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Wednesday 17 November 2021
Carlsbad trio facing life in prison following trial for carjacking resulting in deathRead the Press Release
ALBUQUERQUE, N.M. – On Nov. 12 a federal jury in Las Cruces convicted two defendants of carjacking resulting in death following a nearly two-week trial.
On the night of May 27, 2019, Stetson Shane Barnes, 29, of Loving, New Mexico, Donald Alfred Busch, 33, of Carlsbad, New Mexico, and a third person traveled to the victim’s home in Loving with an accomplice, Jehra Lynn Hedgecock, 33, of Carlsbad. The group had conspired to steal a motorcycle from the victim, identified in court records as J.S.
Upon the group arriving at the victim’s residence in Hedgecock’s truck, Hedgecock knocked at the front door in an attempt to lure J.S. outside. Meanwhile, Busch located the motorcycle he wanted to steal under the victim’s carport and began pushing it away. As the victim emerged from his home, Barnes, Busch and Hedgecock all pointed firearms at him. Jurors heard testimony that Busch ordered J.S. back into his home while holding him at gunpoint.
While Busch continued to push the motorcycle off the victim’s property, Hedgecock and Barnes got into Hedgecock’s truck. As they began to drive away, Barnes fired twelve shots from the truck into the residence, the last of which struck and killed J.S. The victim’s father testified that J.S. called him to ask for help, and that he was on the phone with J.S. when he heard gunshots ring out. According to courtroom testimony, J.S. was taking cover in the back room of his home when he was struck by the last bullet fired by Barnes.p
After the shooting, Hedgecock stopped the truck on the side of the road where Barnes helped Busch to load the motorcycle in the back of the truck, and the conspirators fled. Hedgecock’s truck was found burning in a ravine outside Carlsbad the following day and J.S.’s motorcycle was later recovered from Barnes’ property.
Hedgecock pleaded guilty on July 22 to one count of conspiracy, one count of carjacking resulting in death and one count of using, brandishing and carrying a firearm during and in relation to a crime of violence and possessing and brandishing a firearm in furtherance of such crime.
Barnes and Busch were found guilty of conspiracy to commit carjacking, carjacking resulting in death, and being a felon in possession of a firearm and ammunition. Busch was also found guilty of using and carrying a firearm during and in relation to a crime of violence.
Barnes, Busch and Hedgecock remain in custody pending sentencing, which has not been scheduled. The maximum statutory penalty for all three defendants is up to life in prison.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated this case with assistance from New Mexico State Police and the Eddy County Sheriff’s Office. Assistant United States Attorneys Maria Y. Armijo and Ry Ellison are prosecuting this case.
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Caregivers Sentenced to Prison for Defrauding 73-Year-Old Homebound VictimRead the Press Release
TUCSON, Ariz. – Michael Tagle Santos, 34, and Cherry Mae De Los Reyes-Santos, 28, most recently of Tucson, Arizona, were sentenced yesterday by U.S. District Judge Jennifer G. Zipps for defrauding a 73-year-old homebound victim. Santos received 33 months in prison and De Los Reyes-Santos received 16 months in prison. The Court also ordered the married couple to pay restitution to the victim. Santos previously pleaded guilty to wire fraud and De Los Reyes-Santos pleaded guilty to misprision of a felony.
During the time of the scheme, Michael Santos and De Los Reyes-Santos worked as caregivers for the victim, who was disabled. Between 2013 and 2018, Michael Santos and De Los Reyes-Santos made unauthorized transfers of the victim’s funds. Santos admitted that he and his wife fraudulently disguised the transfers to make them appear as wage advances, gifts, and reimbursements for medical and grocery expenses of the victim. De Los Reyes-Santos was aware that these transactions were not legitimate reimbursements. The couple used the fraudulently-obtained proceeds to fund their lifestyle, paying for expensive cars, trips to Las Vegas, high end jewelry, and home remodeling.
The United States Secret Service and the Pima County Sheriff’s Department conducted the investigation in this case. The U.S. Attorney’s Office, District of Arizona, Tucson, handled the prosecution.
CASE NUMBER: CR-20-2707-TUC-JGZ
RELEASE NUMBER: 2021-083_Santos# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Camden Man Admits Role in Drug Trafficking OrganizationRead the Press Release
CAMDEN, N.J. – A shift manager of a Camden drug-trafficking organization today admitted his role in conspiring to distribute more than one kilogram of heroin, Acting U.S. Attorney Rachael A. Honig announced.
Jose Diaz, 29, of Camden, pleaded guilty before U.S. District Judge Renée Marie Bumb in Camden federal court to an indictment charging him with one count of conspiracy to distribute and possess with intent to distribute one kilogram of a mixture containing heroin, 280 grams or more of a mixture containing crack cocaine, a mixture containing cocaine and a mixture containing fentanyl.
A total of 19 defendants were arrested in late 2018 on drug-trafficking charges based on the FBI’s investigation of a drug-trafficking organization that ran the open-air narcotics trade on the 400-500 block of Pine Street in Camden for several months in 2018. The investigation used video surveillance, confidential informants, consensual recordings, controlled drug purchases, and several court-authorized wiretaps to uncover the inner workings of the drug-trafficking organization. The organization included street-level sellers, who worked various shifts selling drugs to customers and collecting drug proceeds. These sellers were supervised by different layers of managers, including Diaz, who, in turn, supplied them with pre-packaged heroin, some of which was mixed with fentanyl, as well as cocaine and crack cocaine. The FBI and other law enforcement officers recovered multiple firearms from different locations connected to the drug organization at the time of the 2018 arrests.
Sixteen other members of the drug-trafficking conspiracy have previously pleaded guilty in this case. The charges against two other defendants, Juan Figueroa and Christopher Vasquez, remain pending. Their trial is scheduled for May 9, 2022.
The count to which Diaz pleaded guilty carries a mandatory penalty of 10 years in prison, a maximum potential penalty of life in prison, and a $10 million fine. Sentencing is scheduled for March 21, 2022.
Acting U.S. Attorney Honig credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Special Agent in Charge Jacqueline Maguire in Philadelphia; the Camden County Police Department, under the direction of Chief Gabriel Rodriguez; the Camden County Prosecutor’s Office, under the direction of Acting Prosecutor Jill S. Mayer; the Camden County Sherriff’s Department, under the direction of Sheriff Gilbert L. Wilson; the Cherry Hill Police Department, under the direction of Acting Chief Larry Robb; and the N.J. State Police, under the direction of Col. Patrick J. Callahan, with the investigation leading to today’s guilty plea. She also thanked the Drug Enforcement Administration, the U.S. Marshals Service, and the Department of Homeland Security for their assistance.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government is represented by Assistant U.S. Attorneys Sara A. Aliabadi and Patrick C. Askin of the U.S. Attorney’s Office Criminal Division in Camden.
For the defendants whose charges remain pending, the charges and allegations are merely accusations, and they are presumed innocent unless and until proven guilty.
Byram Woman Pleads Guilty to Theft of Mail by a Postal EmployeeRead the Press Release
Jackson, Miss. – A Byram woman pleaded guilty to embezzling mail, announced U.S. Attorney Darren J. LaMarca and Scott Pierce, Inspector in Charge with the U.S. Postal Service Office of Inspector General, Southern Area Field Office.
According to court documents, Jeanetta N. Williams, 38, of Byram, was a Rural Carrier Assistant and delivered mail along a rural route in Hinds County. After receiving complaints of mail going missing along Williams’ route, Postal Service agents investigated. On July 11, 2019, agents found Williams in possession of opened mail she did not deliver.
Williams is scheduled to be sentenced on March 1, 2022 and faces a maximum penalty of 5 years in prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
This case was investigated by the United States Postal Service Office of Inspector General.
Assistant U.S. Attorney Bert Carraway is prosecuting the case.
Bronx Man Charged with Trespassing at Albany International AirportRead the Press Release
ALBANY, NEW YORK – Stan Johnson, age 23, of the Bronx, New York, was arraigned today on an indictment charging him with unlawfully breaching a perimeter fence, entering an unoccupied aircraft, and entering the terminal at the Albany International Airport on May 24, 2021.
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).
The charge filed against Johnson carries a maximum sentence of 10 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
Johnson was arraigned today in Albany, before United States Magistrate Judge Daniel J. Stewart, and ordered detained pending trial.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by FBI’s Joint Terrorism Task Force (JTTF), the Albany County Sheriff’s Office, and the Transportation Security Administration (TSA), and is being prosecuted by Assistant U.S. Attorney Alexander Wentworth-Ping.
Bridger Pipeline to pay $2 million to settle civil lawsuit over oil spill into Yellowstone River near GlendiveRead the Press Release
BILLINGS – Bridger Pipeline, LLC, a Wyoming corporation, has agreed to settle a civil lawsuit with the United States and the State of Montana with a $2 million payment to help recover natural resource damages from a pipeline break that spilled crude oil into the Yellowstone River near Glendive, U.S. Attorney Leif M. Johnson said today.
The United States and the State of Montana filed a civil complaint, along with a proposed consent decree, alleging violations of the Oil Pollution Act and state law. The complaint also seeks damages and costs for injuries to natural resources resulting from the discharge of oil from the Bridger Pipeline’s Polar pipeline when it ruptured on Jan. 17, 2015 where it crosses underneath the Yellowstone River, about 6.5 miles upstream from Glendive. Bridger Pipeline estimated that 758 barrels of oil were released.
“This settlement holds Bridger Pipeline accountable for its oil spill and provides funds to restore damage caused to the Yellowstone River’s waters, fisheries, birds and riparian habitat, ecosystems and related human activities,” U.S. Attorney Johnson said. “This agreement also provides for a restoration plan, which could include a variety of projects to restore aquatic habitat and improve or restore recreational sites along the river corridor. As the longest, free-flowing river in the Lower 48 states, the Yellowstone River is prized not only for its diverse ecosystems, fisheries and recreational opportunities, but also as a vital economic resource for local communities and the state. Protecting the environment is a high priority of the Department of Justice, and we will work with industry and our state and federal partners to ensure that happens.”
The proposed consent decree requires Bridger Pipeline to pay $2 million to resolve claims. Of this amount, $1,739,795 will be placed into a natural resource damages fund to be managed by the State of Montana and used to address injuries alleged in the complaint. Natural resources injured or damaged by the discharge include surface water, migratory birds and their supporting ecosystems, fish, including the pallid sturgeon, and associated riverine aquatic habitat and human service losses. Restoration actions or projects will be evaluated and selected by federal and state natural resource damages trustees in a future restoration plan before the funds will be spent. The restoration plan will be subject to public comment.
The remaining $260,205 portion of the settlement funds will be deposited in the U.S. Department of Interior Natural Resource Damage Assessment and Restoration Fund as reimbursement for the United States’ natural resource damage assessment costs.
Assistant U.S. Attorney Mark Steger Smith, for the District of Montana, and John Sither, senior counsel, Environmental Enforcement Section, Environment and Natural Resources Division, U.S. Department of Justice, prosecuted the case. The U.S. Fish and Wildlife Service and the Montana Department of Justice’s Natural Resources Damage Program investigated the case.
The proposed consent decree is subject to a 30-day public comment period and court review and approval. A copy of the settlement and proposed consent decree is available here: https://www.justice.gov/enrd/consent-decrees
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Baltimore Drug Dealer Sentenced to More Than Eight Years in Federal Prison for a Murder for Hire Plot and Distribution of CocaineRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Rudy Adonaldo Chavez, age 31, of Guatemala to 97 months in federal prison, followed by three years of supervised release, for conspiracy to commit murder for hire and for distribution of cocaine.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron and Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore.
According to his plea agreement, on September 6, 2019 HSI investigators arranged a cocaine transaction between a confidential informant and Chavez. The confidential informant purchased 2 ounces of cocaine from Chavez for $2,500.
