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Wednesday 27 October 2021
Man Sentenced for Lake Mead ShootingRead the Press Release
LAS VEGAS, Nev. – A Mexican citizen was sentenced yesterday to ten years in prison for shooting a man in the Lake Mead National Recreation Area.
According to court documents, on March 6, 2020, the victim was at the Lake Mead National Recreation Area when he responded to a male voice calling for help. The victim saw Eliel Urrutia-Jimenez (26) lying on the ground and attempted to see if Urrutia-Jimenez needed help. When the victim approached, Urrutia-Jimenez turned and shot the victim four times, wounding him in the torso.
Urrutia-Jimenez pleaded guilty in July 2021 to one count of discharging a firearm during the commission of a crime of violence, admitting that he knowingly and intentionally shot the victim — with the intent to do bodily harm — four times in the torso. In addition to the term of imprisonment, U.S. District Judge Andrew P. Gordon sentenced Urrutia-Jimenez to five years of supervised release.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Chief Ranger Trouper Snow for the National Park Service made the announcement.
This case was investigated by the National Park Service.
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Las Vegas Man Sentenced for Filing Fraudulent Unemployment Insurance Claims Totaling over $250,000Read the Press Release
LAS VEGAS, Nev. – A Las Vegas man was sentenced today to 49 months in federal prison for filing two dozen fraudulent unemployment insurance claims, which were approved for more than $250,000 in unemployment benefits from the Nevada Department of Employment, Training, and Rehabilitation (DETR) and California Employment Development Department (EDD).
Antwine Demon Hunter, 34, pleaded guilty in July 2021 to one count of mail fraud. In addition to the term of imprisonment, U.S. District Judge Andrew P. Gordon ordered Hunter to pay restitution and sentenced him to three years of supervised release.
According to court documents and admissions made in court, from June 1, 2020 to September 28, 2020, Hunter and co-conspirators used personally identifiable information belonging to victims to submit 24 false unemployment claims to DETR and EDD. As part of the scheme, Hunter had DETR and EDD mail debit cards containing unemployment benefits to addresses he had access to. In total, more than $250,000 in unemployment benefits was approved, and at least $189,118 was withdrawn by Hunter.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Special Agent in Charge Quentin Heiden of the U.S. Department of Labor Office of the Inspector General (DOL-OIG), Los Angeles Region made the announcement.
This case was investigated by the DOL-OIG. Assistant U.S. Attorney Jim Fang prosecuted 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.
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Justice Department Settles with Construction Company to Resolve Immigration-Related Discrimination ClaimsRead the Press Release
The Department of Justice today announced that it has reached a settlement agreement with Priority Construction Corporation, located in Baltimore, Maryland. The settlement resolves the department’s claims that Priority Construction violated the anti-discrimination provision of the Immigration and Nationality Act (INA) by failing to consider workers in the United States (such as U.S. citizens, U.S. nationals, asylees, refugees and recent lawful permanent residents) for employment opportunities due to the company’s preference for workers with H-2B visas.
“Employers should fully and fairly consider the qualifications of all applicants and not allow unlawful preferences based on citizenship or immigration status to affect the hiring process,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division is committed to eradicating discriminatory barriers and protecting workers from hiring discrimination.”
The department’s investigation determined that from at least Jan. 1, 2019 to March 11, 2019, Priority Construction discriminated against applicants in the United States by failing to fully and fairly consider them for temporary laborer positions, due to the company’s preference for H-2B visa workers. Specifically, Priority Construction claimed at the time it could not find sufficient qualified U.S. workers, when in fact it had not taken the time to fairly assess the local applicants who had applied to determine if they were qualified. The Department of Labor requires employers seeking permission to hire H-2B workers to first hire all qualified and available U.S. workers who apply by the relevant deadline. The department also concluded that the company attempted to discourage U.S. workers from applying by putting unnecessarily restrictive job requirements in a 2019 job announcement, such as three months of experience, when it would have accepted workers with one month of experience. The INA prohibits employers from refusing to consider, recruit or hire U.S. citizens and protected non-U.S. citizens – such as U.S. nationals, asylees, refugees, and recent lawful permanent residents – because of their citizenship or immigration status.
Under the settlement, Priority Construction will pay $40,600 in civil penalties to the United States, and conduct enhanced U.S. worker recruitment and advertising for future positions. The settlement also requires Priority Construction to be subject to departmental monitoring and reporting requirements and train employees on how to avoid discrimination under the INA.
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits discrimination based on citizenship status and national origin in hiring, firing or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
Learn more about IER’s work and how to get assistance through this brief video. More information on how employers can avoid citizenship status discrimination is available here. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status, or national origin in hiring, firing, recruitment, or during the employment eligibility verification process (Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public can also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER.
Judge sentences St. Louis man for enticement of a minor to engage in prostitutionRead the Press Release
ST. LOUIS – Tony K. Sanford, age 39, of St. Louis, Missouri, appeared before United States District Court Judge John A. Ross on October 27, 2021. Sanford was sentenced to 120 months in federal prison to be followed by lifetime supervision upon his plea of guilty to the offense of enticement of a minor to engage in prostitution. From January 20, 2020 to January 30, 2020, Sanford directed and facilitated prostitution transactions involving a seventeen-year-old minor in the city of St. Louis.
This case was investigated by the St. Louis Metropolitan Police Department and Homeland Security Investigations.
Irving Man Guilty of Wire Fraud Violations in the Eastern District of TexasRead the Press Release
PLANO, Texas – An Irving man has pleaded guilty to federal violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei.
Ira Morya Davis, 40, pleaded guilty to conspiracy to commit wire fraud before U.S. Magistrate Judge Kimberly Priest Johnson on Oct. 26, 2021.
According to information presented in court, Davis and at least two other co-conspirators devised a fraud scheme targeting various financial institutions and real estate purchasers. To accomplish the fraud, Davis and his co-conspirators created shell companies and executed various mortgage and property documents that purportedly conveyed ownership interests of various real properties from the true owners to the conspirators’ shell companies. Davis and his co-conspirators then filed the fraudulent documents with county offices falsely showing that they had mortgage liens on the properties, sold the properties, and triggered the title companies to unwittingly fund the co-conspirators. During the course of the scheme, Davis obtained and used fraudulent notary stamps using real people’s identities, which enabled the conspirators to legitimatize the otherwise fraudulent documents. Davis and his co-conspirators targeted multiple properties, and the financial harm resulting from his offense was at least $2.5 million.
“The Eastern District is committed to tackling complex fraud schemes, including those that target financial institutions and purchasers in the real estate market,” said Acting United States Attorney Nicholas J. Ganjei. “Regardless of the complexities involved, the public can be assured that EDTX and its law enforcement partners are working tirelessly to disentangle complex white collar fraud schemes and bring culpable individuals to justice.”
Davis was indicted by a federal grand jury on March 12, 2020. He faces up to 20 years in federal prison. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
The case is being investigated by the Federal Housing Finance Agency – Office of Inspector General and the Federal Bureau of Investigation.
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Inmate admits to assaulting officer, sentencedRead the Press Release
CLARKSBURG, WEST VIRGINIA – Daripsy Sanchez, an inmate at the Secure Female Facility at Federal Correctional Institution Hazelton in Bruceton Mills, West Virginia, was sentenced today to 15 months for an assault charge, United States Attorney William J. Ihlenfeld, II announced.
Sanchez, 27, pleaded guilty today to one count of “Assault of a Correctional Officer Involving Physical Contact.” Sanchez admitted to assaulting a correctional officer in April 2021.
The 15-month sentence will run consecutively to any other sentence she is serving.
Assistant U.S. Attorney Christopher L. Bauer prosecuted the case on behalf of the government. The Bureau of Prisons investigated.
U.S. District Judge Thomas S. Kleeh presided.
Harrisburg Man Convicted of Being A Felon in Possession of A FirearmRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on October 26, 2021, Alfred W. Stewart, age 38, of Harrisburg, Pennsylvania, was convicted of possessing a firearm as a previously convicted felon after a two-day trial before United States District Court Judge Jennifer P. Wilson.
According to Acting United States Attorney Bruce D. Brandler, the jury returned the guilty verdict after approximately one hour of deliberation. The government established that on March 27, 2019, members of the United States Marshal Service (USMS) Fugitive Task Force executed an arrest warrant on Stewart for being a fugitive from federal supervision and for multiple violations of his federal supervised release. When the officers arrived at the Dauphin County home, they knocked on the door and spoke with a family member. This family member indicated that Stewart was home and up on the third floor. The Marshals gave commands for Stewart to come downstairs. Instead, Stewart fled out of a third-floor window. Officers outside observed him with a gun in his hand. Stewart walked back and forth between a chimney and another obstruction and put something in the chimney. Afterwards he surrendered. Police went to the basement of the house and found a Glock model 30 .45 caliber pistol in the chimney which Stewart was prohibited from possessing as a result of a prior felony conviction.
Stewart had three prior convictions for serious drug offenses:
- 2003 conviction before the Dauphin County Court of Common Pleas for unlawful distribution of a controlled substance (cocaine);
- 2003 conviction before the Dauphin County Court of Common Pleas for Possession with intent to distribute a controlled substance;
- 2010 conviction before the United States District Court for the Middle District of Pennsylvania for distribution and possession with intent to distribute a Controlled Substance (cocaine).
As a result of these three convictions, Stewart qualifies as an Armed Career Criminal and is subject to a minimum mandatory 15 year term of imprisonment.
The case was investigated by the U.S. Marshal Service, the Harrisburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorneys Michael A. Consiglio and Sam Dalke are prosecuting 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. 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.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
Indictments and Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Hardy County man admits to role in drug trafficking operationRead the Press Release
ELKINS, WEST VIRGINIA – Richard Allan Howell, of Moorefield, West Virginia, has admitted to his role in a drug distribution operation, United States Attorney William J. Ihlenfeld, II announced.
Howell, 43, pleaded guilty today to one count of “Possession with Intent to Distribute Methamphetamine.” Howell admitted to having methamphetamine, also known as “crystal meth” or “ice,” in October 2018 in Hardy County.
Howell 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, and the Moorefield Police Department
investigated. The task force consists of the FBI, the West Virginia State Police, the Grant County Sheriff’s Office, the Hardy County Sheriff’s Office, the Hardy County Sheriff’s Office, the Mineral County Sheriff’s Office, and the Keyser Police Department.
U.S. Magistrate Judge Michael John Aloi presided.
Find the related case here: https://www.justice.gov/usao-ndwv/pr/hardy-county-man-appears-drug-charges
Grand Jury Returns Two IndictmentsRead the Press Release
MADISON, WIS. - A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Eau Claire Man Charged with Wire & Bank Fraud
Michael Shillin, 31, Eau Claire, Wisconsin, is charged with 9 counts of wire fraud and 1 count of bank fraud. The indictment alleges that Shillin, the owner of a financial advisory company named Shillin Wealth Management (SWM), engaged in a scheme to defraud clients by making misrepresentations to them.
The indictment alleges that Shillin told his clients that he purchased non-public stock of well-known companies on their behalf and that they had made hundreds of thousands of dollars on these investments, when in fact, Shillin had not purchased the stocks. It further alleges that Shillin convinced numerous clients to purchase insurance policies by misrepresenting the cost of the policies as well as the benefits, and that Shillin received commission payments on some of these policies. In addition, the indictment alleges that Shillin provided clients with fraudulent tax documents to make them appear eligible for tax breaks to which they were not entitled.
The indictment also charges Shillin with defrauding a bank by obtaining two loans totaling $462,000 on behalf of SWM by using fraudulent collateral. The indictment alleges that he provided an account statement showing that SWM owned an account with a balance of over $1.2 million, when in fact a client owned and controlled the account.
If convicted, Shillin faces a maximum penalty of 20 years in federal prison on each wire fraud charge, and a maximum penalty of 30 years on the bank fraud charge. The charges against him are the result of an investigation by the Federal Bureau of Investigation, Eau Claire and Altoona Police Departments, and Wisconsin Department of Financial Institutions. Assistant U.S. Attorney Zachary Corey is handling the prosecution.
Green Bay Man Charged with Possessing Methamphetamine for Distribution
Michael Soun, 35, Green Bay, Wisconsin, is charged with possessing 50 grams or more of methamphetamine with intent to distribute. The indictment alleges that he possessed the methamphetamine on September 1, 2021.
If convicted, Soun faces a mandatory minimum penalty of 5 years and a maximum of 40 years in federal prison. The charge against him is the result of an investigation by the West Central Drug Task Force. Assistant U.S. Attorney Aaron Wegner is handling the prosecution.
