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Monday 29 November 2021
KC Man Sentenced to 15 Years for Carjacking, Illegal Firearm in Two CasesRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man was sentenced in federal court today in two separate cases, including carjacking and using the victim’s debit card to withdraw $500 from his bank account in one case and illegally possessing a firearm in another case.
Abdul M. Williams, 21, was sentenced by U.S. District Judge Roseann Ketchmark to 15 years and 11 months in federal prison without parole. The court also ordered Williams to pay $13,280 in restitution.
On July 22, 2021, Williams pleaded guilty to charges contained in two federal indictments. Williams pleaded guilty to one count of robbery and one count of using a firearm during a crime of violence. Williams also pleaded guilty, in a separate and unrelated case, to possessing a firearm in furtherance of a drug-trafficking crime.
Co-defendant Regginald Dace Jr., 20, has pleaded guilty to one count of robbery and one count of using a firearm during a crime of violence and awaits sentencing.
Williams, Dace, and an unidentified juvenile were given a ride by the victim, identified in court documents as “J.D.”, on Sept. 9, 2020. When they stopped at a gas station on Prospect Avenue in Kansas City, Mo., Dace put a gun to the victim’s head and threatened to “blow his brains out.” According to the victim, Dace and the juvenile each held the gun to his head at different times. They took the victim’s credit and bank debit card from his pocket and demanded the personal identification number (PIN) associated with the debit card. Williams withdrew $500 from the victim’s bank account, using an ATM inside the gas station.
The victim was forced at gunpoint to move from the driver’s seat to the back seat of his vehicle, a black 2015 GMC Sierra, and the juvenile got into the driver’s seat. They drove to a bank at 4920 Main Street and attempted to withdraw more money from an ATM with the victim’s debit card. However, the bank’s daily limit for ATM withdrawals had already been met with the original $500 withdrawal, so they were unsuccessful. They damaged the victim’s vehicle by side-swiping a pylon while attempting to use the ATM.
They demanded the victim’s home address. When he didn’t give them the address, they used his GPS to obtain his home address and the victim was driven to his home. When they arrived at his home, the victim was able to get out of the vehicle and escape. Williams, Dace, and the juvenile drove away in the victim’s vehicle.
At approximately 5 p.m. the same day, law enforcement officers located the victim’s unoccupied parked vehicle. When Williams, Dace, and the juvenile got into the vehicle and Dace began driving, officers attempted a car check. The vehicle initially stopped, but then fled eastbound on East 39th Street. After a brief pursuit, all three fled from the vehicle on foot. Dace was found hiding on the roof of a structure at 3922 Troost Avenue and taken into custody.
The victim stated he has received threats of violence for cooperating with the police on his case. The victim said in response, he has rarely been able to leave his residence and has taken precautions to fortify his household against the threats.
In the second case, Williams also admitted that he was contacted by Kansas City police officers on July 11, 2020, while he was rolling marijuana into a cigar wrapper inside a Conoco gas station. Officers contacted Williams in response to a call regarding an armed disturbance in which Williams reportedly pointed a gun at another individual. Officers attempted to detain Williams, who physically resisted by pulling away from them and tried to yank away from their grasps. An additional officer entered the store to assist officers gain control of Williams.
One of the officers attempted to use his taser on Williams, but it had no effect. Another officer then deployed his taser, which was effective in gaining compliance, and Williams was placed under arrest. Officers searched his backpack and found 125 grams of marijuana in one bag, 10 individually-packaged plastic bags that contained a total of 71 grams of marijuana, and a loaded Glock 9mm semi-automatic pistol with 42 rounds in the attached drum magazine. Officers also found $1,558 in Williams’s left front pants pocket.
These cases are being prosecuted by Assistant U.S. Attorney Ashleigh A. Ragner. They were investigated by the Kansas City, Mo., Police Department.
Project Safe Neighborhoods
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Justice Department and Federal Trade Commission Meet with Fellow G7 Enforcement Partners on Competition in Digital MarketsRead the Press Release
Today, Assistant Attorney General Jonathan Kanter of the Department of Justice Antitrust Division and Federal Trade Commission (FTC) Chair Lina M. Khan participated in a Competition Enforcers Summit (Summit) as part of the 2021 G7 Digital and Technology Track. The Summit, hosted by the UK Competition and Markets Authority, explored how competition agencies are approaching the challenges posed by digital markets.
The Summit offered a unique opportunity for international competition agencies to discuss common areas of interest and opportunities for potential collaboration on issues such as large digital platforms, app stores, online marketplaces, digital advertising, mobile ecosystems, cloud computing and algorithms. The participating delegates were from the G7 competition authorities in Canada, France, Germany, Italy, Japan, the UK and the United States, plus the European Commission and 2021 G7 invitees from Australia, India, South Africa and South Korea.
“There is a great deal of urgency among global competition law enforcement authorities to confront the daunting challenges presented by data-driven technologies,” said Assistant Attorney General Kanter. “This Summit is an important step forward in our effort to ensure that our antitrust law enforcement tools are fit for purpose in a modern digital economy and reflect market realities.”
“As competition enforcers around the world tackle unlawful conduct in digital markets, we face similar challenges and opportunities. Coming together through the G7 to collectively learn from these experiences and share expertise can boost our anti-monopoly work worldwide,” said FTC Chair Lina M. Khan. “Together, the FTC and its G7 partners seek to deepen our knowledge, refine our tools, and redouble our enforcement efforts to target unfair methods of competition in digital markets.”
The Summit also provided an opportunity to consider areas for increased cooperation and coordination among competition agencies and reflect on how best to use agency skills, knowledge and resources to deal with challenges in digital markets.
Justice Department Announces Settlement with Gap Inc., While Celebrating the 35th Anniversary of a Law Prohibiting Immigration-Related Employment DiscriminationRead the Press Release
Marking 35 years since Congress passed the anti-discrimination provision of the Immigration and Nationality Act (INA), the Department of Justice today announced a settlement with Gap Inc. (Gap), resolving claims that Gap violated this law by routinely discriminating against certain non-U.S. citizens working for the company.
“Thirty-five years ago, Congress passed a law prohibiting employers from discriminating against workers because of their citizenship, immigration status, or national origin, and from retaliating against them for asserting their rights,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The division continues to vigorously enforce the law – holding thousands of employers accountable for violations, collecting millions of dollars in civil penalties and back pay and obtaining relief for countless victims of discrimination. This settlement with Gap underscores the division’s work over the last 35 years to end unlawful employment discrimination.”
The settlement with Gap resolves claims that the company discriminated against certain non-U.S. citizens (including lawful permanent residents, refugees and asylees) and naturalized U.S. citizens because of their current or prior immigration status. The department found that Gap discriminated against workers by reverifying their permission to work, even though there was no legal reason to do so. The department also determined that Gap discriminated against some non-U.S. citizens because of their immigration status by requesting that they provide specific documents to confirm that they still had permission to work. The department concluded that Gap’s reliance on an electronic human resource management system (which had electronic Form I-9 functions) contributed to the company’s discriminatory conduct. As part of the settlement, Gap will pay $73,263 in civil penalties, provide back wages to an asylee and a lawful permanent resident who lost work because of Gap’s practices, train thousands of its employees nationwide, ensure that its electronic programs are compliant with applicable rules, and be subject to monitoring and reporting requirements.
The INA prohibits employers from unnecessarily reverifying a worker’s permission to work, or specifying the types of documentation a worker is allowed to show to prove permission to work, because of the worker’s citizenship, immigration status or national origin. As a result, even when an employer has a legal requirement to check that a worker still has permission to work, the employer must allow the worker to present whichever acceptable documentation the worker chooses.
In the past five years alone, the division’s Immigrant and Employee Rights Section (IER) has reached more than 100 settlements to resolve discrimination claims under the INA. In addition to resolving claims involving discrimination in verifying an employee’s legal permission to work, the division has worked tirelessly to resolve matters involving employers that refused to hire non-U.S. citizens because of their immigration status; disqualified workers from consideration based on their national origin; rejected U.S. workers due to a preference for temporary visa holders; and retaliated against workers for asserting their legal rights. Just last month, the division secured a landmark settlement with Facebook resolving claims that the company discriminated against U.S. workers (including U.S. citizens, U.S. nationals, asylees, refugees and recent lawful permanent residents) because it had a hiring preference for temporary visa holders for certain positions. As part of its enforcement program, over the last five years, the division has secured more than $11.5 million in back pay for discrimination victims under the INA.
The division has also worked to educate the public about this law to prevent violations from occurring in the first place. This effort has included conducting more than 600 presentations or webinars in the last five years and helping tens of thousands of callers to a free hotline for workers and employers. The division was able to return workers to their jobs in the last five years by providing informal assistance in response to calls received over the hotline.
Learn more about IER’s work and how to get assistance through this brief video. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status or national origin in hiring, firing, recruitment or during the employment eligibility verification process (Form I-9 and E-Verify) or subjected to retaliation, may file a charge. The public can also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER. View the Spanish translation of this press release here.
J.A. McDonald, Inc. Agrees to Pay $637,500 to Settle Allegations of False Claims Act Violations Arising from Federal-Aid Bridge Construction in VermontRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that general contractor J.A. McDonald, Inc. (“JAM”), headquartered in Lyndon Center, Vermont, has agreed to pay $637,500.00 to the United States and the State of Vermont to resolve allegations that JAM violated the federal False Claims Act, 31 U.S.C. § 3729, and the Vermont False Claims Act, 32 V.S.A. § 631, by knowingly causing the State of Vermont to present false claims for payment to the United States in connection with the federally-funded construction of several bridges on Route 279 in the Town of Bennington, Vermont, and on Interstate 91 in the Town of Guilford, Vermont.
This settlement resolves allegations that, between approximately 2008 and 2010, JAM employees materially altered certain components of the bridges at issue by cutting or burning multiple sections of reinforcing steel out of the reinforced-concrete substructures that support the bridges, and that JAM employees took affirmative steps to conceal such material alterations from the Vermont Agency of Transportation. The United States and the State of Vermont contend that, because of this misconduct, the Vermont Agency of Transportation unwittingly paid JAM for deficient bridgework and in turn, presented false claims to the Federal Highway Administration for the reimbursement of the federal share of the amounts that were paid to JAM.
In addition to agreeing to pay $637,500.00 to the United States and the State of Vermont as part of the civil settlement announced today, JAM has also agreed as part of an administrative settlement and compliance agreement with the Federal Highway Administration to implement the following remedial measures: (1) to adopt a comprehensive Ethics and Compliance Code and to train all employees on the code; (2) to adopt a comprehensive Quality Assurance/Quality Control Program and to train all employees on the program; (3) to appoint a Corporate Compliance Officer who will be responsible for ensuring that JAM implements and complies with the foregoing code and program; and (4) to retain an Independent Monitor, who will conduct on-site and unannounced inspections of JAM’s work on all federally-funded contracts, and report on the inspections directly to the Federal Highway Administration, for a period of three years.
“Public infrastructure projects in the United States must be constructed with care and diligence,” stated Acting United States Attorney Jonathan A. Ophardt. “When contractors recklessly disregard public safety and squander tax dollars, the United States Attorney’s Office will aggressively investigate and hold them accountable.”
“This settlement agreement concludes over two years of work recognizing that there be full accountability for the work performed on behalf of taxpayers,” said Vermont Secretary of Transportation Joe Flynn.
Pursuant to the terms of the civil settlement agreement between the United States, the State of Vermont, and JAM, the settlement constitutes neither an admission of liability by JAM nor a concession by the United States or the State of Vermont that the claims asserted are not well founded. The claims settled in this matter are allegations only; there has been no judicial determination of liability.
This matter was investigated by the United States Attorney’s Office for the District of Vermont in partnership with the Vermont Attorney General’s Office and the Vermont Agency of Transportation. Support was provided by the United States Department of Transportation’s Office of Inspector General and the Federal Highway Administration.
Assistant United States Attorney Ben Weathers-Lowin handled the matter on behalf of the United States. The State of Vermont was represented by Vermont Assistant Attorneys General Michelle Anderson, Bart Gengler, and Gordon Landrigan. JAM was represented by Owen McClain, Esq. and Heather Ross, Esq. of the firm Sheehey Furlong & Behm P.C.
Individual Who Portrayed Himself as Experienced Stock Trader Pleads Guilty to Defrauding InvestorRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Gonzalo Ortiz pleaded guilty to investment adviser fraud in connection with a scheme to defraud an investor of nearly $600,000 by making false representations about his trading expertise and the profitability of various investments. The proceeding was held before United States District Judge William F. Kuntz, II.
Breon Peace, United States Attorney for the Eastern District of New York, and Michael J. Driscoll, Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“Ortiz masqueraded as an experienced stock trader who could substantially increase the victim’s savings, but instead he stole close to a quarter million dollars of the victim’s money to use for his own personal benefit,” stated United States Attorney Peace. “This Office will continue to prosecute and hold accountable those who engage in fraud and steal the hard-earned money of investors.” Mr. Peace expressed his appreciation to the United States Securities and Exchange Commission, New York Regional Office, for its assistance in this case.
“Ortiz misrepresented to his victim his ability to invest funds in a profitable way, not only causing a significant loss in value, but also reserving a good deal of the money for his own personal benefit,” stated FBI Assistant Director-in-Charge Driscoll. “Investment fraud schemes are all too common, often causing emotional trauma to those affected. Our office is committed to investigating this type of criminal activity and holding the perpetrators accountable.”
Between approximately April 2015 and May 2017, Ortiz falsely represented himself to an investor (the “Victim”) as a successful investment adviser who had made profits for other individuals by trading stocks on their behalf. Ortiz convinced the Victim to allow him to invest the Victim’s money, promising significant returns. Based on those misrepresentations, the Victim made successive investments with Ortiz over a period of years. During this time, Ortiz falsely told the Victim that the investments were profitable and sent the Victim a false account statement to support these claims. In reality, Ortiz made poor trading decisions that resulted in the loss of a portion of the Victim’s money, and also stole some of the Victim’s money for himself, siphoning off portions of the investments to pay for personal expenses including clothing, food and car payments. Ortiz controlled nearly $600,000 of the Victim’s money, stole approximately $224,500 for himself and lost a significant amount of the Victim’s money to unprofitable trades.
The case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorney Andrew D. Grubin is in charge of the prosecution.
The Defendant:
GONZALO ORTIZ
Age: 48
Hackensack, New JerseyE.D.N.Y. Docket No. 19-CR-161 (WFK)
Hurricane Man Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – A Hurricane man pleaded guilty today to a federal drug crime.
According to court documents, on November 15, 2020, a trooper with the West Virginia State Police arrested Dennis Wayne Snyder, 31, on an outstanding warrant. The arrest took place at a gas station in Nitro. The trooper searched the vehicle Snyder was in and found approximately 221 grams of methamphetamine where Snyder was previously seated. Snyder also had digital scales and plastic bags in his possession.
Snyder pleaded guilty to possession with intent to distribute 50 grams of more of a mixture and substance containing a detectable amount of methamphetamine and faces a minimum mandatory of five years and up to 40 years in prison when he is sentenced on February 28, 2022.
