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3 November 2021
Lycoming County Man Sentenced to One Year Imprisonment for Fraudulent Tax Return SchemeRead the Press Release
HARRISBURG - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Jeremy Baney, age 50, formerly of Lycoming County and currently an inmate at SCI Smithfield, Pennsylvania, was sentenced on November 3, 2021, to 12 months’ imprisonment by United States District Court Judge Sylvia H. Rambo for his participation in a scheme to file fraudulent federal income tax returns from state prison. Judge Rambo also ordered the 12-month sentence to run concurrent to Baney’s current state sentence.
According to Acting United States Attorney Bruce D. Brandler, Baney pled guilty to obtaining personal identification information from other SCI Smithfield state inmates and using that information to file federal income tax returns. The federal tax refunds were then deposited into local bank accounts set up by either Baney or a now deceased confederate. The false claims made to the United States amounted to $69,510 which resulted in the United States suffering a tax loss in terms of refunds amounting to $32,343. Judge Rambo ordered Baney to make restitution to the United States in the amount of $32,343.
The case was investigated by the U.S. Department of the Treasury’s Criminal Investigation Division. Assistant U.S. Attorney William A. Behe prosecuted the case.
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Long Island Man Sentenced to Life in Prison Plus 84 Years for Murder, Multiple Home Invasion Robberies and Unlawful Use of FirearmsRead the Press Release
Earlier today, in federal court in Central Islip, New York, Tyrone L. Robinson was sentenced by United States District Judge Joan M. Azrack to life imprisonment plus 84 years to run consecutive to the life sentence for murder, seven counts of robbery and attempted robbery of drugs and drug proceeds, seven counts of unlawful use, brandishing and discharge of firearms, and four counts of being a felon in possession of firearms and ammunition. Robinson was convicted by a jury in February 2020 following a four-week trial.
Breon Peace, United States Attorney for the Eastern District of New York, and John B. DeVito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF), announced the sentence.“Robinson’s violent crime spree extended not only to possessing illegal drugs and weapons, and committing home invasions, robberies and murder, but also to threatening to take the life of an innocent 8-year-old child,” stated United States Attorney Peace. “Today’s lengthy sentence serves to protect our communities, including our children, while sending a strong message to violent offenders like the defendant that they will be held accountable to the fullest extent of the law.”
Mr. Peace expressed his appreciation to the Nassau and Suffolk County Police Departments and the New York State Department of Corrections and Community Supervision for their assistance with the investigation and prosecution.
“Today’s sentence ensures that a serial predator will never be set free to inflict violence within our communities. The reign of terror of Tyrone Robinson is over. Convicted of murder with a firearm, armed robbery, armed assaults, Robinson preyed upon his victims and showed no mercy. We commend the work of the ATF’s Long Island Firearms Task Force and our partners from the Nassau and Suffolk County Police Departments and United States Attorney’s Office for their steadfast commitment to investigating these crimes and to ensuring justice was served,” stated ATF Special Agent-in-Charge DeVito.
Between August 2015 and May 2016, Robinson and his co-conspirators committed multiple armed home invasion robberies of drug dealers in Nassau and Suffolk counties. The victims were pistol-whipped, often times zip-tied, threatened with death and shot. On March 25, 2016, Robinson committed an armed home invasion in Lake Grove and threatened to kill an eight-year-old girl if she did not find money for him. The following night, when Robinson returned to the scene of the Lake Grove home invasion, he dropped his cellphone and it was recovered by police responding to a call from neighbors. The cellphone was logged into Robinson’s online account which he had used to Google search for directions to his targeted locations and for news reports about the crimes he had committed. For example, after a violent robbery attack in Hempstead, Robinson Google searched “man beaten in Hempstead.” During a home invasion robbery by Robinson on May 3, 2016 in Freeport, the victim, Johnathan Isaac, was fatally shot in the back. Shortly after Isaac’s murder and the shooting of another victim in Freeport, Robinson Google searched “two shot Freeport” and watched news reports about the crimes.
This case was brought as 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. As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Allen Bode and Anthony Bagnuola are in charge of the prosecution.
The Defendant:
TYRONE L. ROBINSON
Age: 35
Bay Shore, New YorkE.D.N.Y. Criminal Docket No. 16-545 (S-4)(JMA)
Little Eagle Man Sentenced to Three Years on Firearm ChargeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Little Eagle, South Dakota, man convicted of Possession of a Stolen Firearm was sentenced on October 28, 2021, by Judge Jeffrey L. Viken, U.S. District Court.
Keith Looking Back, age 39, was sentenced to three years in federal prison, followed by three years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Looking Back was indicted by a federal grand jury on June 11, 2020, and pleaded guilty on May 26, 2021. In April 2020, Looking Back knowingly possessed a stolen SIG Sauer, model SIG MCX, 5.56 caliber semi-automatic rifle. The rifle had been stolen by other individuals from Pawn With Us in Rapid City in April 2020.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Looking Back was immediately remanded to the custody of the U.S. Marshals Service.
Lincoln Woman Sentenced for Conspiracy to Distribute MethamphetamineRead the Press Release
Acting United States Attorney Jan Sharp announced that Kelly J. Jablonski, 42, of Lincoln, Nebraska, was sentenced today for conspiracy to distribute and possess with intent to distribute 500 grams or more of methamphetamine mixture. United States District Judge John M. Gerrard sentenced Jablonski to eight years and one month in prison. Following her release from prison, Jablonski will serve three years on supervised release. There is no parole in the federal system
In January of 2021, a confidential informant working with the Lincoln Police Department bought 58 grams, (approximately two ounces), of methamphetamine mixture from Jablonski through a third person. In late January and early February of 2021, a tracker on Jablonski’s Jeep showed she made several trips to the Omaha/Council Bluffs area, stopping in South Omaha and at casinos in Council Bluffs, Iowa.
On February 11, 2021, investigators followed Jablonski to a casino in Council Bluffs where her Jeep was seen on casino security video. The video showed a male take a duffel bag from a car with Colorado plates which was parked near Jablonski’s Jeep. The male then got into Jablonski’s Jeep. Both vehicles then left the casino garage. Jablonski was later seen leaving Omaha on westbound I-80 in her Jeep followed by the same male who was driving a van with Colorado plates. Both vehicles were stopped for traffic violations by the Nebraska State Patrol. Jablonski admitted she had three pounds of methamphetamine in her Jeep, resulting in a search. In her Jeep, a total of 1.3 kilograms, (approximately 2.8 pounds), of methamphetamine mixture was found. The van was also searched, and an additional 209 grams, (approximately seven ounces), of methamphetamine mixture was found. The car with Colorado plates was stopped in Council Bluffs, Iowa. The driver was arrested for traffic violations and an outstanding warrant. That car was also searched, and an additional ¼ ounce methamphetamine and more than $34,000 in cash were found.
Jablonski told officers she had obtained methamphetamine from the male in the van since June of 2020, estimating that between June and December of 2020, she obtained up to two pounds per week. She also estimated she obtained at least 25 pounds from the male during the month prior to her arrest. She said the methamphetamine found in her Jeep came from the male in the van. Jablonski said she sold methamphetamine to people in Lincoln, Omaha, and Council Bluffs.
This case was investigated by the Lincoln/Lancaster County Narcotics Task Force with assistance from the Nebraska State Patrol and the Pottawattamie County Sheriff’s Office.
Lincoln County Man Sentenced to More Than 15 Years in Federal Prison for Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A Lincoln County man was sentenced today to 15 years and eight months in federal prison for possession with intent to distribute 40 grams or more of fentanyl and five grams or more of methamphetamine.
According to court documents, the South Charleston Police Department conducted a traffic stop on a vehicle in which Bert Tackett, 56, of Alkol, was a passenger on February 8, 2021. Tackett possessed approximately 117 grams of a mixture/substance containing fentanyl and approximately 41.989 grams of methamphetamine and admitted that he intended to distribute the controlled substances. Law enforcement officers also recovered a Bersa Thunder 9mm handgun from inside the vehicle. When officers arrested Tackett at his Alkol residence on June 15, 2021, they found two bags of fentanyl weighing approximately 31.123 grams and 1.244 grams, a bag of methamphetamine weighing approximately 27.238 grams, and two loaded firearms inside his residence.
United States Attorney William S. Thompson made the announcement and commended the excellent investigative work of the South Charleston Police Department, the Metropolitan Drug Enforcement Network Team (MDENT), the Drug Enforcement Administration (DEA) and the U.S. Marshals Service.
United States District Judge Joseph R. Goodwin imposed the sentence. Assistant United States Attorney Nick Miller handled the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00097.
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Leader of MS-13 in Honduras and Drug Supplier for MS-13 Charged in Manhattan Federal Court with Racketeering, Narcotics Trafficking, and Firearms OffensesRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, John J. Durham, Director of Joint Task Force Vulcan (“JTFV”), Anne Milgram, Administrator of the Drug Enforcement Administration (“DEA”), Jay Greenberg, Acting Assistant Director of the Criminal Investigative Division of the Federal Bureau of Investigation (“FBI”), and Steve Francis, Acting Executive Associate Director, Department of Homeland Security, Homeland Security Investigations (“HSI”), announced the unsealing of a Superseding Indictment in Manhattan federal court charging YULAN ANDONY ARCHAGA CARÍAS, a/k/a “Alexander Mendoza,” a/k/a “Porky,” and DAVID CAMPBELL, a/k/a “Viejo Dan,” a/k/a “Don David,” with committing racketeering, narcotics trafficking, and firearms offenses. ARCHAGA Carías, a Honduran national, remains at large and has been added to the FBI’s Ten Most Wanted Fugitives List, the DEA’s Most Wanted Fugitives List, and HSI’s Most Wanted Fugitives List. CAMPBELL, a Honduran national, is currently in custody in Nicaragua. The case is assigned to U.S. District Judge Gregory H. Woods.
U.S. Attorney Damian Williams said: “As alleged, Yulan Andony Archaga Carías is MS-13’s highest-ranking member in Honduras, responsible for trafficking multi-ton shipments of cocaine into the U.S. and ordering and overseeing the multiple violent acts carried out to make those shipments happen. These allegedly included numerous murders of rivals. David Campbell was, until his capture, allegedly one of Archaga Carías’s major suppliers of drugs and guns, and he planned and coordinated violent acts with Archaga Carías. Campbell is in custody, and now a reward is offered for information leading to the arrest of Archaga Carías.”
JTFV Director John J. Durham said: “MS-13 violence, fueled by drug trafficking and firearms, has a devastating impact across the United States and Central America. The indictment unsealed today, which charges the highest ranking leader of MS-13 in Honduras and one of MS-13’s alleged main drug suppliers in Honduras, shows that no leader of MS-13 is beyond the reach of the Department of Justice and United States law enforcement. JTFV gratefully appreciates its partnership with the U.S. Attorney’s Office for the Southern District of New York, and will continue to work with our law enforcement partners to dismantle MS-13’s command and control structure throughout the Western Hemisphere.”
DEA Administrator Anne Milgram said: “For decades, MS-13 has been synonymous with extreme violence and brutality. The only way to weaken and disrupt criminal organizations that wreak havoc on our communities is to attack them at their core – their leadership and suppliers. DEA’s successful investigation leading to today’s charges, along with the addition of Archaga Carías to the DEA and FBI most wanted lists, represent a significant stride in our efforts to stop the devastating effects of MS-13’s violent drug trafficking activities that endanger the safety and health of Americans.”
Acting Assistant Director Jay Greenberg of the FBI’s Criminal Investigative Division said: “This indictment demonstrates the resolve of the FBI to aggressively pursue transnational criminal gangs like MS-13. We will work with our law enforcement partners to find wanted fugitives wherever they seek refuge and hold them accountable for their crimes."
HSI Acting Executive Associate Director Steve Francis said: “Today’s announcement highlights our commitment to working with domestic and international law enforcement partners to dismantle gangs like MS-13. By contributing our unique capabilities to this joint effort, Homeland Security Investigations is helping to make our nation safer.”
As alleged in the Superseding Indictment unsealed in Manhattan federal court[1]:
Mara Salvatrucha, commonly known as MS-13, is a transnational criminal organization that engages in acts of violence, including murders, kidnapping, assaults, extortion, and large-scale drug importation and distribution throughout Central America and the United States. ARCHAGA CARÍAS is the highest-ranking member of MS-13 in Honduras. As the leader and highest-ranking member of MS-13 in Honduras, ARCHAGA CARÍAS is in charge of, among other things, the gang’s drug trafficking operations, ordering and coordinating acts of violence, including numerous murders, and the laundering of drug proceeds. MS-13’s drug trafficking operations led by ARCHAGA CARÍAS include the processing, receiving, transporting, and distributing of multi-ton loads of cocaine shipped through Honduras and into the United States.
ARCHAGA CARÍAS and other MS-13 members and associates acting at his direction also provided protection for other drug trafficking organizations (“DTOs”) engaged in transporting multi-ton loads of cocaine through Honduras and destined for the United States. ARCHAGA CARÍAS contracted out members of MS-13 as “Sicarios,” or hit men, to other DTOs for payment. In that role, members of MS-13 committed numerous murders for hire for DTOs trafficking cocaine through Honduras to the United States. ARCHAGA CARÍAS and MS-13 also supplied other DTOs with firearms, including machineguns, that were received from El Salvador, Nicaragua, and elsewhere. ARCHAGA CARÍAS also ordered multiple murders of rival gang members and drug trafficking competitors in Honduras, as well as other members of MS-13 who ARCHAGA CARÍAS believed had been disloyal to the gang.