Four Defendants Face Federal Indictment in Alleged Racketeering Conspiracy to Smuggle Contraband into Maryland’s Metropolitan Transition Center in Exchange for BribesRead the Press Release
Baltimore, Maryland – A federal grand jury returned an indictment charging four defendants with a racketeering conspiracy at the Metropolitan Transition Center (MTC), in Baltimore, Maryland. The indictment charges two former correctional officers (COs), a detainee, and an outside “facilitator” for their roles in the conspiracy, which allegedly involved paying bribes to correctional officers to smuggle contraband, including narcotics, tobacco, and cell phones, into the jail. The indictment was returned on October 13, 2021 and made public today. Charged in the indictment are:
Christopher Mann, age 39, of Baltimore, a detainee at MTC;
Thomas Green, a/k/a “Fatass,”, age 33, of Pikesville, Maryland, a former Correctional Officer at MTC;
Shanese Butler, age 33, of Baltimore, a former Correctional Officer at MTC; and
Cania Jefferson, age 35, of Landsdowne, Maryland, an outside facilitator.Green, Butler, and Jefferson will have their initial appearances in U.S. District Court in Baltimore today beginning at 2:00 p.m. Mann is currently serving a state sentence and will be brought in for his initial appearance at a later date.
The indictment was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office; and Secretary Robert Green of the Maryland Department of Public Safety and Correctional Services.
“Corrupt correctional officers that smuggle contraband into jails endanger the lives of their co-workers and the detainees entrusted to their care,” said United States Attorney Erek L. Barron. “Prisoners can use contraband cell phones to direct criminal activity outside, which also endangers the community. The United States Attorney’s Office will continue working with our law enforcement partners to root out prison corruption and prosecute those who abuse their positions of trust to facilitate and engage in criminal behavior.”
“This case demonstrates that we will not tolerate employees in positions of trust violating their oaths,” said Thomas J. Sobocinski, Special Agent in Charge of the FBI Baltimore Field Office. “Federal, state, and local officials will continue to work together to ensure public servants who violate their duty for personal gain will be held accountable.”
According to the indictment, MTC is a medium security facility run by the Maryland Department of Public Safety and Correctional Services (DPSCS) for the housing of Maryland pretrial detainees. MTC houses approximately 500 male detainees in eight housing areas, or “dorms.”
The indictment alleges that from about June 2020 and continuing until November 2020, the COs smuggled contraband into MTC, including narcotics, cell phones, and tobacco. The indictment alleges that the narcotics smuggled into MTC included buprenorphine, commonly referred to as “Suboxone” and synthetic cannabinoids (otherwise known as “K2”). The COs allegedly accepted and agreed to accept payments from facilitators and detainees as consideration for smuggling contraband into MTC. The indictment alleges that Shanese Butler also engaged in a romantic relationship with Christopher Mann. Mann and his facilitators paid the COs for smuggled contraband using cash and electronic payment platforms, including Cash App. Mann allegedly received payment from other detainees for contraband transactions via Cash App and other methods, often with the assistance of facilitators.
The defendants allegedly used cell phones to communicate with one another and to coordinate their contraband smuggling and trafficking activities. The indictment alleges that by using contraband cell phones, Mann avoided using MTC’s jail call system, thereby enabling him to have undetected and unrecorded conversations with his co-conspirators.
The indictment documents numerous text and phone conversations between Mann, Butler, and Jefferson during which Mann directed Butler and Jefferson to make payments to Green and others and arranged for the delivery of contraband to Green for smuggling into MTC.
On July 29, 2020, Mann allegedly used a contraband cell phone to call Jefferson. Mann told Jefferson that he had just paid a bribe to Green to have Green transport him to a building where Butler was working by herself so that Mann and Butler could have sex. According to the indictment, Mann complained to Jefferson that after he arrived at the building, Butler was reluctant to have sex because she was afraid of being caught. Mann allegedly complained to Jefferson that the aborted rendezvous was a wasted opportunity. The indictment alleges that approximately three week later, during a call on August 19, 2020, Mann instructed Jefferson to purchase an engagement ring for Butler at a store in Columbia Mall. Two days later, Mann allegedly wired $1,650 via Cash App to Jefferson to cover the cost of the ring.
According to the indictment, on several occasions in September 2020, Mann called Butler on a contraband cell phone to discuss sending contraband, specifically paper soaked in liquid K2, through the mail. During one conversation, Butler allegedly suggested sending the paper to another detainee to solicit the detainee’s feedback as to whether the K2 was sufficiently potent. The indictment alleges that in another conversation Butler noted that the paper looked “glossy” and suggested that printing a picture on it would make it less noticeable to law enforcement. Mann allegedly instructed Butler to print a picture depicting “white people” on the paper and to mail the paper to a specific white detainee at MTC. The indictment alleges that Butler subsequently notified Mann that she had sent the K2 soaked paper to the white detainee, using the alias “Tiffany Baker” in the return address.
The indictment alleges that during the same time frame, Mann suggested to Jefferson that his father was concerned that law enforcement officers were aware of his criminal activity. Mann allegedly told Jefferson, “My father acting like the goddam federal agents are coming to get me.” Jefferson allegedly responded, “No, ain’t nobody coming to get nobody.”
On October 2, 2020, law enforcement executed search warrants at residences belonging to Butler and Jefferson. Law enforcement seized K2, as well as drug paraphernalia, from Jefferson’s residence. At Butler’s residence, investigators seized K2, $3,020 in cash, and the engagement ring Jefferson had given to Butler on Mann’s behalf.
If convicted, each defendant faces a maximum sentence of 20 years in prison for the racketeering conspiracy. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
United States Attorney Erek L. Barron commended the FBI and DPSCS for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Peter J. Martinez and Aaron S.J. Zelinsky, who are prosecuting the federal 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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Former Las Cruces middle school principal sentenced to 11 years in federal prison for child pornographyRead the Press Release
ALBUQUERQUE, N.M. – Joel Aguilar Villanueva, 45, of Las Cruces, New Mexico, was sentenced today in federal court to 11 years and three months in prison for transportation of a visual image of a minor engaging in sexually explicit conduct. Villanueva pleaded guilty on Nov. 8, 2019.
According to the plea agreement and other court records, on Oct. 23, 2018, Villanueva, who was the principal of a middle school in Las Cruces, uploaded a video from an electronic device to Twitter. The video depicted a child engaged in a sexual act with an adult, and was posted with the comment “aprenden rapido,” which translates to English as, “they learn fast.”
Upon his release from prison, Villanueva will be subject to five years of supervised release and must register as a sex offender.
The Las Cruces office of Homeland Security Investigations (HSI) investigated the case with assistance from the New Mexico State Police, the Las Cruces Police Department and the New Mexico Office of the Attorney General. Assistant U.S. Attorney Marisa A. Ong prosecuted the case as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice (DOJ) to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and DOJ’s Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Former Gary Police Officer Indicted on Federal Civil Rights Charge for Assaulting ArresteeRead the Press Release
Terry Peck, 46, a former police officer with the Gary Police Department, was indicted today by a federal grand jury in Hammond, Indiana, for using excessive force against an arrestee.
The indictment charges Peck with a single count of deprivation of rights under color of law. Specifically, the indictment alleges that on March 19, 2019, Peck assaulted an arrestee, identified in the indictment only as R.H., by slamming his head into the side of a patrol vehicle. The indictment further alleges that the incident resulted in bodily injury to R.H.
If convicted of the deprivation of rights charge, Peck faces a maximum sentence of 10 years in prison; actual sentences are often much lower than the statutory maximum. If convicted, any specific sentence to be imposed will be determined by the Judge after a consideration of federal statutes and the Federal Sentencing Guidelines.
Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division and U.S. Attorney Clifford D. Johnson of the Northern District of Indiana made the announcement.
This case was investigated by the FBI. Assistant U.S. Attorney Jennifer Chang of the Northern District of Indiana, Hammond Division, and Trial Attorney Anita Channapati of the Civil Rights Division are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence of guilt, and the defendant is presumed innocent unless proven guilty.
Former Alachua County Deputy Pleads Guilty to Lying During Purchases of FirearmsRead the Press Release
Ocala, Florida – Kenyari Devaughnte Brewton (26, Ocala), a former deputy with the Alachua County Sheriff’s Office, has pleaded guilty to two federal felonies: (1) making a materially false statement during the purchase of a firearm and (2) causing a federal firearms licensee to maintain false information in its official records. Brewton faces a maximum penalty of 15 years in federal prison. He will also be required to forfeit and/or abandon firearms and ammunition related to the offenses.
According to the plea agreement, between March 2, 2020, and April 26, 2021, Brewton purchased multiple firearms from a Marion County gun dealer, including two handguns and an AK-47 style pistol. While purchasing the firearms, Brewton certified on each ATF Form 4473 (Firearm Transaction Record) that he was the “actual transferee/buyer” of these guns. In actuality, he purchased the firearms on behalf of another person and never intended to keep them. Brewton also used his status as a law enforcement officer to obtain discount prices on some of the firearms.
Specifically, on April 26, 2021, Brewton purchased two Glock pistols (.40 and 9mm calibers). Six days later, on May 2, 2021, the .40 caliber Glock pistol was used by another person during a homicide in Marion County. That firearm was later recovered by the Ocala Police Department during a traffic stop involving four armed men with masks, gloves, and loaded firearms. A few weeks after the homicide, on May 30, 2021, during a DUI traffic stop in Lake County, the Fruitland Park Police Department recovered the 9mm Glock handgun in a glovebox next to $10,000 in cash.
A subsequent search warrant of Brewton’s cellphone revealed numerous text conversations between Brewton and the person for whom he had agreed to purchase the firearms. Brewton also admitted to federal investigators that he had “gotten caught up” in people asking him to buy firearms and in making a profit on the sales.
This case was investigated by the Ocala Police Department, the Marion County Sheriff’s Office, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
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.
Farmington Man Pleads Guilty to Role in Illegal Marijuana Distribution Conspiracy Involving Money Laundering and Public CorruptionRead the Press Release
BANGOR, Maine: A Farmington man pleaded guilty today in federal court to conspiring to possess and distribute more than 1,000 kilograms of marijuana and 1,000 marijuana plants, U.S. Attorney Darcie N. McElwee announced.
According to court documents, from about 2016 through July 2020, Randal Cousineau, 69, participated in a conspiracy to illegally cultivate and sell marijuana. Cousineau was the primary financier and 50% partner with a co-conspirator in an illegal marijuana cultivation facility in Farmington. He also held an interest in an illegal marijuana distribution company. Members of the conspiracy cultivated and sold marijuana in violation of Maine’s medical marijuana laws, selling bulk marijuana illicitly to individuals who were not registered as caregivers, and for distribution outside of the state of Maine. Cousineau realized hundreds of thousands of dollars in profit from these illegal sales.
Cousineau faces up to life in prison and a $10 million fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
A related 14-count criminal complaint was also filed today in U.S. District Court in Bangor, charging 12 defendants with a variety of offenses, including conspiracy to distribute and possess with intent to distribute controlled substances, conspiracy to commit money laundering, conspiracy to commit honest services fraud, bank fraud, tampering with proceedings, tampering with documents, conspiracy to defraud the United States and to impede and impair the IRS, tax evasion, and tax fraud.
According to the criminal complaint, Lucas Sirois, 41, of Farmington, was the leader of the criminal organization. He and his coconspirators realized in excess of $13 million over a six-year period through the illicit sale of marijuana. Sirois structured his operations to appear as though they complied with Maine’s medical marijuana regime while he regularly sold bulk marijuana on the illicit market, including more than $1 million worth of marijuana for out-of-state distribution between 2018 and 2019 through codefendant Brandon Dagnese, 27, of Scarborough, a convicted felon who was ineligible to hold a caregiver card in Maine.
Also as alleged in the criminal complaint:
- In order to conceal his activities and maximize his profits from illegal drug trafficking, in which he engaged with Alisa Sirois, 43, of Kingfield, Robert Sirois, 68, of Farmington, and Ryan Nezol, 38, of Farmington, among others, Sirois laundered drug proceeds through a complex corporate structure. He lied to his financial institution about the nature of his business and the source of funds that flowed through his accounts. Sirois and his tax preparer Kenneth Allen, 48, of Farmington, filed false income tax returns to hide hundreds of thousands of dollars in income, resulting in tax loss to the United States in excess of $400,000.
- Sirois defrauded the taxpayers of the state of Maine by using his drug money to corrupt members of local law enforcement and town government. Then-Franklin County Deputy Sheriffs Bradley Scovil, 33, of Rangeley, and Derrick Doucette, 29, of Jay, obtained confidential law enforcement information for Sirois that he used to benefit his illegal business; in exchange, Sirois rewarded Scovil and Doucette with ownership interests in his business and brand new “company” cars. Later, Sirois used Scovil and Doucette’s network of active law enforcement officials to obtain information about the ongoing federal investigation into his criminal activity.
- Franklin County Assistant District Attorney Kayla Alves, 36, of Farmington, tipped off Scovil to the existence of the Sirois probe, after Wilton police officer Kevin Lemay, 33, of Farmington, and then-Oxford County deputy sheriff James McLamb, 29, of Auburn, used government databases to confirm for Scovil and Doucette that they were being surveilled by law enforcement; all three officials later destroyed electronic evidence of their wrongdoing with Scovil and Doucette in order to conceal it from investigators.
- Rangeley Selectman David Burgess, 53, accepted tens of thousands of dollars in cash payments from Sirois, including investment in his internet start-up company, in exchange for advocating for Sirois’s preferred agenda in town government, including voting to advance a marijuana ordinance that Sirois himself had drafted to a town referendum. All the while, Sirois paid Burgess thousands of dollars a week to manage his marijuana businesses, a conflict Burgess never publicly disclosed.