United States Attorney William S. Thompson made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the Southern West Virginia TOC-West Task Force, which is comprised of officers with the Cabell County Sheriff’s Department, the Hurricane Police Department and the Marshall University Police Department. The West Virginia State Police, the Drug Enforcement Administration (DEA) and the Violent Crime and Drug Task Force West provide investigative support to the task force. The Ohio Highway Patrol, the Kentucky State Police, and the FBI and DEA in Columbus, Ohio, also assisted in the investigation.
United States District Judge Robert C. Chambers presided over the hearing. Assistant U.S. Attorneys Courtney L. Cremeans and Joseph F. Adams are prosecuting the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:21-cr-00109.
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Huntingdon Man Sentenced to 20 Years’ Imprisonment for Receiving Child PornographyRead the Press Release
HARRISBURG—The United States Attorney’s Office for the Middle District of Pennsylvania announced that Brendon Rothrock, age 23, of Huntingdon, Pennsylvania, was sentenced on November 24, 2021, to 20 years’ imprisonment by United States District Court Judge Jennifer P. Wilson for receiving child pornography. The sentence also includes a 15-year term of supervised release, which will follow the term of imprisonment.
According to United States Attorney John C. Gurganus, in February 2018, Rothrock communicated with another individual through Kik Messenger regarding the sexual exploitation of children. Through those communications, Rothrock encouraged the other individual to sexually assault an 18-month-old girl. The other individual complied and, at Rothrock’s request, sent Rothrock images of the assault. Rothrock also received hundreds of additional images of child pornography.
The case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Carlo D. Marchioli and former Assistant U.S. Attorney James T. Clancy 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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Harrison County man sentenced for firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Carl David Davis, of Hepzibah, West Virginia, was sentenced today to 63 months of incarceration for firearms charges, United States Attorney William J. Ihlenfeld, II announced.
Davis, 32, pleaded guilty in June 2021 to one count of “Possession of an Explosive by a Prohibited Person” and one count of “Unlawful Possession of a Firearm.” Davis, who is prohibited from having firearms because of a prior conviction, is accused of having two electric explosive detonators (blasting caps) in November 2018 and a .22 caliber rifle in October 2020 in Harrison County.
Davis also was ordered to forfeit a 9mm pistol, 11 rounds of 9mm ammunition, a .22 caliber rifle, seven rounds of .22 caliber ammunition, one 12-gauge shotgun shell, and four rounds of .32 caliber ammunition.
Assistant U.S. Attorney Brandon S. Flower prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives and the Harrison County Sheriff’s Office investigated.
U.S. District Judge Thomas S. Kleeh presided.
Harell Jamison, Former Substance Abuse Counselor at Ft. Bragg, Arrested for Sexual Contact Without Consent and Sexual Activity by a CustodianRead the Press Release
RALEIGH, N.C. – Harell Jamison, age 47, who was a substance abuse counselor for Substance Use Disorder Clinical Care (SUDCC) at Womack Army Medical Center, was arrested on November 22, 2021, in Raleigh for Sexual Contact without Consent and Sexual Activity by a Custodian pursuant to an indictment by a federal grand jury on November 2, 2021. The indictment alleges that Jamison touched an individual in the genitalia, groin, and inner thigh without her permission on July 14, 2021. This touching occurred on Ft. Bragg Military Reservation and while Jamison was an employee of Womack Army Medical Center, an institution having custody of the individual.
If convicted of the Sexual Contact without Permission count, Jamison faces a maximum imprisonment term of not more than two years, a $250,000 fine, and a term of supervised release following any term of imprisonment. If convicted of the Sexual Activity by a Custodian count, Jamison faces a maximum imprisonment term of not more than 88 months, a $250,000 fine, and a term of supervised release following any term of imprisonment.
Michael F. Easley, Jr., U.S. Attorney for the Eastern District of North Carolina, made the announcement. U.S. Army Criminal Investigation Division is investigating the case.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Gulfport Man Sentenced for Trafficking in Contraband CigarettesRead the Press Release
Gulfport, Miss. – A Gulfport man was sentenced to serve three years’ probation for trafficking contraband cigarettes, announced U.S. Attorney Darren J. LaMarca and Acting Special Agent in Charge Jack Staton of Homeland Security Investigations in New Orleans.
According to court documents, Sadeq Saif Farea a/k/a Sadeq Saif Qaid Farea, 43, knowingly purchased for resale 42,000 cigarettes and 36,000 cigarillos, which bore no evidence of the payment of applicable State cigarette taxes in the State of Mississippi, constituting contraband cigarettes.
In addition to a three year term of probation, Farea was ordered to pay $3,849.06 in restitution to the State of Mississippi Department of Revenue and a $2,500 fine.
Farea was indicted by a federal grand jury on August 25, 2020, and pled guilty on September 9, 2021.
The case was investigated by Homeland Security Investigations.
Assistant U.S. Attorney Andrea Jones prosecuted the case.
Former Temple Business School Dean Convicted of FraudRead the Press Release
PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that Moshe Porat, 74, of Bala Cynwyd, PA, the former Dean of Temple University’s Richard J. Fox School of Business and Management (“Fox”) from 1996 until 2018, was convicted today after trial on charges that he conspired and schemed to deceive the school’s applicants, students, and donors into believing that the school offered top-ranked business degree programs, so that they would pay tuition and make donations to Temple.
In April 2021, Porat was charged by Indictment with one count of conspiracy to commit wire fraud and one count of wire fraud. The charges stemmed from a multi-year conspiracy in which the defendant participated with a Fox professor named Isaac Gottlieb and a Fox employee named Marjorie O’Neill to submit false information about the school’s online MBA (“OMBA”) and part-time MBA (“PMBA”) programs to U.S. News & World Report in order to inflate Fox’s rankings in the annual U.S. News surveys of top OMBA and PMBA programs.
Among other things, the conspirators agreed to provide false information to U.S. News about the number of Fox’s OMBA and PMBA students who had taken the Graduate Management Admission Test (“GMAT”); the average work experience of Fox’s PMBA students; and the percentage of Fox students who were enrolled part-time, all because it was believed that better numbers for these metrics would result in better rankings for the programs. And indeed, the scheme was successful. Relying on the false information it had received from Fox, U.S. News ranked Fox’s OMBA program Number One in the country four years in a row (2015 – 2018). U.S. News also moved Fox’s PMBA program up its rankings from No. 53 in 2014 to No. 20 in 2015, to No. 16 in 2016, and to No. 7 in 2017.]
Porat boasted about these rankings in marketing materials directed at potential Fox students and donors. Enrollment in Fox’s OMBA and PMBA programs grew dramatically in a few short years, which led to millions of dollars a year in increased tuition revenues.
“Today, a jury reaffirmed that wire fraud is a federal crime even when perpetrated within the system of higher education in the United States,” said U.S. Attorney Williams. “Moshe Porat misrepresented information about Fox’s application and acceptance process, and therefore about the student-body itself, in order to defraud the rankings system, potential students, and donors. This case was certainly unusual, but at its foundation it is just a case of fraud and underlying greed. We respect the jury’s verdict and thank its members for their service.”
The case was investigated by the Federal Bureau of Investigation, the United States Postal Inspection Service, and the Department of Education’s Office of the Inspector General; and is being prosecuted by Assistant United States Attorneys Mark B. Dubnoff, Nancy Potts, and MaryTeresa Soltis.
Former South Bay Executive Sentenced to Nearly Three Years in Federal Prison for Insider Trading and Securities FraudRead the Press Release
LOS ANGELES – A former executive at a Hawthorne-based company was sentenced today to 35 months in federal prison for trading in options contracts using inside company information and illegally purchasing shares of a company his employer had targeted for acquisition.
Mark A. Loman, 60, of Hermosa Beach, was sentenced by United States District Judge Dale S. Fischer, who said Loman had “betrayed his employer and the market” and had been motivated by greed. Judge Fisher also ordered Loman to pay a $600,000 fine.
At the conclusion of a 10-day trial, a jury on September 2 found Loman guilty of four counts of securities fraud and four counts of insider trading.
Loman was a vice president of finance and the corporate controller for OSI Systems Inc., a publicly traded security, health care and electronics manufacturing company, from 2006 until 2018. In these roles, Loman had advance knowledge of OSI’s revenue and earnings and, as corporate controller, was responsible for compiling and internally reporting the company’s confidential financial results.
In December 2015, Loman received confidential information that OSI was financially underperforming and would fall far short of its earnings and revenue forecast for its second quarter of its fiscal year 2016. Acting on this information in December 2015, Loman purchased a series of options contracts with the intent of profiting when OSI’s stock price fell.
On January 27, 2016, OSI announced its disappointing second-quarter earnings, and lowered its sales and earnings guidance for the remainder of its fiscal year. On the day of this announcement, OSI shares plunged approximately 30 percent in value from their previous closing day price. As a result, Loman gained approximately $355,000 in illegal profits from this scheme.
In March 2016, Loman misused nonpublic information by purchasing stock of American Science & Engineering Inc., a Billerica, Massachusetts-based manufacturer of security screening equipment that OSI had targeted for acquisition. Once OSI publicly announced in June 2016 its agreement to acquire AS&E, Loman immediately sold his shares in AS&E and made approximately $120,000 in illegal gains. In September 2016, OSI formally acquired AS&E for approximately $270 million.
Loman made a total of approximately $475,000 in illicit gains through this scheme.
“[Loman] engaged in a troubling pattern of conduct that involved leveraging his privileged position as a trusted, corporate insider to use confidential, sensitive financial information that he possessed to bet against his own company in a series of sophisticated stock trades conducted in a brokerage account that was hidden from view from his employer,” prosecutors argued in a sentencing memorandum.
In July 2019, the Securities and Exchange Commission filed a lawsuit against Loman, charging him with insider trading. Trial is scheduled for that lawsuit in April 2022.
The FBI investigated this matter.
Assistant United States Attorneys Scott Paetty and Karen E. Escalante of the Major Frauds Section prosecuted this case.
Former President of First Mortgage Company Sentenced to Serve 104 Months in Federal Prison and Pay More Than $51.8 Million in Restitution to VictimsRead the Press Release
OKLAHOMA CITY – RONALD J. MCCORD, 71, of Oklahoma City, was sentenced this morning to serve 104 months in prison for defrauding locally-based banks, Fannie Mae, homeowners, and others through a broad range of fraudulent conduct, announced Acting U.S. Attorney Robert J. Troester. McCord was also ordered to pay $51,861,806.40 in restitution to the victims of his fraudulent schemes.
"This was a carefully calculated scheme by which the defendant defrauded local banks out of tens of millions of dollars, made false statements to a financial institution, diverted escrow monies intended to pay homeowners’ taxes and insurance premiums to cover his company's operating expenses, and then laundered the proceeds to fund his lavish lifestyle," said Acting U.S. Attorney Troester. "This sentence should serve as notice that those who defraud financial institutions for personal gain will be held accountable."
On June 3, 2020, a grand jury returned a 24-count Indictment against McCord. The charges included bank fraud, money laundering, and making a false statement to a financial institution. McCord was the Chairman and founder of First Mortgage Company, LLC ("FMC"), an Oklahoma City-based mortgage lending and loan servicing company. In May 2021, McCord pleaded guilty to five counts of that Indictment. McCord admitted to defrauding Spirit Bank ("Spirit") and Citizens State Bank ("Citizens")—two state-chartered financial institutions—as well as their respective residential mortgage subsidiaries, American Southwest Mortgage Corporation ("Mortgage Corp.") and American Southwest Mortgage Funding Corporation ("Funding Corp."). An independent audit discovered that McCord had sold more than $14,100,000.00 in Spirit/Mortgage Corp. and Citizens/Funding Corp. loans "out of trust" by failing to repay Spirit/Mortgage Corp. when certain Spirit/Mortgage Corp.-initiated loans were refinanced or otherwise paid off. At the time of this discovery, FMC carried outstanding balances of about $200,000,000.00 and $140,000,000.00 on the Spirit/Mortgage Corp. and Citizens/Funding Corp. lines of credit, respectively.
Upon learning of McCord’s conduct, Spirit/Mortgage Corp. and Citizens/Funding Corp. terminated future warehouse lending to FMC, and instituted new notification requirements that required McCord to assign FMC-funded mortgages to Spirit/Mortgage Corp. and Citizens/Funding Corp., to ensure the title companies handling those mortgages sent payoffs directly to the banks. McCord admitted at his change of plea hearing that he filed the assignments as required, but then caused the mortgages to be released on two properties—in Leland and Denver, North Carolina—after collecting the mortgage payoffs.
Spirit/Mortgage Corp. and Citizens/Funding Corp.’s refusal to fund new FMC mortgages prompted McCord to seek out a new warehouse lender. In early 2017, McCord began negotiating with CapLOC, LLC, a North Carolina-based mortgage lending business, and offered to sell FMC’s mortgage lending business in exchange for quick funding from CapLOC. McCord admitted that he made a materially false statement and representation to CapLOC in the course of those negotiations, in order to influence CapLOC’s actions.
Finally, in 2017, FMC serviced approximately 12,000 loans worth a total of approximately $1,800,000,000.00 for the Federal National Mortgage Association (“Fannie Mae”). McCord admitted at his plea hearing that he defrauded Fannie Mae by diverting escrow monies intended to pay homeowners’ taxes and insurance premiums to cover FMC’s operating expenses. McCord also admitted that he then laundered the proceeds by causing a wire transfer from FMC’s operating account to a custom home builder, as payment towards construction of McCord’s vacation home in Colorado.
At today’s sentencing hearing, the Honorable Robin J. Cauthron found that McCord caused a total loss of more than $95,000,000.00 to local banks, other financial institutions, and borrower homeowners. Judge Cauthron heard statements from representatives of three of those victims, as well as argument from both parties, before rendering the 104-month sentence. The Court ordered McCord to self-surrender to the Federal Bureau of Prisons on January 6, 2022 to commence his term of imprisonment. The Court also ordered McCord to serve three years of supervised release following his term of incarceration.
This case was the result of investigations by the Federal Housing Finance Agency – Office of the Inspector General, the Federal Deposit Insurance Corporation – Office of Inspector General, and the FBI Oklahoma City Field Office. Assistant U.S. Attorney Julia E. Barry prosecuted the case.
Reference is made to court filings for further information.
Former Air Force Employee Sentenced to Federal Prison for Stealing More Than $1.1 Million in Government FundsRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm today sentenced Eddie Ray Johnson, Jr., age 60, of Brandywine, Maryland, to 16 months in federal prison, followed by three years of supervised release, with the first 12 months to be served in home confinement, for theft of government property, in connection with a scheme to use his government-issued travel credit card to obtain more than $1.1 million in cash advances. In addition, Judge Grimm ordered Johnson to perform 500 hours of community service, pay a $15,000 fine, forfeit $4,000 seized during a search on November 6, 2019, and pay restitution of $1,157,540.69.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Brigadier General Terry Bullard of the Air Force Office of Special Investigations (OSI); Special Agent in Charge Christopher Dillard of the Department of Defense Office of Inspector General, Defense Criminal Investigative Service - Mid-Atlantic Field Office; and Special Agent in Charge Darrell J. Waldon of the Internal Revenue Service - Criminal Investigation (IRS-CI), Washington, D.C. Field Office.
According to his plea agreement, from January 2003 to February 2018, Johnson was a civilian Air Force employee, most recently as a travel coordinator in the Secretary of the Air Force, Office of Legislative Liaison, where he planned congressional travel and reviewed and approved accounting packages submitted by trip escorts, among other duties. Johnson admitted that from March 2014 through September 2017, he used his government-issued travel credit card to obtain more than $1.1 million in cash advances, at least $774,000 of which he diverted to his own personal use.
