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15 October 2021
Gang Member Sentenced to Federal Prison for Firearm ChargeRead the Press Release
Columbia, South Carolina --- Acting United States Attorney M. Rhett DeHart, announced today that Kevin Shacqile Roney, a/k/a “Kevo,” a/k/a “Valentine Roney,” 26, of Columbia, was sentenced to 30 months in federal prison after pleading guilty to being a felon in possession of a firearm and ammunition.
Evidence presented to the court showed that at approximately 1:15am on August 18, 2019, officers in the Five Points area of Columbia observed an individual, later identified as Roney, stash something underneath bushes adjacent to a parking lot. Officers discovered that the item was a loaded 9mm handgun. Officers set up surveillance and arrested Roney on state charges when he returned to retrieve the firearm an hour later. Roney, a gang member, admitted to placing the firearm underneath the bushes. Further investigation revealed a social media video from May 2020 where Roney, who had been released on state bonds, brandished another firearm in the video.
Roney is prohibited from possessing firearms and ammunition based upon his prior felony convictions. Roney has prior state convictions for unlawful carrying of a weapon, burglary 3rd degree, and assault and battery 2nd degree.
United States District Judge Mary Geiger Lewis sentenced Roney to 30 months in federal prison, to be followed by a three-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Columbia Police Department. Assistant United States Attorney Stacey D. Haynes prosecuted the case as part of the as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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Former Omaha Woman Sentenced to Prison for Wire FraudRead the Press Release
Acting United States Attorney Jan Sharp announced that Morgan L. Perkhiser, 37, formerly of Omaha, Nebraska, was sentenced on October 15, 2021, in federal court for wire fraud. Chief United States District Judge Robert F. Rossiter, Jr. sentenced Perkhiser to 21 months’ imprisonment. There is no parole in the federal system. After her release from prison, Perkhiser will begin a two-year term of supervised release. Chief Judge Rossiter also ordered Perkhiser to pay $468,144 in restitution.
An investigation conducted by the Federal Bureau of Investigation determined that from December 2015 through December 2018 Perkhiser was employed by Omaha real estate business D. Thompson Realty as a junior office manager and bookkeeper. While employed by D. Thompson Realty, Perkhiser had access to D. Thompson Realty bank accounts, checks, and other financial documents. Perkhiser was authorized to write and sign checks issued from the D. Thompson Realty bank accounts for certain approved business-related purposes.
While working for D. Thompson Realty Perkhiser electronically deposited into her personal bank account unauthorized checks written by Perkhiser made payable to herself or her husband. On certain checks written to her husband, Perkhiser would fraudulently represent on the checks that payment was for legitimate business purposes. In fact, those checks did not relate to any legitimate business purpose and were not authorized. Checks written by Perkhiser made payable to herself were also not authorized by D. Thompson Realty and were not related to certain approved business-related purposes. Perkhiser used her position with D. Thompson Realty as junior office manager and bookkeeper to conceal the unauthorized checks from her employer.
To deposit each unauthorized check, Perkhiser would take a digital picture of the front and back of the unauthorized check with her cellphone and then using her bank’s mobile application, she would transmit (i.e. wire) those digital images in interstate commerce from the State of Nebraska to her bank’s servers, which are located in the State of California. Once the image of an unauthorized check was wired by Perkhiser, the fraudulently obtained funds were credited to defendant’s bank account.
From December 2015 through December 2018 Perkhiser wrote approximately 190 unauthorized checks that were negotiated from D. Thompson Realty bank accounts to Perkhiser’s personal bank accounts or the account of her husband. Loss to D. Thompson Realty totaled $468,144. Perkhiser used the fraudulently obtained funds to pay for personal “lifestyle” expenses, which included online shopping, food, and other entertainment.
This case was investigated by the Federal Bureau of Investigation.
Former Moline Businessman sentenced to 41 months in connection with scam to rollback odometers at used car dealershipRead the Press Release
DAVENPORT, IA- On Tuesday, October 11, 2021, Bradley Shane McCorkle, age 51, formerly of Moline, Illinois, was sentenced by United States District Court Chief Judge John A. Jarvey to 41 months in prison for conspiracy to commit wire fraud in connection with a scheme to alter and rollback odometer mileage on used cars purchased by his Moline car dealership, 4th Avenue Auto Sales, announced Acting United States Attorney Richard D. Westphal. McCorkle and his co-conspirators tampered with the mileage readings on more than 150 vehicles that were later sold to unsuspecting buyers. The defendants used “straw buyers” to purchase vehicles in their names to “wash” the titles and insulate McCorkle and 4th Avenue from the criminal conduct.
McCorkle was also ordered to pay $85,204 in restitution, serve three years of supervised release following the period of imprisonment, and pay $100 to the Crime Victims’ Fund.
The investigation was conducted by the Iowa Department of Transportation, United States Department of Transportation, National Highway Traffic Safety Administration, Office of Odometer Fraud Investigation, and the Federal Bureau of Investigation. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Former McKinney Man Indicted for COVID-19 Relief FraudRead the Press Release
SHERMAN, Texas – A former McKinney man has been charged with federal violations related to his alleged participation in a scheme to file fraudulent loan applications seeking millions of dollars in forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, announced Acting U.S. Attorney Nicholas J. Ganjei today.
Sinoj Kallamplackal Joseph, 42, was charged in an indictment filed in the Eastern District of Texas with seven counts of wire fraud and three counts of making false statements to a bank. The indictment alleges that Joseph submitted fraudulent applications for over $3 million in PPP loans to an SBA-approved lender in the names of MK Analytics, LLC; Sanbi Solutions, LLC; and KMS Traders Group, LLC. In these applications, Joseph fabricated payroll records, including the number of employees working for his companies and the amounts of his payroll costs, the indictment alleges. The indictment also alleges that Joseph submitted fraudulent documentation in support of his applications. If convicted, Joseph faces up to 20 years in federal prison for the wire fraud charges and up to 30 years in federal prison for making false statements to a bank.
“This indictment is the latest installment in our District’s efforts to hold accountable those who perpetrate fraud on the Paycheck Protection Program,” said Acting U.S. Attorney Nicholas J. Ganjei. “PPP has been a vital tool for American small businesses and their employees who have struggled with the economic fallout from the pandemic. EDTX is committed to pursuing fraudsters who have exploited this program to the detriment of others.”
On May 17, 2021, the Attorney General established the COVID-19 Fraud Enforcement Task Force to marshal the resources of the Department of Justice in partnership with agencies across government to enhance efforts to combat and prevent pandemic-related fraud. The Task Force bolsters efforts to investigate and prosecute the most culpable domestic and international criminal actors and assists agencies tasked with administering relief programs to prevent fraud by, among other methods, augmenting and incorporating existing coordination mechanisms, identifying resources and techniques to uncover fraudulent actors and their schemes, and sharing and harnessing information and insights gained from prior enforcement efforts. For more information on the Department’s response to the pandemic, please visit https://www.justice.gov/coronavirus.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud (NCDF) Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
This case is being investigated by Internal Revenue Service-Criminal Investigation, Small Business Administration - OIG, Federal Reserve Board - OIG, FDIC - OIG, and the Treasury Inspector General for Tax Administration. Assistant U.S. Attorneys Sean J. Taylor and Nathaniel C. Kummerfeld are prosecuting the case.
A federal criminal indictment is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Former Controller Sentenced to 27 Months in Prison for Defrauding George Town ClubRead the Press Release
WASHINGTON - Isabelle Garcia, 56, former controller for the George Town Club, was sentenced today to 27 months in prison on a federal charge of wire fraud stemming from a scheme in which she defrauded the establishment of more than $300,000.
The announcement was made by Acting U.S. Attorney Channing D. Phillips and Wayne A. Jacobs, Special Agent in Charge of the FBI Washington Field Office Criminal Division.
Garcia pleaded guilty in July 2021 in the U.S. District Court for the District of Columbia. She was sentenced by the Honorable John D. Bates. Following her prison term, she will be placed on three years of supervised release. She also is required to pay $300,422 in restitution and an identical amount in a forfeiture money judgment.
According to a statement of offense submitted to the Court at the time of her guilty plea, Garcia began work in 2006 as the controller for the George Town Club, a private dining club located in the District of Columbia. She was responsible for maintaining the club’s financial affairs and had a great deal of discretion. From December 2006 to September 2013, Garcia used her control over financial accounts to make payments to herself and to third parties for her personal benefit. Through her scheme, Garcia wrongfully obtained $300,442.