Three days later, investigators arranged a controlled meeting between the confidential informant and Chavez, who was in the country illegally. During the meeting, Chavez solicited assistance from the confidential informant to murder another individual. As agreed to in the statement of facts, Chavez stated that the intended victim had previously killed two of Chavez’s friends and shot his brother, as a result of an unsuccessful drug deal that took place in Guatemala.
On September 11, 2019, the confidential informant called Chavez on the phone to introduce him to an undercover officer posing as a “hitman”. During the conversation with the hitman, Chavez explained why he wanted to murder the intended victim, that the intended victim fled from Guatemala, illegally entered the United States, and settled in California. He further explained that he had an associate (co-conspirator 1) that was willing to lure the intended victim from California to Baltimore to execute the murder. Chavez also informed the undercover officer that co-conspirator 1 was aware of the plan to murder the intended victim.
Furthermore, Chavez and the undercover officer discussed pricing for the murder. Specifically, Chavez agreed to pay the undercover officer $5,000 “up front” and the remaining $5,000 after the victim was murdered. As a result of the meeting, Chavez and the undercover officer exchanged phone numbers to arrange future meetings regarding the murder for hire.
In a controlled meeting with the undercover officer on September 19, 2020, Chavez provided the undercover officer with approximately $2,000 as a down payment for the murder. Prior to the meeting, Chavez and the undercover agent agreed that the undercover agent would use the $2,000 to pay for an apartment that would be used as a location to lure the intended victim. Chavez also provided the undercover officer with co-conspirator 1’s phone number.
As stated in his plea agreement, on September 26, 2019, in a meeting with the undercover officer, co-conspirator 1 gave the intended victim’s phone number to the undercover officer to communicate with co-conspirator 1. Chavez also provided the undercover officer with a picture of the intended victim.
Law enforcement was able to identify the intended victim with the information provided by Chavez and the co-conspirator and detained the intended victim in California in order to prevent the murder.
United States Attorney Erek L. Barron praised the HSI for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Kim Y. Oldham and Special Assistant U.S. Attorney Christopher J. Romano, who prosecuted the case.
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Baltimore County Felon Sentenced to More Than Five Years in Federal Prison for Obtaining Two Kilograms of Cocaine to Distribute and for Illegal Possession of a FirearmRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paul W. Grimm sentenced Ian Carlton Alexander a/k/a “Shawn Alexander”, age 50, of Towson, to 61 months in federal prison, followed by five years of supervised release, for possession with intent to distribute cocaine and for being a felon in possession of a firearm.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Jarod Forget of the Drug Enforcement Administration - Washington Division (DEA); Postal Inspector in Charge Daniel A. Adame of the U.S. Postal Inspection Service - Washington Division; Chief Marcus Jones of the Montgomery County Police Department; Chief Malik Aziz of the Prince George’s County Police Department; Chief Robert J. Contee III of the Metropolitan Police Department; and Chief Melissa R. Hyatt of the Baltimore County Police Department.
According to his guilty plea, on October 3, 2019, Alexander travelled from his Towson, Maryland residence to New York to acquire 1,990 grams of cocaine that he intended to distribute to a potential narcotics customer in Maryland. The following day, law enforcement conducted a traffic stop on Alexander as he was returning from New York to Maryland. Law enforcement recovered approximately two kilograms of cocaine in the passenger compartment and a 9mm handgun in the vehicle’s center console. Law enforcement also recovered approximately $3,357 from Alexander’s person at the time of the arrest.
As detailed in his plea agreement, law enforcement executed a search warrant on Alexander’s Towson, Maryland residence. As a result of the search warrant, law enforcement seized 28 grams of heroin, an assault rifle, and two AR-15 box magazines loaded with armor piercing ammunition.
Alexander knew that as the result of a previous felony conviction, he was prohibited from possessing firearms or ammunition.
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 praised the DEA, USPIS, the Montgomery County Police Department, the Prince George’s County Police Department, the Metropolitan Police Department, and the Baltimore County Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Caitlin R. Cottingham and Special Assistant United States Attorney Coreen Mao, who prosecuted the case.
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Armed Nash County Fentanyl and Heroin Trafficker Sentenced to 15 Years in PrisonRead the Press Release
WILMINGTON, N.C. – A Rocky Mount, North Carolina man was sentenced today to 180 months in prison and five years of supervised release for conspiracy to distribute and possession with intent to distribute 1,000 grams or more of heroin and a quantity of fentanyl; possession with intent to distribute a quantity of heroin and fentanyl; and possession of a firearm in furtherance of a drug trafficking crime.
According to court documents, James Otis Davis, Jr., 33, was named in an Indictment filed on December 16, 2020. On September 21, 2021, Davis entered a plea of guilty.
In July 2019, agents learned that the defendant was selling heroin and fentanyl from hotel rooms in Rocky Mount, North Carolina.
On September 16, 2019, agents conducted a controlled purchase of heroin, fentanyl, and cocaine from Davis.
Agents then executed a search warrant at the hotel room where the controlled purchase took place. Davis and his 8-month-old child were present. During the execution of the search warrant, agents seized 33 bindles of heroin and fentanyl, cocaine, a digital scale, currency, and a loaded .380 caliber handgun.
On May 6 and June 4, 2020, agents conducted additional controlled purchases of heroin from Davis. On June 4, 2020, agents executed a search warrant on the hotel room Davis was using, and the agents seized 14.52 grams of heroin, cocaine, and a 9mm handgun.
On July 2, 2020, a traffic stop of Davis’s vehicle was conducted. Davis was found in possession of six bindles of heroin and fentanyl.
Davis admitted that he had trafficked more than a kilogram of heroin over the course of approximately six years.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina, made the announcement. The Nash County Sheriff’s Office investigated the case and Assistant U.S. Attorney Scott A. Lemmon prosecuted the case.
This case is also part of the United States Attorney’s Office’s Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For additional information about this initiative, click here https://www.justice.gov/usao-ednc/tbnc.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for case number 5:20-CR-538-M-1.
Albany Drug Dealer Sentenced to Federal PrisonRead the Press Release
PORTLAND, Ore.—An Albany, Oregon man was sentenced to federal prison today for distributing heroin and methamphetamine in and around Linn County, Oregon.
Anthoni Joseph Bassetti, 28, was sentenced to 60 months in federal prison and four years’ supervised release.
According to court documents, in January 2020, agents from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) began investigating Bassetti, a mid-level drug dealer who sold heroin and methamphetamine in and around Linn County. The same month, agents arranged and conducted two undercover drug deals with Bassetti. Following these operations, on March 6, 2020, agents executed a federal search warrant on Bassetti’s Albany residence, seizing user quantities of methamphetamine, heroin, and cocaine and seven firearms.
On March 3, 2020, Bassetti was charged by criminal complaint with distribution of methamphetamine and heroin. Later, on August 27, 2020, he was charged by criminal information with distribution of methamphetamine. On August 9, 2021, he waived indictment and pleaded guilty to the single charge.
Acting U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by ATF with assistance from the Linn Interagency Narcotics Enforcement Team (LINE), which consists of investigators from the Albany, Lebanon, and Sweet Home police departments, Linn County Sheriff’s Office, Oregon State Police, and Oregon Army National Guard Counter Drug Task Force. Additional assistance was provided by the Corvallis Police Department and Benton County Sheriff’s Office Street Crimes Unit. Assistant U.S. Attorney William M. McLaren prosecuted the case.
Heroin is a leading cause of overdose deaths in the U.S. If you or someone you know suffers from addiction, please call the Lines for Life substance abuse helpline at 1-800-923-4357 or visit www.linesforlife.org. Phone support is available 24 hours a day, seven days a week. You can also text “RecoveryNow” to 839863 between 8am and 11pm Pacific Time daily.
Tuesday 16 November 2021
White Plains Investment Adviser Sentenced to 63 Months in Federal Prison for EmbezzlementRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that GREGG BRIE, an investment adviser in White Plains, New York, was sentenced yesterday in White Plains federal court to 63 months in prison for fraud in connection with his embezzlement of more than $640,000 from three clients. BRIE had previously pled guilty to one count of wire fraud and was sentenced by U.S. District Judge Cathy Seibel.
According to the allegations in the Information to which BRIE pled guilty and other court documents:
BRIE embezzled funds from three victims, two of whom lived in his White Plains apartment complex. He advised his first victim, a disabled man on a fixed income and confined to a wheelchair, to buy shares in Alaska Air Group, Inc. Bank records show that this victim gave BRIE more than $480,000. BRIE told his victim that he had opened accounts for him at a brokerage firm and that his stock had increased in value to approximately $8 million. When the victim asked for his money, BRIE told him that his accounts were frozen because the stockbrokers had done something “sketchy” in order to buy the shares at a lower price. When the victim attempted to contact the brokerage firm, BRIE told him that he would “murder [him]” if the victim attempted to contact the firm again. BRIE repeated this threat at least two more times, noting that he meant his threats to be taken “literally, not metaphorically.”
According to written loan agreements drafted by BRIE, the second victim made three loans to BRIE in a total amount of approximately $157,000 “for the purpose of producing and distributing a proprietary, composite unimold commode for use within indigent venues of the African nation of Uganda.” The third victim loaned $2,000 to BRIE on BRIE’s representation that he was illiquid because he had put all of his cash into the unimold commode project.
The Federal Bureau of Investigation’s (“FBI”) analysis of bank accounts controlled by BRIE showed that BRIE spent the money he obtained from his victims primarily on credit cards and a Mercedes Benz lease. The evidence showed that there was no brokerage account.
In addition to the prison term, Judge Seibel ordered BRIE, 54, of White Plains, New York, to serve three years of supervised release and to pay forfeiture and restitution, each in the amount of $642,333.33.
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Mr. Williams praised the outstanding investigative work of the FBI.
The prosecution of this case is being handled by the Office’s White Plains Division. Assistant United States Attorneys James McMahon and Shiva Logarajah are in charge of the prosecution.
Wakpala Man Indicted for Failure to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Wakpala, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Fabian Carlo Rodriguez, age 30, was indicted on November 9, 2021. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 15, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to ten years in federal prison and a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
Rodriguez was convicted of Sexual Abuse of a Minor in November 2014. As a result of this conviction, he is required to register as a sex offender. It is alleged that between February 6, 2021, and July 28, 2021, Rodriguez, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of conviction under federal Law, failed to properly register as a sex offender and update his registration.
The charge is merely an accusation and Rodriguez is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Rodriguez was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Wyoming Man Sentenced to Prison and Fined $10,000 for Threatening State and Federal Elected OfficialsRead the Press Release
Acting United States Attorney Bob Murray announced today that CHRISTOPHER KENT PODLESNIK, 52, of Laramie, Wyoming, has been sentenced to 18 months imprisonment after previously pleading guilty to four counts of transmitting threats in interstate commerce. The sentence also includes three years of supervised release with special conditions, a fine of $10,000, and special assessments totaling $400.
A federal grand jury charged Mr. Podlesnik with leaving voicemail messages threatening various elected officials on January 28, 2021, including United States Senators Cynthia Lummis and John Barrasso; United States Representative Matt Gaetz; and Wyoming State Senator Anthony Bouchard. His messages included profanity-laced and threatening language constituting true threats. As defined by the Supreme Court, true threats are “statements where the speaker means to communicate a serious expression of an intent to commit an act of unlawful violence to a particular individual or group of individuals.”
In a voicemail left for United State Senator Cynthia Lummis, Podlesnik said, among other things, “You are going to [expletive] get shot in the [expletive] back of the head.” In a voicemail to Wyoming State Senator Anthony Bouchard, Podlesnik said, among other things, “You're a[expletive] traitor, and you deserve to be shot.”
“As Americans, we cherish the freedoms secured by our Bill of Rights, including our freedom of speech,” said Acting U.S. Attorney Bob Murray. “However, the criminal threats Christopher Podlesnik made with the intent to place multiple victims in fear of injury or death are not free speech protected by the Constitution. Rather, those threats cost him a hefty fine and 18 months in federal prison.”