CAMPBELL was one of the principal suppliers of cocaine and weapons, including machineguns, to MS-13. As an associate of MS-13 and close confidant of ARCHAGA CARÍAS, CAMPBELL planned and coordinated retaliatory acts of violence with ARCHAGA CARÍAS, and assisted MS-13 and ARCHAGA CARÍAS in establishing businesses to launder the gang’s drug proceeds. CAMPBELL and MS-13 used businesses they owned or controlled to launder drug proceeds, including through banks in the United States.
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ARCHAGA CARÍAS, 39, of Honduras, remains at large, and has now been named to the FBI’s Ten Most Wanted Fugitives List (https://www.fbi.gov/wanted/topten), the DEA’s Most Wanted Fugitives List (https://www.dea.gov/fugitives), and HSI’s Most Wanted Fugitives List. The FBI is offering up to $100,000 for information leading to the arrest of ARCHAGA CARÍAS. Anyone with information that may lead to the arrest of ARCHAGA CARÍAS can contact the FBI at 1-800-CALL-FBI. CAMPBELL, 54, of Honduras, is currently in custody in Nicaragua on local charges.
If convicted, each defendant faces a maximum penalty of life in prison and a mandatory minimum sentence of 40 years in prison. A chart containing the charges and statutory minimum and maximum penalties for the defendants is set forth below. The maximum potential 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 a judge.
Mr. Williams praised the outstanding investigative work of the FBI, DEA, and HSI.
The case is being handled by JTFV and the Office’s Terrorism and International Narcotics Unit. Assistant United States Attorney Jacob Warren and Special Assistant United States Attorney Christopher A. Eason are in charge of the prosecution.
Since its creation in August 2019, JTFV has successfully implemented a whole-of-government approach to combatting MS-13, including increasing coordination and collaboration with domestic and foreign law enforcement partners; designating priority MS-13 programs, cliques and leaders, who have the most impact on the United States, for targeted prosecutions; and coordinating significant MS-13 indictments, including the first use of national security charges against MS-13 leaders. JTFV has comprised members from U.S. Attorney’s Offices across the country, including this Office, the Eastern District of New York, the Eastern District of Texas, the District of New Jersey, the Northern District of Ohio, the District of Utah, the Eastern District of Virginia, the District of Massachusetts, the District of Alaska, the Southern District of Florida, the Southern District of California, the District of Nevada, and the District of Columbia, as well as the National Security Division’s Counterterrorism Section and the Criminal Division’s Organized Crime and Gang Section. All Department of Justice law enforcement agencies are involved in the effort, including the FBI, DEA, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the U.S. Marshals Service, and the U.S. Bureau of Prisons. In addition, HSI plays a critical role in JTFV. The Organized Crime Drug Enforcement Task Forces (“OCDETF”) also supports JTFV in its mission. 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 charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
CHARGE
DEFENDANTS
MIN./MAX. PENALTIES
1
Racketeering conspiracy
18 U.S.C. § 1962(d)
YULAN ANDONY ARCHAGA CARÍAS, a/k/a “Alexander Mendoza,” a/k/a “Porky,” and
DAVID CAMPBELL,
a/k/a “Viejo Dan,” a/k/a “Don David”
Life in prison
2
Narcotics importation conspiracy
21 U.S.C. § 963
YULAN ANDONY ARCHAGA CARÍAS, a/k/a “Alexander Mendoza,” a/k/a “Porky,” and
DAVID CAMPBELL,
a/k/a “Viejo Dan,” a/k/a “Don David”
Life in prison
Mandatory minimum of 10 years in prison
3
Using or carrying a machinegun during and in relation to, or possessing a machinegun in furtherance of, a narcotics trafficking crime
§§ 924(c)(1)(A) and 924(c)(1)(B)(ii)
YULAN ANDONY ARCHAGA CARÍAS, a/k/a “Alexander Mendoza,” a/k/a “Porky,” and
DAVID CAMPBELL,
a/k/a “Viejo Dan,” a/k/a “Don David”
Life in prison
Mandatory minimum of 30 years in prison
4
Machinegun conspiracy
18 U.S.C. § 924(o)
YULAN ANDONY ARCHAGA CARÍAS, a/k/a “Alexander Mendoza,” a/k/a “Porky,” and
DAVID CAMPBELL,
a/k/a “Viejo Dan,” a/k/a “Don David”
Life in prison
[1] As the introductory phrase signifies, the entirety of the text of the Superseding Indictment constitutes only allegations, and every fact described herein should be treated as an allegation.
Lavaca Man Charged in $100 Million COVID-19 Health Care Fraud SchemeRead the Press Release
FORT SMITH, Ark. – A federal grand jury in the Western District of Arkansas returned an indictment this week charging a Lavaca man who owned or managed numerous diagnostic testing laboratories with health care fraud in connection with over $100 million dollars in false billings for urine drug testing, COVID-19 testing, and other clinical laboratory services.
According to court documents, Billy Joe Taylor, 42, engaged in a scheme between February 2017 and May 2021 in connection with diagnostic laboratory testing, including urine drug testing and tests for respiratory illnesses during the COVID-19 pandemic, that were medically unnecessary, not ordered by medical providers, and/or not provided as represented. According to the indictment, Taylor controlled and directed multiple diagnostic laboratories, and used those labs to submit more than $100 million in false and fraudulent claims to Medicare. The indictment alleges that Taylor obtained medical information and private personal information for Medicare beneficiaries, and then misused that confidential information to repeatedly submit claims to Medicare for diagnostic tests that were not ordered by medical providers and were not actually performed by the laboratories. Taylor allegedly then used the proceeds of the fraud to live a lavish lifestyle, including purchasing numerous luxury automobiles, including a Rolls Royce Wraith, as well as real estate, jewelry, guitars, and other luxury clothing and items.
Taylor is charged with 16 counts of health care fraud, and one count of engaging in a monetary transaction in criminally derived property. Taylor was previously charged by criminal complaint in May 2021. The defendant is scheduled for his arraignment on November 23, 2021, before U.S. Magistrate Judge Mark E. Ford of the U.S. District Court for the Western District of Arkansas. Each of the counts is punishable by a maximum penalty of 10 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting U.S. Attorney David Clay Fowlkes for the Western District of Arkansas; Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division; Special Agent in Charge James A. Dawson, of the FBI’s Little Rock division; Special Agent in Charge Miranda Bennett of the Department of Health and Human Services-Office of Inspector General (HHS-OIG), Dallas Regional Office; and Special Agent in Charge Christopher Altemus of the IRS-Criminal Investigation, Dallas Field Office, made the announcement.
The FBI, HHS-OIG, and IRS-Criminal Investigation are investigating the case.
Assistant U.S. Attorney Kenneth Elser of the U.S. Attorney’s Office for the Western District of Arkansas and Senior Litigation Counsel Jim Hayes and Trial Attorney D. Keith Clouser of the Criminal Division’s Fraud Section’s National Rapid Response Strike Force are 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.
Lansing Man Convicted on 5 Counts Relating to the Production and Receipt of Child PornographyRead the Press Release
DETROIT – A federal jury today convicted a Lansing, Michigan man on multiple charges relating to the production and receipt of child pornography, announced Acting United States Attorney Saima Mohsin.
Mohsin was joined in the announcement by Special Agent in Charge Vance Callendar, Homeland Security Investigations.
Convicted was Michael McShan, 28. The 5-day trial, which began on Thursday, October 28, was conducted before United States District Judge David M. Lawson in Detroit. The jury deliberated approximately an hour before returning the guilty verdicts.
According to evidence presented during the trial, in December 2018, McShan met a minor female (MV-1) on a social media site called “MeetMe,” and then began communicating with MV-1 via Snapchat, cellphone calls and text messages. McShan quickly began an abusive and sexual relationship with MV-1. McShan enticed and persuaded MV-1 to produce images and videos of herself and another minor female victim (MV-2) engaging in sexually explicit conduct. Over the course of a few months, McShan, became increasingly controlling over MV-1. McShan coerced and enticed MV-1 through flattery, threats, and guilt to manipulate MV-1 into continuing to send him sexually explicit photos and videos as well as money.
Evidence further showed that in an attempt to get released on bond pending his trial, McShan directed his then-girlfriend, Madison, (AV-1) to write a false confession to the child exploitation crimes.
McShan was convicted of production of child pornography; attempted production of child pornography; receipt of child pornography; coercion and enticement of a minor, and obstruction of justice. McShan faces a maximum sentence of life in federal prison. A sentencing date has been set for March 1, 2022.
“Protecting children from dangerous child predators is a top priority for our office,” said Acting United States Attorney Mohsin. “I commend our law enforcement partners for their hard work and dedication to investigating and prosecuting crimes against children.”
“Even though schools do a great job educating our children about online safety, this case serves as an example of how manipulative child predators can be; please mind your child’s online activities,” said HSI Detroit Special Agent in Charge Vance Callender. “My special agents did an outstanding job investigating and preparing for trial on this case. I commend their efforts for the sake of the victims here.”
The case was investigated by special agents of Homeland Security Investigations. The case is being prosecuted by Assistant United States Attorneys Maggie Smith and Sara Woodward.
Kory Lee George Sentenced to over Seven Years in Prison for Federal Firearms OffenseRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Kory Lee George, 33, of Bristol, Vermont, was sentenced by U.S. District Judge Christina Reiss after his conviction for possessing a firearm after having previously been convicted of a felony. Judge Reiss imposed a sentence of 89 months of imprisonment, to be followed by a three-year term of supervised release.
According to court records and proceedings, George possessed a stolen shotgun at his home in Monkton, Vermont, on or about August 2, 2019. The shotgun was stolen from a camp in upstate New York around April of 2019, along with several other firearms. George had previously been convicted of felony offenses, and was prohibited under federal law from possessing any firearms.
The United States was represented in this matter by Assistant U.S. Attorneys Spencer Willig and Paul Van de Graaf. Federal Public Defender Michael L. Desautels represented the defendant.
Acting U.S. Attorney Ophardt commended the investigatory efforts of the Vermont State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives, and thanked the Chittenden County State’s Attorney’s Office for its efforts in coordinating with the U.S. Attorney’s Office in this matter.
This case was 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. https://www.justice.gov/psn
Knoxville Woman Sentenced to 3 Years Imprisonment for Defrauding Local Non-ProfitRead the Press Release
KNOXVILLE, Tenn. – On November 3, 2021, Angelia Renae Brown, 50, and a resident of Knoxville, was sentenced by the Honorable Thomas Varlan, U.S. District Judge in the United States District Court for the Eastern District of Tennessee, to 36 months’ imprisonment and three years of supervised release. Brown was convicted of wire fraud, in violation of 18 U.S.C. § 1343, and filing a false tax return, in violation of 26 U.S.C. § 7206(1). Brown pleaded guilty to both offenses on May 26, 2021, pursuant to a plea agreement.
According to the filed plea agreement, from as early as 2012 and continuing through June 2020, Brown embezzled more than $2 million from her former employer—a non-profit organization in Knoxville that focuses on the welfare of abused children. During the criminal conduct, Brown worked as a staff accountant for the nonprofit organization. In furtherance of the fraud scheme, Brown forged company checks and deposited them into her personal bank account. Brown also concealed the fraud scheme from her former employer by altering the checks after they had been deposited into her bank account. In all, Brown forged 885 checks that were drawn on her former employer’s bank accounts, causing a total loss amount to her former employer of $2,064,464.99. Brown also failed to report the embezzled funds as income on her tax returns for tax years 2012 to 2019, resulting in an additional $552,224 loss to the Internal Revenue Service.
During sentencing, Brown was ordered to pay total restitution of $2,616,688.99, including $2,064,464.99 to her former employer and $552,224 to the Internal Revenue Service.
This case is the result of a joint investigation by the FBI and the Internal Revenue Service, Criminal Investigation.
Assistant U.S. Attorney William A. Roach, Jr., represented the United States.
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Kirkwood resident pleads guilty for identity theftRead the Press Release
ST. LOUIS – United States District Court Judge Stephen R. Clark accepted a plea of guilty from Glenda Seim, 81 years old of Kirkwood, Missouri on November 2, 2021 for two counts of identity theft related to her participation as a “money mule” in various fraudulent schemes on behalf of her online romantic interest. A grand jury in the Eastern District of Missouri previously indicted Seim for the charges. A “money mule” is a person who receives fraudulently obtained money and merchandise on behalf of a scammer, and then forwards the proceeds to the scammer.
Sometime during 2014, Seim began an online relationship with an individual who claimed to be a United States citizen with business interests in Nigeria. Throughout the years, Seim’s purported romantic interest would ask for her assistance in paying fees, taxes, and penalties to the Nigerian government or his business associates. He claimed that he could not leave Nigeria unless he paid those funds. Despite having never met her romantic interest in person or communicated with him in any form other than texting, Seim began sending him money from her Social Security retirement benefits and pension. He later asked her to pawn electronic equipment that he had others send to her in the mail and forward the funds to him.
Because the return was not as high as he wanted, Seim began participating in other fraudulent schemes including: receiving MoneyGram wire transfers from senders she did not know; depositing counterfeit and fraudulently obtained checks into financial accounts she opened; allowing her romantic interest to fraudulently transfer funds from the financial accounts of various businesses into her financial accounts; and accepting unemployment insurance benefit payments on behalf of individuals she did not know. A check drawn on the retirement account of a romance fraud victim in the amount of $100,000 was among Seim’s fraudulent deposits. Seim kept a portion of the funds fraudulently obtained before providing the balance to her online romantic partner.