As detailed in the plea agreement, Johnson frequently deposited the stolen funds into a non-interest- bearing account opened in his name at a bank branch in the Pentagon. Employees in the Office of Legislative Liaison were instructed to open such accounts so that they could more easily deposit and withdraw government funds for official use without accruing interest. After depositing the stolen funds, Johnson wrote checks to himself, which he deposited into his personal bank accounts, and spent the money for his personal benefit, including on living expenses, a baby grand piano, loan payments for a Harley Davidson motorcycle, and family vacations. Johnson also admitted that he provided cash to his family members, including his spouse.
During execution of a search warrant at Johnson’s residence on November 6, 2019, law enforcement recovered approximately $15,174 in cash. Johnson agrees that at least $4,000 of the funds seized were the proceeds of his offense.
In all, Johnson’s conduct caused a loss to the U.S. government of $1,157,540.69, which includes $26,506.02 in banking and service fees that the Air Force paid monthly in connection with the cash advances Johnson obtained.
United States Attorney Erek L. Barron commended the OSI, the DCIS, and the IRS-CI for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Dana J. Brusca and Elizabeth Wright, who prosecuted the case.
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Florida Woman Convicted of COVID-19 Relief FraudRead the Press Release
A federal jury convicted a Florida woman on Nov. 24 for fraudulently obtaining a Paycheck Protection Program (PPP) loan guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
According to court documents and evidence presented at trial, Keyaira Bostic, 32, of Pembroke Pines, obtained a PPP loan of $84,515 for her company, I Am Liquid Inc., based on false information about the company’s number of employees and average payroll, and based on false supporting tax and bank documents. Bostic also paid more than $21,000 to an alleged co-conspirator, James Stote, as a kickback for his assistance in preparing and submitting the fraudulent loan application. The evidence also showed that Bostic, in exchange for kickbacks, referred other co-conspirators to the scheme on whose behalf Stote submitted fraudulent PPP loan applications. Those loan applicants sought more than $3.3 million in fraudulent PPP loans and obtained nearly $2 million in PPP loan proceeds.
Bostic was convicted of conspiracy to commit bank fraud and wire fraud and three counts of wire fraud. She was found not guilty of bank fraud. She is scheduled to be sentenced on Feb. 3, 2022, and faces a maximum penalty of 20 years in prison for each count of conviction. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Stote was charged by information on Nov. 10 with wire fraud, bank fraud, and conspiracy to commit wire fraud. His case remains pending.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; Acting U.S. Attorney Juan Antonio “Tony” Gonzalez of the Southern District of Florida; Special Agent in Charge Michael J. De Palma of the IRS-Criminal Investigation (IRS-CI) Miami Field Office; Special Agent in Charge George L. Piro of the FBI’s Miami Field Office; and Special Agent in Charge Amaleka McCall-Brathwaite of the SBA’s Office of Inspector General (SBA-OIG) Eastern Region made the announcement.
The IRS-CI, FBI, and SBA-OIG investigated the cases.
Trial Attorney Philip Trout of the Criminal Division’s Fraud Section and Assistant U.S. Attorney David Turken of the Southern District of Florida prosecuted the case.
The Fraud Section leads the Criminal Division’s prosecution of fraud schemes that exploit the PPP. Since the inception of the CARES Act, the Fraud Section has prosecuted over 150 defendants in more than 95 criminal cases and has seized over $75 million in cash proceeds derived from fraudulently obtained PPP funds, as well as numerous real estate properties and luxury items purchased with such proceeds. More information can be found at https://www.justice.gov/criminal-fraud/ppp-fraud.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
An information is merely an allegation, and Stote is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Federal and State Authorities Reach Settlement with Quincy Medical Group over Medicare and Medicaid Fraud ClaimsRead the Press Release
SPRINGFIELD, Ill. – Quincy Medical Group in Quincy, Illinois, has agreed to pay $500,000 to resolve allegations that it violated the False Claims Act by submitting claims for medically unnecessary cardiac catheterization procedures performed by a physician who was formerly employed by the group. Today’s settlement comes on the heels of a related settlement in August with Blessing Hospital for approximately $2.82 million.
The settlement will be apportioned as follows: the United States will receive approximately $459,000, the State of Illinois will receive nearly $40,000, and the States of Iowa and Missouri will receive the remainder. The settlement resolves allegations that Quincy Medical Group obtained payments from Medicare and Medicaid for the professional services component of cardiac catheterization procedures performed between August 1, 2012, and August 30, 2018, in which the physician implanted medically unnecessary coronary arterial stents.
“This second part of the combined over 3 million dollar settlement is fair to both sides and demonstrates what should occur when alleged fraud is uncovered,” said Acting United States Attorney Douglas J. Quivey for the Central District of Illinois. “It is very important that all medical providers institute quality control and billing safeguards to protect both patient safety and billing integrity.”
“The physician performing these allegedly needless procedures exploited patients and the Medicare and Medicaid programs,” stated Curt L. Muller, Special Agent in Charge with the Department of Health and Human Services Office of Inspector General. “We will continue to work with our law enforcement partners to protect the integrity of federal health programs and hold accountable those individuals or entities responsible for compromising our programs.”
"The Illinois State Police is dedicated to investigating healthcare fraud and to ensuring that tax dollars are used appropriately for the care of patients," said Illinois State Police Director Brendan F. Kelly.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
The settlement was the result of a coordinated effort by the U.S. Attorney’s Office for the Central District of Illinois, the Civil Division of the Department of Justice, the Inspector General’s Office of the Department of Health and Human Services, and the Illinois State Police Medicaid Fraud Control Unit. Assistant U.S. Attorney John Hoelzer and Department of Justice Senior Trial Counsel Laurie Oberembt represented the government during the settlement process. To learn more about the U.S. Attorney’s Office for the Central District of Illinois, please visit https://www.justice.gov/usao-cdil.
Ex-L.A. Special Counsel Agrees to Plead Guilty to Accepting Nearly $2.2 Million Kickback for Arranging Collusive Lawsuit Against LADWPRead the Press Release
INFORMATION PLEA AGREEMENTLOS ANGELES – A New York City lawyer, who simultaneously represented the Los Angeles Department of Water and Power (LADWP) and a ratepayer suing it in the wake of the department’s billing debacle, has agreed to plead guilty to a bribery charge for accepting an illegal payment of nearly $2.2 million for getting another attorney to purportedly represent his ratepayer client in a collusive lawsuit against LADWP, the Justice Department announced today.
Paul O. Paradis, 58, of Scottsdale, Arizona, who ran the Manhattan-based Paradis Law Group, agreed to plead guilty to a single-count information charging him with bribery. In his plea agreement, Paradis also admitted to additional bribery schemes involving high-level LADWP officials. Both the information and the plea agreement were filed today in United States District Court. Paradis is cooperating with the federal criminal investigation, which is ongoing.
According to the court documents, LADWP in 2013 implemented a new billing system that it had procured from an outside vendor, PricewaterhouseCoopers (PwC). After LADWP implemented the new system, hundreds of thousands of LADWP ratepayers received massively inflated and otherwise inaccurate utility bills. Soon afterward, the city and LADWP faced multiple class-action lawsuits filed by ratepayers alleging harm resulting from the faulty billing system.
In December 2014, the Los Angeles City Attorney’s Office retained Paradis and Paul R. Kiesel, a Beverly Hills-based lawyer, as special counsel to represent the city in an affirmative lawsuit against PwC. Kiesel is cooperating with the investigation and is not charged with any wrongdoing.
When Paradis began representing the city as special counsel in the PwC litigation, the Los Angeles City Attorney’s Office was aware that he was already representing Antwon Jones, a ratepayer who had a claim against LADWP arising from billing overcharges. Jones was unaware that his lawyer, Paradis, also represented his intended adversary.
At a February 2015 meeting with at least one senior member of the City Attorney’s Office, Paradis and Kiesel were authorized and directed to find counsel that would be friendly to the city to supposedly represent Jones in a class-action lawsuit against the city. Pursuant to this strategy, the forthcoming Jones v. City of Los Angeles lawsuit would be used as a vehicle to settle all existing LADWP-billing-related claims against the city on the city’s desired terms.
Soon thereafter, Paradis recruited a lawyer identified in court documents as “Ohio Attorney” to supposedly represent Jones in a lawsuit against the city. Paradis told Ohio Attorney that the city wanted the lawsuit to be “pre-settled” on the city’s desired terms, and that Paradis would do all or most of Ohio Attorney’s substantive work on the case. In exchange, Paradis and Ohio Attorney agreed that Paradis would receive 20 percent of Ohio Attorney’s fees in the Jones v. City case as a secret kickback.
In March 2015, the city sued PwC in a lawsuit that generally alleged that PwC was responsible for LADWP’s billing debacle, claiming that the firm had caused the city hundreds of millions of dollars in damages. Paradis and Kiesel represented the city in that lawsuit until March 2019. The city in September 2019 dismissed its lawsuit against PwC.
Also in March 2015, Paradis used nonpublic information provided to him by members of the City Attorney’s Office and LADWP to draft a detailed complaint for a class-action lawsuit against the city with Jones as the named class representative. Later that month, Paradis provided the draft Jones v. City complaint to Ohio Attorney for filing. Ohio Attorney filed the Paradis-drafted lawsuit in April 2015.
In June and July of 2015, Paradis and others working on the city’s behalf in the Jones lawsuit participated in four confidential mediation sessions with Ohio Attorney, who purportedly represented Jones. At the close of the final mediation session, the mediator issued a proposal that would cap plaintiff attorneys’ fees at $13 million – a figure that raised an objection from another lawyer representing the city, who complained in an internal email that the amount was unjustifiably high because, in part, Ohio Attorney had done “little demonstrative work to advance the interests of the class.” Notwithstanding that objection, the city agreed to the fee proposal.
In July 2017, a Los Angeles Superior Court judge issued a final approval of the $67 million settlement agreed to by the parties in Jones v. City, including approximately $19 million in plaintiffs’ attorney fees.
Pursuant to the settlement agreement, the city sent a check to Ohio Attorney in the amount of approximately $19,241,003. After disbursing some of those funds in accordance with the terms of the settlement agreement, Ohio Attorney and his law firm retained approximately $10.3 million in attorney fees.
Ohio Attorney then secretly paid $2,175,000 to Paradis, disguising the kickback as a real estate investment, and funneling it through shell companies that Paradis and Ohio Attorney had set up exclusively for the purpose of transmitting and concealing the illicit payment.
As part of his plea agreement, Paradis also admitted to giving bribes to multiple LADWP officials, including an LADWP general manager and an LADWP Board member, in exchange for their help in securing a three-year, $30 million no-bid contract with LADWP in June 2017 for Paradis’s downtown Los Angeles-based cyber-services company, Aventador Utility Solutions.
At the time it approved the no-bid contract, the LADWP Board was not informed that Paradis had ghostwritten a May 2017 independent monitor report on the Jones v. City settlement on which LADWP based its decision. The Paradis-written report claimed that LADWP could not meet its obligations under the Jones v. City settlement agreement unless it contracted with Aventador. The LADWP Board also was unaware that the then-LADWP general manager advocating for the award of the $30 million no-bid contract to Paradis’s company had secretly agreed to become its CEO with an annual salary of $1 million and a luxury company car.
Paradis is expected to make his initial court appearance in the coming weeks.
The FBI is investigating this matter.
Assistant United States Attorneys Melissa Mills, Jamari Buxton and Susan Har of the Public Corruption and Civil Rights Section are prosecuting this case.
Estill County Man Sentenced to 180 Months for Methamphetamine Trafficking and Illegal Firearm PossessionRead the Press Release
LEXINGTON, Ky.— An Irvine, Ky., man, George Harrison, 56, was sentenced to 180 months in federal prison on Monday, by U.S. District Judge Karen Caldwell, after previously being convicted of three counts of distribution of 50 grams or more of methamphetamine, one count of possession with the intent to distribute methamphetamine, and one count of possession of a firearm by a convicted felon.
According to evidence at trial, Harrison sold methamphetamine to the Kentucky State Police, in a series of controlled purchases. Specifically, Harrison sold over 50 grams of methamphetamine to a confidential informant, on three separate occasions, in September of 2018. During a search of his premises, at the time of arrest, approximately 12 grams of methamphetamine and over $1,000.00 was found. Harrison was arrested on September 18, 2019 and detained at the Fayette County Detention Center. While incarcerated, Harrison communicated through recorded jail phone calls with his girlfriend about securing drugs, money, and a firearm that law enforcement did not recover during the search of his house. The Kentucky State Police secured another search warrant and recovered a 45-caliber pistol, $16,546.00 and more than 500 grams of methamphetamine. The jury found that the $16,546.00 was forfeitable to the United States, as drug proceeds.
Harrison was convicted in May 2021.
Under federal law, Harrison must serve 85 percent of his prison sentence. Upon his release from prison, he will be under the supervision of the U.S. Probation Office for 10 years.
Carlton S. Shier, IV, United States Attorney for the Eastern District of Kentucky; J. Todd Scott, Special Agent in Charge, DEA, Louisville Field Division; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; Jerry C. Templet Jr., Special Agent in Charge, Homeland Security Investigations; and Colonel Phillip “PJ” Burnett, Jr., Commissioner of the Kentucky State Police, announced the sentencing.
The investigation was conducted by DEA, ATF, DHS-HSI, and the Kentucky State Police. The United States was represented in the case by Assistant U.S. Attorney Emily K. Greenfield.
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El Departamento de Justicia anuncia un acuerdo con Gap, Inc. y, a la vez, celebra el 35º aniversario de la ley que prohíbe la discriminación en el empleo relacionada con la inmigraciónRead the Press Release
WASHINGTON, D.C. – Como parte de la celebración del 35º aniversario de la aprobación por congreso de la disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad (INA, por sus siglas en inglés), el Departamento de Justicia anunció hoy un acuerdo con Gap, Inc. (Gap), que resuelve acusaciones de que Gap vulneró esta ley al discriminar, de forma rutinaria, a ciertos no ciudadanos de los EE. UU. que trabajan para la compañía.
«Hace 35 años, el Congreso aprobó una ley que prohibió la discriminación por parte de empleadores a trabajadores por motivos de su ciudadanía, estatus migratorio o nacionalidad de origen, así como la toma de represalias en su contra por hacer valer sus derechos», comentó Kristen Clarke, la Fiscal Federal Auxiliar de la División de Derechos Civiles. «La División sigue haciendo cumplir la ley con firmeza y ha hecho a miles de empleadores rendir cuentas de sus infracciones, ha recaudado millones de dólares por concepto de sanciones civiles y pagos retroactivos y ha obtenido compensación para innumerables víctimas de discriminación. Este acuerdo de hoy con Gap resalta el trabajo de la División a lo largo de los últimos 35 años para poner fin a la discriminación ilícita en el empleo».