“The FBI vigorously pursues all credible threats directed at our elected officials,” said Michael Schneider, Special Agent in Charge of the FBI Denver Division. “I am extremely proud of our Wyoming agents who successfully investigated this case and worked within the justice system to hold Mr. Podlesnik accountable for his actions. I want to thank our law enforcement partners who also worked on this matter to include the U.S. Capitol Police, Wyoming Highway Patrol and the Laramie Police Department.”
This case was prosecuted by Assistant United States Attorney Thomas Szott.
Case 0:21-cr-00029-SWS
Vermont Man Pleads Guilty to Bank RobberyRead the Press Release
CONCORD - Trevor Allen, 29, of Bellows Falls, Vermont, pleaded guilty in federal court to bank robbery, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, on June 28, 2018, Allen walked into a bank in Charlestown, New Hampshire and handed a teller a note demanding him to empty the money in his drawer. Allen claimed he was armed. Allen was given a total of $2,485 in cash by the teller. Investigators later found Allen’s fingerprint on the note.
Allen is scheduled to be sentenced on February 22, 2022.
“Bank robberies are violent crimes that can present a real risk of danger to anyone inside or near the bank,” said Acting U.S. Attorney Farley. “As part of our effort to combat violent crime in New Hampshire, we work closely with the FBI and our law enforcement partners to identify and prosecute those who commit bank robberies and other violent offenses in the Granite State.”
“When anyone enters a bank intent on robbing it, even if a weapon isn’t shown, there is always a chance someone could get hurt, or worse. Trevor Allen instilled fear in innocent employees and bystanders while committing armed robbery, and today, he has finally accepted responsibility for his actions,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “The FBI will continue to work with our law enforcement partners to aggressively investigate anyone who targets our financial institutions for their own personal benefit.”
This matter was investigated by the Federal Bureau of Investigation and the Charlestown Police Department. The case is being prosecuted by Assistant U.S. Attorney Anna Krasinski.
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Two Sentenced in Lottery Scams that Defrauded SeniorsRead the Press Release
PROVIDENCE, R.I. – Two Jamaican citizens who participated in lottery scams that defrauded U.S citizens, primarily senior citizens in Rhode Island, Massachusetts, and several other states, of more than a half-million dollars, have been sentenced to federal prison, announced Acting United States Attorney Richard B. Myrus.
Unsuspecting victims were contacted by scammers and told they had won large sums of money in a lottery but were required to pre-pay taxes or fees in order to collect their winnings. In some instances, tens, and even hundreds of thousands of dollars were paid by unsuspecting victims into bank accounts controlled by Jason Wedderburn, 41, and Kayan Kitson, 38.
Wedderburn was sentenced today by U.S District Court Judge Mary S. McElroy to a term of incarceration of 36 months to be followed by 3 years of federal supervised release. Kayan was sentenced on October 12, 2021, to 30 months of incarceration to be followed by 3 years of federal supervised release.
According to information presented to the court, an investigation by the U.S. Postal Inspection Service determined that beginning in May 2018, Wedderburn and Kitson conspired together and with others in Jamaica and in the United States to defraud U.S. citizens through a lottery scam. As part of the conspiracy, Wedderburn opened and controlled at least four bank accounts through which victim funds passed. Kitson opened at least one bank account for the same purpose. Once ill-gotten funds were deposited, members of the conspiracy in the United States and in Jamaica withdrew cash or transferred proceeds to other accounts controlled by members of the conspiracy.
No lottery winnings were ever paid to any of the individuals contacted by the scammers. According to court documents, some victims were bilked out of tens of thousands of dollars. One Massachusetts victim was defrauded of more than $325,000. In total, victims were defrauded of more than $700,000. Wedderburn and Kayan, detained since their arrest in Florida in August 2020, pleaded guilty in July in U.S. District Court in Providence to conspiracy to commit mail and wire fraud.
The cases were prosecuted by Assistant United States Attorney Sandra R. Hebert with the assistance of Assistant U.S. Attorney Christine D. Lowell.
Acting United States Attorney Myrus thanks the FBI for its assistance with this case.
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Two Orlando Men Indicted for over $12 Million in FraudRead the Press Release
Orlando, Florida – Acting United States Attorney Karin Hoppmann announces the unsealing of an indictment charging Keith Ingersoll (45, Orlando) and James Adamczyk (64, Orlando) for their roles in an over $12 million fraud scheme and conspiracy. Ingersoll and Adamczyk are each charged with one count of conspiracy to commit wire fraud, twenty counts of wire fraud, and nineteen counts of money laundering. Ingersoll is also charged with one count of aggravated identity theft. Ingersoll and Adamczyk are facing up to 20 years in federal prison for the conspiracy count and each wire fraud count, and up to 10 years in federal prison for each money laundering count. Ingersoll also faces a minimum mandatory of 2 years in federal prison for the aggravated identity theft count.
According to the
indictment , Ingersoll, Adamczyk, and others obtained more than $12 million from a victim. Specifically, the conspirators falsely represented that the funds provided by the victim would be used as refundable deposits for specific real estate transactions, that they would be held in escrow by an attorney or by an attorney as an escrow agent and, that the funds would be returned to the victim upon request. In fact, the funds were sent to two conspirators who were not licensed attorneys: a suspended attorney and, after the suspended attorney died, Adamczyk. Rather than retain the funds as had been promised, the suspended attorney and Adamczyk diverted portions of the funds for their own personal benefit and transferred other funds to Ingersoll.As part of the conspiracy, Ingersoll, Adamczyk, and other conspirators provided the victim with real estate purchase contracts and other documents that were not executed by the owners of the properties but that contained forged signatures or were executed using the names of fictitious individuals and that falsely represented the entities that owned the properties. Ingersoll, Adamczyk, and other conspirators also falsely claimed that specific entities and individuals had expressed interest in purchasing the real estate but those potential buyers did not exist, had never been contacted about purchasing the real estate, or had declined to pursue a transaction. When the victim requested a return of some of the funds, Ingersoll and Adamczyk provided false excuses why the funds could not be returned, including false claims that Adamczyk was not allowed to leave Costa Rica due to having COVID-19 and that Adamczyk needed to be at the bank in person to return the funds to the victim. Ingersoll, Adamczyk, and other conspirators spent the proceeds received as a result of their fraud on themselves and for their own personal benefit, including for luxury car rentals, travel, and adult entertainment.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by United States Secret Service, the Federal Bureau of Investigation, and the Seminole County Sheriff’s Office. It will be prosecuted by Assistant United States Attorney Roger B. Handberg, Jennifer M. Harrington, and Amanda Daniels.
Three Florida Residents Sentenced to Federal Prison for Fraudulently Obtaining Unemployment Benefits from State of CaliforniaRead the Press Release
LOS ANGELES – Three women from South Florida have been sentenced to federal prison for participating in a scheme that defrauded the California Employment Development Department (EDD) by filing fraudulent claims for unemployment benefits in the names of California identity theft victims, the Justice Department announced today.
Bonia Bon and Bonize Bon, who are 32-year-old twin sisters residing in North Miami, and Eldia Dieujuste, 32, of Miami, each were sentenced Monday afternoon to one year and one day in federal prison. United States District Judge Christina A. Snyder also ordered the defendants to pay $104,570 in restitution to EDD.
The Bons and Dieujuste each pleaded guilty last year to mail fraud in connection with their scheme to defraud EDD. In a sentencing memorandum filed with the court, prosecutors noted that the Bons and Dieujuste stole “monies that were intended to be used to help persons who had lost their jobs through no fault of their own” by exploiting “the mechanisms put in place by EDD to help unemployed workers more easily apply for these benefits – for example, on-line applications and rapid processing of applications.”
From January 2018 through June 2019, the Bons and Dieujuste used the personal information of California residents to file 34 fraudulent claims seeking at least $494,190 in unemployment benefits. The Bons and Dieujuste provided their own home addresses in Florida as the mailing addresses for the benefits, which caused the debit cards that allowed access to $104,570 in unemployment benefits to be mailed to them. ATM surveillance photos captured images of the Bons and Dieujuste using the fraudulently obtained debit cards to withdraw the unemployment benefits in cash.
A fourth South Florida resident, Gregory Bon, 29, of Miami, brother of the Bon twins, faces conspiracy and mail fraud charges in this scheme. He has pleaded not guilty and is scheduled to go on trial on December 14 before Judge Snyder.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The Department of Labor – Office of the Inspector General, EDD’s Investigations Division, Homeland Security Investigations, the United States Postal Inspection Service, and the United States Secret Service investigated this matter.
Assistant United States Attorney Ranee A. Katzenstein, Chief of the Major Frauds Section, prosecuted this case.
Texas Man Pleads Guilty to Selling Chinese-Made Military Helmets and Body Armor to Federal AgenciesRead the Press Release
ALEXANDRIA, Va. – A Celeste, Texas, man pleaded guilty today to a wire fraud scheme involving the selling of Chinese-made military helmets, body armor, and other products to the United States Department of State and other federal agencies while falsely claiming that his company manufactured the goods in Texas.
According to court documents, from approximately June 2017 through approximately December 2020, Tanner Jackson, 32, operated Top Body Armor, LLC USA, and a related entity, Bullet Proof Armor LLC, from his residence in a rural part of Texas. Jackson was the lowest bidder on contracts to supply the Department of State with helmets and body armor, including to personnel guarding the United States Embassy in Baghdad, Iraq, and to foreign law enforcement partners in Latin America. The equipment was removed from service after concerns about its quality came to light.
As part of the scheme, Jackson altered or falsified ballistics laboratory test reports that he provided to the government. On one occasion, after his products failed testing at a legitimate laboratory, Jackson created his own fake ballistics laboratory— “Texas Ballistics LLC” —and simply produced fake reports giving himself passing scores. To conceal the Chinese origin of the products and associated delays in shipping the products to the government, Jackson created and controlled numerous email accounts in the names of supposed shipping company employees. Jackson would author email exchanges between himself and the bogus employees, while copying government contracting officers, to explain away shipping delays from China with cover stories such as truck accidents and COVID outbreaks at the warehouse. Jackson also won similar contracts with the Department of the Air Force and various national guard units.
Jackson is scheduled to be sentenced on February 22, 2022. He faces a maximum penalty of 20 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia; Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Diana Shaw, Acting Inspector General for the Department of State, made the announcement after U.S. District Judge Leonie M. Brinkema accepted the plea.
The U.S. Army Criminal Investigation Division provided significant assistance in this case.
Assistant U.S. Attorney Russell L. Carlberg is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:21-cr-238.
Superseding Indictment Charges Penn Hills Man with Drug and Gun OffensesRead the Press Release
PITTSBURGH, PA - An Allegheny County man has been indicted by a federal grand jury in Pittsburgh on a charges of possession with intent to distribute 400 grams or more of fentanyl and possession of a firearm and ammunition by a convicted felon, Acting United States Attorney Stephen R. Kaufman announced today.
The two-count Superseding Indictment named Jerome Frank Brown, age 50, formerly of Penn Hills, Pennsylvania, as the sole defendant.
According to the Superseding Indictment, on August 19, 2021, Brown possessed with intent to distribute 400 grams or more of fentanyl and possessed a firearm after he had been convicted of an offense punishable by more than one year of incarceration. Federal law prohibits an individual who has been convicted of a felony from possessing a firearm or ammunition.
The law provides for a maximum total sentence of life in prison, a fine of $10,250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Douglas C. Maloney is prosecuting this case on behalf of the government.
The Drug Enforcement Administration (DEA), Pittsburgh Bureau of Police, and U.S. Postal Inspectors Service (USPIS) conducted the investigation leading to the Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Spearfish Woman Charged with Theft of Government FundsRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Spearfish, South Dakota, woman has been indicted by a federal grand jury for Theft of Government Funds.
Christi Marie Johnson, age 36, was indicted on November 9, 2021. She appeared before U.S. Magistrate Judge Veronica L. Duffy on November 10, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about June 15, 2017, and May 7, 2018, Johnson willfully and knowingly embezzled, stole, purloined, and converted to her own use money from departments and agencies of the United States, namely Title II program benefits payments made to her deceased stepfather, to which Johnson knew she was not entitled. Title II is administered by the U.S. Social Security Administration.
