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22 December 2021
Jacksonville Man Sentenced to 10 Years in Federal Prison for Attempting to Meet 13-Year-Old Child for SexRead the Press Release
Jacksonville, Florida – Chief U.S. District Judge Timothy J. Corrigan has sentenced Timothy Wade Veres III (25, Jacksonville) to 10 years in federal prison for attempted online enticement of a minor to engage in sexual activity. Veres has also been ordered to serve a 10-year term of supervised release and to register as a sex offender. The Court ordered Veres to pay $5,000 in restitution to a child victim depicted in sexually explicit images he had possessed, which Veres agreed to pay as part of his plea agreement.
Veres had pleaded guilty on August 19, 2021.
According to court documents, in January 2020 federal and local law enforcement conducted a joint undercover operation targeting individuals who were seeking to meet minor children on the internet for the purpose of engaging in sexual activity. On January 26, 2020, Veres used a particular chat application to make contact with an undercover federal agent who had assumed the online persona of a 13-year-old girl. During their online conversations, the “child” informed Veres of her age, and he discussed his desire to engage in sexual activity with the “child” when they met in person. Within five hours of first conversing with the “child” online, Veres traveled to meet the “child” for sex, where state and federal officers arrested him and found him in possession of condoms he had purchased on the way to the planned meeting location.
This case was investigated by the Naval Criminal Investigative Service, the Clay County Sheriff’s Office, and Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Ashley Washington.
It is another case 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.
Jacksonville Man Pleads Guilty to Distributing Child Sex Abuse Videos over the InternetRead the Press Release
Jacksonville, Florida – Michael Lee Aurandt (50, Jacksonville) has pleaded guilty to two counts of distributing materials depicting the sexual abuse of children over the internet. He faces a minimum mandatory term of 5 years, and up to, 20 years in federal prison on each count and a potential lifetime term of supervised release. Aurandt was arrested on August 27, 2021, and was ordered detained pending trial. A sentencing hearing has not yet been scheduled.
According to court documents, several different offices of the Federal Bureau of Investigation began investigating Aurandt for uploading child sexual abuse materials to a chat application over the internet, including his October 2020 posting of videos and images, and his November 2020 uploading of more videos. FBI agents identified Aurandt as the source of these distributions through the internet protocol (IP) addresses from which he uploaded the materials.
On August 27, 2021, FBI agents executed a federal search warrant at Aurandt’s residence and arrested him later that day. During an interview, Aurandt admitted viewing and distributing child sex abuse materials using the chat app accounts previously identified by FBI. He stated he would create new accounts after his existing accounts were shut down for violating the chat app’s terms of service.
This case was investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Ashley Washington.
It is another case 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.
Indictment Charges Former Morris Resident with Child Exploitation OffensesRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, and Matthew B. Millhollin, Special Agent in Charge, Homeland Security Investigations (HSI), Boston, today announced that a federal grand jury in New Haven has returned an indictment charging KEVIN CURLEY, 40, formerly of Morris, with receipt of child pornography and distribution of child pornography.
The indictment was returned on December 7, 2021. Curley appeared yesterday via videoconference before U.S. Magistrate Judge Robert A. Richardson and entered a plea of not guilty to the charges.
As alleged in court documents and statements made in court, “Tor,” which is an acronym for “The Onion Router,” is a worldwide network of internet-connected computers that is designed to conceal the true IP addresses of the computers on the network and the identities of the network’s users. In 2020, HSI began investigating Curley for his involvement in an online community of individuals who sent and received child pornography images and videos via a hidden service website that operated on the Tor network. On August 5, 2020, investigators conducted a court-authorized search of Curley’s former residence in Morris and seized Curley’s desktop computer. Analysis of the seized computer revealed hundreds of images and videos depicting the sexual abuse of children.
If convicted of the charge of receipt of child pornography, Curley faces a mandatory minimum term of imprisonment of five years and a maximum term of imprisonment of 20 years. The charge of possession of child pornography carries a maximum term of imprisonment of 20 years.
Acting U.S. Attorney Boyle stressed that an indictment is not evidence of guilt. Charges are only allegations, and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
Curley was originally arrested on a federal criminal complaint on October 8, 2020. He is released on a $150,000 bond and residing in Naugatuck while awaiting trial.
This matter is being investigated by Homeland Security Investigations (HSI). The case is being prosecuted by Assistant U.S. Attorney Lauren C. Clark.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Hartford Jury Finds Jamaican Drug Trafficker GuiltyRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, today announced that a federal jury in Hartford has found ONIEL WILKS, 42, a citizen of Jamaica, guilty of narcotics, identity fraud and money laundering offenses. The trial before U.S. District Judge Alvin W. Thompson began on December 13 and the jury returned the verdicts this morning.
According to the evidence at trial, in November 2018, members of the FBI’s Bridgeport Safe Streets Task Force arrested several individuals, including Louie McDowell, who were distributing large quantities of heroin, fentanyl and crack cocaine in an around Bridgeport. The investigation subsequently revealed that McDowell was being supplied with heroin, fentanyl and cocaine by Wilks, who was using a false identity and living in California. Wilks, who had been removed from the U.S. to Jamaica in February 2014 and then illegally reentered the U.S., used stolen identifying information of an individual to apply for and receive a Florida driver’s license in 2015, and a U.S. passport in 2016. Investigators determined that Wilks had used his fraudulent passport to travel overseas, including to Japan and Thailand.
In April 2019, Wilks, using his stolen identity, was stopped by law enforcement officers in southern California with five kilograms of suspected cocaine in the car he was driving. As the investigation into Wilks’ drug trafficking activities continued, in July 2019, investigators seized a package containing six kilograms of cocaine that was being mailed from California to Connecticut. On August 5, 2019, Wilks was arrested and court-authorized searches of two residences and a vehicle connected to him revealed approximately four kilograms of fentanyl, items used to process and package narcotics, false identifications and more than $160,000 in cash.
The jury found Wilks guilty of one count of conspiracy to distribute and to possess with intent to distribute one kilogram or more of heroin, five kilograms or more of cocaine and 400 grams or more of fentanyl; one count of making a false statement in a passport application; one count of aggravated identity theft; and one count of conspiracy to commit money laundering.
Judge Thompson scheduled sentencing for March 16, 2022, at which time Wilks faces a mandatory minimum term of imprisonment of 12 years and a maximum term of imprisonment of life.
Wilks also will forfeit a 2014 Dodge Ram truck, a 2019 Toyota Rav4, a 2017 Acura MDX, diamonds originally valued at more than $50,000, a watch he purchased for more than $12,000, and approximately $180,000 seized from a bank account.
Wilks has been detained since his arrest.
McDowell has pleaded guilty and awaits sentencing.
This investigation has been conducted by the FBI’s Bridgeport Safe Streets Task Force, Drug Enforcement Administration, Connecticut State Police, and the Bridgeport, Stratford, Norwalk, Seymour and Trumbull Police Departments. The investigation has been assisted by law enforcement in California, including the High Intensity Drug Trafficking Area (“HIDTA”) Task Force Group 44, the Orange County Sheriff’s Regional Narcotics Suppression Program, the Los Angeles County Sheriff’s Department, and the Culver City Police Department.
The case is being prosecuted by Assistant U.S. Attorneys Karen L. Peck and A. Reed Durham.
Great Hills Man Sentenced to over Six Years in Federal Prison for Federal Firearm and Drug Trafficking ChargesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Daiquan Malik Barnett, age 25, of Great Mills, Maryland, to 78 months in federal prison, followed by five years of supervised release, for possession of controlled substances with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime, and being a felon in possession of a firearm and ammunition.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge L.C. Cheeks, Jr of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and St. Mary’s County Sheriff Tim Cameron.
According to his plea agreement, on September 17, 2019, Barnett facilitated the sale of a semiautomatic, assault-style rifle—a transaction surveilled and recorded by ATF. Barnett acted as the middle man in the transaction and facilitated the transaction by communicating the price of the weapon and the meeting place for the sale. While discussing his personal firearm during the meeting, Barnett lifted his shirt and showed the clear outline of a semiautomatic weapon with an extended magazine.
After the meeting, Barnett proceeded to drive to a fast-food restaurant where law enforcement blocked Barnett’s vehicle while he sat in the line of cars for the drive through window. Upon seeing law enforcement, Barnett unsuccessfully attempted to flee by backing up. In the process of attempting to flee, Barnett crashed his vehicle into a civilian’s vehicle parked behind him.
Upon his capture, officers recovered 20.68 grams of cocaine, .99 grams of fentanyl, and oxycodone pills with a total weight of 1.934 grams. Barnett agrees that he possessed the cocaine, fentanyl, and oxycodone with the intent to distribute them. Additionally, Barnett possessed a total of $723 on his person. Of the funds recovered, $200 were ATF funds that were Barnett’s cut from the sale of the semiautomatic rifle. The remaining funds were proceeds of Barnett’s drug trafficking.
As stated in his plea agreement, law enforcement also recovered several items from the vehicle Barnett was operating, including a semi-automatic pistol, an extended magazine with 13 rounds of 9mm ammunition, one 9mm caliber drum magazine loaded with 53 rounds of 9mm caliber ammunition cartridges, two digital scales, torn baggies, gloves, brass knuckles, and St. Mary County’s court documents bearing Barnett’s name.
Barnett knew he was prohibited from possessing firearms and agrees that he possessed the firearm and ammunition in furtherance of his drug trafficking activity. Barnett was prohibited from possessing a firearm or ammunition from a previous drug-related conviction.
United States Attorney Erek L. Barron praised the ATF and the St. Mary Sheriff’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Joseph R. Baldwin, who prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Great Hills Man Sentenced to over Six Years in Federal Prison for Federal Firearm and Drug Trafficking ChargesRead the Press Release
Greenbelt, Maryland – U.S. District Judge Paula Xinis sentenced Daiquan Malik Barnett, age 25, of Great Mills, Maryland, to 78 months in federal prison, followed by five years of supervised release, for possession of controlled substances with intent to distribute, possession of a firearm in furtherance of a drug trafficking crime, and being a felon in possession of a firearm and ammunition.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge L.C. Cheeks, Jr of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and St. Mary’s County Sheriff Tim Cameron.
According to his plea agreement, on September 17, 2019, Barnett facilitated the sale of a semiautomatic, assault-style rifle—a transaction surveilled and recorded by ATF. Barnett acted as the middle-man in the transaction and facilitated the transaction by communicating the price of the weapon and the meeting place for the sale. While discussing his personal firearm during the meeting, Barnett lifted his shirt and showed the clear outline of a semiautomatic weapon with an extended magazine.
After the meeting, Barnett proceeded to drive to a fast-food restaurant where law enforcement blocked Barnett’s vehicle while he sat in the line of cars for the drive through window. Upon seeing law enforcement, Barnett unsuccessfully attempted to flee by backing up. In the process of attempting to flee, Barnett crashed his vehicle into a civilian’s vehicle parked behind him.
Upon his capture, officers recovered 20.68 grams of cocaine, .99 grams of fentanyl and oxycodone pills with a total weight of 1.934 grams. Barnett agrees that he possessed the cocaine, fentanyl and oxycodone with the intent to distribute them. Additionally, Barnett possessed a total of $723 on his person. Of the funds recovered, $200 were ATF funds that were Barnett’s cut from the sale of the semiautomatic rifle. The remaining funds were proceeds of Barnett’s drug trafficking.
As stated in his plea agreement, law enforcement also recovered several items from the vehicle Barnett was operating, including a semi-automatic pistol, an extended magazine with 13 rounds of .9mm ammunition, one .9mm caliber drum magazine loaded with 53 rounds of .9mm caliber ammunition cartridges, two digital scales, torn baggies, gloves, brass knuckles, and St. Mary County’s court documents bearing Barnett’s name.
Barnett knew he was prohibited from possessing firearms and agrees that he possessed the firearm and ammunition in furtherance of his drug trafficking activity. Barnett was prohibited from possessing a firearm or ammunition from a previous drug-related conviction.
United States Attorney Erek L. Barron praised the ATF and the St. Mary Sheriff’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Joseph R. Baldwin, who prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Georgia Man Pleads Guilty to Orchestrating Nationwide Tax Fraud SchemeRead the Press Release
WASHINGTON – A Georgia man pleaded guilty today to conspiring to defraud the United States by promoting a nationwide tax fraud scheme to more than 200 participants in at least 19 states. He also pleaded guilty to helping others prepare and file false tax returns for individuals recruited to the scheme.
According to court documents, Iran V. Backstrom, also known as Shariyf Noble, of Milledgeville, was the main promoter of the scheme, which involved recruiting clients and preparing false tax returns on their behalf by convincing them that their mortgages and other debts entitled them to tax refunds. Between 2014 and 2016, Backstrom and his co-conspirators held seminars across the county to publicize the scheme. As part of the scheme, Backstrom helped prepare and file tax returns for the participants, which collectively sought more than $25 million in refunds from the IRS. These tax returns falsely claimed that banks and other financial institutions had withheld large amounts of income tax from the participants, thereby entitling the clients to a refund. In reality, the financial institutions had not paid any income to or withheld any taxes from these individuals. To make the refund claims appear legitimate, however, Backstrom and his co-conspirators filed tax documents with the IRS that matched the withholding information listed on the tax returns, making them appear as if they had been issued by the banks.
As part of his plea, Backstrom admitted he gave orders to others as part of the scheme. Several of his co-conspirators previously pleaded guilty for their roles in the scheme. Backstrom also admitted that he and his co-conspirators concealed their roles in the scheme by, among other things, indicating the false tax returns had been “self-prepared,” submitting false IRS forms designed to appear as if they were created by the participants’ financial institutions and coaching the participants how to conceal the scheme from the IRS. Backstrom further admitted he and his co-conspirators charged participants approximately $10,000 to $15,000 in fees for preparation of each tax return. Although Backstrom personally received approximately $1 million for his role in the scheme, he did not file tax returns for the years 2014, 2015 and 2016 to report this income.
Backstrom’s sentencing will be scheduled for a later date. He faces a maximum penalty of five years in prison for conspiring to defraud the United States and three years in prison for each of the seven counts of aiding and assisting in the preparation and filing of a false tax return. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Karin Hoppmann for the Middle District of Florida made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Melissa S. Siskind, Kavitha Bondada and Isaiah Boyd III of the Justice Department’s Tax Division and Assistant U.S. Attorney Chauncey A. Bratt for the Middle District of Florida are prosecuting the case.
Georgia Man Pleads Guilty to Orchestrating Nationwide Tax Fraud SchemeRead the Press Release
A Georgia man pleaded guilty today to conspiring to defraud the United States by promoting a nationwide tax fraud scheme to more than 200 participants in at least 19 states. He also pleaded guilty to helping others prepare and file false tax returns for individuals recruited to the scheme.
According to court documents, Iran V. Backstrom, also known as Shariyf Noble, of Milledgeville, was the main promoter of the scheme, which involved recruiting clients and preparing false tax returns on their behalf by convincing them that their mortgages and other debts entitled them to tax refunds. Between 2014 and 2016, Backstrom and his co-conspirators held seminars across the county to publicize the scheme. As part of the scheme, Backstrom helped prepare and file tax returns for the participants, which collectively sought more than $25 million in refunds from the IRS. These tax returns falsely claimed that banks and other financial institutions had withheld large amounts of income tax from the participants, thereby entitling the clients to a refund. In reality, the financial institutions had not paid any income to or withheld any taxes from these individuals. To make the refund claims appear legitimate, however, Backstrom and his co-conspirators filed tax documents with the IRS that matched the withholding information listed on the tax returns, making them appear as if they had been issued by the banks.
