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26 January 2022
Troy Man Sentenced for Trafficking a Kilogram of HeroinRead the Press Release
ALBANY, NEW YORK – Jose Leon Roldan, age 43, of Troy, New York, was sentenced today to 36 months in prison, to be followed by 3 years of supervised release, for conspiring to traffic a kilogram of heroin.
The announcement was made by United States Attorney Carla B. Freedman; Acting Special Agent in Charge Timothy Foley, U.S. Drug Enforcement Administration (DEA), New York Division; and Rensselaer County Sheriff Pat Russo.
Leon Roldan previously admitted to working with his father, Carlos Leon Rivera, and Mario Figueroa-Portalatin, to sell heroin in Troy, from November 2019 to March 30, 2020. Leon Roldan admitted to regularly traveling to New York City with his father, where they would acquire heroin from Figueroa’s source of supply. They brought the heroin back to Troy, where they and Figueroa prepared and packaged it for sale to customers.
Figueroa-Portalatin, of Troy, pled guilty on August 11, 2020, and was sentenced to 151 months in prison.
Leon Rivera, of Troy, pled guilty on June 9, 2021, and was sentenced to 87 months in prison.
This case was investigated by the DEA and the Rensselaer County Sheriff’s Office, and was prosecuted by Assistant U.S. Attorney Michael Barnett.
Three Men Plead Guilty to Defrauding AmazonRead the Press Release
Defendants Sold Textbooks They Rented Through Amazon’s Textbook Rental Program
GRAND RAPIDS – U.S. Attorney Andrew B. Birge announced today that Paul Larson of Kalamazoo, and Gregory Gleesing of Portage, pled guilty to mail fraud in United States District Court in Lansing, Michigan. Lovedeep Singh Dhanoa, also of Portage, previously pled guilty to mail fraud related to the same fraudulent scheme.
According to court documents, Paul Larson, age 32, Gregory Gleesing, age 43, and Lovedeep Singh Dhanoa, age 25, allegedly participated with Geoffrey Mark Talsma, age 36, also of Kalamazoo, in a scheme to defraud Amazon’s textbook rental program. Larson, Gleesing and Dhanoa admitted through their guilty pleas that from approximately September 2016 to October 2019, one or more of them assisted Talsma in renting textbooks from Amazon through the internet. According to the plea agreements, Talsma taught them how to create numerous Amazon accounts using fake names, multiple street addresses, and multiple email accounts to circumvent Amazon’s limit of 15 textbook rentals per customer. They admitted assisting Talsma in obtaining the textbooks at a rental price that was a fraction of their true value and selling the textbooks at a profit through area bookstores and over the internet, all without ever paying the agreed upon buyout price for the books at the end of the rental period.
Larson is scheduled to be sentenced on Tuesday, June 21, 2022; Gleesing on Wednesday, June 1, 2022; and Dhanoa on Tuesday, May 24, 2022. All three face a maximum 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. They will also be ordered to pay restitution to Amazon.
The charges against Talsma are scheduled for trial beginning on April 5, 2022, in United States District Court in Lansing, Michigan. The charges against him are mere allegations and he remains innocent until and unless proven guilty at trial.
The Federal Bureau of Investigation and U.S. Postal Inspection Service are investigating the case. Amazon referred the matter to law enforcement and has supported the investigation.
Assistant U.S. Attorney Ron Stella is prosecuting the case.
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Torrington Man Pleads Guilty to Possession of Child PornographyRead the Press Release
United States Attorney Bob Murray announced today that ANDREW BRYAN CULLIGAN, age 35, of Torrington, Wyoming pleaded guilty to possession of child pornography during a change of plea hearing held on January 18, 2022, before Federal District Court Judge Nancy D. Freudenthal. Sentencing has been set for April 8, 2022.
Culligan was arrested on August 4, 2021, in Casper, Wyoming after being indicted by a federal grand jury. He faces up to 20 years of imprisonment, 5 years to life of supervised release, a $5,000 special assessment pursuant to the Victims of Sex Trafficking Act of 2015, up to $17,000 in special assessments, and mandatory restitution of not less than $3,000 per requesting victim pursuant to the Amy, Vicky and Andy Child Pornography Victim Assistance Act of 2018.
This crime was investigated by the Wyoming Division of Criminal Investigation Internet Crimes Against Children Task Force. The case is being prosecuted by Assistant United States Attorney Christyne M. Martens.
Case Number 0:21-cr-00078-NDF
Superseding Indictment Charges New York Fisherman with Conspiracy, Fraud and ObstructionRead the Press Release
A federal grand jury in the Eastern District of New York unsealed a superseding indictment charging a fisherman with both conspiracy and substantive charges in connection with a scheme to illegally overharvest fluke and black sea bass.
Christopher Winkler, 61, of Montauk, was charged with one count of conspiracy to commit mail fraud, to obstruct the National Oceanic and Atmospheric Administration (NOAA) through the falsification of fishing logs, and to unlawfully frustrate NOAA’s efforts at regulating federal fisheries.
In April 2021, Winkler was indicted with several others as part of a conspiracy that was incorporated as part of the new indictment. However, the other defendants were not charged in the superseding indictment. The superseding indictment alleges that between May 2014 and February 2017, Winkler, as captain of the F/V New Age, went on at least 220 fishing trips where he caught fluke or black sea bass in excess of applicable trip limits. At various times during the conspiracy, this fish was sold to two now-defunct companies in the New Fulton Fish Market in the Bronx and a fish dealer in Montauk. According to court filings, the overages of fish included at least 200,000 pounds of fluke, and the overall over-quota fish (of all species) were valued at least at $850,000 wholesale.
Under federal law, a fishing captain is required to accurately detail his catch on a form known as a Fishing Vessel Trip Report (FVTR), which is mailed to NOAA. Similarly, the first company that buys fish directly from a fishing vessel, termed a fish dealer, is required to specify what it purchases on a federal form known as a dealer report. Pursuant to statutory mandate, NOAA utilizes this information to set policies designed to ensure a sustainable fishery. The superseding indictment alleges that part of the conspiracy was to falsify both FVTRs and dealer reports in order to cover-up the fact that fish were taken in excess of quotas.
Initiated as part of Operation One-Way Chandelier, the charges are part of a multi-year, ongoing investigation into fisheries fraud on Long Island. NOAA’s Office of Law Enforcement investigated the case. Trial Attorney Christopher Hale and Senior Trial Attorney Kenneth Nelson of the Environment and Natural Resources Division’s Environmental Crimes Section are prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Suburban Chicago Dentist Charged with Orchestrating $1.2 Million Fraud SchemeRead the Press Release
CHICAGO — A suburban Chicago dentist fraudulently obtained $1.2 million in medical care loans for purported dental work that was never performed, according to a federal fraud charge.
MICHAEL D. EGAN, 58, of Orland Park, Ill., is charged with one count of wire fraud in a criminal information filed Tuesday in U.S. District Court in Chicago. The charge is punishable by up to 20 years in federal prison. Arraignment is scheduled for Thursday at 1:30 p.m. before U.S. District Judge Edmond E. Chang.
The charge was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government is represented by Assistant U.S. Attorney Kartik K. Raman.
Egan owned and operated a dental practice in Tinley Park, Ill. The fraud charge alleges that in 2015 and 2016, Egan submitted fraudulent applications to a lending company for medical care loans that would purportedly finance certain patients’ dental care. In reality, Egan knew that he would not, and in fact did not, perform the dental work on those patients, the information states. In some instances, after a loan was approved Egan caused the amount to be increased by falsely informing the lending company that additional dental work was needed, when, in fact, Egan knew that no additional treatment – or any treatment at all – would be performed, the information states.
The charge alleges that Egan fraudulently obtained approximately $1.2 million from the lending company. After receiving the fraudulently obtained loan proceeds directly from the lending company, Egan allegedly paid a portion of the money to the purported dental patients as well as to recruiters who had identified the patients to apply for the loans.
The public is reminded that an information is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory United States Sentencing Guidelines.
Stamford Man Who Fraudulently Obtained More Than $4 Million in Covid-19 Relief Funds Pleads GuiltyRead the Press Release
Moustapha Diakhate, 46, of Stamford, waived his right to be indicted and pleaded guilty today via video conference before U.S. District Judge Michael P. Shea to offenses related to his receipt of more than $4 million in COVID-19 relief funds guaranteed by the U.S. Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Today’s announcement was made by U.S. Attorney Leonard C Boyle, Special Agent in Charge Amaleka McCall-Brathwaite of the Small Business Administration Office of Inspector General’s Eastern Region, Special Agent in Charge David Sundberg of the New Haven Division of the Federal Bureau of Investigation, and Special Agent in Charge Joleen D. Simpson of IRS Criminal Investigation in New England.
According to court documents and statements made in court, in March 2020, the CARES Act provided emergency financial assistance to Americans suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of forgivable loans to small businesses for job retention and certain other expenses through the Paycheck Protection Program (PPP). In April 2020, Congress authorized more than $300 billion in additional PPP funding. The PPP allowed qualifying small businesses and other organizations to receive unsecured loans at an interest rate of 1%. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent and utilities. The PPP allowed the interest and principal to be forgiven if businesses spent the proceeds on these expenses within a certain period of time of receipt and used at least a certain percentage of the amount to be forgiven for payroll.
The PPP was overseen by the Small Business Administration, which has authority over all PPP loans. Individual PPP loans, however, were issued by private approved lenders, such as Citibank, which received and processed PPP applications and supporting documentation, and then made loans using the lenders’ own funds, which were guaranteed by the SBA.
Diakhate maintained an ownership or management interest in certain small business entities, including Ansonia Developers LLC, Winsbay Inc., Buyers Association Group LLC, Washington Management LLC, Diakhate Capital, Inc., and Poulson & Gold Inc. Beginning in May 2020, Diakhate provided Citibank and M&T Bank with false and fraudulent information during the PPP loan application process in order to obtain PPP loans for each of his six entities totaling more than $4 million. Diakhate then used a portion of the funds for various personal expenses, including to pay off a loan he had been provided to purchase of a 2010 Porsche Panamera Turbo, and to purchase both a Mercedes and BMW. He also purchased a $50,000 certificate of deposit with PPP funds, and disbursed funds to various and individuals unrelated to his business entities.
Diakhate was arrested on a federal criminal complaint on May 7, 2021. Today, he pleaded guilty to one count of wire fraud, which carries a maximum term of imprisonment of 30 years, and one count of making an illegal monetary transaction, which carries a maximum term of imprisonment of 10 years. Judge Shea scheduled sentencing for April 21.
Diakhate is released on a $450,000 bond pending sentencing.
This matter is being investigated by the Small Business Administration Office of Inspector General, Federal Bureau of Investigation, and Internal Revenue Service – Criminal Investigation. The case is being prosecuted by Assistant U.S. Attorney Christopher W. Schmeisser.
Individuals with information about allegations of attempted fraud involving COVID-19 are encouraged to 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.
St. Paul Man Charged in Illegal Gun Buying ConspiracyRead the Press Release
ST. PAUL, Minnesota – A St. Paul man has been arrested and charged for his role in a firearms straw purchasing conspiracy, announced Acting U.S. Attorney Charles J. Kovats.