Despite warnings by wire transfer agencies, local police officers, federal law enforcement representatives, and bank representatives and the forced closing of her financial accounts, Seim continued to facilitate the transfer of funds on behalf of her online romantic interest. Between June 2014 and February 2021, Seim attempted to conduct fraudulent transactions between $550,000 and $1,500,000.
Seim is scheduled to be sentenced on February 10, 2022.
The case was investigated by the Federal Bureau of Investigation and the United States Secret Service.
Justice Department Settles Retaliation Suit Against Wilson County, North Carolina, on Behalf of Employee who Complained of Sexual HarassmentRead the Press Release
The Department of Justice announced today that it has entered into a consent decree with Wilson County, North Carolina, that, if approved by the U.S. District Court for the Eastern District of North Carolina, will resolve the department’s complaint alleging retaliation in violation of Title VII of the Civil Rights Act of 1964, as amended. The complaint alleges that Wilson County Emergency Communications (WCEC) engaged in unlawful retaliation when it fired an employee, Jennifer Riddle, after she disclosed to supervisors that she had been sexually harassed while on the job.
Riddle was hired as a telecommunicator trainee for WCEC in 2017. Soon after she began working there, Riddle was sexually harassed by the agency’s assistant director. Riddle reported the harassment to multiple supervisors, and WCEC investigated. After concluding that Riddle’s complaints were valid, the County began the process of firing the assistant director, though he resigned before he was formally fired. Soon after the assistant director’s departure, Riddle began experiencing hostility from her supervisor and co-workers, culminating in a transfer. When she disclosed to the supervisors on her new shift that she had previously been sexually harassed by the assistant director and that WCEC failed to effectively deal with her harasser, the agency fired her.
“This lawsuit and settlement send a clear message that the department stands with the brave employees who oppose unlawful discrimination in the workplace, and that we will vigorously oppose any employer that attempts to use retaliation as a means to suppress an employee’s civil rights,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “With this consent decree, Wilson County has committed to improving the workplace for all of its employees by implementing enhanced anti-discrimination training, policies and investigative procedures.”
Under the terms of the consent decree, Wilson County will develop and submit to the United States for approval revised discrimination and retaliation policies, investigation procedures for complaints of discrimination, and trainings that will apply county-wide. The consent decree further requires Wilson County to pay Riddle $100,000 in compensatory damages and back pay.
The enforcement of Title VII and other federal employment discrimination laws is a top priority of the Justice Department’s Civil Rights Division. Additional information about the Civil Rights Division and its work is available on its website at www.justice.gov/crt.
The case was brought by Trial Attorneys Christopher Woolley and Vendarryl Jenkins of the Civil Rights Division’s Employment Litigation Section.
Jury Convicts Winchester Man of Distribution of Heroin Resulting in an OverdoseRead the Press Release
HARRISONBURG, Va.– A federal jury convicted a Winchester, Virginia man yesterday for conspiring with others to distribute 100 grams or more of heroin as well as distributing heroin that resulted in serious bodily injury.
According to court documents and evidence presented at trial, Robert Bradley Lockhart, 33, was a heroin dealer connected to a drug pipeline between Baltimore, Maryland and Front Royal, Virginia. During the course of the investigation, the Northwest Virginia Drug and Gang Task Force (NWDGTF) Front Royal Team identified more than 30 overdose injuries connected to that heroin pipeline, and conducted dozens of controlled heroin buys, traffic stops, search warrants and interviews with Virginia-based heroin sub-distributors. This investigation led to the arrest of many individuals, including the defendant, Robert Bradley Lockhart.
“Stopping the flow of heroin and other powerful drugs from out-of-state is a top priority of the Justice Department,” United States Attorney Christopher R. Kavanaugh said today. “Lockhart, and others, brought hundreds of grams of deadly drugs into Virginia and caused multiple overdoses. I am grateful to the work of the Front Royal Police Department, the DEA, and the Assistant United States Attorneys who prosecuted this conspiracy for closing this deadly pipeline.”
According to cooperating witnesses, Lockhart obtained quantities of heroin ranging from 10 to 30 grams each time he traveled to Baltimore between the summer of 2016 and December 2017, sometimes going to Baltimore several times a week. His heroin sales led to three different overdoses, one of which was the basis for the second count. Law enforcement conducted six controlled purchases of heroin from Lockhart and recovered 24 grams of heroin concealed in his anal cavity on the date of his arrest.
The Front Royal Police Department, the Drug Enforcement Administration, and Northwest Virginia Drug and Gang Task Force investigated the case.
Assistant U.S. Attorneys Kathryn Rumsey and Heather L. Carlton prosecuted the case.
Jackson Man Sentenced to over 7 Years in Prison for Possession of Firearms by a Convicted FelonRead the Press Release
Jackson, Miss. – A Jackson man was sentenced today to 87 months in federal prison for possession of firearms by a convicted felon, announced Acting U.S. Attorney Darren LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
According to court records, Jarvis Demarcus Harper, 27, of Jackson, admitted to ATF agents that he had possessed multiple firearms recovered from his residence in Jackson. Harper has a previous state court felony conviction for shooting into an occupied dwelling.
Harper pled guilty on June 10, 2021 to possession of firearms by a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney Lynn Murray prosecuted the case.
This case was prosecuted as part of the federal, state, and local Project Safe Neighborhoods (PSN) Program. The centerpiece of the Department of Justice’s crime reduction efforts, PSN is an evidence-based program proven effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together and develop comprehensive solutions. As part of this strategy, PSN focuses enforcement efforts and partners with locally based prevention and reentry programs for lasting reductions in crime.
Jackson Man Sentenced for Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. – A Jackson man was sentenced to 56 months in federal prison for being a convicted felon in possession of a firearm, announced Acting U.S. Attorney Darren LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
According to court documents, Cervante Lashum Thomas, 44, admitted to ATF agents that he had possessed the firearm recovered by Jackson Police Department officers from a crime scene in Jackson. Thomas has previous state court felony convictions for vehicle burglary, possessing stolen property, armed robbery, and being a felon in possession of a firearm.
Thomas pled guilty on July 8, 2021 to possession of a firearm by a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case.
Assistant U.S. Attorney Lynn Murray prosecuted the case.
This case was prosecuted as part of the federal, state, and local Project Safe Neighborhoods (PSN) Program. The centerpiece of the Department of Justice’s crime reduction efforts, PSN is an evidence-based program proven effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together and develop comprehensive solutions. As part of this strategy, PSN focuses enforcement efforts and partners with locally based prevention and reentry programs for lasting reductions in crime.
Irvin Mayfield and Ronald Markham Sentenced to 18 Months Imprisonment for Defrauding the New Orleans Public Library FoundationRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that IRVIN MAYFIELD, age 44, a resident of New Orleans, and RONALD MARKHAM, age 43, also a resident of New Orleans, were sentenced today for defrauding the New Orleans Public Library Foundation out of approximately $1,316,232. The Honorable Jay Zainey sentenced the defendants to eighteen (18) months imprisonment followed by three (3) years of supervised release. MAYFIELD and MARKHAM were also sentenced to payment of restitution in the amount of $1,123,032 to the N.O, Public Library Foundation, payment of a $100 mandatory special assessment fee and 500 hours of community service.
According to court documents, MAYFIELD founded the New Orleans Jazz Orchestra (NOJO) in 2002. MAYFIELD also acted as Artistic Director and featured performer. MARKHAM was a long-time friend of MAYFIELD and served as NOJO’s President and Chief Executive Officer. MAYFIELD and MARKHAM both received salaries of $100,000 from NOJO as well as compensation for compositions and performances through Mayfield Publishing Company. Throughout its existence, NOJO relied on donations to fund its operations and pay its expenses. Between December 16, 2008, until May 31, 2010, NOJO relied on grants from the Edward Wisner Donation, a charitable trust administered by the City of New Orleans. In February 2011, support for NOJO through the Edward Wisner Donation was terminated by the City of New Orleans, causing great financial distress to NOJO and its ability to pay expenses.
In October 1990, the New Orleans Public Library Foundation (NOPLF) was established to receive donations generated through private fund-raising efforts; to oversee the prudent investment of said donations at an acceptable level of risk; and to authorize expenditures judiciously for the purpose of purchasing books, other information materials, and sponsoring New Orleans Public Library (NOPL) related programs. For these purposes, NOPLF maintained an investment account. Until approximately August 2011, the NOPLF used interest earned from its investment account to fund its mission at the direction of the board of directors. All board members were uncompensated volunteers.
In August 2006, MAYFIELD became a board member of NOPLF. He later became Chairman of the board in November 2010. During his time on the NOPLF board, MAYFIELD also maintained his position with NOJO. In December 2009, MARKHAM became a board member of NOPLF. He later became Chairman of the board in September 2013 upon MAYFIELD’s resignation as Chairman of NOPLF. During his time on the NOPLF board, MARKHAM also maintained his position with NOJO. Between August 23, 2011, and November 30, 2013, MAYFIELD and MARKHAM caused approximately $1,316,232 to be unlawfully transferred and paid directly from the NOPLF to NOJO and elsewhere.
Beginning in February 2011, and continuing until November 2017, the defendants committed mail and wire fraud by transferring $1,316,232 from the NOPLF investment account to NOJO and elsewhere without approval and while misleading the NOPLF and others with regard to the purpose of the transfers. The defendants sent materially false and misleading correspondence to NOPLF board members, investment account managers, and auditors regarding the purpose of the money transfers. They also prepared materially false and misleading records to make money transfers from NOPLF to NOJO appear legitimate when they were not. Examples of the unlawful money transfers include:
- The defendants used NOPLF money to support NOJO operating expenses and pay their NOJO salaries.
- The defendants caused tens of thousands of dollars to be transferred directly into the personal accounts of MAYFIELD and Mayfield Productions.
- The defendants used NOPLF money to pay for NOJO’s performance at Carnegie Hall and performance fees to MAYFIELD.
- The defendants used NOPLF money to pay for MAYFIELD’s stays at the Ritz Carlton and Park Central Hotel as well as the travel expenses of NOJO musicians for NOJO performances.
- MAYFIELD used NOPLF money to purchase a 24k gold-plated trumpet and spend money at Saks Fifth Avenue and Harrah’s Casino.
After receiving federal grand jury subpoenas in November 2013, MAYFIELD and MARKHAM gathered and fraudulently edited NOPLF board minutes by changing line items and dollar amounts with the intent to impede, obstruct, and influence the investigation by the FBI. They also used the fraudulently altered board minutes to convince the NOPLF board that the transfers were authorized.
Finally, MARKHAM falsely informed NOPLF board members, employees of NOPLF and NOPLF legal counsel that NOJO did not use NOPLF money to pay the NOJO salaries of MAYFIELD and MARKHAM and that NOJO was not dependent on NOPLF funding.
"Today’s sentencing sends a clear message that individuals like Grammy Award winning musician Irvin Mayfield and his business partner Ronald Markham who steal from non-profit organizations will be held accountable. Mr. Mayfield and Mr. Markham were driven by their own personal greed, committing financial crimes to enrich themselves at the expense of the citizens of New Orleans who utilize resources offered by New Orleans Public Library,” said FBI New Orleans Special Agent in Charge Douglas A. Williams, Jr. "We thank our partners at United States Attorney's Office Eastern District of Louisiana, Metropolitan Crime Commission and the City of New Orleans Office of Inspector General for their strong partnership and unrelenting pursuit of justice."
“The Office of Inspector General will continue to combine our resources with our federal partners to prevent fraud, waste and abuse. It is vital that we ensure the integrity of New Orleans City Government while we hold public officials accountable for their actions”.
This case is being investigated by the Federal Bureau of Investigation and the New Orleans Office of the Inspector General. Assistant U.S. Attorneys G. Dall Kammer, Theodore Carter, and Brandon Long are in charge of the prosecution.
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Investigation into a Broken Arrow Man Who Allegedly Ran a Child Exploitation Enterprise Leads to Rescue of Child Victims and Arrests Across U.S. and NorwayRead the Press Release
An investigation into a Broken Arrow man alleged to have been an administrator for a transnational child exploitation chat group has led to five additional arrests and the rescue of multiple child victims in the United States and Europe.
Thus far, the FBI and task force partners have arrested six individuals and rescued child victims in Oklahoma, Texas, Florida, Arkansas, Missouri, and Norway.
In August, Cameron Kelly McAbee, 31, of Broken Arrow, was charged in a federal indictment with child exploitation enterprise; sexual exploitation of a child by a parent; receipt and distribution of child pornography, and possession of child pornography in Indian Country.
“Cameron McAbee is alleged to have been an online administrator for a social media group whose criteria for entry was to have a child available to sexually abuse and photograph,” said Acting U.S. Attorney Clint Johnson. “My office and our law enforcement partners will continue to expose individuals involved in this covert group and identify and rescue child victims.”
"FBI Agents in both Tulsa and Atlanta, along with task force partners discovered, investigated, and ultimately neutralized an international cabal of alleged child predators," said Alvin M. Winston, Acting Special Agent in Charge of FBI Oklahoma City. "The threat Mr. McAbee and his partners posed to children worldwide was thwarted by the relentless dedication of FBI investigators joining forces with detectives from Tulsa and Broken Arrow police departments. Only through strong police partnerships can law enforcement remain unified and effective in the global fight to bring child predators to justice."
According to court documents, on July 13, 2021, the FBI discovered an online chat group that shared child sexual abuse material and determined that McAbee was an administrator. The FBI observed that gaining membership in the group required showing photographic proof of having access to a child for the suspected purpose of sharing child sexual abuse material. Continued access to the group required members to produce and share images and videos of the members sexually abusing children. On July 24, 2021, McAbee is alleged to have posted a “live photo” to the group depicting the sexual abuse of a child.