An investigation led to Garcia’s indictment in 2018 and her subsequent arrest.
In announcing the sentence, Acting U.S. Attorney Phillips and Special Agent in Charge Jacobs commended the work of those who investigated the case from the FBI’s Washington Field Office. They also expressed appreciation for the work of Paralegal Specialist Stephanie Frijas. Finally, they commended the work of Assistant U.S. Attorney Peter Lallas and former Assistant U.S. Attorney Anthony Saler, who prosecuted the case.
Former City of Newark Official and Two Newark Businessmen Indicted in Bribery SchemeRead the Press Release
NEWARK, N.J. – A former Newark city official and officer of the Newark Community Economic Development Corp. (NCEDC), along with two Newark business owners, were indicted today by a federal grand jury in connection with a conspiracy for the official to obtain corrupt payments intended to influence and reward him for assisting the business owners with the acquisition and redevelopment of various Newark-owned properties, Acting U.S. Attorney Rachael A. Honig announced.
Carmelo G. Garcia, 45, of Hoboken, New Jersey, a former Newark official, and Frank Valvano Jr., 52, of Florham Park, New Jersey, and Irwin Sablosky, 60, of Springfield, New Jersey, co-owners of a New Jersey-based pawnbroker and jewelry business, are charged with: one count of conspiracy to defraud the city of Newark and the NCEDC of Garcia’s honest services facilitated by the use of interstate wire transmissions; 17 counts of honest services wire fraud; and four counts of use of interstate facilities to promote and facilitate bribery in violation of the Travel Act. Garcia is additionally charged with three counts of receiving bribes in connection with the business of a federally funded local government and organization and Valvano and Sablosky are additionally charged with three counts of offering those bribes. The defendants will be arraigned in federal court on a date to be determined.
According to documents filed in the case and statements made in court:
From at least 2017 through April 2019, while serving as a high-level Newark official, and prior to that, as an executive officer of the NCEDC (now known as Invest Newark), Garcia sought and received significant monetary payments and other benefits from Valvano, Sablosky, and others in exchange for Garcia’s use of his official positions and influence to advance real estate development matters of interest to Valvano and Sablosky., including securing Newark-approved redevelopment agreements (RDAs) to purchase and acquire various Newark-owned properties for redevelopment, and to ensure that Garcia did not use his influence and authority to act against their interests. Garcia also received jewelry, including multiple high-end watches and chains, from Valvano’s and Sablosky’s pawnbroker and jewelry business, including a Rolex watch with a “Selling Price” of $8,900, a Cartier watch with a “Selling Price” of $3,295, an Omega watch with a “Selling Price” of $7,295, and a chain with a “Selling Price” of $9,345.
Phone records and text messages obtained by law enforcement show extensive communication between Garcia, Valvano, Sablosky, and others throughout this period of time, including text messages in which Garcia arranged to personally collect cash provided by Valvano and Sablosky. In one instance, in June 2018, Garcia, then the City’s acting deputy mayor and director of the city’s Department of Economic and Housing Development (DEHD), received an envelope containing $25,000 in cash, supplied by Valvano through an intermediary, in the restroom of a New Jersey restaurant. Text messages obtained by law enforcement show that Garcia used his personal cellular phone to coordinate the location and timing of the meeting.
In other text messages, Valvano and Sablosky discussed additional payments of money and jewelry the two had made to Garcia, and also to an associate of Garcia (identified in the indictment as “Individual 1”), as well as their ongoing efforts to obtain RDAs with the city to acquire and redevelop Newark-owned properties. E-mails obtained by law enforcement further show the official actions, assistance, and influence Garcia provided in violation of his duties in exchange for the cash and other non-cash benefits he received from Valvano and Sablosky and the actions that Valvano and Sablosky were seeking from Garcia for those benefits.
Defendants also took steps to conceal their corrupt and fraudulent arrangement. For example, they used coded language in their electronic communications to refer to the corrupt cash payments that Garcia accepted and agreed to accept, referring to the payments, for instance, as “docs” and “butter.” Also, Valvano informally kept track of the money and jewelry that Garcia received from Valvano and Sablosky in the form of handwritten notes drafted in a manner intended to obscure Garcia’s identity. The notes, for instance, included a list of figures, some annotated with dates or other notations, under the letter “C,” a veiled reference to Garcia using only the first initial of his first name.
The honest services fraud conspiracy and honest services wire fraud charges each carry a maximum potential penalty of 20 years in prison. The Travel Act charges each carry a maximum potential penalty of five years in prison. The bribery concerning governments receiving federal funds charges each carry a maximum penalty of 10 years in prison. All charges are punishable by a fine of $250,000 or twice the amount of the pecuniary gain from the offense. The indictment also seeks forfeiture of ill-gotten gains obtained from the bribery scheme.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez; and special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Jeffrey J. Manis, Elaine K. Lou, and Jihee G. Suh of the U.S. Attorney’s Office’s Special Prosecutions Division.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Five Men Arrested in the Havensight Mall Area for Conspiracy to Possess with Intent to Distribute 25 Kilograms of CocaineRead the Press Release
St. Thomas, USVI – United States Attorney Gretchen C.F. Shappert announced today that charges have been filed against five men for conspiracy to distribute more than five kilograms of cocaine. Matthew Hazel, Jose Solano, Andrew Wilson, Cesar Thomas, and Lodwin Aahton were arrested Thursday, October 14, 2021, and made their initial appearances in federal court today, October 15, 2021.
According to court documents, on October 13, 2021, a Drug Enforcement Administration (DEA) Confidential Source (CS) met with Jose Solano to discuss the purchase of twenty-five (25) kilograms of cocaine in St Thomas, USVI. During the meeting, Solano agreed to sell the CS twenty-five kilograms of cocaine for $312,000. Cesar Thomas was also present with Solano during the meeting. Solano agreed to conduct the transaction on the following day.
On October 14, 2021, at approximately, 4:01 PM, agents and the CS arrived at the Havensight Mall, St. Thomas, USVI, which was the agreed-upon location for the CS to meet up with Solano for the 25-kilogram exchange. At approximately 4:03 PM, agents observed Solano arrive in a black Toyota Tacoma. Solano parked in the area between the Smoking Rooster and the Post Office, next to where the CS was located. Solano then exited the Tacoma a short time later.
Subsequently, a black Honda Civic, arrived, driven by Cesar Thomas with Andrew Wilson in the front passenger seat. Thomas and Wilson parked in the vicinity of Solano’s vehicle; both exited the vehicle and congregated around both the Honda and the Tacoma for about 45 minutes to an hour. During that time, federal agents observed Wilson on his phone several times, while pacing through the parking lot. Agents also observed Wilson using hand gestures to direct a dark colored Jeep Wrangler and black G35 Infiniti to his location in the Havensight Mall parking lot. The two cars—the Jeep, followed by the Infiniti—arrived on scene at approximately 4:44 PM.
The Jeep, a dark-colored Jeep Wrangler, was driven by Lodwin Ashton. After Ashton parked the Jeep in the same vicinity as the CS, the Tacoma, and the Honda Civic, agents observed Thomas and Wilson approach the Jeep and talk with Ashton. Moments later, the black G35 Infiniti sedan, which bore no license plate, joined the group. The Infiniti was driven by Matthew Hazel, and Jenel Smith was in the backseat.
Agents observed Thomas and Wilson approach Hazel and converse with him. Moments later, agents observed Hazel exit the G35 Infiniti as the trunk of the vehicle sprung open. Agents then observed Thomas, Hazel, and the CS at the rear of the G35 looking into the trunk. Moments later, agents observed Hazel close the trunk as the CS gave a signal to the agents, confirming the presence of kilograms of suspected cocaine to be present within the G35 Infinity.
Agents arrested Solano, Thomas, Wilson, Ashton, Hazel, and Smith, who were later transported to the DEA St. Thomas Resident Office for processing. After the arrest, agents recovered approximately twenty-five (25) brick-like packages of suspected cocaine from the trunk of the G35 Infinity and one (1) loaded semi-automatic Walther Arms handgun; model PPX; bearing serial number FBB2800, which Hazel was sitting on in the driver’s seat. Agents also recovered a second loaded semi-automatic handgun from the Jeep Wrangler, which was located underneath the steering wheel.