The charge is merely an accusation and Johnson is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Social Security Administration, Office of the Inspector General. Assistant U.S. Attorney Ann M. Hoffman is prosecuting the case.
Johnson was released on bond pending trial which has been set for January 18, 2022.
Sex Offender Sentenced to Ten Years in Prison for Possessing Child PornographyRead the Press Release
PROVIDENCE, R.I. – A registered sex offender who was the subject of three separate law enforcement investigations for possessing and distributing child pornography was sentenced today to ten years in federal prison, announced Acting United States Attorney Richard B. Myrus.
Thomas Andreozzi, 60, of North Providence, convicted in Rhode Island state court in November 2014 for possessing child pornography, and ordered to register as a sex offender, was found by Homeland Security Investigations in May 2020 to be using an IP address and at least five different accounts on a social media platform to upload child pornography. Andreozzi communicated to another person via the app that “I have lots of young stuff.” “I have little girls,” and “I have lots.”
Separately, in June 2020, the Rhode Island State Police Internet Crimes Against Children (ICAC) Task Force received information from the National Center for Missing and Exploited Children and the Massachusetts ICAC that an individual in Rhode Island uploaded 14 files of child pornography. Further investigation determined that the IP address used belonged to Thomas Andreozzi.
Additionally, in July 2020, the FBI and the Winnebago County, Wisconsin, Sherriff’s Department investigated the sharing of child pornography via a social media platform by a user who claimed to be a 30-year-old in California and who was actively molesting a young female. The FBI traced the IP address that was used to share the child pornography to Andreozzi’s North Providence apartment.
At the time of Andreozzi’s arrest in July 2020, a cell phone in his hand was found to be opened to an electronic media storage service. A Rhode Island ICAC analyst observed numerous files containing child pornography stored in Andreozzi’s storage account. Also located on the phone was the social media application and user account brought to the attention of the FBI and the Winnebago County Sherriff’s office.
At sentencing today, Andreozzi, who pleaded guilty in August to possession of child pornography, was sentenced by U.S. District Court Judge Mary S. McElroy to 120 months in federal prison to be followed by five years of federal supervised release.
The case was prosecuted by Assistant United States Attorney John P. McAdams.
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Seven Members of Los Angeles-Based Fraud Ring Sentenced for Multimillion-Dollar COVID-19 Relief SchemeRead the Press Release
Seven members of a Los Angeles-based fraud ring were sentenced for a scheme to fraudulently obtain more than $20 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds.
On Nov. 15, Judge Stephen V. Wilson of the U.S. District Court for the Central District of California sentenced Richard Ayvazyan, 43, to 17 years in prison; Marietta Terabelian, 37, to six years in prison; and Artur Ayvazyan, 41, to five years in prison, all of Encino, for engaging in the scheme.
Previously, Judge Wilson sentenced Manuk Grigoryan, 28, of Sun Valley, to six years in prison on Oct. 25; Edvard Paronyan, 41, of Granada Hills, to 30 months in prison on Sept. 27; Vahe Dadyan, 42, of Glendale, to one year and one day in prison on Oct. 18; and Arman Hayrapetyan, 39, of Glendale, to 10 months of probation on Oct. 18. Tamara Dadyan, 42, of Encino, is scheduled to be sentenced on Dec. 6.
According to court documents and evidence presented at a June 2021 trial, the defendants used dozens of fake, stolen, or synthetic identities — including names belonging to elderly or deceased people and foreign exchange students who briefly visited the United States years ago and never returned — to submit fraudulent applications for approximately 150 PPP and EIDL loans. In support of the fraudulent loan applications, the defendants also submitted false and fictitious documents to lenders and the Small Business Administration (SBA), including fake identity documents, tax documents, and payroll records. The defendants then used the fraudulently obtained funds as down payments on luxury homes in Tarzana, Glendale, and Palm Desert. They also used the funds to buy gold coins, diamonds, jewelry, luxury watches, fine imported furnishings, designer handbags, clothing, and a Harley-Davidson motorcycle. The conspirators sought to fraudulently obtain more than $20 million in COVID-19 relief funds.
“The defendants engaged in a scheme to steal critical relief funds intended to assist small businesses during the pandemic,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “This case, involving an egregious example of pandemic relief fraud, was the first in the country to go to trial. The Department of Justice, along with our law enforcement partners, will continue to use every available tool to combat and prevent criminals from exploiting national emergencies for their personal benefit.”
“The defendants used the COVID-19 crisis to steal millions of dollars in much-needed government aid intended for people and businesses suffering from the economic effects of the worst pandemic in a century,” said U.S. Attorney Tracy L. Wilkison for the Central District of California. “These sentences reflect our office’s determination to root out and punish wrongdoers who use national emergencies to defraud the government and the American taxpayer.”
“The defendants in this case flagrantly defrauded government aid programs at the expense of struggling small businesses, and then used the illicit funds on luxuries for themselves,” said Acting Assistant Director Jay Greenberg of the FBI’s Criminal Investigative Division. “This sentencing demonstrates the steadfast work of the FBI and our partners in bringing to justice individuals who use national emergencies as an opportunity for criminal activity.”
“Conspiring to rob victims of their identities and subsequently, taxpayer funds vital to the survival of the nation’s small businesses will be met with justice,” said SBA Inspector General Hannibal “Mike” Ware. “The Office of Inspector General (OIG) will work tirelessly with its law enforcement partners to unmask those responsible. I want to thank the Department of Justice and our law enforcement partners for their dedication and pursuit of justice.”
“This criminal syndicate pilfered millions of dollars in COVID-19 relief funds that were intended to aid small businesses during this unprecedented pandemic,” said Special Agent in Charge Ryan L. Korner of the IRS-Criminal Investigation, Los Angeles Field Office. “When our nation was at its most vulnerable, these individuals thought only about lining their own pockets. These sentences reflect the seriousness of these crime. The IRS and our law enforcement partners will continue to pursue these deplorable frauds and put the perpetrators in prison where they belong.”
“The Office of Inspector General is proud to work with our partners in law enforcement to prevent, detect, and deter attempts to perpetrate fraud in the Federal Home Loan Bank System and steal the assistance intended for small business owners and employees under this important part of the CARES Act,” said Special Agent in Charge Jay N. Johnson of the Federal Housing Finance Agency, Office of Inspector General’s Western Region. “The fact that the team was able to investigate this case during the height of the pandemic, at great risk to themselves and their loved ones, is a testament to their commitment to this country and federal service.”
Defendants Richard Ayvazyan, Terabelian, Artur Ayvazyan, and Vahe Dadyan were convicted after a jury trial on June 25. Prior to the verdict, Grigoryan pleaded guilty on June 7 to one count of bank fraud and one count of aggravated identity theft; Paronyan pleaded guilty on June 11 to one count of wire fraud; and Hayrapetyan pleaded guilty on June 21 to one count of conspiracy to commit money laundering. Tamara Dadyan pleaded guilty on June 14 to one count of conspiracy to commit wire fraud and bank fraud, one count of conspiracy to commit money laundering, and one count of aggravated identity theft but has since moved to withdraw her plea. That motion is still pending.
Richard Ayvazyan and Terabelian absconded prior to sentencing and were sentenced by Judge Wilson in absentia. They remain fugitives. The FBI is offering a reward of up to $20,000 for information leading to the arrest of Ayvazyan and Terabelian.
Trial Attorney Christopher Fenton of the Justice Department’s Fraud Section and Assistant U.S. Attorneys Scott Paetty, Brian Faerstein, and Catherine Ahn of the Central District of California are prosecuting the case. Assistant U.S. Attorney Dan Boyle of the Central District of California is handling forfeiture.
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.
Second DC Solar Defendant Sentenced to 3 Years in Prison for Billion Dollar Ponzi SchemeRead the Press Release
SACRAMENTO, Calif. — Joseph W. Bayliss, 46, of Martinez, was sentenced today to three years in prison and ordered to pay $481.3 million in restitution for participating in a billion-dollar Ponzi scheme involving DC Solar, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, Bayliss was an electrician that DC Solar hired to pose as a licensed engineer who inspected newly constructed mobile solar generator units (MSG) that were mounted on trailers and were promoted as able to provide emergency power to cellphone towers and lighting at sporting events. The MSGs were sold to investors who were given generous federal tax credits. But in fact, DC Solar had become a fraud scheme that took new investor money to pay older investors. As DC Solar lost vast sums of money with this fraudulent model, the owner of DC Solar, Jeff Carpoff, and other conspirators stopped building the MSGs altogether, selling thousands of MSGs that did not even exist to investors.
According to court documents, Bayliss played a key role in the fraud scheme orchestrated by Carpoff and others. To cover up the fact that no new MSGs were being built, Carpoff provided false reports that newly constructed MSGs had been inspected and tested. In reality, at least half of the approximately 17,000 mobile solar generators claimed to have been manufactured by DC Solar did not exist. From 2016 to 2018, Bayliss personally signed thousands of reports stating that new units had been inspected and tested. He knew the reports were false and he knew they would be used to induce millions upon millions of investor payments. In turn, Carpoff paid Bayliss approximately $1 million. In addition to the reports, Bayliss helped to deceive investors by removing and replacing vehicle identification number (VIN) stickers that were affixed to the MSGs. Finally, after the 2018 search warrants executed at DC Solar, at Carpoff’s direction, Bayliss traveled to a DC Solar warehouse in Nevada and scraped off approximately 200 replacement VIN stickers and destroyed at least 1,000 VIN stickers stored in boxes in the warehouse.
On Nov. 9, 2021, Jeff Carpoff was sentenced to 30 years in prison and ordered to pay $790.6 million in restitution for conspiracy to commit wire fraud and money laundering. His wife, Paulette Carpoff, 47, has pleaded guilty to conspiracy to commit an offense against the United States and money laundering, and is scheduled to be sentenced on March 22, 2022.
Other defendants have pleaded guilty to criminal offenses related to the fraud scheme and are scheduled for sentencing: Ronald J. Roach, 54, of Walnut Creek, is scheduled for sentencing on Feb. 15, 2022. Robert A. Karmann, 54, of Clayton; Ryan Guidry, 44, of Pleasant Hill; and Alan Hansen, 50, of Vacaville, are scheduled to be sentenced on Dec. 14, 2021.
This case is the product of an investigation by the Federal Bureau of Investigation, IRS Criminal Investigation, and the Federal Deposit Insurance Corporation Office of Inspector General. Assistant U.S. Attorneys Christopher S. Hales and Kevin C. Khasigian are prosecuting the case.
Paulette Carpoff, Hansen, Karmann, and Guidry face a maximum statutory penalty of 15 years in prison. Roach faces a maximum statutory penalty of 10 years prison. The actual sentences, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sanford Man Sentenced for Making False Statements to Firearms DealersRead the Press Release
PORTLAND, Maine: A Sanford man was sentenced today in federal court for providing false information to firearms dealers while purchasing firearms, U.S. Attorney Darcie N. McElwee announced.
U.S. District Judge D. Brock Hornby sentenced Allen Sinclair Bowman, 26, to 18 months in prison and 18 months of supervised release. Bowman pleaded guilty in August 2021.
According to court records, in October and November 2018, Bowman purchased 10 firearms from three different federal firearm licensees in Cumberland and York counties. While purchasing the firearms, Bowman responded “Yes” to a question on an ATF form which asked if he was purchasing the firearms for himself. Bowman was actually purchasing the firearms for a drug dealer in Massachusetts to settle a drug debt. It is against federal law to provide false information to federal firearm licensees when purchasing firearms.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Sanford Police Department investigated the case as part of the Department of Justice’s Project Safe Neighborhoods (PSN) initiative.