In addition to the criminal complaint, a civil complaint was unsealed today in federal court, seeking the forfeiture of 12 real properties involved in the facilitation of illegal marijuana trafficking and/or purchased with illegal drug proceeds.
A chart containing the names, charges, and maximum penalties for the defendants charged in the criminal complaint is set forth below. The maximum potential sentences described therein are prescribed by Congress and are provided here for information purposes only, as any sentencing of the defendants would be determined by the sentencing judge.
U.S. Attorney McElwee praised the outstanding investigative work of the U.S. Drug Enforcement Administration, New England Division, Portland Resident Office; the FBI’s Boston Division; and the Boston Field Office of IRS Criminal Investigation. Ms. McElwee thanked local and state Maine law enforcement partners for their participation in, and support of, the investigation.
The charges and allegations contained in the criminal complaint are merely accusations and the defendants are presumed innocent unless proven guilty.
Copies of the criminal and civil complaints are available here: criminal civil
COUNT
DEFENDANT(S)
MAX TERM OF IMPRISONMENT
Count One: Conspiracy to Distribute and Possess with Intent to Distribute Controlled Substances (21 U.S.C. § 846)
Lucas Sirois
David Burgess
Bradley Scovil
Derrick Doucette
Alisa Sirois
Robert Sirois
Brandon Dagnese
Ryan Nezol
Dependent on quantity of marijuana reasonably foreseeable to each individual defendant
Count Two: Conspiracy to Commit Money Laundering (18 U.S.C. § 1956(h))
Lucas Sirois
David Burgess
Alisa Sirois
20 years
Count Three: Conspiracy to Commit Honest Services Fraud (18 U.S.C. § 1349)
Lucas Sirois
David Burgess
20 years
Count Four: Conspiracy to Commit Honest Services Fraud (18 U.S.C. § 1349)
Lucas Sirois
Bradley Scovil
Derrick Doucette
James McLamb
20 years
Count Five: Bank Fraud (18 U.S.C. § 1344)
Lucas Sirois
Alisa Sirois
30 years
Count Six: Bank Fraud (18 U.S.C. § 1344)
Lucas Sirois
Bradley Scovil
Derrick Doucette
30 years
Count Seven: Bank Fraud (18 U.S.C. § 1344)
David Burgess
30 years
Count Eight: Tampering with Proceedings (18 U.S.C. § 1512(c)(2))
Kayla Alves
20 years
Count Nine: Tampering with Documents (18 U.S.C. § 1512(c)(1))
Kayla Alves
20 years
Count Ten: Tampering with Documents (18 U.S.C. § 1512(c)(1))
Kevin Lemay
20 years
Count Eleven: Tampering with Documents (18 U.S.C. § 1512(c)(1))
James McLamb
20 years
Count Twelve: Conspiracy to Defraud the United States and Impede and Impair I.R.S. (18 U.S.C. § 371)
Lucas Sirois
David Burgess
Kenneth Allen
5 years
Count Thirteen: Tax Evasion (26 U.S.C. § 7201)
Lucas Sirois
5 years
Count Fourteen: Tax Fraud (26 U.S.C. § 7206(2))
Kenneth Allen
3 years
Erie Man Pleads to Cocaine Possession ChargeRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to a charge of violating federal drugs laws, Acting United States Attorney Stephen R. Kaufman announced today.
Joel Nicholas Gustave, Jr., 40, of Erie, Pennsylvania, pleaded guilty to one count before United States District Judge Susan Paradise Baxter.
In connection with the guilty plea, the court was advised that on or about November 1, 2019, Gustave possessed with the intent to distribute 840.8 grams cocaine, a Schedule II controlled substance.
Judge Baxter scheduled sentencing for March 1, 2022 at 1:30 p.m. The law provides for a total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Gustave on bond.
Assistant United States Attorney Paul S. Sellers is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation’s Erie Area Gang Law Enforcement (EAGLE), Safe Streets task force, which is comprised of investigators from the FBI, the United States Postal Service Office of Inspector General, the Pennsylvania State Police, the Erie Police Department, the Oil City Police Department, and the Titusville Police Department, conducted the investigation that led to the prosecution of Gustave.
Edgewood man sentenced to two years in prison for wire and computer fraudRead the Press Release
ALBUQUERQUE, N.M. – Charles Bruce Sandidge, 40, of Edgewood, New Mexico, was sentenced in federal court on Oct. 22 to two years in prison for wire fraud and fraud in connection with computers. Sandidge pleaded guilty on Sept. 17, 2018.
According to his plea agreement and other court records, from Aug. 14, 2017, through Nov. 15, 2017, Sandidge defrauded a victim through unauthorized access to financial accounts. Through an ad on the Craig’s List website, the victim hired Sandidge to perform video photography and editing. The victim allowed Sandidge access to a personal computer to perform the work. Without permission or authorization, Sandidge accessed the victim’s Paypal account to transfer money to his own account, totaling approximately $135,650 in stolen money and fees.
In addition to his prison sentence, Sandidge must pay $97,298.98 in restitution and, upon his release from prison, will be subject to three years of supervised release.
The FBI investigated this case. Assistant United States Attorney Kimberly Brawley prosecuted the case.
Department of Justice Antitrust Division and Federal Trade Commission to Hold Workshop on Promoting Competition in Labor MarketsRead the Press Release
The Department of Justice and Federal Trade Commission (FTC) will jointly host a virtual public workshop on Dec. 6 and 7, to discuss efforts to promote competitive labor markets and worker mobility. The workshop will bring together lawyers, economists, academics, policy experts, labor groups and workers, and will cover recent developments at the intersection of antitrust and labor, as well as implications for efforts to protect and empower workers through competition enforcement and rulemaking.
A series of panels, presentations and remarks will address competition issues affecting labor markets and the welfare of workers, including: labor monopsony; the increased use of restrictive contractual clauses in labor agreements, including non-competes and non-disclosure agreements; information sharing and benchmarking activity among competing employers; the role of other federal agencies in ensuring fair competition in labor markets; and the relationship between antitrust law and collective bargaining efforts in the “gig economy.” Panelists will be invited to discuss potential steps antitrust enforcers can take to better target enforcement resources, improve public guidance and pursue a whole-of-government approach to ensuring fair competition for workers and consumers by leveraging interagency resources.
The Department of Justice and FTC invite comments from the public on the topics covered by this workshop. Interested parties may submit public comments online now through Dec. 20, at https://www.regulations.gov/docket/FTC-2021-0057.
The workshop will be held virtually and webcast on the FTC’s website at FTC.gov. A recording of the workshop will be available on the Antitrust Division’s website and the FTC’s website. An agenda, list of speakers and instructions for accessing the webcast will be available in the near future at https://www.justice.gov/atr/events/public-workshop-promoting-competition-labor-markets.
Defendants Charged in Connection with Multi-State Forced Labor Conspiracy Involving the Forced Labor of Minor VictimsRead the Press Release
A federal grand jury in the District of Kansas has returned an eight-count indictment against eight defendants for their alleged roles in a forced labor conspiracy that victimized numerous minors who, between 2000 and 2012, worked in various food service and other businesses in Kansas and around the United States.
The indictment alleges that from 2000 through 2012, the defendants participated in running an organization called the United Nation of Islam (UNOI), an organization founded by the now deceased Royall Jenkins. The UNOI is alleged to have subjected multiple minors employed at UNOI-operated businesses in Kansas, New York, New Jersey, Georgia, Connecticut, Ohio and elsewhere, to forced labor.
The indictment charges the following individuals with conspiracy to commit forced labor and forced labor:
Kaaba Majeed
Age: 47
Jonesboro, GA
Yunus Rassoul
Age: 36
Cape Coral, FL
James Staton
Age: 59
Fayetteville, NC
Daniel Aubrey Jenkins
Age: 40
Lawrenceville, GA
Randolph Rodney Hadley
Age: 46
Fairburn, GA
Jacelyn Greenwell
Age: 42
Severn, MD
Etenia Kinard
Age: 46
Waldorf, MD
Dana Peach
Age: 57
Clinton, MD
The indictment alleges that over the course of more than a decade, the defendants coerced the victims into physically demanding labor at various UNOI-owned businesses around the United States. The defendants allegedly used coercive tactics, such as separating victims from their families; withholding food; abusing victims physically and verbally; subjecting victims to crowded living conditions; psychological manipulation; degrading treatment; isolating victims and limiting their ability to interact with anyone outside of UNOI; and suggesting to victims that those who left UNOI met tragic consequences. Although the victims were school-aged, it is alleged the defendants did not provide them with an adequate or legitimate education.
The defendants will be arraigned at a later date in Kansas City, Kansas.
Upon conviction, the alleged crimes carry the following penalties: forced labor with a penalty of up to 20 years in federal prison and a fine up to $250,000 and conspiracy to commit forced labor with a penalty of up to five years in federal prison and a fine up to $250,000.
This case was investigated by the FBI, with assistance from the U.S. Department of Labor - Office of the Inspector General and Wage and Hour Division. It will be prosecuted by Assistant U.S. Attorney Ryan Huschka for the District of Kansas and Trial Attorneys Vasantha Rao and Kate Alexander of the Civil Rights Division’s Human Trafficking Prosecution Unit.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
Defendants Charged in Connection with Multi-State Forced Labor Conspiracy Involving the Forced Labor of Minor VictimsRead the Press Release
WASHINGTON — A federal grand jury in the District of Kansas has returned an eight-count indictment against eight defendants for their alleged roles in a forced labor conspiracy that victimized numerous minors who, between 2000 and 2012, worked in various food service and other businesses in Kansas and around the United States.
The indictment alleges that from 2000 through 2012, the defendants participated in running an organization called the United Nation of Islam (UNOI), an organization founded by the now deceased Royall Jenkins. The UNOI is alleged to have subjected multiple minors employed at UNOI-operated businesses in Kansas, New York, New Jersey, Georgia, Connecticut, Ohio and elsewhere, to forced labor.
The indictment charges the following individuals with conspiracy to commit forced labor and forced labor:
Kaaba Majeed
Age: 47
Jonesboro, GAYunus Rassoul
Age: 36
Cape Coral, FLJames Staton
Age: 59
Fayetteville, NCDaniel Aubrey Jenkins
Age: 40
Lawrenceville, GARandolph Rodney Hadley
Age: 46
Fairburn, GAJacelyn Greenwell
Age: 42
Severn, MDEtenia Kinard
Age: 46
Waldorf, MDDana Peach
Age: 57
Clinton, MDThe indictment alleges that over the course of more than a decade, the defendants coerced the victims into physically demanding labor at various UNOI-owned businesses around the United States. The defendants allegedly used coercive tactics, such as separating victims from their families; withholding food; abusing victims physically and verbally; subjecting victims to crowded living conditions; psychological manipulation; degrading treatment; isolating victims and limiting their ability to interact with anyone outside of UNOI; and suggesting to victims that those who left UNOI met tragic consequences. Although the victims were school-aged, it is alleged the defendants did not provide them with an adequate or legitimate education.
The defendants will be arraigned at a later date in Kansas City, Kansas.
Upon conviction, the alleged crimes carry the following penalties: forced labor with a penalty of up to 20 years in federal prison and a fine up to $250,000 and conspiracy to commit forced labor with a penalty of up to five years in federal prison and a fine up to $250,000.
This case was investigated by the FBI, with assistance from the U.S. Department of Labor - Office of the Inspector General and Wage and Hour Division. It will be prosecuted by Assistant U.S. Attorney Ryan Huschka for the District of Kansas and Trial Attorneys Vasantha Rao and Kate Alexander of the Civil Rights Division’s Human Trafficking Prosecution Unit.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
####
Defendant in Cocaine Distribution Conspiracy Sentenced to Eight Years in Federal PrisonRead the Press Release
Baltimore, Maryland – U.S. District Judge Richard D. Bennett sentenced Troy Lee Neal, age 42, of Elkton, Maryland, to eight years in federal prison, followed by five years of supervised release, for conspiracy to distribute controlled substances and possession with the intent to distribute cocaine.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; Superintendent Colonel Woodrow W. Jones III of the Maryland State Police; and Cecil County Sheriff Scott Adams.
According to his guilty plea, investigators identified Neal as well as co-defendants Mark Williams and Kevin Johnson as suppliers of cocaine after an extended investigation dating back to 2019. The conspiracy members distributed crack cocaine to multiple customers in Elkton, Maryland.
Law enforcement also intercepted at least eight instances in which Neal, or his co-conspirators, conversed in coded conversations about drug activity. For example, on May 27, 2020, after a series of calls between a co-conspirator and a customer, police observed Neal and a co-conspirator visit a customer’s residence. Shortly after their arrival, two male customers entered the co-conspirator’s residence. After one of the two male customers left the residence, police conducted a traffic stop of this customer and seized 3.6 grams of crack cocaine. At that time, Williams, Neal, and Johnson were arrested.