According to court documents, between May 11, 2021, and October 17, 2021, Gabriel Lee Young-Duncan, 27, and a previously charged co-conspirator participated in a conspiracy to illegally purchase multiple firearms, including one that was used in the Seventh Street Truck Park Bar shooting on October 10, 2021. Young-Duncan and his co-conspirator agreed to work together to illegally acquire firearms by making false statements to Federal Firearms Licensees (FFLs) throughout the Twin Cities. Specifically, the co-conspirator would purchase the firearms, stating on the ATF Form 4473 that the co-conspirator was the actual buyer, and then transfer the firearms to Young-Duncan, who would keep the firearms, or further transfer them to third parties.
According to court documents, Young-Duncan and his co-conspirator worked together to illegally obtained dozens of firearms, including four Glock 9mm semiautomatic pistols and two Mossberg 9mm semiautomatic pistols.
Young-Duncan is charged with one count of conspiracy to make false statements in the purchases of firearms. He made his initial appearance yesterday in U.S. District Court before Magistrate Judge Elizabeth Cowan Wright.
This case is the result of an investigation conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the St. Paul Police Department.
Assistant U.S. Attorney Thomas Calhoun-Lopez is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
St. Louis man pleads guilty for his role in the attempted armed robbery of Robinson’s JewelersRead the Press Release
ST. LOUIS – United States District Court Judge Audrey G. Fleissig accepted a plea of guilty from Deven Strauther, age 30, on today’s date for knowingly attempting to rob Robinson Jeweler’s on May 25, 2019. A grand jury in the Eastern District of Missouri previously indicted Strauther in July 2019. Judge Fleissig set sentencing for May 4, 2022.
According to the plea agreement, on May 25, 2019, Strauther and at least two other individuals arrived on the parking lot of the Robinson’s Jewelers in a stolen vehicle with the intent to commit an armed robbery. Strauther and another individual were armed as they attempted to enter the jewelry store. The business is equipped with two entry doors that allow entry into the business. As a security measure, the second door must be opened electronically by the staff.
Strauther entered the first door of the business as another suspect followed. Strauther and the other individual were not able to gain complete entry into the business because staff did not electronically open the second door. When Strauther was unable to gain entry through the second door, he kicked out the lower portion of the glass on the door to try and get in.
Fearing for their safety, the business owner and an off-duty police officer, who were both armed with firearms, fired at Strauther. In response, Strauther discharged his weapon as he and the other individual ran from the business. Strauther was located approximately 30 minutes after the shooting at an area hospital with two gunshot wounds to his abdomen.
The St. Louis Metropolitan Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives are investigating this case.
South Carolina Man Sentenced to 44 Months in Prison for Assaulting Law Enforcement During Capitol BreachRead the Press Release
WASHINGTON – A South Carolina man was sentenced today to 44 months in prison for assaulting law enforcement with a dangerous weapon during the breach of the U.S. Capitol on Jan. 6, 2021, which disrupted a joint session of the U.S. Congress that was in the process of ascertaining and counting the electoral votes related to the presidential election.
According to court documents, Nicholas Languerand, 26, of Little River, South Carolina, was among rioters standing near the archway leading from the Lower West Terrace to the interior of the Capitol. Between 4:50 and 5 p.m., he threw various objects at officers with the U.S. Capitol Police and Metropolitan Police Department, including an orange traffic barrier and two stick-like objects. The officers were protecting the Lower West Terrace entrance. Based on the size and weight of the objects, as well as the speed and force with which Languerand threw them, the items were capable of inflicting serious bodily injury. Additionally, at about 5 p.m., Languerand took possession of a police riot shield, struck it against the ground, and then held it in front of him as he confronted police.
At the time of the Capitol breach, Languerand was residing in Wolcott, Vermont. He later moved to South Carolina, where he was arrested on April 15. He pleaded guilty on Nov. 3, in the District of Columbia, to assaulting, resisting, or impeding officers with a dangerous weapon. In addition to the prison term, Judge John D. Bates ordered Languerand to pay $2,000 in restitution. He also must serve a period of two years of supervised release following completion of his prison term. He additionally was ordered to perform 60 hours of community service.
The case was prosecuted by the U.S. Attorney’s Office for the District of Columbia and the Department of Justice National Security Division’s Counterterrorism Section. Valuable assistance was provided by the U.S. Attorney’s Office for the District of South Carolina. The case was investigated by the FBI’s Washington and Columbia, South Carolina Field Offices. Valuable assistance was provided by the U.S. Capitol Police and the Metropolitan Police Department.
In the one year since Jan. 6, more than 725 individuals have been arrested in nearly all 50 states for crimes related to the breach of the U.S. Capitol, including over 225 individuals charged with assaulting or impeding law enforcement. The investigation remains ongoing.
Anyone with tips can call 1-800-CALL-FBI (800-225-5324) or visit tips.fbi.gov.
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Somerset County Man Pleads Guilty to Meth ChargeRead the Press Release
JOHNSTOWN, Pa. – A former Somerset County resident pleaded guilty in federal court to a charge of violating federal narcotics laws, United States Attorney Cindy K. Chung announced today.
Terrell Robison Ickes, 31, of Listie, Pennsylvania, pleaded guilty to Count One of the Indictment before Senior United States District Judge Kim R. Gibson.
In connection with the guilty plea, on or about June 23, 2020, to on or about July 3, 2020, Ickes did possess with intent to distribute 50 grams or more of methamphetamine.
Judge Gibson scheduled sentencing for May 26, 2022, at 11:00 a.m. The law provides for a minimum sentence of 10 years in prison and a maximum of life in prison, a fine of $10,000,000, 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 Arnold P. Bernard Jr. is prosecuting this case on behalf of the government.
The Somerset County Detectives and the Drug Enforcement Administration conducted the investigation that led to the prosecution of Ickes.
Sioux Falls Man Sentenced to Federal Prison for Receipt of Child PornographyRead the Press Release
A man who received child pornography was sentenced today to more than 15 years in federal prison.
Ricardo Castillo, Jr., age 64, from Sioux Falls, SD received the prison terms after an August 31, 2021, guilty plea to receipt of child pornography. In a plea agreement, Castillo admitted that he utilized his work computer to receive and possess child pornography between July 2017 and January 2019. Castillo committed this offense after having a 1991 conviction for Lascivious Acts with a Child in the Iowa District Court for Woodbury County. A forensic examination of Castillo’s work computer and a hard drive revealed at least 4,000 images of child pornography, which Castillo attempted to delete when confronted by law enforcement.
Castillo was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Castillo was sentenced to 183 months’ imprisonment and ordered to pay $9,000 in restitution to victims. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorneys Mikala Purdy-Steenholdt and Ron Timmons, and was investigated by the Sioux City, Iowa Police Department.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-4092.
Follow us on Twitter @USAO_NDIA.
Sioux City Man Sentenced to More Than 25 Years in Federal Prison for Meth and Firearm ConvictionsRead the Press Release
A man who conspired to distribute methamphetamine and possessed a firearm during his drug trafficking was sentenced January 24, 2022, in federal court in Sioux City.
Jerry Powell, 32, from Sioux City, Iowa, pled guilty on May 19, 2021, to one count of conspiracy to distribute methamphetamine, one count of possession with intent to distribute methamphetamine, one count of illegal possession of a firearm, and one count of possessing a firearm in furtherance of drug trafficking crimes. Powell had two previous drug-related convictions, one in Iowa in 2018 and one in South Dakota in 2007.
At defendant’s plea and sentencing hearings, evidence showed that between 2016 and December 17, 2020, Powell and others conspired to distribute 50 grams of methamphetamine in the Sioux City area. On December 17, 2020, law enforcement in Sioux City caught Powell attempting to flee a legal traffic stop, first by vehicle, at speeds in excess of 100 mph on city streets, then, after crashing the vehicle, on foot. Law enforcement observed Powell throw a handgun (later determined to be a loaded .357 magnum revolver) away during his attempted flight. Law enforcement later seized six ounces of methamphetamine from the vehicle operated by Powell. Powell admitted he had acquired the methamphetamine from a source and possessed it with the intent to distribute some or all of it to another person or persons. Powell also admitted he was prohibited from legally possessing a gun due to being a previously convicted felon.
The court also found that Powell and another, working for another conspirator, were involved in the transport of at least 10 pounds of methamphetamine from a source in Arizona back to Sioux City.
Sentencing was held before United States District Court Chief Judge Leonard T. Strand. Powell remains in custody of the United States Marshals Service until he can be transported to a federal prison. Powell was sentenced to 254 months’ imprisonment and must serve a 5 year term of supervised release following imprisonment.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Sioux City Police Department and the Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-4005. Follow us on Twitter @USAO_NDIA.
Silver Valley Woman Admits to Wire Fraud Scheme to Embezzle from Her EmployerRead the Press Release
COEUR D'ALENE – An Osburn, Idaho woman pleaded guilty to wire fraud.
According to court records, Trina Marie Welch, 48, of Osburn, Idaho, was employed by Kasco of Idaho, LLC as a bookkeeper from 2012 until July 3, 2019. Beginning in at least 2013 and continuing until the day she was terminated on July 3, 2019, Welch used her position as a bookkeeper to engage in a scheme and plan to defraud Kasco and engage in a scheme to obtain money and property by making materially false and fraudulent representations and promises. In summary, Welch embezzled funds from Kasco by writing and creating at least 341 checks which were drawn on the Kasco bank account. Those checks were written to Welch's own credit cards and money was applied to the credit cards outstanding balances. During the plea hearing, Welch admitted that in 2017 alone she took over $930,000 just to pay her Bank of America credit cards. Welch admitted she bought properties for herself and others related to her and spent the money at spas, travel for herself and family and friends, and other personal endeavors. Welch admitted that she took at least $1,500,000, and acknowledged that the United States contends she took at least $3,674,338.86 in total. As part of the plea agreement, Welch agreed to pay restitution and forfeit her interest in any of the properties she bought with the money.
Welch is scheduled to be sentenced on April 13, 2022, and faces a maximum penalty of 20 years in federal prison, a $250,000 fine, and three years of supervised release. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Rafael M. Gonzalez, Jr., of the District of Idaho made the announcement and commended the efforts of the Federal Bureau of Investigation, which led to charges.
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Seattle drug dealer who preyed on young runaway sentenced to prisonRead the Press Release
Seattle – A 29-year-old Seattle-area resident was sentenced today in U.S. District Court in Seattle to 10 years in prison for four federal felonies, announced U.S. Attorney Nick Brown. Steve Godina Ochoa was arrested in February 2020, after a 13-year-old runaway disclosed to counselors, that Godina Ochoa repeatedly sexually assaulted her. At the sentencing hearing U.S. District Judge John C. Coughenour imposed a 10-year term of supervised release to follow the prison sentence.
According to records filed in the case, in November 2019, the Bellevue Police Department Sexual Assault Unit began investigating Godina Ochoa after disclosures from a young victim. When Godina Ochoa and his vehicles were located, law enforcement seized quantities of methamphetamine and heroin and three firearms. Two of the firearms had been reported stolen – one from Federal Way and the other from Snohomish County. Godina Ochoa had more than $4,500 cash in the car – the proceeds from his drug dealing. Godina Ochoa was prohibited from possessing firearms due to prior convictions for arson and unlawful possession of a firearm.
When law enforcement seized and analyzed Godina Ochoa’s electronic devices they found images of the sexual assault on the young victim. The images constitute child pornography.
