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Monday 20 September 2021
Marion Man Pleads Guilty to Distribution of Child PornographyRead the Press Release
ABINGDON, Va. – A Marion, Virginia man pleaded guilty last week to using the online messaging service KIK to distribute child sex abuse materials featuring prepubescent females.
According to court documents, Travis Shane Smith, 38, was identified by an undercover law enforcement officer working out of Wisconsin between May 4, 2020 and June 3, 2020, as being a member of a known child pornography online chat room.
Smith used the KIK username “tman_1983” to distribute child sex materials onto a KIK chatroom messaging board. Specifically, Smith distributed four videos of prepubescent females engaged in sexually explicit conduct, including two videos of adult males having sex with prepubescent females.
“Distributing videos depicting the sexual abuse of children perpetuates their trauma and abuse, and simply will not be tolerated,” Acting U.S. Attorney Daniel P. Bubar stated today. “It remains a top priority of our office to investigate and prosecute those who seek to victimize children. We appreciate the good work of our federal, state and local partners, who brought Smith to justice.”
“The FBI and our investigative partners are dedicated to protecting these victims, who become pawns in this world of online sexual exploitation; and will work together to identify and prosecute these criminals,” said Stanley M. Meador. Special Agent in Charge of the FBI’s Richmond Division. “There are resources to help these victims, and we encourage anyone who has been victimized or is aware of an on-going incident to report it to law enforcement immediately.”
Smith pleaded guilty to one count of knowingly distributing one or more visual depictions of a minor engaged in sexually explicit conduct. He is scheduled to be sentenced on December 15, 2021 and faces a mandatory minimum sentenced of five years in prison. A federal district court judge will determine his sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Federal Bureau of Investigation, Virginia State Police, Smyth County Sheriff’s Office, and Marion Police Department are investigating the case.
Assistant U.S. Attorney Lena Busscher is prosecuting the case.
Lubbock Dentist Pleads Guilty to Production of Child PornographyRead the Press Release
A Lubbock dentist pleaded guilty in federal court today to one count of production of child pornography, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
Jason Paul White, 42, was charged via criminal complaint in January and indicted the following month. In August, prosecutors filed a superseding indictment against him alleging additional child pornography and enticement crimes involving seven victims over the course of 15 years. Mr. White pleaded guilty Monday before U.S. Magistrate Judge D. Gordon Bryant, Jr.According to plea papers, Mr. White admitted that in December 2009, he coerced a 17-year-old boy into engaging in sexually-explicit conduct in order to produce a video of that conduct. Over the next 11 months, Mr. White produced seven more sexually-explicit videos of the same child, which he uploaded to a Dropbox internet storage account.
Law enforcement discovered the Dropbox account in January 2021, during a search of Mr. White's business and residence. The child later identified himself in the videos. Other victims came forward as well.
Mr. White eventually admitted to producing sexually-explicit videos and enticing into sexual activity seven additional teenage boys, including one child not accounted for in the superseding indictment.
The children, who were as young as 13 at the time of the crime, told investigators that Mr. White used the ruse of running a pornography film business to lure them into sexual activity.
As a result of his plea, White faces a minimum sentence of 15 years and a maximum of 30 years in federal prison. He will also be required to forfeit his interest in his home in Lubbock and a 966-acre ranch in Garza County, where he committed his crimes. White will remain in custody pending his sentencing, which has not yet been set.
The Lubbock Police Department, the Federal Bureau of Investigation, Homeland Security Investigations, and the High Technology Investigative Unit within the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) investigated the case. Assistant United States Attorney Callie Woolam and CEOS Trial Attorney Austin Berry are prosecuting the case.Los Angeles Man Charged with Enticement of Minor Girl Who Ran Away in San FranciscoRead the Press Release
SAN FRANCISCO – Kingjohn Baylon Asuncion appeared in court today to face a federal criminal complaint charging him with coercion and enticement of a minor, announced Acting United States Attorney Stephanie M. Hinds and Federal Bureau of Investigation Special Agent in Charge Craig D. Fair.
The complaint alleges that Baylon, 23 years old and last known to live in Los Angeles, enticed a 13 year old girl to produce and send him child pornography on Instagram during the timeframe of December 25 through December 29, 2019. The complaint further alleges that on January 3, 2020, the minor female, who is from Northern California, ran away from her family, who were in San Francisco visiting the UCSF Medical Center, to meet up with Baylon. Two days later, the minor girl was found with Baylon at the Ferry Building in San Francisco.
Baylon made his initial appearance in federal court today before United States Magistrate Sallie Kim. Baylon remains in custody and his next scheduled appearance is Friday, September 24, 2021 at 10:30 a.m. for a detention hearing, again before United States Magistrate Judge Sallie Kim.
The complaint charges Baylon with persuading, coercing, or enticing a person younger than 18 years old to engage in a sexual activity, which includes the production of child pornography, in violation of 18 U.S.C. § 2422(b). If convicted, Baylon faces a minimum mandatory sentence of 10 years to a maximum of life in prison and a maximum fine of $250,000. However, any sentence following conviction is imposed by a court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
A complaint merely alleges that crimes have been committed, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Yoosun Koh is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Senna Milstead. The prosecution is the result of an investigation by the FBI who worked jointly with the University of California, San Francisco, Police Department, and the San Francisco Police Department, and with assistance from the Los Angeles Police Department.
Lantana Man Sentenced to 102 Months for Distribution and Possession of Child Sexual Abuse MaterialRead the Press Release
Miami, Florida – A Lantana, Florida man, who plead guilty to distribution and possession of child sexual abuse material, was sentenced today in federal court in West Palm Beach to 102 months’ imprisonment, followed by 20 years’ supervised release and ordered to pay $31,000 restitution to victims.
Between 2020 and 2021, Carl Lee Jasperse, 67, using the screenname “Dandy Daddy” used a mobile application to communicate with individuals about child sexual abuse material and trade the same. He was found to be in possession of more than 4000 images and videos of child sexual abuse material when a search warrant was executed at his Lantana residence in January 2021.
Acting U.S. Attorney Juan Antonio Gonzalez of the Southern District of Florida and Special Agent in Charge Anthony Salisbury of Homeland Security Investigations (HSI) Miami, announced the sentence.
HSI Miami’s West Palm Beach Office investigated the case in collaboration with the Lantana Police Department. Assistant U.S. Attorney Gregory Schiller is prosecuting it.
This case was brought as part of Project Safe Childhood (PSC), 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 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 the Project Safe Childhood initiative and for information regarding Internet safety, please visit www.justice.gov/psc.
To report online child sexual exploitation, use the electronic Cyber Tip Line or call 1-800-843-5678. The Cyber Tip Line is operated by the National Center for Missing and Exploited Children in partnership with the FBI and other law enforcement agencies.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 21-cr-80025.
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Kent, Washington man sentenced to 7+ years in prison for sexual assault on teen in Olympic National ParkRead the Press Release
Tacoma – A 36-year-old Kent, Washington, man was sentenced today in U.S. District Court in Tacoma to 87 months in prison for the August 2020 rape of a 14-year-old, announced Acting U.S. Attorney Tessa M. Gorman. Christopher James Kuna was at a gathering with family and close friends in Olympic National Park when he provided alcohol to the victim and committed the sexual assault. At the sentencing hearing U.S. District Judge Benjamin H. Settle said, “It is hard to describe a more serious case than this. The rape of a 14-year-old. The facts are egregious. The victim has a life sentence and that cannot be changed.”
According to records filed in the case, Kuna was a trusted family friend of the victim and the victim’s family. During the evening hours of August 24 and early morning of the 25th, Kuna plied the victim with alcohol causing intoxication to such an extent that the victim vomited. Kuna then sexually assaulted the victim. Because he was more than 20-years older and much larger than the victim, the victim was fearful of resisting Kuna. Kuna told the victim he had been thinking about the assault for a long time.
A trusted family friend assisted the family in making a report to local law enforcement. Upon realizing jurisdiction lay within a national park, local law enforcement referred the matter to the National Park Service investigative services branch who took over the investigation.
Kuna will be required to register as a sex offender following any prison term. He will be on 15 years of supervised release following prison.
The case was investigated by the National Park Service and the FBI.
The case was prosecuted by Assistant United States Attorneys Angelica Williams, Jonas Lerman, and Hilary Stuart.
Justice Department Settles with the State of New Jersey’s Student Lending Authority for Alleged Violations of the Servicemembers Civil Relief ActRead the Press Release
The Department of Justice announced today that New Jersey Higher Education Student Assistance Authority (HESAA) has agreed to enter into a settlement and pay $50,000 to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by obtaining unlawful court judgments against two military servicemembers who co-signed student loans.
Under the proposed consent decree, which was filed today in the United States District Court for the District of New Jersey and must still be approved by the Court, HESAA will pay $15,000 each to two servicemembers who had default judgments entered against them, and will pay a civil penalty of $20,000 to the United States. The consent decree also requires HESAA to provide SCRA training to its employees and outside counsel and develop new policies and procedures consistent with the SCRA. Since the United States opened its investigation, HESAA has worked cooperatively to revise its policies, procedures and training to comply with the SCRA and the terms of the consent decree.
“Congress enacted the Servicemembers Civil Relief Act to protect those who risk their lives serving our nation,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This settlement clearly sends the message that the Department of Justice will continue enforcing the Act vigorously to protect servicemembers and to ensure that all covered industries, including providers of student loans, comply fully with the law.”
“Through this settlement, we honor the brave members of our armed services by ensuring that their rights are protected when called to duty,” said Acting U.S. Attorney Rachael A. Honig for the District of New Jersey. “This office remains steadfast in its commitment to protect the rights of servicemembers in New Jersey. We thank HESAA for its cooperation with our investigation and HESAA’s acknowledgement that protecting the rights of servicemembers under the SCRA is of significant public importance.”
The Civil Rights Unit of the U.S. Attorney’s Office for the District of New Jersey launched its investigation after Coast Guard legal assistance attorneys in Portsmouth, Virginia, reported that HESAA had obtained a default judgment in 2019 against a Coast Guard Petty Officer who had co-signed for two student loans. The SCRA protects servicemembers from default judgments in circumstances in which, because of their military service, they may be unable to appear in court and defend themselves. Under the SCRA, if a lender files a civil lawsuit against a borrower and then seeks a default judgment, the lender must notify the court of the borrower’s military status. If the borrower is in military service, the court cannot enter judgment until it appoints an attorney to represent the borrower, and the court must, in most circumstances, postpone the proceedings for at least 90 days.
In a complaint filed in the United States District Court for the District of New Jersey, the U.S. Attorney’s Office alleged that HESAA obtained default judgments against two SCRA-protected servicemembers by failing to disclose their military service and filing affidavits that inaccurately stated that they were not in the military. Lenders can verify an individual’s military status by searching the Defense Manpower Data Center’s free publicly available website (DMDC database) or by reviewing their files to see if there are applications, military leave and earnings statements, or military orders indicating military status. After conducting DMDC database searches that confirmed that the servicemembers were in military service, HESAA, through its outside counsel, nevertheless filed affidavits in state court that inaccurately stated that the servicemembers were not in military service.