This case is being investigated jointly by the Drug Enforcement Administration (DEA), Homeland Security Investigation (HSI), Air Marine Operations (AMO), Bureau of Alcohol Tobacco, Firearms and Explosives (ATF) and Virgin Islands Police Department (VIPD). It is being prosecuted by Assistant United States Attorneys Meredith Edwards and Juan Albino.
United States Attorney Shappert reminds the public that a complaint is merely a formal charging document, and it is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty beyond a reasonable doubt in a court of law.
Finance manager for Great Falls construction company admits embezzlement schemeRead the Press Release
GREAT FALLS – The finance manager of a Great Falls construction company today admitted to fraud in a scheme in which she falsified invoices to steal more than $500,000 from a client for the construction of a residence, Acting U.S. Attorney Leif M. Johnson said.
Lynn Bapp Tempel, 60, pleaded guilty to wire fraud. Tempel faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release. A plea agreement filed in the case calls for Tempel to be responsible for complete restitution, which is estimated at $519,524.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for Feb. 17, 2022. Tempel was released pending further proceedings.
The government alleged in court documents that Tempel managed the finances of William Tempel Construction, which entered into a contract to build a residence for a client. Beginning in May 2013, subcontractors submitted invoices directly to William Tempel Construction. Tempel provided the client invoices in which she had fraudulently inflated the amount of payment required. William Tempel Construction received approximately $4.41 million from the client for the construction of the residence. The investigation determined that Tempel falsified, altered and inflated about 153 subcontractor invoices.
Assistant U.S. Attorney Ryan G. Weldon is prosecuting the case, which was investigated by the FBI and the Great Falls Police Department.
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Federal Grand Jury B Indictments Announced- OctoberRead the Press Release
Acting United States Attorney Clint Johnson today announced the results of the October 2021 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Osakwe Bandele; Marvin Leon Bowie Jr; Larry Hutton. Felon in Possession of a Firearm and Ammunition (Counts 1,3) Felon in possession of ammunition. Bandele, 31, of Tulsa, is charged with being a felon in possession of a Glock .357 caliber pistol and ammunition. Bowie Jr., 40, of Tulsa, is charged with being a felon in possession of ammunition. Finally, Hutton, 47, of Tulsa, is charged with being a felon in possession of a Beretta .40 caliber pistol and ammunition. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Nathan E. Michel is prosecuting the case. 21-CR-466
Garrett Gene Barlow. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. Barlow, 29, of Claremore, is charged with assaulting another individual with a knife on Sept. 22, 2021, in Tulsa. The defendant is alleged to have unsheathed his knife, held it to the victim’s neck in a show of force, threatened the victim, cut the victim’s arm, then punched the victim. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Alex M. Scott is prosecuting the case. 21-CR-467
Tyler Gene Coddington. Kidnapping in Indian Country (Count 1); Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country (Counts 2, 4); Assault of an Intimate/Dating Partner by Strangling and Suffocating in Indian Country (Count 3); Carrying, Using, and Brandishing a Firearm During and in Relation to a Crime of Violence (Count 4); Felon in Possession of a Firearm (Count 5). Coddington, 27, of Tulsa, allegedly threatened the victim with a taser and kidnapped her on Dec. 26, 2019. He took the victim to a remote location where he tased and strangled the victim. Then on Feb 16, 2020, the defendant pointed a loaded firearm at the victim. Coddington is prohibited from possessing a firearm due to a 2017 domestic violence conviction. The Bureau of Alcohol, Tobacco, Firearms and Explosive and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Steven J. Briden is prosecuting the case. 21-CR-460
William Colby Cox. Felon in Possession of Firearms; Possession of Fentanyl with Intent to Distribute; Possession of Methamphetamine with Intent to Distribute; Possession of Firearms in Furtherance of a Drug Trafficking Crime; Maintaining a Drug-Involved Premise (superseding). Cox, 37, of Tulsa, is charged with being a felon in possession of a FEG 9mm pistol, a Rohm GMBH .25 caliber pistol; an Intratec 9mm pistol; a Rohm GMBH .22 caliber revolver; a Lorcin .380 caliber pistol; a Taurus Inc. .22 caliber pistol, and more than 85 rounds of ammunition. Cox, an alleged member of the Irish Mob, is also charged with knowingly possessing with intent to distribute 40 grams or more of fentanyl. He is further charged with knowingly possessing with intent to distribute methamphetamine. He is also charged with possessing firearms to further his drug trafficking crimes and with maintaining a Tulsa residence for the purpose of distributing fentanyl and methamphetamine. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and Tulsa Country Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney David A. Nasar is prosecuting the case. 21-CR-356
Richard Allen Fisher. Receiving, Possessing, and Concealing a Vehicle in Indian Country. Fisher, 37, of Tulsa, is charged with possessing and concealing a stolen vehicle on Sept. 27, 2021. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 21-CR-461
Isaac Ryan Foreman. Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country. Foreman, 20, of Twin Oaks, is charged with stabbing another individual in the neck on Sept. 17, 2021. The FBI and Delaware Country Sheriff’s Office are the investigative agencies. Assistant U.S. Attorney Adam C. Bailey is prosecuting the case. 21-CR-462
Corbin Gaylin Doyle Hairgrove. Felon in Possession of Firearms and Ammunition; Possession of Methamphetamine with Intent to Distribute; Carrying Firearms During and in Relation to a Drug Trafficking Crime. Hairgrove, 25, of Sapulpa, is charged with being a felon in possession of a Taurus 9 mm caliber pistol, a Rossi .38 caliber revolver and 18 rounds of associated ammunition. He is further charged with knowingly possessing with intent to distribute 50 grams or more of methamphetamine and with carrying firearms during and in relation to his drug trafficking crimes. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Bartlesville Police Department are conducting the investigation. Assistant U.S. Attorney Aaron M. Jolly is prosecuting the case.n21-CR-463
Earnest Clay Johnson Jr. Robbery in Indian Country; Assault of an Intimate/Dating Partner by Strangling and Attempting to Strangle in Indian Country; Assault by Striking, Beating, and Wounding (Misdemeanor). Johnson Jr., 31, of Tulsa, took the victim’s car keys, car, social security card and identification card on July 21, 2020, after he allegedly beat and strangled the victim. The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Brandon A. Skates is prosecuting the case. 21-CR-464
Jeremy Aaron Mills. Possession of Child Pornography; Receipt and Distribution of Child Pornography. Mills, 27, of Claremore, is charged with possessing child sexual abuse material depicting minors under the age of 12 engaging in sexually explicit conduct on Oct. 1, 2021. He is further charged with knowingly receiving and distributing child sexual abuse material depicting minors under the age of 12 engaging in sexually explicit conduct from June 6, 2021, to Oct. 1, 2021. U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Leah Paisner is prosecuting the case. 21-CR-468
Jorden Michael Roberts. Failure to Register as a Sex Offender; First Degree Burglary in Indian Country (superseding). Roberts, 35, of Tulsa, is charged with failing to register as a sex offender from Oct. 30, 2020, to Jan. 31, 2021. He is further charged with breaking into a residence that was occupied at the time by kicking the door open and breaking the chain on the door. The U.S. Marshals Service and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Victor A.S. Régal is prosecuting the case. 21-CR-265
Shawn Alexander Simpson. Sexual Abuse of an Incapable Victim in Indian Country; First Degree Burglary in Indian Country; Abusive Sexual Contact with an Incapable Victim in Indian Country. On July 18, 2021, Simpson, 51, of Tulsa, allegedly broke into a residence and sexually abused a victim he knew was incapable of giving consent. The Tulsa Police Department and FBI are the investigative agencies. Assistant U.S. Attorney Valeria Luster is prosecuting the case. 21-CR-469
Aleta Necole Thomas; Pepper Jones; Katrina West. False Statement to a Financial Institution; (Counts 1-5); False Statement (Counts 6-15); Aggravated Identity Theft (Counts 16, 17) (2nd superseding). In total, Thomas, 42, Jones, 42, and West, 38, all of Tulsa, together and separately, are alleged to have fraudulently applied for and received nearly $800,000 worth of Paycheck Protection Program forgivable loans administered by the Small Business Administration under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Some of the false businesses the defendants allegedly used to apply for the loans included the Lead Us Kids Home Daycare, Coming Correction Community Ministries, Coming Correct Community Ministries II, and Lead Us Kids Daycare II. The Office of Inspector General Board of Governors of the Federal Reserve System; U.S. Department of Treasury Inspector General for Tax Administration, Small Business Administration Office of Inspector General, and the Federal Bureau of Investigation are the investigative agencies. 21-CR-239
William Ray Turner. Wire Fraud (Counts 1-27); Aggravated Identity Theft (Counts 28-37). Turner, 30, of Tulsa, was a car dealership sales associate who allegedly devised and carried out a scheme where he used stolen identities to purchase vehicles and sometimes sold the vehicles to other individuals for cash. In total, Turner was responsible for more than $1 million in fraudulent vehicle sales.