PSN is a nationwide initiative that brings together federal, state, local and tribal law enforcement officials, prosecutors, community leaders and other stakeholders to identify the most pressing violent crime problems in a community and develop comprehensive solutions to address them. PSN is coordinated by the U.S. Attorneys’ Offices in the 94 federal judicial districts throughout the 50 states and U.S. territories. PSN is customized to account for local violent crime problems and resources. Across all districts, PSN follows four key design elements of successful violent crime reduction initiatives: community engagement, prevention and intervention, focused and strategic enforcement, and accountability.
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San Fernando Valley Family Members Sentenced to Years in Prison for Fraudulently Obtaining Tens of Millions of Dollars in COVID ReliefRead the Press Release
LOS ANGELES – Three members of a San Fernando Valley family have been sentenced – two of them in absentia after they fled justice following their convictions at trial – to years in federal prison for scheming to fraudulently obtain more than $20 million in Paycheck Protection Program (PPP) and Economic Injury Disaster Loan (EIDL) COVID-19 relief funds.
On Monday, United States District Judge Stephen V. Wilson handed down prison sentences to the Encino residents:
- Richard Ayvazyan, 43, who was ordered to serve 17 years;
- Marietta Terabelian, 37, Richard Ayvazyan’s wife, who was sentenced to six years; and
- Artur Ayvazyan, 41, Richard Ayvazyan’s brother, who was ordered to serve five years in federal prison.
At Monday’s sentencing hearing, Judge Wilson said he could not recall a fraud case conducted in such a “callous, intentional way without any regard for the law.” Judge Wilson further described Richard Ayvazyan as “an endemic, cold-hearted fraudster with no regard for the law” and someone who “views fraud as an achievement.”
“The defendants used the COVID-19 crisis to steal millions of dollars in much-needed government aid intended for people and businesses suffering from the economic effects of the worst pandemic in a century,” said United States Attorney Tracy L. Wilkison. “These sentences reflect our office’s determination to root out and punish wrongdoers who use national emergencies to defraud the government and the American taxpayer.”
“The defendants engaged in a scheme to steal critical relief funds intended to assist small businesses during the pandemic,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “This case, involving an egregious example of pandemic relief fraud, was the first in the country to go to trial. The Department of Justice, along with our law enforcement partners, will continue to use every available tool to combat and prevent criminals from exploiting national emergencies for their personal benefit.”
“The defendants lived a lavish lifestyle by defrauding the government at the expense of small businesses and American taxpayers already facing financial and pandemic-related hardship," said Kristi K. Johnson, the Assistant Director in Charge of the FBI's Los Angeles Field Office. “The FBI is actively investigating the whereabouts of fugitives Terabelian and Ayvazyan and will pursue them until they are taken into custody to pay for their crimes.”
The FBI is offering a reward of up to $20,000 for information leading to the arrest of Richard Ayvazyan and Terabelian, who allegedly cut their tracking bracelets on August 29 and went on the run while awaiting sentencing in this case. Judge Wilson sentenced them in absentia, and they remain fugitives from justice.
At the end of an eight-day trial, a federal jury on June 25 found Richard Ayvazyan, Terabelian, and Artur Ayvazyan guilty of one count of conspiracy to commit bank fraud and wire fraud, 11 counts of wire fraud, eight counts of bank fraud and one count of conspiracy to commit money laundering. Richard Ayvazyan and his brother were also convicted of aggravated identity theft.
On June 28, the jury further found that Richard Ayvazyan and Terabelian must forfeit bank accounts, jewelry, watches, gold coins, three residential properties and approximately $450,000 in cash.
Judge Wilson previously sentenced four defendants in this case:
- Manuk Grigoryan, 28, of Sun Valley, was sentenced on October 25 to six years in prison;
- Edvard Paronyan, 41, of Granada Hills, was sentenced on September 27 to 30 months in prison;
- Vahe Dadyan, 42, of Glendale, was sentenced on October 18 to 12 months and one day in prison; and
- Arman Hayrapetyan, 39, of Glendale, was ordered on October 18 to serve 10 months of probation.
Tamara Dadyan, 42, of Encino, is scheduled to be sentenced on December 6, but Judge Wilson has not yet ruled on a motion to withdraw her guilty plea.
According to court documents and evidence presented at trial, the defendants used dozens of fake, stolen or synthetic identities – including names belonging to elderly or deceased people and foreign exchange students who briefly visited the United States years ago and never returned – to submit fraudulent applications for approximately 150 PPP and EIDL loans. In support of the fraudulent loan applications, the defendants also submitted false and fictitious documents to lenders and the Small Business Administration (SBA), including fake identity documents, tax documents and payroll records. The defendants then used the fraudulently obtained funds as down payments on luxury homes in Tarzana, Glendale and Palm Desert. They also used the funds to buy gold coins, diamonds, jewelry, luxury watches, fine imported furnishings, designer handbags, clothing and a Harley-Davidson motorcycle. The conspirators sought to fraudulently obtain more than $20 million in COVID-19 relief funds.
“This criminal syndicate pilfered millions of dollars in COVID-19 relief funds that were intended to aid small businesses during this unprecedented pandemic,” said Special Agent in Charge Ryan L. Korner of the IRS-Criminal Investigation, Los Angeles Field Office. “When our nation was at its most vulnerable, these individuals thought only about lining their own pockets. These sentences reflect the seriousness of these crime. The IRS and our law enforcement partners will continue to pursue these deplorable frauds and put the perpetrators in prison where they belong.”
“Conspiring to rob victims of their identities and subsequently, taxpayer funds vital to the survival of the nation’s small businesses will be met with justice,” said SBA Inspector General Hannibal “Mike” Ware. “OIG will work tirelessly with its law enforcement partners to unmask those responsible. I want to thank the Department of Justice and our law enforcement partners for their dedication and pursuit of justice.”
“The Office of Inspector General is proud to work with our partners in law enforcement to prevent, detect, and deter attempts to perpetrate fraud in the Federal Home Loan Bank System and steal the assistance intended for small business owners and employees under this important part of the CARES Act,” said Special Agent in Charge Jay N. Johnson of the Federal Housing Finance Agency, Office of Inspector General’s Western Region. “The fact that the team was able to investigate this case during the height of the pandemic, at great risk to themselves and their loved ones, is a testament to their commitment to this country and federal service.”
The FBI, IRS Criminal Investigation, the Small Business Administration’s Office of Inspector General, and the Federal Housing Finance Agency Office of Inspector General investigated this matter.
Assistant United States Attorneys Scott Paetty and Catherine S. Ahn of the Major Frauds Section, Assistant United States Attorney Brian R. Faerstein of the Environmental and Community Safety Crimes Section, Assistant United States Attorney Daniel G. Boyle of the Asset Forfeiture Section, and Trial Attorney Christopher Fenton of the Fraud Section of the Justice Department’s Criminal Division are prosecuting this case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Registered Child Sex Offender Sentenced for Sexual Exploitation of Children and Possession of Child PornographyRead the Press Release
WASHINGTON – A Vermont man was sentenced today to 200 months, or more than 16 years, in prison followed by 15 years of supervised release for the sexual exploitation of children and possessing child pornography. As part of his sentence, he will also pay $37,199.00 in restitution.
Ryan Beaulieu, 45, of Underhill, pleaded guilty to one count of sexual exploitation of children and one count of possession of child pornography on March 29, 2021. According to court documents, Beaulieu used an anonymous video chat website to contact multiple prepubescent children and directed them to engage in sexually explicit conduct. Beaulieu used screen recording software to create videos of those children displaying their genitals while he sent sexually explicit messages. A search of Beaulieu’s digital devices revealed thousands of images of child sexual abuse material and contained records of his active participation in numerous online groups dedicated to producing and trafficking child sexual abuse material. Beaulieu was previously convicted in 2013 for sexually abusing a prepubescent child and was registered as a sex offender at the time of his offenses.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division and Acting U.S. Attorney Jonathan A. Ophardt for the District of Vermont made the announcement.
The Office of the Vermont Attorney General, Department of Homeland Security’s Homeland Security Investigations, and FBI investigated the case.
Trial Attorney Eduardo A. Palomo of the Justice Department’s Child Exploitation and Obscenity Section and Acting U.S. Attorney Jonathan A. Ophardt for the District of Vermont prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. 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.
Registered Child Sex Offender Sentenced for Sexual Exploitation of Children and Possession of Child PornographyRead the Press Release
A Vermont man was sentenced today to 200 months, or more than 16 years, in prison followed by 15 years of supervised release for the sexual exploitation of children and possessing child pornography. As part of his sentence, he will also pay $37,199 in restitution.
Ryan Beaulieu, 45, of Underhill, pleaded guilty to one count of sexual exploitation of children and one count of possession of child pornography on March 29. According to court documents, Beaulieu used an anonymous video chat website to contact multiple prepubescent children and directed them to engage in sexually explicit conduct. Beaulieu used screen recording software to create videos of those children displaying their genitals while he sent sexually explicit messages. A search of Beaulieu’s digital devices revealed thousands of images of child sexual abuse material and contained records of his active participation in numerous online groups dedicated to producing and trafficking child sexual abuse material. Beaulieu was previously convicted in 2013 for sexually abusing a prepubescent child and was registered as a sex offender at the time of his offenses.
Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division and Acting U.S. Attorney Jonathan A. Ophardt for the District of Vermont made the announcement.
The Office of the Vermont Attorney General, Department of Homeland Security’s Homeland Security Investigations, and FBI investigated the case.
Trial Attorney Eduardo A. Palomo of the Justice Department’s Child Exploitation and Obscenity Section and Acting U.S. Attorney Jonathan A. Ophardt for the District of Vermont prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. 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.
Prior Felon Sentenced to 25 Years in Federal Prison for Production of Child PornographyRead the Press Release
GAINESVILLE, FLORIDA – Steven Michael Krpata, Jr., 43, of Gainesville, Florida, was sentenced to 25 years in federal prison for production of child pornography. The sentence was announced by Jason R. Coody, Acting United States Attorney for the Northern District of Florida.
Krpata hid a camera in the women’s restroom of a North Central Florida restaurant and had been recording images from July 2018 through early August 2020. The camera was hidden in an air conditioning vent above the handicap stall. A search of Krpata’s computer revealed files of nude women and children using the restroom. At the time of his arrest, Krpata was serving probation in connection with his 2008 conviction for possession of child pornography.
“Today’s sentence acknowledges the deviant acts of a child predator and the associated harm,” stated Acting U.S. Attorney Coody. “With the assistance of our law enforcement partners, we remain vigilant to investigate and prosecute those who would seek to harm our most vulnerable.”
Krpata will be required to register as a sex offender and be subject to all sex offender conditions.
“HSI hopes the sentence imposed on this admitted child predator brings a small measure of peace and recovery to his victims,” said HSI Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “HSI Gainesville will continue to focus on providing support to his victims.”
The case was investigated by the Homeland Security Investigations. Assistant United States Attorney Frank Williams prosecuted the case.
The United States Attorney's Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Previously Convicted Felon Sentenced to 100 Months in Prison for Unlawfully Possessing a Firearm and Possessing with Intent to Distribute NarcoticsRead the Press Release
TRENTON, N.J. – A Mercer County, New Jersey, man with six prior felony convictions was sentenced today to 100 months in prison for firearms and distribution of controlled substances offenses, Acting U.S. Attorney Rachael A. Honig announced.
Alfred Donaldson, 39, of Trenton, previously pleaded guilty before U.S. District Judge Anne E. Thompson to an information charging him with possession of a firearm and ammunition by a convicted felon and possession with intent to distribute heroin and cocaine.
According to documents filed in this case and statements made in court:
On Jan. 4, 2019, law enforcement officers arrived at Donaldson’s residence to execute two arrest warrants issued for his failure to appear for his sentencing hearings on unrelated charges at the Mercer County Superior Court. They lawfully entered the residence and recovered a 9-millimeter Taurus handgun loaded with eight rounds of ammunition, 27 bricks of heroin, and more than one ounce of cocaine. At the time of the firearm and narcotics possession, Donaldson had sustained several convictions, including three convictions for controlled substance offenses. As a previously convicted felon, Donaldson is not permitted to possess firearms under federal law.