This matter was handled jointly by the U.S. Attorney’s Office for the District of New Jersey and the Civil Rights Division’s Housing and Civil Enforcement Section. Since 2011, the department has obtained over $474 million in monetary relief for over 120,000 servicemembers through its enforcement of the SCRA. For more information about the department’s SCRA enforcement efforts, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under the SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at http://legalassistance.law.af.mil.
Individuals who believe their civil rights have been violated in the District of New Jersey may also file a complaint with the U.S. Attorney’s Office for the District of New Jersey at: http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint or may call the U.S. Attorney’s Office’s Civil Rights Complaint Hotline at (855) 281-3339.
The United States is represented by Special Assistant U.S. Attorney Victor Williamson of the U.S. Attorney’s Civil Rights Unit, Civil Division, in consultation with the Housing and Civil Enforcement Section.
Justice Department Settles with State of New Jersey’s Student Lending Authority for Alleged Violations of Servicemembers Civil Relief ActRead the Press Release
NEWARK, N.J. – The Department of Justice announced today that the New Jersey Higher Education Student Assistance Authority (HESAA) has agreed to enter into a settlement and pay $50,000 to resolve allegations that it violated the Servicemembers Civil Relief Act (SCRA) by obtaining unlawful court judgments against two servicemembers who had co-signed student loans.
Under the proposed consent decree, which was filed today in the U.S. District Court for the District of New Jersey and must still be approved by the court, HESAA will pay $15,000 each to two servicemembers who had default judgments entered against them, and will pay a civil penalty of $20,000 to the United States. The consent decree also requires HESAA to provide SCRA training to its employees and outside counsel and to comply with new policies and procedures consistent with the SCRA.
“Through this settlement, we honor the brave members of our armed services by ensuring that their rights are protected when called to duty,” Acting U.S. Attorney Rachael A. Honig said. “This office remains steadfast in its commitment to protect the rights of servicemembers in New Jersey. We thank HESAA for its cooperation with our investigation and HESAA’s acknowledgement that protecting the rights of servicemembers under the SCRA is of significant public importance.”
“Congress enacted the Servicemembers Civil Relief Act to protect those who risk their lives serving our nation,” Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division said. “This settlement clearly sends the message that the Department of Justice will continue enforcing the Act vigorously to protect servicemembers and to ensure that all covered industries, including providers of student loans, comply fully with the law.”
The Civil Rights Unit of the U.S. Attorney’s Office for the District of New Jersey launched its investigation after Coast Guard legal assistance attorneys in Portsmouth, Virginia, reported that HESAA had obtained a default judgment in 2019 against a Coast Guard petty officer who had co-signed for two student loans. The SCRA protects servicemembers from default judgments in circumstances in which, because of their military service, they may be unable to appear in court and defend themselves. Under the SCRA, if a lender files a civil lawsuit against a borrower and then seeks a default judgment, the lender must notify the court of the borrower’s military status. If the borrower is in military service, the court cannot enter judgment until it appoints an attorney to represent the borrower, and the court must, in most circumstances, postpone the proceedings for at least 90 days.
In a complaint filed today with the proposed consent decree, the Department of Justice alleges that HESAA obtained default judgments against two SCRA-protected servicemembers by failing to disclose their military service and filing affidavits that inaccurately stated that they were not in the military. Lenders can verify an individual’s military status by searching the Defense Manpower Data Center’s (DMDC) free, publicly available website or by reviewing their files to see if there are applications, military leave and earnings statements, or military orders indicating military status. After conducting DMDC database searches that confirmed that the servicemembers were in military service, HESAA, through its outside counsel, nevertheless filed affidavits in state court that inaccurately stated that the servicemembers were not in military service.
This matter was handled jointly by the U.S. Attorney’s Office for the District of New Jersey and the Civil Rights Division’s Housing and Civil Enforcement Section. Since 2011, the department has obtained over $474 million in monetary relief for over 120,000 servicemembers through its enforcement of the SCRA. For more information about the department’s SCRA enforcement efforts, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under the SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at http://legalassistance.law.af.mil.
Individuals who believe their civil rights have been violated in the District of New Jersey may also file a complaint with the U.S. Attorney’s Office for the District of New Jersey at: http://www.justice.gov/usao-nj/civil-rights-enforcement/complaint or may call the U.S. Attorney’s Office’s Civil Rights Complaint Hotline at (855) 281-3339.
The government is represented by Special Assistant U.S. Attorney Victor Williamson of the U.S. Attorney’s Civil Rights Unit, Civil Division, in consultation with the Civil Rights Division’s Housing and Civil Enforcement Section.
Justice Department Seeks to Shut Down Texas Return PreparerRead the Press Release
The United States has filed a complaint in the U.S. District Court for the Eastern District of Texas seeking to bar a Beaumont, Texas, tax return preparer from owning or operating a tax return preparation business and preparing federal income tax returns for others.
The civil complaint filed against Michelle Denise Johnston alleges that, since at least 2011, she has operated a tax preparation business in Beaumont under the name “Allen and Johnston Tax Service.” According to the complaint, Johnston prepared and filed tax returns that understated her customers’ federal income tax liabilities by (1) wholly fabricating businesses and related business expenses; (2) improperly inflating such expenses for existing businesses; and (3) fabricating or improperly inflating itemized deductions for casualty losses and mortgage interest deductions.
The complaint further alleges that Johnston has engaged in a “refund-skimming” scheme that “double dips” her tax preparation fees. According to the complaint, customers directly paid Johnston preparation fees ranging from $200 to $500, based on preparation of a “tentative income tax return” that showed a modest refund. The complaint alleges that Johnston then took the tentative return and inflated and/or fabricated deductions, credits and losses to create a larger tax refund. According to the complaint, Johnston filed the fabricated return with the IRS, which deposited the inflated refund with a third-party vendor. The complaint alleges that Johnston then caused the vendor to pay her customer the amount shown on the tentative return and deducted a second preparation fee from the remaining funds. According to the complaint, the scheme occurred unbeknownst to her customers because Johnston only provided them with either an incomplete copy of the return or with a copy of the return that was different from that filed with the IRS.
According to the complaint, Johnston prepared over 3,100 tax returns in aggregate for tax years 2018 through 2020. As a result, the complaint alleges, Johnston has cost the United States significant losses of tax revenue. The complaint further alleges that Johnston harmed her customers, who may be liable for repayment of refunds claimed in their names, plus penalties and interest.
Acting Assistant Attorney General David A. Hubbert of the Justice Department’s Tax Division made the announcement.
Return preparer fraud is one of the IRS’ Dirty Dozen Tax Scams, and taxpayers seeking a return preparer should remain vigilant. (More information can also be found here.) The IRS has information on its website for choosing a tax preparer, has launched a free directory of federal tax preparers and offers information on how to avoid “ghost” tax preparers, whose refusal to sign a return should be a red flag to taxpayers. The IRS also has a list of important reminders for taxpayers who are about to file their 2020 tax returns, including how to prepare for a smooth filing process.
In the past decade, the Tax Division has obtained injunctions against hundreds of unscrupulous tax preparers. Information about these cases is available on the Justice Department’s website. An alphabetical listing of persons enjoined from preparing returns and promoting tax schemes can be found on this page. If you believe that one of the enjoined persons or businesses may be violating an injunction, please contact the Tax Division with details.
Individual Extradited from the Dominican Republic to Puerto Rico to Face Drug Trafficking ChargesRead the Press Release
SAN JUAN, Puerto Rico – On October 13, 2016, a Federal Grand Jury in the district of Puerto Rico returned a seven-count indictment for conspiracy to import a controlled substance, importation of a controlled substance (aiding and abetting), attempted importation, conspiracy to possess with intent to distribute, possession with intent to distribute (aiding and abetting), attempted possession with intent to distribute, and one count for conspiracy to launder money against Juan José De La Cruz-Morales, aka “Wandy” and five additional defendants as part of a Caribbean Corridor Strike Force (CCSF) investigation.
De La Cruz-Morales was recently arrested in Santo Domingo, Dominican Republic during Operation Falcon, led by the Dominican National Directorate for Drug Control (DNCD) and the Dominican Republic Attorney General Office (PGR) with DEA support.
“This successful extradition of De La Cruz-Morales is a reflection of years of collaboration and cooperation by the Department of Justice and our law enforcement partners who are all committed to combatting transnational criminal organizations,” said W. Stephen Muldrow, U.S. Attorney for the District of Puerto Rico. “Thanks to the authorities in the Dominican Republic for their efforts in facilitating this extradition so the defendant can be held accountable and face justice for his alleged crimes.”
“DEA recognizes the extraordinary work of the DNCD and Dominican Republic authorities in attacking transnational criminal organizations which harm both our countries,” said John F. Kanig, DEA Caribbean Division Acting Special Agent in Charge. “The dismantlement of this organization has certainly cut off an important drug smuggling scheme in the Caribbean Border. In coordination with our federal, state and foreign partners, DEA will continue to pursue strategic targets in support of our mission to provide security and protection to our citizens.”
“The Caribbean Corridor Strike Force and the Caribbean Border Interagency Group platforms foster a great degree of cooperation and transparency between federal law enforcement agencies which facilitate the investigation and prosecution of high-level targets and leaders of transnational criminal organizations such as Mr. De La Cruz-Morales,” said Ivan J. Arvelo, Special Agent in Charge for HSI San Juan. “HSI also appreciates the efforts of our great law enforcement partners in the Dominican Republic, particularly the DNCD and PGR.”
The Caribbean Corridor Strike Force (CCSF) is a multi-agency Organized Crime Drug Enforcement Task Force group operating in the District of Puerto Rico focusing on Caribbean and South American-based Transnational Criminal Organizations involved in the maritime and air smuggling shipments of narcotics into Puerto Rico and the Continental United States and in the laundering of drug proceeds using bulk cash smuggling and sophisticated laundering activities. CCSF signatory agencies include the DEA, HSI, FBI, CGIS, USMS, and the U.S. Attorney’s Office.
Assistant U.S. Attorney Jawayria Z. Auchter from the Transnational Organized Section is in charge of the prosecution of the case. The CCSF initiated an investigation which led to the identification of De La Cruz-Morales and other targets operating in the Dominican Republic. Intelligence shared with Dominican counterparts assisted the DNCD in the developing of the successful Operation Falcon. The Justice Department’s Office of International Affairs provided substantial assistance in securing De La Cruz-Morales’s arrest and extradition from the Dominican Republic.
The defendant faces a possible sentence of 10 years up to life in prison.
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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Fresno Man Sentenced to 10 Years in Prison for Drug and Firearm ChargesRead the Press Release
FRESNO, Calif. — U.S. District Judge Dale A. Drozd sentenced Hector Kioni Gongora, 44, of Fresno, today to 10 years in prison for possessing methamphetamine with the intent to distribute and unlawfully possessing a firearm and ammunition after being convicted of a felony crime, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, on Jan. 11, 2021, Gongora was arrested on a felony warrant and found in possession of a firearm and methamphetamine. A search of his residence recovered over 300 additional rounds of ammunition. He was charged with one count of possessing methamphetamine with the intent to distribute and two counts of being a felon in possession of a firearm and ammunition and pleaded guilty on June 29, 2021.