El acuerdo con Gap resuelve acusaciones de que la compañía había discriminado a ciertos no ciudadanos de los EE. UU. (entre ellos residentes permanentes legales, refugiados y asilados) y ciudadanos naturalizados de los EE. UU. debido a su estatus migratorio actual o previo. Asimismo, el Departamento halló que Gap había discriminado a trabajadores al reverificar su permiso para trabajar a pesar de no tener ninguna razón legal por hacerlo. El Departamento también determinó que Gap había discriminado a algunos no ciudadanos de los EE. UU. por motivos de su estatus migratorio al pedir que presentasen documentos específicos para confirmar que todavía disponían de permiso para trabajar. El Departamento concluyó que la dependencia de Gap de un sistema electrónico de gestión de recursos humanos (que tenía funciones especiales para formularios I-9 electrónicos) contribuyó a la conducta discriminatoria de la compañía. Como parte del acuerdo, Gap pagará $73,263 por concepto de sanciones civiles, ofrecerá pagos retroactivos a un asilado y un residente permanente legal que perdieron horas laborales debido a las prácticas de Gap, capacitará a miles de sus empleados por todo el país, asegurará que sus programas electrónicos cumplan con las normas aplicables y se someterá a los requisitos de supervisión y declaración.
La INA prohíbe que los empleadores reverifiquen innecesariamente el permiso para trabajar de un trabajador o que especifiquen los tipos de documentación que el trabajador puede presentar para demostrar que tiene permiso para trabajar, con base en la ciudadanía, estatus migratorio o nacionalidad de origen de tal trabajador. Como resultado, incluso cuando un empleador tiene el requisito legal de comprobar que un trabajador siga contando con permiso para trabajar, el empleador debe permitir al trabajador presentar cualquier documentación válida que él mismo elija.
Solamente en los últimos cinco años, la Sección de Derechos de Inmigrantes y Empleados (IER, por sus siglas en inglés), de la División, ha llegado a más de 100 acuerdos que resuelven acusaciones de discriminación en virtud de la INA. Además de resolver acusaciones que involucran la discriminación a la hora de comprobar el permiso legal para trabajar de un empleado, la División ha trabajado sin tregua por resolver asuntos relacionados con empleadores que se negaron a contratar a no ciudadanos de los EE. UU. por motivos de su estatus migratorio; se negaron a considerar a trabajadores por motivos de su nacionalidad de origen; rechazaron a trabajadores en este país debido a una preferencia por individuos con visas temporales; y tomaron represalias contra trabajadores por hacer valer sus derechos legales. Solo el mes pasado, la División llegó a un acuerdo histórico con Facebook que resolvió acusaciones de que la compañía estaba discriminando a trabajadores en este país (incluyendo a ciudadanos de los EE. UU., nacionales de los EE. UU., asilados, refugiados y residentes permanentes legales recientes) porque daba preferencia en la contratación para ciertos puestos a personas con visas temporales. Como parte de su programa de aplicación de la ley, durante los últimos cinco años, la División ha conseguido más de $11.5 millones por concepto de pagos retroactivos para víctimas de discriminación al amparo de la INA.
La División también se ha esforzado por educar al público en cuanto a esta ley, con el fin de prevenir que ocurran infracciones desde el principio. Este esfuerzo ha incluido la celebración de más 600 presentaciones o seminarios en línea a lo largo de los últimos cinco años y ayuda proporcionada a decenas de miles de interlocutores a una línea directa gratuita para trabajadores y empleadores. Asimismo, la División ha logrado devolver a trabajadores a sus puestos en los últimos cinco años tras brindar ayuda informal como respuesta a llamadas recibidas a la línea directa.
Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus migratorio, ciudadanía o nacionalidad de origen en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688 (1-800-237-2515, TTY para personas con discapacidades auditivas); llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a [email protected]; inscribirse a un seminario en línea gratuito; o visitar los sitios web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery.
Download Settlement Agreement.pdf
District of Columbia Man and Maryland Woman Indicted on Federal Charges in Real Estate SchemeRead the Press Release
WASHINGTON – Two people have been indicted on federal charges stemming from a scheme in which they allegedly used fraudulent property deeds to steal residential real estate property in the District of Columbia, announced U.S. Attorney Matthew M. Graves and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division. All told, the indictment alleges, the scheme generated more than $500,000 in illegal proceeds.
Jeffrey M. Young-Bey, 65, of Washington, D.C., and Martina Yolanda Jones, 44, of Baltimore, Md., were indicted earlier this month by a federal grand jury on one count each of conspiracy, mail fraud, and money laundering. Young-Bey was indicted on an additional count of mail fraud, an additional count of money laundering, and five counts of aggravated identity theft.
Young-Bey was arrested on Nov. 22, 2021, and Jones was arrested on Nov. 27, 2021. Both have made their initial appearances in the U.S. District Court for the District of Columbia.
As alleged in the indictment, beginning at least as early as November 2019, Young-Bey and Jones conspired to steal real estate and obtain a loan against the property or sell the property for profit. Specifically, the indictment states, Young-Bey identified a target property located in the District of Columbia. Young-Bey then prepared a fraudulent property deed, including forged signatures of the true owners. Young-Bey filed the deed with the District of Columbia Recorder of Deeds, transferring the title from the true owners to a corporate entity controlled by Young-Bey or Jones. The residential real estate property was then encumbered or sold through means of materially false and fraudulent pretenses, representations, and promises.
As a result of the scheme, the indictment alleges, Jones and Young-Bey obtained $323,224 from a fraudulent loan taken out on one property.
In addition, according to the indictment, Young-Bey received $268,036 from the sale of a second property in the District of Columbia that he allegedly stole and sold through the same scheme. With these fraudulent proceeds, the indictment alleges, Young-Bey purchased a 2020 BMW 750XI worth over $106,000 and a 2016 BMW 328XI worth over $21,000.
In connection with Young-Bey’s activity, the Government has seized $269,239, as well as the 2020 BMW 750XI.
An indictment is merely a formal charge that a defendant has committed a violation of criminal law and is not evidence of guilt. Every defendant is presumed innocent until, and unless, proven guilty.
This case is being investigated by the FBI’s Washington Field Office. It is being prosecuted by Assistant U.S. Attorney Joshua S. Rothstein and Special Assistant U.S. Attorney Viviana Vasiu, both from the Fraud Section of the U.S. Attorney’s Office for the District of Columbia.
Department of Justice Announces $139 Million for Law Enforcement Hiring to Advance Community PolicingRead the Press Release
WASHINGTON – The Department of Justice announced more than $139 million in grant funding through the Department’s Office of Community Oriented Policing Services (COPS Office) COPS Hiring Program (CHP). The awards provide direct funding to 183 law enforcement agencies across the nation, allowing those agencies to hire 1,066 additional full-time law enforcement professionals. In the Central District of Illinois, Danville, Illinois was awarded funding totaling $750,000.
“We are committed to providing police departments with the resources needed to help ensure community safety and build community trust,” said Attorney General Merrick B. Garland. “The grants we are announcing today will enable law enforcement agencies across the country to hire more than 1,000 additional officers to support vitally important community oriented policing programs.”
“Numerous studies show that professional community policing improves community-police relationships and reduces violent crime. Trust and the community coming forward when they witness crime is instrumental in reducing crime rates,” said Acting U.S. Attorney Doug Quivey. “It requires officers being present in neighborhoods daily and interacting in ways large and small to make a difference. I commend Police Chief Yates and the other City of Danville officials for taking the time to submit a quality application and for being forward looking.”
“I want to thank Attorney General Garland, Acting U.S. Attorney Quivey, and everyone at the Department of Justice who made this award possible.” said Danville Mayor Rickey Williams Jr. “While we have greatly improved public safety, we believe the COPS initiative will allow us to be more effective, especially in building even stronger relationships with our citizens and combatting domestic violence through a special initiative. The funds provided will undoubtedly be a good return on investment because the people of Danville will be safer as a result.”
“There were many people involved in the application process. From Mayor Williams, City Council, Comptroller Massey, members of the community, as well as current and former police personnel, all played a role and did their part in making the award possible.” said Chief Christopher Yates of the Danville Police Department. “I want to thank all of them as well as members of the DOJ involved and those who assisted from the COPS Office. This award will assist us with additional officers to continue the mission to better serve the community and increase public safety.”
The COPS Hiring Program is a competitive award program intended to reduce crime and advance public safety through community policing. CHP provides funds directly to law enforcement agencies to hire new or rehire additional career law enforcement officers, thereby increasing their community policing capacity and crime prevention efforts. Of the 183 agencies awarded grants today, approximately half will use the funding to focus on building legitimacy and trust between law enforcement and communities; 41 agencies will seek to address high rates of gun violence; 21 will focus on other areas of violence; and 19 will focus CHP resources on combating hate and domestic extremism or police-based response to persons in crisis.
Since its creation in 1994, COPS has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and Tribal law enforcement agencies to fund the hiring and redeployment of more than 135,000 officers. CHP, COPS’ flagship program, continues to be in demand today: In FY21, COPS received 590 applications requesting nearly 3,000 law enforcement positions. For FY22, President Biden has requested $537.0 million for CHP, an increase of $300 million.
To learn more about CHP, please visit https://cops.usdoj.gov/chp. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to organization for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served.
Dena J. King Is Sworn in as United States Attorney for the Western District of North CarolinaRead the Press Release
CHARLOTTE, N.C. – Dena J. King was officially sworn in today as United States Attorney for the Western District of North Carolina. Ms. King was nominated by President Joseph
U.S. Attorney Dena J. KingR. Biden Jr. on September 28, 2021, and was confirmed by the United States Senate on November 19, 2021. Chief U.S. District Judge Martin Reidinger administered the oath of office to U.S. Attorney King during a private ceremony at the federal courthouse in Charlotte. Ms. King is the first person of color to be appointed as U.S. Attorney in the Western District.
“I am honored to serve as United States Attorney for the Western District of North Carolina,” said Ms. King following the ceremony. “It is a privilege to lead a team of dedicated and talented public servants who are passionate about their work and delivering justice to the people we serve. I also look forward to working closely with our federal, state, local and Tribal law enforcement to ensure the safety of communities across Western North Carolina and engaging with our valued community partners in our shared mission to pursue equal justice under the law.”
With over 15 years in public service, U.S. Attorney King will lead an office of approximately 100 federal prosecutors and staff, located in Charlotte and in Asheville, that serves over three million residents throughout North Carolina’s 32 westernmost counties, including residents of the Eastern Band of Cherokee Indian Reservation.
U.S. Attorney King joined the U.S. Attorney’s Office in the Western District of North Carolina in September 2020, as Deputy Criminal Chief overseeing the Violent Crimes and Narcotics Section, and as Lead Task Force Attorney for the Office’s Organized Crime Drug Enforcement Task Force (OCDETF) program. Prior to that, Ms. King served as Special Assistant U.S. Attorney (2014-2015) and Assistant U.S. Attorney (2015-2020) at the U.S. Attorney’s Office in the Eastern District of North Carolina (EDNC). At EDNC, Ms. King was in charge of complex narcotics and OCDETF investigations and local impact cases. She also served as the District’s Reentry Coordinator, supervising a reentry team and leading all reentry initiatives, including participation in Drug and Reentry Courts, the Prison In-Reach Program, and Focused Deterrence Call-ins. She also worked closely with local reentry councils and forged reentry partnerships within that jurisdiction. At EDNC, Ms. King was also the Office’s Opioid Coordinator, leading the Heroin Education Action Team (HEAT), and was in charge of coordinating the Office’s efforts to educate stakeholders on the harm caused by drug abuse and misuse. During her tenure in the Eastern District, Ms. King also prosecuted federal racketeering cases, as well as violent crime and public corruption cases.
From 2009 to 2014, U.S. Attorney King served as an Enforcement Attorney with the Securities Division of the North Carolina Department of the Secretary of State. In that capacity, Ms. King represented the State in criminal and administrative enforcement actions and prosecuted violations of the Securities Act, Investment Advisers Act, and Commodities Act, among others.
From 2006 to 2008, Ms. King was an Assistant District Attorney for North Carolina’s 26th Prosecutorial District (Charlotte-Mecklenburg County), where she prosecuted criminal matters. While there, Ms. King was also the Office’s designated representative for Drug Treatment Court and Mental Health Court.
U.S. Attorney King graduated magna cum laude from North Carolina State University in 2003, where she received a Bachelor of Science degree in Business Management. Ms. King received her Juris Doctor in 2006, from North Carolina Central University School of Law.
U.S. Attorney King grew up in Charlotte and graduated from South Mecklenburg High School. She is involved in activities in her community and is a member of the Charlotte Alumnae Chapter of Delta Sigma Theta Sorority, Inc. and Silver Mount Missionary Baptist Church in Charlotte.
Davenport Man Sentenced to Federal Prison for Firearm ChargesRead the Press Release
DAVENPORT, Iowa – A Davenport man, Michael Leon Wyche, Jr., age 28, was sentenced on Wednesday, November 23, 2021, by United States District Court Chief Judge John A. Jarvey to 36 months in prison for Drug User in Possession of a Firearm and Ammunition and False Statements During Purchase of Firearms. Wyche was ordered to serve two years of supervised release to follow his prison term and pay $300 to the Crime Victims’ Fund.
Wyche purchased fourteen firearms between April and August 2020. Law enforcement executed a search warrant at Wyche’s residence after recovering a firearm box that traced back to him in the residence of a suspected drug dealer. During the execution of the warrant, law enforcement located one firearm, ammunition, and evidence of drug use. In a post-Miranda statement, Wyche admitted purchasing more than ten firearms, but could not provide the location of any of them other than the gun located in his residence. Wyche admitted being a marijuana user. Wyche’s social media accounts also contained evidence of his firearms trafficking. Wyche pleaded guilty to the charges on July 21, 2021.
United States Attorney Richard Westphal of the Southern District of Iowa made the announcement. The Davenport Police Department investigated the case. This case is part of the Project Safe Neighborhood, a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone.
Cumberland County Man Admits Participating in Straw Purchases to Obtain FirearmsRead the Press Release
CAMDEN, N.J. – A Cumberland County, New Jersey, man with a prior felony conviction today admitted participating in straw purchases to obtain firearms that he was not permitted to purchase, Acting U.S. Attorney Rachael A. Honig announced.
Darick Nollett, 32, of Heislerville, New Jersey, pleaded guilty by videoconference before U.S. District Judge Michael A. Shipp to an information charging him with one count of aiding and abetting the making of a false statement during the purchase of a firearm.
According to documents filed in this case and statements made in court:
Nollett was not legally permitted to purchase firearms because of a 2015 felony conviction. In 2018 and 2019, Nollett caused other individuals to purchase five firearms for him. These individuals falsely stated on U.S. Department of Justice, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Firearm Transaction Records that they were the actual buyer/transferee of the firearm when, in fact, Nollett was the actual buyer/transferee. In 2020, Nollett ordered “fuel filters” from China that he intended to modify and use as firearms silencers. Law enforcement officers executing a court-authorized search warrant of Nollett’s residence in May 2020 recovered more than 30 firearms, as well as ammunition and firearm accessories. Nollett will surrender these firearms, ammunition, and accessories as a result of today’s guilty plea.
The charge of aiding and abetting the making of a false statement during the purchase of a firearm carries a maximum penalty of five years in prison and a $250,000 fine. Sentencing is scheduled for April 5, 2022.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark;special agents of the ATF Newark Field Division, under the direction of Special Agent in Charge Jeffrey L. Matthews; postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Inspector in Charge Damon E. Wood; officers of the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; and the Cumberland County Prosecutor’s Office, under the direction of Prosecutor Jennifer Webb-McRae, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.
