuted the case.
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Melvin, Iowa Man Sentenced to Federal Prison for Meth OffenseRead the Press Release
A man who possessed with intent to distribute methamphetamine was sentenced December 14, 2021, in federal court in Sioux City.
Todd Gruis, 50, from Melvin, Iowa pled guilty on September 7, 2021, to possessing with intent to distribute methamphetamine.
At the hearings, evidence showed that in early 2021 Gruis and a Minnesota man purchased methamphetamine via the “dark web” on multiple occasions. The methamphetamine was purchased by the Minnesota man who would have the packages sent to Gruis’ home. Upon Gruis receiving the packages, the two would coordinate to split the methamphetamine in half.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Gruis will remain in custody of the U.S. Marshals Service until he can be transported to a federal prison. Gruis was sentenced to 31 months’ imprisonment and must serve a 2 year term of supervised release following imprisonment. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Patrick T. Greenwood and was investigated by United States Postal Inspection Service, Osceola County Sheriff’s Office, Clay County Sheriff’s Office, and Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4044. Follow us on Twitter @USAO_NDIA.