As part of his plea, Backstrom admitted he gave orders to others as part of the scheme. Several of his co-conspirators previously pleaded guilty for their roles in the scheme. Backstrom also admitted that he and his co-conspirators concealed their roles in the scheme by, among other things, indicating the false tax returns had been “self-prepared,” submitting false IRS forms designed to appear as if they were created by the participants’ financial institutions and coaching the participants how to conceal the scheme from the IRS. Backstrom further admitted he and his co-conspirators charged participants approximately $10,000 to $15,000 in fees for preparation of each tax return. Although Backstrom personally received approximately $1 million for his role in the scheme, he did not file tax returns for the years 2014, 2015 and 2016 to report this income.
Backstrom’s sentencing will be scheduled for a later date. He faces a maximum penalty of five years in prison for conspiring to defraud the United States and three years in prison for each of the seven counts of aiding and assisting in the preparation and filing of a false tax return. He also faces a period of supervised release, restitution and monetary penalties. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division and Acting U.S. Attorney Karin Hoppmann for the Middle District of Florida made the announcement.
IRS-Criminal Investigation is investigating the case.
Trial Attorneys Melissa S. Siskind, Kavitha Bondada and Isaiah Boyd III of the Justice Department’s Tax Division and Assistant U.S. Attorney Chauncey A. Bratt for the Middle District of Florida are prosecuting the case.
Founder of Werner Enterprises to Pay Civil Penalty for Violating Antitrust Pre-Transaction Notification RequirementsRead the Press Release
The Justice Department’s Antitrust Division, at the request of the Federal Trade Commission (FTC), filed a civil antitrust lawsuit today in the U.S. District Court for the District of Columbia against Clarence L. Werner (Werner). Werner is the founder of Werner Enterprises Inc. (Werner Enterprises), one of the largest truckload carriers in the United States.
The lawsuit alleges that Werner violated the pre-transaction notification and waiting period requirements of the Hart-Scott-Rodino Act of 1976 (HSR Act) for acquisitions of Werner Enterprises voting securities, several of which were large open-market acquisitions made while he was serving as a director of Werner Enterprises. At the same time, the department filed a proposed settlement, subject to approval by the court, under which Werner has agreed to pay a $486,900 civil penalty to resolve the lawsuit.
The HSR Act imposes notification and waiting period requirements for transactions meeting certain size thresholds so that they can undergo pre-transaction antitrust review. Federal courts can assess civil penalties for pre-transaction notification violations under the HSR Act in lawsuits brought by the department. The maximum civil penalty for an HSR Act violation, which is adjusted annually, is currently $43,792 per day.
Further details about this matter are described in the FTC’s press release issued today, and in the attached complaint and competitive impact statement.
Consistent with the requirements of the Tunney Act, the proposed settlement, along with the competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period via email to [email protected] or by post to Maribeth Petrizzi, Special Attorney, United States, c/o Federal Trade Commission, 600 Pennsylvania Avenue, NW, CC-8416, Washington, D.C. 20580. At the conclusion of the 60-day comment period, the U.S. District Court for the District of Columbia may approve the proposed settlement upon finding that it is in the public interest.
Found Guilty of Wire Fraud, Bank Fraud, and Money Laundering Bear Man Sentenced to Three Years in Federal PrisonRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that a resident of Bear, Delaware was sentenced on Tuesday to 36 months in prison for committing wire fraud, bank fraud, and money laundering against several banks, the Social Security Administration (“SSA”), and Sutter Health, a California healthcare company. Proven losses from the defendant’s schemes totaled approximately $225,000. United States District Judge Leonard P. Stark pronounced sentence.
According to court documents and testimony at the August 2021 trial, Aaron Davis, 44, engaged in a series of schemes with unknown accomplices to defraud the SSA, Sutter Health, Citizens Bank, and SunTrust Bank between July 2017 and October 2017. One scheme involved serially opening bank accounts; depositing money fraudulently taken from Sutter Health and the SSA into those accounts; and withdrawing the money before those funds could be verified. Another scheme involved depositing fraudulent checks into bank accounts and withdrawing funds before the fraudulent nature of the checks could be detected. A third money laundering scheme involved moving the illegally acquired money from one bank account into another to make the funds appear legitimate.
U.S. Attorney Weiss stated, “In a matter of only four months, Mr. Davis successfully stole approximately $225,000 while attempting to steal almost $1.3 million. His schemes victimized the SSA, a nonprofit healthcare company, and banks, all of which provide vital services to millions of individuals across the country. I commend the FBI and the SSA Office of the Inspector General for their steadfast commitment to ensuring justice in this case.”
“Those facilitating and committing money laundering will continue to be investigated, prosecuted, and as in Mr. Davis’ case, sentenced to a significant term of imprisonment”, said Thomas J. Sobocinski, Special Agent in Charge of the FBI Baltimore Field Office. “The FBI applauds the efforts of our partners in the SSA Office of the Inspector General and the United States Attorney’s Office in bringing Mr. Davis to justice. These complex financial crimes often require a web of individuals concealing monetary transactions in order to abscond with their illicit funds, the FBI is committed to unraveling these networks”.
The FBI’s Wilmington Resident Agency and SSA’s Office of the Inspector General investigated this case. Assistant U.S. Attorneys Christopher R. Howland and Shamoor Anis prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-CR-101-LPS.
Fort Worth Man Named Coconspirator in Agent’s ‘Secret Probation’ Fraud SchemeRead the Press Release
A Fort Worth man has been named a co-conspirator in retired FBI agent William Stone’s alleged scheme to con a local mother out of more than $700,000 by convincing her she was on “secret probation,” U.S. Attorney for the Northern District of Texas Chad E. Meacham announced today.
Joseph Eventino DeLeon, 63, was charged in a superseding indictment Tuesday with conspiracy to commit wire fraud. He is expected to make his initial appearance in federal court on Wednesday, Dec. 29.
Conspirator William Stone, 62, was first indicted in May for wire fraud, wire fraud conspiracy, false impersonation of a federal officer, and engaging in monetary transactions in property derived from unlawful activity. The superseding indictment, filed on Tuesday, adds Mr. DeLeon as a defendant in the wire fraud conspiracy.
According to the superseding indictment, Mr. DeLeon allegedly conspired with Mr. Stone to convince their victim, a woman identified in court documents as C.T., that she was under “secret probation” for drug crimes in “Judge Anderson’s court in Austin, Texas.”
The pair allegedly told the victim that the fictious federal judge had appointed the two of them to “mentor” and “supervise” C.T. They required her to text them written reports of her daily activities and to compensate them for their supervisory services as well as any expenses they incurred. Over the course of several years, C.T. gave Mr. Stone more than $700,000 and Mr. DeLeon more than $50,000.
Mr. Stone and Mr. DeLeon insisted that C.T. was prohibited from disclosing her probation status to anyone, and would risk imprisonment and loss of her children if she did not comply with the terms of her probation.
In order to convince her the probation was real, the defendants allegedly persuaded C.T. that Mr. Stone had the ability to monitor her cell phone communications, stated that they had discussed C.T.’s probation with a psychiatrist, enlisted another person to impersonate the U.S. Drug Enforcement Administration “Intelligence Center” in a message inquiring about C.T., and even placed spoof calls between Mr. Stone, C.T., and the fictitious Judge Anderson.
They allegedly urged her to distance herself from her family, claiming her family members wanted to take her inheritance away from her, and persuaded her to transfer her inherited assets out of a trust and into an account under her own name. At one point, they allegedly claimed Judge Anderson would discharge C.T.’s probation if C.T. agreed to marry Mr. Stone. Mr. DeLeon even carried a weapon in C.T.’s home while purportedly providing “protective services” for her.
An indictment is merely an allegation of criminal conduct, not evidence. Both Mr. DeLeon and Mr. Stone are presumed innocent until proven guilty in a court of law.
If convicted, Mr. DeLeon faces up to 20 years in federal prison; Mr. Stone faces up to 178 years.
The Texas Rangers and the U.S. Department of Justice Office of Inspector General conducted the investigation with the assistance of the Fort Worth Police Department. Mr. Stone retired from the Federal Bureau of Investigation in October 2015. Assistant U.S. Attorneys Marcus Busch and Katherine Miller are prosecuting the case.
Fort Drum Contracting Officer Indicted for Accepting Gratuities from Contractor Boyfriend in Exchange for Taking Official Action on ContractsRead the Press Release
SYRACUSE, NEW YORK – Cindy McAleese, age 55, of Dexter, New York, was arraigned today on a one-count indictment charging her with conspiring to commit an offense against the United States by seeking and accepting gratuities.
The indictment was announced by United States Attorney Carla B. Freedman; Patrick J. Hegarty, Special Agent in Charge, Department of Defense Office of Inspector General, Defense Criminal Investigative Service; Larry S. Moreland, Special Agent in Charge, U.S. Army Criminal Investigation Division, Mid-Atlantic Fraud Field Office; Joseph Dattoria, Special Agent in Charge of the General Services Administration, Office of the Inspector General; Amaleka McCall-Brathwaite, Special Agent in Charge, U.S. Small Business Administration, Office of Inspector General, Eastern Region; and Joseph Harris, Special Agent in Charge, Department of Transportation Office of Inspector General, Northeastern Region.
The indictment alleges that McAleese, while working as a civilian contracting officer for the U.S. Army at Fort Drum, in Jefferson County, New York, sought and received things of value from local general contractor Sean O’Sullivan, including sports tickets, meals, sexual encounters, and time and attention, in exchange for McAleese’s taking official action on O’Sullivan’s behalf, such as providing O’Sullivan’s company with government contracts and approving payment on those contracts. The indictment also alleges that McAleese and O’Sullivan took steps to keep their relationship a secret from other officials at Fort Drum. The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
O’Sullivan has already pled guilty to similar charges and is scheduled to be sentenced on May 11, 2022, by United States District Judge David N. Hurd.
United States Magistrate Judge Thérèse Wiley Dancks released McAleese pending a trial to be scheduled before Judge Hurd in Utica, New York. The charge filed against McAleese carries a maximum sentence of 5 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.
This case is being investigated by the Department of Defense Office of Inspector General Defense Criminal Investigative Service; U.S. Army Criminal Investigation Division; General Services Administration, Office of the Inspector General; U.S. Small Business Administration, Office of Inspector General; and Department of Transportation Office of Inspector General, Northeastern Region, and it is being prosecuted by Assistant U.S. Attorney Michael F. Perry.
Former Uber Chief Security Officer to Face Wire Fraud ChargesRead the Press Release
SAN FRANCISCO – A federal grand jury handed down a superseding indictment today adding wire fraud to the list of charges pending against Joseph Sullivan for his role in the alleged attempted cover-up of the 2016 hack of Uber Technologies Incorporated, announced Acting United States Attorney Stephanie M. Hinds and FBI Special Agent in Charge Craig D. Fair. The 2016 hack implicated approximately 57 million user and driver records—Sullivan already was charged with obstruction of justice and misprision of a felony in connection with the alleged attempted cover-up of the incident.
Sullivan, 52, of Palo Alto, Calif., was serving as Uber’s Chief Security Officer when hackers revealed to him that they had accessed and downloaded an Uber database containing personally identifying information, or PII, including approximately 600,000 driver’s license numbers associated with certain Uber drivers. The superseding indictment describes how Sullivan allegedly orchestrated the disbursement of a six-figure payment to two hackers in exchange for their silence about the hack. The superseding indictment further alleges that Sullivan took deliberate steps to prevent persons whose PII was stolen from discovering that the hack had occurred and took steps to conceal, deflect, and mislead the U.S. Federal Trade Commission (FTC) about the data breach.
“Institutions that store personal information of others must comply with the law,” said Acting U.S. Attorney Hinds. “When hacks like this occur, state law requires notice to victims. Federal law also requires truthful answers to official government inquiries. The indictment alleges that Sullivan failed to do either. We allege Sullivan falsified documents to avoid the obligation to notify victims and hid the severity of a serious data breach from the FTC, all to enrich his company.”
“If Mr. Sullivan had immediately reported the breach—instead of misleading the government by withholding information—the FBI could have been better able to assist Uber; also, the data breach of at least one additional large tech company may have been prevented,” said FBI Special Agent in Charge Fair. “This case should serve as an example to corporations and company executives that working with the FBI is crucial when dealing with the aftermath of a breach; such communication is a best practice in preventing the loss of data and private information.”
The newly filed allegations of wire fraud center around Sullivan’s attempt to defraud Uber’s drivers by failing to disclose the 2016 breach. Specifically, the superseding indictment describes how California law, under certain circumstances, requires businesses operating in the state to notify residents whose information may have been stolen in such data breaches. The superseding indictment further alleges that, rather than notify the drivers of the breach, Sullivan took deliberate steps to ensure Uber’s drivers and others did not learn the true nature of the incident. Among the steps taken by Sullivan to suppress discovery of the breach was his plan to have two of the hackers execute non-disclosure agreements. The non-disclosure agreements falsely stated the hackers had neither taken nor stored Uber’s data in the 2016 breach. In addition, Sullivan allegedly misrepresented to Uber’s new chief executive officer the nature and scope of the data that was compromised; falsely suggested to the new CEO that the incident was not a data breach; and sent an email falsely claiming that the data breach was not, in fact, a data breach at all, but rather an incident that was no more severe than other security incidents.
The superseding indictment also incorporates the obstruction of justice and misprision of a felony charges described in previously filed documents. Documents filed earlier in the case provide background for the charges. For example, the documents describe how Sullivan played a pivotal role in responding to FTC inquiries about Uber’s cyber security. Specifically, Uber had been hacked in September of 2014 and the FTC was gathering information about that 2014 breach. After the FTC demanded responses to written questions and required Uber to designate an officer to provide testimony under oath on a variety of topics, Sullivan assisted in the preparation of Uber’s responses to the written questions and was designated to provide sworn testimony on a variety of issues. On November 14, 2016, approximately 10 days after providing his testimony to the FTC, Sullivan received an email from a hacker informing him that Uber had been breached again. Sullivan’s team was able to confirm the breach within 24 hours of his receipt of the email.
Rather than report the 2016 breach, Sullivan allegedly took deliberate steps to prevent knowledge of the breach from reaching the FTC. For example, as described above, Sullivan arranged to pay off the hackers in exchange for them signing non-disclosure agreements that contained the false representation that the hackers did not take or store any data. In addition, Sullivan sought to pay the hackers off by funneling the payoff through a bug bounty program—a program in which a third-party intermediary arranges payment to so-called “white hat” hackers who point out security issues but have not actually compromised data. In addition, Uber paid the hackers $100,000 in BitCoin in December 2016, despite the fact that the hackers refused to provide their true names. Uber was ultimately able to identify the two hackers in January 2017 and required them to execute new copies of the non-disclosure agreements in their true names. The two hackers identified by Uber were ultimately prosecuted in the Northern District of California. Both pleaded guilty on October 30, 2019, to computer fraud conspiracy charges and now await sentencing. The separate guilty pleas entered by the hackers demonstrate that after Sullivan assisted in covering up the nature of the hack of Uber, the hackers were able to commit an additional intrusion at another corporate entity—Lynda.com—and attempt to ransom that data as well.