On July 26, 2021, the FBI linked the administrator account to McAbee and his Broken Arrow address and executed a search warrant at the residence that same day.
McAbee agreed to an interview with FBI agents and allegedly confirmed that he held an administrative role in multiple groups, to include one specifically designed for sharing of explicit images and videos of children the members had physical access to. He allegedly stated that he had traded images of child sexual abuse that would be considered child pornography, to include the sexually explicit “live” image he sent of a child to the online chat group on July 24, 2021.
Defendants arrested as part of the investigation include:
FBI arrest - Cameron McAbee of Broken Arrow
FBI arrest - Eric McCants of San Antonio, Texas
FBI arrest - Michael McClure of DeFuniak Springs, Florida
FBI arrest - Jeffrey Prowant of Stone County, Missouri
Arkansas arrest - James Ray Bickerstaff of Siloam Springs, Arkansas
Law enforcement authorities in Norway arrested an unnamed subject
Additional child victims have been brought to safety, and the FBI continues to investigate leads in at least four other states.
An indictment is merely an accusation. Defendants are presumed innocent unless and until proven guilty.
The FBI Oklahoma City Field Office (Tulsa Resident Agency), FBI Atlanta Field Office, Broken Arrow Police Department, and Tulsa Police Department are conducting the investigation. Assistant U.S. Attorney Christopher J. Nassar is prosecuting defendants residing within the Northern District of Oklahoma.
Indiana Township Woman Indicted on Immigration ChargesRead the Press Release
PITTSBURGH, PA – A suburban Pittsburgh woman has been indicted by a federal grand jury in Pittsburgh on charges of conspiring to commit offenses against the United States, making false statements in a matter relating to naturalization or citizenship, and attempting to procure naturalization or citizenship contrary to law, Acting United States Attorney Stephen R. Kaufman announced today.
The four-count Second Superseding Indictment named Man Ho, 32, of the 3300 block of Lenox Drive in Pittsburgh, as the sole defendant.
According to the Second Superseding Indictment, Ho is charged at Count One with conspiring to commit offenses against the United States – namely, attempting to procure U.S. naturalization or citizenship contrary to law. At Count Two, Ho is charged with attempting to procure U.S. naturalization or citizenship contrary to law. At Counts Three and Four, Ho is charged with making false statements in a matter relating to naturalization or citizenship.
As to Counts One, Three, and Four, the law provides for a maximum total sentence of not more than five years in prison, a fine of $250,000 or both. As to Count Two, the law provides for a maximum total sentence of not more than 10 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorneys Cindy K. Chung and Yvonne M. Saadi are prosecuting this case on behalf of the government.
Homeland Security Investigations and the United States Citizenship and Immigration Services conducted the investigation leading to the Second Superseding Indictment in this case.
A superseding indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Hot Springs Man Sentenced to 30 Years in Federal Prison for Drug Trafficking ConspiracyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Hot Springs, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance was sentenced on October 25, 2021, by U.S. District Court Judge Jeffrey L. Viken.
Nathan Bellew, age 40, was sentenced to 30 years in federal prison, followed by five years of supervised release, a $100 special assessment to the Federal Crime Victims Fund, and $60 in restitution.
Bellew was indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on July 23, 2020. He pleaded guilty on May 28, 2021. During his involvement in the conspiracy, the defendant brought methamphetamine into the state through arrangements made by him with suppliers in other states. Upon arrival in South Dakota, the defendant further dispersed the drugs to others for use and distribution in the Rapid City area.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota National Guard, and the South Dakota Highway Patrol. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Bellew was immediately turned over to the custody of the U.S. Marshals Service.
Horse Cave Man Sentenced for Stealing Firearms from EmployerRead the Press Release
BOWLING GREEN, KENTUCKY – Brandon Wayne Parker, age 41, of Horse Cave, Kentucky was sentenced today by Chief United States District Judge Greg N. Stivers to serve 82 months in federal prison and pay restitution in the amount of $99,588.40 for Theft of Firearms from a Federal Firearms Licensee, Possession of Stolen Firearms, Providing False Information on ATF Forms 4473, and Aggravated Identity Theft. There is no parole in the federal system.
“I commend the outstanding work of the ATF in this case,” stated Acting U.S. Attorney Michael A. Bennett. “Identifying, arresting, and prosecuting individuals involved in the theft of firearms is an important part of our overall strategy to combat violent crime and keep our communities safe.”
“Federally licensed firearms dealers work with ATF’s Louisville Field Division to ensure the lawful sale of guns in shops throughout Kentucky and West Virginia,” stated Special Agent in Charge, R. Shawn Morrow of the ATF Louisville Field Division. “In this case, an employee stole firearms from his employer through ongoing fraud and identity theft. ATF is committed to the safety of our communities by investigating and arresting those who obtain firearms through illegal means.”
According to court documents, Parker was employed by Master Pawn of Horse Cave, a federally licensed firearms dealer, located in Horse Cave, Kentucky. In his plea agreement, Parker admitted that he stole approximately 335 firearms from Master Pawn between November 2016 and August 22, 2018. Parker also admitted that he provided false information on ATF Forms 4473 by entering identification information of legitimate purchasers, without their knowledge, to fraudulently obtain and steal the firearms. An ATF Form 4473 is required to be filled out to purchase a firearm from a federally licensed firearms dealer.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) investigated the case.
Assistant U.S. Attorney Joshua Judd prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Harrisburg Man Sentenced to 156 Months’ Imprisonment for Drug TraffickingRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Joe Willie Williams, Jr., age 42, formerly of Harrisburg, Pennsylvania, was sentenced on October 29, 2021, to 156 months’ imprisonment by United States District Court Judge Christopher C. Conner for possession with intent to distribute 500 grams and more of cocaine hydrochloride and 28 grams and more of cocaine base.
According to Acting United States Attorney Bruce D. Brandler, a joint investigation by DEA and the Dauphin County Drug Taskforce revealed that Williams was trafficking cocaine in the Harrisburg area. During a vehicle stop police seized 127 grams of cocaine concealed in the vehicle Williams was driving. After obtaining a search warrant, a search of Williams’ residence on March 10, 2020 was conducted. During the search, law enforcement determined the residence to be a “stash house.” Officers located 224 grams of cocaine base (crack) packaged for sale, over four kilograms of cocaine hydrochloride (powder), a digital scale, a large quantity of United States currency, a money counter, drug packaging, cutting agents, and cookware containing cocaine residue, among other items indicative of drug trafficking.
Williams was previously convicted in 2006 before the Middle District of Pennsylvania District Court and was sentenced to 190 months’ imprisonment for his conviction of distribution and possession with intent to distribute cocaine base.
The case was investigated by the Drug Enforcement Administration and the Dauphin County Drug Task Force. Assistant U.S. Attorney Daryl Bloom prosecuted the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders 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.
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Guatemalan National Indicted on Illegal Reentry ChargeRead the Press Release
PITTSBURGH - One Guatemalan national has been indicted by a federal grand jury in Pittsburgh on a charge of Reentering the United States, Acting United States Attorney Stephen R. Kaufman announced today.
The one-count Indictment named Sergio Ramirez-Lopez, 25, as the sole defendant.
According to a publicly filed Complaint, on May 15, 2021, Mr. Ramirez-Lopez was found in the Allegheny County Jail after he was arrested by the Pittsburgh Bureau of Police. Mr. Ramirez-Lopez has been removed from this country on several previous occasions.
The law provides for a maximum total sentence of not more than three years in prison, a fine, or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brian W. Castello is prosecuting this case on behalf of the government.
U.S. Immigration and Customs Enforcement conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Greer Man Pleads Guilty to Wire Fraud and Money Laundering Involving Just Under $2 Million in Coronavirus FundsRead the Press Release
Greenville, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that Jeffrey Gossett, 47, of Greer, has pleaded guilty to felony counts of wire fraud and money laundering stemming from the theft of nearly $2 million in funds related to the Coronavirus, specifically Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL).
“Taking money meant for those in need is reprehensible, especially during a pandemic,” said Acting U.S. Attorney DeHart. “With the help of our federal and local partners, this office will continue to investigate and prosecute those who seek to turn the misfortune of others into illegal gains for themselves.”
“While many small businesses were struggling to make ends meet at the height of the COVID-19 pandemic, Gossett submitted fraudulent claims for his personal benefit," said Susan Ferensic, Special Agent in Charge of the Federal Bureau of Investigation (FBI) Columbia field office. “The FBI and its federal partners will continue to pursue those who take advantage of programs meant to help small businesses during difficult times.”
“Making false statements to fraudulently gain access to SBA program funds is unacceptable,” said Amaleka McCall-Brathwaite, Small Business Administration (SBA) Office of Inspector General’s (OIG’s) Eastern Region Special Agent in Charge. “SBA OIG will relentlessly pursue evidence of fraud against SBA’s programs aimed at assisting the nation’s small businesses struggling with the pandemic challenges. I want to thank the U.S. Attorney’s Office for its leadership and dedication to pursuing justice.”
Evidence presented to the Court showed that, from March 2020 and continuing until August 2020, Gossett devised a scheme to defraud and obtain money and property by false and fraudulent pretenses. Specifically, Gossett submitted false PPP loan and EIDL applications issued as a result of the Coronavirus Aid, Relief, and Economic Security (CARES) Act. During the course of the scheme, Gossett fraudulently obtained $1,870,549.00 of PPP and EIDL assistance.
For the most serious charge, Gossett faces a maximum penalty of 20 years in federal prison, a fine of $250,000, 3 years of supervision to follow the term of imprisonment, and restitution. United States District Judge Timothy M. Cain accepted the guilty plea and will sentence Gossett after receiving and reviewing a sentencing report prepared by the United States Probation Office.
The case was investigated by the FBI, SBA OIG, and the Internal Revenue Service. Assistant United States Attorney Winston Marosek is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Georgia Man Pleads Guilty to Fraudulently Obtaining over $170,000 in Unemployment Insurance BenefitsRead the Press Release
LAS VEGAS, Nev. – A Lawrenceville, Georgia, man pleaded guilty today to fraudulently obtaining over $170,000 in unemployment benefits by submitting multiple unemployment claims in other people’s names and using benefits debit cards not belonging to him.
According to court documents and admissions made in court, on September 11, 2020, Robert Devon Barber (25) and co-conspirator Keheir Jordan Parker (25, of Victorville, Calif.) were stopped in Las Vegas for a traffic violation. During the traffic stop, law enforcement officers recovered 12 California Employment Development Department (EDD) unemployment insurance benefits debit cards issued in other peoples’ names, along with ATM receipts showing that the debit cards had been used to make cash withdrawals totaling $7,400 in Nevada and California.
At least $249,460 in unemployment benefits was approved for the claims associated with the 12 recovered EDD cards. Approximately, $170,715.78 was withdrawn from accounts associated with those 12 cards, including $148,400 in ATM cash withdrawals and $22,315.78 in purchases.
Barber pleaded guilty to one count of conspiracy to effectuate illegal transactions with access devices. He faces a statutory maximum penalty of seven and a half years in prison and a $250,000 fine. U.S. District Judge Richard F. Boulware II scheduled sentencing for February 1, 2022.
Co-defendant Parker pleaded guilty in June 2021, and he is awaiting sentencing.
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 Inspector General (DOL-OIG), Los Angeles Region made the announcement.
This case was investigated by DOL-OIG. Assistant U.S. Attorney Jim Fang is prosecuting the case.
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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Garland Man Sentence to 13 Years for ‘Mystery Shopper’ Mail FraudRead the Press Release
A Garland man has been sentenced to 13 years in federal prison for his role in a so-called “mystery shopper” mail fraud, announced Acting U.S. Attorney for the Northern District of Texas Chad E. Meacham.
John Lewis Davis, II, 45, of Garland, pleaded guilty in April to one count of conspiracy to commit mail fraud and two counts of mail fraud. He was sentenced Monday by U.S. District Judge Sam A. Lindsay.
According to court documents, between August 2014 and January 2018, the defendant conspired with others to send counterfeit U.S. Postal money orders and checks to unwitting individuals, who would then cash the money orders at banks and other financial institutions and send a portion of the money back to the defendant and his co-conspirators.
As part of the fraud, the defendant and his co-conspirators caused two packages from Nigeria to be sent to the defendant. Both packages were intercepted by law enforcement prior to reaching the recipients. Upon opening the packages, law enforcement found approximately 3,400 counterfeit money orders between the two parcels.
Trial Attorney Matthew P. Mattis of the Justice Department’s Organized Crime and Gang Section and Assistant U.S. Attorneys Nick Bunch (fmr.) and Katherine Miller of the Northern District of Texas prosecuted the case.
Gangster Disciples Enforcer and Hitman Convicted of RICO Murder, Killing Witness, and Other Violent CrimesRead the Press Release
A federal jury convicted a Tennessee man today on Racketeer Influenced and Corrupt Organizations Act (RICO) charges, including murder in aid of racketeering activity, stemming from his participation in a violent, criminal racketeering enterprise known as the Gangster Disciples.
Brandon Durell Hardison, aka Creep, and aka Creeper da Reeper, 35, of Nashville, was convicted of RICO conspiracy, murder in aid of racketeering, causing death through the use of a firearm, murder of a witness to prevent communication to a law enforcement official regarding a federal offense, and assault resulting in serious bodily injury in aid of racketeering.
“Local, state, and federal law enforcement partners worked for nearly a decade with federal prosecutors to build this case against the Gangster Disciples, and this defendant in particular,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Today’s successful outcome is a testament to the hard work of our partners, and the dedication they have to the safety of our communities.”