In addition to the prison term, Judge Thompson sentenced Donaldson to three years of supervised release.
Acting U.S. Attorney Honig credited special agents of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Newark Division, Trenton Field Office, under the direction of Special Agent in Charge Jeffrey L. Matthews; officers of the Mercer County Sheriff’s Office, under the direction of Sheriff John A. Kemler; and the Mercer County Prosecutor’s Office, under the direction of Prosecutor Angelo Onofri, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Ray A. Mateo of the Opioid Abuse Prevention and Enforcement Unit in Newark.
Postal Worker Indicted for Delay or Destruction of MailRead the Press Release
NEW ORLEANS, LOUISIANA – DARIUS PATIN, age 33, a resident of New Orleans, Louisiana, was charged on November 12, 2021 in a one-count indictment for delay or destruction of mail.
According to court documents, PATIN was employed by the United States Postal Service as a City Carrier and was assigned to work at Carrollton Station, New Orleans, LA. The indictment alleges that on or about April 28, 2021, PATIN secreted, destroyed, detained, and delayed approximately 1,377 pieces of mail that were recovered from a dumpster in an apartment complex. PATIN also unlawfully secreted, detained, and delayed approximately nine First Class letters, eight standard letters, four standard flats, and two periodicals in his personal vehicle.
U.S. Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted, the defendant faces a maximum penalty of up to five (5) years imprisonment, up to a $250,000 fine, up to three (3) years of supervised release, and a $100 mandatory special assessment fee.
U.S. Attorney Evans praised the work of the U.S. Postal Service Office of Inspector General in investigating this matter. Assistant U.S. Attorney Rachal Cassagne is in charge of the prosecution.
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Pittsfield Man Pleads Guilty to Failing to Register as a Sex OffenderRead the Press Release
BOSTON – A Pittsfield man pleaded guilty on Friday, Nov. 12, 2021 in federal court in Springfield to failing to register as a sex offender.
Jarrett Woodruff, 34, pleaded guilty to one count of failure to register as a sex offender before U.S. District Court Judge Mark G. Mastroianni who scheduled sentencing for March 14, 2022. Woodruff was charged in November 2020.
In August 2018, Woodruff was convicted in Pittsfield District Court of three counts of indecent assault and battery on a child under 14 years of age and was sentenced to 251 days in prison. Because Woodruff had already served 251 days during pre-trial detention, he was placed on probation with conditions and was required to register as a Level 3 sex offender. While on probation, Woodruff fled from Massachusetts to Ohio without notifying authorities of his whereabouts and did not register as a sex offender in Ohio.
In February 2019, a Massachusetts state court issued an arrest warrant for Woodruff on a new child sexual abuse charge. Woodruff subsequently fled from Ohio to Georgia, where he again did not register as a sex offender. In October 2020, he was located and approached by federal agents at an apartment in Dunwoody, Ga. Woodruff attempted to evade arrest by climbing into the adjoining neighbors’ apartment balconies before jumping to the ground where he was apprehended.
The charge of failure to register as a sex offender provides for a sentence of up to 10 years in prison, up to a lifetime of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Douglas Bartlett, Acting United States Marshal for the District of Massachusetts made the announcement. Assistant U.S. Attorney Alex J. Grant of Mendell’s Springfield Branch Office is prosecuting the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Pittsburgh Man Pleads Guilty to Child Sexual Exploitation ChargesRead the Press Release
PITTSBURGH – A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of Distribution and Receipt and Attempted Distribution and Receipt of Material Depicting the Sexual Exploitation of Minor, Acting United States Attorney Stephen R. Kaufman announced today.
David Saban, age 46, pleaded guilty to one count before United States District Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that on August 16, 2020, Saban knowingly distributed and attempted to distribute visual depictions, namely, videos in computer graphic and digital files, the production of which involved the use of a minor engaging in sexually explicit conduct.
Judge Bissoon scheduled sentencing for March 14, 2022 at 2:15 p.m. The law provides for a total sentence of not less than five (5) years and not more than twenty (20) years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Heidi M. Grogan is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation that led to the prosecution of Saban. This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Pittsburgh Man Arranged Purchases and Sales of Heroin and Fentanyl, Illegally Possessed a GunRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of violating federal narcotics laws in connection with a large-scale investigation conducted by the Greater Pittsburgh Safe Streets Task Force, Acting United States Attorney Stephen R. Kaufman announced today.
Trevon McCrary, age 27, of Pittsburgh, Pennsylvania, pleaded guilty to one count of conspiring to distribute and possess with intent to distribute a quantity of a mixture of heroin and fentanyl before United States District Judge William S. Stickman, IV. Mr. McCrary is one of 40 defendants charged in the Indictment and Superseding Indictment returned in the case.
In connection with the guilty plea, the court was advised that from in and around January 2018 through in and around June 2019, McCrary participated in a conspiracy with Ronald Williams, Christopher Highsmith, and others to distribute heroin and fentanyl. McCrary was intercepted on a court-authorized wiretap arranging purchases and sales of heroin/fentanyl and was the subject of physical surveillance while engaging in drug-trafficking activity. McCrary took responsibility for distributing between 32 and 40 grams of a heroin/fentanyl mixture as well as possession of a firearm.
Judge Stickman scheduled sentencing for March 21, 2022, at 1:30 p.m. The law provides for a total sentence of not more than twenty (20) years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court ordered the defendant remain in custody.
Assistant United States Attorneys Carolyn J. Bloch and Brendan J. McKenna are prosecuting this case on behalf of the government.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the Bureau of Alcohol Tobacco Firearms and Explosives, Allegheny County Adult Probation, Allegheny County Police Department, Allegheny County Sheriff’s Office, Pennsylvania Attorney General’s Office Bureau of Narcotics, Pittsburgh Bureau of Police, and the Wilkinsburg Police Department. Other assisting agencies include the Green Tree Police Department, New York City Police Department, Mount Oliver Police Department, Pennsylvania State Police, Yonkers Police Department, United States Marshals Fugitive Task Force, and the United States Postal Inspection Service.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money
launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.Penn Hills Man Charged with Attempted Cocaine PossessionRead the Press Release
PITTSBURGH, PA - One resident of Penn Hills, Pennsylvania, was indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotics laws, Acting United States Attorney Stephen R. Kaufman announced today.
The one-count Indictment named Jose Antonio Santiago Hernandez, age 30, as the sole defendant.
According to the Indictment, on or about June 28, 2021, Hernandez attempted to possess with intent to distribute 5 kilograms or more of mixture and substance containing a detectable amount of cocaine, a Schedule II controlled substance.
The law provides for a maximum total sentence of life, a fine not to exceed $10,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Nicole Ann Stockey is prosecuting this case on behalf of the government.
The United States Postal Inspection Service conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pass Christian Man Sentenced to Almost 6 Years in Prison for Possession of a Firearm by a Convicted FelonRead the Press Release
Gulfport, Miss. – A Pass Christian man was sentenced to 70 months in federal prison for being a previously convicted felon in possession of a firearm, announced U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives.
According to court records, on November 10, 2020, Martin Stephen Brown, 48, possessed a loaded Pietro Beretta .380 caliber firearm. Brown was previously convicted in Hancock County Circuit Court on multiple drug charges and is prohibited from possessing a firearm.
Brown pled guilty on May 25, 2021 to possession of a firearm by a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney Andrea Jones prosecuted the case.
Owners of Imaging Product Companies Pay $220,000 to Resolve Allegations of Fraud Against Federal Government AgenciesRead the Press Release
SACRAMENTO, Calif. — Jimmy A. Meron, owner of WOW Imaging Products LLC (WOW) and part owner of Time Enterprises LLC (Time), has paid $100,000 to resolve allegations of knowingly overcharging federal agencies for imaging products; Michael J. Lowe, Meron’s co-owner of Time, has paid an additional $120,000, Acting U.S. Attorney Phillip A. Talbert announced.
These payments are in addition to over $1.7 million dollars forfeited by Meron and Lowe in connection with a criminal investigation that resulted in Meron’s criminal plea to felony wire fraud. Lowe was not charged in the criminal proceeding.
Through their companies WOW and Time, Meron and Lowe contracted to sell office supplies to federal agencies on two web-based government sales portals, GSA Advantage, operated by the General Services Administration, and DoD EMall, operated by the Department of Defense. WOW and Time routinely substituted less expensive printer cartridges for brand-name cartridges ordered by federal-agency customers and retained the difference in cost. In order to evade detection, WOW and Time flagged customers who complained to receive the appropriate product in future orders.
“Those who do business with the government must do so fairly and honestly,” said Acting U.S. Attorney Talbert. “This office will seek appropriate remedies against government contractors who knowingly overcharge United States agencies for products.”
“This settlement reflects the GSA OIG’s commitment to work with our law enforcement partners to investigate and hold accountable those who seek personal financial gain from fraudulently selling inferior products to the federal government,” said Special Agent in Charge Theresa Quellhorst, General Services Administration, Office of Inspector General.
“The Department of Defense (DoD) maintains a high standard for the quality of the products and supplies utilized to accomplish its important mission,” said Bryan D. Denny, Special Agent in Charge for the DoD Office of Inspector General, Defense Criminal Investigative Service (DCIS), Western Field Office. “Today’s settlement demonstrates DCIS’s commitment to working with our law enforcement partners to root out fraud in government procurement and protect the American taxpayer dollars entrusted to the DoD.”
This settlement is the result of work by the U.S. Attorney’s Office for the Eastern District of California with help from the General Services Administration, Office of Inspector General, and the Defense Criminal Investigative Services, Office of Inspector General. Assistant U.S. Attorney Catherine J. Swann handled the matter for the United States. The claims settled by this agreement are allegations only, and there has been no determination of liability.
Oregon Man Charged with Federal Hate Crime After Attacking Gay ManRead the Press Release
An Oregon man has been charged with a federal hate crime after using the internet to target and brutally assault a gay man because of his sexual orientation.
Daniel Andrew McGee, of Springfield, has been charged by criminal complaint with a hate crime. The complaint alleges that McGee attempted to kill the victim.
According to court documents, McGee and his victim met using Grindr, a social media and networking application designed for, and used primarily by, gay men. On July 5, after agreeing to meet, McGee entered his victim’s apartment and proceeded to assault the man with a wooden club over a period of several minutes. Despite the victim’s pleas for McGee to stop, McGee continued striking the man repeatedly in the head with the club. The victim sustained life-threatening injuries and was transported to a local hospital.
Further investigation revealed that, in the weeks leading up to the attack, McGee used the internet to search for and view graphically violent anti-gay material, including videos of anti-gay attacks. McGee also used the internet to plan the assault, purchasing the weapon and other materials online. In addition, McGee searched online for suggestions about how to get away with murder and how murderers avoid getting caught.
On Nov. 15, McGee was arrested by the FBI and made his initial appearance in federal court before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and Acting U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by the FBI with assistance from the Eugene Police Department. It is being prosecuted by Assistant U.S. Attorney Gavin W. Bruce for the District of Oregon and Trial Attorney Cameron A. Bell of the Civil Rights Division.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Oregon Man Charged with Federal Hate Crime After Attacking Gay ManRead the Press Release
EUGENE, Ore.—A Springfield, Oregon man has been charged with a federal hate crime after using the internet to target and brutally assault a gay man, because of his sexual orientation.
Daniel Andrew McGee, 22, has been charged by criminal complaint with a hate crime. The complaint alleges that McGee attempted to kill the victim.
According to court documents, McGee and his victim met using Grindr, a social media and networking application designed for, and used primarily by, gay men. On July 5, 2021, after agreeing to meet, McGee entered his victim’s apartment and proceeded to assault the man with a wooden club over a period of several minutes. Despite the victim’s pleas for McGee to stop, McGee continued striking the man repeatedly in the head with the club. The victim sustained life-threatening injuries and was transported to a local hospital.