This case was the product of an investigation by the Federal Bureau of Investigation and the Fresno Police Department. Assistant U.S. Attorney Antonio J. Pataca 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.
Four Militia Group Members Plead Guilty to Obstruction of Justice ConspiracyRead the Press Release
SAN FRANCISCO – Four members of the “Grizzly Scouts” militia group, a group connected to the “boogaloo” movement, have pleaded guilty to conspiring to obstruct justice by destroying records connected to the investigation of the murder of a federal Protective Security Officer (PSO) contracted to the Federal Protective Service and the shooting and attempted murder of a second PSO on May 29, 2020, at the Oakland federal building, announced Acting United States Attorney Stephanie M. Hinds and FBI Special Agent in Charge Craig D. Fair.
Jessie Rush, 29, of Turlock; Robert Blancas, 33, a transient resident of the Bay Area; Simon Ybarra, 23, of Los Gatos; and Kenny Miksch, 21, of San Lorenzo, were indicted on March 23, 2021, in connection with their scheme to obstruct justice by destroying records material to the murder and shooting investigation. Today, Kenny Miksch pleaded guilty in United States District Court, the last of the four defendants to do so.
According to each of their plea agreements entered into at the time of their guilty pleas, Rush, Blancas, Ybarra, and Miksch admitted that in April 2020 they joined an armed anti-government militia group named the “1st Detachment, 1st California Grizzly Scouts” (Grizzly Scouts). They had connected earlier via a Facebook group created in connection to the “boogaloo” movement. “Boogaloo” is a term, as noted in their indictment, used by some militia extremists to reference a purportedly impending politically-motivated civil war or uprising against the government. The “boogaloo” movement is not a single cohesive group but rather a loose concept used as a rallying point for some extremists.
According to their plea agreements, Rush named himself the Commanding Officer of the Grizzly Scouts and assumed the rank of “Major.” Blancas assumed the rank of “1st Lieutenant” with responsibilities for the group’s security and intelligence. Ybarra received the rank of “Corporal” and handled recruitment. Miksch received the rank of “1st Lieutenant” with responsibilities for the group’s training and firearms instruction.
All four admitted they periodically held group meetings for firearms training and other purposes. They engaged in armed, in person “training operations” in May 2020 with “operations orders” that labeled law enforcement as potential “enemy forces” and suggested using lethal force and taking prisoners. All four acknowledged in their plea agreements that they engaged in June 2020 discussions with other Grizzly Scouts about “boog” (boogaloo), waging war against the government, and tactics for killing law enforcement personnel, including police officers.
Rush, Blancas, Ybarra, and Miksch each acknowledged in their plea agreements that they learned a Grizzly Scouts member was allegedly involved in the May 29, 2020, murder of a federal PSO and the attempted murder of his fellow PSO in Oakland. They also each admitted that the Grizzly Scouts member sent group communications via a WhatsApp group entitled “209 Goon HQ” during that member’s alleged attack on and shoot-out with Santa Cruz County Sheriff’s deputies in Ben Lomond, California on June 6, 2020. According to their plea agreements, that member asked the other group members to come to his aid and said, “Dudes i offed a fed.” Rush admitted he instructed that member to delete data on his phone and get out of there.
Rush, Blancas, Ybarra, and Miksch each admitted to conspiring with other group members to destroy the records of their interactions and communications because they foresaw authorities would investigate and prosecute that Grizzly Scouts member. Specifically, they each admitted in their plea agreements to destroying records associated with the WhatsApp “209 Goon HQ” group, including communications with that Grizzly Scouts member. Blancas also admitted to destroying files on Dropbox regarding the Grizzly Scouts that consisted of the group’s rank structure, a non-disclosure agreement requiring members to maintain confidentiality of group materials, a liability release waiver, descriptions of the Grizzly Scouts uniforms, and a scorecard assessing the skills of Grizzly Scouts members in combat, firearms, medical, and other training.
Each of the four defendants admitted they intended to impair the integrity and availability of the above records for use in official proceedings, including the investigation and prosecution of the May 29, 2020, murder of one PSO and attempted murder of another PSO at the Oakland federal building.
Blancas was also earlier charged in a separate complaint and information with the enticement of a minor to engage in sexual activity, that is, the production of child pornography. In entering his plea of guilty, Blancas admitted that from about April through September 2020 he enticed a 15-year old girl to repeatedly make and send him pornographic photographs and videos of herself. Blancas admitted that he received at least 77 pornographic photographs and 31 videos from the victim, all while exchanging thousands of messages with her and speaking to her by audio and video call. Blancas admitted that he knew she was a minor when he did so.
Blancas pleaded guilty on August 23, 2021, to enticing a minor to engage in sexual activity in violation of 18 U.S.C. § 2422(b). On the same date Blancas pleaded guilty in the destruction of records case to three counts: one count of conspiracy to obstruct justice by destroying records in an official proceeding in violation of 18 U.S.C. § 1512(k), and two counts of destroying records in official proceedings in violation of 18 U.S.C. § 1512(c)(1). He was arrested on December 1, 2020, and remains in custody as he awaits sentencing. He entered all of his guilty pleas before the Honorable Vince Chhabria, United States District Judge.
Rush and Ybarra pleaded guilty on September 13, 2021, and Miksch pleaded guilty on September 20, 2021. Each defendant pleaded to one count of conspiracy to obstruct justice by destroying records in violation of 18 U.S.C. § 1512(k). They entered their guilty pleas before the Honorable James Donato, United States District Judge.
Blancas’s sentencing hearing is scheduled for December 6, 2021, before U.S. District Judge Chhabria in San Francisco.
The sentencing hearing for Rush is scheduled for January 10, 2022. The sentencing hearings for Ybarra and Miksch are scheduled for February 7, 2022. These sentencing hearings will occur before U.S. District Judge Donato in San Francisco.
Rush, Blancas, Ybarra, and Miksch each face a maximum statutory penalty of 20 years in prison and a fine of $250,000 for conspiracy to destroy records in an official proceeding in violation of 18 U.S.C. § 1512(k) and, as applies to Blancas only, for each of his two counts of the destruction of records in an official proceeding in violation of 18 U.S.C. § 1512(c)(1).
Blancas also faces an additional penalty of a minimum of 10 years imprisonment to a maximum of life in prison and a maximum $250,000 fine for enticing a minor to engage in sexual activity in violation of 18 U.S.C. § 2422(b).
All sentences imposed by a court, however, are imposed only after the court’s consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The cases are being prosecuted by Eric Cheng and Frank Riebli from the Special Prosecutions Section of the U.S. Attorney’s Office for the Northern District of California, with assistance from the National Security Division’s Counterterrorism Section. The prosecutions are the result of investigations by the Federal Bureau of Investigation.
Fort Myers Career Criminal Sentenced to Fifteen Years for Firearm OffenseRead the Press Release
Fort Myers, Florida – U.S. District Judge John L. Badalamenti has sentenced Larry Lynn Gary (29, Fort Myers) to 15 years in federal prison for possessing a firearm and ammunition as a previously convicted felon. Gary had pleaded guilty on May 6, 2021.
According to court documents, on August 6, 2020, Gary was a passenger in a vehicle that had been pulled over for a routine traffic infraction by an officer from the Fort Myers Police Department. After exiting the vehicle at the officer’s request, Gary ran from the traffic stop leaving behind a blue bag in the car. A search of the bag revealed a loaded Glock 19 firearm and a bag of fentanyl. Gary was later apprehended by officers with the help of a police K-9. At the time, Gary had multiple prior felony convictions and had recently been released from prison. He is prohibited by federal law from possessing firearms or ammunition.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Fort Myers Police Department. It was prosecuted by Assistant United States Attorney Simon R. Eth.
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.
Former State Department Employee Pleads Guilty to Honest Services Fraud SchemeRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, Michael Speckhardt, the Special Agent in Charge of the U.S. Department of State, Office of Inspector General (“State Department OIG”), and Thomas Fattorusso, Acting Special Agent in Charge of the Internal Revenue Service, Criminal Investigation, New York Field Office (“IRS-CI”), announced that MAY SALEHI, a former State Department employee, pled guilty today to conspiracy to commit honest services fraud. SALEHI was a longtime State Department employee who was involved in evaluating bids for critical overseas government construction projects such as U.S. embassies and consulates. SALEHI gave confidential inside bidding information to a bidder, and received $60,000 in kickback payments in return. SALEHI surrendered today and pled guilty before United States Magistrate Judge James L. Cott. SALEHI’s case is assigned to United States District Judge P. Kevin Castel.
Manhattan U.S. Attorney Audrey Strauss said: “As a State Department employee, May Salehi was entrusted to serve the public. Instead, she abused her position of trust to line her own pockets, as she admitted today. Salehi revealed, and traded on, confidential information – corrupting the bidding process and receiving lucrative kickbacks in return. Together with our law enforcement partners, this Office is committed to rooting out corruption.”
State Department OIG Special Agent in Charge Michael Speckhardt said: “The State Department OIG is dedicated to preserving the integrity of the Department’s programs and processes. As government employees, we are entrusted to carry out our responsibilities with integrity and support an equitable process. May Salehi did just the opposite. She used her position of public trust to selfishly obtain a personal financial advantage by selling proprietary contracting information for profit. Today’s plea, the culmination of extensive investigative and prosecutorial efforts, demonstrates that those who violate the public’s trust will be held accountable for their actions.”
IRS-CI Acting Special Agent in Charge Thomas Fattorusso said: “May Salehi violated the trust of the American taxpayer by putting her personal financial gain over her responsibilities to safeguard confidential information and government resources. Today’s guilty plea shows IRS-Criminal Investigation will continually work with our law enforcement partners to protect the American taxpayer from this type of abuse.”
According to the allegations in the Information, court filings, and statements made in court:
From 1991 until mid-2021, MAY SALEHI was a State Department employee. For many years, SALEHI worked as an engineer in the State Department’s Overseas Building Operations division (“OBO”), which directs the worldwide overseas building program for the State Department and the U.S. Government community serving abroad.
In 2016, the State Department solicited bids for a multimillion-dollar construction project known as a compound security upgrade to be performed at the U.S. Consulate in Bermuda (the “Bermuda Project”). The bidding process involved the submission of blind, sealed bids from various bidders. Six companies submitted sealed bids, one of which was named Montage, Inc. (“Montage”).
SALEHI was involved in the Bermuda Project in several respects. Among other things, SALEHI served as the Chair of the Technical Evaluation Panel (“TEP”) – a panel of experts that evaluates the technical aspects of bids, including whether they meet the State Department’s structural and security needs. In connection with the Bermuda Project, the TEP disqualified one bidder, but determined that the other five bids (including Montage’s bid) were technically acceptable.