Actions at a Bonfire Result in Arapahoe Man Pleading Guilty to Reckless AssaultRead the Press Release
United States Attorney Bob Murray announced today that BRIAN LUKE WILLIAMS, 20, of Arapahoe Wyoming, pleaded guilty to two counts of assault resulting in serious bodily injury. The change of plea hearing was held on November 19, 2021 in front of Chief United States District Judge Scott W. Skavdahl who set sentencing for February 9, 2022.
The charges stem from a March 13, 2021 incident where Williams was driving a truck in a reckless manner, while intoxicated, in a field at a bonfire party on the Wind River Indian Reservation attended by several of Williams’ friends. Williams lost control of the truck and knocked the victims into the fire, severely burning them. Williams transported one of the victims to the Riverton, Wyoming emergency room. The other victim was transported to the emergency room by another person at the party. Williams remained at the hospital for several hours and called the victims’ family to report the incident.
Each count carries a sentence of up to 10 years imprisonment, up to three years supervised release, up to a $250,000 fine and a $100 special assessment.
The case was investigated by officers from the Bureau of Indian Affairs. Assistant United States Timothy W. Gist prosecuted the case.
Case number: 21-cr-00081-SWS
20-Year-Old Sentenced to Nine Years in Federal Prison for CarjackingRead the Press Release
Memphis, TN – Marcus Burton, 20, has been sentenced to 117 months in federal prison for carjacking and brandishing a firearm during a crime of violence. Acting U.S. Attorney Joseph C. Murphy Jr., announced the sentence today.
According to information presented in court, on November 15, 2020, at approximately 2:30 a.m., officers from the Memphis Police Department responded to a carjacking at Western Park Drive and Deerland Street. The victim informed the officers that while parking his vehicle, a brown 2014 Mercedes-Benz E350, he was confronted by an individual armed with a silver handgun. Burton pointed the handgun at the back of the victim’s head and demanded everything he had. He then took the keys to the Mercedes Benz and drove away in the victim's vehicle.
Several hours later, as the victim and his friends searched for his stolen vehicle, they located the car and immediately notified law enforcement. On November 15, 2020, Memphis Police officers recovered the carjacked vehicle, unoccupied. The victim positively identified Burton, on November 17, 2020, as the person responsible for the carjacking.
Burton pled guilty to the carjacking and brandishing a firearm on August 20, 2021.
On November 22, 2021, U.S. District Judge Sheryl L. Lipman sentenced Burton to 117 months imprisonment to be followed by three years of supervised release. There is no parole in the federal system.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Memphis Police Department investigated this case.
Assistant U.S. Attorney Wendy K. Cornejo and SAUSA Samuel D. Winnig prosecuted this case on behalf of the government. SAUSA Winnig is currently assigned from the Shelby County District Attorney General’s Office for prosecuting violent crimes and firearms offenses in federal court.
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11 Individuals Charged in a Scheme to “Straw Purchase” FirearmsRead the Press Release
BIRMINGHAM, Ala. – Eleven individuals have been indicted on charges involving straw purchasing of firearms, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Explosives, and Firearms Special Agent in Charge Mickey French.
According to the 14-count indictment filed in U.S. District Court, between September 2020 and December 2020, multiple handguns were purchased by straw purchasers from licensed firearms dealers located in Tuscaloosa County.
Adrian Benito Carter, 26, of Tuscaloosa, is charged in 13 counts with offenses of being a felon possession of a firearm, engaging in the business of selling firearms without a license, making a false statement for federal firearm licensee records, and making a false statement during the purchase of a firearm.
Chasitychampayle La’Shay Bell, 23, of Tuscaloosa, and April Nicole Knox, 30, of Tuscaloosa, are charged with making a false statement during the purchase of a firearm.
Rikela Denise Chandler, 23, of Tuscaloosa, and Laquetta Venea Hall, 40, of Tuscaloosa, are charged with making a false statement for federal firearm licensee records.
Timothy Neal Coleman, 28, of Tuscaloosa, and Aaron Tyrone Taylor, 23, of Tuscaloosa, are charged with making a false statement during the purchase of a firearm.
Christopher Jermaine Dean, 33, of Cottondale, Tyler Allen Neal, 23, of Tuscaloosa, and La’darrius Deshon Whitehead, 25, of Tuscaloosa, are charged with making a false statement for federal firearm licensee records and making a false statement during the purchase of a firearm.
Darron Deshone Taylor, Jr, 25, of Tuscaloosa, is charged with being a felon possession of a firearm and making a false statement during the purchase of a firearm.
The maximum penalty for being a felon in possession of a firearm and giving a false statement during the purchase of a firearm is 10 years in prison.
The maximum penalty for engaging in the business of selling firearms without a license and making a false statement for federal firearm licensee records is five years in prison.
This case is a 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.
The Alcohol, Tobacco, Firearms and Explosives’ campaign "Don’t Lie for the Other Guy" is a part of PSN aimed at reducing firearm “straw purchases”, the illegal purchase of a firearm by one person for another, and to educate would-be straw purchasers of the penalties of knowingly participating in an illegal firearm purchase. More information about the campaign can be found at: www.dontlie.org.
The ATF investigated the case. Assistant U.S. Attorney Brittney Plyler is prosecuting the case.
An indictment contains only charges. A defendant is presumed innocent unless and until proven guilty.
Friday 26 November 2021
Wentworth Man Charged with Ceceipt and Distribution of Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Wentworth, South Dakota, man has been indicted by a federal grand jury for Receipt and Distribution of Child Pornography.
Jordan Charles Opdahl, age 29, was indicted on November 9, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on November 24, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about October 20, 2020, Opdahl knowingly received and distributed, and attempted to receive and distribute, child pornography that had been mailed, shipped, and transported in or affecting interstate or foreign commerce by any means, including by computer.
The charge is merely an accusation and Opdahl is presumed innocent until and unless proven guilty.
The investigation is being conducted by Homeland Security Investigations, Madison Police Department, and Division of Criminal Investigation. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Opdahl was released on bond pending trial. A trial date has not been set.
Michael F. Easley, Jr. Sworn in as United States AttorneyRead the Press Release
RALEIGH, N.C. – Michael F. Easley, Jr. has taken the oath of office to become the United States Attorney for the Eastern District of North Carolina. Mr. Easley was nominated by President Joseph R. Biden Jr on September 28, 2021 and confirmed by the United States Senate on November 19, 2021. He took the oath of office from United States District Judge James C. Dever III.
Mr. Easley stated, “It is an honor and a privilege to serve the people of the Eastern District of North Carolina as United States Attorney. I am grateful to President Biden for this opportunity, and I want to thank Senators Richard Burr and Thom Tillis for their strong support through the confirmation process.”
As U.S. Attorney, Mr. Easley is the top-ranking federal law enforcement official in the Eastern District of North Carolina, which includes the 44 eastern most counties of North Carolina. He oversees a staff of 119 employees, including 58 attorneys and 61 non-attorney support personnel. The office is responsible for prosecuting federal crimes in the district, including crimes related to terrorism, public corruption, child exploitation, firearms, and narcotics. The office also defends the United States in civil cases and collects debts owed to the United States.
Mr. Easley was a partner in McGuire Woods LLP prior to his appointment and was a litigator focused on internal investigations and trial court work in state and federal courts. He represented businesses and individuals in complex, high-stakes civil, criminal, and regulatory matters. He has handled matters involving a wide range of topics, including criminal law, environmental, consumer protection, business torts, professional negligence, government contracting, as well as matters involving financial services and securities.
In addition to his practice in the courts, he has advised clients facing inquiries by the United States Department of Justice, North Carolina Ethics Commission, and matters before other governmental regulatory bodies.
Born in Southport, North Carolina, Mr. Easley attended the University of North Carolina where he graduated with honors and distinction in political science. He later received his law degree with honors from the University of North Carolina School of Law. While still in law school, Mr. Easley frequently prosecuted cases on behalf of the District Attorney’s office as an extern in the 10th Judicial District.
In addition to his work at McGuireWoods, Mr. Easley contributed time to various bar and community organizations. He served as a member of the Board of Visitors of the University of North Carolina. He was also a member of the Criminal Justice Section Council and the Integration, Equity & Equal Justice Task Force of the North Carolina Bar Association. Mr. Easley also served as a mentor in the Leadership Council on Legal Diversity’s Success in Law School Mentoring Program.
Florida Woman Pleads Guilty to Possessing with Intent to Distribute over 6 Kilos of Marijuana on Flight from Miami to St. CroixRead the Press Release
St. Croix, USVI – United States Attorney Gretchen C.F. Shappert announced today that Yvette Simeina, 40, a resident of Orlando, Florida, pleaded guilty in federal court to possession with intent to distribute approximately 6 kilograms of marijuana.
According to court documents, on February 23, 2021, the defendant, Yvette Simeina flew into St. Croix on American Airlines flight #382 from Miami, Florida. Upon her arrival, the defendant’s luggage was selected for physical inspection after an anomaly was detected while the luggage was examined utilizing an x-ray machine. The physical hand search of the defendant’s luggage revealed three wooden boxes, inside of which were several clear vacuum-sealed bags with a green leafy substance, which later field-tested positive for marijuana, a Schedule I controlled substance. The total weight of the marijuana seized from the defendant’s luggage was 6.63 kilograms.
Simeina faces up to 5 years imprisonment. A sentencing date of March 22, 2022 has been set by the Court.
This case is being investigated by Homeland Security Investigations and U.S. Customs and Border Patrol and is being prosecuted by Assistant United States Attorney Evan Rikhye.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Activity in the United States Attorney's OfficeRead the Press Release
Chief Federal District Court Judge Scott W. Skavdahl sentenced TIFFANY DAWN HAVNER, 39, of Cheyenne, Wyoming for possession with intent to distribute methamphetamine. Havner was arrested in Cheyenne, Wyoming on March 8, 2021. She received 36 months of imprisonment, to be followed by 36 months of supervised release, and ordered to pay $500 in restitution and a $100 special assessment. Laramie County Sheriff’s Office investigated the case, and it was prosecuted by Assistant United States Attorney Jonathan C. Coppom.
United States District Court Judge Alan B. Johnson sentenced ALEXZANDER NICHOLAS DE LEON, 28, of Fresno, California for possession with intent to distribute methamphetamine and carrying a firearm during and relation to a drug trafficking crime. He received 60 months to count one and 60 months to count 2, to be served consecutively, followed by eight years of supervised release. DeLeon was also ordered to pay $500 community restitution and a $200 special assessment. The case was investigated by the Bureau of Alcohol, Tobacco, and Firearms and prosecuted by Assistant United States Attorney Timothy J. Forwood.
United States District Court Judge Alan B. Johnson sentenced IAN ARBEE BATARA MOLINA, 27, of Livermore for possession with intent to distribute methamphetamine. Molina was arrested in Campbell County, Wyoming. He received 60 months of imprisonment, to be followed by five years of supervised release, and ordered to pay a $100.00 special assessment. The Campbell County Sheriff’s Office and Wyoming Division of Criminal Investigation investigated this case. It was prosecuted by Assistant United States Attorney Jonathan C. Coppom.
Wednesday 24 November 2021
Waterloo Man Sentenced to Nearly Ten Years in Prison After Being Found with a Loaded Gun While Passed OutRead the Press Release
A Waterloo, Iowa, man, who unlawfully possessed three firearms, was sentenced on November 23, 2021, to over nine years in federal prison.
Adnan Alibegic, age 28, from Waterloo, Iowa, received the prison sentence after a June 22, 2021 guilty plea to possession of a firearm by a felon.
Evidence at the plea and sentencing hearings showed that in October 2020, Alibegic was found passed out in his vehicle at a gas station in Waterloo. While emergency personnel assisted him, police officers located a loaded, stolen firearm next to him. They also located a pill bottle containing methamphetamine, fentanyl, and alprazolam. Officers searched Alibegic’s home and located two additional firearms. Alibegic’s DNA was found on all three guns.
Alibegic has a lengthy criminal history. In 2018, he was convicted of intimidation with a dangerous weapon after he shot a gun at a group of individuals. One of the rounds struck a residence and passed through a living room where children were present. Alibegic also has a conviction for conspiracy to commit a forcible felony.
Alibegic was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Alibegic was sentenced to 110 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term and pay a $100 special assessment fee. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Ashley Corkery. This case was brought as part of Project Safe Neighborhoods (PSN) through a cooperative effort of the Waterloo Police Department, the FBI Safe Streets Task Force, and the Bureau of Alcohol, Tobacco, Firearms & Explosives. 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.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2019.
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U.S. Attorney Files Civil Fraud Lawsuit Against Non-Profit and Settles Fraud Claims Against Its Founder for Inflating Medicaid Reimbursements by Falsely Reporting Millions in CostsRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Scott Lampert, the Special Agent in Charge of the New York Office of the U.S. Department of Health and Human Services, Office of Inspector General (“HHS-OIG”), announced today that the United States has filed a civil fraud lawsuit against Maranatha Human Services, Inc. (“MARANATHA”) and HENRY ALFONSO COLEY (“COLEY”) for falsely claiming that millions of dollars expended to benefit for-profit ventures owned and controlled by COLEY and MARANATHA, as well as payments to cover COLEY’s personal costs and excessive payments to COLEY’s family members, were reasonable and necessary costs in connection with MARANATHA’s provision of Medicaid-funded services to individuals with developmental disabilities. MARANATHA is a non-profit organization based in Poughkeepsie, New York; COLEY founded MARANATHA in 1988 and served as its chief executive officer until earlier this year.
Specifically, the Government’s complaint alleges that, with its board’s approval, MARANATHA funded for-profit companies operated by COLEY; paid excessive salaries and consulting fees to COLEY’s family members, often in exchange for little to no work; and paid for tens of thousands of dollars of COLEY’s personal expenses. The Government further alleges that, from 2010 to 2019, COLEY and MARANATHA submitted to the State of New York cost reports that falsely claimed millions of dollars in these expenses as “allowable” costs, which fraudulently inflated MARANATHA’s Medicaid reimbursement rates and resulted in MARANATHA receiving millions of dollars in Medicaid funds to which it was not entitled.
Simultaneous with the filing of the lawsuit, the United States has resolved its claims against COLEY through a settlement approved by U.S. District Judge Kenneth M. Karas. Pursuant to the settlement, COLEY will pay $88,000 to the United States and has admitted and accepted responsibility for conduct alleged by the Government in its complaint as further described below. COLEY has also agreed to pay $132,000 to the State of New York to resolve the State’s claims, for a total recovery of $220,000. The settlement amount is based on the Office’s assessment of COLEY’s ability to pay based on the financial information he provided. COLEY also agreed never to work for or accept payments from any entity that receives funds from a federal healthcare program. In addition, COLEY entered into a Voluntary Exclusion Agreement with HHS-OIG, which prohibits him from participating in Medicaid and other federal healthcare programs for 15 years.
U.S. Attorney Damian Williams said: “For a decade, Henry Alfonso Coley and Maranatha defrauded Medicaid by submitting reports that fraudulently claimed as allowable expenses millions of dollars spent on for-profit companies owned by them, on excessive salaries and fees for Coley’s family members, and on Coley’s personal expenses. These expenses were not related to providing care or assistance to the individuals with developmental disabilities Maranatha was meant to serve. This Office will continue to hold entities and their executives accountable when they abuse our federal healthcare programs.”