Further investigation revealed that, in the weeks leading up to the attack, McGee used the internet to search for and view graphically violent anti-gay material, including videos of anti-gay attacks. McGee also used the internet to plan the assault, purchasing the weapon and other materials online. In addition, McGee searched online for suggestions about how to get away with murder and how murderers avoid getting caught.
On November 15, 2021, McGee was arrested by the FBI and made his initial appearance in federal court before a U.S. Magistrate Judge. He was ordered detained pending further court proceedings.
Assistant Attorney General Kristen M. Clarke of the Civil Rights Division and Acting U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by the FBI with assistance from the Eugene Police Department. It is being prosecuted by Gavin W. Bruce, Assistant U.S. Attorney for the District of Oregon, and Cameron A. Bell, Trial Attorney for the U.S. Department of Justice’s Civil Rights Division.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Okreek Man Indicted for Second Degree Murder and Using a Firearm During Crime of ViolenceRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that an Okreek, South Dakota, man has been indicted by a federal grand jury for Second Degree Murder and Using and Carrying a Firearm During and in Relation to a Crime of Violence.
Leon Good Buffalo, age 23, was indicted on November 9, 2021. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 15, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on October 28, 2021, in Todd County, South Dakota, Good Buffalo killed a man by shooting him with a shotgun.
The charges are merely accusations and Good Buffalo is presumed innocent until and unless proven guilty.
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.
The investigation is being conducted by the Federal Bureau of Investigation, the Rosebud Sioux Tribe Law Enforcement Services, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Kirk Albertson is prosecuting the case.
Good Buffalo was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Ocean County Man Charged with Illegally Possessing Loaded Semi-Automatic RifleRead the Press Release
TRENTON, N.J. – An Ocean County, New Jersey, man was charged with illegally possessing a loaded semi-automatic rifle as a previously convicted felon, Acting U.S. Attorney Rachael A. Honig announced today.
Jeremy W. Barringer, 46, of Toms River, New Jersey, is charged by criminal complaint with one count of possession of a firearm by a convicted felon. Barringer was taken into federal custody this morning, appeared today by videoconference before U.S. Magistrate Judge Tonianne J. Bongiovanni in Trenton federal court, and was detained.
According to documents filed in this case and statements made in court:
On Oct. 24, 2021, at 3:05 a.m., Mantoloking and Bay Head police officers responded to the area of Herbert Street and Highway 35 in Mantoloking in response to a report of a motor vehicle crash involving a single vehicle. Officers found Barringer, a previously convicted felon, behind the wheel of his vehicle and observed a 5.56-millimeter semi-automatic rifle on the floorboard of the back seat of Barringer’s vehicle. The rifle was later found to be loaded with approximately 21 rounds of 5.56-millimeter full metal jacket ammunition. When officers ordered Barringer to step out of the vehicle, they observed that Barringer was wearing a tactical, bullet-proof vest and an empty handgun holster on his hip. After taking Barringer into custody, officers conducted a further search of Barringer’s vehicle and discovered a black 9-millimeter semi-automatic pistol with no serial number (commonly referred to as a “ghost gun”), loaded with 14 rounds of hollow-point ammunition, three 9-millimeter pistol magazines loaded with hollow-point ammunition, and three 30-round rifle magazines loaded with 5.56-millimeter ammunition.
The count of possession of a firearm by a convicted felon carries a maximum penalty of 10 years in prison and a $250,000 fine.
Acting U.S. Attorney Honig credited special agents of the FBI, Newark Division, under the direction of Special Agent in Charge George M. Crouch Jr.; officers of the Mantoloking Police Department, under the direction of Chief of Police Stacy S. Ferris; and officers of the Bay Head Police Department, under the direction of Chief of Police William A. Hoffman, with the investigation leading to the charges. She also thanked detectives from the Ocean County Prosecutor’s Office, under the direction of Prosecutor Bradley D. Billhimer, officers from the Ocean County Sheriff’s Office, under the direction of Sheriff Michael G. Mastronardy, and officers from the Toms River Police Department, under the direction of Chief of Police Mitchell A. Little, for their assistance in the investigation.
The government is represented by Assistant U.S. Attorney Ian D. Brater of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
New Orleans Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
NEW ORLEANS, LA – United States District Judge Jay C. Zainey sentenced BRADLEY BRIGHT, 32, of New Orleans, Louisiana, today to ten (10) years in federal prison for being a felon in possession of a firearm, announced U.S. Attorney Duane A. Evans.
In February 2020, BRIGHT was indicted for various counts of distribution of heroin and cocaine base, being a felon in possession of a firearm, and possessing a firearm in furtherance of drug trafficking.
Court documents show that as part of his plea, BRIGHT admitted that he was distributing crack cocaine near a store on Basin Street outside the French Quarter. New Orleans Police Department Officers observed the sale and stopped the buyer, who had a crack pipe in her pocket and crack in her purse. After confirming the transaction had in fact been a hand-to-hand drug sale, the officers then moved in to arrest BRIGHT, who attempted to flee. After a brief chase, the officers subdued BRIGHT and found a .40 caliber handgun that had been reported stolen and that was fully loaded with 15 rounds near where BRIGHT was arrested.
District Judge Zainey sentenced BRIGHT to the statutory maximum sentence of ten (10) years imprisonment, followed by three (3) years of supervised release. BRIGHT was also ordered to pay a $100 mandatory special assessment fee.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U. S. Attorney Evans praised the work of the New Orleans Police Department and the Drug Enforcement Administration in investigating this matter. The case is being prosecuted by Assistant United States Attorney David Haller.
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New Orleans East Resident Sentenced for Heroin and Cocaine Conspiracy, Firearm Possession, and StructuringRead the Press Release
NEW ORLEANS - U.S. Attorney Duane A. Evans announced that, earlier today, U.S. District Court Judge Greg G. Guidry sentenced New Orleans East resident DWIGHT ALEXANDER, age 50, to 136 months in prison, five (5) years of supervised release, and payment of $500 mandatory special assessment fees. The judge had previously ordered the defendant to forfeit approximately $425,000 in proceeds from his illegal drug operation.
According to the evidence introduced at his August 2019 trial, between 2012 and 2016, ALEXANDER sold a premium “cutting agent” used by drug dealers to expand and strengthen their heroin and cocaine. ALEXANDER’s product was called “Bonita,” and evidence showed that ALEXANDER acquired hundreds of kilograms of various powders like mannitol, lidocaine, quinine, and acetaminophen, that he then mixed and sold as Bonita to the highest-level drug dealers in New Orleans. During the timeframe of the conspiracy, ALEXANDER made frequent cash deposits from the proceeds of his sale of Bonita into various bank accounts. In total, the government seized approximately $425,000, which will be forfeited as the proceeds of his unlawful drug operation. ALEXANDER, who was a convicted felon, was arrested shortly after leaving his New Orleans East residence in October 2016. Agents conducted a search warrant at his residence and recovered a loaded Taurus revolver, as well as over 100 kilograms of various cutting agents that ALEXANDER intended to mix, market, and distribute to drug dealers.
At the conclusion of a five-day trial, the jury found ALEXANDER guilty of five counts: the lead charge of conspiring to distribute 1 kilogram or more of heroin and 5 kilograms or more of cocaine, two counts of distributing heroin, one count of being a felon in possession of a firearm, and one count of structuring cash deposits to avoid financial reporting requirements.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration, which led this investigation and was assisted by the Kenner Police Department, Customs and Border Protection Agency, New Orleans Police Department, Louisiana State Police, and Jefferson Parish Sheriff’s Office. Assistant United States Attorneys Brandon Long, Theodore Carter, and Alexandra Giavotella are in charge of the prosecution.
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New Jersey Man Sentenced to One Year and One Day in Prison for Conspiring with White Supremacists to Vandalize Synagogues Across the CountryRead the Press Release
A New Jersey man was sentenced today to one year and one day in prison for his role in conspiring with members of a white supremacist hate group to threaten and intimidate African-Americans and Jewish Americans by vandalizing minority-owned properties throughout the country in September 2019.
Richard Tobin, 20, of Brooklawn, New Jersey, previously pleaded guilty before U.S. District Judge Robert B. Kugler to an information charging him with conspiracy against rights. Judge Kugler imposed the sentence today in Camden federal court.
“The defendant conspired with a white supremacist hate group to vandalize and destroy property owned by Jewish and Black Americans, intending to instill fear into those communities across the country,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “This sentence makes clear that targeting persons owning and using property simply based on their race or religion will not be tolerated. The Department of Justice will continue to prosecute civil rights conspiracies and vindicate the rights of victims of bias motivated crimes.”
“Richard Tobin encouraged hateful acts of violence against individuals and their houses of worship, based on their religion or the color of their skin,” said Acting U.S. Attorney Rachael A. Honig of the District of New Jersey. “Justice demanded that he be held accountable for these racist and anti-Semitic actions, and we are proud to have joined with our colleagues in the Civil Rights Division and the Joint Terrorism Task Force in doing so in this case. Our commitment to protecting the civil rights of all in New Jersey is steadfast.”
“Richard Tobin’s white supremacist beliefs are abhorrent, but his beliefs aren’t why he’s going to prison,” said Special Agent in Charge Jacqueline Maguire of the FBI’s Philadelphia Division. “He actively conspired with others to commit a crime of violence, to victimize innocent people because of who they are or how they worship. That’s what crossed a line and made it the FBI’s business. We’re always going to pursue individuals inciting violent, hateful acts meant to intimidate and isolate members of our community.”
According to documents filed in this case and statements made in court, Tobin admitted that from Sept. 15 to Sept. 23, 2019, he was a member of a white supremacist group, “The Base,” and during that time, he communicated online with other members and directed them to destroy and vandalize properties affiliated with African Americans and Jewish Americans. Tobin dubbed this coordinated attack “Kristallnacht,” or “Night of Broken Glass,” after an attack in Germany on Nov. 9 and 10, 1938, in which Nazis murdered Jewish people and burned and destroyed Jewish homes, synagogues, stores and schools. Tobin implored members of The Base to post propaganda flyers and to break windows and slash tires belonging to African Americans and Jewish Americans. On Sept. 21, 2019, members of The Base vandalized synagogues in Racine, Wisconsin, and Hancock, Michigan, by spray painting them with hate symbols.
A conspirator, Yousef Omar Barasneh, previously pleaded guilty to conspiracy against rights in federal court in the Eastern District of Wisconsin, for his role in vandalizing the synagogue in Racine, Wisconsin.
In addition to the prison term, Judge Kugler sentenced Tobin to three years of supervised release.
Acting U.S. Attorney Honig credited special agents of the FBI Philadelphia Division’s South Jersey Resident Agency, under the direction of Special Agent in Charge Maguire, and the Joint Terrorism Task Force and its member agencies, including the Department of Homeland Security – Homeland Security Investigations, the New Jersey Office of Homeland Security and Preparedness, the New Jersey State Police and the Camden County Police Department, with the investigation leading to today’s sentencing. She also thanked the Brooklawn and Cherry Hill Police Departments for their assistance.
The government is represented by Assistant U.S. Attorney Kristen M. Harberg of the District of New Jersey and Trial Attorney Eric Peffley of the Civil Rights Division, Criminal Section.
New Jersey Individuals Sentenced to Prison Terms for Roles in Mortgage-Fraud SchemeRead the Press Release
NEWARK, N.J. – Two New Jersey individuals have been sentenced to prison terms for their roles in a mortgage-fraud scheme, Acting U.S. Attorney Rachael A. Honig announced today.
Shonda Coleman, 49, of Toms River, New Jersey, was sentenced today by U.S. District Judge Susan D. Wigenton to 36 months in prison for her role in the scheme. Coleman previously pleaded guilty before Judge Wigenton to two counts of an indictment charging her and Robert Goodrich, 62, of Sayreville, New Jersey, with bank fraud. Goodrich had previously pleaded guilty before Judge Wigenton to the same two counts of the indictment to which Coleman pleaded guilty and was sentenced on April 7, 2021, sentenced to 27 months in prison. Judge Wigenton imposed Coleman’s sentence today by videoconference.