As stated in his plea agreement, on June 13, 2020 law enforcement covertly observed Neal, Williams, and Johnson depart from Neal’s residence and travel to the Bronx in New York, where investigators believe that the conspiracy members obtained cocaine. The next day, on June 14, 2020, law enforcement observed the three men travel back to Neal’s residence. Law enforcement executed a search warrant at Neal’s residence and recovered 497 grams of compressed suspected cocaine, several bags of suspected marijuana, a digital scale, and several cell phones.
Co-defendant Mark Williams was sentenced to seven years in federal prison on September 23, 2021 for conspiracy to distribute controlled substances and possession with the intent to distribute cocaine. Co-defendant Kevin Johnson was sentenced to eight years in federal prison for the same charges on August 23, 2021.
United States Attorney Erek L. Barron praised the HSI, the Maryland State Police Department, and the Cecil County Sheriff’s Office for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Sandra Wilkinson and Kim Y. Oldham, who prosecuted the case.
# # #
Culpeper Woman Arrested in Dark Web Murder-for-Hire PlotRead the Press Release
CHARLOTTESVILLE, Va. – A Culpeper woman, who went online in an attempt to hire a hitman using bitcoin, was arrested today on federal criminal charges.
According to court documents, Annie Nicole Ritenour, 25, placed an “order” via the Dark Web that advertised murder-for-hire services. Ritenour created an account with the website and deposited approximately $3,200 in bitcoin to hire a hitman to kill her intended victim. To further assist with her “order,” Ritenour uploaded photos of her intended victim, as well as other personal information, including their place of employment, type of vehicle they own, and the best time and place to kill them.
“This case highlights the need for more intense federal enforcement of the cyber security protocols of the Internet,” United States Attorney Christopher R. Kavanaugh said today. “The United States Attorney’s Office for the Western District of Virginia has made cybercrime a priority for this exact reason, and this murder-for-hire plot serves as an example of why we need to remain vigilant in the policing of those dark corners of the web where cybercrime thrives.”
“Upon learning of the murder-for-hire plot, the FBI moved quickly to ensure the safety of the intended victim and identified Ms. Ritenour as the person responsible for the threat,” Acting Special Agent in Charge Neil Mathison said today. “The FBI reminds the public that making threats online or using the Dark Web to hire someone to harm another has serious consequences, and we will work with our law enforcement partners and the United States Attorney's Office to hold criminals accountable.”
Ritenour is charged with one count of solicitation to commit a crime of violence and one count of murder-for-hire. If convicted, Ritenour faces a maximum penalty of up to 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Federal Bureau of Investigation is investigating the case.
Assistant U.S. Attorney Ronald M. Huber is prosecuting the case.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Coosa County Man Found Guilty on Federal Gun and Drug ChargesRead the Press Release
Montgomery, Alabama – On October 26, 2021, Kilpatrick Cornelius McKinney, 38, from Kellyton, Alabama, was convicted by a jury on federal gun and drug charges, announced Acting United States Attorney Sandra J. Stewart.
According to court records and evidence presented at trial, the United States Marshals Service, along with Alabama State Bureau of Investigation (SBI) agents, were attempting to locate McKinney to serve an outstanding arrest warrant. On November 16, 2018, agents discovered that McKinney was at his home in Coosa County and upon entering the house, they found McKinney hiding in his bedroom closet. During the arrest, agents noticed a distinct odor of marijuana and saw narcotics and drug paraphernalia in plain view.
Agents then obtained a search warrant for McKinney’s residence based on their observations. While executing that search warrant, investigators located a variety of McKinney’s personal effects in his bedroom, along with a Taurus .38 caliber revolver that was in a Crown Royal bag inside a larger black bag with approximately one pound of marijuana. McKinney has multiple felony convictions and is prohibited from possessing a firearm. In total, agents seized two guns, approximately 452 grams of marijuana, 15 grams of powder cocaine, 27 tablets containing methamphetamine, and approximately $3,870.00 in cash.
After hearing the evidence presented at trial, the jury found McKinney guilty of being a felon in possession of a firearm, possession with intent to distribute marijuana, cocaine, and methamphetamine, and possession of a firearm in connection with a drug trafficking crime.
McKinney has a significant criminal history and is facing a sentence of at least 20 years in prison if he qualifies as an armed career criminal under federal law. In the coming months, a federal district court judge will determine his sentence after considering the U.S. Sentencing Guidelines and other statutory factors, including his potential status as an armed career criminal.
The United States Marshals Service, the Alabama Law Enforcement Agency (ALEA), and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case, with assistance from the Coosa County Sheriff’s Office and the Alabama Department of Forensic Sciences. Assistant United States Attorneys Mark E. Andreu and J. Patrick Lamb prosecuted the case.
Convicted Felon Sentenced to More Than 21 Years in Federal Prison for Possessing Ammunition, Obstructing Justice, and Attempted Witness TamperingRead the Press Release
Tampa, Florida – U.S. District Judge Charlene Edwards Honeywell has sentenced Sergio Antonio Hood (37, Tampa) to 21 years and 10 months in federal prison for possessing ammunition as a convicted felon, obstruction of justice, and attempted witness tampering. Hood is an Armed Career Criminal, which carries a minimum mandatory sentence of 15 years in federal prison. The court also imposed a consecutive sentence of 12 months’ imprisonment for Hood’s violation of federal supervised release based on the same underlying conduct.
A jury had found Hood guilty on June 8, 2021.
According to court documents, on October 27, 2019, one week after meeting and beginning a relationship with a woman, Hood showed up at her home near Ybor City. Finding the woman sitting in a parked car with a friend, Hood pushed his assault-style rifle through the open window, pointed it at the woman’s head, and fired. The bullet missed the woman and went through the other side of the car. At the scene, police officers found one spent 9mm bullet casing on the street. Hood was arrested on state charges the following day.
At the time of the shooting, Hood was on federal supervised release. As a result, he was transferred to federal custody to address his violations of the conditions of his supervised release. While in jail, Hood created a false alibi and asked a witness to testify falsely at a federal court hearing regarding those violations. He was subsequently indicted by a federal grand jury and charged with being a felon in possession of ammunition, obstruction of justice, and attempted witness tampering.
This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives. It was prosecuted by Assistant United States Attorney Risha Asokan.
Convicted Child Predator Pleads Guilty to New Child Pornography ChargeRead 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 James Arthur Morey, 48, of Olean, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to access with intent to view child pornography following a prior conviction. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of 20 years, and a fine of $250,000.
Assistant U.S. Attorney Aaron J. Mango, who is handling the case, stated that Morey, who was convicted in New York State Court in 1999 of Sexual Abuse in the 1st Degree for sexual contact with a minor, was also sentenced to serve 132 months in prison, and lifetime supervised release, after pleading guilty to a federal charge of possession of child pornography on March 1, 2010.
On May 8, 2019, during a home inspection by a U.S. Probation Officer, the defendant admitted to renting an Asus laptop computer and using that computer to view child pornography via the internet. A forensic analysis of the Asus computer revealed that Morey had accessed the computer and viewed child pornography.
The plea is the result of an investigation by U.S. Probation Department, under the direction of Chief Probation Officer Timothy C. Englerth and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia.
Sentencing is scheduled for December 13, 2021, before Judge Arcara.
# # # #
Church Rock man pleads guilty to sexually abusing a childRead the Press Release
ALBUQUERQUE, N.M. – Manison Largo, 42, of Church Rock, New Mexico, and an enrolled member of the Navajo Nation, pleaded guilty on Oct.19 in federal court to abusive sexual contact with a child. Largo will remain in custody pending sentencing, which has not been scheduled.
According to his plea and other court records, on multiple occasions between August 2017 and March 2018, Largo sexually abused the victim, who is also an enrolled member of the Navajo Nation. During the course of the abuse, which occurred at Largo’s residence in Church Rock on the Navajo Nation, the victim had not attained the age of 12. The victim was able to borrow a phone and called 911 to report the abuse.
Largo faces up to life in prison and must register as a sex offender.
The FBI investigated this case with assistance from the Navajo Police Department. Assistant U.S. Alexander F. Flores is prosecuting the case.
Chaparral man sentenced to 19 years in prison for kidnappingRead the Press Release
ALBUQUERQUE, N.M. – Roberto Carlos Cervantes, 27, of Chaparral, New Mexico, was sentenced today in federal court to 19 years and seven months in prison for kidnapping. Upon his release from prison, Cervantes will be subject to three years of supervised release.
According to the plea agreement and other public court documents, he and four co-defendants abducted the victim from a travel center in Mescalero, New Mexico, on April 4, 2019. Cervantes and Joshua Bowen, 28, of Alto, New Mexico, each had a firearm at the time. Cervantes hit the victim in the face several times. They also tied and bound the victim in an attempted robbery.
Cervantes and his co-defendants took the victim to Chaparral where the co-defendants tried to withdraw money from the victim’s bank account with a debit card. From there, Bowen took the victim to a bank in El Paso, Texas, where Bowen ordered the victim to pretend to be Bowen’s grandfather and change the PIN for the victim’s ATM card. After changing the PIN, Bowen transported the victim back to New Mexico where the co-defendants obtained money from the victim’s bank account.
Cervantes and his co-defendants checked into a hotel in Las Cruces, New Mexico, on April 5, 2019, where they prevented the victim from leaving. Cervantes and co-defendant Alison Comstock, 28, of Carrizozo, New Mexico, left the hotel on April 6,2019, and Bowen and co-defendant Brittany Priddy, 30, of Ruidoso, New Mexico, left on April 7, 2019. On April 8, 2019, the victim managed to call his son and tell him where he was. An officer from the Las Cruces Police Department responded and rescued the victim.
Bowen pleaded guilty on June 25, 2020, and was sentenced to 12 years and seven months in prison. Priddy pleaded guilty to kidnapping on April 28 and was sentenced to eight years and one month in prison. Derek Welborn, 30, of Ruidoso Downs, New Mexico, pleaded guilty to kidnapping on April 30 and was sentenced to 10 years in prison. Cervantes and Comstock pleaded guilty to kidnapping on May 19, and Comstock was sentenced to ten years and one month in prison.
The FBI investigated this case with the New Mexico State Police, Ruidoso Downs Police Department, Las Cruces Police Department and Dona Ana Sheriff’s Office. Assistant U.S. Attorneys Marisa A. Ong and Matilda McCarthy Villalobos prosecuted the case.
Camden County Man Admits Role in Stolen Identity Refund Fraud SchemeRead the Press Release
CAMDEN, N.J. – A Camden County, New Jersey, man today admitted his role in a scheme to obtain money through fraudulently obtained refund checks issued by the U.S. Treasury, Acting U.S. Attorney Rachael A. Honig announced.
Jorge Gutierrez, 42, of Merchantville, New Jersey, pleaded guilty before U.S. District Judge Robert B. Kugler to an indictment charging him with conspiracy to defraud the United States.
According to documents filed in this case and statements made in court:
Stolen Identity Refund Fraud (SIRF) is a common type of fraud committed against the United States government that involves the use of stolen identities to commit tax refund fraud. SIRF schemes generally share a number of hallmarks. Perpetrators obtain personal identifying information, including Social Security numbers and dates of birth, from unwitting individuals, who often reside in the Commonwealth of Puerto Rico. They then complete Form 1040 tax returns using the fraudulently obtained information and falsifying wages earned, taxes withheld, and other data, always ensuring that the fraudulent tax return generates a refund. They direct the U.S. Treasury Department to mail refund checks to locations that the perpetrators control or can access. With the fraudulently obtained refund checks in hand, SIRF perpetrators generate cash proceeds by depositing the checks into bank accounts that they control or cashing the checks at check cashing businesses.
For the 2013 tax year, in excess of 3,300 SIRF tax returns were filed using the names and Social Security numbers of residents of Puerto Rico and for which the refunds were directed to be mailed to a small section of Pennsauken, New Jersey. Of the 3,300 returns filed, several of the refund checks were issued and ultimately cashed at check cashing agencies in New Jersey, Philadelphia, and New York using false and fraudulent identifications, including fake New Jersey driver’s licenses, fake Social Security Cards, and fake Department of Homeland Security Permanent Resident Identification cards.
On March 28, 2018, Gutierrez, Alberto Sanchez, Awilda Henriquez and Roque Bisono were indicted by a federal grand jury. According to the indictment, Gutierrez, Henriquez, Bisono, Sanchez, and their conspirators obtained stolen identities of residents of Puerto Rico to file fraudulent income tax returns seeking federal tax refunds to which the conspirators were not entitled. The objective in doing so was to falsely and fraudulently generate income tax refund checks issued by the U.S. Treasury. The conspirators recruited mail carriers from the U.S. Postal Service as part of the scheme to steal the tax refund checks from the mail. The mail carriers were paid for every U.S Treasury check that was stolen. The conspirators paid “check couriers” to cash the tax refund checks in a variety of ways, including at check cashing businesses in and around Camden. The check couriers presented false and fraudulent identifications at the check cashing businesses matching the names on the tax refund checks in order to cash the checks. In total, the scheme caused $565,091 in losses to the U.S. Treasury.
Gutierrez admitted that between April 2014 and August 2014, he was a member of the conspiracy that took 93 U.S. Treasury Refund checks that had been placed in the mail stream to be delivered to addresses on a postal mail route in Pennsauken. He admitted that he helped a man nicknamed “Chepe” steal money from the United States government.