In asking for the 10-year sentence prosecutors wrote to the court, “There are very few crimes that are more serious than those involving the sexual abuse and exploitation of children and narcotics trafficking is an undeniable blight on our community which robs our citizens of quality and longevity of life. As a convicted felon, the defendant elected to use firearms to protect his wares again putting himself and others are risk of harm or death all in an effort to support his lifestyle.”
The case was investigated by the Bellevue Police Department, the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the Department of Homeland Security (HSI).
The case was prosecuted by Assistant United States Attorney Cecelia Gregson.
Rite Aid Agrees to Pay $30,000 to Resolve Alleged Violations of the Controlled Substances ActRead the Press Release
CONCORD – United States Attorney John J. Farley announced today that Rite Aid has agreed to pay $30,000 in civil monetary penalties to resolve allegations that it violated the Controlled Substances Act when its pharmacists filled forged prescriptions at a Rite Aid store in Manchester.
In the agreement, Maxi Drug North, Inc. d/b/a Rite Aid agreed to pay $30,000 to resolve allegations that its pharmacists filled 15 forged prescriptions for the same individual at its location at Mammoth Road in Manchester between October of 2016 and March of 2018.
Under the Controlled Substances Act, a valid prescription for a controlled substance must be issued for a legitimate medical purpose by an individual practitioner acting in the usual course of his or her practice. Based on its investigation, the government alleged that the pharmacists at Rite Aid should have known that they were presented with invalid prescriptions that should not have been filled.
Rite Aid denied liability in this matter and cooperated with the government’s investigation.
“Criminals use a wide variety of methods to obtain controlled substances, including passing forged prescriptions,” said U.S. Attorney Farley. “When pharmacies dispense controlled substances to customers, they have an obligation to ensure that the prescriptions they fill are legitimate. If a pharmacy does not adequately scrutinize prescriptions, potentially dangerous drugs can be diverted to unlawful uses that jeopardize public safety. We will use the Controlled Substances Act and all available tools to protect public health and safety in the Granite State. I am grateful to the DEA’s diversion investigators for their investigative work in this case and their ongoing efforts to protect the residents of New Hampshire.”
The case was handled by Assistant U.S. Attorney Raphael Katz. The matter was investigated by the Drug Enforcement Administration.
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Registered Sex Offender Sentenced to 20 Years in Federal Prison for Child Exploitation OffenseRead the Press Release
Paducah, KY – A Greenville man, previously required to register as a sex offender in the state of Kentucky, was sentenced yesterday to 20 years in prison, followed by a lifetime term of supervised release, for attempting to entice a minor to engage in sexual activity. There is no parole in the federal system.
According to court documents, Dustin R. Stone, 29, of Greenville, Kentucky traveled to Paducah, Kentucky on December 3, 2018, to meet with a person he believed to be a 13-year-old minor for the purpose of engaging in sexual activity. In November of 2018, after receiving a complaint that Stone was sending sexually explicit text messages to minors, detectives with the Paducah Police Department launched an undercover investigation. From November 21, 2018, through December 3, 2018, Stone sent numerous sexually explicit messages to an undercover detective who was posing as a 13-year-old girl. Stone expressed his desire to meet the minor for sexual activity. Stone was arrested on December 3, 2018, when he traveled to Paducah to meet with the supposed minor. During their investigation, detectives learned that Stone was required to register as a sex offender in the state of Kentucky as the result of a 2014 conviction in Muhlenberg Circuit Court for attempted use of electronic means to induce a minor in a sex offense.
“Prosecuting those who seek to exploit children in the Western District is a top priority of this office,” stated United States Attorney Michael A. Bennett. “I commend the detectives of the Paducah Police Department and the prosecutors who work daily to ensure our children are safe and our neighborhoods secure.”
“I am proud of the work our detectives did to remove a child predator from our community,” said Chief of Police Brian Laird. “We look forward to continuing to work with the U.S. Attorney’s office to obtain federal convictions for those who would prey on our children.”
The General Investigations Unit of the Paducah Police Department investigated the case. Assistant United States Attorneys Leigh Ann Dycus and Raymond McGee, of the United States Attorney’s Paducah Branch Office, prosecuted the case.
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This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
Readout of Justice Department Leadership Meeting with Election OfficialsRead the Press Release
Attorney General Merrick B. Garland today convened a virtual discussion with a bipartisan group of election officials to provide an update on the work of the Election Threats Task Force.
Notably, the updates included the Task Force’s first charge for interstate threats to kill government officials, information on the work to review the over 850 reports of threats to election officials, and updated guidance to grant recipients that grant funding can be used to deter, detect and protect against threats of violence against election workers, administrators, officials and others associated with the electoral process.
The Attorney General reiterated that the Justice Department has no tolerance for – and will not hesitate to investigate and prosecute – illegal threats or acts of violence that target those who administer our elections. These threats endanger election officials, and they endanger our democracy.
During her remarks, Deputy Attorney General Lisa O. Monaco committed to continued dialogue with the election officials and workers community, and affirmed that the Task Force will continue to work diligently to investigate threats of violence to the individuals administering free and fair elections throughout the nation.
During the meeting, Associate Attorney General Vanita Gupta announced that the Bureau of Justice Assistance has provided guidance to states that Edward Byrne Memorial Justice Assistance Grant (JAG) Program funds can be used to deter, detect and protect against threats of violence against election officials. The Byrne JAG program is a leading source of federal criminal justice funding to state and local jurisdictions, helping to fill gaps in state, local, and tribal criminal justice systems. The broad criminal justice purposes supported by the JAG Program permit JAG funds to be used to deter, detect and protect against threats of violence against election workers, administrators, officials and others associated with the electoral process. Associate Attorney General Gupta also encouraged those that are interested in using JAG funds for these purposes to start conversations with their respective State Administering Agency about purpose and process.
FBI Director Christopher A. Wray and Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department's Criminal Division also participated in the meeting.
The Attorney General and department leadership first met with the bipartisan group of election officials in August 2021 following the formation of the Task Force.
To report suspected threats or violent acts, contact your local FBI office and request to speak with the Election Crimes Coordinator. Contact information for every FBI field office may be found at https://www.fbi.gov/contact-us/field-offices/. You may also contact the FBI at 1-800-CALL-FBI (225-5324) or file an online complaint at tips.fbi.gov. Complaints submitted will be reviewed by the task force and referred for investigation or response accordingly. If someone is in imminent danger or risk of harm, contact 911 or your local police immediately.
Pittsburgh Man Admits Threatening a Former Girlfriend who had a PFA Order Against HimRead the Press Release
PITTSBURGH – An inmate of Allegheny County Jail has pled guilty to a charge of transmitting a threat in interstate commerce, United States Attorney Cindy K. Chung announced today.
William Jackson, age 49, formerly of Pittsburgh, Pennsylvania, pled guilty in front of Senior District Judge Nora Barry Fischer on January 24, 2022.
According to the information presented to the court, on August 2, 2019, Jackson made a telephone call to a former girlfriend who had a Protection from Abuse Order against him protecting herself and her children and stated on the call that he intended to kill one of her children. Jackson also accepted responsibility for two other threats—made to the victim and her parents—that same night.
Jacksons faces up to five years in prison, a fine of not more than $250,000, and a term of supervised release of not more than three years. Sentencing is scheduled for May 5, 2022.
Assistant United States Attorney Nicole Vasquez Schmitt is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Bridgeville Police Department conducted the investigation leading to the Indictment in this case.
This case is being prosecuted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Philadelphia Man Admits Role in Murder for HireRead the Press Release
NEWARK, N.J. – A Philadelphia man pleaded guilty today to conspiring with Sean Caddle and a longtime accomplice to murder one of Caddle’s associates, U.S. Attorney Philip R. Sellinger announced.
Bomani Africa, 61, of Philadelphia, Pennsylvania, pleaded guilty by videoconference before U.S. District Judge John Michael Vazquez to an information charging him with one count of conspiracy to commit murder for hire. One of Africa’s conspirators, Sean Caddle, pleaded guilty on Jan. 25, 2022, before Judge Vazquez, to his role in the murder scheme.
According to documents filed in this case and statements made in court:
In April of 2014, Caddle solicited one of his conspirators (identified as “CC-1”), a Connecticut resident, to commit a murder on Caddle’s behalf in exchange for thousands of dollars. CC-1 then recruited Africa, a longtime accomplice from Philadelphia, to join the plot. After CC-1 confirmed his and Africa’s interest in the job, Caddle told CC-1 that the target was a longtime associate who had worked for Caddle on various political campaigns.
On May 22, 2014, Africa and CC-1 traveled from out-of-state to the victim’s apartment in Jersey City. After entering the apartment, Africa and CC-1 stabbed the victim to death and then CC-1 set fire to the victim’s apartment.
After Caddle learned that the victim had been murdered, the following day, he met CC-1 in the parking lot of a diner in Elizabeth, New Jersey. Caddle paid CC-1 thousands of dollars in exchange for the murder, and CC-1 shared a portion of those proceeds with Africa.
Africa faces a maximum potential penalty of life imprisonment and a $250,000 fine. Sentencing is scheduled for June 7, 2022.
U.S. Attorney Philip R. Sellinger credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s guilty plea. He also thanked the Hudson County Prosecutor’s Office for its assistance.
The government is represented by Assistant U.S. Attorney Lee M. Cortes Jr., Chief of the U.S. Attorney’s Office Health Care Fraud Unit, and Assistant U.S. Attorney Sean Farrell, Chief of the U.S. Attorney’s Office Cybercrime Unit.
Pharmacist Sentenced for $180 Million Health Care Fraud SchemeRead the Press Release
A Mississippi pharmacist was sentenced today to five years in prison in the Southern District of Mississippi for a multimillion-dollar scheme to defraud TRICARE and private insurance companies by paying kickbacks to distributors for the referral of medically unnecessary prescriptions. The conduct resulted in more than $180 million in fraudulent billings, including more than $50 million paid by federal health care programs.
According to court documents, David “Jason” Rutland, 42, of Bolton, a pharmacist and co-owner of compounding pharmacies, schemed to defraud TRICARE and other health care benefit programs by distributing medically unnecessary compounded medications. TRICARE is the health care program for uniformed service members, retirees and their families. Rutland adjusted prescription formulas to ensure the highest reimbursement without regard to efficacy. He solicited recruiters to procure prescriptions for high-margin compounded medications and paid those recruiters commissions based on the percentage of reimbursements paid by pharmacy benefit managers and health care benefit programs, including commissions on claims reimbursed by TRICARE. Rutland also routinely and systematically waived and/or reduced copayments to be paid by beneficiaries and members, including utilizing a purported copayment assistance program to falsely make it appear as if his pharmacy and its affiliate compounding pharmacies had been collecting copayments, among other things.
Rutland pleaded guilty on July 20, 2021, to conspiracy to defraud the United States and solicit, receive, offer and pay illegal kickbacks. In addition to the term of imprisonment, Rutland was ordered to pay restitution and forfeit all assets traced to his ill-gotten gains.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; U.S. Attorney Darren J. LaMarca for the Southern District of Mississippi; Assistant Director Luis Quesada of the FBI’s Criminal Investigative Division; Special Agent in Charge Jermicha Fomby of the FBI’s Jackson Field Office; and Special Agent in Charge Cyndy Bruce of the Department of Defense Office of Inspector General’s Defense Criminal Investigative Service (DoD OIG-DCIS) Southeast Field Office made the announcement.