HHS-OIG Special Agent in Charge Scott Lampert said: “Any threat to the financial health of Medicaid is a threat to the vulnerable people who depend upon it for critical services. We will continue to hold those who steal from federal health care programs accountable for their actions.”
According to the Government’s complaint, from 2010 through 2019:
MARANATHA was required to submit cost reports, called Consolidated Financial Reports (“CFRs”), to the State of New York each year, specifying the reasonable and necessary costs MARANATHA incurred in providing services for its Medicaid-funded programs. These costs were to be reported as “allowable” costs. MARANATHA was required separately to report its other, “non-allowable” costs; “non-allowable” costs include costs unrelated to its Medicaid-funded programs, as well as any unreasonable or unnecessary costs.
With its board’s approval, MARANATHA funded for-profit companies operated by COLEY and owned by COLEY or MARANATHA, as well as various unincorporated pet projects started by COLEY. One of the chief purposes of these ventures was to serve as vehicles to funnel money to COLEY’s daughter, as well as others associated with COLEY, whom MARANATHA paid for work they purportedly did to support these ventures and projects. Over the course of a decade, not one of these ventures ever launched a product or service or earned a single dollar in revenue. COLEY and MARANATHA hired COLEY’s family members as employees and consultants, some in connection with these for-profit ventures, and others in connection with MARANATHA’s Medicaid-funded services. COLEY and MARANATHA paid excessive salaries and consulting fees to COLEY’s family members, often in return for little to no work. MARANATHA also paid for tens of thousands of dollars of COLEY’s personal expenses, including more than $34,000 for personal training sessions at a gym.
COLEY and MARANATHA knowingly submitted CFRs annually to the State of New York fraudulently reporting these expenses – totaling millions of dollars – as “allowable” costs. On each CFR, COLEY falsely certified to the completeness and accuracy of the report. COLEY and MARANATHA knew that the State of New York relied on providers’ CFRs when setting provider-specific reimbursement rates for certain Medicaid-funded programs, including MARANATHA’s largest Medicaid-funded program. As a result of COLEY’s and MARANATHA’s falsely inflated cost reports, the State of New York awarded MARANATHA a higher reimbursement rate and MARANATHA received millions of dollars in Medicaid funds to which it was not entitled.
COLEY has settled the claims against him in the Government’s complaint. As part of the settlement, COLEY admits, acknowledges, and accepts responsibility for the following conduct:
- COLEY made a presentation to MARANATHA’s board of directors acknowledging that “[i]t was always the plan for Maranatha to use government funds as a launching pad to create private enterprise that would enable it to not be dependent on government while at the same time fulfilling its function” consistent with its mission.
- COLEY was familiar with the requirement that MARANATHA distinguish “allowable costs” from “non-allowable costs” in its CFRs.
- COLEY knew that the CFRs are used by the New York State Department of Health to determine MARANTHA’s reimbursement rates for the provision of Medicaid services.
- In each CFR that MARANATHA submitted since 2010, COLEY certified that the (i) the “information furnished in this report . . . is in accordance with the instructions and is true and correct to the best of my knowledge”; and (ii) the statement attached to the CFR “fully and accurately represents all reportable income and expenditures made for services performed in accordance with the provision of the Mental Hygiene Law and approved budgets.”
- COLEY signed the certifications set out above in CFRs that reported as “allowable costs” amounts expended not for MARANTHA’s provision of Medicaid services but instead to pursue certain for-profit business ventures.
- In particular, MARANATHA submitted CFRs reporting as “allowable costs” costs expended to benefit certain entities owned and/or operated by COLEY and/or MARANATHA that did not provide Medicaid-funded services (the “Non-Medicaid Ventures”).
- MARANATHA paid certain employees and contractors, including COLEY’s family members, to perform work related to the Non-Medicaid Ventures. For example, since 2010, MARANATHA paid COLEY’s daughter more than $300,000. Though much of her time was spent on work related to the Non-Medicaid Ventures, COLEY and MARANATHA reported her full compensation as an “allowable cost” in the CFRs.
- Since 2010, COLEY received more than $2 million from MARANATHA in salary and benefits, and MARANTHA claimed the full amount of his compensation as “allowable costs” on its CFRs. However, COLEY devoted much of his to time to working on the Non-Medicaid Ventures.
In connection with the filing of the lawsuit and settlement, the United States joined a private whistleblower lawsuit that had previously been filed under seal pursuant to the False Claims Act.
Mr. Williams praised the outstanding investigative work of the HHS-OIG, and he thanked the Medicaid Fraud Control Unit at the New York State Attorney General’s Office for its extensive collaboration in the investigation.
The case is being handled by the Office’s Civil Frauds Unit. Assistant U.S. Attorney Jacob Lillywhite is in charge of the case.
Two Orange County Men Charged with Drug Trafficking in Criminal ComplaintRead the Press Release
Greensboro, NC – Two Orange County men were arrested on Thursday, November 17, 2021, for possession of eight kilograms of cocaine.
According to court documents, Epifanio Martinez Rodriguez (40) and Felipe Carranza Rivera (30), both Mexican citizens residing in the United States illegally, were arrested after a Confidential Source (CS) working with the Orange County Sheriff’s Office participated in a controlled purchase of eight kilograms of cocaine on November 17, 2021. Investigators agreed to meet the suspects in Mebane after the CS communicated with Rodriguez and Rivera on social media about purchasing cocaine.
Rodriguez and Rivera are each charged with one count of conspiracy to distribute cocaine and one count of possession with intent to distribute cocaine. If convicted, they each face a mandatory minimum of ten years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Orange County Sheriff’s Office, with the Drug Enforcement Administration, are investigating the case. U.S. Attorney Sandra Hairston of the Middle District of North Carolina made the announcement, and Assistant U.S. Attorney Michael A. DeFranco is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Two MS-13 Leaders Convicted of Racketeering Conspiracy and Conspiring to Commit Multiple MurdersRead the Press Release
Greenbelt, Maryland – A federal jury convicted El Salvadorian nationals Junior Noe Alvarado-Requeno, a/k/a “Insolente” and “Trankilo,” age 24, of Landover, Maryland, and Miguel Angel Corea Diaz, a/k/a “Reaper,” age 41, of Long Branch, New Jersey yesterday for conspiring to participate in La Mara Salvatrucha, a transnational criminal enterprise also known as MS-13. Alvarado-Requeno was also convicted of three counts each of murder in aid of racketeering and conspiracy to commit murder in aid of racketeering and conspiracy to possess with intent to distribute marijuana and cocaine. Corea Diaz was also convicted of one count each of conspiracy to commit murder in aid of racketeering and murder in aid of racketeering; conspiracy to possess with intent to distribute marijuana, cocaine, and heroin; and possession with intent to distribute heroin.
The convictions were announced by United States Attorney for the District of Maryland Erek L. Barron; Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division; Acting Nassau County District Attorney Joyce A. Smith; Assistant Director in Charge Steven M. D'Antuono, of the FBI Washington Field Office; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore Office; Administrator Anne Milgram of the Drug Enforcement Administration; Chief Malik Aziz of the Prince George’s County Police Department; Chief Marcus Jones of the Montgomery County Police Department; and Bedford County (VA) Sheriff Michael W. Miller.
“The brutal and tragic violence perpetrated by these MS-13 members and their fellow gang is totally unacceptable. The U.S. Attorney’s Office in Maryland and our local and state partners are working together to remove these violent gang members to keep our communities safe from the threat of MS-13,” said U.S. Attorney Erek L. Barron. “We will continue to work to bring to justice these transnational gangs, but we need the continued help of members of our communities in order to carry on our work against MS-13.”
“MS-13 terrorizes communities across the western hemisphere using fear, violence, and intimidation,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “MS-13 exploits undocumented people and those communities that may not have easy access to law enforcement. This prosecution demonstrates the Department of Justice’s commitment to dismantling this criminal organization and protecting all people.”
Acting Nassau County District Attorney Joyce A. Smith said, “This verdict has brought justice to the many victims – named and unnamed, individuals and immigrant communities in the eastern United States – that have been terrorized by MS-13. Miguel Angel Corea Diaz’ reign of terror is over. I am proud of the contribution my office has made to our federal partner’s efforts through our 22-agency partnership and wiretap investigation that revealed Corea Diaz as a regional director of this brutal, transnational gang. We are truly safer today and I thank the U.S. Attorney’s Office in Maryland and the U.S. Department of Justice for securing a conviction against these dangerous defendants.”
“This investigation is an example of the dedication and hard work of not only the FBI, but also the Northern Virginia Safe Streets/HIDTA task force, and all our partners who work each day to fight the crime and violence that terrorize communities,” said Steven M. D'Antuono, Assistant Director in Charge of the FBI Washington Field Office. “The FBI will continue to take steps to aggressively target and pursue leaders of transnational criminal gangs like MS-13, who have been involved in scores of criminal activity. These criminal acts, such as racketeering, murder, extortion, drug trafficking, money laundering, and witness tampering will not be tolerated, and these two guilty verdicts are clear examples of law enforcement’s resolve to eradicate these violent gangs.”
“This verdict not only deals a crippling blow for MS-13 operating on the east coast, it also represents a victory for the citizens terrorized by MS-13,” said Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore. “The partnership of HSI, FBI, DEA, Montgomery County Police, Prince George’s County Police and Bedford County Sheriff’s Office makes for a strong team, and other criminal elements operating in the area should take notice; we will come after them as well.”
“Criminal organizations, drugs, and violence are inextricably linked,” said Administrator Anne Milgram of the Drug Enforcement Administration. “There is no better example than MS-13, which is notorious for its ruthless tactics to further its criminal activities. Today’s convictions will prevent these MS-13 leaders from inflicting brutality on our communities. DEA is committed to the tireless interagency and international efforts to remove the malignant presence of drug trafficking organizations and safeguard the health and well-being of Americans.”
MS-13 is a transnational gang composed primarily of immigrants or descendants from El Salvador. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Frederick County, Anne Arundel County, Prince George’s County, and Montgomery County, Maryland.
According to the evidence presented at the four-week trial, between 2015 and 2018, Alvarado-Requeno and Corea Diaz controlled and operated the Sailors Locos Salvatruchos Westside (S.L.S.W. or “Sailors”) Clique through a pattern of racketeering activity, which included murder, extortion, drug trafficking, money laundering, and witness tampering. Evidence showed that the gang ran a protection scheme in and around its home base in Langley Park, Maryland, and extorted local businesses by charging them “rent” for the privilege of operating in MS-13 “territory.” The gang also trafficked in illegal drugs, including marijuana, heroin, and cocaine. A large share of the proceeds of the gang’s illegal activities were sent to gang leadership in El Salvador to further promote the goals of the gang, using structured transactions and intermediaries to avoid law enforcement scrutiny.
The Sailors Clique committed acts of violence against suspected rival gang members, as well as against its own membership for breaking gang rules. In June 2016, Alvarado-Requeno ordered members of the Sailors Clique to murder a suspected rival in the woods at Malcolm King Park in Gaithersburg. Luring him with the promise of sex with a female MS-13 associate, the gang members ambushed the teenaged victim and stabbed him 153 times. In fact, the victim did not belong to any gang.
In March 2017, a member of the Sailors Clique who was hiding from law enforcement in the Lynchburg, Virginia area had a dispute with a local high school student over marijuana. In response, Alvarado-Requeno and Corea-Diaz organized a squad of MS-13 members to drive down to Lynchburg and murder the high schooler. The gang members kidnapped the student from his front lawn and cut his hand off before killing him. After the murder, the Alvarado-Requeno and Corea Diaz helped to hide and protect the killers who escaped the scene from law enforcement.
Among the most important rules of MS-13 is the prohibition against talking to law enforcement, embodied by the maxim ver, oir, y callar – see, hear, and say nothing. The gang enforced this rule by placing a “green light” – an order to kill – on any member of MS-13 who was thought to be informing on the gang. In December 2016, Alvarado-Requeno directed and participated in the murder of a 14-year-old member of MS-13 who was suspected of talking to the police. The boy’s remains were discovered eighteen months later in the woods outside of Germantown, Maryland.
The jury made special findings beyond a reasonable doubt that as part of the racketeering conspiracy Alvarado-Requeno murdered two other individuals and as part of the racketeering conspiracy Correa Diaz conspired to murder a third person.
Alvarado-Requeno and Corea-Diaz each face mandatory sentences of life imprisonment. U.S. District Judge Paula Xinis has not yet scheduled sentencing.
Anyone with information about MS-13 is encouraged to provide their tips to law enforcement. The FBI and Homeland Security Investigations both have nationwide tiplines that you can call to report what you know. You can reach the FBI at 1-866-STP-MS13 (1-866-787-6713), or you can call HSI at 1-866-DHS-2-ICE.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron and Assistant Attorney General Kenneth A. Polite commended the Nassau County District Attorney’s Office, the FBI, HSI, the DEA Washington and Buffalo Field Divisions, the Prince George’s County Police Department, the Montgomery County Police Department, and the Bedford County Sherriff’s Office for their work in the investigation and prosecution. Mr. Barron and Mr. Polite thanked Assistant U.S. Attorney Timothy Hagan, and Trial Attorneys Julie Finocchiaro and Alexander Gottfried of the Justice Department’s Organized Crime and Gang Section, who are prosecuting the case.
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Two MS-13 Leaders Convicted of Racketeering Conspiracy and Conspiring to Commit Multiple MurdersRead the Press Release
Yesterday, a federal jury in Maryland convicted two El Salvadorian nationals for conspiring to participate in La Mara Salvatrucha, a transnational criminal enterprise, commonly known as MS-13.
Junior Noe Alvarado-Requeno, aka Insolente, aka Trankilo, 25, and Miguel Angel Corea Diaz, aka Reaper, 39, were convicted of multiple racketeering-related offenses. Alverado-Requeno and Corea-Diaz were both convicted on racketeering conspiracy, conspiracy to commit murder in aid of racketeering, murder in aid of racketeering, and conspiracy to distribute controlled substances.
“MS-13 terrorizes communities across the western hemisphere using fear, violence, and intimidation,” said Assistant Attorney General Kenneth A. Polite, Jr. of the Justice Department’s Criminal Division. “MS-13 exploits undocumented people and those communities that may not have easy access to law enforcement. This prosecution demonstrates the Department of Justice’s commitment to dismantling this criminal organization and protecting all people.”
“The brutal and tragic violence perpetrated by these MS-13 members and their fellow gang is totally unacceptable,” said U.S. Attorney Erek L. Barron for the District of Maryland. “The U.S. Attorney’s Office in Maryland and our local and state partners are working together to remove these violent gang members to keep our communities safe from the threat of MS-13. We will continue to work to bring to justice these transnational gangs, but we need the continued help of members of our communities in order to carry on our work against MS-13.”
“This investigation is an example of the dedication and hard work of not only the FBI, but also the Northern Virginia Safe Streets/HIDTA task force, and all our partners who work each day to fight the crime and violence that terrorize communities,” said Assistant Director in Charge Steven M. D'Antuono of the FBI’s Washington Field Office. “The FBI will continue to take steps to aggressively target and pursue leaders of transnational criminal gangs like MS-13, who have been involved in scores of criminal activity. These criminal acts, such as racketeering, murder, extortion, drug trafficking, money laundering, and witness tampering will not be tolerated, and these two guilty verdicts are clear examples of law enforcement’s resolve to eradicate these violent gangs.”