The conspiracy count to which Gutierrez pleaded guilty carries a maximum potential penalty of five years in prison and a maximum fine of $250,000. Sentencing is scheduled for March 1, 2021.
Henriquez is pending trial, which is scheduled to start Nov. 29, 2021, before Judge Kugler in Camden.
On Dec. 10, 2019, Judge Kugler sentenced Sanchez to 45 months in prison. Bisono is awaiting sentencing.
Acting U.S. Attorney Honig credited special agents of the IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark and Acting Special Agent in Charge Yury Kruty in Philadelphia; and special agents of the U.S. Postal Service Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi. She also thanked the U.S. Postal Inspection Service for its assistance with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Jason M. Richardson and Assistant U.S. Attorney Christina O. Hud of the Criminal Division in Camden.
California man pleads guilty to wire fraud and federal Indian Arts violationsRead the Press Release
ALBUQERQUE, N.M. – Robert Haack, 55, of Los Angeles, California, pleaded guilty in federal court on Oct. 19 to violations of the Indian Arts and Crafts Act and wire fraud.
According to the plea agreement, on Apr. 4, 2013, Haack listed and sold a fake piece of Native American jewelry online, claiming it to be made and signed by a famed Hopi Tribe artisan, Charles Loloma, to an undercover law enforcement agent. On June 15, 2014, Haack again listed and sold another fake piece of Native American jewelry online to an undercover law enforcement agent.
Haack is currently out of custody awaiting sentencing. He faces up to 20 years in prison.
The U.S. Department of Fish and Wildlife, Office of Law Enforcement investigated this case with assistance from the Indians Arts and Crafts Board. Assistant U.S. Attorneys Frederick T. Mendenhall and Nicholas Marshall are prosecuting the case.
California Man Indicted for Possessing Nearly Eight Pounds of Fentanyl Aboard Bus in KCRead the Press Release
KANSAS CITY, Mo. – A San Diego, California, man has been indicted by a federal grand jury after smuggling nearly eight pounds of fentanyl aboard a bus traveling through Kansas City, Missouri.
Jonatan Gutierrez, 28, was charged with possessing fentanyl with the intent to distribute in an indictment returned by a federal grand jury in Kansas City, Mo., on Tuesday, Oct. 26. The indictment replaces a federal criminal complaint that was filed against Gutierrez on Oct. 7, 2021.
According to an affidavit filed in support of the original criminal complaint, a drug-sniffing police dog alerted to the presence of drugs in the checked baggage area of a bus that arrived at a Kansas City, Mo., station from California on Oct. 7, 2021. After a Kansas City police detective contacted Gutierrez, the drug-sniffing police dog alerted to Gutierrez’s roller bag.
Officers searched Gutierrez’s roller bag and found three bundles wrapped in cellophane and secured in the bottom, zippered portion of the roller bag. The bundles contained a total of 3,487.11 grams (approximately 7.6 pounds) of fentanyl and 18 pills. Officers also found a plastic prescription bottle in the roller bag that contained a personal use amount of marijuana and 10 pills.
The charge contained in this indictment is simply an accusation, and not evidence of guilt. Evidence supporting the charge must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Special Assistant U.S. Attorney Sarah J. Rasalam. It was investigated by the Drug Enforcement Administration, the Kansas City, Mo., Police Department and the Missouri Western Interdiction Task Force (MoWIN).
Boston Man Sentenced to Five Years in Prison for Assaulting Officers with a Firearm During Civil Disorder in BostonRead the Press Release
BOSTON – A Boston man was sentenced yesterday to five years in prison for assaulting officers with a firearm during the civil disorder in Boston early in the morning of June 1, 2020.
John Boampong, 37, was sentenced by U.S. District Court Judge William G. Young to five years in prison and three years of supervised release. On Feb. 4, 2021, Boampong pleaded guilty to one count each of interfering with a law enforcement officer during the commission of a civil disorder, receipt of a firearm by a person under indictment for a felony offense, and assaulting, resisting, or impeding certain officers or employees.
“On May 31, a peaceful demonstration in Boston devolved into lawless attacks on property and people – including police officers. Mr. Boampong saw this as the right time to fire 11 rounds in the direction of police officers working a chaotic and dangerous scene. It is only by chance no one was killed,” said Acting United States Attorney Nathaniel R. Mendell. “Violence leads to no good outcome, and for Mr. Boampong it led to federal charges and prison.”
“Shooting in the direction of police officers in the middle of a crowded public street, endangering their lives and those of innocent bystanders, is utterly reprehensible. For the duration of his sentence, John Boampong will not be able to put others in harm’s way with his reckless actions,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “This case should serve as a reminder of the FBI’s commitment to take violent criminals who pose a threat to public safety and our law enforcement partners, off the street.”
“In Suffolk County, when people violently disrupt peaceful protesters and put the lives of protesters and the police in danger, they will be held accountable. That is exactly what happened here,” said Suffolk County District Attorney Rachael Rollins. “We are grateful to have the partnership of the U.S. Attorney’s Office and fully support its prosecution of this matter.’’
On the evening of May 31, 2020 and continuing through the morning of June 1, 2020, what began as a peaceful demonstration in Boston’s Back Bay neighborhood devolved into widespread acts of violence, vandalism, looting and destruction of police property, including the burning of at least one police vehicle on Tremont Street. Some protestors threw rocks, bricks and commercially available explosives at police officers. Numerous police officers were injured.
On June 1, 2020 at approximately 3:00 am, Boampong was driving his car near the Arlington Street and Boylston Street intersection in front of a store that had been victimized by looting that evening. Police officers instructed Boampong and his passengers to leave the area. The occupants of Boampong’s car initially became verbally combative towards the officers and failed to leave the area as instructed. When Boampong reversed the car, officers told him to stop, as officers and another vehicle were in the way. However, Boampong continued driving in reverse and then drove away. Shortly thereafter, he returned to the area, parked on Providence Street, and shot at least 11 times in the direction of officers, including a deputized federal officer. The officers took cover by bracing or ducking behind cars and other objects. Bullets broke through the windows of two apartments above ground level in a building behind some of the officers.
When officers eventually stopped Boampong’s car, they saw a Sig Sauer P230 9mm firearm lying on the floor of the front passenger-side floor mat, and a black holster underneath the driver’s seat, where Boampong had been sitting. The firearm was later examined and found to have Boampong’s fingerprint on it.
At the time, Boampong was prohibited from possessing a firearm or ammunition because he faced pending state charges carrying potential sentences exceeding one year.
Acting U.S. Attorney Mendell, FBI SAC Bonavolonta, Suffolk County DA Rollins and Boston Police Acting Commissioner Gregory Long made the announcement. Assistant U.S. Attorney John Dawley of Mendell’s Organized Crime and Gang Unit and Assistant U.S. Attorney Scott L. Garland, Deputy Chief of Mendell’s National Security Unit, prosecuted the case.
Bibb County to Receive Ballistics Tank to Test Fire Guns Recovered from Crime ScenesRead the Press Release
MACON, Ga. – The Bibb County Sheriff’s Office has been approved to purchase a ballistics tank using money from a Department of Justice Project Safe Neighborhood’s (PSN) grant.
Ballistics tanks are specially designed tanks into which law enforcement can test fire guns recovered from crime scenes. The Bibb County Sheriff’s Office (BCSO) will use a $84,640 Project Safe Neighborhoods (PSN) grant to purchase a ballistics tank, provide training, purchase supplies and other related needs. Currently, investigators send evidence to an off-site and remote location to test weapons. The addition of the ballistics tank will allow investigators to fire high powered rifle rounds at a secure local police facility. The ballistics tank will also integrate into local law enforcement’s usage of the National Integrated Ballistic Information Network (NIBIN).
“Having strong evidence is critical to ensuring that justice is served fairly and effectively. I am confident that adding the ballistics tank will help investigators and prosecutors as they work to solve some of the most violent gun crimes in our region,” said Acting U.S. Attorney Peter D. Leary. “Enhancing the tools and technology used to combat violent crime is a critical component of the Department of Justice’s Project Safe Neighborhoods program.”
“This ballistics tank will be a significant addition to our evidence gathering abilities. It will be an essential tool to our NIBIN investigators in gathering ballistic evidence to link firearms to violent incidents in our area. We are very grateful to the Department of Justice’s Project Safe Neighborhoods program for providing funding for this important evidence gathering tool,” said Bibb County Sheriff David Davis.
BCSO is part of the National Integrated Ballistics Information Network (NIBIN). The ballistics technology necessary for BCSO to join NIBIN was funded with a $200,000 PSN grant in 2017. NIBIN, run by the ATF, is the only interstate automated ballistic imaging network in the United States, making it possible for local law enforcement to search against evidence from across the country, improving the outcomes of criminal investigations. The NIBIN technology is considered a valuable tool by law enforcement in the effort to reduce gun crimes across the Middle District.
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.
Adrian Man Sentenced to 24 Years in Federal Prison on Child Pornography ChargesRead the Press Release
DETROIT – An Adrian man, and former teacher at Lenawee Christian School, was sentenced today to 24 years in federal prison on charges of production of child pornography and possession of child pornography, announced Acting United States Attorney Saima Mohsin.
Mohsin was joined in the announcement by Special Agent in Charge Timothy Waters, Federal Bureau of Investigation, Detroit Division.
Sentenced was Matthew D. Thomas, 46.
On May 26, Thomas pleaded guilty to possession of child pornography and production of child pornography. According to court records, Thomas admitted that over the course of 3 years he preyed upon a minor victim to engage in sexually explicit conduct for the purpose of producing images of such conduct. In addition, Thomas admitted to possessing computer hard drives and cell phones which contained several thousand images and video of prepubescent minors and minors engaged in sexually explicit conduct, including photos that he had taken of clothed minors and then altering them to make the minors appeared naked.
“The acts of this defendant are truly reprehensible,” stated Acting United States Attorney Mohsin. “This lengthy sentence protects the public and ensures that this defendant will no longer be able to victimize children. I commend the work of the FBI and Lenawee County Sheriff’s Office for their dedication to investigating this case.”
“Crimes against children are reprehensible, especially when the perpetrator is a caretaker, teacher, or another adult who is supposed to protect children from abuse,” said Special Agent in Charge Timothy Waters of the FBI’s Detroit Division. “The FBI considers the investigation and prosecution of predators like Mr. Thomas to be of the highest priority. Today’s sentence serves as a warning to others like him the FBI will aggressively pursue anyone who victimizes and exploits children.”
This case was investigated by special agents with the FBI and the Lenawee County Sheriff’s Office. This case was prosecuted by Assistant United States Attorney Thomas Franzinger.
Tuesday 26 October 2021
Winchester Man Sentenced for Robbing and Assaulting Federal Postal Worker and Cocaine PossessionRead the Press Release
BOSTON – A Winchester man was sentenced today for robbing and assaulting a federal postal worker and cocaine distribution.
Raymond Acevedo, 29, was sentenced by U.S. District Court Judge William G. Young to five years in prison and four years of supervised release. Acevedo was also ordered to pay a fine of $10,000. On June 28, 2021, Acevedo pleaded guilty to one count of robbing a federal postal worker, one count of assaulting a federal postal worker and one count of possession with intent to distribute cocaine.
On Oct. 24, 2019, a uniformed U.S. postal worker attempted to deliver an Express Mail package from Puerto Rico to an addressee in Dorchester. The postal worker was unable to locate the addressee and was returning to his vehicle when Acevedo approached the postal worker and demanded the package. When the postal worker would not give Acevedo the package, Acevedo violently assaulted the postal worker and took the package. The postal worker used his phone to take pictures of Acevedo, the stolen package and the vehicle Acevedo was driving. Acevedo then attacked the postal worker and took his phone, which the postal worker attempted to retrieve along with the stolen package and another fight ensued. As the postal worker and Acevedo were fighting over the package, police arrived and arrested Acevedo. The postal worker was transferred to a local hospital for the injuries he received during the altercation.
On Oct. 25, 2019, law enforcement officers opened the package pursuant to a federal search warrant and seized approximately 1.390 kilograms of cocaine.
Acting United States Attorney Nathaniel R. Mendell; Ketty Larco-Ward, Inspector in Charge of the U.S. Postal Inspection Service, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Mendell’s Major Crimes Unit prosecuted the case.
Williamsburg Businessman Convicted of Tax FraudRead the Press Release
NEWPORT NEWS, Va. – A federal jury convicted a Williamsburg man yesterday on charges of filing false tax returns and failure to file a tax return.
According to court records and evidence presented at trial, from at least 2014 through 2017, Michael J. Tiernan, 62, served as the financial officer for a number of business entities related to Ford’s Colony, including Ford’s Colony Realty, LLC, a large resort community in Williamsburg. For tax years 2015 and 2016, Tiernan filed federal income tax returns that falsely understated the income he received from these entities. Although the defendant reported some earnings in both years, he offset his claimed income with high deductions that resulted in zero taxable income for both 2015 and 2016, and also claimed to be insolvent in order to exclude the discharge of debt in 2015.