The superseding indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt.
Sullivan is charged with three counts of wire fraud, in violation of 18 U.S.C. § 1343; obstruction of justice, in violation of 18 U.S.C. § 1505; and misprision of a felony, in violation of 18 U.S.C. § 4. If convicted, he faces a maximum statutory penalty of 20 years in prison for each count of wire fraud, five years in prison for the obstruction charge, and a maximum three years in prison for the misprision charge. However, any sentence following conviction would be imposed by the court after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Sullivan’s arraignment on the new charges has not yet been scheduled.
Uber’s new management ultimately discovered the truth about the breach and disclosed the breach publicly, and to the FTC, in November 2017. Since that time, Uber has responded to additional government inquiries.
The case is being prosecuted by the Corporate and Securities Fraud Section of the U.S. Attorney’s Office. The prosecution is the result of an investigation by the FBI.
Former Milwaukee County Judge Sentenced to 9 Years for Distributing Child PornographyRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, Acting United States Attorney for the Western District of Wisconsin, and Wisconsin Attorney General Josh Kaul announced that Brett Blomme, 39, Cottage Grove, Wisconsin was sentenced today by Chief U.S. District Judge James D. Peterson to 9 years in prison, followed by 20 years of supervised release, for distributing child pornography. Blomme pleaded guilty to this charge on September 28, 2021. At the time he committed this offense, Blomme was a Milwaukee County Children’s Court judge.
On January 28, 2021, the Wisconsin Department of Justice Division of Criminal Investigation (DCI) received a CyberTip from the National Center for Missing and Exploited Children. According to the CyberTip, a person with the username “dommasterbb” used Kik Messenger to distribute 27 files of child pornography. The images and videos showed prepubescent children posing in lewd and lascivious positions, underage children performing sexual acts on adults, and adults sexually abusing minors.
DCI obtained a search warrant for dommasterbb’s Kik account. In response to this warrant, DCI agents received detailed information associated with dommasterbb’s profile, which included a personal email address. Information from the email provider showed Blomme used the email address linked to dommasterbb’s Kik account.
DCI agents also reviewed log files they received from Kik. These log files captured transactional data each time dommasterbb distributed the child pornography, including the IP address. Subscriber information associated with the IP addresses showed Blomme distributed child pornography from his house in Cottage Grove, a residence in the Milwaukee area, and the Milwaukee County Children’s Court Center where he worked.
When DCI agents executed a search warrant at Blomme’s residence, they found electronic devices that contained numerous text messages between Blomme and other individuals that centered on Blomme’s sexual interest in children.
At sentencing, Judge Peterson highlighted the egregious nature of the material Blomme distributed and described it as the “worst of the worst.” Judge Peterson also noted that Blomme’s sustained pattern of illegal behavior while sitting as a judge was an aggravating factor that supported a significant term of imprisonment.
“Today’s sentence sends an unambiguous message that we will track down and hold accountable those who distribute child sexual abuse material,” said Acting U.S. Attorney O’Shea. “Every time an image of child sexual abuse is shared, it re-victimizes that child. No one is above the law and I am grateful to our law enforcement partners who helped ensure that the defendant would be held accountable for his crimes.”
“The Wisconsin Department of Justice’s Division of Criminal Investigation does important work to protect children’s safety, including investigating internet crimes against children,” said Attorney General Kaul. “Thank you to the investigators and prosecutors who have ensured that these heinous and deeply disturbing crimes have resulted in serious consequences.”
The charge against Blomme was the result of an investigation conducted by DCI. Assistant U.S. Attorney Chadwick M. Elgersma and Wisconsin Assistant Attorney General David Maas prosecuted this case.
Florida Man Sentenced to over Four Years in Prison for Bank Fraud and Wire Fraud Conspiracy Involving the Theft of More Than 2,000 Checks Intended for Religious InstitutionsRead the Press Release
Greenbelt, Maryland – U.S. District Judge Theodore D. Chuang sentenced Nicolae Gindac, age 52, of Dania Beach, Florida, yesterday to 54 months in federal prison, followed by three years of supervised release, for conspiracy to commit bank fraud and wire fraud, in connection with a conspiracy to steal and deposit checks intended for religious institutions. Judge Chuang also ordered Gindac to pay restitution, along with co-conspirators, in the amount of $1,096,660.11.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Postal Inspector in Charge Daniel A. Adame of the U.S. Postal Inspection Service - Washington Division; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Special Agent in Charge Shimon R. Richmond of the Federal Deposit Insurance Corporation, Office of Inspector General (FDIC-OIG); Chief Marcus Jones of the Montgomery County Police Department; Chief Toni Dezomits of the Cary, North Carolina, Police Department; and Sheriff Dusty Rhoades of the Williamson County, Tennessee, Sheriff’s Office.
According to his plea agreement, from at least June 2018 to January 2021, Gindac and at least five co-conspirators stole and negotiated checks from the U.S. mail intended for religious institutions. Gindac’s co-conspirators executed the thefts by driving to roadside mailboxes and directly removing the mail from the religious institutions’ mailboxes.
As part of the scheme to defraud, Gindac and other co-conspirators opened fraudulent bank accounts at several victim financial institutions under false identities and negotiated stolen checks by way of ATMs. Gindac deposited stolen checks into fraudulent bank accounts held in the names of his family members, including a minor family member, and others. Gindac and his co-conspirators subsequently withdrew the stolen funds and spent them using debit cards associated with fraudulently opened bank accounts and other bank accounts.
As detailed in his plea agreement, Gindac deposited or was present when at least $64,811.03 was deposited into 13 fraudulent accounts. The fraudulent accounts received a total of approximately $139,057.58 from 143 stolen checks.
On February 6, 2021, law enforcement arrested Gindac and recovered approximately $7,930.38 in cash, as well as a yellow-gold and diamond-encrusted Rolex men’s watch. Gindac also used some of the stolen proceeds of the conspiracy to purchase a BMW 745i Sport sedan.
In total, the conspiracy received at least $1,065,282.53 from 2,477 stolen checks.
Two co-conspirators were recently extradited to the United States. Vlad Baceanu, age 37, was extradited from Romania, and Florin Vaduva, age 30, was extradited from the United Kingdom. They had their initial appearances on November 24 and November 22, 2021, respectively. Co-conspirators Marian Unguru, age 36, Vali Unguru, age 19, and Daniel Velcu, age 43, all of Baltimore, Maryland, and Mateus Vaduva, age 29, of Hollywood, Florida, have pleaded guilty to their roles in the conspiracy and are awaiting sentencing. Co-defendant Marius Vaduva, age 27, of Hollywood, Florida, has a re-arraignment scheduled on January 6, 2022, at 10:00 a.m. In addition to Vlad Baceanu and Florin Vaduva, one other co-conspirator is awaiting trial.
United States Attorney Erek L. Barron commended the U.S. Postal Inspection Service, HSI, the FDIC Office of Inspector General, the Montgomery County Police Department, the Cary (North Carolina) Police Department, and the Williamson County (Tennessee) Sheriff’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Elizabeth Wright, who is prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Flathead Valley construction company owner admits wire fraud schemeRead the Press Release
MISSOULA – A Flathead Valley construction company owner accused in a scheme to defraud customers by spending money intended for projects on unrelated business and personal expenses admitted to a wire fraud crime today, U.S. Attorney Leif M. Johnson said.
Craig Mark Draper, 55, of Las Vegas, Nevada, pleaded guilty to one count of wire fraud. Draper faces a maximum of 20 years in prison, a $250,000 fine and three years of supervised release.
According to a plea agreement filed in the case, the parties agree that at sentencing, if the Court accepts the agreement, the government will seek dismissal of nine other counts of wire fraud and two counts of money laundering as charged in an indictment. In addition, restitution is mandatory. The government anticipates seeking at least $436,986 restitution, but the final amount will be determined by the Court.
U.S. District Judge Donald W. Molloy presided. Judge Molloy set sentencing for April 14, 2022. Draper was released pending further proceedings.
The government alleged in court documents that in 2017, Draper moved to the Flathead Valley and formed a construction company called ADI Builders. Draper started bidding on a variety of jobs, including the construction of pole barns, shops and residential remodels. In several instances, Draper provided invoices to customers for specific expenses associated with their projects. In the wire fraud count to which Draper pleaded guilty, he sent an invoice to a customer for $59,002, which included $8,000 in charges for siding. The customer wired $59,002 to Draper. The customer never received siding from Draper and eventually paid the vendor directly for the siding included in Draper’s invoice. Draper used some of the wired money for personal expenses unrelated to the customer’s project, including paying a company in Iowa for trophies for the winners of car races, paying an outfitter in Utah, making cash withdrawals and paying $9,500 to the Salish and Kootenai Tribes to lease their racetrack.
Assistant U.S. Attorney Timothy J. Racicot is prosecuting the case, which was investigated by the FBI.
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Final Two of Ten Women Sentenced in Multi-Defendant Tax Fraud SchemeRead the Press Release
St. Croix, USVI – United States Attorney Gretchen C.F. Shappert announced today that Lynell Hughes, age 35, St. Croix, Virgin Islands and Nicolette Alexander, age 30, of St. Thomas, Virgin Islands, were sentenced recently in federal court by Judge Wilma A. Lewis for their part in a 10- defendant tax fraud scheme to defraud the United States Government. On December 17, 2021, Hughes was sentenced to nine months incarceration followed by three years of supervised release for her part in a multi-defendant tax fraud scheme. Hughes also must pay restitution of $90,149.71 to the Internal Revenue Service (I.R.S.), which represents the amount of falsely claimed tax returns determined to be deposited into her bank accounts as a result of the scheme. She had pled guilty on August 18, 2018 to Conspiracy to Defraud the United States. On December 21, 2021, Alexander was sentenced to a term of three years of probation and was ordered to pay restitution in the amount of $17,537 to the I.R.S. Alexander pled guilty on May 14, 2021 to Conspiracy to Defraud the United States. Per plea agreement, the remainder of the counts against the defendants were dismissed.
According to the plea agreements filed with the court, from January 2011 to July 2012, Lynell Hughes, Nicolette Alexander and others participated in a scheme to steal money from the United States treasury by fraudulently obtaining federal income tax refunds. The scheme involved the acquisition of personal identifying information of individuals (i.e. name, social security number, and date of birth) used to electronically file falsified tax returns with a designation of refunds to the acquired bank accounts or debit cards. Defendants and their co-conspirators withdrew the deposited refunds, spent them using a debit card or transferred them to other accounts, all for personal use.
Of ten defendants charged in the tax fraud scheme, Hughes and Alexander are the final two to be sentenced and are two of nine to plead guilty. The tenth defendant, Jacinta Gussie, was found guilty in June of 2021 after a six-day trial of Conspiracy to Defraud the United States, four counts of Theft of Government Money, and two counts of Aggravated Identity Theft. Jacinta Gussie was sentenced on November 12, 2021 to 3.75 years of prison and ordered to pay $44,561.11 in restitution. The prosecution of this fraud scheme is the result of years of investigative work by the Internal Revenue Service-Criminal Investigations, which identified and dismantled a massive stolen identity refund fraud scheme perpetrated in the Virgin Islands and elsewhere.
The case was investigated by the Internal Revenue Service, Criminal Investigations, and is being prosecuted by Assistant U.S. Attorney Melissa Ortiz.
Fentanyl Distributor Sentenced to 10 Years in Federal PrisonRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Jose Manuel Gonzalez-Gonzalez (49, Kissimmee) to 10 years in federal prison for conspiracy to distribute one kilogram of fentanyl. The Court also ordered Gonzalez-Gonzalez to forfeit a vehicle used to facilitate the offense.
Gonzalez-Gonzalez had pleaded guilty on October 7, 2021.
According to court documents, from November 2020 through February 2021, Gonzalez-Gonzalez communicated with a source working with the Drug Enforcement Administration. In November 2020, Gonzalez-Gonzalez agreed to sell two kilograms of heroin to the source, but that transaction was not consummated because he demanded a photograph of the $116,000 the source had agreed to provide. In February 2021, Gonzalez-Gonzalez again arranged to sell two kilograms of heroin to the source, this time agreeing to deliver the first of two kilograms before receiving $58,000 in payment. On February 2, 2021, Gonzalez-Gonzalez arranged for a conspirator, Miguel Angel Ramirez-Laboy (41 Kissimmee), to drive separately to Haines City to meet with the purported buyer with the kilogram of drugs in his vehicle. During that trip, law enforcement stopped Ramirez-Laboy and found him to be transporting 1004.9 grams of fentanyl. Fentanyl is added to heroin to increase its potency or to disguise it as highly potent heroin.
Ramirez-Laboy pleaded guilty on August 16, 2021 and was sentenced to 24 months’ incarceration on October 19, 2021.
This case was investigated by the Drug Enforcement Administration, with assistance from the Florida Highway Patrol, Florida Department of Law Enforcement, and Osceola County Investigative Bureau. It was prosecuted by Assistant United States Attorney Dana E. Hill.
Federal-State Clean Water Act Settlement Resolves Sewer Overflow Violations in Bucks County, PennsylvaniaRead the Press Release
The United States and Commonwealth of Pennsylvania, Department of Environmental Protection (DEP), filed a civil lawsuit against the Bucks County Water and Sewer Authority (the Authority), alleging violations of the federal Clean Water Act and Pennsylvania Clean Steams Law. The violations primarily consist of sanitary sewer overflows – typically in the form of wastewater overflowing from manholes – and operation and maintenance violations under its state-issued permits.
At the same time the civil suit was filed, the United States and Commonwealth of Pennsylvania also filed a proposed consent decree that would resolve the lawsuit subject to the district court’s approval. The Authority will pay a $450,000 penalty and will be obligated to devote substantial resources to evaluate and upgrade its sewer systems as part of the decree.
The Authority owns and operates hundreds of miles of sewer pipes and associated treatment plants and wastewater collection and conveyance systems, largely situated in Bucks County. The Authority’s service areas have historically suffered from sanitary sewer overflows, including over 100 that have occurred in Plumstead Township since 2014. In that timeframe, multiple overflows have also occurred in Bensalem, Richland, Doylestown Borough, Middletown, Upper Dublin and New Hope/Solebury.
Sanitary sewer overflows constitute unauthorized discharges of pollutants into waterways. Properly designed, operated and maintained sanitary sewer systems are meant to collect and transport sewage to a treatment facility. Overflows occur for a variety of reasons, including severe weather, improper system design, equipment failures, poor management, improper operation and maintenance and vandalism.
Sanitary sewer overflows pose a substantial risk to public health and the environment. The main pollutants in raw sewage from overflows are bacteria, pathogens, nutrients, untreated industrial wastes, toxic pollutants, such as oil, pesticides, wastewater solids and debris.
Along with the financial penalty, the Authority has agreed to evaluate its collection system and adopt extensive measures to ensure compliance with the federal and state requirements. These include monitoring water flow; modelling the collection system; conducting inflow and infiltration evaluations; identifying and remedying hydraulic capacity limitations; addressing illegal sewer connections; and improving its overall operation and maintenance program.
“We’re pleased that the water and sewer authority has agreed to take extensive steps to upgrade and improve sewer systems for Bucks County, particularly the Plumstead area,” said Assistant Attorney General Todd Kim for the Justice Department’s Environment and Natural Resources Division. “The federal Clean Water Act requires communities to eliminate or reduce their sewage overflows into the nation’s rivers, lakes, and oceans. Today’s agreement furthers that and will result in a cleaner, safer Delaware River.”