“Today’s verdict marks the end of a decade of violence and lawlessness inflicted upon our communities by ruthless gang members,” said Acting U.S. Attorney Mary Jane Stewart for the Middle District of Tennessee. “This investigation resulted in federal charges against 32 gang members and associates, including 12 in this RICO indictment. No longer will they be in a position to bring such violent and destructive behavior upon our communities. We look forward to the sentencing phase of this case so that we can be assured that Mr. Hardison never has the opportunity to commit another crime. I commend our law enforcement partners and prosecution team for staying the course and bringing justice on behalf of our citizens.”
“This conviction removed one of Clarksville’s most violent criminals from the streets,” said Special Agent in Charge Mickey French of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Nashville Field Division. “Though we were able to disrupt the activities of this violent organization, our work is not done. In order to keep our communities safe, ATF and our law enforcement partners remain committed to pursuing these violent gangs that engage in dangerous and illegal activities.”
Hardison is last of 12 defendants indicted by a grand jury in this investigation against the Gangster Disciples. Five defendants, all Gangster Disciples’ members, were previously convicted after trial in April 2019, of RICO conspiracy, drug trafficking, and other offenses:
- Maurice Duncan Burks, aka Reesy, 35, of Hopkinsville, Ky.
- Marcus Termaine Darden, aka MD and aka Tuff, 43, of Guthrie, Ky.
- Derrick Lamar Kilgore, aka Smut, 37, of Clarksville, Tenn.
- DeCarlos Titington, aka Los, 46, of Clarksville, Tenn.
- Elance Justin Lucas, aka Mac Luke, 32, of Clarksville, Tenn.
The other indicted defendants previously pleaded guilty to related offenses:
Xavier Raphael Jenkins, aka Xa, 33, of Clarksville, Tenn.; assault resulting in serious bodily injury in aid or racketeering;
Lamar Andre Warfield, aka Jug, 32, of Guthrie, Ky.; RICO conspiracy, conspiracy to possess with intent to distribute controlled substances, conspiracy to commit and attempted murder in aid of racketeering, assault with a dangerous weapon and causing serious bodily injury in aid of racketeering, and use, carry, possession of a firearm during a crime of violence and causing death through the use of a firearm;
Lawrence Mitchell, aka Chop, 37, of Clarksville, Tenn.; RICO conspiracy, conspiracy to possess with intent to distribute controlled substances, conspiracy to commit and attempted murder in aid of racketeering, assault with a dangerous weapon and causing serious bodily injury in aid of racketeering, and use, carry, and possession of a firearm during a crime of violence;
Rex Andrew Whitlock, aka Stackhouse, 36, of Clarksville, Tenn.; RICO conspiracy, conspiracy to distribute controlled substances, and causing death through the use of a firearm;
Lorenzo Cortez Brown, aka Zo, 35, of Murfreesboro, Tenn.; RICO conspiracy, conspiracy to possess with the intent to distribute controlled substances, distribution of controlled substances within 1000 feet of a school;
James Anderson Luke, aka New York, 34, of Clarksville, Tenn.; RICO conspiracy and conspiracy to possess with the intent to distribute controlled substances.
According to court documents and evidence presented at the three-week trial, Hardison conspired to participate in the affairs of the Gangster Disciples, a violent criminal gang founded in Chicago and now active in numerous states across the United States, including Tennessee. The Gangster Disciples are a highly organized enterprise, operating under the national leadership of a corporate board-style group that was responsible for gang decisions at a national level, and the state and regional leadership of “governors” and other subordinate gang members, who were responsible for the gang’s activities in specific geographic regions.
Operating from a set called the “Clarksville deck,” Hardison committed various crimes on behalf of the gang, including shootings, attempted murders, and murders.
Evidence presented at trial showed that on Jan. 6, 2012, Hardison murdered a Gangster Disciples’ associate for failing to repay a drug debt. He then shot and killed the associate’s girlfriend, who was a witness to the murder, to prevent her from talking to law enforcement. Hardison enlisted other Gangster Disciples members to dispose of the murder weapon. Following these murders, Hardison was rewarded by being appointed to various positions in the Gangster Disciples, including regional chief enforcer and a member of their notorious hitman group called the “Blackout Squad.”
Hardison and several co-conspirators plotted on several occasions to assault members of a rival gang. On Sept. 26, 2012, Hardison participated in a shooting of an occupied residence belonging to a member of the Bloods gang in Clarksville, Tennessee. Additionally, on Nov. 3, 2012, Hardison and others shot and killed a member of the Bloods gang inside a nightclub in Clarksville, Tennessee.
In addition to Hardison’s crimes, evidence was presented that other Gangster Disciples members engaged in drug trafficking, intimidated witnesses to prevent them from cooperating with law enforcement, protected the gang’s drug territory, financed the enterprise, and violently enforced gang rules.
At sentencing, Hardison faces a mandatory minimum of life in prison for murder in aid of racketeering, a maximum sentence of life in prison for the offenses of racketeering conspiracy, causing death through the use of a firearm, and killing a witness to prevent communication to a law enforcement; He faces 20 years’ incarceration for the assault causing serious bodily injury in aid of racketeering offense.
The ATF; Tennessee Bureau of Investigation, Metropolitan Nashville Police Department; Montgomery County Sheriff’s Office; and Clarksville Police Department investigated the case.
Trial Attorney Gerald A. A. Collins of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Benjamin Schrader of the U.S. Attorney’s Office for the Middle District of Tennessee prosecuted the case.
Gangster Disciples Enforcer and Hitman Convicted of RICO Murder, Killing Witness, and Other Violent CrimesRead the Press Release
NASHVILLE – Following a two-week jury trial in U.S. District Court, a federal jury today convicted Brandon Durell Hardison, aka Creep, aka Creeper da Reeper, a member of the Gangster Disciples, of multiple counts relating to a racketeering conspiracy which plagued the Clarksville, Tennessee area with violence and murders for more than a decade.
Hardison, 35, of Nashville, Tennessee, was convicted of Racketeer Influenced and Corrupt Organizations Act (RICO) conspiracy, murder in aid of racketeering, causing death through the use of a firearm, killing to prevent a witness communication to a law enforcement official regarding a federal offense, and assault resulting in serious bodily injury in aid of racketeering.
“Today’s verdict marks the end of a decade of violence and lawlessness inflicted upon our communities by ruthless gang members,” said Acting U.S. Attorney Mary Jane Stewart for the Middle District of Tennessee. “This investigation resulted in federal charges against 32 gang members and associates, including 12 in this RICO indictment. No longer will they be in a position to bring such violent and destructive behavior upon our communities. We look forward to the sentencing phase of this case so that we can be assured that Mr. Hardison never has the opportunity to commit another crime. I commend our law enforcement partners and prosecution team for staying the course and bringing justice on behalf of our citizens.”
“This case illustrates the value of federal prosecution, where we have the ability to use legal tools such as the RICO statute to go after gangs destroying communities through violent crimes and drug trafficking.” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “Local, state, and federal law enforcement partners worked for nearly a decade with federal prosecutors to build this case against the Gangster Disciples, and this defendant in particular. Today’s successful outcome is a testament to the hard work of our partners, and the dedication they have to the safety of our communities.”
“This conviction removed one of Clarksville’s most violent criminals from the streets,” said Special Agent in Charge Mickey French of the ATF. “Though we were able to disrupt the activities of this violent organization, our work is not done. In order to keep our communities safe, ATF and our law enforcement partners remain committed to pursuing these violent gangs that engage in dangerous and illegal activities.”
Hardison is the last to proceed to trial of 12 defendants indicted by a grand jury in this investigation against the Gangster Disciples. Five defendants, all Gangster Disciples members, were previously convicted after trial in April 2019, of RICO conspiracy, drug trafficking, and other offenses. They are:
Maurice Duncan Burks, aka Reesy, 35, of Hopkinsville, Kentucky;
Marcus Termaine Darden, aka MD aka Tuff, 43, of Guthrie, Kentucky;
Derrick Lamar Kilgore, aka Smut, 37, of Clarksville, Tenn.;
DeCarlos Titington, aka Los, 46, of Clarksville, Tenn.; and
Elance Justin Lucas, aka Mac Luke, 32, of Clarksville, Tenn.
The other defendants previously pleaded guilty to related offenses, including:
Xavier Raphael Jenkins, aka Xa, 33, of Clarksville, Tenn.; (assault resulting in serious bodily injury in aid of racketeering);
Lamar Andre Warfield, aka Jug, 32, of Guthrie, Kentucky; (RICO conspiracy, conspiracy to distribute and possess with intent to distribute controlled substances, conspiracy to commit and attempted murder in aid of racketeering, assault with a dangerous weapon and causing serious bodily injury in aid of racketeering, and use, carry, possession of a firearm during a crime of violence and causing death through the use of a firearm);
Lawrence Mitchell, aka Chop, 37, of Clarksville, Tenn.; (RICO conspiracy, conspiracy to distribute and possess with intent to distribute controlled substances, conspiracy to commit and attempted murder in aid of racketeering, assault with a dangerous weapon and causing serious bodily injury in aid of racketeering, and use, carry, possession of a firearm during a crime of violence);
Rex Andrew Whitlock, aka Stackhouse, 36, of Clarksville, Tenn.; (RICO conspiracy, conspiracy to distribute controlled substances, and causing death through the use of a firearm);
Lorenzo Cortez Brown, aka Zo, 35, of Murfreesboro, Tenn.; (RICO conspiracy, conspiracy to distribute and possess with the intent to distribute controlled substances, distribution and possession with intent to distribute controlled substances within 1000 feet of a school); and
James Anderson Luke, aka New York, 34, of Clarksville, Tenn. (RICO conspiracy and conspiracy to distribute and possess with the intent to distribute controlled substances).
All have either been sentenced or are facing lengthy prison terms when sentenced.
According to court documents and evidence presented at trial, Hardison conspired to participate in the affairs of the Gangster Disciples, a violent criminal gang founded in Chicago and now active in numerous states across the United States, including Tennessee. Referred to as the “Brothers of the Struggle,” the Gangster Disciples are a highly organized enterprise, operating under the leadership of a corporate board-style group, that was responsible for gang decisions at a national level, and the state and regional leadership of “governors” and other subordinate gang members, who were responsible for the gang’s activities in specific geographic regions.
Operating from a set called the “Clarksville deck,” Hardison committed numerous crimes on behalf of the gang, including shootings, attempted murders, and murders.
Evidence presented at trial showed that on January 6, 2012, Hardison murdered a Gangster Disciples associate for failing to repay a drug debt. He then shot and killed the associate’s girlfriend, who was a witness to the murder, to prevent her from talking to law enforcement. Hardison enlisted other Gangster Disciples members to dispose of the murder weapon. Following these murders, Hardison increased his status in the Gangster Disciples by being appointed to various positions of authority, including as their regional chief enforcer and a member of their notorious hitman group called the “Blackout Squad.”
Hardison and his co-conspirators planned and carried out shootings and assaults targeting members of the rival Bloods gang. For example, on September 26, 2012, Hardison participated in a shooting of an occupied residence belonging to a member of the Bloods gang in Clarksville. Additionally, on November 3, 2012, Hardison and others assaulted, and co-conspirator Burks shot and killed, a member of the Bloods gang inside a nightclub in Clarksville.
In addition to Hardison’s crimes, evidence was presented that other Gangster Disciples members engaged in drug trafficking, intimidated witnesses to prevent them from cooperating with law enforcement, protected the gang’s drug territory, financed the enterprise, and violently enforced gang rules.
Hardison faces a maximum sentence of life in prison for the offenses of racketeering conspiracy, causing death through the use of a firearm, and killing to prevent a witness communication to a law enforcement official regarding a federal offense. He faces a mandatory minimum of life in prison for murder in aid of racketeering, and an additional 20 years’ incarceration for the assault causing serious bodily injury in aid of racketeering offense.
Sentencing for Hardison will be scheduled at a later date.
The Bureau of Alcohol, Tobacco, Firearms and Explosives; the Tennessee Bureau of Investigation; the Metropolitan Nashville Police Department; the Montgomery County Sheriff’s Office; the Clarksville Police Department; the Rutherford County Sheriff’s Office; the Murfreesboro Police Department; the Gallatin Police Department; the Kentucky State Police; the 19th Judicial District Drug Task Force; and the Hopkinsville, Kentucky Police Department participated in this decade-long investigation.
Assistant U.S. Attorney Ben Schrader of the Middle District of Tennessee and Trial Attorney Gerald A. A. Collins of the Criminal Division’s Organized Crime and Gang Section prosecuted the case.
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Former Teacher Sentenced to 10 Years for Child Pornography OffenseRead the Press Release
Paducah, KY – A former Lyon County Middle School teacher was sentenced yesterday to 10 years in prison, followed by 10 years of supervised release, for attempting to possess child pornography, announced Michael A. Bennett, Acting United States Attorney for the Western District of Kentucky. There is no parole in the federal system.
According to court documents, Michael Derek McCuiston, 36, of Murray, Kentucky, surreptitiously recorded bathroom video of two children, both of whom had not attained the age of 18. In April 2019, after receiving information about this crime, officers served a search warrant at McCuiston’s home. McCuiston was arrested and later admitted that he placed a hidden camera in an attempt to capture child pornography.
“Parents deserve to know that teachers will act in the best interest of their children and provide them with a safe and secure learning environment,” stated Acting U.S. Attorney Bennett. “The defendant forfeited forever the special trust and confidence placed in him as an educator and will now spend the next ten years in a federal prison. I commend the FBI’s Louisville Field Office, Kentucky State Police, and the prosecutors assigned to the case for their work in identifying and removing this threat from our community.”