In September 2016, the State Department’s employees who evaluate the cost of bids gave the remaining five bidders (including Montage) the opportunity to re-bid, if they wished to do so. Montage had two days to decide whether to submit a re-bid. During that two-day window, Montage’s principal, Sina Moayedi, spoke with SALEHI by phone and sought confidential inside bidding information about the relationship between Montage’s bid and those of its competitors, which SALEHI supplied. SALEHI knew that this information was confidential, and that it was unlawful to provide it to a prospective bidder. After Moayedi received this inside information from SALEHI, Montage immediately increased its bid by $917,820. In its revised submission to the State Department, Moayedi and Montage lied as to the reason it had increased its bid by nearly $1 million, falsely claiming that it had discovered “an arithmetic error” in its estimates. Montage was ultimately awarded the Bermuda Project with a revised bid of $6.3 million.
In the months that followed, Moayedi paid SALEHI a total of $60,000 in kickbacks, which he paid in three installments. In making these kickback payments, Moayedi used intermediaries to obscure the link between him and SALEHI. To conceal the true purpose of the kickback payments, SALEHI also gave one of the intermediaries a Persian rug. SALEHI did not report the $60,000 kickback payments on her State Department financial disclosure form.
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SALEHI, 66, of Washington, D.C., pled guilty to one count of conspiracy to commit honest services fraud, which carries a maximum sentence of five years in prison. The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as SALEHI’s sentence will be determined by Judge Castel.
Sina Moayedi was arrested on May 28, 2021, on three charges contained in a criminal Complaint: wire fraud, conspiracy to commit wire fraud, and bribery of a public official. The charges against Moayedi are pending.
Ms. Strauss praised the outstanding investigative work of the State Department OIG, Special Agents from the United States Attorney’s Office for the Southern District of New York, and IRS‑CI. She also thanked Special Agents from the United States Attorney’s Office for the District of Columbia and the Montgomery County, Maryland, Police Department.
The Office’s Complex Frauds and Cybercrime Unit is handling this criminal case. Assistant U.S. Attorneys Michael D. Neff and Louis A. Pellegrino are in charge of the prosecution.
Former Police Officer Who Fled After Sentencing Pleads Guilty to Failing to Surrender for SentencingRead the Press Release
Baltimore, Maryland – James Ian Piccirilli, age 40, of Mt. Airy, Maryland, pleaded guilty today to failing to surrender for service of sentence. Piccirilli also admitted to illegally possessing additional firearms while on the run.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Tim Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and U.S. Marshal Johnny Hughes.
According to his guilty plea, on January 14, 2020, U.S. Circuit Judge Stephanie Thacker sentenced Piccirilli to 30 months’ imprisonment for possessing an unregistered fully automatic firearm in violation of the National Firearms Act (“NFA”).
The National Firearms Act regulates certain firearms, known as “NFA firearms,” such as short-barreled rifles; fully automatic firearms; firearms that can be readily made fully automatic; parts that can make a firearm fully automatic; and silencers. Individuals may not possess an NFA firearm that is not registered in the National Firearms Registration and Transfer Record (NFRTR), nor can a person sell or transfer an NFA firearm without the prior approval of the ATF.
According to his November 2019 guilty plea, on October 5, 2018, Piccirilli took an MKE 5.56mm caliber firearm, which had been altered to convert it into a fully automatic short-barreled rifle, bringing the firearm under the regulation of the NFA, to the home of another individual, who was a licensed gun dealer in Maryland. Piccirilli, formerly a police officer in Brunswick, Maryland, legally owned non-NFA firearms and had the skill and expertise to convert non-NFA firearms into NFA firearms.
Piccirilli admitted that the firearm belonged to him, but it was not registered to him, in violation of the NFA. According to information presented to the Court, Piccirilli tried to launder the unregistered firearm by attempting to have the gun dealer register the illegal firearm and/or sell it, so that the sale of the gun would appear to be legal. In December 2018, Piccirilli attempted to sell the firearm to an ATF undercover agent without ATF’s prior approval and in text messages and recorded calls tried to conceal the nature of the transaction. On December 14, 2018, as Piccirilli left his house to complete the transaction, he was apprehended by ATF agents. Investigators executed search warrants on his house and two vehicles, seizing 10 unregistered fully automatic firearms, one unregistered short-barreled rifle, and seven unregistered silencers.
The District Court ordered Piccirilli to surrender by 2:00 p.m. on March 16, 2020, to begin serving his sentence. The Court communicated the order to Piccirilli orally during the sentencing hearing and in writing in his judgment. Piccirilli’s girlfriend, Kellie Nicole Warfield, age 30, of Mt. Airy, Maryland was present at the January sentencing hearing.
As stated in his September 2021 plea agreement, on January 24, 2020, Piccirilli’s probation officer received an alert that Piccirilli had disabled his ankle monitor and had failed to return home by his curfew. Soon after, law enforcement discovered that Piccirilli and Warfield disposed of their cell phones and sold their vehicle.
As a part of their investigation, ATF investigators and U.S. Marshals interviewed family members, friends, and associates of the couple. As a result of gathered intelligence, investigators discovered that the couple relocated to Ramsey, Indiana.
Further investigation revealed Warfield received Kansas temporary tags for a truck that she and Piccirilli purchased while evading law enforcement. Subsequently, in September 2020, Warfield used her real personal information to apply for an Indiana driver’s license and registration for the truck.
As stated in his plea agreement, on October 13, 2020, investigators arrested Piccirilli and Warfield at a New Salisbury, Indiana restaurant where Warfield worked. At the time, the couple was living in a camper attached to a truck.
As a result of search warrants executed on the truck and camper, law enforcement recovered a 9 mm caliber pistol bearing no serial number, loaded with a full magazine of ammunition, two fully loaded magazines, a A-15 .223/5.56mm caliber rifle, and additional rounds of ammunition. The rifle had a selector switch, converted it into a fully automatic rifle, bringing the firearm under the regulation of the NFA.
In addition, a witness informed investigators that Piccirilli identified himself under the alias of “Jack Davis” and, at one point, asked her to hold a 9 mm caliber pistol and silencer. The witness possessed a bag containing the firearm and silencer belonging to Piccirilli. The silencer lacked a serial number, as required by the NFA. Piccirilli had no NFA firearms registered to him in the NFRTR.
Piccirilli agrees that he was on release for another criminal charge and that he was required by court order to surrender for service of sentence by March 16, 2020. Despite being aware of that requirement, he knowingly and willfully failed to surrender. In addition, he agrees that he knowingly possessed NFA firearms that were not registered to him in the NFRTR. He knew that those objects were NFA firearms.
Piccirilli and the government have agreed that, if the Court accepts the plea agreement, Piccirilli will be sentenced to between 30 to 46 months in federal prison. U.S. District Judge Ellen L. Hollander has scheduled sentencing for November 19, 2021 at 10 a.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
Acting United States Attorney Jonathan F. Lenzner commended the Baltimore and Louisville ATF, U.S. Marshals Service, the Southeast Indiana Regional SWAT Team, and the Indiana State Police for their work in the investigation. Mr. Lenzner also thanked the U.S. Attorney’s Office for the Southern District of Indiana, and Assistant U.S. Attorneys Brandon K. Moore and Patricia McLane, who are prosecuting the case.
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Former Jacksonville Sheriff’s Office Dispatcher Arrested and Charged with Distributing Photos and A Video Depicting the Sexual Abuse of Young ChildrenRead the Press Release
Jacksonville, Florida – Acting United States Attorney Karin Hoppmann announces that Scott Matthew Yotka (37, Jacksonville) has been arrested and charged with distributing images and a video over the internet depicting the sexual abuse of young children. Yotka faces a minimum mandatory penalty of 5 years, and up to 20 years, in federal prison and a potential life term of supervised release. Yotka was arrested by FBI agents at his home on September 17, 2021, and he remains in federal custody pending a detention hearing on September 22, 2021.
According to court documents, on September 15, 2021, Yotka, using the name “Scottnjax44,” utilized a particular social media application (app) to engage in online private conversations with an undercover FBI task force officer in Washington, D.C., who was posing as the parent of a child. Yotka was acting as the administrator of a public chat room on this app. During a private message conversation, Yotka engaged in an explicit conversation with the undercover officer regarding the sexual exploitation of children. Additionally, Yotka sent the undercover officer several photos and one video that depicted young children engaged in sexually explicit conduct. Yotka also stated that he was employed as an “emergency dispatcher” and worked “12 hour shifts.”
The FBI sought emergency disclosure information from the app and AT&T that revealed internet protocol login activity by the “Scottnjax44” account resolved, in part, to Yotka’s residence in Jacksonville and the subscriber listed on that account was “Scott Yotka.” This information also indicated that the app company listed frequent login activity from a second IP address used by the “Scottnjax44” user account, which activity resolved to the City of Jacksonville at the Ed Ball Building located in downtown Jacksonville. On September 16, 2021, FBI agents coordinated with the Jacksonville Sheriff’s Office (JSO) and confirmed that Yotka was at that time employed by JSO as a dispatcher and that he routinely worked a 12-hour night shift.
On the morning of September 17, 2021, the FBI, assisted by the JSO, executed a federal search warrant at Yotka’s residence and arrested Yotka.
A complaint is merely a charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Federal Bureau of Investigation in Jacksonville and Washington, D.C. and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney D. Rodney Brown.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Anyone with information regarding this investigation should contact the FBI Jacksonville office at 904.248.7000.
Florida Man Sentenced to Prison on Federal Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – Christopher Michael Adkins, 37, was sentenced to 78 months in federal prison for possession with intent to distribute heroin and methamphetamine.
According to court documents and statements made in court, law enforcement officers were conducting surveillance on a residence on 8th Street in Huntington on January 19, 2021 in order to locate Adkins who had warrants out for his arrest. When Adkins was observed exiting the residence, a traffic stop was conducted, and officers located in his vehicle 20.6 grams of methamphetamine, 33.8 grams of fentanyl and 13.7 grams of cocaine, as well as digital scales and multiple cell phones. Officers also located a Smith & Wesson .40 caliber pistol. In a Mirandized interview, Adkins admitted that the items in the vehicle were his.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative efforts of the Huntington Violent Crime and Drug Task Force and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Ryan A. Keefe 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. 3:21-cr-00031.
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Flandreau Woman Charged with Assaulting a Federal OfficerRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Flandreau, South Dakota, woman has been indicted by a federal grand jury for Assaulting, Resisting, and Impeding a Federal Officer.
Caley Studsdahl, age 24, was indicted on September 9, 2021. She appeared before U.S. Magistrate Judge Veronica L. Duffy on September 15, 2921, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to eight years in federal prison and/or a $250,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on April 21, 2020, Studsdahl forcibly assaulted, resisted, opposed, impeded, intimidated, and interfered with the Acting Chief of the Flandreau Santee Sioux Tribe while he was engaged in the performance of his official duties and said conduct involved physical contact.
The charge is merely an accusation and Studsdahl is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation and the Flandreau Santee Sioux Tribe. Assistant U.S. Attorney Ann M. Hoffman is prosecuting the case.
Studsdahl was released on bond pending trial which has been set for November 23, 2021.