The FBI Jackson Field Office and DoD OIG-DCIS are investigating the case.
Trial Attorneys Emily Cohen and Alejandra Arias of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Kathlyn Van Buskirk for the Southern District of Mississippi are prosecuting the case, with assistance from Sara Porter and Dustin Davis of the Criminal Division’s Fraud Section.
New York Man Pleads Guilty in Multi-Million Dollar Fraudulent Prize Notice SchemeRead the Press Release
A fifth defendant pleaded guilty today in the Eastern District of New York to participating in a fraudulent, multi-million dollar mass-mailing scheme that tricked consumers into paying fees for falsely promised cash prizes.
According to court documents, from November 2013 through November 2018, Carmine Maietta, 75, of Westbury, New York, engaged in a direct-mail scheme that sent fraudulent prize notification mailings to thousands of consumers. The mailings induced consumers to pay a fee, purportedly in return for a large cash prize. None of the consumers who sent a fee ever received such a prize. Maietta pleaded guilty to conspiracy to commit mail fraud.
“Mass mailing fraud schemes often trick elderly victims into sending money based on false promises of large cash prizes,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Department of Justice is committed to pursuing and prosecuting the perpetrators of these schemes.”
“With today’s guilty plea, Maietta admits to deceiving elderly and other vulnerable victims into believing they had won cash prizes when, in reality, he was simply pocketing their hard-earned funds,” said U.S. Attorney Breon Peace for the Eastern District of New York. “This office is committed to protecting the vulnerable from the financial harm caused by fraudulent mail solicitation schemes.”
“Sweepstakes and other frauds are extremely damaging to those who fall victim to a scammers’ pitch of trickery and lies,” said Inspector in Charge Daniel B. Brubaker of the U.S. Postal Inspection Service. “These fraudulent schemes by design are nothing more than lies written on paper. Postal Inspectors will always vigorously pursue individuals who prey on the public, bringing them to justice for their criminal activity.”
Four other defendants previously pleaded guilty to conspiracy to commit mail fraud for participating in the scheme. Charles Kafeiti, 58, of Scottsdale, Arizona, pleaded guilty on Dec. 23, 2020. Steven Diaz, 53, of Mount Sinai, New York, pleaded guilty on Feb. 8, 2021. Anthony Kafeiti, 61, of Port Jefferson, New York, pleaded guilty on July 28, 2021. Drew Wilson, 63, of British Columbia, Canada, pleaded guilty on Aug. 24, 2021. The defendants were part of a multi-million dollar mail fraud scheme in which they worked together to coordinate the mailings, open and process victims’ responses to the fraudulent solicitations, manage lists of recipients and respondents, and process victim payments.
Maietta will be sentenced at a later date. Each of the five defendants faces 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.
The U.S. Postal Inspection Service investigated the case.
Trial Attorneys Timothy Finley and Daniel Zytnick of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorney Charles P. Kelly of the U.S. Attorney’s Office for the Eastern District of New York are prosecuting the case.
The department’s extensive and broad-based efforts to combat elder fraud seeks to halt the widespread losses seniors suffer from fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud, and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. ET. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
New York Man Arrested for COVID-19 Relief Fraud SchemeRead the Press Release
BOSTON – A New York Man was arrested today on charges arising from a scheme to fraudulently obtain business loans and unemployment pandemic relief funds made available under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Ronald Buie, 35, was charged with one count of wire fraud. Buie will make an initial appearance in federal court in the Eastern District of New York this afternoon and will appear in Boston at a later date.
According to the charging documents, Buie engaged in a scheme to defraud the U.S. Small Business Administration (SBA) by submitting fraudulent applications for loans offered in connection with the CARES Act. It is alleged that Buie applied for SBA loans under various false identities for which he had also opened bank accounts and email accounts. Buie also allegedly submitted fraudulent documentation to apply for and obtain a fraudulent loan from the SBA Paycheck Protection Program for his company, Platinum Car Service LLC. Specifically, in support of his loan application, Buie allegedly provided what he purported to be a monthly bank statement for his business checking account showing an ending balance of more than $198,000, whereas bank records for that particular month show that the actual balance was less than $3,000. In addition, it is alleged that Buie’s scheme also involved the utilization of various false identities to apply for Pandemic Unemployment Assistance benefits.
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
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.
United States Attorney Rachael S. Rollins; Frederick J. Regan, Special Agent in Charge of the U.S. Secret Service, Boston Field Office; Jonathan Mellone, Special Agent in Charge of Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigations; and Ketty Larco-Ward, Inspector in Charge of the United States Postal Inspection Service, made the announcement today. Valuable assistance was provided by the U.S. Secret Service, New York Field Office; Massachusetts Department of Unemployment Assistance; and the New York City Police Department. Assistant U.S. Attorney William F. Abely, Chief of Rollins’ Criminal Division, is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
New Milford Man Indicted on Child Exploitation ChargesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on January 25, 2022, Luke Shager, age 35, of New Milford, Pennsylvania, was indicted by a federal grand jury on charges of interstate travel to engage in illicit sexual contact, online enticement, transportation of a minor and production of child pornography.
According to United States Attorney John C. Gurganus, the indictment alleges that on November 4, 2019, Shager traveled from Pennsylvania to New York to engage in illicit sexual conduct and between July 2020 and December 2020, Shager used the internet and a cellular device to entice a minor victim to engage in sexual activity. The indictment also alleges that on August 1, 2020, Shager transported a minor from New York to Pennsylvania with the intent to engage in sexual activity and on August 2, 2020 Shager produced child pornography.
The case was investigated by Homeland Security Investigations and the Pennsylvania Office of Attorney General. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
The maximum penalty under federal law for this offense is life imprisonment, a term of supervised release following imprisonment, and a fine. 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.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Monmouth County Man Sentenced to Five Years in Prison for Role in Gun Trafficking Conspiracy and Possessing Firearm as Previously Convicted FelonRead the Press Release
TRENTON, N.J. – A Monmouth County, New Jersey, man with a prior felony conviction was sentenced today to 60 months in prison for illegally possessing a firearm and conspiring to illegally sell firearms, including multiple handguns and a semi-automatic rifle, in and around Monmouth and Ocean counties, U.S. Attorney Philip R. Sellinger announced.
Javier Rodriguez-Valpais, 33, aka “Broly,” of Morganville, New Jersey, previously pleaded guilty by videoconference before U.S. District Judge Anne E. Thompson to an information charging him with one count of conspiracy to engage in firearms trafficking and one count of possession of a firearm by a previously convicted felon. Judge Thompson imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
From May 2020 through September 2020, Javier Rodriguez-Valpais and others were members of a gun trafficking conspiracy that spanned from Florida to New Jersey. Rodriguez-Valpais sold a .223 caliber semi-automatic rifle to co-defendant Enrique Quijada, who in turn sold the rifle to an individual working at the direction and supervision of the FBI.
In addition to the prison term, Judge Thompson sentenced Rodriguez-Valpais to three years of supervised release.
U.S. Attorney Sellinger credited special agents of the FBI, Newark Division, and the Jersey Shore Safe Streets Task Force, under the direction of Special Agent in Charge George M. Crouch Jr.; and the Freehold Police Department, under the direction of Chief Craig Dispenza, with the investigation leading to the today’s sentencing. He also thanked the FBI Tampa Division, the ATF Newark and Tampa Field Divisions for their assistance in the investigation.
In July 2021 the U.S. Department of Justice launched five cross-jurisdictional strike forces to help reduce gun violence by disrupting illegal firearms trafficking in key regions across the country. Leveraging existing resources, the regional strike forces will better ensure sustained and focused coordination across jurisdictions and help stem the supply of illegally trafficked firearms from source cities, through other communities, and into five key market regions: New York, Chicago, Los Angeles, the San Francisco Bay Area/Sacramento Region and Washington, D.C. According to gun trace data, a significant number of firearms recovered in the New York/northern New Jersey area originate from outside the area. The new strike force will help ensure sustained and focused coordination between law enforcement and prosecutors in the New York/northern New Jersey area with their counterparts in those other locations.
The government is represented by Assistant U.S. Attorney Ian D. Brater of the U.S. Attorney’s Office’s Criminal Division in Trenton.
Middlesex County Man Sentenced to Six Months’ Home Confinement for Selling Carvings Made of Sperm Whale IvoryRead the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man was sentenced today to five years’ probation, including six months’ home confinement, for the interstate sale of carvings made of sperm whale ivory, U.S Attorney Philip R. Sellinger announced.
Richard Gontarek, 55, of Woodbridge, New Jersey, previously pleaded guilty before U.S. Magistrate Judge Michael A. Hammer in Newark federal court to an information, charging him with two counts of violating the Lacey Act, by selling to a buyer in Pennsylvania carvings made of sperm whale ivory that Gontarek should have known were possessed in violation of New Jersey State law. Judge Hammer imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
On Jan. 3, 2018, and on Dec. 6, 2018, Gontarek shipped a package containing a carving made from the tooth of a sperm whale to a buyer in Etter, Pennsylvania, in exchange for payment. Sperm whales are listed in Appendix I to the Convention on International Trade in Endangered Species of Wild Fauna and Flora.
The Lacey Act makes it a crime to sell in interstate commerce wildlife possessed in violation of any state law when in the exercise of due care the seller should have known that the wildlife was possessed in violation of the state law. New Jersey state law makes it unlawful for any person to possess with intent to sell ivory or any item that contains or is made from ivory.
Gontarek has agreed to pay a fine of $2,800 to the U.S. Fish and Wildlife Service Lacey Act Reward Fund. He cannot possess, purchase, sell or transport wildlife protected under federal or state law during the probationary period.
U.S. Attorney Sellinger credited special agents of the U.S. Fish and Wildlife Service, Office of Law Enforcement, under the direction of Resident Agent in Charge Sean Mann, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Kathleen P. O’Leary of the U.S. Attorney’s Office Government Fraud Unit in Newark.
Middlesex County Man Sentenced to 18 Months in Prison for Making False StatementsRead the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man was sentenced today to 18 months in prison making false statements to United States government agencies, U.S. Attorney Philip R. Sellinger announced.
Gulshan Manko, 37, of Woodbridge, New Jersey, pleaded guilty on Aug. 30, 2021, by videoconference before Chief U.S. District Judge Freda L. Wolfson to an information charging him with one count of making false statements to federal agents. He also pleaded guilty on Sept. 11, 2019, to Count Two of an indictment charging him with making false statements in a separate case.
According to documents filed in these cases and statements made in court:
Manko submitted an application, referred to as an SF-86 Form, for employment as a federal agent with the Drug Enforcement Administration. Manko submitted fictitious academic transcripts from two higher education institutions located in New Jersey and represented that he had graduated from these two academic institutions. Manko made these statements in his employment application knowing that they were false in an attempt to gain employment with the DEA.
In the earlier case, Manko made false statements during a criminal investigation, including falsely asserting that he had shredded a government identification card.
In addition to the prison term, Judge Wolfson sentenced Manko to two years of supervised release.
U.S. Attorney Sellinger credited 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, and special agents of the DEA, under the direction of Special Agent in Charge Susan A. Gibson in Newark, with the investigation leading today’s sentencing.
The government is represented by Assistant U.S. Attorneys Ray Mateo of the U.S. Attorney’s Office’s Opioid Abuse Prevention and Enforcement Unit and Joseph Gribko in Newark.