“The secret recording of children in a bathroom, in an attempt to capture child pornography, is a horrendous crime - made worse because of the defendant’s position of trust as a teacher and a coach,” said Special Agent in Charge Jodi Cohen of the FBI Louisville Field Office. “Today’s sentence does not erase the defendant’s deplorable actions, but it is a stern punishment that will help to protect some of society’s most vulnerable victims and show our commitment to holding sexual predators accountable.”
The Federal Bureau of Investigation and Kentucky State Police investigated the case.
Assistant U.S. Attorneys Madison Sewell and Raymond McGee prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
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Former Police Chief Sentenced to Ten Additional Years for Possessing Child Pornography Before Reporting to Federal Prison for Prior OffenseRead the Press Release
Richard G. Frohling, Acting United States Attorney for the Eastern District of Wisconsin, announced that on November 2, 2021, Alexander P. Bebris (age: 52) of Denmark, Wisconsin, was sentenced to an additional ten years in federal prison for possessing child pornography.
According to court records, Bebris was convicted less than one year ago in the same federal court on a charge of distributing child pornography. He received a sentence of five years’ imprisonment in that case, but he was allowed to remain free pending the resolution of his appeal. On August 8, 2021, an appellate court upheld Bebris’ conviction, and he was ordered to report to federal prison. Three days before Bebris was to report to prison, law enforcement executed a search warrant at Bebris’ residence and recovered a substantial amount of recently-downloaded child pornography, including depictions of children as young as three years of age.
Bebris subsequently was indicted for possession of child pornography and entered a guilty plea. According to court records, prior to his arrest in his first case, Bebris spent his career in law enforcement, most recently as Public Safety Chief in Oakwood, Ohio.
At sentencing for his second offense, Senior United States District Judge William C. Griesbach called Bebris’ actions “outrageous and highly offensive.” Judge Griesbach further stated that Bebris’ willingness to commit almost the exact same crime while on release indicated a “strong need for deterrence and punishment.” Judge Griesbach ordered that the 10-year sentence run consecutively to the previously imposed, 5-year sentence. Following his release from prison, Bebris will spend 10 years on supervised release. He also will be required to register as a sexual offender.
This case was investigated by the Calumet County Sheriff’s Office with the assistance of the Brown County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
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For further information contact:
Public Information Officer Kenneth Gales
(414) 297-1700
Former Office Manager Sentenced for Swindling Broken Arrow Business of $2.7 MillionRead the Press Release
A former office manager who embezzled more the $2.7 million from her former employer, all after facing unrelated charges in Tulsa County for similar crimes, was sentenced in federal court, announced Acting U.S. Attorney Clint Johnson.
U.S. District Judge Claire V. Eagan sentenced Melissa Raye Dihel, 50, of Okmulgee, to 46 months in federal prison followed by three years of supervised release. She was further ordered to pay $2,722,332.63 in restitution to her former employer and $775,971 in restitution to the IRS.
Dihel began stealing from her employer less than two years after pleading guilty to embezzling from another business, for which she received a deferred sentence on Dec. 16, 2009, in Tulsa County District Court.
“Melissa Dihel violated the trust of small business owners and robbed them for years,” said Acting U.S. Attorney Clint Johnson. “Dihel’s string of lies, criminal acts, and excuses have finally caught up with her, resulting in almost four years of prison. The U.S. Attorney’s Office and our law enforcement partners will hold white collar criminals responsible for the financial harm they cause to local businesses.”
“Ms. Dihel’s shameless actions to embezzle money, for a second time, from her employer shows her lack of remorse for her crimes and complete disregard for her employer and taxpayers in general. This sentencing shows that the cooperation between our law enforcement partners continues to catch these criminals and hold them accountable for their actions,” said Special Agent in Charge Christopher J. Altemus Jr., Dallas Field Office.
Dihel pleaded guilty to mail fraud and tax evasion on July 21, 2021, after she brazenly embezzled more than $2.7 million from her employer from 2011 until May 2019. Dihel took advantage of her trusted position as an office manager at the business and forged the president’s signature on approximately 334 checks for her own benefit and to the detriment of the company. She made some checks payable to herself, some to her boyfriend and a family member, and some to personal credit card companies to pay her monthly credit card bills. Her boyfriend and family member were unaware of her scheme. Dihel further manipulated accounting entries in her employer’s books and records to cover her tracks. Dihel stated in her plea agreement that she spent most of the money on gambling.
Additionally, Dihel did not report the illegal income to the IRS. Specifically, she stated that she did not report $820,148 in illegal income for tax year 2018 and that she failed to pay taxes in the amount of $279,273 for that year.
Dihel will self-surrender to a U.S. Bureau of Prisons facility on Dec. 15, 2021.
IRS-Criminal Investigation and the Broken Arrow Police Department conducted the investigation. Assistant U.S. Attorneys David D. Whipple and Kevin C. Leitch prosecuted the case.
Former Newark Police Officer Sentenced to 46 Months in Prison for Bribery and Assisting in Preparing False Federal Tax ReturnRead the Press Release
NEWARK, N.J. – A former Newark police officer was sentenced today to 46 months in prison for soliciting and accepting cash payments from a brothel owner in Newark in exchange for protecting brothels from police action, and for failing to report those cash payments on his personal federal income tax returns, Acting U.S. Attorney Rachael A. Honig announced.
Julio I. Rivera, 52, of Old Bridge, New Jersey, previously pleaded guilty before U.S. District Judge Madeline Cox Arleo to two counts of an indictment charging him with bribery (Count Six) and aiding and assisting in the preparation of a false 2015 personal federal tax return (Count 13). Judge Arleo imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From September 2014 to August 2015, Rivera solicited and accepted cash payments from a Newark brothel owner (“Individual 1”) who ran brothels located on Lafayette Street and Emmet Street. In exchange for these cash bribes, Rivera performed official acts and violated his lawful duties for the benefit of Individual 1, including declining to arrest individuals who were committing and promoting prostitution, agreeing to protect these individuals from arrest by other Newark police officers, and agreeing to take adverse action against a competing brothel. Rivera collected between $40,000 and $95,000 in bribes in exchange for protecting those and other brothels in Newark.
Rivera also intentionally withheld information from his tax preparer regarding the cash bribes that he received, which caused Rivera’s filed federal tax returns for certain tax years, including 2015, to understate the total amount of income that Rivera received. Rivera stipulated that this misconduct resulted in a loss to the IRS of $15,000 to $40,000.
In addition to the prison term, Judge Arleo sentenced Rivera to three years of supervised release, 1,000 hours of community service and ordered restitution of $17,408 and forfeiture of $79,941.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Cari Fais of U.S. Attorney’s Office in Newark.
Former Maui Police Officer Receives 30 Months in Prison for Soliciting Sexual Relationship for Official ActsRead the Press Release
HONOLULU – United States District Judge Leslie E. Kobayashi today sentenced Brandon Charles Saffeels, 36, a resident of Maui and former Maui Police Department (MPD) officer, to 30 months in prison for public corruption in the form of honest services wire fraud. The indictment to which Saffeels pled guilty in May 2021 alleges that he engaged in a bribery scheme wherein he solicited a sexual relationship with a female motorist in exchange for an official act as an MPD officer.
According to court documents and information provided in court, in July 2019, then-MPD Officer Saffeels arrested a woman ("Individual A") for operating a motor vehicle while under the influence of an intoxicant, and, after she was released from custody, Saffeels began communicating with Individual A over the phone and through text messages. Among other things, Saffeels told Individual A that he would help her to beat the state case being brought against her by the Prosecuting Attorney for the County of Maui. Saffeels explained that he would provide perjured testimony at her trial so that the court would throw it out or the jury would find in her favor. However, Saffeels told Individual A that she would have to meet in person for him to help her. At one point during the course of their communications, he invited her to come to his house and told her to bring clothes.
Acting U.S. Attorney for the District of Hawaii Judith A. Philips said: "Brandon Saffeels betrayed our expectation that law enforcement officers will not take advantage of their authority for personal benefit. This prosecution demonstrates our determination to hold public officials accountable for criminal abuse of their positions."
FBI Special Agent in Charge Steven Merrill said: "The cornerstone of the public’s trust in law enforcement relies on the expectation that each person who takes the oath to protect and serve the public will do so with integrity. Today, former Officer Saffeels was sentenced for violating that trust. I’m proud of our team who worked collaboratively after becoming aware of concerns regarding the former officer’s conduct. They exemplify our commitment to ensure all public servants are worthy of the public’s trust and confidence."
The FBI conducted the investigation resulting in this conviction. Assistant U.S. Attorney Mohammad Khatib is handling the prosecution.
Former Mail Carrier Pleads Guilty to Stealing MailRead the Press Release
Jacksonville, FL – James Sweat (60, Jacksonville) has pleaded guilty to stealing an item from the mail while employed by the United States Postal Service (USPS). Sweat faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.
According to the
court documents , Sweat worked as a Rural Carrier Associate in the Baldwin Station in Jacksonville. The Station Manager suspected that Sweat might be stealing cash and gift cards from the mail and notified the USPS - Office of Inspector General to investigate. On June 4, 2021, agents caught Sweat stealing $60 from a greeting card. Sweat admitted that he had been stealing cash from the mail for about a month and estimated that he had opened approximately 100 items of mail and stolen approximately $1,000.This case was investigated by the United States Postal Service - Office of Inspector General. It is being prosecuted by Assistant United States Attorney Frank Talbot.
Former Local Union Vice President Pleads Guilty to Operating Overtime Kickback Scheme in the Allentown Post OfficeRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Joseph Whitbeck, 56, of Tamaqua, PA, pleaded guilty to multiple fraud charges before United States District Court Judge Edward G. Smith stemming from his operation of a scheme to defraud fellow union members out of rightfully earned overtime compensation.
In April 2021, the defendant was charged by Indictment with wire fraud and honest services wire fraud. According to the Indictment, while serving as the Vice President for the Local 274 branch of the National Association of Letter Carriers in the Lehigh Valley area, Whitbeck operated a kickback scheme involving certain letter carriers at the Allentown Post Office. As the Vice President, the defendant filed numerous grievances on behalf of groups of letter carriers, claiming that U.S. Postal Service managers violated overtime rules. The Indictment charges that Whitbeck then settled these class-action grievances for total lump sums, without designating the specific individuals to whom overtime grievance payments were owed, so that he could select the payees at a later time. Meanwhile, Whitbeck offered to secure extra overtime grievance payouts for some letter carriers who agreed to kick back a portion directly to him, generally in cash. This kickback scheme prevented non-participating letter carriers from receiving overtime grievance funds to which they were entitled. The Indictment also alleges that the defendant often made false and misleading statements to convince letter carriers to participate in his scheme; for example, the defendant frequently told letter carriers that he would use the kick-backed funds to assist other letter carriers who were out of work.
The defendant’s covert kickback scheme lasted more than a decade and was uncovered only when a concerned letter carrier raised the issue at a union Executive Board meeting in March 2018.
“Union representatives are supposed to act in the best interest of their members, not swindle them out of rightfully earned pay or urge them to participate in fraud,” said Acting U.S. Attorney Williams. “As Vice President of the local branch of Letter Carriers, this defendant had a duty to advocate on behalf of all members in the Allentown Post Office in connection with the equitable distribution of overtime grievance settlements. Whitbeck abused his position and for that he will now face the consequences in federal court.”
“Corruption of postal employees is a significant vulnerability and a serious breach of public trust,” said Imari L. Niles, USPS OIG Special Agent in Charge, Mid-Atlantic Area Field Office. "With the coordinated efforts of the USPS OIG and our law enforcement partners, special agents will continue their vigilant watch against anyone receiving kickbacks involving US Postal Service employees.”
“Joseph Whitbeck, former Vice President of the National Association of Letter Carriers Branch 274, engaged in a kickback scheme involving the solicitation of cash payments from letter carriers for whom he assisted in obtaining sizeable monetary grievance settlements against the United States Postal Service. We will continue to work with our law enforcement partners and the U.S. Department of Labor’s Office of Labor- Management and Standards to investigate those who exploit fellow union members and their benefits,” said Syreeta Scott, Special Agent-in-Charge, Philadelphia Region, U.S. Department of Labor Office of Inspector General.
The case was investigated by the U.S. Postal Service – Office of Inspector General, the U.S. Department of Labor – Office of Inspector General, and the U.S. Department of Labor – Office of Labor-Management Standards, and is being prosecuted by Assistant United States Attorney Patrick J. Murray
Former Employee of Veterans Affairs Medical Center Admits Stealing HIV MedicationRead the Press Release
NEWARK, N.J. – A former pharmacy procurement technician today admitted stealing prescription HIV medications from the pharmacy of the Veterans Affairs Medical Center (VAMC) in East Orange, New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
Lisa M. Hoffman, 49, of Orange, New Jersey, pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to Count 2 of an indictment charging her with theft of government property.
According to documents filed in this case and statements made in court:
From October 2015 through November 2019, Hoffman was a procurement officer at the VAMC, who used her authority to order medication for the outpatient pharmacy, including ordering large quantities of HIV medication. Hoffman admitted that she stole HIV prescription medications from the VAMC pharmacy and sold it to her conspirator, Wagner Checonolasco, 34, of Lyndhurst, New Jersey, in exchange for cash. Checonolasco previously admitted to conspiring with Hoffman to steal HIV medication belonging to the U.S. Department of Veterans Affairs. Hoffman and Checonolasco stole approximately $10 million worth of HIV medications belonging to the VAMC during the scheme.