“The consent decree will mean less sewage in streets, basements, and waterways to improve the lives of citizens in Bucks County,” said U.S. Attorney Jennifer Arbittier Williams for the Eastern District of Pennsylvania. “We thank the Authority for working cooperatively to reach this resolution that will surely improve public health and environmental quality.”
“Sewer overflows pollute rivers and streams and can expose local residents to toxic pollutants,” said Acting Assistant Administrator Larry Starfield for the Environmental Protection Agency (EPA)’s Office of Enforcement and Compliance Assurance. “Today’s settlement will reduce sewer overflows, which mean a cleaner, safer environment for residents of Bucks County.”
“Protecting the air, land, and water from pollution, while providing for the health and safety of our citizens is the very mission of our agency,” said Secretary Patrick McDonnell of DEP. “We are accomplishing just that through this coordinated and cooperative effort, not only with our federal partners at EPA, but with the Bucks County Water and Sewer Authority as well.”
The Authority cooperated with the investigation. As part of the settlement, it did not admit liability for the alleged violations.
The proposed consent decree, which has been filed in the U.S. District Court for the Eastern District of Pennsylvania, is subject to a 30-day public comment period and approval by the federal court. The consent decree will be available for viewing at https://www.justice.gov/enrd/consent-decrees.
The case was handled by Civil Chief Gregory B. David, former Assistant U.S. Attorney John T. Crutchlow, and Pamela Lazos, Senior Assistant Regional Counsel for the EPA. Supervisory Counsel William H. Gelles handled the case on behalf of the Commonwealth of Pennsylvania’s DEP.
Federal Grand Jury B Indictments Announced- DecemberRead the Press Release
Acting United States Attorney Clint Johnson today announced the results of the December 2021 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Tyler Ray Baker. First Degree Burglary in Indian Country. Baker, 21, of Tulsa, is charged with breaking into a residence by opening a window or door while an occupant was inside on Nov. 30, 2021. Baker was fleeing officers during a foot pursuit and allegedly entered the home to evade law enforcement. The occupant confronted Baker who then left the residence and was eventually apprehended by Tulsa police officers. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Cheryl L. Baber is prosecuting the case. 21-CR-544
Ronnell Dontae Butler. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Child Abuse in Indian Country. Butler, 25, of Oklahoma City, allegedly pointed a firearm at a female victim and threatened to shoot her on Nov. 1, 2021, all while a child was in the same room. The FBI, Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies. Assistant U.S. Attorney Cymetra M. Williams is prosecuting the case. 21-CR-559
Manuel Gustavo Cardenas-Lozoya; Alexis Perez-Camacho; Juan Luis Lopez-Carreon; Danahe Cervantes; Reinaldo Gustavo Martinez; Miguel Angel Gabino-Trujillo; Christopher Holdman; Yovani Soto Tejo; Aren Yoana Lopez-Gomez; Audrina Denis Lopez-Gomez; FNU LNU aka Chuy. Drug Conspiracy (Count 1); Possession of Cocaine with Intent to Distribute (Count 2); Distribution of Cocaine (Count 3); Possession of Cocaine with Intent to Distribute (Count 4); Possession of Cocaine with Intent to Distribute (Count 5); Use of a Communication Facility in Committing (Counts 6-97), Causing, and Facilitating the Commission of a Drug Trafficking Felony; Money Laundering Conspiracy (Count 98). (superseding) According to the indictment, an unknown defendant called “Chuy” led the drug trafficking organization from Mexico. Chuy directed shipments of multi-kilogram quantities of cocaine from Mexico to Oklahoma and ensured the drug proceeds were sent back to Mexico. He coordinated with alleged Tulsa-based distributor and money launderer Manuel Gustavo Cardenas-Lozoya, 39, who sold bulk quantities of cocaine to mid-level dealers in Tulsa for redistribution. The two would then coordinate the transport of sizeable drug profits from Tulsa back to Mexico. At Chuy’s direction, Alexis Perez-Camacho, 23, and Juan Luis Lopez-Carreon, 39, transported the cocaine from Oklahoma City to Tulsa so it could be distributed by Cardenas-Lozoya and mid-level dealers. Perez-Camacho also stored cocaine and drug proceeds at his residence. Danahe Cervantes, 23, Cardenas-Lozoya’s girlfriend, helped facilitate the drug sales by acting as a translator. Mid-level dealers who purchased the cocaine from Cardenas-Lozoya for redistribution in Oklahoma were Reinaldo Gustavo Martinez, 44; Miguel Angel Gabino-Trujillo, 38; Christopher Holdman, 46; and Yovani Soto Tejo, 36. Aren Yoana Lopez-Gomez, 33, and Audrina Denis Lopez-Gomez, 34, helped Cardenas-Lozoya laundered money and assisted him in his distribution efforts.The conspirators used Messenger and cells phones to allegedly discuss the amount of cocaine, price and payment arrangements, distribution times and locations, settling debts owed, and money laundering. All defendants but Chuy have been located and arrested. The case was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF) Operation Snow Hunter. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach.The Drug Enforcement Administration led the operation with assistance from the Tulsa Police Department, Broken Arrow Police Department, Oklahoma Highway Patrol, Tulsa County Sheriff’s Office, Delaware County District Attorney’s Office, Oklahoma Bureau of Narcotics and Dangerous Drugs, Miami Police Department, Bureau of Indian Affairs, and the Colorado Springs Police Department. Assistant U.S. Attorney David A. Nasar is prosecuting the case. 21-CR-506
Harley Drew Campbell. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Felon in Possession of Ammunition. Campbell, 41, of Tulsa, is charged with purposefully driving his vehicle into a Catoosa police officer’s patrol car on Dec. 5, 2021. The officer was trying to apprehend the defendant at the time of the incident. Campbell is further charged with being a felon in possession of 70 rounds of ammunition. The FBI and Catoosa Police Department are the investigative agencies. Assistant U.S. Attorney Brandon A. Skates is prosecuting the case. 21-CR-560
Rodrigo Javier Diaz De La Cruz. Unlawful Reentry of a Removed Alien. Diaz-De La Cruz, 22, is charged with reentering the United States after having been removed on March 18, 2020, at or near Hidalgo, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case. 21-CR-545
Janice Margaret Glaze. Possession of Methamphetamine with Intent to Distribute; Maintaining a Drug-Involved Premises; Possession of Firearms in Furtherance of a Drug Trafficking Crime. Glaze, 57, of Grove, is alleged to have knowingly possessed with intent to distribute 500 grams or more of methamphetamine on Oct. 6, 2021. She is further charged with maintaining a residence in Grove for the purpose of distributing the drug. Finally, she is charged with possessing seven firearms in furtherance of a drug trafficking crime. The Drug Enforcement Administration and Grove Police Department are the investigative agencies. Assistant U.S. Attorney Nathan E. Michel is prosecuting the case. 21-CR-546
Kovon Daylan Hemphill. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. Hemphill, 29, of Tulsa, allegedly attempted to stab a Tulsa County Sheriff’s Office deputy on Nov. 11, 2021. The FBI and Tulsa County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney John E. Brasher is prosecuting the case. 21-CR-547
Keith Dwain Murray. Assault Resulting in Serious Bodily Injury in Indian Country. Murray, 53, of Quapaw, allegedly assaulted an individual on Nov. 24, 2021, resulting in serious bodily injury. The FBI and Quapaw Tribal Marshals Service are the investigative agencies. Assistant U.S. Attorney Ryan H. Heatherman is prosecuting the case. 21-CR-548
Seth James Palmer. Assault with Intent to Commit Murder in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, Brandishing, and Discharging a Firearm During and in Relation to a Crime of Violence. Palmer, 21, of Quapaw, allegedly brandished a firearm, shot at a family of four occupying a vehicle, and threatened to kill them on April 13, 2021. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Quapaw Tribal Marshals Service are the investigative agencies. Assistant U.S. Attorney Kyle M. McWaters is prosecuting the case. 21-CR-549
Brandon Cruze Rose. Assault Resulting in Serious Bodily Injury in Indian Country. On June 6, 2019, Rose, 29, of Bartlesville, allegedly assaulted an individual, resulting in serious bodily injury. The FBI and Bartlesville Police Department are the investigative agencies. Assistant U.S. Attorney Victor A.S. Régal is prosecuting the case. 21-CR-550
Noe Alejandro Sandoval-Herrera. Unlawful Reentry of a Removed Alien. Sandoval-Herrera, 29, is charged with reentering the United States after having been previously removed on July 9, 2018, at or near San Ysidro, California. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case. 21-CR-551
Jacob Darnell Singleton. Robbery in Indian Country; Assault by Striking, Beating, and Wounding (Misdemeanor). Singleton, 21, of Tulsa, allegedly took $200 from an individual by force, violence and intimidation on Dec. 1, 2021, while the victim was retrieving money from an ATM. Later that evening he allegedly struck a different female victim several times in the head. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Nathan E. Michel is prosecuting the case. 21-CR-552
Joel Richard Smith; Amanda Irene Smith. Child Abuse in Indian Country (Counts 1, 3); Child Neglect in Indian Country (Counts 2,4). From July 8, 2016, and continuing through April 5, 2019, Joel and Amanda Smith, aiding and abetting one another, are alleged to have repeatedly struck a child with their hands and belt and restrained the child’s ankles with handcuffs. During that time, they also failed to adequately provide for the physical, emotional, and educational needs of the child. The child ran to a neighbor’s home for help and was severely malnourished, did not have basic hygiene needs met, and showed signs of physical abuse, including difficulty walking. Joel Smith, 46, of Salina, is charged in counts 1 and 2. Amanda Smith, 43, of Salina, is charged in counts 3 and 4. The FBI and Mayes County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney Sandra M. Urban is prosecuting the case. 21-CR-553
William Mark Sullivan; Michelle Cadman-Sullivan. Bank Fraud Conspiracy (Count 1); Aggravated Identify Theft (Counts 2 -5). Sullivan, 48, and Cadman-Sullivan, 41, residences unknown, are alleged to have fraudulently applied for six Paycheck Protection Program loans at Arvest Bank in Tulsa and The Exchange Bank in Skiatook. Paycheck Protection Program loans are guaranteed by the Small Business Administration under the CARES Act,. The two applied for more than $2.7 million dollars in loans and actually obtained $691,145 in funding from the banks. The coconspirators created various business entities that would fraudulently represent on loan applications that they had a number of employees and amount of payroll expenses that would qualify for the loans. The two applied for the loans under fictitious companies like Oaklahoma Paving LLC; U.S. Central Construction LLC; USA-1 Construction INC.; Oaklahoma Energy; and Oaklahoma Paving. The two lied on the applications, signed them and failed to disclose to the banks that they were submitting duplicative and overlapping applications. In counts 2 through 5, Cadman-Sullivan is charged with aggravated identity theft for unlawfully using the names of others in relation to the scheme. The Board of Governors of the Federal Reserve System and Bureau of Consumer Financial Protection Office of Inspector General and Small Business Administration Office of Inspector General are the investigative agencies. Assistant U.S. Attorneys Kevin C. Leitch and Matthew J. Feeley are prosecuting the case. 21-CR-561
Thomas Velazquez-Pacheco. Unlawful Reentry of a Removed Alien. Velazquez-Pacheco, 30, reentered the United States are having been previously deported on Aug. 27, 2014, at or near Hidalgo, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case. 21-CR-554
Britton Lemarcus Washington. Interference with Interstate Commerce by Robbery; Bank Robbery. On Nov. 26, 2021, Washington, 33, of Tulsa, allegedly affected interstate commerce when he robbed a Check Into Cash in Tulsa, stealing $874.05. On Nov. 29, 2021, he is further alleged to have robbed a Spirit Bank of Oklahoma in Tulsa of $2,820. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Kyle M. McWaters is prosecuting the case. 21-CR-555
Salvador Yanez-Pereyra. Unlawful Reentry of a Removed Alien. Yanez-Pereyra, 30, is charged with reentering the United States are having been previously deported on Sept. 18, 2019, at or near Paso Del Norte, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations is the investigative agency. Assistant U.S. Attorney Charles M. McLoughlin is prosecuting the case. 21-CR-556
Federal Grand Jury A Indictments Announced- December 2021Read the Press Release
* The December Grand Jury A Indictment press release was sent to media on December 9, 2021. Grand Jury A took place from Dec. 6-9, 2021
Acting United States Attorney Clint Johnson today announced the results of the December 2021 Federal Grand Jury A.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Kimberly Nichole Biglow. Kidnapping in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. On Nov. 12, 2020, at a Sapulpa gas station, Biglow, 43, of Bristow, allegedly pointed a knife at a female victim and told her to drive to a location in Sapulpa. The defendant and victim eventually ended up in Kellyville before Biglow exited the vehicle and the victim called authorities. The FBI, Creek County Sheriff’s Office, Kellyville Police Department and Sapulpa Police Department are the investigative agencies. Assistant U.S. Attorney Alex M. Scott is prosecuting the case.
Deanjlo Dewayn Doyle. Assault of an Intimate/Dating Partner by Strangling in Indian Country; Tampering with a Witness by Using the Threat of Physical Force. Doyle, 31, of Tulsa, allegedly strangled an intimate partner on Oct. 14, 2021. He then threatened to kill a witness to the strangulation and told the witness not to cooperate with law enforcement. The Tulsa Police Department and FBI are the investigative agencies. Assistant U.S. Attorney Steven J. Briden is prosecuting the case.
Edgar Jairo Del Rio Cardona. Possession of Cocaine with Intent to Distribute; Maintaining a Drug-Involved Premises. Del Rio Cardona, 32, of Tulsa, is charged with possessing cocaine with intent to distribute on Nov. 30, 2021, and is charged with maintaining a residence for the purpose of distributing cocaine. The Drug Enforcement Administration and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney David A. Nasar is prosecuting the case.
Justin Cecil Detar. Coercion and Enticement of a Minor. Detar, 36, of Sapulpa, is charged with attempting to coerce and entice a 10-year-old into sexual behavior from May 9, 2015, to Aug. 24, 2015. The FBI and Sapulpa Police Department conducted the investigation. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case.
Sean Michael Faulkner. Felon in Possession of a Firearm and Ammunition (Counts 1-4); Possession of Child Pornography (Count 5) (superseding) Faulkner, 38, of Kansas, Oklahoma, is charged with being a felon in possession of a Walther .45 caliber pistol, a Davis Industries .38 Special Derringer, and a M&P 9 mm caliber pistol and 12 rounds of ammunition on July 21, 2021. He is further charged with possessing a Smith & Wesson .38 caliber revolver, a Taurus 9X19mm pistol, a Ruger .22 LR caliber rifle, a Kel-Tec .22 caliber rifle; a DPMS multi-caliber rifle, a Reming6ton 12-gauge short-barrel shotgun and 214 rounds of ammunition. He is also charged with possessing a Springfield Armory .45 ACP caliber pistol and 12 rounds of ammunition. In this superseding indictment, Faulkner is further charged with possession of child pornography. The Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, Mayes County Sheriff’s Office, Pryor Police Department, and Oklahoma Bureau of Narcotics and Dangerous Drugs are the investigative agencies. Assistant U.S. Attorney Christopher Kelly is prosecuting the case.