From March 2019 to the date of this indictment, Turner was employed as a sales associate at a car dealership in Bartlesville. Turner sold cars, assisted customers in obtaining financing for the purchase of vehicles, and received commission payments for his sales. As part of his scheme, starting in May 2020, Turner acquired various means of identification belonging to individuals living throughout the United States. The defendant allegedly used the stolen means of identification to purchase vehicles from the dealership in the victims’ names. The vehicles would then leave the dealership’s lot. On at least one occasion, after Turner processed a fraudulent car sale, he transferred the vehicle to another individual, who paid the defendant via CashApp.
In the indictment, Turner is charged with 27 counts of wire fraud after causing wire communications related to the fraudulent loan applications and 10 counts of aggravated identity theft for fraudulently using others’ identities when applying for the loans. The U.S. Secret Service and Bartlesville Police Department are the investigative agencies. Assistant U.S. Attorney Richard M. Cella is prosecuting the case. 21-CR-470
El Salvador Man Indicted for Possession of Fraudulent Immigration DocumentsRead the Press Release
WILLIAMSPORT -The United States Attorney’s Office for the Middle District of Pennsylvania announced that on October 14, 2021, Carlos Zavala Zamora, age 40, of El Salvador was indicted by a federal grand jury on one count of possessing fraudulent immigration documents.
According to Acting United States Attorney Bruce D. Brandler, the indictment alleges that in September 2021, Zamora Zavala was arrested in Bloomsburg, PA, by agents of the Department of Homeland Security after being found in possession of a counterfeit Permanent Resident Card and counterfeit Social Security card.
The case was investigated by the Immigrations and Customs Enforcement section of the Department of Homeland Security. Assistant U.S. Attorney Geoffrey W. MacArthur is prosecuting the case.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this count is five years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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East Moline Man Sentenced to Federal Prison for Drug ChargeRead the Press Release
DAVENPORT, Iowa – An East Moline, Illinois man, Christopher Ray Hicks, was sentenced on Wednesday, October 13, 2021, by United States District Court Chief Judge John A. Jarvey to 180 months in prison for Conspiracy to Distribute 50 Grams or More of Methamphetamine. Hicks was ordered to serve five years of supervised release to follow his prison term and pay $100 to the Crime Victims’ Fund.
In October 2019, Hicks, age 39, was identified as a methamphetamine distributor in the Quad Cities. Following several controlled buys of methamphetamine, law enforcement executed a search warrant on Hicks’s residence and located methamphetamine, cocaine, heroin, marijuana, and evidence suggestive of drug trafficking. In November 2019, Hicks had an active warrant for his arrest and law enforcement located him in Davenport. After arresting him, officers searched Hicks’s vehicle and located, among other things, a large, plastic-wrapped candle stuffed with a pound of methamphetamine. In a post-Miranda statement, Hicks admitted conspiring with Luis Hernandez-Barajas and others to distribute methamphetamine. On October 31, 2020, Hicks pleaded guilty to the offense.
Acting United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Quad City Metropolitan Enforcement Group investigated the case.
East Moline Businessman sentenced to 37 months in connection with scam to rollback odometers at used car dealershipRead the Press Release
DAVENPORT, IA- On Tuesday, October 11, 2021, Isaac Bell, age 34, of East Moline, Illinois, was sentenced by United States District Court Chief Judge John A. Jarvey to 37 months in prison for conspiracy to commit wire fraud in connection with a scheme to alter and rollback odometer mileage on used cars purchased by his Moline car dealership, 4th Avenue Auto Sales, announced Acting United States Attorney Richard D. Westphal. McCorkle and his co-conspirators tampered with the mileage readings on more than 150 vehicles that were later sold to unsuspecting buyers. The defendants used “straw buyers” to purchase vehicles in their names to “wash” the titles and insulate Bell and 4th Avenue from the criminal conduct.
Bell was ordered to pay $85,204 in restitution, serve three years of supervised release following the period of imprisonment, and pay $100 towards the Crime Victims’ Fund.
The investigation was conducted by the Iowa Department of Transportation, Bureau of Investigation; United States Department of Transportation; National Highway Traffic Safety Administration, Office of Odometer Fraud Investigation; and the Federal Bureau of Investigation. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Eagle Butte Man Sentenced for Failure to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that an Eagle Butte, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on October 13, 2021, by U.S. District Judge Karen E. Schreier.
Theophile Jesse Taken Alive, age 38, was sentenced to 24 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.
Taken Alive was indicted by a federal grand jury on April 6, 2021. He pled guilty on July 12, 2021.
The conviction stems from Taken Alive failing to register as a sex offender as required by federal law between March 19, 2020, and November 3, 2020. Taken Alive had previously been convicted of a sex offense in federal court which requires him to register for the rest of his life.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Jeffrey C. Clapper prosecuted the case.
Taken Alive was immediately turned over to the custody of the U.S. Marshals Service.
Dubuque Felon Back to Federal Prison After Escaping, Illegally Possessing Another FirearmRead the Press Release
A felon who escaped from a Waterloo halfway house following a federal gun conviction and was later found with a stolen firearm was sentenced on October 14, 2021, to more than five years in federal prison.
Nicholas Cameron Anderson, age 32, from Dubuque, Iowa, received the prison term after a March 29, 2021 guilty plea to one count of escape from custody and one count of being a felon in possession of a firearm.
Court records show that Anderson pled guilty in 2016 in the Northern District of Iowa to being a felon in possession of a firearm. He was sentenced in 2017 to 63 months in federal prison. While Anderson was still a federal inmate serving that sentence, he was housed at a residential re-entry center in Waterloo, Iowa. In September 2020, Anderson left custody without authorization after being arrested for possessing drug paraphernalia in the Waterloo facility. He was found in January 2021 in Dubuque after he kicked in a woman’s door following an argument over a cell phone. Police found him in a nearby apartment. He had hidden a stolen handgun on the back porch of the apartment, where it was found by the officers. In addition to the federal firearm conviction, Anderson had previously been convicted of three other felonies in state court in Dubuque: theft from a person in 2007; burglary in the third degree in 2007; and escape in 2009.
Anderson was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Anderson was sentenced to 69 total months’ imprisonment, comprised of 69 months’ imprisonment for the firearm charge and 60 concurrent months’ imprisonment for the escape. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). 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.
Anderson is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was investigated by the Dubuque Police Department, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Marshals Service, and was prosecuted by Assistant United States Attorney Dan Chatham.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-1010-CJW. Anderson’s prior federal case file number was 16-CR-01030-1-LRR.
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Departamento de Justicia anuncia nuevas medidas para ayudar a combatir la corrupción en CentroaméricaRead the Press Release
WASHINGTON – El Departamento de Justicia anunció hoy el establecimiento de una línea de denuncias para apoyar a la Fuerza de Tarea Anticorrupción que combate la corrupción en El Salvador, Guatemala and Honduras, un componente clave del trabajo de la Vice-Presidente para tratar con las causas fundamentales de la migración.
“Conforme reconoció la Vice Presidenta durante su visita a Guatemala a principios de año, la corrupción y la impunidad en la región debilitan la democracia, incentivan la migración, y representan una amenaza a la seguridad nacional toda vez que sostienen las organizaciones criminales y los crímenes transnacionales,” dijo Kenneth A. Polite Jr., Sub-Procurador General de la División Criminal del Departamento de Justicia. “En junio, el Departamento de Justicia anunció una Fuerza de Tarea para combatir la corrupción y ahora ha creado una línea de denuncias para que cualquier persona con información sobre actores corruptos en El Salvador, Guatemala y Honduras, quienes hayan violado las leyes de los Estados Unidos o quienes hayan movido el capital producto del crimen en o a través de los Estados Unidos, puedan informar tal conducta en español o inglés a través de [email protected].”