The evidence at trial revealed that Tiernan received underreported income from the business entities in the amount of at least $289,401 in 2015 and at least $204,523 in 2016. He cashed many of the checks he wrote and received from these entities and deposited cash into his personal bank account. Additionally, Teirnan failed to file a tax return for 2017, despite receiving $111,352 from one business. From 2015 to 2017, he deposited over $1.6 million into his personal bank account and spent nearly all of these funds in a combination of checks and debit card transactions. Teirnan further prepared and filed business tax returns for the entities that concealed the true compensation that he received.
Tiernan was convicted of filing false income tax returns and failing to file an income tax return and faces a maximum penalty of seven years in prison when sentenced on March 2, 2022. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Jessica D. Aber, U.S. Attorney for the Eastern District of Virginia, and Darrell J. Waldon, Acting Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation, made the announcement after U.S. District Judge Raymond A. Jackson accepted the verdict.
Assistant U.S. Attorneys Brian J. Samuels and David Mack Coleman are prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:20-cr-59.
Washington Parish Man Sentenced After Pleading Guilty Federal Drug Trafficking ChargesRead the Press Release
NEW ORLEANS, LOUISIANA – JONZARRION HARRIS, a/k/a “GEE,” age 21, a resident of Bogalusa, Louisiana, was sentenced by United States District Judge Wendy B. Vitter to 120 months’ imprisonment, 5 years of supervised release and a mandatory $500 special assessment fee after pleading guilty to five counts of an twelve-count indictment charging him and two of his brothers with several narcotics offenses, including conspiracy to distribute and possess with intent to distribute five hundred (500) grams of a mixture or substance containing a detectable amount of methamphetamine, announced U.S. Attorney Duane A. Evans.
According to court documents, Special Agents with the Bureau of Alcohol, Tobacco and Firearms identified Trevion HARRIS as a methamphetamine trafficker in Bogalusa, Louisiana. Using a confidential source, beginning in November of 2018 and continuing through May 1, 2019, agents made controlled purchases of methamphetamine from Trevion, JONZARRION and Demarquiez HARRIS in amounts ranging from two (2) grams to as many as eight (8) ounces.
JONZARRION HARRIS faced a mandatory minimum term of imprisonment of ten (10) years up to a maximum term of life imprisonment, a fine of up to $10,000,000.00, at least five (5) years of supervised release and a mandatory $100 special assessment fee per count following any term of imprisonment.
This prosecution was part of an extensive investigation by the Bureau of Alcohol, Tobacco, and Firearms and the Bogalusa Police Department of individuals suspected of trafficking large quantities of methamphetamine and/or firearms in the Bogalusa area. The prosecution was handled by Assistant United States Attorney André Jones.
Utah Man Is Sentenced to Three and A Half Years for $850,000 Investment Scheme Involving Start-Up Mining CompanyRead the Press Release
CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced that a Utah man was sentenced to 42 months in prison for orchestrating an investment scheme involving a start-up mining and precious metals company. Andrew Malcolm Lovett, 60, and a former resident of Cornelius, N.C., also was ordered to serve two years under court supervision after he is released from prison and to pay more than $820,000 as restitution. U.S. District Judge Kenneth D. Bell handed down Lovett’s sentence.
Mona Passmore, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation Division, Charlotte Field Office (IRS-CI), Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division, and Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service, which oversees Charlotte, join Acting U.S. Attorney Stetzer in making today’s announcement.
According to court documents and today’s sentencing hearing, from 2014 to 2016, Lovett defrauded more than 30 victims out of nearly $850,000 by convincing them to invest in a start-up mining and precious metals company, Safari Minerals, Inc. (Safari), and other entities with which Lovett was affiliated, by falsely telling them their money would be used to grow Safari and to develop various purported mining projects. Among other things, Lovett described Safari to his investors as “an emerging junior exploration and mining company” that focused on acquiring and developing properties in Nevada which “contains an abundance of … Gold, Silver, Platinum Group Metals and Rare Earth Elements….” Lovett also misled investors by touting his experience as a seasoned businessman with a wealth of knowledge in the mining industry and promoted his reputation as a man of faith.
As Lovett previously admitted in court, over the course of the scheme, Lovett lied to investors about the progress and viability of Safari, and failed to disclose to investors his previous criminal history, including his previous conviction for bank fraud. Lovett also did not tell his victims he diverted several hundred thousand dollars from Safari for his own personal use. In fact, rather than use the victims’ money to grow Safari’s business as promised, Lovett used a significant portion of the investments to pay for rent, entertainment and travel, and other personal expenses, and to make Ponzi-style payments to other victim investors.
In March 2021, Lovett pleaded guilty to securities fraud and transactional money laundering.
In making today’s announcement Acting U.S. Attorney Stetzer thanked IRS-CI, FBI, and USPIS for their investigation of the case.
Assistant United States Attorneys Daniel Ryan and Caryn Finley, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Upshur County man admits to carjacking and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Chad C. Newcome, of Rock Cave, West Virginia, has admitted to carjacking and firearms charges, United States Attorney William J. Ihlenfeld, II announced.
Newcome, 40, pleaded guilty today to one count of “Carjacking” and one count of “Use of Firearm During and in Relation to a Crime of Violence.” Newcome admitted to attempting to steal a 2018 Dodge Ram Truck on March 10, 2021 in Upshur County. Newcome used a 12-gauge shotgun during the carjacking.
Newcome faces up to 15 years of incarceration and a fine of up to $250,000 for the carjacking charge and at least seven years of incarceration and a fine of up to $250,000 for the use of a firearm charge. 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 Christopher L. Bauer is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives, the West Virginia State Police, and the Upshur County Sheriff’s Office investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Two Passaic County Men Admit Roles in Illegal Money Transmitting SchemeRead the Press Release
NEWARK, N.J. – Two Passaic County men today admitted their roles in an illegal money transmitting business, Acting U.S. Attorney Rachael A. Honig announced today.
Erickson Checo-Almonte, 31 of Passaic, New Jersey, and Jordano Abreu-Diaz, 24 of Clifton, New Jersey, separately pleaded guilty by videoconference on Oct. 25, 2021, before U.S. District Brian Martinotti to informations charging them each with aiding and abetting an illegal money transmitting business.
According to documents filed in this case and statements made in court:
From April 2017 through March 2019, Erickson Checo-Almonte accepted over $3.9 million in cash and purchased over 137 cashier’s checks at local bank branches in New Jersey and elsewhere. From November 2016 through August 2017, Abreu-Diaz accepted over $1 million in cash and purchased 39 cashier’s checks at banks in New Jersey and elsewhere. Both men admitted that the cash they used to purchase the checks was from illegal activity.
The investigation revealed that the cash was the proceeds of illegal drug distribution. The check purchases were part of a large-scale illegal money transmitting and money laundering scheme designed to hide the illegal source of the cash and transfer it from New Jersey to the Dominican Republic and Colombia while attempting to avoid scrutiny by law enforcement and U.S. banks.
The charge of aiding and abetting an illegal money transmitting business carries a maximum penalty of five years in prison and a fine of $250,000 or twice the amount involved in the offense, whichever is greatest. Sentencing for both defendants is scheduled for March 2, 2022.
Acting U.S. Attorney Honig credited special agents and task force officers of the U.S. Drug Enforcement Administration, New Jersey Division, under the direction of Special Agent in Charge Susan A. Gibson; special agents and task force officers of IRS - Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez; the Morristown, New Jersey, police department, under the direction of Acting Police Chief Darnell Richardson; and the Direccion Nacional de Control de Drogas (the Dominican Republic National Drug Directorate, with the investigation leading to today’s guilty pleas.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government is represented by Assistant U.S. Attorney Jonathan M. Peck of the Asset Recovery and Money Laundering Unit in Newark.
Two Mexican Cartel Members Found Guilty of Violating RICO StatuteRead the Press Release
EL PASO – A federal jury convicted two Sinaloa Cartel members on Friday for their roles in the Sinaloa Cartel’s narcotics distribution operations.
According to court documents and evidence presented at trial, Arturo Shows Urquidi, aka “Chous,” 50, of Juarez, and Mario Iglesias-Villegas, aka “Dos,” “El 2,” “Delta,” “Parka,” “Grim Reaper,” 36, of Villa Ahumada, were found guilty of one count of conspiracy to violate the Racketeering Influenced Corrupt Organization statute (RICO) for their roles as members of the Sinaloa Cartel; one count of conspiracy to possess cocaine and marijuana; one count of conspiracy to import cocaine and marijuana; one count of conspiracy to launder money; and one count of conspiracy to possess firearms in furtherance of drug trafficking crimes.
Iglesias was also found guilty of five counts of violent crimes in aid of racketeering activity; one count of conspiracy to kill in a foreign country; and one count of kidnapping.
Shows was a former Chihuahua State police officer and a long-time member of the Sinaloa Cartel under Ismael “Mayo” Zambada-Garcia. Shows assisted in the security of stash houses where thousands of kilograms of cocaine were unloaded from tanker trucks and then reloaded with weapons and money being returned to Culiacan, Sinaloa, Mexico. While he was involved with the Sinaloa Cartel, the Cartel successfully imported thousands of kilograms of cocaine into the United States worth over $1 billion dollars.
Iglesias became a member of the Sinaloa Cartel under Joaquin “Chapo” Guzman-Loera in early 2008. Iglesias was the head of a group of Sinaloa Cartel sicarios (assassins) until his arrest in 2012. He was a significant participant in the death of thousands of people in Ciudad Juarez from 2008 to 2011. Among those, Iglesias was convicted for his participation in the kidnapping and eventual murder of Horizon City resident, Sergio Saucedo, and participation in the kidnapping and murders of Rafael Morales-Valencia, Jaime Morales-Valencia, and Guadalupe Morales-Arreola, who were kidnapped outside a church in Ciudad Juarez shortly after the wedding of Rafael Morales-Valencia. Iglesias’ acts of violence allowed the Sinaloa Cartel to control the Juarez drug corridor and successfully import cocaine and marijuana into the United States.
The Sinaloa Cartel’s criminal activity in the Cuidad Juarez and El Paso area included the violence that occurred during the war between the Juarez Cartel and the Sinaloa Cartel, which led to the death of thousands of people in Ciudad Juarez and throughout the Mexican states of Chihuahua and Durango. The violence gave rise to Ciudad Juarez being named the “deadliest city in the world.”
This investigation resulted in the seizure of hundreds of kilograms of cocaine, thousands of pounds of marijuana in cities throughout the United States. Law Enforcement also took possession of millions of dollars in drug proceeds which were destined to be returned to the Cartel in Mexico. Agents and officers likewise seized hundreds of weapons and thousands of rounds of ammunition intended to be smuggled into Mexico to assist the Cartel’s battle to take control of Juarez and the local drug trafficking corridors.
Sentencing for Shows is set for February 10, 2022 and sentencing for Iglesias is set for February 11, 2022.
U.S. Attorney Ashley C. Hoff of the Western District of Texas; Drug Enforcement Administration (DEA) Acting Special Agent in Charge Greg Millard; FBI Special Agent in Charge Jeffrey R. Downey; and Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Jeffrey C. Boshek, II, Dallas Division, made the announcement.
The DEA, FBI, and ATF together with the Immigration and Customs Enforcement –Homeland Security Investigations (ICE-HSI), United States Border Patrol, Customs and Border Protection (CBP), United States Marshals Service, El Paso Police Department, El Paso Sheriff’s Office, and the Texas Department of Public Safety investigated this case.
Assistant U.S. Attorneys Antonio Franco, Kristal Wade, Kyle Myers, and Michael Williams are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
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Two Individuals Sentenced to Prison for Sex Trafficking a Minor at a Bloomington HotelRead the Press Release
ST. PAUL, Minn. – Maria Candelaria Zambrano Zavala, 27, and Humberto Rangel-Torres, 51, were sentenced to 144 months and 72 months in prison, respectively, for sex trafficking a minor out of a Bloomington hotel.
According to court documents, beginning in March 2019 through May 2019, Zambrano Zavala began transporting and providing a minor for commercial sex to Rangel-Torres, who was at the time a construction worker residing at a hotel in Bloomington. On multiple occasions, Rangel-Torres arranged for commercial sex acts through Zambrano Zavala and paid Zambrano Zavala or the minor in cash for each commercial sex act.
“These defendants knowingly engaged in the sexual exploitation of a child for their own selfish gains,” said Acting U.S. Attorney Anders Folk. “Criminals who victimize and abuse children in this way will be investigated, prosecuted, and imprisoned.”
In April 2021, Zambrano Zavala pleaded guilty to one count of sex trafficking of a minor, and Rangel-Torres pleaded guilty to one count of conspiracy to commit sex trafficking of a minor. In addition to the prison time, U.S. District Judge Eric C. Tostrud also sentenced Zambrano Zavala to 10 years of supervised release and Rangel-Torres to five years of supervised release.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s 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.justice.gov/psc.
This case was the result of an investigation conducted by HSI and the Bloomington Police Department.
Assistant U.S. Attorneys Manda M. Sertich and Evan B. Gilead prosecuted the case.