Dominican National Pleads Guilty to Social Security Misuse and Stealing Government BenefitsRead the Press Release
BOSTON – A Dominican national pleaded guilty today in federal court in Springfield in connection with using another individual’s identity to fraudulently obtain government benefits.
Andrea Perez, 48, pleaded guilty to false representation of a Social Security number and theft of government money. U.S. District Court Judge Mark G. Mastroianni scheduled sentencing for Dec. 21, 2021. Perez was indicted in February 2021.
Perez used the identity of a Puerto Rican citizen to apply for and obtain Housing Choice Voucher Program, commonly known as Section 8, housing assistance benefits as well as to receive disability benefits from the Social Security Administration. As a result, from April 2019 through February 2021, Perez fraudulently received $17,380 in Section 8 housing assistance benefits and, from August 2017 through August 2018, approximately $12,570 in fraudulent Social Security benefits.
The charge of false representation of a Social Security number provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. The charge of theft of government money provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Jermaine Jack, Acting Special Agent in Charge of the Social Security Administration, Office of Inspector General, Boston Field Office; and Christina Scaringi, Special Agent in Charge of the Department of Housing and Urban Development, Office of Inspector General, made the announcement today. Special Assistant U.S. Attorney Karen Burzycki of Mendell’s Major Crimes Unit is prosecuting the case.
Dodge County Man Arrested, Charged with Impersonating a Federal AgentRead the Press Release
MINNEAPOLIS – A federal criminal complaint has been filed against a Dodge County man for impersonating a federal law enforcement officer, announced Acting United States Attorney W. Anders Folk.
According to court documents, on August 17, 2021, the FBI received a tip that Reyel Devon Simmons, 52, of Dodge Center, was impersonating a federal agent with the United States Department of Homeland Security. The investigation revealed that Simmons used the false name “Rey Reeves,” and regularly held himself out as a federal agent on social media. Simmons, who had nearly 10,000 followers on TikTok, used a profile photo that showed him wearing law enforcement gear and made several posts displaying law enforcement equipment, badges, and firearms, and referring explicitly and implicitly to himself as a federal agent.
According to court documents, Simmons is not, and has never been, employed by the United States Department of Homeland Security.
Anyone who has had an interaction with Simmons is asked to contact the FBI at 1-800-CALL-FBI or submit tips online at tips.fbi.gov.
This case is the result of an investigation conducted by the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Dodge County Sheriff’s Office.
Assistant U.S. Attorney Alexander D. Chiquoine is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Delaware County Man Charged with Sexually Exploiting a ChildRead the Press Release
SYRACUSE, NEW YORK – Jeremie Hoyt, age 41, of Davenport, New York, appeared today in federal court on charges that he sexually exploited a child.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Matthew Scarpino, Acting Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
The criminal complaint alleges that in November 2020, Hoyt produced a sexually explicit photograph and video of a 14-year-old child. Hoyt later distributed the image and video over the Internet to other users on a messaging application. United States Magistrate Judge Miroslav Lovric ordered Hoyt to be detained pending trial. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
If convicted, Hoyt faces a mandatory minimum term of imprisonment of 15 years and a maximum term of imprisonment of 30 years, a maximum fine of $250,000, and a term of supervised release of between 5 years and life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Hoyt would also be required to register as a sex offender.
This case is being investigated by HSI, with assistance from the Delaware County District Attorney’s Office and the New York State Police. The case is being prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown as part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Delano Resident Pleads Guilty to Unlawfully Possessing FirearmRead the Press Release
FRESNO, Calif. — Christopher Howard, 33, of Delano, pleaded guilty today to being a felon in possession of a firearm, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, in the evening of April 28, 2021, police officers encountered Howard in Delano while he was carrying a bag that contained a loaded 9 mm caliber handgun and an additional loaded high-capacity magazine. Howard cannot lawfully possess firearms or ammunition because he has sustained numerous felony convictions, including for possession of a stolen vehicle, possession of stolen property, escape, and twice for second degree burglary.
This case was the product of an investigation by the Federal Bureau of Investigation and the Delano Police Department. Assistant U.S. Attorney Christopher D. Baker is prosecuting the case.
Howard is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Dec. 13, 2021. Howard faces a maximum term of 10 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
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.
Columbus Man Pleads Guilty to Possession of a Firearm by a Convicted FelonRead the Press Release
Jackson, Miss. – A Columbus man pleaded guilty to possession of a firearm by a convicted felon, announced Acting U.S. Attorney Darren J. LaMarca and Special Agent in Charge Kurt Thielhorn of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
According to court documents, Greggory LaShawn Gavin, 44, was found in possession of a firearm by United States Marshals on November 9, 2020, while he was being served with an arrest warrant for an unrelated criminal charge. Gavin has four prior felony convictions. As a convicted felon, it is contrary to federal law for Gavin to possess any firearm.
Gavin is scheduled to be sentenced on December 9, 2021 and faces 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.
The United States Marshal Service and the Bureau of ATF are investigating the case.
Assistant U.S. Attorney Charles W. Kirkham 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.
Chicago, Illinois Man Pleads Guilty to Conspiracy to Distribute HeroinRead the Press Release
On September 21, 2021, Daryl Wheeler, Age 46, of Chicago, Illinois pleaded guilty to one count of conspiracy to distribute 100 grams or more of a mixture or substance containing a detectable amount of heroin, before United States District Court Judge John A. Ross.
With his plea Wheeler admitted that he and his associates distributed some 538 grams of heroin in the Charleston, Mississippi County Missouri area between September 14, 2017 and February 23, 2019.
Wheeler faces a minimum sentence of five years incarceration, up to a maximum sentence of forty years imprisonment. Wheeler’s sentencing is set for December 21, 2021 in Cape Girardeau, Missouri.
The case was investigated by the, Missouri State Highway Patrol, Southeast Missouri Drug Task Force and the Bureau of Alcohol, Tobacco, Explosives and Firearms. Assistant United States Attorney Timothy Willis handled the prosecution for the government.
Chevy Chase Man Facing Federal Indictment for Allegedly Posing as an Investment Advisor to Steal $750,0000 from a Non-Profit Organization Providing Services to Combat and Wounded Military VeteransRead the Press Release
Greenbelt, Maryland – A federal grand jury has returned an indictment charging Brian McQuade, age 70, of Chevy Chase, Maryland, for the federal charges of wire fraud related to a scheme to steal $750,000 from a non-profit organization providing services to military veterans. The indictment was returned on September 2, 2021 and unsealed today upon McQuade’s arrest. McQuade had an initial appearance scheduled today at 1:30 p.m., in U.S. District Court in Greenbelt before U.S. Magistrate Judge Charles B. Day.
The indictment was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Special Agent in Charge Thomas J. Sobocinski of the Federal Bureau of Investigation, Baltimore Field Office.
According to the two-count indictment, from June 2018 until August 2021, McQuade perpetrated a fraud scheme to obtain money from a non-profit organization that provided services to combat and military veterans (the “Foundation”). During that time, McQuade allegedly held himself out as an investment advisor to clients, including the Foundation, falsely telling clients that he would manage investment accounts on their behalf. Instead, McQuade allegedly misappropriated the funds provided by clients, including the Foundation, for his personal use.
The indictment alleges that McQuade represented to the Foundation and its principals that he was worked as an investment advisor through an entity called Columbia Financial Advisors, LLP (“Columbia Financial”), which McQuade represented was the investment advisory arm affiliated with an established DC accounting firm. In reality, the Indictment alleges, McQuade had not been formally affiliated with the accounting firm since at least 2015. McQuade also represented to the Foundation that he was a licensed, registered investment advisor, including on an “Investment Advisory Agreement” he provided to the Foundation before the Foundation made its investment. McQuade allegedly told the Foundation that he would place the Foundation’s funds in a brokerage account that he would manage on behalf of the Foundation and McQuade provided the Foundation with a completed brokerage account application.
Based on McQuade’s representations, the Foundation wired McQuade $750,000 to invest on the Foundation’s behalf. According to the indictment, McQuade never opened a brokerage account on behalf of the Foundation and, instead, McQuade misappropriated the Foundation’s funds for his personal benefit, including transferring the funds to personal accounts and spending the money on restaurants, country club dues, luxury car payments, mortgages, and other personal items. To conceal his misappropriation of the Foundation’s funds, McQuade allegedly continued to make misrepresentations to the Foundation about their investment—even providing a fabricated account statement, to create the false appearance that the Foundation’s funds were held in an investment account for the benefit of the Foundation. To date, despite repeated requests, the Foundation has been unable to recover any of its funds.
If convicted, McQuade faces a maximum sentence of 20 years in federal prison for each of two counts of wire fraud. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Acting United States Attorney Jonathan F. Lenzner commended the FBI for its work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorneys Caitlin R. Cottingham and Jessica C. Collins, who are prosecuting the federal case.
The Maryland U.S. Attorney’s Office and the FBI are continuing to investigate this matter. If you believe that you may have been a victim of or have information about McQuade or any other investment fraud scheme, please contact the FBI, Baltimore Field Office at 1-800-CALL-FBI.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit www.justice.gov/usao-md and https://www.justice.gov/usao-md/community-outreach.
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Carterville Nurse Sentenced on Felony Drug and Health Care Fraud ChargesRead the Press Release
BENTON, Ill. – A Carterville man was sentenced on Thursday, September 16 to four years of probation
for drug diversion and health care fraud charges. Joseph M. Mattingly, 42, was also ordered to pay
a $500 fine along with a $200 special assessment.According to court documents, Mattingly diverted Schedule II controlled substance (Hydrocodone)
pills from a patient and defrauded the Medicare program of the cost of the pills.In 2018, Mattingly was employed as a nurse with Progress Port, a center for adults with
intellectual disabilities in Williamson County. Between August 20, 2018 and October 30,
2018, Mattingly obtained possession of 25 Hydrocodone pills he falsely claimed he
dispended to a Progress Port resident, which he diverted for his own personal use.
Mattingly took three Hydrocodone pills intended for the same Progress Port resident and
replaced those pills with Tylenol, an over-the-counter medication at three separate locations.The investigation was conducted by the United States Department of Health and Human Services,
Office of Inspector General - Office of Investigations and the Illinois State Police Medicaid Fraud
Control Bureau.If you suspect or know of an individual or company that is not complying with healthcare laws or
public aid programs, you may report this activity to the local office of the U.S. Department of
Health and Human Services, Office of Inspector General, or you may call 1.800.447.8477.
Career Criminal Sentenced to Life in Federal Prison in Connection with Fort Myers Night Club ShootingRead the Press Release
Fort Myers, FL – U.S. District Judge Sheri Polster Chappell has sentenced Jonathan Anthony Reid (32, Gibsonton) to life in federal prison for possessing a firearm and ammunition as a previously convicted felon, in connection with the shooting of two men outside a Fort Myers night club in January 2020.
Reid was found guilty by a federal jury on March 11, 2021.