Mexican National Sentenced to 18 Months in Prison for Attempting to Breach Cockpit then Jumping from Departing Airplane at LAXRead the Press Release
LOS ANGELES – A Mexican national was sentenced today to 18 months in federal prison for attempting to breach the cockpit of a commercial airliner taxiing at Los Angeles International Airport, assaulting a flight attendant who tried to stop him, then opening the exit door and jumping out of the aircraft.
Luis Armando Victoria Dominguez, 34, of La Paz, Mexico, was sentenced by United States District Judge Dolly M. Gee, who also ordered him to pay $20,132 in restitution.
Dominguez pleaded guilty in October 2021 to one count of interference with flight crew members and flight attendant.
On June 25, 2021, Dominguez was a passenger on United Airlines flight 5365, operated by SkyWest Airlines, that was scheduled to fly from Los Angeles to Salt Lake City. Soon after the plane pushed back from the gate, Dominguez “sprinted” to the front of the aircraft past a seated flight attendant and “began banging on the cockpit door and manipulating the locked doorknob,” according to an FBI affidavit that was filed with a criminal complaint in this case.
When he failed to gain entry to the cockpit, Dominguez pushed past the flight attendant and went to the emergency exit on the right side of the plane, where he managed to partially open the door, causing the emergency slide to partially deploy, the affidavit states. While a nearby passenger attempted to restrain him, Dominguez managed to get away and jump from the aircraft, missing the emergency slide.
“Once…Dominguez landed on the tarmac, he began crawling away from the aircraft. His right leg appeared broken,” the affidavit states.
“[Dominguez] assaulted a flight attendant and endangered the lives of countless others when he attempted to breach the cockpit of the plane and then partially deployed a slide while the plane was taxiing, causing the pilot to immediately shut off the engine to avoid having the slide sucked into the engine,” prosecutors wrote in a sentencing memorandum. “[Dominguez’s] unruly conduct damaged the plane, taking it out of commission for four days.”
The FBI investigated this matter and received substantial assistance from the Los Angeles Airport Police Department.
Assistant United States Attorney Lyndsi C. Allsop of the General Crimes Section prosecuted this case.
Massachusetts Man Sentenced to 66 Months for Firearms CrimesRead the Press Release
CONCORD, N.H. –Laveneur Jackson, 41, of Lowell, Massachusetts, was sentenced to 66 months in federal prison for unlawfully possessing a firearm on two separate occasions. Jackson was found guilty by a federal jury on September 28, 2021.
According to trial exhibits and witness testimony during the two-day jury trial, Jackson was prohibited from possessing firearms due to multiple prior felony convictions. Despite this, on two separate occasions in December of 2016, Jackson unlawfully obtained firearms by having an acquaintance purchase them for him at two separate federally licensed gun stores in New Hampshire. Jackson then sold the guns to others in Massachusetts.
“When convicted felons get their hands on guns, they present a grave risk to the public,” said U.S. Attorney Farley. “By obtaining guns unlawfully and selling them in Massachusetts, the defendant not only committed a serious crime, but also put guns into the hands of others who may use them to commit crimes of violence. To protect public safety, we work closely with the ATF and our other law enforcement partners to prosecute gun crimes and keep dangerous felons off the streets.”
“ATF remains dedicated to investigating violent crime and disrupting straw purchasing schemes and today’s sentence is yet another example of the commitment we have made to tirelessly pursue those who violate federal firearms laws.” said James M. Ferguson Special Agent in Charge of ATF’s Boston Field Division. “Together, with our law enforcement partners, we will continue to take measures to ensure the safety of our communities and stop the flow of guns to individuals who cannot legally purchase them.”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Manchester Police Department. The case was prosecuted by Assistant United States Attorneys Anna Krasinski and Seth R. Aframe, as well as former Assistant United States Attorney Shane B. Kelbley.
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Maryland U.S. Attorney’s Office Seizes Domain Name Purporting to be the Website of the U.S. Department of LaborRead the Press Release
Baltimore, Maryland – The U.S. Attorney’s Office for the District of Maryland has seized “US-dolbids.com” which purported to be the official website for the United States Department of Labor.
The seizure of the domain was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Christopher Cooper of the Division of Advanced Technology and Analytics, U.S. Department of Labor - Office of Inspector General; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Chief Melissa R. Hyatt of the Baltimore County Police Department; and Commissioner Michael Harrison of the Baltimore Police Department.
According to the affidavit filed in support of the seizure, the domain US-dolbids.com claimed to be the official website of the U.S. Department of Labor and claimed to accept bids from potential contractors for ongoing government projects. In order to bid for a purported government contract, the fraudulent domain instructed users to log into a portal with the user’s email address and password. In reality, the website intended to steal a user’s email login credentials for nefarious purposes and financial gain. Additionally, the domain mimicked stylistic designs and language as the authentic U.S. Department of Labor website, including a purported link providing “Coronavirus Resources” for “responding to COVID-19.”
Individuals visiting the site now will see a message that the site has been seized by the federal government and be redirected to another site for additional information.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
United States Attorney Erek L. Barron commended the U.S. Department of Labor- Office of Inspector General, HSI, the Baltimore County Police Department, and the Baltimore City Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Aaron S.J. Zelinsky and Sean Delaney, 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 www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Man from Mescalero pleads guilty to federal assault in Indian CountryRead the Press Release
ALBUQERQUE, N.M. – Romeo Martinez, 23, of Mescalero, New Mexico, pleaded guilty in federal court on Jan. 25 to assault resulting in serious bodily injury in Indian Country. Martinez will remain in custody pending sentencing, which has not been scheduled.
According to the plea agreement and other court documents, on June 29, 2021, Martinez, who is not a member of the Mescalero Apache Tribe or any other federally recognized tribe, arrived at his grandmother’s residence and assaulted a victim, identified in court records as “M.B.,” on the Mescalero Apache Reservation. Martinez accused his grandmother and M.B., who is an enrolled member of the Mescalero Apache Tribe, of having his vehicle towed, and began to scream at them. Martinez attacked M.B., hitting her face multiple times and causing a laceration to her forehead and a broken nose and septum. As a result of Martinez’s assault, the victim required medical treatment and surgery.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office and the Bureau of Indian Affairs investigated this case. Assistant U.S. Attorney Matilda McCarthy Villalobos is prosecuting the case.
Man from Mescalero pleads guilty to federal assault in Indian CountryRead the Press Release
ALBUQERQUE, N.M. – Romeo Martinez, 23, of Mescalero, New Mexico, pleaded guilty in federal court on Jan. 25 to assault resulting in serious bodily injury in Indian Country. Martinez will remain in custody pending sentencing, which has not been scheduled.
According to the plea agreement and other court documents, on June 29, 2021, Martinez, who is not a member of the Mescalero Apache Tribe or any other federally recognized tribe, arrived at his grandmother’s residence and assaulted a victim, identified in court records as “M.B.,” on the Mescalero Apache Reservation. Martinez accused his grandmother and M.B., who is an enrolled member of the Mescalero Apache Tribe, of having his vehicle towed, and began to scream at them. Martinez attacked M.B., hitting her face multiple times and causing a laceration to her forehead and a broken nose and septum. As a result of Martinez’s assault, the victim required medical treatment and surgery.
The Las Cruces Resident Agency of the FBI Albuquerque Field Office and the Bureau of Indian Affairs investigated this case. Assistant U.S. Attorney Matilda McCarthy Villalobos is prosecuting the case.
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Man Who Sold Pistol Used in Synagogue Hostage Crisis Federally ChargedRead the Press Release
The man who sold Malik Faisal Akram the gun he used to kidnap hostages in a Texas synagogue earlier this month has been charged with a federal firearm crime, announced United States Attorney for the Northern District of Texas Chad E. Meacham.
Henry “Michael” Dwight Williams, 32, was charged Tuesday via criminal complaint with being a felon in possession of a firearm. He made his initial appearance before U.S. Magistrate Judge Renée H. Toliver in the Northern District of Texas Wednesday afternoon. A detention hearing has been set for Monday, Jan. 31.
“Federal firearm laws are designed to keep guns from falling into dangerous hands. As a convicted felon, Mr. Williams was prohibited from carrying, acquiring, or selling firearms. Whether or not he knew of his buyer’s nefarious intent is largely irrelevant — felons cannot have guns, period, and the Justice Department is committed to prosecuting those who do,” said U.S. Attorney Chad E. Meacham. “We are grateful to the many officers and agents who sprang into action as soon as the synagogue hostage crisis began, and who worked tirelessly to track the weapon from Mr. Akram to Mr. Williams. The freed hostages, the Beth Israel congregation, and indeed the entire Jewish community deserve that support.”
“The Dallas FBI Field Office and our partners have worked around the clock since January 15, 2022 to determine how Malik Faisal Akram acquired the weapon he used to terrorize worshipers at Colleyville’s Congregation Beth Israel synagogue," said Dallas FBI Special Agent in Charge Matthew DeSarno. "Along with our federal, state and local law enforcement partners we pledge to continue our efforts to protect our communities from violence."
According to the complaint, Mr. Williams – a felon previously convicted of aggravated assault with a deadly weapon and attempted possession of a controlled substance – allegedly sold Mr. Akram a semiautomatic Taurus G2C pistol on Jan. 13. Two days later, on Jan. 15, agents recovered the pistol from Colleyville’s Congregation Beth Israel synagogue, where Mr. Akram had held four individuals hostage for several hours before he was fatally shot by federal law enforcement.
As part of its intensive investigation into the hostage taking, the FBI tied Mr. Williams to Mr. Akram through an analysis of Mr. Akram’s cellphone records, which showed the pair exchanged a series of calls from Jan. 11 through Jan. 13.
When agents first interviewed Mr. Williams on Jan. 16, Mr. Williams stated that he recalled meeting a man with a British accent, but that he could not recall the man’s name. (Mr. Akram was a British citizen.) Agents interviewed the defendant again on Jan. 24, after he was arrested on an outstanding state warrant. After viewing a photo of Mr. Akram, Mr. Williams confirmed he sold Mr. Akram the handgun at an intersection in South Dallas. Analysis of both men’s cellphone records showed that the two phones were in close proximity on Jan. 13.
Mr. Williams allegedly admitted to officers that Mr. Akram told him the gun was going to be used for “intimidation” to get money from someone with an outstanding debt.
A criminal complaint is merely an allegation of criminal conduct, not evidence. Like all defendants, Mr. Williams is presumed innocent until proven guilty in a court of law.
If convicted, he faces up to 10 years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation with the assistance of the Dallas Police Department, the Bureau of Alcohol, Tobacco, Firearms & Explosives’ Dallas Field Division, Homeland Security Investigations’ Dallas Field Division, and the Colleyville Police Department. Assistant U.S. Attorney Joe Magliolo is prosecuting the case with the support of Assistant U.S. Attorneys Errin Martin, Jay Weimer, Alex Lewis, Lindsey Beran, Nicole Dana, and P.J. Meitl, along with Trial Attorneys David Smith and Michael Dittoe of the Justice Department’s National Security Division.
Man Who Fled from Police After Tossing Firearm and Drugs Sentenced to Federal PrisonRead the Press Release
A man who fled from police and tried to get rid of a loaded firearm, $14,000 in cash, and marijuana was sentenced yesterday to over nine years in federal prison.