Denuncias sobre posibles actos de corrupción o movimientos de capitales mal habidos que hayan sido recibidas a través de la dirección de correo electrónico serán examinadas por la Fuerza de Tarea del Departamento de Justicia. La Fuerza de Tarea habrá de determinar si la denuncia indica un posible nexo jurisdiccional con los Estados Unidos -incluyendo el uso del sistema financiero de los Estados Unidos- lo que permitirá que la Fuerza de Tarea pueda investigar, procesar criminalmente y donde proceda, incautar y devolver los bienes robados al pueblo de El Salvador, Guatemala y Honduras.
La Fuerza de Tarea exhorta a nuestros colegas de las agencias de ley y orden en la región, así como a cualquiera con información relacionada a crímenes de corrupción y de posibles violaciones a las leyes de los Estados Unidos, a contactar a la Fuerza de Tarea enviando un correo electrónico a la siguiente dirección: c[email protected].
Trasfondo de la Fuerza de Tarea de Anticorrupción del Triángulo del Norte
Según fuera anunciado por el Secretario de Justicia de los Estados Unidos, Merrick B. Garland, el Departamento de Justicia está comprometido con trabajar para combatir la corrupción de oficiales en Centroamérica cuando la conducta viola las leyes de los Estados Unidos. A esos fines, el Departamento de Justicia ha creado una Fuerza de Tarea de Anticorrupción enfocada en El Salvador, Guatemala, y Honduras con representantes de los siguientes componentes de la División Criminal:
- La Unidad de la Ley de Prácticas Corruptas en el Extranjero de la División de Fraude (FCPA por sus siglas en inglés), la cual ejecuta los estatutos criminales que generalmente prohíben a ciertas personas – incluyendo a individuos y compañías de los E.U., compañías extranjeras que mercadean acciones en la bolsa de valores de E.U., y personas que no son ciudadanos de E.U., pero que llevan a cabo actos de corrupción en E. U. – de pagar sobornos fuera de E.U. para obtener o retener negocios.
- La Iniciativa de Cleptocracia y Recuperación de Activos de la Unidad Internacional de la Sección de Lavado de Dinero y Recuperación de Activos (MLARS por sus siglas en inglés), la cual está enfocada en recuperar activos vinculados a la corrupción extranjera y procesar criminalmente el lavado de dinero (blanqueo de capitales), especialmente cuando el capital de la corrupción es encontrado en Estados Unidos o fue obtenido o transferido a través del abuso del sistema financiero de los E.U.; y
- La Sección de Narcóticos y Drogas Peligrosas (NDDS por sus siglas en inglés), la cual ejecuta las leyes federales de narcóticos en contra de la manufactura, importación y distribución de drogas ilegales dentro y fuera de los Estados Unidos y el lavado de las ganancias y capital que promueve o facilita el tráfico de narcóticos, incluyendo la corrupción resultante del tráfico de narcóticos.
La labor de la Fuerza de Tarea es también apoyada por los agentes especiales de la Unidad de Corrupción del Buró Federal de Investigaciones (FBI por sus siglas en inglés), de la Administración de Control de Drogas (DEA por sus siglas en inglés), y el Departamento de Seguridad Nacional (DHS por sus siglas en inglés). Las alegaciones serán investigadas por este grupo de agencias de ley y orden, trabajando en cooperación con los agregados legales y los representantes de los países en cada nación extranjera, así como con la Fuerza de Tarea del Departamento de Justicia y la Oficina de Asuntos Internacionales del Departamento.
La Fuerza de Tarea es parte del compromiso de la Administración de envolverse consistentemente en la región para atender las causas principales que causan la migración. La corrupción socava los servicios gubernamentales y el estado de derecho. Socava instituciones críticas que proveen servicios de salud, educación y otros servicios a aquellos quiénes más lo necesitan. La corrupción impide que surjan las inversiones de calidad que son necesarias para crear empleos. Es imprescindible que unamos esfuerzos para aumentar la transparencia y llevar a cabo enjuiciamientos contra la corrupción en una manera efectiva y rápida.
Fuerza de Tarea del Departamento de Justicia de los Estados Unidos para Combatir la Corrupción en Centroamérica
Denver Jury Convicts Felon for Possessing Ammunition after Deadly ShootoutRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that a federal jury in Denver has found Zyaire Williams, age 21, guilty of possession of ammunition by a prohibited person. The jury announced its verdict on October 14, 2021. Trial began in federal court on October 12, 2021.
At trial, the government presented evidence that on July 1, 2020, a deadly gang shoot-out took place on Downing Street in downtown Denver, after an argument in a liquor store. Zyaire Williams, a gang member, fired seven rounds from a 9mm handgun, and the shell casings were later recovered by the Denver Police Department. One person was injured and another person was killed in the shooting. Prior to this shooting, Williams had two previous felony convictions and therefore was prohibited from possessing ammunition.
Williams will be sentenced by the United States District Court for the District of Colorado at a later date. Williams faces up to ten years imprisonment.
The ATF and the Denver Police Department investigated this matter. Assistant United States Attorneys Celeste Rangel and Tom Minser are handling the prosecution.
Case number: 20-cr-0278
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Defendant Sentenced to 23 Years in Prison for 2011 MurderRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced that MICHAEL CASTILLO, a/k/a “Squirrel,” was sentenced by U.S. District Judge John G. Koeltl to 276 months in prison for the March 10, 2011 murder of Hector Arias in the Bronx, New York.
U.S. Attorney Damian Williams said: “In 2011, Michael Castillo shot and killed Hector Arias in cold blood in front of his fiancée and her young child. Today’s lengthy sentence shows that law enforcement will never give up on murder victims and their loved ones, no matter how long it takes to achieve justice.”
According to the allegations in the Indictment and other filings and statements made in court:
CASTILLO was a member of a conspiracy to distribute marijuana centered near 193rd Street and Broadway in Manhattan. CASTILLO was hired by the leader of the conspiracy, DAVID ESPINAL, a/k/a “D-Block,” to kill Hector Arias, the leader of a rival marijuana business operating in the same area. On March 10, 2011, CASTILLO shot and killed Arias near 712 East Gun Hill Road in the Bronx, New York. Arias’s fiancée and her eight year-old child witnessed the murder. CASTILLO and ESPINAL’s murder plot arose out of the rivalry between ESPINAL and Arias’s two marijuana businesses. After CASTILLO completed the murder, ESPINAL paid him in cash.
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In addition to his prison sentence, CASTILLO, 38, was sentenced to five years of supervised release.
On or about December 8, 2020, CASTILLO’s co-defendant, ESPINAL, pleaded guilty to conspiring to kill Arias, among other offenses. During his guilty plea, ESPINAL admitted to hiring a hitman to kill Arias.
Mr. Williams praised the outstanding investigative work of the Federal Bureau of Investigation in this case.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant United States Attorneys Jamie Bagliebter, Maurene Comey, Peter J. Davis, Scott Hartman, Lindsey Keenan and Jacqueline Kelly are in charge of the prosecution.
DeSoto County Methamphetamine Dealer Sentenced to 90 Months in Federal PrisonRead the Press Release
Miami, Florida – Today, United States District Judge Aileen M. Cannon sentenced 51-year-old Donald Reid to seven and one-half years in prison for dealing methamphetamine.
Reid distributed methamphetamine on four separate occasions in 2019. On July 3, 2019, Reid sold 26.4 grams of methamphetamine in Lake Placid, Highlands County, Florida. On August 9, 2019, Reid sold 55.7 grams of methamphetamine in Arcadia, DeSoto County, Florida. On August 16, 2019, Reid sold 55.8 grams of methamphetamine in Arcadia. And, on September 9, 2019, Reid sold 110.14 grams of methamphetamine in Arcadia.
On October 22, 2019, a Highlands County Sheriff’s Deputy stopped Reid as he was driving to Highlands County from DeSoto County. After a K-9 alerted on the vehicle, law enforcement seized 209.8 grams of methamphetamine and over $6,000 cash from the vehicle. Reid admitted that he was a drug dealer and that he obtained at least eight to 16 ounces of methamphetamine a week from his supplier. Reid was on bond for a pending felon-in-possession charge out of DeSoto County, Florida at time of the traffic stop.
Reid previously pled guilty to possession with intent to distribute 50 grams or more of methamphetamine.
Juan Antonio Gonzalez, Acting U.S. Attorney for the Southern District of Florida, and La Verne J. Hibbert, Acting Special Agent in Charge, Drug Enforcement Administration, Miami Field Division announced the sentence.