Two Defendants Convicted of Aviation-Based Drug Trafficking ChargesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Wendy C. Woolcock, Special Agent in Charge of the Special Operations Division of the U.S. Drug Enforcement Administration (“DEA”), announced today that a jury returned guilty verdicts yesterday against JEAN-CLAUDE OKONGO LANDJI and JIBRIL ADAMU on the charge of conspiring to traffic five kilograms and more of cocaine on board an aircraft owned by a United States citizen and registered in the United States. U.S. District Judge Paul G. Gardephe presided over the two-week trial.
U.S. Attorney Damian Williams said: “As a jury found, Jean-Claude Okongo Landji and Jibril Adamu sought to exploit their abilities as pilots and use Landji’s private jet to smuggle multi-ton loads of cocaine from South America to West Africa and on to Europe and elsewhere. Presuming they would be able to make regular runs to Europe, figuratively flying under the radar, Landji and Adamu were instead arrested in Croatia at the end of an initial test flight. Now they await sentencing for their crime.”
As reflected in the Indictment, public filings, and the evidence presented at trial:
Beginning in or about October 2017, LANDJI, ADAMU, and others agreed to use a United States-registered Gulfstream G2 private jet owned by LANDJI, a United States citizen, to distribute multi-ton quantities of cocaine in South America, Africa, Europe, and elsewhere. LANDJI and ADAMU, who are both pilots, planned to use the G2 and other aircraft to fly unregistered and untraceable “black flights” with multi-thousand kilogram loads of cocaine from South America to West Africa to be unloaded at clandestine airstrips, including landing sites in the Sahara desert. After the cocaine was off-loaded in Africa, LANDJI and ADAMU planned to use LANDJI’s aviation business, incorporated in the state of Georgia, as cover for cocaine smuggling flights to Europe and elsewhere. For example, LANDJI agreed to use his company to arrange seemingly legitimate passenger “VIP” flights to Europe for which ADAMU would serve as a pilot while concealing multi-ton quantities of cocaine hidden on board for further distribution in European countries. LANDJI and ADAMU further sought in particular to evade the scrutiny of the DEA and U.S. law enforcement and discussed methods to avoid the U.S. justice system. For example, during recorded meetings in 2018, LANDJI agreed to traffic cocaine by aircraft with a co-conspirator who warned “if you put one kilo on a plane that has the American registration, it’s the same thing[] as putting it . . . in the middle of . . . Madison Square Garden in New York. The same thing. For the justice system.”
On or about October 30, 2018, LANDJI and ADAMU conducted a test shipment and flew the G2 from Mali to Croatia with one kilogram of cocaine on board. LANDJI and ADAMU expected that their successful provision of the one-kilogram cocaine sample to clients in Europe would pave the way for providing twice-monthly shipments of cocaine worth as much as $40 million each in the European market. However, members of the Croatian National Police investigating LANDJI and ADAMU in coordination with the DEA searched the G2 following their arrival in Croatia, recovered the kilogram of cocaine, and arrested LANDJI and ADAMU. Both defendants were later extradited to the United States.
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LANDJI, 58, of the United States and Gabon, and ADAMU, 58, of Nigeria, were convicted of one count of conspiring to distribute and possess with intent to distribute cocaine with a United States citizen on board any aircraft, and on board an aircraft owned by a United States citizen or registered in the United States, which carries a mandatory minimum sentence of 10 years in prison and a maximum sentence of life in prison. The statutory minimum and maximum sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by Judge Gardephe.
Mr. Williams praised the outstanding efforts of the DEA’s Special Operations Division Bilateral Investigations Unit, U.S. Customs and Border Protection, Homeland Security Investigations New York Office, the United Kingdom’s National Crime Agency, and the Croatian National Police Office for the Suppression of Corruption and Organized Crime, as well as the U.S. Department of Justice’s Office of International Affairs.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Elinor L. Tarlow and Matthew J.C. Hellman are in charge of the prosecution.
Twelve Plead Guilty to Tax and Immigration Charges after Undercover Operation Marking Largest Criminal Tax Case in Pee Dee HistoryRead the Press Release
Florence, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that 12 individuals across seven construction-related companies have pleaded guilty to charges related to employment tax fraud and hiring unauthorized aliens in the largest criminal Internal Revenue Service (IRS) operation in the history of the Pee Dee region. The pleas are the first to come from an expansive multi-year undercover investigation in the Myrtle Beach area and throughout the South Carolina coast led by the IRS and Homeland Security Investigations (HSI).
The operation targeted those in the construction industry who used unlicensed check cashers to facilitate under-the-table cash payments to employees, many of whom were unauthorized aliens. The check cashers would also provide certificates of insurance falsely stating that the employees were covered under workers’ compensation insurance. These off-the-book payments defrauded the United States out of applicable employment taxes on the employees. Each of the twelve defendants pleaded guilty to an information charging them with one felony count of conspiracy to defraud the United States and one misdemeanor count of unlawful employment of aliens. At least $15 million in checks were cashed by these defendants, resulting in millions of dollars of total losses to the Government. Based on the investigation, at least tens of millions of dollars of tax losses have occurred throughout the South Carolina coast because of similar schemes.
“Those who steal from the Government, and by extension the American taxpayers, will not find refuge in South Carolina,” said Acting U.S. Attorney DeHart. “By evading millions of dollars in taxes and falsely claiming their workers had insurance, these defendants made it harder for honest business owners to compete in the construction industry along South Carolina’s coast and they left their workers exposed to injury without insurance. I want to thank the IRS and HSI for their tireless efforts, as well as our local partners who assisted during this operation. We will continue to prosecute businesses and individuals who try to get ahead by breaking the law.”
“IRS Criminal Investigation realizes the detrimental consequences of employment tax evasion. These defendants mistakenly believed they could disregard their tax obligations and gain a competitive advantage while doing so,” said Mona Passmore, Acting Special Agent in Charge, IRS Criminal Investigation. “They underestimated our vigorous pursuit of justice and dedication to closing the tax gap. We will continue to hold criminals accountable for their role in these schemes.”
“The biggest misconception about labor exploitation is that it's a victimless crime and that couldn't be further from the truth. Workers, competing businesses, people who have their identities stolen and even the local economy are all victims of this crime,” said Special Agent in Charge Ronnie Martinez, who oversees HSI operations in North Carolina and South Carolina. “This case is shedding light on a crime that has happened in the shadows for too long and HSI and its partners will continue to hold accountable those involved in labor exploitation.”
Evidence presented to the court showed that beginning around late 2018, IRS and HSI began jointly investigating the practice of illegal check cashing within the construction industry in the Myrtle Beach area and in other regions along the South Carolina coast. Specifically, certain construction companies would use check cashers so that they could hire unauthorized aliens and avoid paying employment taxes on their workers. To facilitate the scheme, a member of the construction company would meet with an unlicensed check casher in places like parking lots for retail stores or coffee shops. The construction company would give the check casher a business check in a certain amount made out to a company the check casher had created, and the check casher would give the construction company representative a bag of cash that would be used to pay the employees. In exchange for their services, the check casher held back a fee of approximately three percent.
To make it appear like the employees had valid insurance on job sites, the check casher would also provide a certificate of workers’ compensation insurance that was not actually valid for any of the construction company’s employees. The parties agreed that the check casher would, on paper, claim to be a subcontractor who provided the employees and provided insurance. However, the parties knew that the check casher provided no other services or employees to the construction company. The check casher only provided a way to hide the true nature of the scheme, to allow the construction company to hire unauthorized aliens, and to pay workers with untaxed cash.
In approximately 2019, various IRS undercover agents embedded themselves in the Myrtle Beach area and recorded multiple interactions with the various defendants’ companies.
The following defendants from the following companies have pled guilty so far in the operation:
Daniel Lavoie Construction Services
- Daniel A. Lavoie, 49, of Conway (4:21-cr-00585)
- Enrique R. Reyes, 48, of Conway (4:21-cr-00585)
Duran Masonry
- Walter A. Duran, 45, of Myrtle Beach (4:21-cr-00584)
- Lisa Caulley Sellers, 57, of Myrtle Beach (4:21-cr-00584)
Extreme Siding
- Ming Xue Nan, 52, of Myrtle Beach (4:21-cr-00595)
- Katherine L. Welker, 39, of Myrtle Beach (4:21-cr-00595)
Master Homes Calabash
- Marylany Hardman Levino, 36, of Myrtle Beach (4:21-cr-00581)
- Josafa P. Neto, 43, of Myrtle Beach (4:21-cr-00581)
Metro Concrete Finishers
- Saul Prieto, 56, of Myrtle Beach (4:21-cr-00594)
- Martha E. Zarate, a/k/a Martha E. Prieto, 54, of Myrtle Beach (4:21-cr-00594)
Master Homes Design Center
- Marcos Caetano De Almeida, 45, of Myrtle Beach (4:21-cr-00582)
Paint By Numbers
- Johanna A. Carpio, 38, of Myrtle Beach (4:21-cr-00583)
Each defendant faces a maximum penalty of five years in federal prison for conspiracy to defraud the United States, and six months in federal prison for unlawful employment of aliens. Each defendant also faces a fine of up to $250,000 and $3,000 for each unauthorized alien, and 3 years of supervision to follow the term of imprisonment. Each defendant has agreed to make restitution to the IRS, for a total restitution amount of just under $3 million. Chief United States District Judge R. Bryan Harwell accepted each of the guilty pleas and will sentence the defendants after receiving and reviewing a sentencing report prepared by the United States Probation Office.
This case was investigated by IRS and HSI, with assistance from the Myrtle Beach Police Department. Assistant United States Attorneys Derek A. Shoemake and Carrie Fisher are prosecuting the case.
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Tulsa Man Sentenced for Attempted Receipt of Child PornographyRead the Press Release
A Tulsa man was sentenced in federal court for attempted receipt of child pornography, announced Acting U.S. Attorney Clint Johnson.
U.S. District Judge Claire V. Eagan sentenced Don Westly Roe Jr., 62, of Tulsa, to 82 months in federal prison followed by five years of supervised release.
“Don Roe Jr. initiated sexually inappropriate online conversations with an individual he believed was a minor, asked for explicit images and arranged a meeting between the two,” said Acting U.S. Attorney Clint Johnson. “Thankfully, instead of being met by a girl, this criminal was met by officers of the Bristow Police Department. Roe will spend nearly 7 years in federal prison for his illegal conduct.”
In his plea agreement, Roe Jr. admitted that from Feb 4, 2020, to April 5, 2020, he attempted to receive a visual depiction of a minor engaged in sexually explicit conduct.
During that time, Roe engaged online with an individual he thought was a minor female. Instead, he was communicating with an undercover officer. Roe asked the individual if she wanted him to come pick her up and if she partied. Roe’s conversations increasingly became sexual, and he requested explicit photographs of the “minor.” The defendant then arranged for the two to meet. When Roe arrived at the designated meeting location, he was arrested by law enforcement.
The Bristow Police Department and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Justin G. Bish prosecuted the case.
Sussex County Photographer Bruce Kevin Fleming Sentenced for Federal Tax EvasionRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced that Bruce Kevin Fleming, 67, of Milton, Delaware, was sentenced in federal court today to one year in federal prison for federal tax evasion. U.S. District Court Judge Richard G. Andrews pronounced the sentence.
According to court documents, Fleming, a well-known, freelance photographer, pled guilty on August 26, 2020. At the time of his plea, Fleming had not filed federal income tax returns or paid any such taxes since 1981. Fleming’s sentence includes $192,529 restitution to the IRS for income taxes due and owing from 2002 through 2016. Fleming was also ordered to make restitution to the IRS for $22,584 in payroll taxes which he withheld from his employees’ wages in 2016 and 2017 but never turned over to the IRS.
The Indictment covered the years 2012–2016. The prosecutor noted that Fleming had the money to pay his income taxes for those years, as his total net income was $393,000; however, Fleming lived beyond his means, spending a total of $75,000 in restaurants/bars and $2,350 monthly to rent a $800,000 house in Lewes, one block from the beach.
The prosecutor further said the criminal investigation was initiated only after Fleming ignored all of the IRS’s numerous letters and civil assessments.
Commenting on the sentence, U.S. Attorney Weiss noted, “The financial loss in tax cases is shared by every member of the tax-paying public. Our nation’s ability to operate and serve its citizenry depends on voluntary compliance with tax obligations. The defendant not only willfully evaded his personal income tax obligations, but he failed to pay over taxes withheld from his employees’ paychecks, demonstrating a complete disregard for their individual tax liabilities.”
“Today’s sentencing is the culmination of Mr. Fleming disregarding his tax responsibility for nearly two decades,” said Yury Kruty, Acting Special Agent in Charge of IRS-Criminal Investigation. “Taxpayers want to know that everyone is doing their part and paying their fair share of taxes. IRS-CI will continue to vigorously investigate those individuals who knowingly and willfully evade their tax obligation.”
The case was prosecuted by AUSA Edmond Falgowski and investigated by IRS-Criminal Investigations.
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. 1:19-cr-122.
Study Coordinator Pleads Guilty in Scheme to Falsify Clinical Drug Trial DataRead the Press Release
A Colorado man pleaded guilty today in connection with his participation in a scheme to falsify clinical drug trial data.