The theft of government property charge is punishable by a maximum penalty of 10 years in prison and a fine of $250,000, or twice the gross gain or loss from the offense, whichever is greatest. Sentencing is scheduled for March 9, 2022.
Checonolasco previously pleaded guilty to one count of conspiracy to steal government property and is scheduled to be sentenced on Dec. 15, 2021.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and the U.S. Department of Veterans Affairs Office of Inspector General, Northeast Field Office, under the direction of Special Agent in Charge Christopher F. Algieri, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Nicole F. Mastropieri of the Health Care Fraud Unit in Newark.
Federal Penitentiary Prisoner Sentenced for Killing Fellow InmateRead the Press Release
ALEXANDRIA, La. - Acting United States Attorney Alexander C. Van Hook announced that Jesus Sanchez, 37, a U.S. Bureau of Prisons inmate, was sentenced today by United States District Judge Dee D. Drell to 360 months in prison, followed by 5 years of supervised release, for second degree murder.
According to evidence presented to the court, on or about June 18, 2014, an inmate arrived at the United States Penitentiary (USP) Pollock. At approximately 7:23 p.m. on that day, cellmates Jesus Sanchez and his co-defendant, David Cortez, aided and abetted by each other, stabbed the newly arrived inmate with a knife on the recreation yard at USP Pollock.
The inmate victim had 19 stab wounds in his upper and lower back, chest, shoulders, arms, neck, and head, and later died at the hospital from injuries sustained from the stabbing. Sanchez and Cortez admitted to killing the inmate victim with malice aforethought.
Cortez previously pleaded guilty to second degree murder in connection with this incident and was sentenced to 350 months to run consecutive to the federal sentence he was already serving.
The FBI investigated the case and Assistant U.S. Attorney Mary J. Mudrick prosecuted the case.
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El Paso Man Indicted on Drug and Firearm ChargesRead the Press Release
EL PASO – Today a federal grand jury in El Paso returned an indictment charging an El Paso man with trafficking in drugs and illegal possession of firearms.
According to court documents, Daniel Lee Burmeister, 36, was arrested on October 6, 2021, after a search warrant was executed at a residence where Burmeister was staying. During the search, law enforcement officers found multiple firearms and fentanyl pills.
Burmeister is charged with one count of possession with intent to distribute fentanyl; one count of possession of an unregistered firearm; one count of possession of a firearm not identified by a serial number; one count of possession of a firearm by a convicted felon; and one count of possession of a firearm in furtherance of a drug trafficking crime. The defendant is scheduled for an arraignment next week. If convicted, Burmeister faces a mandatory minimum of five years in prison and up to a maximum penalty of 40 years in prison on the drug charge; a maximum penalty of 10 years in prison on each of the charges of unregistered firearm, firearm unidentified by serial number, and felon in possession of a firearm; and a mandatory minimum of five years in prison on possession of a firearm in furtherance of a drug trafficking crime. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
U.S. Attorney Ashley C. Hoff of the Western District of Texas; 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 FBI and ATF are investigating the case. Assistant U.S. Attorney Mallory Rasmussen is prosecuting the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders 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.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Doctor Who Distributed Unapproved Cancer Treatment Drug Convicted of More Than Two Dozen Felony ChargesRead the Press Release
SANTA ANA, California – A physician has been found guilty of 26 felony charges for fraudulently distributing an unapproved cancer treatment over a six-year period, charging up to $2,000 per bottle, the Justice Department announced today.
Benedict Liao, 81, a.k.a. “Wada Masao,” and “Masao A. Wada,” of Fullerton, was found guilty on Tuesday afternoon of seven counts of wire fraud, 11 counts of selling a misbranded drug and eight counts of selling an unapproved new drug.
According to evidence presented at his five-day trial, Liao operated the Oeyama-Moto Cancer Research Foundation, which had offices in Monterey Park and, later, in West Covina.
Using the alias "Masao A. Wada, M.D." Liao submitted to the United States Food and Drug Administration in 2011 and 2012 an Investigational New Drug (IND) application in which he stated that he planned to engage in clinical trials of a product called Allesgen, which he told FDA and stated in promotional material was intended to treat and cure many types of cancer. FDA received these applications and both times informed Liao that the IND applications for Allesgen had been placed on a full clinical hold due to deficiencies in the submissions.
The FDA required that a drug distributed under an IND application bear a label stating that it was a “New Drug – Limited by Federal…law to investigational use."
Liao told FDA that he would place a label on Allesgen with such a statement. Instead of doing so, Liao manufactured Allesgen in Fullerton and distributed the unapproved drug with a label calling Allesgen a “supplement,” not a drug, and this label stated that it “had not been evaluated by the FDA” and was not intended to treat any disease.
From July 2012 through June 2014, Liao sold and distributed Allesgen at a price generally set at $2,000 per bottle, plus shipping, to customers in various states and in foreign countries, because of which he received at least approximately $850,000 in revenue. From approximately July 2014 through January 2018, Liao continued to sell and distribute additional bottles of Allesgen to customers in various states and in foreign countries, as a result of which he received additional revenue totaling approximately $765,000.
The jury found that Liao schemed to defraud buyers of Allesgen by failing to inform them it was not an approved cancer treatment, that FDA had placed it on hold, barring any distribution of it, that he was not allowed to charge anything for it, and that it could have side effects that were unpredictable and could be serious. Several Allesgen buyers testified during the trial, described sending tens of thousands of dollars to Liao, explained that the information Liao did not disclose would have been important to know, and one said that he would not have purchased it had he been told that it was unapproved.
United States District Judge James V. Selna has scheduled a February 14, 2022 sentencing hearing, at which time Liao will face a statutory maximum sentence of 20 years in federal prison for each wire fraud count and three years’ imprisonment for each of the 19 additional counts.
The FDA investigated this matter.
Assistant United States Attorney Lawrence E. Kole of the Santa Ana Branch Office is prosecuting this case.
Denton Tax Preparer Sentenced to Federal Prison for Submitting Fraudulent ReturnsRead the Press Release
SHERMAN, Texas - A Denton County tax preparer has been sentenced to prison for federal violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.
Tendai Gurure, 46, pleaded guilty on May 28, 2021 to aiding and assisting in preparation of false and fraudulent tax returns and was sentenced to 24 months in federal prison today by U.S. District Judge Jeremy Kernodle. Gurure was additionally ordered to pay restitution in the amount of $2,928,740.10.
According to information presented in court, Gurure owned and operated TaxLinks, a tax return preparation business. An investigation revealed that Gurure was filing returns that included false Schedule C information, fictitious business losses, and false claims for Earned Income Credits. A search warrant was executed on Gurure’s business and a subsequent review of seized documents determined that Gurure was responsible for losses to the government totaling $2,928,740.10 for tax years 2015, 2016, and 2017.
“The American public places a tremendous amount of trust in the hands of tax preparers, and the IRS, in turn, trusts these preparers to abide by all laws and file accurate returns,” said Acting U.S. Attorney Nicholas Ganjei. “Fraudulent tax returns are ultimately a theft against the public fisc and a breach of the public trust, and EDTX will do its utmost to protect the integrity of both.”
This case was investigated by the Internal Revenue Service-Criminal Investigation and prosecuted by Assistant U.S. Attorney Kevin McClendon.
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Dayton psychiatric hospital and owner agree to pay $425,000 to resolve claims for unnecessary diagnostic testingRead the Press Release
DAYTON, Ohio – Access Hospital Dayton, LLC and its owner, Dr. John Johnson, have agreed to pay the United States $374,780 to resolve False Claims Act allegations that they knowingly caused the submission of false claims to Medicare and Medicaid for diagnostic testing. Access Dayton and Johnson have also agreed to pay the State of Ohio approximately $50,219 to resolve State of Ohio Medicaid claims.
The government alleged that, between January 2014 and December 2019, Access Dayton and Johnson knowingly caused the submission of false claims to Medicare and Ohio Medicaid for diagnostic laboratory testing (prolactin and ammonia) that was (1) performed during patients’ inpatient stays at Access Dayton, (2) not used in the management of the patients’ condition, and (3) not medically necessary.
Prolactin testing measures the level of prolactin in a person’s blood, which providers use to diagnose pituitary tumors or to determine causes for conditions unrelated to psychosis or substance abuse. Providers use ammonia testing to diagnose liver dysfunctions or hyperammonemia.
Medicare pays for diagnostic testing ordered by the physician who uses the results in the management of the beneficiary’s specific medical problem. Medicare and Ohio Medicaid generally prohibit separate payment for diagnostic testing performed during an inpatient admission.
“It is crucial that every public dollar available go to treat the drug-addicted and mentally ill,” Ohio Attorney General Dave Yost said. “I am proud of the work by my Health Care Fraud Section and our federal partners to claw back the money to help us continue this fight.”
False Claims Act tips and complaints about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services at 800-HHS-TIPS (800-447-8477).
The resolutions obtained in this matter were the result of a coordinated effort between the Department of Justice Civil Division’s Commercial Litigation Branch, the U.S. Attorney’s Office for the Southern District of Ohio, the Department of Health and Human Services Office of Inspector General and Ohio Attorney General Dave Yost’s Medicaid Fraud Control Unit. Trial Attorney Christopher Wilson of the Department of Justice’s Civil Division and Andrew Malek, Deputy Civil Chief of the U.S. Attorney’s Office, are representing the United States in this matter.
The claims asserted against these defendants are allegations only, and there has been no determination of liability.
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Dark Web Narcotics Trafficker Sentenced to 96 Months in Prison for Distributing Fentanyl, Heroin, Methamphetamine, Cocaine, Oxycodone and MethadoneRead the Press Release
Earlier today, at the federal courthouse in Brooklyn, Joanna De Alba was sentenced by United States District Judge Dora L. Irizarry to 96 months in prison for distributing, and possessing with intent to distribute, illegal drugs over the “dark web.” De Alba distributed an array of illegal drugs—including fentanyl, heroin, MDMA, cocaine, methamphetamine, oxycodone and methadone—over the dark web in exchange for Bitcoin and other cryptocurrency. De Alba pleaded guilty in April 2021.
Breon Peace, United States Attorney for the Eastern District of New York, and Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), announced the sentence.
“The prison sentence imposed on De Alba today demonstrates that her clandestine use of the dark web to distribute a potentially lethal array of powerful drugs like fentanyl, heroin and oxycodone in exchange for cryptocurrency was a failure,” stated United States Attorney Peace. “This investigation and vigorous prosecution show that we will not allow the dark web to be a haven for drug traffickers.”
“This sentencing demonstrates that drug traffickers are not untouchable by dealing in the dark web,” stated DEA Special Agent-in-Charge Donovan. “Attempting to hide through anonymity, De Alba became a parent’s worst nightmare by pushing fentanyl, heroin and other dangerous drugs into homes across our many communities. I applaud the Cyber Investigative Unit- New York Division and the U.S. Attorney's Office Eastern District of New York for their commendable work throughout this investigation.”
The internet contains online marketplaces for narcotics and other contraband on the “dark web,” a part of the internet located beyond the reach of traditional internet browsers and accessible only through networks designed to conceal user identities. The “Wall Street Market” was a global dark web marketplace that required its users to trade in digital currencies, primarily Bitcoin.
Between June 2018 and May 2019, De Alba advertised and sold illegal narcotics on the Wall Street Market. These narcotics included opioids—including fentanyl (concealed as oxycodone pills) and heroin—as well as other potent illegal drugs including oxycodone, cocaine, methamphetamine, ecstasy and other substances containing MDMA. De Alba took various measures to operate anonymously and conceal her identity, including using the online alias “RaptureReloaded,” using fake company names and shipping addresses, using the name of her deceased husband to receive packages from her suppliers and using credit cards in her deceased husband’s name to fund the tracking of her shipments. De Alba also directed customers to contact her through encrypted email and messaging services and pay her with cryptocurrency. De Alba offered free shipping to addresses in the United States and free tracking of all orders.
De Alba participated in over 600 transactions on the Wall Street Market in which she sold more than: 840 grams of heroin; 190 grams of methamphetamine; 1,250 pills of MDMA; and 280 pills of oxycodone. De Alba also sold more than 750 fake oxycodone pills—pills that actually contained fentanyl, but were concealed and disguised as oxycodone. De Alba received payment in the cryptocurrencies Bitcoin and Monero, and pocketed approximately 16.32 BTC and 400 XMR, which together are worth more than $1 million today.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorneys Saritha Komatireddy and Francisco J. Navarro are in charge of the prosecution.
The Defendant:
JOANNA DE ALBA (also known as “RaptureReloaded”)
Age: 40
Tijuana, MexicoE.D.N.Y. Docket No. 19-CR-563 (DLI)
Couple with Ties to the Fitness Industry Admits Distributing Unapproved DrugsRead the Press Release
PITTSBURGH, PA - Two residents of Pittsburgh, Pennsylvania, pleaded guilty in federal court to a charge of conspiring to defraud the United States, Acting United States Attorney Stephen R. Kaufman announced today.
Thomas Mouton, age 34, and Sara Mouton, age 36, pleaded guilty before United States District Judge Ranjan to conspiracy to defraud the United States and an agency thereof, specifically the Food and Drug Administration (FDA).