Kevin Lynn Greer. Felon in Possession of a Firearm; Possession of Marijuana with Intent to Distribute; Possession of a Firearm in Furtherance of a Drug Trafficking Crime. Greer, 50, of Collinsville, is charged being a felon in possession of two Remington 30-06 caliber rifles, a DoubleStar Corp 5.56mm caliber rifle, a Ruger .380 caliber pistol, a Smith & Wesson .45 auto caliber pistol, a Ruger 9mm pistol, a Taurus .357 Magnum caliver revolver, and 674 rounds of ammunition. He is further charged with possession with intent to distribute less than 50 kilograms of marijuana on Nov. 10, 2021. Finally, he is charged with possessing the firearms to further his illegal marijuana operation. The FBI executed federal search warrants on Greer’s Collinsville home and business on Nov. 10, 2021. According to a criminal complaint, agents located the firearms, ammunition and 4 kilograms of marijuana packaged in 41 plastic bags. The FBI is the investigative agency. Assistant U.S. Attorney Alex M. Scott is prosecuting the case.
Richard Johnson. Assault of an Intimate/Dating Partner by Strangling and Suffocating in Indian Country. On Nov. 19, 2021, Johnson, 27, of Tulsa, allegedly assaulted an intimate partner by strangling her. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Victor A.S. Régal is prosecuting the case.
Khalid Jalil Kornegay. False Statement to Acquire a Firearm. On Sept. 24, 2021, Kornegay, 27, of Broken Arrow, allegedly attempted to acquire a Glock 17 9mm semi-automatic pistol from a federal firearms dealer and lied on the ATF Form 4473. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agency. Assistant U.S. Attorney George Jiang is prosecuting the case.
Jeremy Brandon Lawhorn. Sexual Abuse of a Minor in Indian Country. Lawhorn, 39, of Quapaw, is charged with knowingly engaging in a sexual act with a child between the ages of 12 and 16 on Aug. 14, 2020. The crime occurred within the Quapaw Nation Reservation. The FBI and Ottawa County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney John E. Brasher is prosecuting the case.
Terry Danell Limose. First Degree Murder in Indian Country; Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. Limose, 36, a transient, killed a man just outside the entrance of a Tulsa Walmart on Nov. 13, 2021, around 4 am, by striking the victim with his fists, hitting him with metal stick, then strangling him. Video surveillance from nearby businesses showed that Limose followed the victim prior to the murder and threw rocks and chunks of pavement at him, hitting him multiple times. The crime occurred within the Muscogee Nation Reservation. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Aaron M. Jolly is prosecuting the case.
Manuel Quezada. First Degree Murder in Indian Country (Count 1,2). Quezada, 49, of Owasso, is alleged to have shot and killed Dajon Revel Ross and Albert Thomas IV on Oct. 22, 2019. The crime occurred within the Cherokee Nation Reservation. The FBI and Rogers County Sheriff’s Office are the investigative agencies. Assistant U.S. Attorneys Chantelle D. Dial and Steven J. Briden are prosecuting the case.
Jacob Thomas Shell. Child Abuse in Indian Country. Jacob Thomas Shell, 27, of Catoosa, is charged with injuring and maiming a three-month-old by violently shaking and throwing the child on Feb. 12, 2020. Assistant U.S. Attorney Sandra M. Urban is prosecuting the case. The FBI and Rogers County Sheriff’s Office are the investigative agencies.
Kor Vang. Sexual Exploitation of a Child; Receipt and Distribution of Child Pornography; Possession of Child Pornography in Indian Country. From July 2019 to November 2021, Vang, 35, of Tulsa, allegedly placed hidden cameras in a residence to produce sexually explicit photos and videos of an unknowing child victim. Vang is further charged with receiving and distributing child pornography and possessing child pornography in Indian Country. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations is the investigative agency. Assistant U.S. Attorneys Niko Boulieris and Christopher Nassar are prosecuting the case.
Corbin Jacob Williams. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country; Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence; Tampering with a Witness and Victim by Threatening the Use of Physical Force. On Nov. 10, 2021, Williams, 21, of Marshall, Texas, brandished and pointed an AR-15 rifle at the face of another individual and threatened to shoot her. He reportedly told the victim he would get in a shootout with police if the victim called 911. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case.
Yakir Yakov Zofi. Aggravated Sexual Abuse by Force and Threat in Indian Country. Zofi, 31, a resident of the state of New York and an Israeli national, is charged with raping a victim on Nov. 14, 2021. The FBI and Bartlesville Police Department are the investigative agencies. Assistant U.S. Attorney Michael F. Harder is prosecuting the case.
Federal Jury Acquits Ethete Woman of Involuntary ManslaughterRead the Press Release
United States Attorney Bob Murray announced today that a federal jury returned a not guilty verdict in a case against BURDETTE LYNN MESTETH, a.k.a. Burdette Lynn Seminole, 32, of Ethete, Wyoming, for involuntary manslaughter. The trial took place in Casper, Wyoming before Chief Federal District Court Judge Scott Skavdahl and lasted three days.
The indictment stemmed from a September 13, 2020, motor vehicle crash on Blue Sky Highway on the Wind River Reservation during which an occupant was ejected and declared deceased at the scene while Mesteth was entrapped in the driver’s seat and had to be extricated from the vehicle.
The investigation was conducted by the Federal Bureau of Investigation, Bureau of Indian Affairs and Wyoming Highway Patrol. Assistant United States Attorney Timothy W. Gist prosecuted the case.
Case Number: 0:21-cr-00053
Eastern District of New York United States Attorney’s Office Collects Nearly $250 Million in Criminal and Civil Actions in Fiscal Year 2021Read the Press Release
United States Attorney Breon Peace announced today that the Eastern District of New York collected $249,989,681.40 in criminal and civil actions in Fiscal Year 2021. Of this amount, $196,932,566.03 was collected in criminal actions and $53,057,115.37 was collected in civil actions, and $4,503,424.87 resulted from cases handled in conjunction with other U.S. Attorney’s Offices and litigating divisions of the Department of Justice. Additionally, $64,171,429 in assets tainted by crime was forfeited to the government.
“The Eastern District’s robust recoveries in fiscal year 2021 underscore its commitment to recovering funds for the federal treasury, seeking restitution for the victims of crime and forfeiting assets that are tainted by crime,” stated United States Attorney Peace. “Our collections and asset recovery programs hold defendants financially accountable for their illegal activities and ensure that their debts, particularly to victims, are paid.”
FY 2021 Collections Highlights
In October 2020, J&F Investimentos SA (J&F), a global conglomerate holding company based in Brazil and primarily involved in the meat and agriculture businesses, pleaded guilty to conspiring to violate the Foreign Corrupt Practices Act and agreed to pay the United States a criminal fine of $128,248,913. Between approximately 2005 and 2017, J&F, through certain of its employees and agents, paid millions of dollars in bribes to, and for the benefit of, Brazilian government officials to obtain financing from two Brazilian state-owned and state-controlled banks and to obtain approval for a merger from a Brazilian state-owned and state-controlled pension fund. In furtherance of the scheme, J&F used New York-based bank accounts in the name of shell companies to make hundreds of millions of dollars in corrupt payments for the benefit of Brazilian officials.
Also in October 2020, the Office collected $2,817,224.31 from Williamsburg Physical Therapy P.C. to resolve allegations of false claims submitted to Medicare, Medicaid and other federal healthcare programs for physical therapy services provided or supervised by someone other than the licensed physical therapist identified on the claim, including unlicensed aides. The settlement also resolved claims that the defendants wrongfully backdated services after treatment authorizations had expired.
In May 2021, the Office’s largest civil collection of $43,320,000 involved Bank Julius Baer & Co. Ltd., a Swiss bank with international operations, that admitted to conspiring to launder over $36 million in bribes through the United States to soccer officials with the Fédération Internationale de Football Association (FIFA) and other soccer federations. These bribes were in furtherance of a scheme in which sports marketing companies bribed soccer officials in exchange for broadcasting rights to soccer matches.
The Eastern District also forfeited $64,171,429 in assets tainted by crime. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used for a variety of purposes, including to compensate victims of crime. For example, over $42 million in forfeited funds will be remitted to victims in the FIFA corruption case, which is part of the government’s long-running investigation and prosecution of corruption in international soccer.
Collections Overview
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the United States and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Dominican National Sentenced for Misusing a Social Security Number and Stealing Government BenefitsRead the Press Release
BOSTON – A Dominican national previously residing in Springfield was sentenced today in connection with using another individual’s identity to fraudulently obtain government benefits.
Andrea Perez Placencia, 59, was sentenced by U.S. District Court Judge Mark G. Mastroianni to one year and one day in prison and three years of supervised release. Perez Placencia also was ordered to pay restitution in the amount of $32,029. On Sept. 20, 2021, Perez Placencia pleaded guilty to one count of false representation of a Social Security number and two counts of theft of government money.
Perez Placencia used the identity of a Puerto Rican citizen to apply for and obtain Housing Choice Voucher Program, commonly known as Section 8, housing assistance benefits as well as to receive disability benefits from the Social Security Administration. As a result, between August 2017 and August 2018, Perez Placencia fraudulently received approximately $12,570 in Social Security benefits and, from April 2019 through February 2021, she fraudulently received $17,380 in Section 8 housing assistance benefits.
Acting United States Attorney Nathaniel R. Mendell; John Cremonini, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Boston Field Office; and Christina Scaringi, Special Agent in Charge of the Department of Housing and Urban Development, Office of Inspector General, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Mendell’s Major Crimes Unit is prosecuting the case.
Dominican Drug Lord extradited to the United States from Colombia to Face Drug Trafficking ChargesRead the Press Release
SAN JUAN, Puerto Rico – Today, Colombian authorities extradited Dominican drug lord Cesar Emilio Peralta-Adamez, also known as “El Abusador,” to the United States to face drug trafficking charges filed in the District of Puerto Rico.
“This arrest and extradition underscore the collaboration and cooperation between our law enforcement partners, as well as our commitment and resolve to combat transnational organized crime,” said U.S. Attorney W. Stephen Muldrow. “We will continue to maximize our multi-agency efforts to bring to justice those who disregard our laws and smuggle drugs into Puerto Rico and the continental United States.”
Peralta was the leader of a transnational criminal organization (TCO) based in the Dominican Republic. This TCO received multi-ton shipments of cocaine from Colombia and Venezuela and transported these to Puerto Rico and the continental United States.
On November 28, 2018, a Federal Grand Jury in the District of Puerto Rico returned an indictment against Peralta, charging him with conspiracy to import heroin and cocaine into the customs territory of the United States (Counts One and Two) and with distributing five kilograms or more of cocaine for purposes of unlawful importation into the United States (Count Three).
The Indictment includes a narcotics forfeiture allegation regarding four properties and one business in the Dominican Republic controlled by Peralta:
1. Flow Gallery Lounge in Santo Domingo;
2. La Koura Club in Santo Domingo;
3. Aqua Club, in Santo Domingo;
4, Al Panino, in Santo Domingo; and
5. Peralta Investment, SA.
This prosecution is part of the Organized Crime Drug Enforcement Task Forces (OCDETF) operation Filoteao, with the collaboration of the FBI, Drug Enforcement Administration (DEA), and Homeland Security Investigations (HSI). The OCDETF program 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 Attorney General designated Peralta as an OCDETF Consolidated Priority Organizational Target (CPOT) in 2017. The Attorney General’s (AG) Interagency CPOT list is comprised of leaders who exercise “command and control” of the elements of the most prolific drug trafficking/money laundering organizations that have the greatest impact on the United States’ illicit drug supply. The CPOT list represents the “most wanted” of the cartel leadership and ensures that the full capabilities of the U.S. government are focused, in a coordinated and clear manner, on a group of agreed-upon high-level targets.
Since 2017, the Peralta Drug Trafficking Organization (DTO) has been investigated by agents assigned to the Caribbean Corridor Strike Force (CCSF). The CCSF is a multi-agency OCDETF strike force comprised of federal and state law enforcement agencies, including the DEA, Department of Homeland Security (DHS), Immigration and Customs Enforcement (ICE), FBI, U.S. Coast Guard Investigative Service (CGIS), and the U.S. Marshals Service, with the collaboration from the Puerto Rico Department of Public Safety, the Puerto Rico Police Bureau, FURA, U.S. Customs and Border Protection, U.S. Border Patrol, and the IRS.
Peralta’s DTO was also being investigated by the U.S. Department of the Treasury. On August 20, 2019, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) identified Peralta and his Drug Trafficking Organization as significant foreign narcotics traffickers pursuant to the Foreign Narcotics Kingpin Designation Act (Kingpin Act).
In coordination with foreign officials, Peralta was located and arrested in Cartagena, Colombia on December 2, 2019 at the request of the United States.
The Justice Department’s Office of International Affairs provided significant assistance in securing the arrest and extradition of Peralta-Adamez from Colombia. The case is being prosecuted by Assistant U.S. Attorney Max J. Pérez-Bouret, Chief of the Transnational Organized Crime Section, and Assistant U.S. Attorney Jawayria Z. Auchter.
If convicted, Peralta faces a possible sentence of 10 years and up to life in prison for all the drug trafficking charges.
OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Department of Justice Awards More Than $300 Million to Fight Opioid and Stimulant Crisis and to Address Substance Use DisordersRead the Press Release
The Department of Justice’s Office of Justice Programs (OJP) today announced grant awards totaling more than $300 million to help combat America’s substance use crisis, which has worsened during the coronavirus pandemic.
“Against the backdrop of the COVID-19 pandemic, the nation is experiencing a precipitous rise in opioid and stimulant misuse and overdoses,” said Attorney General Merrick B. Garland. “The Justice Department is committed to supporting programs aimed at addressing the substance use crisis that is devastating communities across the nation.”
The most recent provisional data from the Centers for Disease Control and Prevention indicates that, “there were an estimated 100,306 drug overdose deaths in the United States during the 12-month period ending in April 2021, an increase of 28.5% from the 78,056 deaths during the same period the year before.”
“The substance use crisis in American society has been a persistent and deadly problem for decades, and illicitly manufactured fentanyl and synthetic opioids have tightened the grip drugs have on our society,” said Principal Deputy Assistant Attorney General Amy L. Solomon for OJP. “The Biden-Harris Administration is working diligently to address these problems by committing unprecedented levels of funding toward research, substance use treatment and mental health services, along with investments in enforcement, response and evidence-based treatment.”
OJP’s Bureau of Justice Assistance (BJA) and Office of Juvenile Justice and Delinquency Prevention (OJJDP) are distributing millions of dollars in grant awards aimed at addressing the substance use crisis throughout the nation. In addition to these grants, OJP is awarding $34 million to help communities respond to public safety and public health emergencies, including crises that result from substance use disorders.
Below is a list of awards being made in Fiscal Year 2021 to address the opioid and stimulant crisis and the needs of individuals with substance use disorders:
- BJA is awarding more than $137 million under its Comprehensive Opioid, Stimulant and Substance Abuse Site-Based Program, which will help communities address the prevention, diversion, treatment and recovery needs of those affected by substance use disorders. Another $9.7 million is funding related training and technical assistance.
- More than $61.6 million under BJA’s Adult Drug and Veteran Treatment Court Program will help states, state courts, local courts and federally recognized tribal governments implement and enhance the operations of adult drug courts and veteran treatment courts. Another $15.7 million is funding related training and technical assistance.