According to documents filed in the case and statements made in court:
From 2009 to 2011 Coleman worked at Westinghouse Redevelopment Act Inc., a New Jersey business entity. In November 2009, Coleman submitted a fraudulent mortgage loan application to the lender to finance her own purchase of a home from Westinghouse. That application falsely represented, among other things, that Coleman owned $165,000 in cash, a representation intended to make Coleman appear more creditworthy than she actually was. In March 2011, Coleman again participated in the mortgage fraud scheme by helping to prepare and submit a mortgage application for a prospective buyer of a Westinghouse real estate property that she knew contained false information regarding the buyer’s finances.
Goodrich appeared at the closings for both the November 2009 and March 2011 transactions and signed settlement statements that he knew contained false information regarding the buyers’ creditworthiness.
Acting U.S. Attorney Honig credited special agents of the Federal Housing Finance Agency, Office of Inspector General, under the direction of Special Agent in Charge Robert Manchak, and the U.S. Department of Housing & Urban Development, Office of Inspector General, Mid-Atlantic Region, under the direction of Special Agent in Charge Shawn Rice, with the investigation leading to the sentencings.
The government is represented by Assistant U.S. Attorney Andrew M. Trombly of the Cybercrime Unit and Special Assistant U.S. Attorneys Kevin V. Di Gregory and Charlie L. Divine of the Federal Housing Finance Agency, Office of Inspector General.
Montz Woman Sentenced for Theft of Government FundsRead the Press Release
NEW ORLEANS – United States Attorney Duane A. Evans announced that IGEL CASANOVA GIBBINS (“GIBBINS”), age 44, of Montz, Louisiana, was sentenced today for Theft of Government Funds, in violation of Title 18, United States Code, Section 641.
According to documents filed in federal court, the case against IGEL CASANOVA GIBBINS (“GIBBINS”) began after the State of Louisiana complied with a request from the Social Security Administration (“SSA”) to provide the SSA with death data of approximately 1.6 million Social Security number holders who had died in Louisiana from January 1, 1979, through December 31, 2019. As part of that data, the State of Louisiana disclosed that D.C., a participant in the SSA’s Retirement Survivor Insurance program (“RSI Program”), died on or about August 16, 2012.
Unaware of D.C.’s death, the SSA erroneously released approximately $202,417.00 in RSI Program funds from August 2012 through December 2020, via automatic wire transfers (i.e., direct deposit) to D.C.’s jointly held Capital One Bank (“Capital One”) account. GIBBINS, D.C.’s daughter, was a joint account holder of the Capital One account. D.C.’s RSI Program benefits were not transferrable to GIBBINS. Following the automatic deposit of RSI Program benefits, GIBBINS accessed the funds and wrongfully converted the funds to her own personal use, depleting nearly all account funds. The funds were used on purchase transactions or transfers out of the account to pay bills, for example, such as for mortgage payments and vehicle loan payments. GIBBINS never advised the SSA of D.C.’s death.
The SSA determined that GIBBINS fraudulently obtained $200,396.00 in SSA disability benefits from her father’s Capital One Bank account.
United States District Judge Jay C. Zainey sentenced GIBBINS to five (5) years probation, 100 hours of community service, full restitution to the Social Security Administration, and a $100 mandatory special assessment fee.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Social Security Administration, Office of the Inspector General with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit and Assistant U.S. Attorney Paige O’Hale.
Mobridge Man Sentenced for Meth TraffickingRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Mobridge, South Dakota, man convicted of Conspiracy to Distribute Methamphetamine was sentenced on November 15, 2021, by Judge Charles B. Kornmann, U.S. District Court.
Stanley Gene Schily, Sr., age 66, was sentenced to 120 months in federal prison, followed by eight years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Schily was indicted by a federal grand jury on September 9, 2020. A Superseding Indictment alleging Schily had been previously convicted of a serious drug felony offense was filed on July 13, 2021. He was found guilty by a federal jury on August 10, 2021.
The evidence at trial showed Schily knowingly and intentionally conspired with several individuals to distribute approximately 140 grams of methamphetamine in and around Mobridge from 2019 through March of 2020. On March 5, 2020, law enforcement executed a warrant to search Schily’s residence. Law enforcement recovered approximately .64 grams of methamphetamine, 150 plastic baggies, and several records indicating drug transactions.
This case was investigated by the Mobridge Police Department, the Walworth County Sheriff’s Office, the Corson County Sheriff’s Office, and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Schily was immediately remanded to the custody of the U.S. Marshals Service following sentencing.
Mobridge Man Sentenced for AssaultRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Mobridge, South Dakota, man convicted of Assault by Striking, Beating, or Wounding following a two-day jury trial was sentenced on November 15, 2021, by Judge Charles B. Kornmann, U.S. District Court.
Luke Newton Mowrer, age 31, was sentenced to seven months in federal prison, followed by one year of supervised release, a $20,000 fine, and a special assessment to the Federal Crime Victims Fund in the amount of $25.
Mowrer was indicted by a federal grand jury on March 9, 2021, and was found guilty by a federal jury on August 25, 2021.
The evidence at trial showed that on October 6, 2019, in McLaughlin, South Dakota, Mowrer voluntarily and intentionally assaulted an individual with a knife. Mowrer was sitting in the back seat of a pickup truck when he assaulted the driver. He then fled the scene while the victim and others reported the crime and sought medical treatment. The victim suffered a cut to the neck. Mowrer had been drinking with the victim and some other acquaintances before the assault and unexpectedly lashed out in violence.
This case was investigated by the Federal Bureau of Investigation, the Bureau of Indian Affairs, Office of Justice Services, and the Mobridge Police Department. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Mowrer was immediately remanded to the custody of the U.S. Marshals Service following sentencing.
Mexican Man Indicted for Identity Theft and Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that MARTIN CORTEZ-BALDERAS (“CORTEZ”), age 39, a citizen of Mexico, was charged on November 12, 2021 in a two-count indictment for Identity Theft and Violations of the Federal Gun Control Act.
According to the indictment, in Count 1, on or about April 3, 2018, CORTEZ, knowingly possessed and used in or affecting interstate commerce, without lawful authority, a means of identification of another person, that is, the name and date of birth of another, with the intent to commit an unlawful activity that constitutes a violation of state law, Forgery, to renew a Louisiana state identification card, in violation of Louisiana Revised Statute 14:72. In Count 2, CORTEZ was charged with being a felon in possession of a firearm and ammunition, after having been previously convicted of a crime punishable by imprisonment for a term exceeding one year, to wit: a felony marijuana conviction.
United States Attorney Evans reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
If convicted of these charges, CORTEZ faces up to a maximum term of imprisonment of ten years on the felon in possession of a firearm and ammunition count. He also faces up to three years on the identity theft count. Also, CORTEZ faces a fine of up to $250,000, up to three years supervised release after imprisonment, and a $100 mandatory special assessment fee, as to both counts.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
U.S. Attorney Evans praised the work of Homeland Security Investigations of the U.S. Department of Homeland Security in investigating this matter. Assistant United States Attorney Jon Maestri is in charge of the prosecution.
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Massachusetts Man Sentenced to over One Year in Prison for Bank FraudRead the Press Release
CONCORD - Kazi Pervez, 42, of Methuen, Massachusetts was sentenced to 12 months and 1 day in federal prison for bank fraud, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, Pervez was a branch manager for a bank in Salem, New Hampshire. From at least April of 2016 until September of 2017, Pervez used his position as branch manager to steal or attempt to steal more than $560,000 from the bank. For example, Pervez opened or instructed bank employees to open accounts in the name of deceased bank customers. Pervez then withdrew funds from the accounts that exceeded the balance of the accounts and used his authority as branch manager to authorize the overdrafts from the account. Pervez also identified inactive bank accounts of deceased bank customers and transferred money out of those accounts to other accounts that he controlled.
Pervez sometimes transferred the stolen or overdrawn funds directly to accounts at other banks that he controlled or to pay his bills. Other times, Pervez transferred the funds he stole or overdrew between several accounts in the bank that he controlled before transferring the money to accounts at other banks or to pay his bills. In total, Pervez stole or fraudulently overdrew about $564,590.02 from other peoples’ bank accounts. Of that amount, Pervez successfully transferred more than $450,000 to other accounts outside the bank for his personal use.
Pervez previously pleaded guilty on March 29, 2021. In addition to his sentence, Pervez was ordered to forfeit $454,730.26, which will be used for restitution.
“This defendant took advantage of his position at a bank to steal money from the bank accounts of deceased individuals,” said Acting U.S. Attorney Farley. “This significant breach of trust is also a serious federal crime. As this case demonstrates, we work closely with the Secret Service to identify and prosecute white collar criminals and to seek justice for the victims of financial crimes.”
“The US Secret Service is committed to investigating complex fraud schemes especially those that involve the exploitation of elderly and deceased victims.” stated Timothy Benitez, Resident Agent in Charge of the U.S. Secret Service’s New Hampshire Office.
This matter was investigated by the United States Secret Service. The case was prosecuted by Assistant U.S. Attorneys Matthew T. Hunter and John Kennedy and former Assistant U.S. Attorney Arnold Huftalen. Assistant U.S. Attorney Robert Rabuck assisted with the forfeiture aspects of the case.
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Marionville Man Sentenced to Prison for Threatening Two CongressmenRead the Press Release
SPRINGFIELD, Mo. – A Marionville, Missouri, man was sentenced in federal court today for threatening two members of the U.S. House of Representatives.
Kenneth R. Hubert, 63, was sentenced by U.S. District Judge M. Douglas Harpool to two years and six months in federal prison without parole.
On June 17, 2021, Hubert pleaded guilty to two counts of threatening to injure federal officials.
Hubert admitted that he threatened to assault U.S. Representative Emanuel Cleaver II on Jan. 7, 2021, with the intent to impede, intimidate, and interfere with Cleaver while he was engaged in the performance of his official duties, and retaliate against Cleaver on account of the performance of his official duties. Cleaver represents the Fifth Congressional District in Missouri.
Hubert left a voicemail with Cleaver’s Independence, Mo., office. In this voicemail, which was received by a staff member, Hubert stated, “Cleaver’s got to be the dumbest n***** I’ve ever heard and that don’t speak much for the Black people in Kansas City and Independence and anyone else who voted for this clown. He’s as dumb as a rock. Amen, a-woman? How about a noose around his neck? He’s a dumb mother *****. He’s stupid as a idiot.”
Hubert also admitted that he threatened to assault U.S. Representative Steve Cohen on May 6, 2019, with the intent to impede, intimidate, and interfere with Cohen while he was engaged in the performance of his official duties, and retaliate against Cohen on account of the performance of his official duties. Hubert called Cohen’s office in Washington, D.C. Cohen represents the Ninth Congressional District in Tennessee.
During this phone call, Hubert told a staff member of Cohen that “he has a noose with the Congressman’s name on it” and planned to “put a noose around his neck and drag him behind his pickup truck.” Hubert later told investigators that he made the call because he was offended by a comment Representative Cohen previously made about then-President Donald Trump.
According to court documents, Hubert made several other threats from 2014 to Jan. 6, 2021, including threats on Jan. 6, 2021, to the Missouri Democratic Party, which related to the fatal riot at the U.S. Capitol and were made just a day before he made the charged threat to Cleaver. Hubert also threatened President Barack Obama and the Council of American-Islamic Relations as part of a pattern of threats to minorities, groups advocating for minorities and certain religious beliefs, and members of a specific political party. Despite law enforcement directing him on several occasions to cease these types of communications, Hubert continued to make threats.
This case was prosecuted by Assistant U.S. Attorney Casey Clark. It was investigated by the FBI, the U.S. Capitol Police, the Independence, Mo., Police Department and the Marionville-Aurora, Mo., Police Department.