DEA Miami investigated this case, with assistance from Florida Department of Law Enforcement and Highlands County Sheriff’s Office. Assistant U.S. Attorney Michael D. Porter prosecuted the case.
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-14019.
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Davenport Man Sentenced to Federal Prison for Firearm ChargeRead the Press Release
DAVENPORT, Iowa – A Davenport man, Cedric Cornelius Shivers, was sentenced on Wednesday, October 13, 2021, by United States District Court Chief Judge John A. Jarvey to 70 months in prison for Felon in Possession of Firearm. Shivers was ordered to serve three years of supervised release to follow his prison term and pay $100.00 to the Crime Victims’ Fund.
At approximately midnight on September 14, 2020, Shivers, age 26, drove on Interstate 80 in Davenport in a vehicle without state-issued license plates and an expired Illinois temporary registration tag. An Iowa State Trooper conducted a traffic stop and, after the trooper asked for Shivers’ driver’s license, Shivers fled from the traffic stop and traveled in excess of 110 m.p.h., ignoring traffic signals, nearly causing a collision with another vehicle, and, eventually, rolled his own vehicle down an embankment into a ditch. Shivers’ vehicle had two passengers inside, including a two-year-old. After crashing the vehicle, Shivers ran and law enforcement located him hiding in a field, where they placed him under arrest. Upon a search of his vehicle, troopers located a loaded handgun between the driver’s seat and door. As a convicted felon, Shivers was prohibited from possessing firearms. Shivers pleaded guilty to the offense on May 28, 2021.
Acting United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Iowa State Patrol investigated the case.
Davenport Man Sentenced to Federal Prison for Child Pornography ChargesRead the Press Release
DAVENPORT, Iowa – A Davenport man, Lamark Armond Combs, Jr., was sentenced on Thursday, October 14, 2021, by United States District Court Chief Judge John A. Jarvey to 210 months in prison for Receipt and Possession of Child Pornography. Combs was ordered to serve ten years of supervised release to follow his prison term and to pay $300.00 to the Crime Victims’ Fund.
Combs, age 21, was identified by law enforcement after the mother of a 15-year-old girl reported to the Davenport Police Department (DPD) that Combs had requested her daughter send him a sexually explicit video of herself and she had complied. At the time, DPD had two open sexual assault investigations of Combs, one relating to a 13-year-old girl and the other relating to a 15-year-old girl. Through their investigation, law enforcement determined Combs engaged in a pattern of soliciting, enticing, and grooming minor females on social media and had the girls send him nude images and videos of themselves and coerced the girls to have sex with him. In Combs’s electronic devices and accounts, law enforcement located seven images and 23 videos depicting child pornography, in addition to 50-100 images of sexually explicit images that law enforcement was unable to determine if minors were pictured. Combs pleaded guilty to the offenses on June 9, 2021.
Acting United States Attorney Richard D. Westphal of the Southern District of Iowa made the announcement. The Davenport Police Department investigated the case. This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the U.S. Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nation-wide effort to combine law enforcement investigations and prosecutions, community action, and public awareness to reduce the incidence of sexual exploitation of children. Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.
Craig Cowles Sentenced for Evading over $250,000 in TaxesRead the Press Release
The Acting United States Attorney for the District of Vermont announced that Craig Cowles, 53, of Richmond, Vermont, was sentenced today in United States District Court in Burlington to five years of probation following his guilty plea to federal income tax evasion. Chief District Judge Geoffrey Crawford ordered that Cowles pay restitution totaling about $262,000 to the IRS for unpaid taxes. Since pleading guilty, Cowles has already paid the IRS more than $80,000 toward this restitution obligation.
In fall 2019, a federal grand jury in Rutland returned an indictment charging Cowles with five counts of tax evasion and 14 counts of structuring bank transactions to avoid currency reporting requirements. Last fall, Cowles pled guilty to one of the tax evasion counts.
According to court records, Cowles is the owner of Cowles Excavating, an earth-moving business located in Richmond. Between 2012 and 2017, Cowles generated approximately $2.8 million in gross revenue from Cowles Excavating and other businesses he operated. During that period, Cowles filed no tax returns with the Internal Revenue Service and paid no federal income taxes despite earning hundreds of thousands of dollars in net profits.
Court records also reflect that Cowles structured financial transactions to avoid federal currency reporting requirements. Under law, a financial institution must file a report with the Secretary of the Treasury whenever a customer engages in a financial transaction, such as a bank deposit or withdrawal, that involves more than $10,000 in cash. Cowles structured a number of transactions to avoid this reporting requirement. He did this by breaking down checks he received from business clients into cash amounts that were slightly under $10,000, then using additional funds from the checks to buy cashiers checks payable to himself. Cowles often converted these cashiers checks into additional cash. Federal law prohibits anyone from structuring deposits and withdrawals that are intended to circumvent the $10,000 cash reporting requirement.
The case was investigated by the Criminal Investigation Division of the Internal Revenue Service.
Cowles was represented by attorneys Tris Coffin and Tim Doherty. The prosecutor was Assistant U.S. Attorney Gregory Waples.
Convicted Felon Sentenced to 9+ Years for Possessing a FirearmRead the Press Release
SHREVEPORT, La. – Knoxsom R. Peterson, III, 26, of Shreveport, has been sentenced by United States District Judge Donald E. Walter to 115 months (9 years, 7 months) in prison, followed by 3 years of supervised release, for illegal possession of a firearm.
Peterson was indicted by a federal grand jury on January 27, 2021 and charged with felon in possession of a firearm. While investigating an incident in August 2020 when a Molotov Cocktail was thrown at the Caddo Parish Courthouse, agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) uncovered evidence that led to the discovery of Peterson’s prohibited possession of a firearm. On October 20, 2020, agents with the ATF executed a search warrant at Peterson’s residence and found a pistol in an empty purse which had been reported stolen by a Shreveport resident earlier in the year. Initially, Peterson’s girlfriend told law enforcement that the gun was hers but her story as to how she came into possession of it was inconsistent with the facts. Peterson later admitted to law enforcement that he had purchased the firearm from an individual off the streets, despite knowing that because he is a convicted felon, he could not possess any firearm or ammunition.
Peterson has previous felony convictions for simple burglary in 2016 and aggravated flight from an officer in 2020.
The ATF and Shreveport Police Department investigated the case. Assistant U.S. Attorney Cytheria D. Jernigan prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is 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. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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Colorado Springs Man Charged with Distributing Fentanyl Resulting in DeathRead the Press Release
DENVER – The U.S. Attorney’s Office for the District of Colorado announces that a federal grand jury in Denver indicted Nathaniel Corser, age 21, of Colorado Springs, with a charge of distributing fentanyl, which resulted in death. The grand jury also indicted Corser on charges of dealing fentanyl near a school, possessing fentanyl with the intent to distribute it near a school, possessing morphine with the intent to distribute it near a school, and possessing a firearm in furtherance of a drug trafficking crime. If convicted of the charges in the indictment, Corser faces a minimum of 25 years and a maximum of life in prison.
Corser had his initial appearance in U.S. District Court in Denver on October 12, 2021. He is scheduled to return to U.S. District Court on October 15, 2021, for an Arraignment, Discovery, and Detention Hearing.
The charges in the indictment are allegations. The Defendant is presumed innocent until proven guilty beyond a reasonable doubt.
The Colorado Springs Police Department and the FBI conducted the investigation. Assistant United States Attorney Peter McNeilly is responsible for the prosecution of the case.
Case number: 21-cr-0331
Cheektowaga Contractor Agrees to Settle False Claims Act ViolationsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. -- U.S. Attorney Trini E. Ross announced today that Strock Contracting, Inc., of Cheektowaga, NY, has agreed to enter into a consent judgment with the United States for $4,752,000 to resolve claims that it violated the False Claims Act. The United States filed an action in federal court alleging that Strock Contracting profited financially after fraudulently obtaining federal contracts intended to benefit service-disabled veterans.
In order to be eligible for contracts that are reserved for service-disabled-veteran-owned small businesses, firms must be both owned and controlled by a service-disabled veteran. The United States alleged that Strock Contracting, which was not owned or controlled by a veteran, recruited a service-disabled veteran to create a pass-through company, known as Veterans Enterprises Company, Inc. (VECO), which the company and its owner, Lee Strock, actually controlled. In its complaint, the United States alleged that the company carried out this scheme by directing VECO to submit false certifications of eligibility to the government, which allowed Strock Contracting to obtain substantial profits on numerous federal contracts which should have been awarded to eligible companies. Strock Contracting allegedly profited from these contracts through phony loans, sham lease agreements, and other deceitful financial arrangements.