In connection with the guilty plea, the court was advised that from a date uncertain in 2018 and continuing thereafter until around May 2019, Thomas Mouton along with his wife, Sara Mouton, who was active in the fitness and body-building industry, conspired with each other, and with other persons known and unknown to the United States Attorney, to distribute steroids to consumers in the United States, through the internet and through personal acquaintance, including drugs or performance enhancers that counteract the side effects of steroid abuse. None of the drugs the defendants distributed were approved by the FDA, and the defendants were not permitted to distribute the drugs without the approval of the FDA. Substances distributed by the defendants were misbranded and included misleading labeling that did not include accurate drug/active ingredient names, labeling that did not contain adequate directions for use, and labeling that did not contain the name and place of business of the manufacturer, packer, or distributor. The court was advised that the defendants acted with the intent to defraud the FDA, by impeding, impairing, obstructing, and defeating the ability of the FDA to regulate the manufacturing, labeling, and distribution of drugs in the United States.
“Thomas and Sara Mouton began by distributing steroids to their associates in the fitness and body building industry, but their business ultimately expanded through word of mouth to serving a couple hundred clients,” said Acting U.S. Attorney Kaufman. “Individuals who defraud the FDA will be held accountable for their crimes.”
“The requirements that prescription drugs are labeled appropriately and approved by FDA before they are marketed help ensure the health and safety of consumers,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. "The FDA will continue to aggressively pursue those who place the public health at risk.”
Judge Ranjan scheduled sentencing for March 3, 2022. The law provides for a total sentence of not more than five years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Christopher M. Cook is prosecuting this case on behalf of the government.
The United States Postal Inspection Service, along with the Food and Drug Administration, Office of Criminal Investigations, conducted the investigation that led to the prosecution of Thomas and Sara Mouton.
Convicted Felon Sentenced for Possession of Loaded Sawed-Off ShotgunRead the Press Release
LAS VEGAS, Nev. – A convicted felon was sentenced today to three years and six months in prison for unlawfully possessing a sawed-off shotgun, which was recovered during a traffic stop in Searchlight, Nevada.
According to court documents, on October 28, 2020, a Las Vegas Metropolitan Police Department officer stopped a vehicle for traveling more than 50 miles per hour on a 25 mile per hour section of U.S. Route 95 through Searchlight. Ronald Allen Class, Jr. (31, of Las Vegas) was a backseat passenger in the vehicle.
While speaking with the driver and passengers, the officer noticed a sawed-off shotgun on the floor at Class’ feet. The officer secured the firearm — a Remington 12 gauge semi-automatic shotgun that had a cut-down barrel and was loaded with a chambered round — and took Class into custody. Class is prohibited from possessing firearms due to prior felony convictions. During the traffic stop, records checks revealed that: (a) the car had been stolen; and (b) three of the four people in the car, including Class, had outstanding arrest warrants.
Class pleaded guilty in March 2021 to one count of felon in possession of a firearm. In addition to the prison term, U.S. District Judge Gloria M. Navarro sentenced Class to three years of supervised release.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Special Agent in Charge Patrick Gorman for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) made the announcement.
This case was investigated by the ATF and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorney Dan Cowhig is prosecuting the case.
The case was brought as part of Project Safe Neighborhoods (PSN), a nationwide program by the Department of Justice that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, the Department announced the reinvigoration of PSN. For more information about PSN, visit www.justice.gov/usao-nv.
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Convicted Armed Career Criminal Sentenced to 20 Years in PrisonRead the Press Release
MACON, Ga. – A Macon resident with a lengthy criminal history, who was convicted by a federal jury this summer of multiple gun and drug distribution charges, was sentenced to prison for his crimes.
Kelvin Henry, 56, was sentenced to serve 240 months in prison to be followed by five years of supervised release by U.S. District Judge Tilman (Tripp) Self on Nov. 2. Henry was tried and convicted by a federal jury on Aug. 10 of one count of possession with intent to distribute methamphetamine, one count possession with intent to distribute heroin, one count possession with intent to distribute Tramadol, one count possession of a firearm by a convicted felon and one count possession of a firearm in furtherance of a drug-trafficking crime. There is no parole in the federal system.
“Kelvin Henry is an armed career criminal who made the choice to perpetuate violence in our community each time he picked up a gun and trafficked narcotics. He is now being held accountable for his continued criminal activities,” said Peter D. Leary, the Acting U.S. Attorney for the Middle District of Georgia. “Reducing crime and violence in Macon and across the Middle District of Georgia is an on-going, community-wide effort of highest importance. This office will do our part by bringing repeat offenders to justice.”
“This menacing poly-drug trafficker, who happens to be a career criminal, was nabbed because of the great working relationship that DEA has with its federal, state and local counterparts and the United States Attorney’s Office,” said Robert J. Murphy, the Special Agent in Charge of the DEA Atlanta Field Division. “Mr. Henry will now spend well-deserved time in prison for the crimes he committed and his apprehension makes our communities a safer place today.”
“We are grateful that a career of criminal behavior spanning over thirty years has culminated in this significant prison sentence. This sends a message that engaging in long-term malicious criminal activity has its consequences. Thanks to the investigators and prosecutors who worked tirelessly as a team to remove Kelvin Henry and his dangerous ways from our community for a long time to come,” said Bibb County Sheriff David Davis.
According to court documents and evidence presented at trial, a confidential source (CS) informed agents in Jan. 2019 that Henry was selling crystal methamphetamine, heroin and other illegal drugs for the past eight years from his Macon residence. Following an investigation, a search warrant was issued, and law enforcement searched Henry’s property on March 7, 2019, recovering a semi-automatic pistol, bundles of cash, and more than a kilogram of drugs, including methamphetamine, heroin and Tramadol. Henry is considered an armed career criminal due to his lengthy criminal record, which includes seven felony convictions, among them convictions for possession with intent to distribute methamphetamine and possession with intent to distribute cocaine in Peach County.
The case was investigated by the Bibb County Sheriff’s Office and DEA.
Assistant U.S. Attorneys William Keyes and Paul McCommon prosecuted the case.
Chicago Woman Arrested on Federal Charges for Allegedly Conspiring to Murder Her Mother in IndonesiaRead the Press Release
CHICAGO — A Chicago woman was arrested today on federal charges for allegedly conspiring with her boyfriend to murder her mother at an Indonesian resort in 2014.
An indictment returned in 2017 and unsealed today in U.S. District Court in Chicago charges HEATHER L. MACK, 26, and TOMMY E. SCHAEFER, 28, of Chicago, with conspiracy to commit murder and obstruction of justice. The indictment accuses Mack and Schaefer of conspiring in Chicago and Indonesia to carry out the murder of Mack’s mother, Sheila A. Von Wiese, a U.S. citizen from Illinois. The charges allege that Mack and Schaefer killed Von Wiese in a hotel room at the St. Regis Bali resort on Aug. 12, 2014, and then placed the body in a suitcase and loaded it into the trunk of a taxicab.
An Indonesian court in 2015 convicted and imprisoned Mack and Schaefer on local charges related to Von Wiese’s murder. Mack was released last week from an Indonesian prison. She was arrested today by U.S. authorities upon her return to the United States. Her arraignment in federal court in Chicago has not yet been scheduled. Schaefer remains imprisoned in Indonesia.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kenneth A. Polite, Acting Assistant Attorney General of the Justice Department’s Criminal Division; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Indonesian law enforcement and immigration authorities provided valuable assistance. The government is represented by Assistant U.S. Attorney Terry M. Kinney of the Northern District of Illinois, and Frank Rangoussis, Trial Attorney of the U.S. Department of Justice’s Human Rights and Special Prosecutions Section.
The U.S. investigation previously resulted in charges against Schaefer’s cousin, ROBERT RYAN JUSTIN BIBBS, also known as “Ryan Bibbs,” of Chicago. Bibbs pleaded guilty in 2016 to a murder conspiracy charge, stating in a plea agreement that he was aware of the couple’s plot to carry out Von Wiese’s murder and that he counseled Schaefer on how to get away with it. Bibbs was sentenced in 2017 to nine years in federal prison.
Broome County Man Sentenced to 11 Years for Attempted Enticement and Coercion of a MinorRead the Press Release
SYRACUSE, NEW YORK – Richard C. O’Hara, 32, of Broome County was sentenced today to serve 11 years’ imprisonment for attempting to arrange a sexual encounter with a minor. The announcement was made by United States Attorney Carla B. Freedman and Janeen DiGuiseppi, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation.
As part of his previously entered guilty plea, O’Hara admitted that in July and August 2020 he exchanged multiple sexually explicit messages online with an undercover officer posing a 10-year-old girl, in an attempt to entice the child into having sex with him. O’Hara also admitted that on August 5, 2020 he traveled to a house where he believed the child lived, intending to engage in sex acts with her that day.
Senior United States District Judge Thomas J. McAvoy also sentenced O’Hara to a 15-year term of supervised release to begin after he serves his term of imprisonment. O’Hara also will be required to register as a sex offender upon his release from prison.
This case was investigated by Federal Bureau of Investigation and was prosecuted by Assistant U.S. Attorney Michael D. Gadarian as a part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Billings man accused of attempted coercion, enticement for sex with minorRead the Press Release
BILLINGS—A Billings man accused of trying to arrange a meeting to have sex with a mother and her minor child and arrested during a multi-agency law enforcement operation into the solicitation of sex with minors had an initial appearance on Nov. 2 on a criminal complaint, Acting U.S. Attorney Leif M. Johnson said today.
The criminal complaint accuses Martin Leo Jimenez, 27, of attempted coercion and enticement. If convicted of the most serious crime, Jimenez faces a mandatory minimum 10 years to life in prison, a $250,000 fine and at least five years to life of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. Judge Cavan ordered Jimenez detained pending further proceedings.
A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
The criminal complaint and court documents allege that between Oct. 27 and Oct. 28 in Billings, Jimenez communicated through social media forums with an undercover law enforcement officer who was posing as the mother of an 11-year-old girl. The government alleges that Jimenez expressed a sexual interest in incest and children, asked if the undercover officer wanted to meet and sent the undercover officer a nude picture of himself. Law enforcement set up surveillance near Jimenez’s residence, and the undercover officer directed Jimenez to a vehicle parked on the street. Officers arrested Jimenez when he approached the vehicle.
Jimenez was arrested during a multi-jurisdictional law enforcement operation from Oct. 27 to 28 in the Billings area. The operation targeted subjects soliciting minors online with intent to engage in sexual activity or attempting to meet adults trafficking minors for sex. The Billings Police Department, Yellowstone County Sheriff’s Office, Homeland Security Investigations and FBI conducted the operation.
Assistant U.S. Attorney Zeno B. Baucus is prosecuting the case.
PACER case reference. 21-68.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Bergen County Man Arrested for Interfering with Reproductive Health ServicesRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, man was arrested today for allegedly using force and physical obstruction to intimidate and interfere with providers of reproductive health services in Englewood, New Jersey, on two separate occasions, Acting U.S. Attorney Rachael A. Honig announced.
Daniel Courney, 37, of Bergenfield, New Jersey, is charged by complaint with two counts of violating the Freedom of Access to Clinic Entrances Act, which protects individuals seeking and providing reproductive health services. Courney appeared by videoconference today before U.S. Magistrate Judge Edward S. Kiel and was released on $50,000 unsecured bond.
According to documents filed in this case and statements made in court:
On Oct. 16, 2021, Courney approached a patient and her companion arriving by car to seek reproductive health services at a clinic in Englewood. As a volunteer was providing directions, Courney approached the vehicle, told the patient to “save your child,” and shoved the volunteer away from the car to prevent the volunteer from providing directions to the clinic.
On Oct. 30, 2021, Courney approached the same volunteer as the volunteer escorted a patient inside the clinic. As the volunteer and patient approached the clinic’s front door, Courney moved his body between the volunteer and the patient and shoved the volunteer toward the street.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to the arrest.
The government is represented by Senior Civil Rights Counsel Joseph Gribko of the Criminal Division in Newark and Assistant U.S. Attorney Susan Millenky of the Civil Rights Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Barbour County man indicted on child pornography chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Jon Travis Yost, of Philippi, West Virginia, was indicted on child pornography charges, United States Attorney William J. Ihlenfeld, II announced.
Yost, 27, was indicted on one count of “Transportation of Child Pornography – Previous conviction,” one count of “Possession of Child Pornography – Previous Conviction,” one count of “Production of Child Pornography – Previous conviction,” and one count of “Attempted Production of Child Pornography – Previous conviction.” Yost, who was previously convicted of 3rd Degree Sexual Assault in Barbour County, is accused of producing, having, and sending child pornography from September 2019 to May 2020 in Barbour County.
Yost faces at least 15 and up to 40 years of incarceration and a fine of up to $250,000 for the transportation charge, faces up to 10 years of incarceration and a fine of up to $250,000 for the possession charge, and faces at least 25 years and up to 50 years of incarceration and a fine of up to $250,000 for each of the production and attempted production charges. 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 David J. Perri is prosecuting the case on behalf of the government. The FBI and the Harrison County Sheriff’s Office investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Bahamian National Sentenced to Two Years’ Imprisonment for Illegal ReentryRead the Press Release
Orlando, Florida – U.S. District Judge Carlos E. Mendoza has sentenced Jethro Jerome Arthur (47, Bahamas) to two years in federal prison for illegal reentry into the United States after deportation.
Arthur had pleaded guilty on August 25, 2021.
According to court documents, on April 14, 2021, Arthur was arrested in Brevard County on state felony criminal charges (possession of a firearm by a convicted felon; trafficking in heroin, cocaine, and MDMA; and possession with intent to sell various controlled substances) and found to be present in the United States without legal authorization. In 1998, Arthur was convicted of possessing cocaine with the intent to distribute it. Arthur had previously been convicted on two occasions for illegal reentry to the United States after deportation, in 2005 and 2015, and had been deported from the United States to the Bahamas on three occasions.
This case was investigated by U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations (ICE-ERO). It was prosecuted by Assistant United States Attorney Jennifer M. Harrington.