“This verdict not only deals a crippling blow for MS-13 operating on the east coast, it also represents a victory for the citizens terrorized by MS-13,” said Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore. “The partnership of HSI, FBI, DEA, Montgomery County Police, Prince George’s County Police and Bedford County Sheriff’s Office makes for a strong team, and other criminal elements operating in the area should take notice; we will come after them as well.”
“Criminal organizations, drugs, and violence are inextricably linked,” said Administrator Anne Milgram of the Drug Enforcement Administration. “There is no better example than MS-13, which is notorious for its ruthless tactics to further its criminal activities. Today’s convictions will prevent these MS-13 leaders from inflicting brutality on our communities. DEA is committed to the tireless interagency and international efforts to remove the malignant presence of drug trafficking organizations and safeguard the health and well-being of Americans.”
According to court documents, MS-13 is organized into a series of sub-units or “cliques” that operate in specific geographic locations, and each clique is typically controlled by a single leader, sometimes known as the “First Word.” Alvarado-Requeno and Corea Diaz were both leaders of the Sailors clique. Corea Diaz held the title of Primera Palabra, or “First Word,” for the entire east coast. Alvarado-Requeno was the First Word of the Sailors for the Sailors in Maryland.
According to evidence presented at the four-week trial, between 2015 and 2018, the defendants controlled and operated the Sailors Locos Salvatruchos Westside (SLSW or Sailors) through a pattern of racketeering activity, including murder, extortion, drug trafficking, money laundering, and witness tampering. Evidence showed that the gang ran a protection scheme in and around its home base in Langley Park, Maryland, and extorted local businesses by charging them “rent” for the privilege of operating in MS-13 “territory.” The gang also trafficked in illegal drugs, including marijuana, heroin, and cocaine. A large share of the proceeds of the gang’s illegal activities were sent to gang leadership in El Salvador to further promote the illicit activities of the gang, using structured transactions and intermediaries to avoid law enforcement scrutiny.
The Sailors Clique committed acts of violence against suspected rival gang members, as well as its own membership for breaking gang rules. In June 2016, Alvarado-Requeno ordered members of the Sailors Clique to murder a suspected rival in the woods at Malcolm King Park in Gaithersburg. Luring him with the promise of sex with a female MS-13 associate, the gang members ambushed the teenaged victim and stabbed him 153 times. In fact, the victim did not belong to any gang.
In March 2017, a member of the Sailors Clique who was hiding from law enforcement in the Lynchburg, Virginia, area had a dispute with a local high school student over marijuana. In response, Alvarado-Requeno and Corea-Diaz commanded a squad of MS-13 members to drive down to Lynchburg and murder this high school student. The gang members kidnapped the student from his front lawn and cut his hand off before killing him. After the murder, the defendants helped to hide and protect the killers from law enforcement.
Among the most important rules of MS-13 is the prohibition against talking to law enforcement, embodied by the maxim ver, oir, y callar – see, hear, and say nothing. The gang enforced this rule by placing a “green light” – an order to kill – on any member of MS-13 who was thought to be informing on the gang. In December 2016, Alvarado-Requeno directed and participated in the murder of a 14-year-old member of MS-13 who was suspected of talking to the police. The boy’s remains were discovered eighteen months later in the woods outside of Germantown, Maryland.
The jury made special findings beyond a reasonable doubt that as part of the racketeering conspiracy, Alvarado-Requeno murdered two other individuals and, as part of the racketeering conspiracy, Correa Diaz conspired to murder a third person.
Alvarado-Requeno was convicted of three counts each of murder in aid of racketeering and conspiracy to commit murder in aid of racketeering and conspiracy to possess with intent to distribute marijuana and cocaine. Corea Diaz was convicted of one count each of conspiracy to commit murder in aid of racketeering and murder in aid of racketeering; conspiracy to possess with intent to distribute marijuana, cocaine, and heroin; and possession with intent to distribute heroin. Alvarado-Requeno and Corea-Diaz each face mandatory sentences of life imprisonment.
The FBI’s Washington Field Office, HSI Baltimore, the DEA’s New York Field Division and Baltimore District Office, Prince George’s County Police Department, Montgomery County Police Department, and Bedford County Sherriff’s Office investigated the case. Nassau County District Attorney’s Office provided valuable assistance.
Trial Attorneys Julie Finocchiaro and Alexander Gottfried of the Justice Department’s Organized Crime and Gang Section and Assistant U.S. Attorney Timothy Hagan of the U.S. Attorney’s Office for the District of Maryland are prosecuting the case.
Twice-Convicted Sex Offender Sentenced to 40 Years for Creating and Trafficking in Images and Videos of Child Sexual AbuseRead the Press Release
INDIANAPOLIS – An Indianapolis man was sentenced to 40 years in federal prison for sexually exploiting a Michigan teen and trafficking in child sexual abuse images and videos. He was previously convicted in state court of sexually abusing children and possessing images of child sexual abuse.
In 2020, investigators uncovered that Charles Piel, 24, had been sending and receiving images and videos of child sexual abuse over the internet, including sending such material to a minor child in Florida in 2019. Following his arrest, investigators further examined his electronic devices and online accounts and found other sexually explicit communications with a child in Michigan. The investigation showed that in September of 2020, Piel traveled to Michigan to engage in sexual conduct with the child, and that Piel made recordings of the conduct. Investigators found that after this, Piel continued to communicate with the child, and eventually created additional recordings of the child engaged in sexually explicit conduct over video conferencing. Piel maintained all these recordings, along with a larger collection of child sexual abuse images and videos, until his arrest in October of 2020.
At the time he committed these crimes, Piel had already been twice convicted of child sexual abuse offenses. In 2017, Piel was convicted in Hendricks County, Indiana of Sexual Battery for his sexual contact with two minor boys. He was sentenced to a term of probation. In 2018, while on probation, Piel committed and was convicted in Marion County of Possession of Child Pornography. He was placed on Community Corrections Home Detention, which he violated, resulting in a stint in jail. Following his release, Piel began his sexually explicit communications with the minor in Florida and the conduct that led to this federal prosecution.
“Charles Piel is a habitual child predator who made a career out of sexually abusing and exploiting children,” said U.S. Attorney Zachary A. Myers. “I commend the work of the investigators and prosecutors who have taken this child predator out of our community and helped to bring justice to his young victims. This case is yet another example of the outstanding work of Indiana’s nationally-renowned Internet Crimes Against Children Task Force.”
In fiscal year 2019, the Southern District of Indiana was second out of the ninety-four federal districts in the number of child exploitation cases prosecuted.
“The world is a safer place without Mr. Piel on the streets. No longer will he be able to prey on some our most innocent residents. Thank you to the men and women of IMPD who work day after day to keep our streets safe,” said IMPD Police Chief Randal Taylor.
“Today’s sentencing illustrates the Secret Service’s commitment to investigate crimes involving the sexual exploitation of children through our liaison efforts with the National Center for Missing and Exploited Children and our close partnerships with our state, local and federal agencies,” said Eric K. Reed, Special Agent in Charge, Secret Service Indianapolis Field Office. “The Secret Service is proud to have partnered with the Indianapolis Metropolitan Police Department and the U.S. Attorney’s Office to bring this case to justice and protect our nation’s children from these most heinous crimes.”
This case was the result of an investigation by the Indianapolis Metropolitan Police Department and the United States Secret Service.
According to Assistant United States Attorney Kristina M. Korobov, who prosecuted the case, said Piel was ordered to pay $20,000 in restitution and will be federally supervised for a life term following his release from prison.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc
Troy Resident Charged with Distributing Child PornographyRead the Press Release
ALBANY, NEW YORK – Terence Ratigan, age 39, of Troy, New York, appeared in federal court yesterday on child pornography charges. The announcement was made by United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
A criminal complaint alleges that Ratigan distributed child pornography over the internet. The charge in the criminal complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
The charge against Ratigan carries a mandatory minimum sentence of 5 years and a maximum of 20 years in prison, a post-release term of supervision of between 5 years and life, and a fine of up to $250,000.
Ratigan made his initial appearance yesterday before United States Magistrate Judge Daniel J. Stewart. Ratigan requested to adjourn his detention hearing, set for today, to a later date. Ratigan will remain detained pending future hearings in this matter.
This case is being investigated by the FBI and its Child Exploitation Task Force, which includes members of federal, state and local law enforcement agencies, including the Rotterdam, Troy, and Colonie Police Departments and the New York State Police. The case is being prosecuted by Assistant U.S. Attorney Rachel Williams.
The case is prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Texas Vape Shop Owner Pleads Guilty to Unlawful Importation of Counterfeit Vaping ProductsRead the Press Release
A Texas vape shop owner pleaded guilty Tuesday to a felony charge relating to the importation of counterfeit vaping products, the Department of Justice announced. Muhammad Uzair Khalid (Uzair), 36, of Garland, Texas, pleaded guilty in the U.S. District Court for the Northern District of Texas to one count of trafficking in counterfeit goods, in violation of 18 U.S.C. § 2320(a)(1). Uzair admitted that, from October 2017 to November 2019, he intentionally and unlawfully imported counterfeit vaping-related items from China, including counterfeit vaping atomizers, labels, boxes and bags for vaping-related products.
Since August 2019, the Centers for Disease Control and Prevention (CDC), the Food and Drug Administration (FDA), state and local health departments and other clinical and public health partners have been investigating a 2019 to 2020 national outbreak of E-cigarette or Vaping Product Use-Associated Lung Injury (EVALI) that involved more than 1,000 reports of lung injuries — including some resulting in deaths — following the use of vaping products. As the public health investigation has continued, authorities have warned that the injuries may be linked to the use of vaping products containing Vitamin E acetate, as well as tetrahydrocannabinol (THC).
During a November 2019 search of a Texas vape shop owned by Uzair, Homeland Security Investigations (HSI) special agents seized counterfeit vaping-related items, as well as a machine used to fill vape cartridges, several items that tested positive for THC and an injector mechanism with an amber substance containing Vitamin E acetate.
In pleading guilty, Uzair admitted that he regularly communicated with Chinese manufacturers about the production and sale of counterfeit vaping products. In particular, Uzair consulted with Chinese manufacturers on methods to imitate the branding and logos of well-known American vape companies and imported and sold imitation vaping devices, labels and packaging. Uzair further admitted that he adopted and used those counterfeit marks to boost his sales. Uzair also sold numerous other counterfeit goods at his vape shop.
“The Department of Justice takes counterfeiting seriously,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “We will continue working with our law enforcement partners to take these products off the market.”
“Our investigation made clear that we needed to take swift action against counterfeit vaping-related items,” said U.S. Attorney Chad E. Meacham for the Northern District of Texas. “The Justice Department will not tolerate the importation of black-market goods.”
“HSI is committed to enforcing the nation’s intellectual property rights laws to help safeguard American consumers said Acting Special Agent in Charge Christopher Miller of HSI Dallas. “We strive to protect legitimate U.S. businesses from financial harm caused by criminal organizations that profit from trafficking in counterfeit goods, including counterfeit vaping products.”
U.S. Magistrate Judge Renee Harris Toliver took the defendant’s guilty plea in federal court in Dallas.
Assistant U.S. Attorney Phelesa M. Guy of the U.S. Attorney’s Office for the Northern District of Texas and Trial Attorneys Speare Hodges and Patrick Runkle of the Department of Justice Civil Division’s Consumer Protection Branch are prosecuting the case. This matter was primarily investigated by the U.S. Department of Homeland Security.
Roanoke Man Pleads Guilty to Murder in Aid of Racketeering and Conspiracy Charges, Faces Mandatory Life SentenceRead the Press Release
ROANOKE, Va. – A Roanoke man, Demonte Rashod Mack, 32, admitted today that he was a member of the Rollin’ 30s Crips and pleaded guilty to murder in aid of racketeering and conspiracy charges for gang-related violence throughout the City of Roanoke.
Mack and his alleged co-conspirators, Trayvone Kasey, Chauncey Levesy, and others were members and associates of the Rollin’ 30s Crips, which also called itself the “Dirt Gang.” The Rollin’ 30s Crips are a national street gang founded in the greater Los Angeles, California area with smaller sets in other cities throughout the United States. The Roanoke set of the Rollin’ 30s operated primarily in northwest Roanoke, centered in and around the Lansdowne neighborhood.
“Reducing violent crime through impactful prosecutions like that of the Rollin’ 30s is a priority of this United States Attorney’s Office,” United States Attorney Christopher R. Kavanaugh said today. “We will continue to partner with local, state, and federal law enforcement partners to ensure the cases we bring serve to make our communities safer.”
“Today's conviction demonstrates the FBI's commitment to working in conjunction with our partners to vigorously investigate and bring to justice those who commit violent crimes,” Special Agent in Charge Stanley M. Meador of the FBI’s Richmond Division said today.
Roanoke City Police Chief Sam Roman said, “This outcome is a great example of what happens when law enforcement has a successful partnership with the prosecutorial side of the justice system. Thanks to our partnerships with local, state, and federal law enforcement, Roanoke is a safer place. Our community is sending a strong message to those who choose to perpetuate gun violence and organized crime in our city: we will find you and do everything we can to hold you accountable for your actions.”
Mack admitted today that he, Kasey, Levesy, and others conspired to conduct a pattern of racketeering activity, including multiple threats and acts of violent crime.
Specifically, in June of 2017, Mack conspired with Kasey, Levesy, and others to murder “Victim D.F.” Court documents further allege that Mack and Kasey murdered “Victim N.L.” at the direction of a leader within the gang. Both D.F. and N.L. were members of the Rollin’ 30s gang, but fell out of favor with them in early summer of 2017.
N.L. was only seventeen years old when he was murdered and had graduated from high school just a few weeks earlier. He was still alive when police officers found him at the apartment complex, but died shortly thereafter. After the shooting, Mack and Levesy met up with other Rollin’ 30s gang members and reported everything that occurred to the gang’s leadership.
The investigation of the case was conducted by the City of Roanoke Police Department and the Federal Bureau of Investigation’s Violent Crimes Task Force. The investigation was a coordinated effort that also involved law enforcement assets from the Virginia State Police, the Roanoke County Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration.
Assistant U.S. Attorneys Matthew Miller, Coleman Adams, and Michael Baudinet are prosecuting the case.
This prosecution is part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develops 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.
Roanoke Man Arrested on Federal Gun Charges in Relation to 2019 Murder on Denniston AvenueRead the Press Release
ROANOKE, Va. – A Roanoke man, who was charged but later acquitted in state court of a May 2019 murder that took place on Denniston Avenue in the City of Roanoke, has been arrested on a federal criminal complaint out of the Western District of Virginia on federal firearms charges related to the same incident.
Demarcus Sahiquan Glenn, 23, was charged by state authorities with murder, attempted robbery and use of a firearm in commission of each of those crimes in relation to the May 2019 murder. At his trial, Glenn testified that he arrived at the location to engage in a drug transaction during which, according to Glenn, the victim pulled a gun on him. Glenn testified he pulled his own gun from his pocket and shot and killed the victim, T.P., who was 16 years old.