According to evidence presented at trial, in the early morning hours of January 29, 2020, Reid shot two men who were standing in front of the entrance of a night club on Cleveland Avenue in Fort Myers then fled the scene in a silver sedan with a stolen license plate. Reid made efforts to conceal his identity during the shooting by wearing a hooded sweatshirt, gloves, and a ski mask, but he later crashed and abandoned his getaway car while fleeing from the shooting scene. From his wrecked getaway car, law enforcement recovered a Glock .45 caliber handgun, nine rounds of .45 caliber ammunition, a camouflage ski mask, a hooded sweatshirt, and blue latex gloves. DNA analysis later revealed that Reid’s DNA profile matched DNA extracted from the ski mask, the sweatshirt, a ripped latex glove, and the firearm that was recovered from the vehicle. Three cellphones were also found in the car, all of which were later connected to Reid.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Fort Myers Police Department, the Federal Bureau of Investigation, the Florida Department of Law Enforcement, and the Hillsborough County Sheriff’s Office. It was prosecuted by Assistant United States Attorneys Simon R. Eth and Shannon Laurie.
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.
Buffalo Man Arrested and Charged with Drug and Gun PossessionRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. — U.S. Attorney James P. Kennedy, Jr. announced today that Luis Miguel Cruz Del Moral, 37, of Buffalo, NY, was arrested and charged by criminal complaint with possessing with intent to distribute a controlled substance and possessing a firearm in furtherance of a drug trafficking crime. The charges carry a minimum penalty of five years in prison, maximum penalty of life in prison and a $1,000,000 fine.
Assistant U.S. Attorney Meghan E. Leydecker, who is handling the case, stated that according to the complaint, on the morning of September 17, 2021, Buffalo Police, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and Federal Bureau of Investigation executed a New York State search warrant at Cruz Del Moral’s Ontario Street residence. During the search, investigators recovered five firearms, ammunition, a ballistic vest, two vials of suspected cocaine, drug packaging materials, and three scales with suspected cocaine residue.
Simultaneous to the execution of the Ontario Street search warrant, a separate search warrant was executed at a residence on South Lane in Buffalo. As investigators entered the residence, they encountered the defendant in the bathroom. In the toilet, law enforcement recovered a ripped-open plastic bag, and observed the toilet bowl lined with suspected cocaine. Investigators also found a loaded pistol in the bathroom. During the search, approximately 1 ½ grams of suspected cocaine, a large cocaine press, a small cocaine press, a digital scale with suspected cocaine residue, and $7,111 in United States currency was seized. A rifle, two magazines, ammunition, and glassine envelopes were also recovered from Cruz-Del Moral’s vehicle. The defendant was arrested at the scene.
The complaint is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. DeVito, New York Field Division; the Federal Bureau of Investigation, Safe Streets Task Force, under the direction of Special Agent-in-Charge Stephen Belongia; and the Buffalo Police Department, under the direction of Commissioner Byron Lockwood.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Browning man admits meth trafficking on Blackfeet Indian ReservationRead the Press Release
GREAT FALLS – A Browning man accused of being a methamphetamine dealer on the Blackfeet Indian Reservation admitted to a trafficking crime today, Acting U.S. Attorney Leif M. Johnson said.
Steven Roy DeCarlo, 31, pleaded guilty to possession with intent to distribute controlled substances. DeCarlo faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for Jan. 13. DeCarlo was detained pending further proceedings.
In court documents, the government alleged that law enforcement had several encounters with DeCarlo in 2020, including responding on July 31, 2020 to a report of gunshots in a field on the reservation. Officers saw two vehicles at the scene, one of which drove away. DeCarlo was in his vehicle, which remained. During a consent search of the vehicle and DeCarlo, officers found drug paraphernalia and $500. Meanwhile, the second vehicle, driven by a person identified as Jane Doe, returned. Officers executed a search warrant on that vehicle and found $1,500 and meth.
DeCarlo told investigators that he and Jane Doe were involved in getting meth, which Jane Doe had been distributing. DeCarlo told officers he had financed multiple purchases of meth that Jane Doe had made with the supplier. DeCarlo later admitted to personally bringing a pound of meth from out of state to the reservation for distribution. A pound of meth is the equivalent of 3,624 doses.
Assistant U.S. Attorney Ethan R. Plaut is prosecuting the case, which was investigated by the FBI, Homeland Security Investigations and Blackfeet Law Enforcement Services.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Brockton Man Pleads Guilty to Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
BOSTON – A Brockton man pleaded guilty on Friday, Sept. 17, 2021 to illegally possessing a Smith & Wesson, .40 caliber pistol and ammunition.
David Dardy, 32, pleaded guilty to one count of possessing a firearm and ammunition while being a convicted felon. U.S. Chief District Court Judge F. Dennis Saylor IV scheduled sentencing for Feb. 7, 2022. Dardy was indicted in November 2020.
On or about Sept. 19, 2020, Dardy possessed a Smith & Wesson, .40 caliber pistol. The firearm was loaded with five rounds of .40 caliber “Federal 40 S&W” ammunition, five rounds of .40 caliber “Perfecta 40 S.W.” ammunition, two rounds of .40 caliber “PPU 40 S&W” ammunition and one round of .40 caliber “FC NR 40 S&W” ammunition.
The charge of being a convicted felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement. Assistant U.S. Attorney Kaitlin R. O’Donnell of Mendell’s Organized Crime and Gang Unit is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Boulder City Man Sentenced for Assaulting Wife at Lake Mead National Recreation AreaRead the Press Release
LAS VEGAS, Nev. – A Boulder City man — with a history of domestic violence — was sentenced today to 20 months in prison for assaulting his wife when they were camping together at Lake Mead National Recreation Area.
According to court documents and evidence presented at trial, on September 21, 2020, Michael David Thompson, 66, repeatedly punched the victim’s face and body while camping at the Boulder Beach Campground within the Lake Mead National Recreation Area. The victim suffered significant injuries.
In May 2021, following a three-day trial, a federal jury convicted Thompson of one count of felony assault resulting in substantial bodily injury to a spouse or intimate partner. In addition to the prison term, U.S. District Judge Jennifer A. Dorsey sentenced Thompson to two years of supervised release.
Thompson was previously convicted in 2008 of misdemeanor battery and felony intimidation of a witness for assaulting his then-girlfriend. While on probation, he committed a second felony battery against the same victim. In 2001, he was convicted of battery against a child.
Acting U.S. Attorney Christopher Chiou for the District of Nevada made the announcement.
This case was investigated by the National Park Service. Special Assistant U.S. Attorney Rachel Kent and Assistant U.S. Attorney Joshua Brister prosecuted the case.
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Boston Man Sentenced for Fentanyl and Cocaine ConspiracyRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for his involvement in a drug trafficking conspiracy.
Sandro Pereira Cabral, 25, was sentenced by U.S. District Court Chief Judge F. Dennis Saylor IV to one year in prison and three years of supervised release. On May 19, 2021, Cabral pleaded guilty to conspiracy to distribute and to possess with intent to distribute 40 grams or more of fentanyl and cocaine.
In October 2017, Cabral delivered approximately 4.95 grams of fentanyl to an undercover officer in Boston. Cabral was charged as part of an investigation into a drug trafficking organization distributing large quantities of fentanyl, cocaine and other controlled substances in the greater Boston area.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; James Ferguson, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorneys Corey Steinberg and John Mulcahy of Mendell’s Criminal Division prosecuted the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bergen County Woman Admits Embezzling Money from Guided Tour Company and Subscribing to False Tax ReturnsRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, woman today admitted participating in a multi-year embezzlement scheme and subscribing to a false personal income tax return, Acting U.S. Attorney Rachael A. Honig announced.
Estela Laluf, 76, of River Edge, New Jersey, pleaded guilty by videoconference before U.S. District Judge Julien Xavier Neals to an information charging her with one count of wire fraud and one count of subscribing to a false tax return.
According to documents filed in this case and statements made in court:
Between October 2010 and August 2016, Laluf held a management position at a New Jersey guided-tour company. During that time, Laluf and another employee, who held an accounting position at the company and had authority to write checks against the company’s bank accounts, devised a scheme to embezzle funds from the company. Laluf would direct the employee to write company checks to actual company employees and contractors, which did not reflect any actual work or services done by those individuals. The employee would then cash these checks, and Laluf and the employee would convert the resulting funds to their personal use. Laluf and the employee embezzled hundreds of thousands of dollars from the company. Laluf then fraudulently omitted the proceeds of the embezzlement scheme from her tax year 2016 tax return.
The charge of wire fraud carries a maximum penalty of 20 years in prison and a $250,000 fine. The charge of subscribing to a false tax return carries a maximum penalty of three years in prison and a $250,000 fine. Sentencing is scheduled for Jan. 24, 2022.
Acting U.S. Attorney Honig credited postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Raimundo Marrero, and special agents of IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Andrew M. Trombly of the Cybercrime Unit in Newark.
Bangor Man Sentenced for Possessing Images of Child Sexual Exploitation and Violating Supervised ReleaseRead the Press Release
PORTLAND, Maine: A Bangor man was sentenced today in U.S. District Court in Portland for possessing images of child sexual exploitation and violating the terms of his supervised release, Acting U.S. Attorney Donald E. Clark announced.
U.S. District Judge John A. Woodcock, Jr. sentenced Robert Goguen, 46, to a total of 16 years in prison—14 years for possessing images of child sexual exploitation, and two years for violating the conditions of supervised release. Judge Woodcock also sentenced Goguen to 20 years of supervised release following his term of imprisonment. Goguen pleaded guilty and admitted the supervised release violation on September 15, 2017.
According to court records, on November 10, 2015, U.S. probation officers went to Goguen’s apartment in Bangor and seized a laptop computer. A forensic search of the computer revealed images and videos of child sexual exploitation that Goguen had downloaded and saved. At the time, Goguen was on federal supervised release following a 2012 conviction for failing to register as a sex offender.
Homeland Security Investigations and the Bangor Police Department investigated the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Acting U.S. Attorney Kaufman Launches Media Campaign to Connect Western Pennsylvanians Needing Drug Treatment with Recovery ResourcesRead the Press Release
PITTSBURGH – Acting United States Attorney Stephen R. Kaufman announced today, Press Play PA, a media messaging campaign aimed at connecting western Pennsylvania individuals with substance use disorder to life-saving treatment.
In 2020, 123 people died from an overdose in Westmoreland County, an increase of nearly seven percent over 2019. In Allegheny County, there were 689 overdose deaths in 2020, up 22 percent from 564 in 2019.
Press Play PA includes billboards, bus shelter ads, and bus boards placed in Westmoreland and eastern Allegheny County locations experiencing high rates of overdose deaths. Targeted social media ads link individuals to a treatment database searchable by community, overdose statistics, and information about law enforcement initiatives and outreach. The messaging campaign encourages the public to learn more about treatment and resources at www.PressPlayPA.com and www.FindTreatment.gov.
“The Press Play PA campaign works to connect western Pennsylvanians experiencing substance use disorder to recovery resources,” said Acting U.S. Attorney Kaufman. “Treatment options are available across the state and our campaign aims to encourage people to seek treatment and press play on life. Our message is simple: treatment is effective and recovery is possible.”