The resolution obtained in this matter was the result of a coordinated effort between the Justice Department’s Civil Division, Commercial Litigation Branch and the United States Attorney’s Office for the Western District of New York, with assistance from the VA Office of Inspector General (OIG), the Small Business Administration OIG, the Defense Criminal Investigative Service, and the Army Criminal Investigation Division.
The matter was handled by Trial Attorney Glenn Harris of the Civil Division’s Commercial Litigation Branch (Fraud Section) and Assistant U.S. Attorney David Coriell of the Western District of New York.
The lawsuit is captioned United States v. Strock Contracting, Inc., et al., No. 15-CV-887-G (W.D.N.Y).
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Charvez Brooks Sentenced to More Than 10 Years in Federal Prison for Conspiring to Rob a Gas Station OwnerRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge James K. Bredar today sentenced Charvez Deonte Brooks, age 32, of Gwynn Oak, Maryland, to 124 months in federal prison, followed by three years of supervised release, for conspiracy to commit a commercial robbery in connection with the robbery of a gas station owner. Brooks was convicted of that charge on August 20, 2020, after a five-day trial. Brooks has been detained since his arrest.
The sentence was announced by United States Attorney for the District of Maryland Erek L. Barron; Special Agent in Charge Charlie Patterson of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Washington Field Division; and Chief Melissa R. Hyatt of the Baltimore County Police Department.
According to testimony at trial and court documents, Brooks and two others conspired to rob a gas station owner. According to court documents, one of the co-conspirators, Jesse James Elder, was a frequent customer of the gas station, located in the 10000 block of Reisterstown Road in Owings Mills, Maryland, and was friendly with the employees, including the owner. On January 16, 2018, video surveillance showed that the owner was already at the gas station when Elder pulled into the parking lot. Elder went inside the gas station to play the lottery, then left the store and waited in his car in the parking lot. Shortly thereafter, the owner placed approximately $17,000 in gas station proceeds into a bank bag and left the store. As the owner walked out, he stopped next to Elder’s vehicle and began talking to Elder. While the owner and Elder were talking, Brooks and co-conspirator Levon Verian Butts approached from a neighboring parking lot and hid behind other parked cars. When the owner walked away from Elder’s vehicle, Butts and Brooks charged the owner, pushed him to the ground, and grabbed the bank bag from his hand.
Witnesses testified that as Brooks and Butts tried to run back to the adjacent parking lot, a bystander who had seen the incident gave chase and tripped Butts, causing him to run out of his shoes, which Butts left in the parking lot. Brooks also dropped some of the money as he was running away. Brooks and Butts made it back to the adjacent parking lot, got into Brooks’ silver Infiniti, and fled the area. According to trial evidence, the bystander followed the vehicle and took two photographs of the car as it fled from the parking lot. Meanwhile, Elder drove around the owner, who was lying motionless in the parking lot, and left the gas station. The evidence presented at trial showed that while Brooks was attempting to get away, he crashed into another car that was waiting at a red light and continued driving to an area near Liberty Road, where he left the Infiniti.
As a result of being pushed to the ground, the owner of the gas station hit his head on the pavement and was knocked unconscious. He was transported to the hospital, where he was diagnosed with multiple skull fractures, a cerebral hemorrhage, and remained in critical condition for several weeks. He suffered a traumatic brain injury and has not returned to normal function.
Baltimore County Police officers responded to the gas station and recovered the money that had been dropped by Brooks along with Butts’ shoes from the gas station parking lot. They also recovered surveillance video from the gas station, a .22-caliber handgun, and additional money in the parking lot near where the Infiniti had been parked. Officers spoke with several witnesses, including the bystander who had taken photos of Brooks’ vehicle, as well as Elder, who provided a false statement. The photograph taken by the bystander of Brooks’ vehicle showed that it had a fraudulent New York license plate and was missing the insignia from the rear of the car. Subsequent testing of the shoes recovered from the robbery found that DNA from the shoes matched Butts’ DNA.
According to court documents and witness testimony, while at the crime scene, Elder remained in contact with Brooks and Butts, via Butts’ cell phone. Brooks, Butts and Elder met later at Reisterstown Plaza, discussed the robbery, the evidence that was, and divided the proceeds from the robbery.
Several months later, Butts and Elder were charged with the robbery. Elder was arrested on May 10, 2018. Five days later Brooks spoke to Elder over a jail phone, which records all inmate calls. During the recorded call, Brooks used coded language to tell Elder not to tell police that Brooks was involved in the robbery.
Investigators later identified Brooks as the third participant in the robbery and he was subsequently charged federally. During the investigation, law enforcement learned that Brooks drove a silver Infiniti with the same unique markings as the getaway vehicle, and that he had access to fraudulent license plates. For example, when Brooks was stopped by Baltimore County police officers for a traffic violation a few months before the robbery, he was driving a silver Infiniti with a missing insignia on the back of the car and a fraudulent temporary Florida license tag. On the day of the robbery, Brooks and Butts were seen arriving at Elder’s house, where Brooks took off his license plate and attached a fraudulent New York tag.
Levon Verian Butts, age 30, of Baltimore, Maryland pleaded guilty to his role in the robbery and was sentenced to 12 years in federal prison. Elder, age 46, of Owings Mills, previously pleaded guilty to conspiracy to commit a commercial robbery and faces a maximum sentence of 20 years in federal prison. U.S. District Judge Ellen L. Hollander has scheduled sentencing for Elder on December 17, 2021 at 10:30 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.
United States Attorney Erek L. Barron commended the ATF and the Baltimore County Police Department for their work in the investigation. Mr. Barron thanked Assistant U.S. Attorneys Lauren E. Perry and Anatoly Smolkin, who are prosecuting the case.
For more information on the Maryland U.S. Attorney’s Office, its priorities, and resources available to help the community, please visit https://www.justice.gov/usao-md/project-safe-neighborhoods-psnexile and https://www.justice.gov/usao-md/community-outreach.
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Carencro Man Sentenced on Firearms ChargesRead the Press Release
LAFAYETTE, La. – Terrance R. Jones, 27, of Carencro, Louisiana, was sentenced today by United States District Judge Robert R. Summerhays to 80 months (6 years, 8 months) in prison, followed by 2 years of supervised release, for possession of a firearm by a prohibited person.
According to information presented to the court, Jones was in the downtown Lafayette area on October 3, 2020. Multiple law enforcement officers were in the area on that same date and were called to a location in that area where a man had a firearm. The suspect turned out to be Jones and after further investigation, law enforcement officers learned that he was a convicted felon and as such, was prohibited from possessing any firearm or ammunition. Jones was arrested and charged with possessing a Taurus semi-automatic pistol and admitted to law enforcement that he knew he was prohibited from possessing any firearms.
Jones has previous felony convictions for attempted possession with intent to distribute marijuana and possession of hydrocodone (2014); and possession with intent to distribute marijuana (2019).
The ATF and Lafayette Police Department conducted the investigation. Assistant U.S. Attorney Daniel J. McCoy prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is 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. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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Camden County Man Sentenced to 15 Years in Prison for Conspiring to Distribute Large Amounts of Heroin, Crack Cocaine and CocaineRead the Press Release
CAMDEN, N.J. B A Camden County, New Jersey, man was sentenced today to 180 months in prison for conspiring to distribute heroin and cocaine in the city of Camden, Acting U.S. Attorney Rachael A. Honig announced.
Carlos Perez, 48, of Collingswood, New Jersey, previously pleaded guilty before U.S. District Judge Renée Marie Bumb in Camden federal court to an information charging him with one count of conspiracy to distribute one kilogram or more of a mixture or substance containing heroin, as well as a mixture and substance containing cocaine, crack cocaine and fentanyl.