- BJA is awarding $29.6 million to support the Residential Substance Abuse Treatment for State Prisoners Program, which helps states develop and implement residential substance use treatment programs, including medication assisted treatment within correctional and detention facilities.
- BJA is awarding nearly $29.6 million to fund the Harold Rogers Prescription Drug Monitoring Program, which enhances the capacity of regulatory and law enforcement agencies and public health officials to collect and analyze controlled substance prescription data and other scheduled chemical products through a centralized database administered by an authorized agency.
- OJJDP is awarding $16 million to support Mentoring for Youth Affected by the Opioid Crisis and Drug Addiction, which supports services for youth who are currently using or at-risk for using drugs or to youth with family members who have a substance use disorder.
- OJJDP is awarding more than $8.9 million to support the Opioid Affected Youth Initiative, which will support states, communities, tribes and nonprofits implementing programs and strategies that treat children, youth and families impacted by the opioid epidemic.
- OJJDP’s Juvenile Drug Treatment Court Program is awarding nearly $7.9 million to jurisdictions to establish or enhance juvenile drug treatment courts and to improve court system operations and treatment services.
- OJJDP is awarding $13.8 million across 14 jurisdictions under its Family Drug Court Program to build the capacity of state and local courts, units of local government and federally recognized tribal governments to implement family drug court practices. The program aims to increase collaboration with substance use treatment and child welfare systems to ensure the provision of treatment and other services that improve child, parent and family outcomes.
Once the awards are made, information about the grantees selected under each solicitation can be found online at the OJP Grant Awards Page.
The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov.
Department of Justice Awards More Than $125 Million in Grants Under the Stop School Violence ActRead the Press Release
The Department of Justice today announced nearly $126 million in funding to advance school safety under the STOP School Violence Act.
The grants, awarded by the Office of Justice Programs’ Bureau of Justice Assistance (BJA) and the department’s Office of Community Oriented Policing Services (COPS Office), will help institute safety measures in and around primary and secondary schools, support school violence prevention efforts, provide training to school personnel and students, and implement evidence-based threat assessments.
School Violence Prevention Program (SVVP) awards have been made to several entities in the Northern District of Texas, including:
- Eagle Mountain - Saginaw ISD – $500,000 (Tarrant County)
- Wichita Falls Independent School District – $500,000 (Wichita Falls County)
- Campbell ISD – $139,247 (Hunt County)
- North Richland Hills Police Department – $82,793 (Tarrant County)
- Whiteface CISD – $75,000 (Cochran County)
- May Independent School District – $61,628 (Brown County)
“The Justice Department has no greater responsibility than protecting Americans from harm,” said Attorney General Merrick B. Garland. “Schools must be safe places to learn, and today’s investment of more than $125 million under the STOP School Violence Act will help ensure that they are.”
The Students, Teachers and Officers Preventing School Violence Act of 2018, known as the STOP School Violence Act, gives the Justice Department the authority to provide awards directly to states, units of local government, Indian tribes, and public agencies (such as school districts and law enforcement agencies) to improve security at schools and on school grounds through evidence-based school safety programs. It also provides grants to ensure a positive school climate by helping students and teachers recognize, respond quickly to, and help prevent acts of violence.
The 78 BJA annual awards, totaling almost $74 million, are intended to support training and education for school personnel and students on preventing violence against others and themselves, including anti-bullying training and specialized training for school officials to respond to mental health crises. Funds also help develop and implement multidisciplinary threat assessment or intervention teams and design technology solutions such as anonymous reporting systems, hotlines and websites.
The COPS SVVP provides up to 75% of the funding for school safety measures in and around primary and secondary schools. The 153 SVPP awards, totaling almost $52 million, are statutorily obligated to be used for coordination with law enforcement; training for local law enforcement officers to prevent student violence; locks, lighting and other deterrent measures; technology for expedited notification of local law enforcement during an emergency; and other measures that provide a significant improvement in security.
The full list of SVPP awards can be found here: https://cops.usdoj.gov/svpp-award. A list of BJA awards, as they are made, can be found on the OJP Grant Awards page.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. The only Department of Justice agency with policing in its name, the COPS Office was established in 1994 and has been the cornerstone of the nation’s crime fighting strategy with grants, a variety of knowledge resource products, and training and technical assistance. Through the years, the COPS Office has become the go-to agency for law enforcement agencies across the country and continues to listen to the field and provide the resources that are needed to reduce crime and build trust between law enforcement and the communities served. The COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of more than 135,000 officers.
The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov.
Dayton man pleads guilty to kidnapping conspiracy that resulted in victim’s deathRead the Press Release
DAYTON – A Dayton man pleaded guilty in U.S. District Court today for his role in the summer 2019 kidnapping and subsequent death of Kwasi Casey, whose body was later found in a detached garage on Fountain Ave. in Dayton.
Antoine Dye, 37, offered a guilty plea to conspiring to kidnapping resulting in death.
According to court documents, five co-conspirators kidnapped and abducted the victim at gunpoint on July 7, 2019.
Mr. Casey was taken to one of the defendant’s homes, where he was held against his will and beaten with a baseball bat. Another defendant made ransom demands of the victim’s family.
The indictment in this case details that Casey escaped on July 8, 2019, but was recaptured and forced into a co-conspirator’s minivan, where the victim was again physically assaulted. Mr. Casey ultimately died as a result of the defendants’ actions.
Between July and September 2019, the defendants concealed the victim’s body at a garage on Fountain Ave. in Dayton. On Sept. 17, 2019, the defendants set the garage on fire to destroy evidence and the victim’s body. On Sept. 26, 2019, the victim’s burnt remains were recovered from the burnt garage.
Other defendants charged in this case include: Eric Blackshear, 42; Markale Thomas, 28; Devon Love, 29; and Ryan Reese, 27.
Each of the defendants is charged with conspiring to kidnap the victim, a federal crime punishable by up to life in prison. Congress sets the maximum statutory sentence. Sentencing of the defendant will be determined by the Court based on the advisory sentencing guidelines and other statutory factors.
Kenneth L, Parker, United States Attorney for the Southern District of Ohio; Dayton Police Chief Kamran Afzal and J. William Rivers, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the plea offered today before U.S. Magistrate Judge Peter B Silvain, Jr. Assistant United States Attorney Amy M. Smith and OCDETF Deputy Chief Christy L. Muncy are representing the United States in this case.
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Corey F. Ellis Appointed as Interim U.S. Attorney for the District of South CarolinaRead the Press Release
Columbia, South Carolina --- Attorney General Merrick Garland appointed Corey F. Ellis as Interim U.S. Attorney for the District of South Carolina today, pursuant to 28 U.S.C. § 546.
As U.S. Attorney, Ellis is the chief federal law enforcement officer responsible for federal criminal prosecutions and civil litigation involving the United States in the District of South Carolina. He supervises an office of approximately 62 Assistant United States Attorneys, 75 support staff, and 18 contract support staff, all of whom are responsible for prosecuting federal crimes affecting the district, including narcotics and firearms cases, gang violence, human trafficking, white-collar crime, securities fraud, public corruption, terrorism, and civil rights violations. The office also defends the United States in civil cases and collects debts owed to the United States.
Before being sworn in as U.S. Attorney, Ellis served as chief of staff for FBI Director Christopher A. Wray. Ellis also served as acting director of the Executive Office for United States Attorneys, where he was the primary liaison between the attorney general, the deputy attorney general, and all 94 U.S. attorney's offices.
Previously, Ellis served in several leadership roles in the Department of Justice, including as chief of staff to Deputy Attorney General Rod J. Rosenstein. Ellis was also the first assistant in the U.S. Attorney’s Office for the Western District of North Carolina. While an assistant U.S. attorney, he handled a wide range of criminal investigations, including public corruption, white collar fraud, securities fraud, and cybercrime. Ellis began his career as a prosecutor in the district attorney’s office in Hendersonville, North Carolina and has tried more than 100 jury trials.
Ellis received his undergraduate degree from Brown University and his law degree from the University of Memphis School of Law.
Ellis replaces former Acting U.S. Attorney M. Rhett DeHart, who served in that role since March 1, 2021, following the resignation of U.S. Attorney Peter M. McCoy, Jr.
For more information about the U.S. Attorney’s Office for the District of South Carolina, please visit https://www.justice.gov/usao-sc.
Connecticut Contractor Pleads Guilty to Paying Bribes for the Procurement of Consultation ContractsRead the Press Release
BOSTON – The principal of a Connecticut environmental consulting firm pleaded guilty yesterday in federal court in Springfield in connection with paying bribes to procure consulting contracts at educational institutions in Massachusetts and New York.
Stephen Dinapoli, 42, of Wilton, Conn., pleaded guilty to one count of conspiracy and two counts of bribery concerning programs receiving federal funds. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for April 20, 2022. Dinapoli was charged in August 2020.
Dinapoli is the principal of Big East Environmental, an environmental project management and consulting firm based in Connecticut. From 2015 to 2019, Dinapoli paid cash bribes to co-conspirator Floyd Young, who held positions involving facility maintenance at three collegiate institutions including American International College (AIC) in Springfield, Mass. Specifically, Dinapoli paid Young in cash during face-to-face meetings in order to obtain contracts for environmental consulting work at AIC, Cornell Tech and Cooper Union.
Young was charged in a separate case and, in August 2020, pleaded guilty to steering contracts for construction, repair, maintenance and other work for the collegiate institutions to favored contractors, including Dinapoli, in exchange for bribe payments typically in the amount of 15% of the contract.
The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charges of bribery concerning programs receiving federal funds each provide for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. 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 Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant U.S. Attorney Alex J. Grant of Mendell’s Springfield Branch Office is prosecuting the case.
Clean Water Act Settlement Resolves Sewer Overflow Violations in Bucks CountyRead the Press Release
PHILADELPHIA – United States Attorney Jennifer Arbittier Williams announced that the United States and the Commonwealth of Pennsylvania Department of Environmental Protection filed a civil lawsuit against the Bucks County Water and Sewer Authority (“the Authority”), alleging violations of the federal Clean Water Act and Pennsylvania Clean Streams Law. The violations primarily consist of sanitary sewer overflows – typically in the form of wastewater overflowing from manholes – and operation and maintenance violations under its state-issued permits.
At the same time the civil suit was filed, the United States and the Commonwealth of Pennsylvania also filed a proposed consent decree that would resolve the lawsuit subject to the District Court’s approval. The Authority will pay a $450,000 penalty and will be obligated to devote substantial resources to evaluate and upgrade its sewer systems as part of the decree.
The Authority owns and operates hundreds of miles of sewer pipes and associated treatment plants, and wastewater collection and conveyance systems, largely situated in Bucks County. The Authority’s service areas have historically suffered from sanitary sewer overflows, including more than 100 that have occurred in Plumstead Township since 2014. In that timeframe, multiple overflows have also occurred in Bensalem, Richland, Doylestown Borough, Middletown, Upper Dublin, and New Hope-Solebury.
Sanitary sewer overflows are typically characterized as unauthorized discharges of pollutants into waterways. Properly designed, operated, and maintained sanitary sewer systems are meant to collect and transport sewage to a treatment facility. Overflows occur for a variety of reasons, including severe weather, improper system design, equipment failures, poor management, improper operation and maintenance, and vandalism. Sanitary sewer overflows pose a substantial risk to public health and the environment. The main pollutants in raw sewage from overflows are bacteria, pathogens, untreated industrial wastes, toxic substances such as oil and pesticides, and wastewater solids.
Along with the financial penalty, the Authority has agreed to evaluate its collection system and adopt extensive measures to ensure compliance with the federal and state requirements. These measures include monitoring water flow; modelling the collection system; conducting inflow and infiltration evaluations; identifying and remedying hydraulic capacity limitations; addressing illegal sewer connections; and improving its overall operation and maintenance program.
“It’s no secret that many communities in the United States are grappling with issues caused by aging infrastructure, especially here on the East Coast which employs some of the oldest systems. However, there are ways to manage and address these issues in order to maintain the safety of our environment and property. Here, this consent decree will greatly reduce the problem of sewage in streets, basements, waterways in Bucks County and beyond,” said U.S. Attorney Williams. “We thank the Authority for working cooperatively to reach this resolution that will surely improve public health and environmental quality.”
“We’re pleased that the water and sewer authority has agreed to take extensive steps to upgrade and improve sewer systems for Bucks County, particularly the Plumstead area,” said Todd Kim, Assistant Attorney General for the Justice Department’s Environment and Natural Resources Division. “The federal Clean Water Act requires communities to eliminate or reduce their sewage overflows into the nation’s rivers, lakes, and oceans. Today’s agreement furthers that and will result in a cleaner, safer, Delaware River.”
“Sewer overflows pollute rivers and streams and can expose local residents to toxic pollutants,” said Larry Starfield, Acting Assistant Administrator for EPA’s Office of Enforcement and Compliance Assurance. “Today’s settlement will reduce sewer overflows, which mean a cleaner, safer environment for residents of Bucks County.”
“Protecting the air, land, and water from pollution, while providing for the health and safety of our citizens is the very mission of our agency,” said DEP Secretary Patrick McDonnell. “We are accomplishing just that through this coordinated and cooperative effort, not only with our federal partners at EPA, but with the Bucks County Water and Sewer Authority as well.”
The Authority cooperated with the investigation. As part of the settlement, it did not admit liability for the alleged violations.
The proposed consent decree, which has been filed in the U.S. District Court for the Eastern District of Pennsylvania, is subject to a 30-day public comment period and approval by the federal court.
The case was handled by Civil Chief Gregory B. David, former Assistant U.S. Attorney John T. Crutchlow, and Pamela Lazos, Senior Assistant Regional Counsel for the United States Environmental Protection Agency. Supervisory Counsel William H. Gelles handled the case on behalf of the Commonwealth of Pennsylvania Department of Environmental Protection.
Charlestown Man Pleads Guilty to Identity Fraud ChargesRead the Press Release
BOSTON – A Charlestown man who has been living under a false identity pleaded guilty today in federal court in Boston to charges arising from his use of the name and Social Security number of a U.S. citizen.
An individual referred to as “John Doe” pleaded guilty to one count of false statements on a United States passport application, one count of false representation of a social security number, three counts of wire fraud and one count of aggravated identity theft. U.S. District Judge Denise J. Casper scheduled sentencing for May 4, 2022. Doe was indicted in March 2020 and subsequently charged in a superseding indictment on April 29, 2021.
On or about March 31, 2020, Doe used the name and personally identifiable information of a Puerto Rican resident to apply for Massachusetts Department of Unemployment Assistance (Mass DUA) and Federal Pandemic Unemployment Compensation. On April 1, 2020, Mass DUA approved the claim and began issuing benefits to Doe via a prepaid debit card, which he used for cash withdrawals at ATM machines and for the purchase of goods and services. As a result, from April through September 2020, Doe fraudulently received over $15,000 in unemployment benefits under the stolen identity.
Previously, in 2017, Doe used the victim’s Social Security number to apply for a duplicate driver’s license with the Massachusetts Registry of Motor Vehicles and, in 2010, used the victim’s name and personally identifiable information to apply for a United States passport.
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of passport fraud provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of false representation of a Social Security number provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of $250,000. The charge of aggravated identity theft provides for two years in prison to be served consecutive to the term for the underlying felony, which in this case is the false representation of a Social Security number. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The investigation is being conducted by the U.S. Department of State's Diplomatic Security Service together with Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.