The U.S. Attorney’s Office created the Press Play PA campaign with funding from the Ohio High Intensity Drug Trafficking Area (HIDTA). In 2020, Westmoreland joined three other southwestern Pennsylvania counties - Allegheny, Beaver and Washington - in receiving critical federal resources to coordinate federal, state and local governments to fight drug trafficking and abuse. Earlier this year, Erie County received HIDTA designation.
Acting U.S. Attorney Kaufman was joined by Westmoreland County District Attorney John Peck and Westmoreland County Judge Meagan Bilik-DeFazio of the Westmoreland County Drug Court in making the announcement.
The campaign was launched during Nation Recovery Awareness Month, a national observance held every September to promote and support new evidence-based treatment and recovery practices, the emergence of a strong and proud recovery community, and the dedication of service providers and community members across the nation who make recovery in all its forms possible. The focus of National Recovery Month this September is to celebrate all people that make the journey of recovery possible by embracing the 2021 theme, Recovery is For Everyone: Every Person, Every Family, Every Community. Recovery Month spreads the message that people can and do recover every day.
Acting U.S. Attorney Ellison C. Travis Announces $16,506,360 Award to Enhance Crime Victim Services and Compensation PaymentsRead the Press Release
Acting U.S. Attorney Ellison C. Travis announced that the Middle District of Louisiana received $16,506,360 from the Department of Justice’s Office of Justice Programs and its component, the Office for Victims of Crime, to enhance crime victim services in the State and to enhance State compensation payments to eligible crime victims. Victims of Crime Act (VOCA) compensation funds provide financial assistance to Federal and State victims of crime. The funds are typically awarded by the State to local community-based organizations that provide direct services to crime victims.
The recipient of this award, the Louisiana Commission on Law Enforcement, is a foundation located in Baton Rouge dedicated to improving the operations of the criminal justice and juvenile justice systems and to promoting public safety by providing progressive leadership and coordination within the criminal justice community.
Acting U.S. Attorney Travis stated, “The Department of Justice is committed to the rights of victims, and while United States Attorney Offices enforce federal criminal law and bring offenders to justice, these awards are important to provide comfort and peace of mind to those that have suffered at the hands of the criminal element.”
10-Year Sentence for Barre Man Who Sexually Exploited a Child over the InternetRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Alexander Chase, 25, of Barre, Vermont, was sentenced today to serve 121 months in prison, followed by a 20-year term of supervised release, for child exploitation crimes, including obtaining images from a child victim and distributing them to others via email. United States District Judge William K. Sessions also ordered Chase to pay $3,000 of restitution to the victim of the offense.
According to court records and proceedings, in the summer of 2019, Chase posed as a 14-year-old boy on a child chat website. Chase began corresponding with a 10-year-old girl from Pennsylvania on the chat platform, eventually transitioning to the use of email. Chase sent the girl a photo of his own genitalia and asked for images of her genitalia in return. In response, the 10-year-old child sent pictures of her vagina. Chase then asked the girl for her to pose in a particular manner using a marker or pen as a sexual implement, which led the girl to respond with a picture of herself engaged in conduct similar to what Chase had requested. During the email correspondence, Chase asked the girl if she would be able to get to Vermont and meet him at his location to engage in sexual contact.
Chase’s emails led to a notification by the email service provider to the National Center for Missing and Exploited Children. NCMEC notified the Vermont Internet Crimes Against Children task force, who in turn notified Homeland Security Investigations in Derby, Vermont. HSI obtained a search warrant for Chase’s email account, and through its contents and other investigative steps, determined Chase was the likely user of the account. The email contents revealed Chase had distributed the child pornography of the 10-year-old child to others. Chase also had received additional images of child pornography through his email account.
HSI’s investigation revealed Chase was living at a residence in Barre, Vermont. On September 18, 2020, HSI executed a search warrant at Chase’s residence, resulting in the seizure of electronics which were subsequently determined to contain additional child pornography. The electronic devices also had evidence corroborating that Chase had enticed the 10-year-old victim to send the images. At the time of the criminal conduct for which Chase was sentenced today, Chase was subject to probationary supervision for a prior conviction for Lewd and Lascivious Conduct in Caledonia County, Vermont related to the sexual abuse of young children.
Acting United States Attorney Jonathan A. Ophardt commended the coordinated investigatory efforts of the Department of Homeland Security’s Homeland Security Investigations, the Vermont Internet Crimes Against Children Task Force, and the Office of the District Attorney of Butler County, Pennsylvania in this matter. “Online sexual predators who exploit children through deceit and manipulation cause significant harm to the children they victimize. These criminals may not leave behind physical scars, but they nonetheless leave wakes of trauma, necessitating substantial therapy and support to assist survivors in their recovery. Once disseminated on the internet, these images are often shared over and over, exacerbating the victimization that these children experience.”
“Chase deceived and coerced a child to obtain exploitative imagery. With our partners on the Vermont Internet Crimes Against Children task force, HSI is working to protect our children online and ensure those who seek to prey on them face consequences,” said Matthew Millhollin, Special Agent in Charge for the Homeland Security Investigations’ Boston Field Office.
Acting United States Attorney Jonathan A. Ophardt handled the prosecution. Chase was represented by Assistant Federal Public Defender Steven Barth, Esq.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and Child Exploitation Obscenity Section, Criminal Division (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
$26.6 Million in Allegedly Illicit Proceeds to Be Used to Fight COVID-19 and Address Medical Needs in Equatorial GuineaRead the Press Release
The Department of Justice announced today that it has entered into agreements to distribute $19.25 million to the United Nations for the purchase and distribution of COVID-19 vaccines and $6.35 million to Medical Care Development International (MCDI) for the purchase and distribution of medicines and medical supplies throughout Equatorial Guinea as part of the implementation of a civil forfeiture settlement resolving the disposition of certain assets previously allegedly purchased by the current First Vice President of Equatorial Guinea Teodoro Nguema Obiang Mangue (Obiang Mangue) with the proceeds of corruption.
In the civil forfeiture matter United States v. One Michael Jackson Signed Thriller Jacket, No. 2:11-CV-03582 in the Central District of California, and related cases, the United States alleged that Obiang Mangue, who in 2011 was Minister of Agriculture and Forestry and received an official government salary of less than $100,000, used his position and influence to amass more than $300 million worth of assets through corruption and money laundering, in violation of both U.S. and Equatoguinean law.
Pursuant to the terms of a 2014 settlement agreement, Obiang Mangue was required to sell a Malibu, California, mansion that he purchased for $30 million, a Ferrari automobile and various items of Michael Jackson memorabilia, and to contribute $1 million representing the value of other property. As provided in the agreement, $10.3 million of these settlement funds were to be forfeited to the United States and the remaining settlement funds would be distributed to a charity or other organization for the benefit of the people of Equatorial Guinea. The Department of Justice has committed to returning the forfeited funds for the benefit of the people of Equatorial Guinea.
“Wherever possible, Kleptocrats will not be allowed to retain the benefits of corruption,” said Assistant Attorney General Kenneth A. Polite Jr. of the Justice Department’s Criminal Division. “The department’s tenacity in ensuring that these funds be returned for the benefit of the people of Equatorial Guinea demonstrates our commitment to making sure a nation’s resources are used to benefit the people of that nation and are not siphoned off inappropriately.”
As set forth in a donor agreement with the United Nations, the United Nations will use $19.25 million in settlement funds to purchase, store, distribute and administer COVID-19 vaccines to at least 600,000 people in Equatorial Guinea. In addition, MCDI, a charitable organization in Silver Spring, Maryland, with an established track record of administering programs in Equatorial Guinea, will receive $6.35 million to manage the purchase, storage, distribution and delivery of additional medicines and medical supplies throughout Equatorial Guinea.
Chief Gene Patton of Program Operations, and Deputy Chief Adam J. Schwartz of the International Unit of the Criminal Division’s Money Laundering and Asset Recovery Section handled the resolution of this matter.
Sunday 19 September 2021
Baton Rouge Laboratory Owner and Florida Woman Charged with Scheme to Pay and Receive Health Care Kickbacks as Part of National Enforcement ActionRead the Press Release
The Medicare Fraud Strike Force (“MFSF”) is part of a joint initiative between the U.S. Department of Justice, U.S. Department of Health and Human Services and state Medicaid Fraud Control Units to reduce and prevent Medicare and Medicaid fraud through enhanced interagency cooperation. Its purpose is to focus on the worse offenders in fraud, in the highest intensity regions, using data analysis techniques to identify abnormal billing levels in health care fraud “hot spots,” i.e., cities with unusually high levels of billing and other fraud. The U.S. Department of Justice currently maintains 15 strike forces operations in 24 federal districts and has charged more than 4,600 defendants who have collectively billed federal health care programs and private insurers for approximately $23 billion. In addition, the HHS Centers for Medicare and Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
As part of the recent National Enforcement Action, Acting United States Attorney Ellison C. Travis announced new charges against two individuals for health care related crimes in Baton Rouge. On September 9, 2021, a federal grand jury returned a seven-count indictment charging Terry Steven Wilks, Jr., age 39, of Greenwell Springs, Louisiana, and Leslie Amanda McHugh, age 36, of Riverview, Florida, with conspiracy to defraud the United States and to pay and receive kickbacks, offering and paying kickbacks, and soliciting and receiving kickbacks.
According to the indictment, Wilks was the owner of Acadian Diagnostic Laboratories, LLC, a clinical laboratory based in Baton Rouge that provided diagnostic testing services, including urine drug testing. Acadian was enrolled as a Medicare and a TRICARE provider. McHugh was formerly a registered nurse licensed in the State of Florida. The indictment alleges that in 2015, the Florida Board of Nursing revoked McHugh’s nursing license, and in 2016, Medicare excluded her from participation in all federal health care programs. According to the indictment, despite her exclusion and subsequent purported termination from Acadian, Wilks continued to pay McHugh to refer doctors’ orders and specimens to Acadian for urine drug testing in exchange for kickback payments. These payments were allegedly made in cash, as well as funneled through a company created by Wilks. The indictment alleges that from August 2017 to April 2018, Wilks and McHugh caused Acadian to submit approximately $549,580 in claims to Medicare and $17,612 in claims to TRICARE for laboratory testing services that were referred by McHugh in exchange for kickback payments.
Acting U.S. Attorney Ellison Travis stated, “My office will continue to work tirelessly with our outstanding federal, state and local partners to identify and bring justice to those who commit healthcare related crimes. This takedown was a team effort, and I commend the excellent work performed by our prosecutors and the men and women of the agencies involved.”
“Today's indictment sends a clear message to individuals like Terry Wilks and Leslie McHugh who engage in kickback schemes which defraud health care programs that they will be held accountable. Mr. Wilks and Ms. McHugh took advantage of a system set up to help patients get much-needed government assistance and instead benefitted themselves," said FBI New Orleans Special Agent in Charge Douglas A. Williams, Jr. "We would like to thank our state and federal partners with the Medicare Fraud Strike Force for their strong partnership and unrelenting pursuit of justice."