“It is a federal crime to use, carry, brandish, or discharge a firearm during and in furtherance of a drug transaction. My office is committed to playing a role with its federal, state, and local partners in addressing the gun violence in Roanoke,” United States Attorney Christopher R. Kavanaugh said today. “If you shoot and kill another person in the Western District of Virginia, the U.S. Attorney’s Office is going to follow the facts and the law and seek federal charges when appropriate.”
“The FBI is committed to working with the United States Attorney’s Office to address drug activity and violent crime in the Roanoke area,” Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division said today. “We will continue to work with our partners to vigorously investigate and hold accountable those who pose risks to our communities and encourage residents to immediately report incidents to local law enforcement or the FBI through tips.FBI.gov.”
Glenn was arrested yesterday and charged with using and carrying a firearm during a drug trafficking crime, possessing a firearm in furtherance of a drug trafficking crime, and brandishing and discharging said firearm. If convicted, Glenn faces a mandatory minimum of 10 years in prison and a maximum term of life imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Coleman Adams, Kristin B. Johnson and Matthew Miller are prosecuting the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders works together to identify the most pressing violent crime problems in the community and develops 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.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Readout of U.S.-Mexico Bilateral Law Enforcement MeetingRead the Press Release
Yesterday, U.S. Ambassador to Mexico Ken Salazar and the Department of Justice’s Office of International Affairs hosted a regional bilateral meeting in Tijuana, Mexico to discuss security cooperation matters. Specifically, the two delegations discussed deepening coordination on fighting human smuggling and firearms trafficking in the region.
The U.S. delegation was led by Ambassador Salazar and Deputy Assistant Attorney General and Counselor for International Affairs Bruce Swartz, and included Acting U.S. Attorney Randy Grossman for the Southern District of California and California Attorney General Rob Bonta, as well as representatives from the FBI; U.S. Drug Enforcement Administration; the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); Homeland Security Investigations; U.S. Customs and Border Protection, U.S. Border Patrol; the Justice Department’s Office of Overseas Prosecutorial Development, Assistance and Training (OPDAT) and the San Diego District Attorney’s Office.
The Mexican delegation, led by Undersecretary of Public Security Ricardo Mejia (SSPC), included representatives of the Mexican Prosecutor General’s Office (FGR), the Baja California Attorney General’s Office, the Army (SEDENA), the Navy, (SEMAR), the National Migration Institute (INAMI), National Intelligence Center (CNI), the National Guard, and the Foreign Ministry (SRE).
The two delegations discussed how they could build on and further strengthen existing coordination of enforcement efforts and information-sharing, in order to combat arms trafficking and human smuggling.
Both agreed to continue to identify, investigate, and prosecute individuals responsible for the illegal exportation of firearms that are ending up in the hands of violent cartels and criminal organizations.
The U.S. and Mexico law enforcement partners committed to enhanced information sharing and future coordination meetings.
Orange County, NY, Man Charged with Threatening A State Official and A Federal JudgeRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.-U.S. Attorney Trini E. Ross announced today that a federal grand jury has returned a two-count indictment charging Daniel DeGroat, 30, of Middletown, NY, with mailing threatening communications. The charge carries a maximum penalty of 10 years in prison, and a $250,000 fine.
Assistant U.S. Attorney Franz M. Wright, who is handling the case, stated that according to the indictment, in November 2020, the defendant mailed threatening communications to the Acting Commissioner of the New York State Department of Corrections and Community Supervision, and a federal judge.
The indictment is the result of an investigation by the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; and the U.S. Marshals Service, under the direction of Marshal Charles Salina.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Nigerian Man Sentenced to 87 Months’ Imprisonment for Laundering $1.89 Million in Fraud ProceedsRead the Press Release
WILLIAMSPORT- The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jabin Godspower Okpako, age 36, was sentenced on November 23, 2021, to 87 months’ imprisonment by U.S. District Court Chief Judge Matthew W. Brann for conspiring to launder approximately $1.89 million in mail and wire fraud proceeds.
According to United States Attorney John C. Gurganus, Jabin Okpako and his wife, codefendant Christine Bradley Okpako, age 54, of Sayre, Pennsylvania, received approximately $1,898,046 million in proceeds from a mail and wire fraud scheme, laundered the funds through numerous bank and wire transactions in multiple states, and transferred the funds out of the United States to three separate bank accounts in Nigeria.
The mail and wire fraud scheme sought to defraud multiple female victims throughout the United States, ranging in age from 55 to 85. The victims had visited online game, relationship and dating web sites, including Instagram, Facebook, Words with Friends, and What’s App. The conspirators, located in the United States and West Africa, befriended the victims through interaction and exchanges of photos on the web sites via text and instant messaging. After cultivating online relationships with the victims, the conspirators fraudulently induced the victims to send and transmit funds for various fictitious reasons and purposes, including to assist a worker in Alaska who fell from a tower, to purchase an apartment in Washington, D.C., to assist the United Nations, to repair machinery and equipment on an oil drilling rig, to pay for medicine, to recover a $6 million inheritance, and to make an investment in gold. After fraudulently inducing the victims to provide funds for these fictitious reasons, the unindicted conspirators instructed the victims to transmit checks and cash to Okpako and Bradley at their residence in Sayre, Pennsylvania.
In sentencing Okpako, Chief Judge Brann stated that Okpako and his wife continued to transfer fraud proceeds to Nigeria even after numerous banks closed their accounts based on the suspicious and irregular nature of the transactions. Chief Judge Brann also noted that Okpako and his wife continued to conduct money laundering transfers despite receiving a warning letter from the FBI concerning their activities. Chief Judge Brann ordered Okpako to make restitution in the amount of $440,950 to victims and forfeit proceeds of the criminal activity.
Christin Bradley Okpako plead guilty on March 31, 2021, to conspiracy to commit money laundering through mail and wire fraud and is awaiting sentencing.
The case was investigated by the FBI. Assistant U.S. Attorney George J. Rocktashel prosecuted the case.
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New United States Attorney Takes Oath of OfficeRead the Press Release
Greensboro, NC – Sandra J. Hairston was sworn-in as the next United States Attorney for the Middle District of North Carolina on November 23, 2021. Chief Judge Thomas J. Schroeder administered the oath of office to U.S. Attorney Hairston in a private ceremony yesterday evening.
Ms. Hairston was nominated for the position of United States Attorney by President Joseph R. Biden on September 28, 2021. She was confirmed by the Senate on November 19, 2021.
Ms. Hairston joined the United States Attorney’s Office for the MDNC in 1990. During more than thirty years as an Assistant United States Attorney, Ms. Hairston has served as Deputy Chief of the Criminal Division and Lead Attorney in the Organized Crime Drug Enforcement Task Force (OCDETF) Section in the MDNC. She was named First Assistant United States Attorney in April 2014. Ms. Hairston also served as Acting United States Attorney from January 14, 2017 to January 3, 2018, and from March 1, 2021 to November 23, 2021.
From April 1994 until June 1996, Ms. Hairston served as Chief of the Criminal Division in the United States Attorney’s Office for the Eastern District of North Carolina. Ms. Hairston returned to the MDNC in late June 1996.
Ms. Hairston began her legal career in 1987 as an Assistant District Attorney in the Thirteenth Prosecutorial District of North Carolina.
Ms. Hairston is a 1981 graduate of the University of North Carolina at Charlotte where she received a Bachelor of Arts degree in English. In 1987, she was awarded the degree
of Juris Doctor from the North Carolina Central University School of Law in Durham, North Carolina.
In 2002, Ms. Hairston received the Director’s Award from the Executive Office for United States Attorneys for Superior Performance as an Assistant United States Attorney.
Ms. Hairston was the 2015 recipient of the Peter S. Gilchrist III Award, which is given by the Criminal Justice Section of the North Carolina Bar Association to a Prosecutor “who exemplifies the highest ideals of the profession.”
A formal investiture ceremony for U.S. Attorney Hairston will be held at a date to be determined.
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New Haven Man Sentenced to Federal Prison for Drug Trafficking OffenseRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, today announced that CHAWN BATTLE, 49, of New Haven, was sentenced yesterday by U.S. District Judge Michael P. Shea in Hartford to 21 months of imprisonment, followed by four years of supervised release, for a narcotics trafficking offense.
According to court documents and statements made in court, in 2019, the DEA New Haven Task Force began an investigation into a New Haven-based drug trafficking network headed by Michael Smith, also known as “Head.” The investigation, which included court-authorized wiretaps, revealed that Smith and others were distributing heroin and crack cocaine throughout the New Haven area. Battle was one of Smith’s cocaine suppliers.
In December 2019, Smith was intercepted on a wiretap describing having shot at a rival drug dealer. New Haven Police collected 31 shell casings from a location in the Fair Haven neighborhood where the shooting occurred. Smith was arrested on December 23, 2019.
Battle was arrested on September 16, 2020. On March 24, 2021, he pleaded guilty to one count of conspiracy to possess and distribute cocaine.
Battle’s criminal history spans more than 30 years and includes several convictions, including a federal conviction in 2001 for distributing more than one kilogram of PCP. He was sentenced to 151 months of imprisonment for that prior federal offense.
On April 15, 2021, Smith pleaded guilty to drug, firearm and money laundering charges. He awaits sentencing.
This investigation is being conducted by the DEA New Haven Task Force, the Internal Revenue Service – Criminal Investigation Division, and the New Haven, West Haven, Hamden, East Haven, North Haven, Ansonia, Meriden and Derby Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys John T. Pierpont, Jr. and Elena L. Coronado through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Moline Man Sentenced to Prison for Drug and Firearm ChargesRead the Press Release
DAVENPORT, Iowa – A Moline, Illinois man, Devon Allen McConnell, age 36, was sentenced on Thursday, November 18, 2021 by United States District Court Chief Judge John A. Jarvey to 200 months in prison for Possession with Intent to Distribute Methamphetamine, Possession of a Firearm in Furtherance of a Drug Trafficking Crime, and Felon in Possession of a Firearm. McConnell was ordered to serve three years of supervised release to follow his prison term and pay $300 to the Crime Victims’ Fund.
According to court documents, McConnell was identified by law enforcement when officers intercepted McConnell with 1.31 grams of ice methamphetamine and a loaded Taurus nine-millimeter firearm. In a post-Miranda interview, McConnell admitted he was on his way to meet with another person to the sell the methamphetamine in his possession. Further, McConnell admitted he possessed the firearm and carried it with him during drug deals. As a convicted felon, McConnell was unable to legally possess firearms and ammunition. McConnell pleaded guilty to these offenses on July 21, 2021.
United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Davenport Police Department and the Moline Police Department investigated the case.
Maryland Man Sentenced to 30-Month Prison Term for Scam Involving Fake Sales of PuppiesRead the Press Release
WASHINGTON – A Maryland man who advertised the sale of pit bull puppies on various websites was sentenced today to 30 months in prison for a scheme in which he generated at least $158,000 in money transfers from more than 100 victims who never got the dogs.
The announcement was made by U.S. Attorney Matthew M. Graves and Raymond Villanueva, Special Agent in Charge, U.S. Homeland Security Investigations (HSI), Washington, D.C.
Fonjeck Eric Azoh, 42, of Mount Rainier, Md., pleaded guilty in August 2021, in the U.S. District Court for the District of Columbia, to a charge of wire fraud. He was sentenced by the Honorable Carl J. Nichols. In addition to the prison term, Azoh was ordered to pay $158,000 in restitution. He also must forfeit $67,000 seized by law enforcement during the investigation and pay an additional $92,000 forfeiture money judgment.
According to the government’s evidence, between January 2019 and October 2020, Azoh offered the pit bull puppies, using various websites. He agreed to sell these puppies to victims living throughout the United States even though he never intended to provide them. Azoh directed victims to send money to him through money transfer businesses, which he then collected at retail stores and elsewhere. Throughout the scheme, Azoh collected at least $158,000 from at least 119 victims who lived in 40 different states.
Azoh was arrested in January 2021 and has been in custody ever since.
In announcing the sentence, U.S. Attorney Graves and Special Agent in Charge Villanueva commended the work of those who investigated the case from HSI. They also expressed appreciation for the work of those who handled the case at the U.S. Attorney’s Office, including Assistant U.S. Attorney John W. Borchert, who prosecuted the case.
Man sentenced to 78 months in Federal Prison for Assaulting a Former Dating PartnerRead the Press Release
A man was sentenced in federal court to a 78-month prison sentence for assaulting a woman with a piece of door trim that had a nail protruding from it while she was holding her three-month-old daughter, announced Acting U.S. Attorney Clint Johnson.
Following his term of imprisonment, Robert Joseph Marder, 32, will serve three years on supervised released.
“Robert Marder will spend more than six years in federal prison for terrorizing the victim and her child with his abusive conduct and for trying to prevent the victim from cooperating with authorities. Make no mistake, children also suffer the immediate and long term effects of violence in the home,” said Acting U.S. Attorney Clint Johnson. “After living under the control of an abuser, it can be difficult for domestic violence victims to cooperate with authorities. I want to assure victims that my team of federal prosecutors and victim specialists are here to seek justice on their behalf, to support them as their cases are being prosecuted, and to help them find needed resources so they and their children can move forward from abusive relationships.”
Marder pleaded guilty July 14, 2021, to assault with a dangerous weapon in Indian Country.
On May 29, 2020, Marder showed up at a former girlfriend’s home and became aggressive. The woman, accompanied by her three-month-old, attempted to leave the apartment. The defendant followed her to her car, so she ran back to the apartment and locked the doors. Marder kicked in the door causing the door trim to break. He then exited the apartment but came back through a window and continued the argument. While the victim was holding her child, Marder picked up a piece of trim with a nail sticking out of it and struck the victim multiple times on her forehead, shoulder and back of the head.
During the assault, the apartment’s security officers heard screaming. After arriving at the apartment, they witnessed Marder striking the victim with the trim. Security detained Marder and called police. The victim was transported to the hospital for treatment.
Marder is a citizen of the Cherokee Nation, and the crime occurred within the Muscogee Nation reservation.
The FBI and Tulsa Police Department investigated the case. Assistant U.S. Attorneys Justin G. Bish and Benjamin D. Hargrove prosecuted the case.
Justice Department Addresses Rise in Criminal Conduct on Commercial AircraftRead the Press Release
As the holiday travel season commences, Attorney General Merrick B. Garland today directed U.S. Attorneys to prioritize prosecution of federal crimes occurring on commercial aircraft that endanger the safety of passengers, flight crews and flight attendants. Federal law prohibits assaults, intimidation and threats of violence that interfere with flight crews and flight attendants, as well as other enumerated criminal acts that occur during flight.
“Passengers who assault, intimidate or threaten violence against flight crews and flight attendants do more than harm those employees; they prevent the performance of critical duties that help ensure safe air travel,” said Attorney General Garland. “Similarly, when passengers commit violent acts against other passengers in the close confines of a commercial aircraft, the conduct endangers everyone aboard.”
The memorandum also highlights an information-sharing protocol between the Federal Aviation Administration (FAA) and the Justice Department, which helps ensure the department is notified about criminal conduct occurring on commercial aircraft. The protocol has already resulted in the referral of dozens of incidents by the FAA to the FBI for investigation.
“The Department of Justice is committed to using its resources to do its part to prevent violence, intimidation, threats of violence and other criminal behavior that endangers the safety of passengers, flight crews and flight attendants on commercial aircraft,” said Attorney General Garland.