Christopher Evans, age 33, from Dubuque, Iowa, received the prison term after pleading guilty on June 7, 2021 to possession of a firearm by a felon.
Evidence at the plea and sentencing hearings showed that, during a high-speed chase with law enforcement, Evans struck a vehicle containing a pregnant woman, two children, and an adult male. After the collision, a child had glass in his car seat. Both the pregnant woman and a child suffered injuries as a result of the crash. Instead of checking on the occupants of that car, Evans continued to flee from law enforcement on foot before being ultimately detained. During the chase, Evans tried to dispose of a loaded firearm and illegal drugs.
Evans was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Evans was sentenced to 110 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
Evans is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Special Assistant United States Attorney Devra Hake and Assistant United States Attorney Jake Schunk, and it was investigated by the Dubuque Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-01041.
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MS-13 Gang Member Sentenced to More than 10 Years in Federal PrisonRead the Press Release
BOSTON – An MS-13 member was sentenced today in federal court in Boston for racketeering conspiracy and being an illegal alien in unlawful possession of ammunition.
Cristian Alvarez Hernandez, a/k/a “Duende,” 22, a Salvadoran national residing in East Boston, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 121 months in prison and three years of supervised release. Alvarez Hernandez will also be subject to deportation proceedings upon completion of his sentence. In September 2021, Alvarez Hernandez pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy, and to being an illegal alien in unlawful possession of ammunition.
MS-13, or La Mara Salvatrucha, is a transnational street gang operating in Massachusetts and numerous other states, as well as countries such as El Salvador, Honduras and Guatemala. MS-13 members follow certain core rules and principles, including that members attack and attempt to kill members of rival gangs and that members do not act as informants or cooperate with law enforcement.
Alvarez Hernandez was a chequeo, or mid-level, member in MS-13’s Everett Locos Salvatrucha (ELS) clique. As a member of MS-13, Alvarez Hernandez accepted and furthered its core objectives of attacking rival gang members or MS-13 members who violated the enterprise’s rules. Alvarez Hernandez was a rising member within ELS, and photographs showed him embracing MS-13’s lifestyle, including flashing gang signs, wearing gang colors or symbols, posing with weapons and being photographed alongside numerous other MS-13 members. He was also found in possession of three firearms and over 150 rounds of ammunition.
Alvarez Hernandez’s membership activity within the gang also included his dispute with a teenage boy who was killed in September 2015 by four other MS-13 gang members based on the victim’s perceived status as a rival. The four MS-13 members who personally participated in the murder were charged separately and have each been convicted for their participation in the murder. Edwin Gonzalez a/k/a “Sangriento,” was sentenced to life in prison; Carlos Melara a/k/a “Chuchito,” was sentenced to 36 years in prison; and Henry Parada Martinez a/k/a “Street Danger,” was sentenced to 21 years in prison. The last remaining MS-13 member involved, Rene Mejia Flores, a/k/a Gasper, pleaded guilty and is awaiting sentencing.
First Assistant United States Attorney Joshua S. Levy; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Essex County District Attorney Jonathan W. Blodgett; Suffolk County District Attorney Kevin R. Hayden; Boston Police Acting Commissioner Gregory Long; Lynn Police Chief Christopher Reddy; and Chelsea Police Chief Brian Kyes made the announcement today.
Luzerne County Man Sentenced on Child Pornography ChargeRead the Press Release
SCRANTON -The United States Attorney’s Office for the Middle District of Pennsylvania announced that Thomas J. Hart, age 50, of Pittston, Pennsylvania, was sentenced on January 26, 2022, to 60 months’ imprisonment by United States District Court Judge Malachy E. Mannion for receipt and distribution of child pornography.
According to United States Attorney John C. Gurganus, between July 10, 2019, and August 12, 2020, Hart used Kik Messenger to receive and distribute videos of minors engaged in sexually explicit conduct.
The case was investigated by the Federal Bureau of Investigation (FBI). Assistant United States Attorney Jenny P. Roberts prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
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Luzerne County Man Indicted on Drug Trafficking and Firearms ChargesRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on January 25, 2022, James Rodriguez, Jr. a/k/a “Mack Mulla,” age 29, of Wilkes-Barre, Pennsylvania, was indicted by a federal grand jury on drug trafficking and firearms charges.
According to United States Attorney John C. Gurganus, the indictment alleges that between January 2021 and January 2022, Rodriguez Jr. conspired with other individuals to distribute and possess with intent to distribute over 400 grams of fentanyl. It is alleged that on October 27, 2021, Rodriguez, Jr aided in the distribution of fentanyl which resulted in the death of an individual. The indictment further alleges that on January 20, 2022, Rodriguez was in possession of over 40 grams of fentanyl and additional quantities of marijuana which he intended to distribute, all while in possession of multiple handguns and a shot gun in furtherance of these drug trafficking activities. Finally, the indictment seeks forfeiture of the firearms and Rodriguez’s Porsche automobile.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Homeland Security Investigations (HSI), the Kingston Police Department and the Luzerne County Drug Task Force. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case was part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
If convicted, Rodriguez faces a maximum penalty under federal law for this offense of life imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Luzerne County Man Indicted on Drug Delivery Resulting in Death ChargeRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced that on January 25, 2022, James Rushton, age 31, of Wapwallopen, Pennsylvania, was indicted by a federal grand jury on a charge of drug delivery resulting in death.
According to United States Attorney John C. Gurganus, the indictment alleges that on October 27, 2021, Rushton distributed fentanyl to an individual in Luzerne County and the use of that fentanyl resulted in the individual’s death.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and the Kingston Police Department. Assistant U.S. Attorney Jenny P. Roberts is prosecuting the case.
This case was 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.
If convicted, Rushton faces a maximum penalty under federal law for this offense of life imprisonment, a term of supervised release following imprisonment, and a fine. A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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Long Island Man Pleads Guilty in Multi-Million Dollar Fraudulent Prize Notice SchemeRead the Press Release
CENTRAL ISLIP, NY – Earlier today, in federal court in Central Islip, Carmine Maietta pleaded guilty to conspiracy to commit mail fraud in connection with a fraudulent mass-mailing scheme that tricked consumers into paying fees for falsely promised cash prizes.
Breon Peace, United States Attorney for the Eastern District of New York, Brian M. Boynton, Acting Assistant Attorney of the Justice Department’s Civil Division, and Daniel B. Brubaker, Inspector-in-Charge, United States Postal Inspection Service (USPIS), announced the guilty pleas.
“With today’s guilty plea, Maietta admits to deceiving elderly and other vulnerable victims into believing they had won cash prizes when, in reality, he was simply pocketing their hard-earned funds,” stated United States Attorney Peace. “This Office is committed to protecting the vulnerable from the financial harm caused by fraudulent mail solicitation schemes.”
“Mass mailing fraud schemes often trick elderly victims into sending money based on false promises of large cash prizes,” stated Acting Assistant Attorney General Boynton. “The Department of Justice is committed to pursuing and prosecuting the perpetrators of these schemes.”
“Sweepstakes and other frauds are extremely damaging to those who fall victim to a scammers’ pitch of trickery and lies. These fraudulent schemes by design are nothing more than lies written on paper. Postal Inspectors will always vigorously pursue individuals who prey on the public, bringing them to justice for their criminal activity,” stated USPIS Inspector-in-Charge Brubaker.
According to court documents, from November 2013 through November 2018, Maietta engaged in a direct-mail scheme that sent fraudulent prize notification mailings to thousands of consumers. The mailings induced consumers to pay a fee, purportedly in return for a large cash prize. None of the consumers who sent a fee ever received such a prize.
Four other defendants previously pleaded guilty to conspiracy to commit mail fraud for participating in the scheme. Charles Kafeiti pleaded guilty on December 23, 2020; Steven Diaz pleaded guilty on February 8, 2021; Anthony Kafeiti pleaded guilty on July 28, 2021; and Drew Wilson pleaded guilty on August 24, 2021.
When sentenced, the five defendants each face a maximum penalty of 20 years in prison.
Assistant United States Attorney Charles P. Kelly of the Eastern District of New York prosecuted the case with Trial Attorneys Timothy Finley and Daniel Zytnick of the Civil Division’s Consumer Protection Branch. The case was investigated by the United States Postal Inspection Service.
The Department of Justice has engaged in extensive efforts to combat elder fraud to halt the widespread financial losses senior citizens suffer from fraud schemes. If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This hotline, which is managed by the Office for Victims of Crime at the Department of Justice, is staffed by experienced professionals who provide personalized support to victims. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. Eastern time. English, Spanish and other languages are available.
Additional information about the Consumer Protection Branch and its enforcement efforts may be found at www.justice.gov/civil/consumer-protection-branch. Information about the Department of Justice’s Elder Fraud Initiative is available at www.justice.gov/elderjustice.
The Defendant:
CARMINE MAIETTA
Age: 74
Westbury, New YorkE.D.N.Y. Docket No.: 21-CR-639 (JMA)
The Defendants Who Previously Pleaded Guilty:
STEVEN DIAZ
Age: 53
Mount Sinai, New YorkE.D.N.Y. Docket No.: 21-CR-35 (JMA)
ANTHONY KAFEITI
Age: 61
Port Jefferson, New YorkE.D.N.Y. Docket No.: 21-CR-253 (JMA)
CHARLES KAFEITI
Age: 58
Scottsdale, ArizonaE.D.N.Y. Docket No.: 20-CR-578 (JMA)
DREW WILSON
Age: 63
British Columbia, CanadaE.D.N.Y. Docket No.: 21-CR-373 (JMA)
Justice Department Establishes Initiative to Strengthen States’ Use of Criminal Justice DataRead the Press Release
The Department of Justice today launched Justice Counts, an effort to help states make smarter policy and budget decisions using up-to-date, actionable criminal justice data. The initiative, announced today by Associate Attorney General Vanita Gupta during a virtual conference with criminal justice practitioners and researchers, is led by the Office of Justice Programs’ Bureau of Justice Assistance (BJA) and the Council of State Governments (CSG) Justice Center in collaboration with 21 professional associations representing every part of the criminal justice system.
“Our justice systems should be built on principles of fairness, effectiveness and efficiency, and policymakers and the public need better data in order to advance these principles,” said Associate Attorney General Gupta. “The better equipped we are with timely data, the more effectively we can serve our communities and secure the trust and confidence of those we serve.”
Justice Counts is being created in response to calls from policymakers and public safety professionals for more actionable data on crime, incarceration, community supervision and related topics. State leaders are making budgetary and policy decisions based on data that are inconsistently collected and reported across the comparable agencies in their jurisdictions. Agencies lack the time, technology and mandate to create scalable solutions. Members of the public are also seeking greater transparency in criminal justice budgets. Justice Counts will deliver a set of key recommended criminal justice metrics as well as aggregation tools that make the most of data already collected to help leaders reach informed decisions without requiring costly upgrades.
“This impressive collaborative of partners is working together to make criminal justice data visible, digestible, actionable and transparent,” said Principal Deputy Assistant Attorney General Amy L. Solomon of the Office of Justice Programs (OJP). “The Justice Counts initiative is building the data infrastructure this country needs — and will use — to create safe and just communities.”
“We take for granted that the fiscal and policy decisions being made by our elected leaders are informed by up-to-date, carefully analyzed data, but we find that, on issues of public safety, that is often not the case,” said Acting Director Kristen Mahoney of the BJA. “This partnership — virtually unprecedented in its size and scope — will drive us toward consensus on the key data points needed to shape our responses to our nation’s crime and justice challenges.”