Miranda L. Bennett, Special Agent in Charge of the Department of Health and Human Services, Office of Inspector General, Dallas Region, stated: “Today’s indictment is yet another example of our commitment to vigorously defend the Medicare Trust Fund. Paying and receiving kickbacks for referrals undermines federal health care programs. We will continue to pursue those who conduct fraudulent kickback schemes to safeguard the beneficiaries of these programs.”
“I applaud my Medicaid Fraud Control Unit and our partners at the U.S. Attorney’s Office for their efforts to end criminal activity, especially when it is being perpetuated by people who are supposed to be taking care of our State’s vulnerable,” said Attorney General Jeff Landry.
This matter is being investigated by HHS-OIG, the FBI, and the Defense Criminal Investigative Service and was brought as part of the MFSF, supervised by the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Middle District of Louisiana. The case is being prosecuted by Assistant United States Attorney Kristen L. Craig and Department of Justice Trial Attorney Justin M. Woodard.
NOTE: An indictment is an accusation by a grand jury. The defendant is presumed innocent until and unless adjudicated guilty at trial or through a guilty plea.
Saturday 18 September 2021
White River Man Sentenced for Attempted Possession of Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a White River, South Dakota, man convicted of Attempted Possession of Child Pornography was sentenced on September 3, 2021, by Judge Jeffrey L. Viken, U.S. District Court.
Greydon Shangreaux, age 25, was sentenced to time served, equal to approximately three and 1/2 months in custody, followed by five years of supervised release. Shangreaux was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $100 and will be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Shangreaux was arrested and federally indicted as a result of an undercover sex trafficking operation conducted during the 2019 Sturgis Motorcycle Rally, targeting online predators. Following multiple online communications with a person Shangreaux believed to be a 15-year-old girl, but who was in fact an undercover agent, he proceeded to request nude photographs and negotiate a time and place he would meet the minor to engage in unlawful sex acts. When Shangreaux went to the pre-determined location to meet the minor, he was instead met by law enforcement agents and placed under arrest.
This case was investigated by Homeland Security Investigations, South Dakota Division of Criminal Investigation, and the Internet Crimes Against Children Task Force. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Watertown Man Charged with Receipt and Distribution of Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Watertown, South Dakota, man has been indicted by a federal grand jury for Receipt and Distribution of Child Pornography.
Justin Derick Kohrt, age 38, was indicted on September 9, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on September 16, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about March 2, 2021, and June 3, 2021, Kohrt knowingly received, and attempted to receive, child pornography that had been mailed, shipped, and transported in or affecting interstate or foreign commerce by any means, including by computer.
The charge is merely an accusation and Kohrt is presumed innocent until and unless proven guilty.
The investigation is being conducted by Homeland Security Investigations. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
Kohrt was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Wagner Man Sentenced for Abusive Sexual Contact of a Child Under 12 Years OldRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Wagner, South Dakota, man convicted of Abusive Sexual Contact of a Child Under 12 Years Old was sentenced on September 13, 2021, by U.S. District Judge Karen E. Schreier.
Frank Sanchez, age 66, was sentenced to 87 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Sanchez was indicted by a federal grand jury on December 3, 2019. He was found guilty following a three-day jury trial in Sioux Falls, South Dakota.
The conviction stemmed from an incident that occurred between on or about June 1, 2006 and September 1, 2006, in the Marty area, when Sanchez engaged in sexual contact with a female minor who had not attained the age of 12 years.
This case was investigated by the Yankton Sioux Tribal Law Enforcement and the Federal Bureau of Investigation. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Sanchez was immediately turned over to the custody of the U.S. Marshals Service.
Sioux Falls Man Sentenced for Wire FraudRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Sioux Falls, South Dakota, man convicted of Wire Fraud was sentenced on September 13, 2021, by U.S. District Judge Karen E. Schreier.
Dallas Harkness, age 64, was sentenced to 30 months in federal prison, followed by three years of supervised release, restitution in the amount of $738,557.34 to Hoegemeyer Hybrids (formerly Curry Seed Company), and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Harkness was indicted by a federal grand jury on October 6, 2020. He pled guilty on June 21, 2021.
The conviction stemmed from a wire fraud scheme that began on or about January 2010 and continued through September 25, 2018. Harkness was a sales manager for Curry Seed Company located in Elk Point, South Dakota. On multiple occasions during the course of the scheme, Harkness received checks from Curry Seed customers as payment or pre-payment for seed. Instead of sending the checks to Curry Seed for deposit, Harkness falsely and fraudulently deposited some of those customer checks into checking accounts he controlled. Harkness then used the funds for his purposes.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Harkness has been allowed to self-surrender by October 12, 2021.
Sioux Falls Man Charged with Receipt and Distribution of Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Receipt and Distribution of Child Pornography.
Dylan St. Claire, age 30, was indicted on September 9, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on September 14, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about March 10, 2021, and July 21, 2021, St. Claire knowingly received, and attempted to receive, child pornography that had been mailed, shipped, and transported in or affecting interstate or foreign commerce by any means, including by computer.
The charge is merely an accusation and St. Claire is presumed innocent until and unless proven guilty.
The investigation is being conducted by Homeland Security Investigations. Assistant U.S. Attorney Jeffrey C. Clapper is prosecuting the case.
St. Claire was released on bond pending trial which has been set for November 23, 2021.
Sioux Falls Man Charged with Failure to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Sioux Falls, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Ricky Jason Bedlington, Jr., age 42, was indicted on September 9, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on September 15, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, life of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between on or about May 28, 2021, and May 31, 2021, Bedlington, a sex offender by reason of a conviction under state law, unlawfully and knowingly failed to provide information required by the Sex Offender Registration and Notification Act relating to intended travel to a foreign country.
The charge is merely an accusation and Bedlington is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Ann M. Hoffman is prosecuting the case.
Bedlington was released on bond pending trial, which has been set for November 23, 2021.
Rapid City Man Sentenced to Federal Prison for Receiving Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of Receipt of Child Pornography was sentenced on September 3, 2021 by Jeffrey L. Viken, U.S. District Judge.
Caleb Oien, age 26, was sentenced to five years in federal prison, followed by five years supervised release. Oien was also ordered to pay a special assessment to the Federal Crime Victims Fund in the amount of $100, and will be required to register as a sex offender under the Sex Offender Registration and Notification Act.
Oien was arrested and federally indicted following a Cybertip from the National Center of Missing and Exploited Children. The Cybertip included images of child pornography of young children downloaded by Oien to his Dropbox account. A forensic examination of Oien’s devices and Dropbox account revealed well over 600 images of child pornography of children under the age of 12.
This case was investigated by the Internet Crimes Against Children Taskforce. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Oien was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to Federal Prison for Firearm CrimesRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of two counts of Possession of a Firearm by a Prohibited Person was sentenced on September 7, 2021, by Chief Judge Roberto A. Lange, U.S. District Court.
Casey Brasgalla, age 39, was sentenced to five years in federal prison, followed by three years of supervised release for each count. The sentences are to be served concurrently. Brasgalla was also ordered to pay a $200 special assessment to the Federal Crime Victims Fund.
The convictions relate to Brasgalla and another male, both who are prohibited from possessing firearms, possessing firearms which were found after they came into contact with Rapid City Police Department officers in November 2020. Brasgalla was also found to be in possession of a firearm and destructive device in December 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.
Brasgalla was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to Federal Prison for Firearm ChargeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on September 7, 2021, by U.S. District Judge Karen E. Schreier.
Darius Emery, age 33, was sentenced to two years and three months in federal prison, followed by three years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Emery was indicted by a federal grand jury on January 12, 2021. He pleaded guilty on May 7, 2021. The conviction stems from Emery, previously convicted of a felony and prohibited from possessing firearms, possessing a semi-automatic pistol and a double-action revolver, which were found after Emery came into contact with Rapid City Police Department officers in August 2019 and June 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.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Emery was immediately turned over to the custody of the U.S. Marshals Service.
Rapid City Man Sentenced to 30 Years for 15 Internet Crimes Against ChildrenRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of five counts of Sexual Exploitation of a Minor, one count of Attempted Sexual Exploitation of a Minor, six counts of Enticement of a Minor Using the Internet, two counts of Receipt of Child Pornography, and one count of Possession of Child Pornography was sentenced on September 8, 2021, by Judge Karen E. Schreier, U.S. District Court.
Kyle Garret Soto, age 34, was sentenced to 30 years in federal prison, followed by 15 years of supervised release, and ordered to pay a $1500 and a $5,000 special assessment to the Federal Crime Victims Fund.
Soto was indicted by a federal grand jury on May 8, 2018, and was convicted by a jury following a week-long jury trial in Rapid City in April 2021. Between February 2014 and April 2018, Soto engaged in prolific sexual activity with numerous minors over the internet, including demanding, receiving, and sending pornographic images and videos. Soto threatened to distribute the minors’ images and videos online if they failed to comply with his ultimatums to provide him with additional pornographic items. Subsequent to his arrest in April 2018, forensic examination of Soto’s devices revealed hundreds of images of child pornography. Soto’s victims ranged in age from approximately seven years old to 15 years old.
The investigation was conducted by the South Dakota Internet Crimes Against Children Taskforce, South Dakota Division of Criminal Investigation, Homeland Security Investigations, Pennington County Sheriff’s Office, Rapid City Police Department, Rhode Island Internet Crimes Against Children Taskforce, and the New Mexico Office of Attorney General.
Assistant U.S. Attorneys Sarah Collins and Heather Sazama prosecuted the case.
Pine Ridge Man Sentenced to Seven Years on Firearm ChargeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Pine Ridge, South Dakota, man convicted of Use and Brandishing of a Firearm During the Commission of a Crime of Violence was sentenced on August 24, 2021, by Judge Jeffrey L. Viken, U.S. District Court.
Thomas Richards, age 23, was sentenced to seven years in federal prison, followed by five years of supervised release, and ordered to pay a $100 special assessment to the Federal Crime Victims Fund and $320 in restitution to the Corner Pantry convenience store.
Richards was indicted by a federal grand jury on March 10, 2021, and pleaded guilty on May 14, 2021. In February 2021, Richards used a pistol to rob a Corner Pantry convenience store in Rapid City by brandishing the firearm at the store clerk.
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.
Richards was immediately remanded to the custody of the U.S. Marshals Service.
Marty Man Sentenced for Assault with a Dangerous WeaponRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Marty, South Dakota, man convicted of Assault with a Dangerous Weapon was sentenced on September 14, 2021, by U.S. District Judge Karen E. Schreier.
Gordon Primeaux, age 63, was sentenced to 24 months in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Primeaux was indicted by a federal grand jury on October 6, 2020. He pled guilty on June 10, 2021.
The conviction stemmed from an incident on or about August 22, 2020, when Primeaux stabbed the victim with a knife three times, with intent to do bodily harm to the victim.
This case was investigated by the Yankton Sioux Tribe and the Federal Bureau of Investigation. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
Primeaux was immediately turned over to the custody of the U.S. Marshals Service.