Acting United States Attorney Nathaniel R. Mendell; Jonathan Davidson, Special Agent in Charge of U.S. Department of State’s Diplomatic Security Service, Boston Field Office; Matthew B. Millhollin, Special Agent in Charge of Homeland Security Investigations in Boston; and Jonathan Mellone, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations, Labor Racketeering and Fraud made the announcement today. Assistant U.S. Attorneys Alathea Porter of Mendell’s Narcotics and Money Laundering Unit, Benjamin A. Saltzman of Mendell’s Major Crimes Unit and James Herbert of Mendell’s Health Care Fraud Unit are prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
Capitol Heights Man Pleads Guilty to Possession with Intent to Distribute Controlled Substances and Federal Firearm ChargesRead the Press Release
Greenbelt, Maryland – Billy Lorenzo Bush, age 37, of Capitol Heights, Maryland, pleaded guilty on December 20, 2021 to possession with intent to distribute controlled substances and possession of a firearm in furtherance of drug trafficking.
The guilty plea was announced by United States Attorney for the District of Maryland Erek L. Barron; Acting Special Agent in Charge L.C. Cheeks, Jr of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Chief Malik Aziz of the Prince George’s County Police Department.
According to his guilty plea, on June 8, 2020, officers discovered Bush passed out and unresponsive in the driver’s seat of a vehicle that was involved in a single-vehicle accident. Bush was the sole occupant in the vehicle. Upon further inspection, officers saw baggies of marijuana spilling out of a backpack and a handgun on the front passenger seat.
After additional PGPD officers arrived on the scene, officers broke the driver’s side window to unlock the doors and remove Bush from the vehicle. As a result of the search of Bush’s vehicle, officers recovered a .40 caliber handgun loaded with 15 rounds of ammunition, 1,100.80 grams of marijuana, digital scales, empty baggies, and 47.55 grams of a substance containing PCP. Bush became responsive upon his removal from the vehicle and was subsequently taken into custody. When officers searched Bush incident to his arrest, officers found 102.29 grams of a substance containing eutylone on his person.
Bush agrees that he possessed the marijuana and eutylone and intended to distribute them to others. Bush also agrees that he possessed the .40 caliber firearm in furtherance of his drug trafficking activities.
Bush and the government have agreed that, if the Court accepts the plea agreement, Bush will be sentenced to no less than 77 months and no more than 120 months in federal prison. U.S. District Judge Theodore D. Chuang has scheduled sentencing for March 9, 2022 at 9:00 a.m.
United States Attorney Erek L. Barron commended the ATF and the Prince George’s County Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorney Jessica C. Collins, who is prosecuting the case.
These cases are part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
For more information on the Maryland U.S. Attorney’s Office’s Project Safe Neighborhoods program (PSN), a unified and comprehensive strategy to combat gun crime that combines local, state and federal law enforcement efforts; community outreach; and public awareness, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile.
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Buffalo Man Pleads Guilty to Filing A False Tax ReturnRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Richard Stenhouse, 76, of Buffalo, NY, pleaded guilty before Senior U.S. District Judge Williams M. Skretny to filing a false tax return. The charge carries a maximum penalty of three years in prison and a $250,000 fine.
Assistant U.S. Attorney Douglas A. C. Penrose, who is handling the case, stated that Stenhouse received approximately $397,942 in salary payments from the Bethel African Methodist Episcopal Church that he did not report as income on his tax returns for the tax years 2014 through 2018. The Internal Revenue Service estimates the taxes due for these tax years is $95,896.
The plea is the result of an investigation by the Internal Revenue Service, Criminal Investigation Division, under the direction of Special Agent-in-Charge Thomas Fattorusso the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia, and the Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent-in-Charge Christina Scaringi.
Sentencing is scheduled for May 18, 2022, at 11:00 a.m. before Judge Skretny.
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Buffalo Man Going to Prison for Being A Felon in Possession of AmmunitionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney Trini E. Ross announced today that Shelby Holcomb, 33, of Buffalo, NY, who was convicted of being a felon in possession of ammunition, was sentenced to serve 30 months in prison by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorneys Brendan T. Cullinane and Meghan E. Leydecker, who handled the case, stated that in August 2007, Holcomb was convicted of robbery in Erie County Court and as a result is legally prohibited from possessing ammunition. On June 12, 2019, the Buffalo Police Department executed a search warrant at his Olympic Avenue residence and recovered 119 rounds of ammunition.
The sentencing is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; and the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci.
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Bronx Gang Member Sentenced for Ordering 2009 MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that STEVEN BROWN, a/k/a “BI,” was sentenced to 260 months in prison today for participating in the August 2, 2009, murder of Derrick Moore in the Bronx. BROWN previously pled guilty before U.S. District Judge Katherine Polk Failla, who imposed today’s sentence. Today’s sentence was imposed in addition to a 115-month sentence that BROWN previously served for related narcotics conduct in the Middle District of Pennsylvania.
U.S. Attorney Damian Williams said: “More than a dozen years ago, Steven Brown, the leader of a violent drug crew, ordered the killing of rival street crew member Derrick Moore. This prosecution and today’s sentence show that our Office is committed to curbing gang violence and making our neighborhoods safer for the law-abiding residents who make their homes there.”
According to the allegations contained in the Indictment and statements made in court, including at BROWN’s plea proceeding and sentencing:
The Taylor Avenue Crew was a criminal enterprise that operated principally in and around the Bronx from at least 2007 up to and including 2015. The Taylor Avenue Crew sold cocaine base, commonly known as “crack cocaine,” primarily in and around Taylor Avenue in the Bronx. The Taylor Avenue Crew controlled crack cocaine sales within this area by prohibiting and preventing non-members, outsiders, and rival narcotics dealers from distributing crack cocaine in the area controlled by the Crew. The Taylor Avenue Crew also committed acts of violence in the area against rival gangs, including assaults, attempted murder, and murder.
Members and associates of the Taylor Avenue Crew also allied themselves with crews from nearby areas of the Bronx. One such crew included the Creston Avenue Crew, a criminal enterprise that operated principally in and around the Bronx, New York, from at least 2003 up to and including 2011 and whose members sold cocaine and marijuana primarily in and around Creston Avenue in the Bronx. Members of the Taylor and Creston Avenue Crews associated with each other and assisted each other by, among other things, carrying out acts of violence on each other’s behalf upon request by the leaders of the respective crews. One such act of violence was the murder of 22-year-old Derrick Moore. In August 2009, after escalating violence between the Taylor Avenue Crew and a rival crew, BROWN, who was the head of the Taylor Avenue Crew, ordered the murder of Moore. To carry out the murder, BROWN requested the assistance of the Creston Avenue Crew, whose members then shot and killed Moore.
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In addition to the prison term, BROWN, 42, of the Bronx, New York, was sentenced to five years of supervised release and $6,445 in restitution.
Mr. Williams praised the outstanding investigative work of the New York City Police Department, the Drug Enforcement Administration, Homeland Security Investigations, and the Federal Bureau of Investigation. Mr. Williams also thanked the United States Attorney’s Office for the Middle District of Pennsylvania for its assistance.
Assistant U.S. Attorneys Maurene Comey, Jason Swergold, and Peter Davis are in charge of the prosecution. The case is being handled by the Office’s Violent and Organized Crime Unit.
Biglari Holdings Inc. to Pay Civil Penalty for Repeat Violation of Antitrust Pre-Transaction Notification RequirementsRead the Press Release
The Justice Department’s Antitrust Division, at the request of the Federal Trade Commission (FTC), filed a civil antitrust lawsuit today in the U.S. District Court for the District of Columbia against Biglari Holdings Inc. (Biglari Holdings), a restaurant chain owner and investment fund operator.
The lawsuit alleges that Biglari Holdings violated the pre-transaction notification and waiting period requirements of the Hart-Scott-Rodino Act of 1976 (HSR Act) for two acquisitions of Cracker Barrel Old Country Store Inc. voting securities made on March 16, 2020. At the same time, the department filed a proposed settlement, subject to approval by the court, under which Biglari Holdings has agreed to pay a $1,374,190 civil penalty to resolve the lawsuit.
The HSR Act imposes notification and waiting period requirements for transactions meeting certain size thresholds so that they can undergo pre-transaction antitrust review. Federal courts can assess civil penalties for pre-transaction notification violations under the HSR Act in lawsuits brought by the department. The maximum civil penalty for an HSR Act violation, which is adjusted annually, is currently $43,792 per day.
Further details about this matter are described in the FTC’s press release issued today, and in the attached complaint and competitive impact statement.
Consistent with the requirements of the Tunney Act, the proposed settlement, along with the competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period via email to [email protected] or by post to Maribeth Petrizzi, Special Attorney, United States, c/o Federal Trade Commission, 600 Pennsylvania Avenue, NW, CC-8416, Washington, D.C. 20580. At the conclusion of the 60-day comment period, the U.S. District Court for the District of Columbia may approve the proposed settlement upon finding that it is in the public interest.
Barnstable Man Pleads Guilty to Firearms OffensesRead the Press Release
BOSTON – A Barnstable man pleaded guilty yesterday in federal court in Boston in connection with selling four “ghost guns” to an undercover agent.
Jacob Linhares, 34, pleaded guilty to one count of dealing in firearms without a license and being a felon in possession of a firearm. U.S. Senior District Court Judge Douglas Woodlock scheduled sentencing for April 12, 2022. Linhares was arrested and charged on June 15, 2021.
Between May 25, 2020 and June 15, 2020, Linhares, sold four Privately Made Firearms (PMFs) he had personally fabricated to an undercover agent. PMFs are not made by firearm manufacturers. Rather, they are made from firearm parts purchased from firearm manufacturers and assembled by the buyer using various drilling tools and machinery to construct a functional firearm. PMFs do not have serial numbers and are commonly known as “ghost guns” because they are not serialized, and are thus, untraceable to a purchaser or owner. On the fourth sale, Linhares agreed to take a commercially manufactured firearm as part of the payment. Due to prior felony convictions, Linhares is prohibited from possessing firearms.
The charge of dealing firearms without a federal license provides for a sentence of up to five years in prison and a fine of up to $250,000. The charge of being a felon in possession of a firearm provides for a sentence of up to 10 years in prison and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Barnstable County District Attorney Michael D. O’Keefe; Barnstable Police Chief Matthew Sonnabend; and Barnstable County Sheriff James M. Cummings made the announcement today. Assistant U.S. Attorney Philip A. Mallard of Mendell’s Organized Crime and Gang Unit is prosecuting the case.
This prosecution is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Arapahoe Man Sentenced for Assault Involving a FirearmRead the Press Release
United States Attorney Bob Murray announced today that RONALD BLAISE JENKINS, 26, of Arapahoe Wyoming, was sentenced for use, carry, and discharge of a firearm during and in relation to a federal crime of violence by Chief United States District Judge Scott W. Skavdahl on December 20, 2021 in connection with an assault on January 5, 2021 where Jenkins shot another man in the abdomen, causing life-threatening injuries, when the two men argued about a song on the radio. Alcohol was involved. Jenkins received 84 months imprisonment, five years of supervised release with special conditions, and was ordered to pay $1,357 in restitution and a $100 special assessment.
“This case exemplifies why it is important to keep guns out of reach when drinking,” said United States Attorney Bob Murray. “Alcohol impairs judgement, and, in this case, a simple argument escalated to the point of one friend shooting another friend. I can unequivocally say, this would not have happened had the pair not been drinking. We appreciate the work of our partners at the Wind River Police Department and the Riverton Police Department who helped investigate the case.”
The investigation was conducted by the Bureau of Indian Affairs, Wind River Police Department, with assistance from the Riverton Police Department. Assistant United States Attorney Kerry J. Jacobson prosecuted the case.
Activity in the United States Attorney's OfficeRead the Press Release
Chief United Stated District Court Judge Scott W. Skavdahl sentenced ALLEN DAVID JENEROU, 35, of Gillette, Wyoming, for possession with intent to distribute methamphetamine. Jenerou was arrested in Torrington, Wyoming on July 1, 2021. He received 140 months imprisonment, to be followed by four years of supervised release, and was ordered to pay $400 in restitution and a $100 special assessment. The Wyoming Division of Criminal Investigation investigated the crime. Assistant United States Attorney Timothy J. Forwood prosecuted the case.
United States District Court Judge Nancy D. Freudenthal sentenced LANE DUNSETH, 53, of Casper, Wyoming, for failure to register as a sex offender. He was arrested on August 24, 2021, in Casper. Dunseth received 18 months imprisonment, to be followed by five years of supervised release, and was ordered to pay a fine of $500 and a $100 special assessment. According to the evidence, on December 12, 1997, Lane Dunseth was convicted of unlawful sexual intercourse with a minor under the age of 16 years old in the State of California. Because of this felony sex offense, federal law requires the defendant to register as a sex offender. Dunseth had previously complied with his registration obligations in Wyoming and other jurisdictions. However, when he arrived back in Wyoming at the beginning of June 2021 he failed to register as a sex offender. His failure to register was discovered after a Wyoming Game and Fish Warden questioned him about the resident fishing license he presented. The United States Marshals Service, Wyoming Game and Fish Department, and the Natrona County Sheriff’s Office investigated the crime. Assistant United States Christyne M. Martens prosecuted the case.
United States District Court Judge Nancy D. Freudenthal sentenced ANDREW GALE GUNZENHAUSER, 46, of Casper, Wyoming, for conspiracy to distribute methamphetamine. He was arrested on June 3, 2021, in Torrington, Wyoming. Gunzenhauser received 121 months of imprisonment, to be served concurrently with Natrona County District Court Docket Number 20511-B and 20932-C, followed by five years of supervised release. The defendant was also ordered to pay $400 in community restitution and a $100 special assessment. The Wyoming Division of Criminal Investigation investigated the crime and Assistant United States Attorney Michael A. Blonigen prosecuted the case.
United States District Court Judge Alan B. Johnson sentenced JORGE ALBERTO LARA, 26, of San Jose, California, for possession with intent to distribute methamphetamine. Lara was arrested in Cheyenne, Wyoming on March 18, 2020, after a traffic stop resulted in law enforcement discovering ten packages of methamphetamine in the vehicle’s spare tire. He received 70 months of imprisonment, to be followed by five years of supervised release, and was ordered to pay $500 in restitution and a $100 special assessment. The Drug Enforcement Administration and the Wyoming Highway Patrol investigated the crime. The case was prosecuted by Assistant United States Attorney Jonathan C. Coppom.
10 Years in Federal Prison for Methamphetamine ImporterRead the Press Release
WILMINGTON, Del. – A New Castle County man was sentenced on Tuesday to 10 years in federal prison for his role in a conspiracy to distribute methamphetamine.
According to court documents and evidence presented at the December 21, 2021 sentencing hearing, Imanuel Villalba, 23, received shipments of up to forty pounds per week of methamphetamine from California until the COVID-19 pandemic shut down his supply chain in March 2020. Together with his girlfriend Hayley Carello, Villalba travelled to California in June 2020 to pay his supplier cash to re-start his methamphetamine trafficking business. When a four-pound methamphetamine shipment arrived in Delaware on June 29, 2020, the DEA intercepted that package and Villalba and Carello were arrested. Carello was sentenced to five years’ imprisonment on November 17, 2021.
The conspiracy in which Villalba participated was the subject of a months-long DEA investigation, which included the use of federal wiretaps on Villalba’s and Carello’s phones. On the day the couple was arrested, law enforcement officers seized four pounds of methamphetamine, a handgun from Villalba’s motel room and an AR-15 rifle from Carello’s residence.