States and localities and agencies therein will receive tools and assistance from Justice Counts partners to adopt metrics and use the data to inform their decision-making. The Justice Counts Data Scans already demonstrate the concept in a central, practical resource for stakeholders to identify gaps and inconsistencies in corrections reporting across all 50 states.
“Before we can solve the challenges facing our criminal justice system, we first need an accurate picture of what is happening inside the system,” said Director Megan Quattlebaum of the CSG Justice Center. “Unfortunately, many policymakers are forced to make important decisions surrounding public safety and justice based on outdated or incomplete information. Justice Counts is an unparalleled, consensus-based initiative that will empower states to use accurate, comprehensive and up-to-date data, allowing state and local leaders to make informed decisions that increase public safety, health and equity.”
A list of Justice Counts partners follows:
- American Jail Association
- American Probation and Parole Association
- Correctional Leaders Association
- CNA
- International Association of Chiefs of Police
- Justice Management Institute
- Measures for Justice
- National Association of Counties Research Foundation
- National Association of State Budget Officers
- National Association of State Mental Health Program Directors
- NRI
- National Criminal Justice Association
- National Center for State Courts
- National Conference of State Legislatures
- National District Attorneys Association
- National Governors Association
- National Legal Aid & Defender Association
- National Sheriffs’ Association
- RAND Corporation
- Recidiviz
- University of Cincinnati Corrections Institute
For more information, visit the Justice Counts website.
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.
Jury Convicts Tulsa Man for Strangling and Repeatedly Punching his Dating PartnerRead the Press Release
A federal jury found a Tulsa man guilty Tuesday for assaulting and strangling a dating partner, announced U.S. Attorney Clint Johnson.
Dhylian Whalin Rhain Gonzalis, 30, of Tulsa, was convicted of assault of an intimate/dating partner by strangling, suffocating, and attempting to strangle and suffocate in Indian Country and assault resulting in substantial bodily injury to an intimate/dating partner in Indian Country. The jury returned their verdict in in less than 30 minutes.
“Because of Dhylian Gonzalis’ criminal actions he will now spend time in federal prison where he can no longer batter his dating partner. Strangulation is a serious violent criminal offense that can lead to death,” said U.S. Attorney Clint Johnson. “Domestic violence prosecutions save lives. This office will continue seeking justice on behalf of survivors and will connect them with community partners who can provide needed resources for mental and physical recovery.”
On Aug. 28, 2020, the victim and Gonzalis, who were dating at the time, got into an argument. Gonzalis punched the victim in the right eye and continued striking her eight times before she was able to retrieve a phone and run to the hallway bathroom with the intention of calling 911. Gonzalis chased her and berated her for trying to call for help. He then slammed through the bathroom door, grabbed the victim by the neck, lifted her off the floor, pressed her up against the wall, and strangled her until she was nearly unconscious.
At the time of the assault, Gonzalis was on parole with the state of Oklahoma for trafficking methamphetamine. He begged the victim not to call the police, threatened to kill himself, and told her to take him to a relative’s house.
Once she dropped him off, the victim quickly drove to her brother’s house, and later contacted authorities. Responding officers took pictures of her injuries, and the victim made her statement. The victim suffered a severe black eye, various cuts and bruises, and defensive wounds on her arms. She also had visible strangulation marks around her neck and her voice was hoarse.
The Tulsa Police Department and FBI conducted the investigation. Assistant U.S. Attorneys Thomas E. Buscemi and Edward Snow are prosecuting the case.
Judge sentences area man to 36 months for tax crimesRead the Press Release
ST. LOUIS – United States District Judge Stephen R. Clark sentenced Gary D. Primm, Jr. to 36 months in prison today. After a federal jury trial in October 2021, Primm was found guilty of two counts of tax evasion and one count of failure to file an income tax return.
Primm owned and operated United Auto Defense, LLC, (“United”) located in St. Charles, Missouri, which was a call center that marketed and sold auto warranties. In the tax year 2014, United had taxable income in excess of $620,000, but Primm failed to file an income tax return for the company. In the tax years 2014 and 2015, Primm received over a million dollars in income from United operations, but he did not pay any personal income taxes on that income.
Primm took steps to evade assessment of his taxes by diverting United funds to a nominee bank account instead of his personal bank account and by filing false forms with the IRS. Primm used funds from the nominee bank account to pay personal expenses, including his mortgage payments, jewelry purchases, automobile purchases, and gambling expenses.
“Mr. Primm’s deliberate attempt to evade paying taxes on his income was a violation of an obligation we all have to pay our fair share of taxes,” said IRS-Criminal Investigation Special Agent in Charge Tyler Hatcher, St. Louis Field Office. “IRS-CI is committed to enforcing the nation’s tax laws so the system is fair for all taxpayers. This sentence shows there are consequences for criminals who attempt to cheat the system.”
The Internal Revenue Service Criminal Investigation investigated this case. Assistant United States Attorneys Kyle T. Bateman and John Ware handled the matter for the United States Attorney’s Office.
Iraqi National Pleads Guilty to Conspiracy to Defraud U.S. Refugee ProgramRead the Press Release
WASHINGTON – An Iraqi national, Aws Muwafaq Abduljabbar, pleaded guilty today to one count of conspiracy to defraud the United States related to his role in a scheme to defraud U.S. refugee programs.
The announcement was made by U.S. Attorney Matthew M. Graves, U.S. Department of Homeland Security Inspector General Dr. Joseph V. Cuffari, and U.S. Department of State’s Diplomatic Security Service (DSS) Deputy Assistant Secretary and Assistant Director for Domestic Operations Mark A. Sullo.
Abduljabbar, 43, pleaded guilty before U.S. District Court Judge Rudolph Contreras of the District of Columbia. He remains held without bond pending sentencing on June 24, 2022.
Abduljabbar is one of three defendants charged in an indictment that was unsealed on January 22, 2021. The indictment charges Abduljabbar and two other foreign nationals, Haitham Isa Saado Sad, 43, and Olesya Leonidovna Krasilova, 44, in connection with a scheme to defraud the U.S. Refugee Admissions Program (USRAP) and, in particular, the Iraq P-2 program, which allows certain Iraqis to apply directly for refugee resettlement in the United States. Sad previously pleaded guilty and remains held pending sentencing. Krasilova remains at large.
According to the indictment and statement of facts agreed to by Abduljabbar as part of his guilty plea, from approximately February 2016 until at least April 2019, the three defendants, led by Abduljabbar, conspired to steal U.S. government records related to hundreds of USRAP applications. Sad was employed in Amman, Jordan from 2007 to 2016 by U.S. Citizenship and Immigration Services, and Krasilova held a similar position at the U.S. Embassy in Moscow, Russia. As part of their duties, both defendants had access to the State Department’s Worldwide Refugee Admissions Processing System (WRAPS), a database containing sensitive, non-public information about refugee applicants and their family members, as well as the results of security checks and internal assessments by U.S. officials regarding applications.
Abduljabbar organized and led the conspiracy, and he relied on and paid Sad and Krasilova to steal WRAPS records and information so that Abduljabbar could assist applicants in gaining admission to the United States through fraudulent means. As outlined in the indictment and statement of facts, the theft of USRAP records creates a number of risks to public safety and national security while imposing significant costs on the U.S. government, its taxpayers, and otherwise legitimate refugee applicants negatively impacted by the scheme.
The charges in an indictment are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law. The maximum penalty for conspiracy to defraud the United States is five years. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes. If convicted of any offense, a defendant’s sentence will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case is being investigated jointly by the DHS Office of Inspector General and the U.S. Department of State’s Diplomatic Security Service. It is being prosecuted by Assistant U.S. Attorneys Luke M. Jones and Erik M. Kenerson of the National Security Section of the U.S. Attorney’s Office for the District of Columbia. The Justice Department’s Office of International Affairs assisted.
Hazleton Man Sentenced to 51 Months’ Imprisonment for Drug Trafficking and Firearm ChargesRead the Press Release
SCRANTON—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Carlos Castillo, age 40, of Hazleton, Pennsylvania, was sentenced on January 24, 2022, by U.S. District Court Judge Malachy E. Mannion to 51 months’ imprisonment for conspiracy to distribute controlled substances and possession of a firearm by a felon. Because Castillo is not a lawful resident of the United States, he faces deportation to the Dominican Republic and no term of supervised release was imposed.
According to United States Attorney John C. Gurganus, Castillo previously admitted that in 2019, along with two other individuals, he participated in a drug distribution operation in Hazleton. Castillo and these individuals used the basement of Castillo’s Hazleton home to prepare bulk amounts of fentanyl for sale and on several occasions that year sold hundreds of bags of fentanyl to others, including undercover informants working with law enforcement. At the time of a June 2019 search of Castillo’s home, hundreds of grams of bulk fentanyl, packaging materials that included 70,000 empty bags, and a hand gun were seized. As a convicted felon, Castillo was prohibited from possessing the handgun.
The case was investigated by the Federal Bureau of Investigation and the Pennsylvania State Police. Assistant U.S. Attorney Geoffrey W. MacArthur prosecuted the case.
This case was part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
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Guatemalan Man Sentenced to Prison for Illegally Reentering the United States After Being Deported Three TimesRead the Press Release
A man who illegally returned to the United States after being deported three times was sentenced today to ten months in federal prison.
Juan Ramirez-Morales, age 37, a citizen of Guatemala illegally present in the United States and residing in Waterloo, Iowa, received the prison term after a guilty plea on September 27, 2021, to one count of illegal reentry into the United States after having been deported.
At the guilty plea, Ramirez-Morales admitted he had previously been deported from the United States and illegally reentered the United States without the permission of the United States government. Ramirez-Morales was deported in December 2012, April 2013, and October 2013. Ramirez-Morales’ second deportation occurred following his conviction in January 2013 in the Southern District of Texas for Illegal Entry into the United States. Ramirez-Morales was convicted in the Iowa District Court for Black Hawk County of Operating While Intoxicated, second offense, a felony, in 2011. He was also convicted in Black Hawk County of Operating While Intoxicated for offenses occurring in 2005 and 2006, and for Operating a Motorboat While Intoxicated in 2019.
Ramirez-Morales was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Ramirez-Morales was sentenced to ten months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Ramirez-Morales is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Immigration and Customs Enforcement, Enforcement and Removal Operations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2049.
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Grand Jury Returns Two IndictmentsRead the Press Release
MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Juneau County Man Charged with Receiving Child Pornography
Kyle Orlando Luke, 26, Lyndon Station, Wisconsin, is charged with receiving a visual depiction of child pornography. The indictment alleges that on December 29, 2021, Luke received a video via Snapchat depicting a minor engaging in sexually explicit conduct.
If convicted, Luke faces a mandatory minimum penalty of 5 years and a maximum of 20 years in federal prison. The charge against him is the result of an investigation by the Wisconsin Department of Justice Division of Criminal Investigation and the Juneau County Sheriff’s Office. Assistant U.S. Attorney Elizabeth Altman is handling the prosecution.
La Crosse Woman Charged with Drug Crimes
Kojoua Vu, 32, La Crosse, Wisconsin, is charged with distributing methamphetamine and with possessing 50 grams or more of methamphetamine with intent to distribute. The indictment alleges that she distributed methamphetamine on August 18, 2021 and that she possessed methamphetamine for distribution on October 28, 2021.