Duniel Tejeda, 35, of Canon City, Colorado, and formerly of Miami, Florida, pleaded guilty before U.S. District Judge Robert N. Scola Jr. of the Southern District of Florida to conspiracy to commit mail and wire fraud. According to court documents, Tejeda worked at Tellus Clinical Research, a medical clinic based in Miami. Tejeda served as a project manager and study coordinator for clinical drug trials. As part of his plea agreement, Tejeda admitted that he agreed with others to falsify data in medical records in connection with clinical trials intended to evaluate various medical conditions, including opioid dependency, irritable bowel syndrome and diabetic nephropathy. Among other things, Tejeda falsified data to make it appear as though subjects were participating in the trials when, in truth, they were not.
“The defendant’s conduct put profits before public health,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Justice Department will continue to work with its partners at the Food and Drug Administration to investigate and prosecute anyone who engages in this conduct.”
“The public relies on the accuracy and honesty of clinical trial data,” said U.S. Attorney Juan Antonio Gonzalez for the Southern District of Florida. “Falsifying clinical data not only violates the public’s trust, it also endangers the safety of consumers. Those who unlawfully profit by compromising the public’s health in this way commit serious crimes and will be prosecuted.”
“FDA’s evaluation of a new drug begins with an analysis of reliable and accurate data from clinical trials,” said Assistant Commissioner for Criminal Investigations Catherine A. Hermsen of the Food and Drug Administration's (FDA) Office of Criminal Investigations. “Compromised clinical trial data could impact the agency’s decisions about the safety and effectiveness of the drug under review. We will continue to monitor, investigate and bring to justice those whose actions may subvert the FDA approval process and endanger the public health.”
Tejeda faces a maximum penalty of twenty years in prison. The court scheduled a sentencing hearing for Jan. 20, 2022. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FDA's Office of Criminal Investigations is investigating the case.
Trial Attorneys Lauren M. Elfner and Joshua D. Rothman of the Justice Department’s Consumer Protection Branch are prosecuting the case. The U.S. Attorney’s Office for the Southern District of Florida has provided critical assistance.
Stock Trader Arrested and Charged with Securities Fraud for Using His Twitter Account to Operate A Pump-And-Dump SchemeRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, and Ricky J. Patel, Acting Special Agent-in-Charge of the New York Field Office of Homeland Security Investigations (“HSI”), announced today that STEVEN GALLAGHER was charged in a Complaint in Manhattan federal court with securities fraud, wire fraud, and market manipulation. GALLAGHER, using the alias “Alex DeLarge,” created a stock promotion account on Twitter that gained over 70,000 followers. GALLAGHER used that account to tout certain over-the-counter penny stocks and to disseminate false and misleading information about his trading in those stocks in order to induce his followers to purchase those stocks and drive up their prices. GALLAGHER earned over $1 million in profits by then secretly selling his previously acquired holdings of those penny stocks. GALLAGHER was arrested today in the Northern District of Ohio and is expected to be presented before a magistrate judge this afternoon.
U.S. Attorney Damian Williams said: “As alleged, Steven Gallagher brought old-school boiler room tactics to the Twitter age, and operated a social media pump-and-dump scam that defrauded ordinary investors, all so that he could make over $1 million in profits. Today’s arrest of Gallagher demonstrates that this Office and our law enforcement partners will be vigilant as securities fraud schemes move onto Twitter and other forms of social media.”
Acting HSI Special Agent-in-Charge Ricky J. Patel said: “Turning lies into cash, Gallagher allegedly engaged in a pump & dump scheme, where he and his followers manipulated the price of penny stocks and guaranteed profits for themselves. Pump and dump stock schemes cause mistrust in the market and have real victims who often invest large sums of money, only to have their hopes shattered by a fraudster’s greed. Like so many Hollywood movies which have portrayed stock frauds, Gallagher met the same fate as those storylines, he was arrested and will now face justice. Working with our partners at the USAO-SDNY and the SEC, identifying and disrupting illegal financial schemes like this one is a top priority for HSI.”
If you believe you are a victim of this crime, or if you have information relevant to this investigation, please send an email to [email protected].
As alleged in the Complaint unsealed today in Manhattan federal court:[1]
STEVEN GALLAGHER is an active day trader in over-the-counter securities, or “OTC securities.” Those securities typically do not trade on centralized exchanges such as the New York Stock Exchange or the NASDAQ Stock Exchange. OTC securities often trade for less than one dollar per share, and thus are often referred to as “penny stocks.” Many OTC securities are thinly traded, and therefore are particularly susceptible to stock manipulation schemes.
In September 2019, GALLAGHER created a Twitter account using the alias “Alex DeLarge,” a character from the Anthony Burgess novel A Clockwork Orange and the Stanley Kubrick film of the same name (the “DeLarge Twitter Account”). As of October 19, 2021, the DeLarge Twitter Account had over 70,000 followers.
From 2020 to the present, GALLAGHER has operated a fraudulent pump-and-dump scheme that employed a variety of tactics to defraud individual, non-professional investors – so-called “retail investors” – in thinly traded over-the-counter securities. GALLAGHER repeated the scheme again and again with respect to numerous securities, employing substantially the same means and methods. As part of his fraudulent scheme, GALLAGHER first secretly acquired a substantial volume of shares of thinly traded penny stocks (the “Subject Securities”). GALLAGHER then used the DeLarge Twitter Account to artificially “pump” the Subject Securities, including by making materially false and misleading statements about those securities. For example, GALLAGHER made false and misleading statements about the nature and timing of GALLAGHER’s own financial interest in those securities, at times representing that he was purchasing or holding shares of certain of the Subject Securities he was touting when, in fact, he was secretly selling. During the course of the scheme, GALLAGHER also regularly posted images of his brokerage account balance and gains on the Delarge Twitter Account in order to bolster his reputation and induce his followers to trade in accordance with his suggestions.
During the “pump” phase of this scheme, the prices of the Subject Securities rose when the Twitter followers of the DeLarge Twitter Account purchased them. Then, GALLAGHER began the “dump” phase of the scheme wherein he sold his shares at the inflated prices while continuing to use the DeLarge Twitter Account to disseminate materially false and fraudulent statements in an effort to obtain the best possible sales price for himself. As a result of this fraudulent scheme, GALLAGHER earned over $1 million in trading profits.
In addition to making false and misleading statements to “pump” the Subject Securities, as a further part of his fraudulent scheme, GALLAGHER also engaged in an additional form of market manipulation with at least one of the Subject Securities. Specifically, GALLAGHER engaged in a series of transactions designed to artificially raise the end-of-day price of one of the Subject Securities by making purchases at above-market prices in order to make the stock appear favorable to potential purchasers, a deceptive practice known as “marking the close.” As with GALLAGHER’s efforts to artificially raise the price of the Subject Securities through false and misleading statements, these manipulative transactions induced other market participants to purchase the security and continue the upward trend in its price while GALLAGHER secretly sold his shares at a profit.
* * *
GALLAGHER, 50, of Maumee, Ohio, is charged with one count of securities fraud, which carries a maximum sentence of twenty years in prison, one count of wire fraud, which carries a maximum sentence of twenty years in prison, one count of securities fraud, which carries a maximum sentence of twenty-five years in prison, and one count of one count of market manipulation, which carries a maximum sentence of twenty years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Mr. Williams praised the work of the HSI, and noted that the investigation remains ongoing. Mr. Williams further thanked the Securities and Exchange Commission for their cooperation and assistance in this investigation.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Richard Cooper, Daniel Tracer, and Allison Nichols are in charge of the prosecution.
The allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictments, and the description of the Indictments set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Statesville Man Is Sentenced to More Than 15 Years for Federal Firearms OffenseRead the Press Release
CHARLOTTE, N.C. – Acting U.S. Attorney William T. Stetzer announced today that Phong Duc Nguyen, 35, of Statesville, N.C., was sentenced to 182 months in prison and five years of supervised release for a federal firearms offense.
According to court documents and today’s sentencing hearing, in the early hours of November 25, 2019, an officer with the Monroe Police Department conducted a traffic stop of the vehicle Nguyen was driving. Over the course of the traffic stop, the officer determined that Nguyen’s license was suspended and that there were multiple outstanding warrants for his arrest. While placing Nguyen under arrest, the officer located a firearm holster and ammunition in Nguyen’s pants pocket. Court records show that when the officer searched Nguyen’s vehicle, he located a firearm on the right side of the driver’s seat, and found marijuana and crack cocaine elsewhere inside the vehicle.
On February 17, 2021, Nguyen pleaded guilty to possession of a firearm by a convicted felon. At today’s sentencing hearing, the Court classified Nguyen as an “Armed Career Criminal.”
Nguyen is currently in federal custody and will be transferred to custody of the Federal Bureau of Prisons upon designation of a federal facility.
In making today’s announcement, Acting U.S. Attorney Stetzer thanked the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Monroe Police Department for their investigation of the case.
Assistant United States Attorney Stephanie Spaugh, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
State Inmate Sentenced to Federal Prison for Arranging Sale of a Firearm and Meth Sales from Behind BarsRead the Press Release
PROVIDENCE, R.I. – A Rhode Island state prison inmate who arranged by telephone from within the prison to sell a firearm and methamphetamine to an individual outside the prison whose telephone number he was provided by a fellow inmate was sentenced on Monday to 48 months in federal prison on firearm and drug trafficking charges, announced Acting United States Attorney Richard B. Myrus.
According to information presented to the court, in October 2020, Tyler Bagley, 29, telephoned his then girlfriend, Bernice Chase, 39, of Providence, and, using coded language, instructed her to call a phone number he provided to her to arrange for the sale of a firearm that he had previously obtained. Chase called the number and arranged to meet the next day with the buyer to provide him with a Glock9mm pistol in exchange for $450. About an hour after the transaction was completed, Bagley telephoned Chase and instructed her to deposit $200 into his prison account and for her to keep the remainder of the proceeds. Unbeknownst to Bagley and Chase, the individual that purchased the firearm was an undercover agent with the Bureau of Alcohol, Tobacco, Firearms, ad Explosives.
About a month later, Bagley contacted Chase by telephone from inside the prison and, using coded language, told Chase to again contact the person that purchased the firearm and to sell him 28 grams of methamphetamine. A day later, Chase and the ATF undercover agent met, and she provided the agent with 14 grams of meth in exchange for $800. Chase told Bagley that she could not get the full 28 grams, but she was able to get 15 and made 300 dollars profit. Bagley instructed Chase to keep half of the proceeds and to deposit half into his prison account.
Analysis at a DEA laboratory established that the methamphetamine sold to the undercover agent weighed 14.058 grams and was 97% pure.
Tyler Bagley pleaded guilty in U.S. District Court on July 16, 2021, to felon in possession of a firearm and conspiracy to distribute methamphetamine. He was sentenced on Monday by U.S. District Court Judge William E. smith to 48 months of incarceration to be followed by 3 years of federal supervised release.
Bernice Chase pleaded guilty on September 28, 2021, to a two-count information charging her with felon in possession of a firearm and conspiracy to distribute methamphetamine. She is scheduled to be sentenced on January 7, 2022.
The cases are being prosecuted by Assistant U.S. Attorney Zechariah Chafee.
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St. Paul Registered Sex Offender Indicted for Downloading and Possessing Child PornographyRead the Press Release
ST. PAUL, Minn. – A federal grand jury returned an indictment against a St. Paul man for receiving and possessing child pornography, announced Acting U.S. Attorney W. Anders Folk.
According to court documents, on January 4, 2020, Drayton Dean Wilson, 28, downloaded an image containing depictions of child sexual abuse. On June 1, 2020, and October 15, 2020, Wilson was found in possession of multiple digital files containing depictions of child sexual abuse. On February 2, 2010, prior to these allegations, Wilson was convicted in Cass County of second degree criminal sexual conduct and was required to register as a sex offender.
Wilson is charged with one count of receipt of child pornography and two counts of possession of child pornography.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case is the result of an investigation conducted by the FBI.
Assistant U.S. Attorney Evan B. Gilead is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
South Yarmouth Man Sentenced for Fentanyl and Heroin OffensesRead the Press Release
BOSTON – A South Yarmouth man was sentenced yesterday in federal court in Boston for fentanyl and heroin offenses.
Dustin Monick, 23, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 70 months in prison and five years of supervised release. On April 26, 2021, Monick pleaded guilty to one count of possession with intent to distribute 400 grams or more of fentanyl and 100 grams or more of heroin and one count of possession with intent to distribute 400 grams or more of fentanyl.
In December 2019, Monick was stopped by police in Yarmouth for multiple traffic violations, at which time police observed a backpack in Monick’s vehicle. After speaking briefly with police, Monick fled the scene in his vehicle, but was stopped shortly thereafter. Police later found the backpack, which contained over 600 grams of heroin and fentanyl, along the road. During his arrest, two keys were found on Monick. One key opened a storage locker used by Monick and the other opened a safe, which contained over two kilos of fentanyl and $100,068 cash.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; and Yarmouth Police Chief Frank Frederickson made the announcement. Assistant U.S. Attorney Nadine Pellegrini of Mendell’s Narcotics & Money Laundering Unit prosecuted the case.