Two other defendants were separately charged, and their cases remain pending. David Zarco pled guilty to distributing methamphetamine on Villalba’s behalf. He is scheduled to be sentenced January 4, 2022. Hanna Carello, Hayley Carello’s twin sister, was indicted February 23, 2021 for participating in the conspiracy with Villalba and Carello. An indictment merely contains allegations that a defendant has committed a crime. Hanna Carello, like all defendants, is presumed to be innocent until and unless proven guilty in court.
David C. Weiss, U.S. Attorney for the District of Delaware, commented on the sentence, “Methamphetamine is a highly dangerous and addictive drug. Its increased presence in our communities is concerning. Imanuel Villalba was responsible for bringing a large amount of methamphetamine into Delaware, and he will now serve a significant prison sentence for that crime. Discovering and dismantling illegal drug supply chains like Villalba’s remains a priority for my office, DEA and our law enforcement partners.”
“Villalba was responsible for trafficking approximately 40 pounds of methamphetamine weekly into Delaware. This is a substantial amount of a dangerous street drug that is often used by people struggling with illicit opioid use disorder to abate withdrawal symptoms,” said Thomas Hodnett, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. Villalba’s drug distribution activities destroyed the lives of countless people across Delaware; for that he is deserving of this federal prison sentence.”
U.S. Attorney Weiss made the announcement after sentencing by U.S. District Judge Leonard P. Stark. Assistant U.S. Attorneys Jennifer K. Welsh and Ruth Mandelbaum are prosecuting the case. The case has been investigated by the Drug Enforcement Administration (“DEA”) Group 35, which is part of the Liberty Mid-Atlantic High Intensity Drug Trafficking Area (“HIDTA”). The DEA received significant assistance from the Wilmington Police Department, Delaware State Police, and the Newport Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 1:20-cr-00054 (LPS).
21 December 2021
Winner Man Indicted on Firearm ChargesRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Winner, South Dakota, man has been indicted by a federal grand jury for Prohibited Person in Possession of a Firearm.
Cameron Fanning, age 23, was indicted on December 14, 2021. He appeared before U.S. Magistrate Judge Mark A. Moreno on December 21, 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 on August 6, 2021, in Mission, South Dakota, Fanning, having been previously convicted of a crime punishable by imprisonment for a term exceeding one year, knowingly possessed a firearm.
The charge is merely an accusation and Fanning 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 Rosebud Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Abby Roesler is prosecuting the case.
Fanning was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Wetzel County woman admits to drug chargeRead the Press Release
WHEELING, WEST VIRGINIA – Holly Christine Jenkins, of New Martinsville, West Virginia, has admitted to a drug charge, United States Attorney William J. Ihlenfeld, II announced.
Jenkins, 58, pleaded guilty today to one count of “Distribution of Methamphetamine.” Jenkins admitted to selling methamphetamine fin April 2021 in Wetzel County.
Jenkins faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Clayton J. Reid is prosecuting the case on behalf of the government. The Marshall County Drug Task Force, a HIDTA-funded initiative, investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Watertown Man Pleads Guilty to Drug and Firearms ChargesRead the Press Release
SYRACUSE, NEW YORK – George D. Robinson, V., of Watertown, New York pled guilty today to possessing methamphetamine with intent to distribute it, and possessing three semiautomatic handguns as a convicted felon, announced United States Attorney Carla B. Freedman, Matthew Scarpino, Acting Special Agent in Charge, Homeland Security Investigations (HSI), Buffalo, New York Field Office, and Jefferson County District Attorney Kristyna S. Mills.
As part of today’s guilty plea, Robinson admitted that he possessed 98 grams of methamphetamine with intent to sell it when members of the Metro-Jefferson Drug Task Force executed a search warrant at his home in Watertown, New York on February 5, 2021. Also seized pursuant to the search warrant were three semiautomatic handguns possessed by Robinson, who is a convicted felon. He was previously convicted of conspiracy to distribute and possess with intent to distribute methamphetamine in United States District Court for the Northern District of New York in 2004 and was sentenced then to serve 24 months in federal prison.
Sentencing in this case is scheduled for February 24, 2022, in Syracuse, at which time the defendant faces a minimum sentence of 10 years, and up to life in prison, and a fine of up to 10 million dollars for his conviction for possession with intent to distribute methamphetamine. He faces up to 10 years in prison and a fine of up to $250,000.00 for his conviction for possession of firearms as a convicted felon. The Court will also impose a term of post-incarceration supervised release of at least 5 years and up to life. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case is being investigated by Homeland Security Investigations (HSI), and the Metro-Jefferson Drug Task Force, consisting of Detectives from the City of Watertown Police Department, Detectives from the Jefferson County Sheriff’s Office, Investigators from the Jefferson County District Attorney’s Office, Agents of the United States Border Patrol, and Special Agents from the United States Department of Homeland Security Investigations. The United States Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) also assisted.
This case was brought through 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 case is being prosecuted by Assistant U.S. Attorney Richard Southwick.
US Attorney's Office Collects over $6.2 Million in Civil & Criminal Actions in Fiscal Year 2021Read the Press Release
MADISON, WIS. – Acting U.S. Attorney Timothy M. O’Shea announced today that the Western District of Wisconsin collected $6,273,129.96 in criminal and civil actions in Fiscal Year 2021. Of this amount, $1,284,157.17 was collected in criminal actions and $4,988,972.79 was collected in civil actions. Fiscal Year 2021 is the 12 months from October 1, 2020 to September 30, 2021.
Additionally, the Western District of Wisconsin worked with other U.S. Attorney’s Offices and components of the Justice Department to collect an additional $483,860.23 in cases pursued jointly by these offices.
“Our office has made collecting money owed to crime victims and to the United States in criminal and civil cases a priority,” said Acting U.S. Attorney O’Shea. “We will work to hold criminal defendants responsible for their crimes and ensure that individuals and companies that violate federal laws or owe the government money are held financially accountable for their actions.”
In a significant civil case in 2021, AutoGenomics, Inc. agreed to pay the United States $2.538 million to resolve allegations that it violated the False Claims Act and Anti-Kickback Statute by engaging in a scheme to bill Medicare for molecular genetic testing performed for nursing home patients that were induced by a kickback payment for the referral of the tests. In a criminal matter, the office collected over $1 million from six defendants who were charged and convicted in a federal tax scheme where vendors and bar owners skimmed video gambling machine cash receipts. The defendants defrauded the IRS and Wisconsin Department of Revenue by failing to pay federal and state income taxes, as well as state sales taxes, on the gambling revenues.
The U.S. Attorneys’ Offices, along with the Justice Department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the federal Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs. In Fiscal Year 2021, Wisconsin was awarded over $18.25 million in victim assistance funds and over $2.48 million in victim compensation funds.
U.S. Attorney’s Office Collects More than $4 Million in Civil and Criminal Actions in Fiscal Year 2021Read the Press Release
PORTLAND, Maine: U.S. Attorney Darcie N. McElwee announced today that the District of Maine collected $4,301,145.59 in criminal and civil actions in Fiscal Year 2021. Of this amount, $2,656,134.87 was collected in criminal actions and $1,645,010.72 was collected in civil actions.
Additionally, the District of Maine worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $37,336.07 in cases pursued jointly by these offices. Of this amount, $12,336.07 was collected in criminal actions and $25,000.00 was collected in civil actions.
The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s Office for the District of Maine, working with partner agencies and divisions, collected $4,040,485 in asset forfeiture actions in FY 2021. Forfeited assets deposited into the Department of Justice Asset Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
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U.S. Attorney’s Office Announces Collections from Civil and Criminal Actions in Fiscal Year 2021Read the Press Release
U.S. Attorney Nikolas P. Kerest announced today that the U.S. Attorney’s Office for the District of Vermont collected $1,874,911.26 in criminal and civil actions in Fiscal Year 2021. Of this amount, $1,326,495.45 was collected in criminal actions and $548,415.81 was collected in civil actions.
Additionally, the District of Vermont worked with other U.S. Attorney’s Offices and components of the Department of Justice to collect an additional $291,607,284.62 in cases pursued jointly by these offices. Of this amount, $20,151.91 was collected in criminal actions and $291,587,132.71 was collected in civil actions.
“These collection figures demonstrate our Office’s commitment to use the tools we have to make the government whole when it is victimized by fraud and to recover ill-gotten gains for the benefit of victims of crime,” said U.S. Attorney Kerest.The U.S. Attorneys’ Offices, along with the department’s litigating divisions, are responsible for enforcing and collecting civil and criminal debts owed to the U.S. and criminal debts owed to federal crime victims. The law requires defendants to pay restitution to victims of certain federal crimes who have suffered a physical injury or financial loss. While restitution is paid to the victim, criminal fines and felony assessments are paid to the department’s Crime Victims Fund, which distributes the funds collected to federal and state victim compensation and victim assistance programs.
Additionally, the U.S. Attorney’s Office-District of Vermont, working with partner agencies and divisions, collected $807,954.00 in asset forfeiture actions in FY 2021. Forfeited assets deposited into the Department of Justice Assets Forfeiture Fund are used to restore funds to crime victims and for a variety of law enforcement purposes.
U.S. Attorney's Office Files Amended Lawsuit Against Chicopee Housing Authority and its Executive DirectorRead the Press Release
BOSTON – The U.S. Attorney’s Office for the District of Massachusetts and the U.S. Department of Justice’s Civil Rights Division today filed an amended complaint that alleges that the Chicopee Housing Authority and its Executive Director, Monica Blazic, violated the Fair Housing Act by engaging in a pattern or practice of discrimination based on race, national origin, and disability, and also violated the Americans with Disabilities Act and Section 504 of the Rehabilitation Act of 1973.
The United States initially filed suit against the defendants on April 19, 2021, alleging that the defendants failed to make reasonable accommodations and discriminated against a tenant based upon her disability. The amended complaint includes additional claims against the defendants, alleging that they engaged in a pattern or practice of discrimination based upon race or national origin over a period of years. Specifically, the amended complaint asserts that the defendants discriminated against Black and Hispanic tenants and potential tenants. As alleged in the amended complaint, Blazic preferred White tenants and made discriminatory statements about and to Black and Hispanic tenants, including the use of racial slurs. In addition, Blazic intimidated or coerced tenants and potential tenants based upon their race or national origin.
The matter was originally investigated by the U.S. Department of Housing and Urban Development, which, in March 2021, issued a charge against the Chicopee Housing Authority and Blazic after finding that the defendants violated the Fair Housing Act by failing to allow a tenant to transfer to a first floor or elevator accessible unit to accommodate her disability. The tenant has end stage renal disease and without the transfer to another unit, was unable to receive daily in-home dialysis. As alleged in the amended complaint, the tenant applied for a transfer based on her disability in 2017, and since that time the Chicopee Housing Authority offered 10 vacant apartments – any one of which could have accommodated the tenant – to other individuals.
“The racist conduct alleged in the amended complaint is shocking – here we have a public housing official openly using racist slurs to impugn tenants she is paid to serve,” said Acting U.S. Attorney Nathaniel R. Mendell. “Public officials are supposed to do competent work with common decency. When they stray this far from what is acceptable, they run afoul of the law and can expect to hear from this office.”
“It is simply inexcusable for the head of a public housing authority to repeatedly use racial slurs and make other bigoted statements about Black and Hispanic residents, or for the housing authority to repeatedly violate the rights of residents with disabilities,” said Kristen Clarke, Assistant Attorney General for Civil Rights at the U.S. Department of Justice. “The Department of Justice will vigorously pursue housing providers who use brazenly unlawful and discriminatory conduct to threaten and intimidate tenants. All people deserve access to housing free from discrimination.”
“Racial discrimination and discrimination against persons living with disabilities have absolutely no place in our country’s housing market, and those who discriminate must be held accountable,” said Demetria McCain, HUD's Principal Deputy Assistant Secretary for Fair Housing and Equal Opportunity. “HUD applauds the Justice Department for taking today’s action and will continue supporting its efforts to hold housing providers accountable when they fail to meet their obligations under the nation’s housing laws.”
The lawsuit seeks an order requiring the defendants to cease discrimination against any tenant based on race, national origin, or disability, pay damages to aggrieved parties and to accommodate residents’ disabilities.
Acting U.S. Attorney Mendell, Assistant Attorney General Clarke and HUD FHEO Principal Deputy Assistant Secretary McCain made the announcement today. Assistant U.S. Attorneys Gregory Dorchak and Michelle Leung of Mendell’s Civil Rights Unit are handling the matter.
Individuals who have information about this case can contact the U.S. Attorney’s Office by calling 1-617-275-756 or by emailing [email protected].
The Civil Rights Unit of the U.S. Attorney’s Office has been enforcing federal civil rights matters since 2015. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights.
Two New Orleans Men Indicted for Theft of Stolen Mail Matter, Unlawful Possession of a Postal Key, and a Violation of the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – KYLE ARMSTONG, age 19, and KAREEM MADISON, age 27, both residents of New Orleans, Louisiana, were charged on December 16, 2021 for theft or receipt of stolen mail matter and unlawful possession of postal key. MADISON was also charged for being a convicted felon in possession of a firearm.
In Count 1 of the indictment, ARMSTRONG and MADISON are charged with stealing U.S. Mail matter from a post office letter box located at the Metairie Main Post Office, Metairie, LA 70002. If convicted, ARMSTRONG and MADISON face up to five (5) years imprisonment. In Count 2, ARMSTRONG and MADISON are charged with unlawfully possessing a key adopted by the Postal Service and in use on authorized receptacle for the deposit of mail matter with the intent unlawfully and improperly to use the same. If convicted, ARMSTRONG and MADISON face up to ten (10) years imprisonment. In Count 3 of the indictment, MADISON is charged for being a convicted felon in possession of a firearm. If convicted, MADISON faces up to ten (10) years imprisonment. Each count carries additional penalties of a period of up to (3) years supervised release, a fine up to $250,000, and a mandatory special assessment fee of $100.00.
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.
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 U.S. Postal Service Inspection Service and Jefferson Parish Sheriff’s Office in investigating this matter. Assistant U.S. Attorneys Rachal Cassagne and Dall Kammer are in charge of the prosecution.
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Tennessee Resident, Stopped by Operation Kick Boxer, Sentenced for Distribution of Child PornographyRead the Press Release
United States Attorney Richard G. Frohling of the Eastern District of Wisconsin announced that on December 20, 2021, David J. Dexter (age: 44) of Kingsport, Tennessee, was sentenced to 60 months in federal prison by Senior United States District Judge William C. Griesbach.
According to court records,Dexter possessed and distributed numerous digital images and videos of child pornography. Dexter’s indictment and subsequent conviction were part of Operation Kick Boxer, a collaborative effort involving the Milwaukee Division of the Federal Bureau of Investigation (FBI), the U.S. Attorney's Office for the Eastern District of Wisconsin, and the Winnebago County Sheriff's Office. (https://go.usa.gov/xfPHh).
At sentencing, Senior Judge Griesbach noted the serious nature of the charge and the need for just punishment. Following his release from prison, Dexter will spend five years on supervised release. He will also be required to register as a sexual offender.
This case was investigated by the Federal Bureau of Investigation’s Milwaukee, Green Bay, and Knoxville, Tennessee Offices, as well as the Winnebago County Sheriffs’ Office. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
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 U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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