If convicted, Vu faces a maximum penalty of 20 years in federal prison on the distribution charge, and a mandatory minimum of 5 years and a maximum of 40 years on the charge of possessing 50 grams or more of methamphetamine with intent to distribute. The charges against her are the result of an investigation by the La Crosse, Onalaska, and Campbell Police Departments and the Wisconsin Department of Justice Division of Criminal Investigation. Assistant U.S. Attorney Steven Anderson is handling the prosecution.
Grafton Man Pleads Guilty to Participating in Methamphetamine Trafficking ConspiracyRead the Press Release
CONCORD - Chad Rombow, 47, of Grafton, pleaded guilty in federal court to conspiracy to distribute, and possess with intent to distribute, methamphetamine, United States Attorney John J. Farley announced today.
According to court documents and statements made in court, on May 9, 2019, Drug Enforcement Administration agents received information about a suspicious package sent from Phoenix, Arizona to New Hampshire addressed to an individual in Lebanon (Person 1). After obtaining a warrant, investigators opened the package and found over 336 grams of methamphetamine.
Investigators obtained a search warrant for Person 1’s residence. On May 10, 2019, after removing the drugs from the package, the investigators conducted a controlled delivery of the package. A co-defendant collected the package from the porch of the residence. Investigators subsequently learned that Rombow paid the co-defendant in methamphetamine to pick up packages of methamphetamine for him. Rombow intended to further distribute the methamphetamine that was in the package.
Rombow is scheduled to be sentenced on May 5, 2022.
“Drug traffickers have been flooding New Hampshire with large quantities of methamphetamine,” said U.S. Attorney Farley. “This dangerous and addictive drug is being brought into our state by drug dealers who are seeking to profit from the misery caused by this illegal substance. As this case demonstrates, we are working closely with our law enforcement partners to identify and prosecute the criminals who are bringing this drug into the Granite State and distributing it in our communities.”
“Rombow conspired to bring methamphetamine—a drug that has caused death and destruction in communities across the United States— into New Hampshire. HSI is proud to work alongside our local and federal partners to keep dangerous drugs out of New England,” said Matthew Millhollin, Special Agent in Charge for the Homeland Security Investigations’ Boston Field Office, which covers all of New England.
This matter was investigated by the Drug Enforcement Administration, Homeland Security Investigations, the New Hampshire State Police, the New Hampshire Attorney General’s Drug Task Force, the Hartford, Vermont Police Department, and the Lebanon Police Department. The case is being prosecuted by Assistant U.S. Attorney Anna Krasinski.
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Former U.S. Postal Service employee admits stealing gift cards from mailRead the Press Release
MISSOULA — A Missoula man today admitted to a charge accusing him of stealing and cashing gift cards from a birthday card while he worked for the U.S. Postal Service, U.S. Attorney Leif M. Johnson said.
Lassana Diaby, 40, pleaded guilty to an indictment charging him with theft of mail by officer or employee. Diaby faces a maximum of five years in prison, a $250,000 fine and three years of supervised release.
U.S. Magistrate Judge John T. Johnston presided. Sentencing was set for June 1 before U.S. District Judge Dana L. Christensen. The court will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors. Diaby was released pending further proceedings.
In court documents, the government alleged that on March 26, 2021, a U.S. Postal Service customer reported items were stolen from a birthday card that was sent to his locking mailbox in Missoula. The sender confirmed that she mailed the card on March 20, 2021 from Whitefish and that it contained a $200 gift card to Costco, two $100 gift cards to Amazon and $40 cash. An investigation determined that Diaby presented his Costco membership card and the gift card to complete a purchase at the Costco in Missoula and presented his receipt to a Costco employee at the exit. At the time, Diaby worked for the U.S. Postal Service as a mail processing clerk and completed night shifts on March 20 to 23, including working several hours in the manual letter sorting section.
Assistant U.S. Attorney Karla E. Painter is prosecuting the case, which was investigated by the U.S. Postal Service Office of Inspector General.
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Former South Florida Pharmacy Executive Pleads Guilty to $88 Million Health Care Fraud Conspiracy Targeting Military Health Care ProgramsRead the Press Release
Miami, Florida – A Palm Beach County, Florida man has pleaded guilty to his role in a multi-million-dollar conspiracy to defraud Tricare and CHAMPVA through a South Florida compounding pharmacy fraud scheme.
As part of his guilty plea, 58-year-old Matthew Smith admitted his role in fraudulently billing Tricare and CHAMPVA for expensive, medically unnecessary compound drugs from a Broward pharmacy. Tricare and CHAMPVA are the health care benefit programs for the United States Department of Defense and Department of Veterans Affairs. In furtherance of the scheme, Smith—then executive vice-president of the pharmacy—and his co-conspirators paid approximately $40 million in kickbacks to patients, patient recruiters and doctors in exchange for their ordering expensive pain creams, scar creams and vitamins without regard to the beneficiaries’ actual medical needs. The drugs were formulated to maximize profit without legitimate therapeutic value. The reimbursement rates sometimes reached $15,000 for a one-month supply. In addition, the pharmacy did not charge beneficiaries the mandatory copayments, something that the co-conspirators concealed. The fraudulent billings caused a loss to the programs of approximately $88 million.
Smith pled guilty to one count of conspiring to commit health care fraud. Sentencing is scheduled for April 5, at 3:00 p.m., in Miami, before U.S. District Judge Roy K. Altman. Smith faces up to 10 years in federal prison.
U.S. Attorney Juan Antonio Gonzalez of the Southern District of Florida; Special Agent in Charge Cynthia A. Bruce, Department of Defense Inspector General’s Defense Criminal Investigative Service (DCIS), Southeast Field Office; Special Agent in Charge David Spilker, Veterans Affairs, Office of Inspector General (VA-OIG), Southeast Field Office; Special Agent in Charge George L. Piro of the FBI Miami; and Special Agent in Charge Justin C. Fielder, FDA Office of Criminal Investigations’ Miami Field Office, made the announcement.
“Fraudsters steal exorbitant amounts of money from our government health programs through prescription medication fraud schemes,” said U.S. Attorney Gonzalez. “Those who use kickback payments and fraudulent billing activities to defraud vital public programs will be held accountable.”
“Compounding pharmacy fraud bilked the Defense Health Agency of over a billion dollars and exploited not only the military, but all citizens,” said DCIS Special Agent in Charge Bruce. “I thank the U.S. Attorney’s Office and our investigative team for their tireless effort to untangle this web of crime, trace the assets, and hold these individuals accountable.”
“The defendant pleaded guilty for his abhorrent conduct in defrauding multiple federal healthcare programs meant to benefit deserving veterans and their families,” said Special Agent in Charge David Spilker of the Department of Veterans Affairs Office of Inspector General’s Southeast Field Office. “The VA OIG is committed to continuing its work with our law enforcement partners to ensure the integrity of VA’s healthcare and benefit programs.”
“Illegal kickbacks undermined the integrity of the Tricare health benefit program by putting profits in front of patient welfare,” said George L. Piro, Special Agent in Charge, FBI Miami. “The investigators who unraveled this scam are to be commended for their diligence and commitment. The FBI and our partners will continue to pursue those individuals who pay kickbacks and fraudulently bill for medical services that are not necessary.”
“Criminals whose schemes cause medically unnecessary prescription drugs to be sent to consumers could put the public health at risk,” said Special Agent in Charge Justin C. Fielder, FDA Office of Criminal Investigations’ Miami Field Office. “We will continue to pursue and bring to justice those who place profits above public health.”
The DCIS, VA-OIG, FBI, and the FDA, investigated the case.
Assistant U.S. Attorney Jon Juenger prosecuted the case. Assistant U.S. Attorney Daren Grove is handling the asset forfeiture component of the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
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Former Santa Rosa County Deputy Sheriff Faces Federal and State Charges for Fraud Related CrimesRead the Press Release
PENSACOLA, FLORIDA – Scott P. Haines, 49, of Milton, Florida, was indicted by a federal grand jury on multiple counts of wire fraud and making false statements to federal agents, announced Jason R. Coody, United States Attorney for the Northern District of Florida. Haines made his initial appearance in federal court to face the charges on January 25, 2022.
The federal indictment alleges that, between January 2015 and May 2021, Haines engaged in a scheme to defraud an elderly victim out of over $10,000. The scheme, as articulated in the indictment, is alleged to be based upon Haines’s attempt to obtain the money after inserting himself into the personal and business affairs of the victim. The indictment also alleges that, when confronted with these allegations by federal agents, Haines made multiple material false statements about his relationship in the personal and business affairs of the victim.
In addition to the federal indictment, Haines was arrested on state charges of exploitation of an elderly person or disabled adult, theft from a person 65 years of age or older, and unauthorized access of a computer system or network. He appeared in state court after his initial appearance in federal court in Pensacola in order to be advised of the charges against him.
Trial in the federal case has been set for March 7, 2022, at 8:30 a.m., at the United States Courthouse in Pensacola before the Honorable M. Casey Rodgers.
An indictment is merely an allegation by a grand jury that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. The cases are being prosecuted by Assistant United States Attorney David L. Goldberg and Assistant Statewide Prosecutor Karen C. Murillo.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Former Pittsburgh Man Pleads Guilty to Producing Child Pornography and Making Interstate Threats to ExtortRead the Press Release
PITTSBURGH - A former resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to charges of production of material depicting the sexual exploitation of a minor and for making threatening interstate communications with the intent to extort, United States Attorney Cindy K. Chung announced today.
Markell Smith, age 25, formerly of the city’s Hill District neighborhood, pleaded guilty to two counts before United States District Judge William S. Stickman, IV.
In connection with the guilty plea, the court was advised that law enforcement identified Markell Smith as the Instagram username “7deadlysins19” who threatened a minor female under the age of 12, then residing in New Jersey, to create and send to him, over the internet, sexually explicit images of herself on May 31, 2018. Smith’s threats to the minor included threats to her person, her property, and her reputation. The minor first received a message from Smith as “7deadlysins19” asking her to send to him a picture of her feet and legs. Smith told the minor that if she did not send the pictures that he was going to hack into her account and get her address and that he would kill her mother, father, and her family. The minor told law enforcement that she was scared, so she sent the pictures that Smith demanded. The minor further told police that “7deadlysins” (Smith) directed her how to take the pictures to send to him. After she was told to take a picture of her feet and legs, Smith told the minor to remove her undergarments and to take pictures of her exposed private parts, as well as her stomach and chest, and then face. The minor kept telling Smith that she wanted to go to sleep, but he demanded that she continue taking pictures for him. Smith admitted to law enforcement that he contacted young girls on the internet and asked for sexually exploitive images.
Judge Stickman scheduled sentencing for June 15, 2022, at 1:30 p.m. The law provides for a total sentence of not less than 15 and not more than 50 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, Smith remained detained.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The FBI Pittsburgh Child Exploitation and Human Trafficking Task Force, including the Federal Bureau of Investigation—Pittsburgh and the Pittsburgh Police Department, as well as the Red Bank Police Department (New Jersey); the FBI—Spokane (Washington) Violent Crimes Against Children Task Force; the Walton County Sheriff’s Office (Florida), and the Winchester
Police Department (Kentucky), conducted the investigation leading to the Indictment in this case.This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.