According to documents filed in this case and statements made in court:
Nineteen defendants were arrested in late 2018 based on the FBI’s investigation of a drug trafficking organization that ran the open air narcotics trade on the 400-500 block of Pine Street in Camden for several months in 2018. The investigation used video surveillance, confidential informants, consensual recordings, controlled drug purchases, and several court-authorized wiretaps to uncover the inner workings of the drug trafficking organization. The organization included street-level sellers who worked various shifts on the “drug set,” selling drugs to customers and collecting proceeds. The sellers were supervised by different layers of managers who, in turn, supplied the drug set with pre-packaged heroin, some of which was mixed with fentanyl, as well as cocaine and crack cocaine. Perez was a high-level supervisor for the drug trafficking organization and was responsible for obtaining powder cocaine from drug suppliers, converting or “cooking” the powder cocaine to manufacture crack cocaine and packaging the crack cocaine that was distributed on the Pine Street drug set. The FBI and other law enforcement officers recovered multiple firearms from different locations connected to the drug organization at the time of the 2018 arrests. Perez agreed, as a member of the conspiracy, that he was jointly responsible for the distribution of over 1 kilogram of heroin, as well as substantial quantities of crack cocaine, cocaine and fentanyl.
Sixteen of the defendants already have entered guilty pleas on drug conspiracy charges before Judge Bumb. Three defendants are awaiting trial. The charges and allegations against those three defendants are merely accusations, and they are presumed innocent unless and until proven guilty.
In addition to the prison term, Judge Bumb sentenced Perez to five years of supervised release.
Acting U.S. Attorney Honig credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Acting Special Agent in Charge Bradley S. Benavides; the Camden County Police Department, under the direction of Chief Gabriel Rodriguez; the Camden County Prosecutor’s Office, under the direction of Prosecutor Acting Prosecutor Jill S. Mayer; the Camden County Sherriff’s Department, under the direction of Sheriff Gilbert L. Wilson; the Cherry Hill Police Department, under the direction of Chief William P. Monaghan; and the N.J. State Police, under the direction of Col. Patrick J. Callahan, with the investigation leading to today’s sentencing. She also thanked the Drug Enforcement Administration, the U.S. Marshals Service, and the Department of Homeland Security for their assistance.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government is represented by Assistant U.S. Attorneys Sara Aliabadi and Patrick C. Askin of the U. S. Attorney’s Office Criminal Division in Camden.
California Man Pleads Guilty to Making Threats Directed Against A Journalist Relating to the Outcome of the 2020 Presidential ElectionRead the Press Release
Damian Williams, the United States Attorney for the Southern District of New York, announced today that ROBERT LEMKE pled guilty to making threatening interstate communications to a New York City-based family member of a journalist (the “Journalist”), citing the Journalist’s statements about the outcome of the 2020 U.S. presidential election. LEMKE pled guilty today before U.S. District Judge Alvin K. Hellerstein.
U.S. Attorney Damian Williams stated: “Robert Lemke was frustrated with the result of the 2020 Presidential Election. Rather than attempting to effect change through legal discourse or any of the other freedoms of expression that all Americans enjoy, he instead sent threatening messages to the family member of a journalist. Inevitably, elections result in frustrations for some – that is part of the political process – but trying to instill fear in others by threat will not be tolerated by law enforcement.”
According to the allegations in the Complaint, Superseding Indictment, and other documents in the public record, as well as statements made in public court proceedings:
From November 2020 through early January 2021, the defendant sent threatening electronic and audio messages to approximately 50 victims, including journalists and politicians, targeting those individuals as a result of their statements expressing that then-President Trump had lost the 2020 presidential election. On January 6, 2021, the same day that individuals purporting to protest the 2020 presidential election gathered in Washington, D.C. and stormed the Capitol Building, LEMKE sent a series of these threatening text messages to journalists, members of Congress, other politicians, and their families.
As the attack on the Capitol Building was ongoing, LEMKE sent threatening text messages to a relative of the Journalist, stating: “[The Journalist’s] words are putting you and your family at risk. We are nearby, armed and ready. Thousands of us are active/retired law enforcement, military, etc. That’s how we do it.”
At approximately the same time that LEMKE was sending threats directed at the Journalist, LEMKE also sent threats to the brother of a New York City-based U.S. Congressman (the “Congressman”), citing the Congressman’s statements about the result of the 2020 presidential election. LEMKE’s text messages, which included a picture of a home in the same neighborhood as the home of the Congressman’s brother, stated:
Your brother is putting your entire family at risk with his lies and other words. We are armed and nearby your house. You had better have a word with him. We are not far from his either. Already spoke to [the Congressman’s son] and know where his kids are.
. . . your words have consequences. Stop telling lies; Biden did not win, he will not be president. We are not[] white supremacists. Most of us are active/retired law enforcement or military. You are putting your family at risk. We have armed members near your home . . . . . Don’t risk their safety with your words and lies.
LEMKE acquired and used at least three different phone numbers and various electronic accounts to mask his identity when sending threats to his victims. LEMKE was not in fact affiliated with law enforcement or the U.S. military as he claimed in some of his threats. On or about November 7, 2020, LEMKE posted to Facebook: “Folks. Be ready for war. Trump has refused to cede. Evidence shows fraud occurred and the Supreme Court cases will be successful. We blockchained and watermarked ballots in 16 states. Trump will prevail.[] Spread this message. . . . FAITH my fellow Republicans. Do not give up.”
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ROBERT LEMKE, 36, of Bay Point, California, pled guilty to one count of making threatening interstate communications, which carries a maximum sentence of five years in prison. LEMKE is scheduled to be sentenced by Judge Hellerstein on December 14, 2021.
The maximum potential sentence is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Mr. Williams praised the outstanding investigative work of the FBI’s New York Joint Terrorism Task Force, which consists of investigators and analysts from the Federal Bureau of Investigation (“FBI”), the New York City Police Department, and over 50 other federal, state, and local agencies. Mr. Williams also thanked the U.S. Attorney’s Office for the Northern District of California and the FBI’s San Francisco Field Office for their assistance.
The case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant United States Attorneys Kimberly J. Ravener and Kyle A. Wirshba are in charge of the prosecution.
California Man Known as “icloudripper4you” Pleads Guilty to Hacking into Hundreds of Apple iCloud Accounts and Stealing Nude Photographs and ImagesRead the Press Release
Tampa, Florida – Hao Kuo Chi (40, La Puente, CA) today pleaded guilty to conspiracy and computer fraud. He faces a maximum penalty of 20 years in federal prison. A sentencing date has not yet been set.
According to court documents, for years Chi and others conspired to—and in fact did—gain unauthorized access to the Apple iCloud accounts of hundreds of individuals across the country. Using the online moniker “icloudripper4you,” Chi marketed himself as capable of hacking into iCloud accounts and stealing the content stored therein. Chi created email accounts for the purpose of impersonating Apple customer support representatives, and Chi’s conspirators sent Apple IDs and passwords of unsuspecting victims to these email accounts.
During the conspiracy, Chi hacked into more than 300 iCloud accounts belonging to victims from across the United States. Chi and his conspirators specifically sought out nude photographs and videos of young women, which the conspirators referred to as “wins.” Chi kept hundreds of thousands of stolen images for his personal collection and maintained a terabyte of cloud storage for this purpose. Chi also shared and traded these images with his conspirators, using a foreign-based, end-to-end encrypted email service. Some of those conspirators subsequently released the images into the public sphere.
This case was investigated by the Federal Bureau of Investigation and the Florida Department of Law Enforcement. It is being prosecuted by Assistant United States Attorney Carlton C. Gammons.
Calabasas Doctor Sentenced to 14 Months in Federal Prison for Accepting Bribes as Part of Compounded Medication ConspiracyRead the Press Release
LOS ANGELES – A Calabasas physician was sentenced today to 14 months in federal prison for accepting nearly $800,000 in bribes and kickbacks as part of a conspiracy that unlawfully billed health insurers for compounded medication prescriptions.
Dr. Amir Friedman, 56, was sentenced by United States District Judge John F. Walter. Friedman pleaded guilty in October 2019 to one count of conspiracy to commit honest services mail and wire fraud, and to violate the Travel Act, a federal law that – among other things – forbids the use of the U.S. mail for the purpose of aiding bribery.
Friedman, a licensed anesthesiologist, violated the fiduciary duty he owed to his patients by accepting kickbacks and bribes for writing prescriptions for compounded medications for his patients.
Compounded drugs are tailor-made products doctors may prescribe when the Food and Drug Administration-approved alternative does not meet the health needs of a patient.
From August 2013 to May 2015, Friedman conspired with New Age Pharmaceuticals Inc., a Beverly Hills-based company, and a marketer – listed in court documents as “Marketer A” – to violate federal law. Insurance companies under the California Workers’ Compensation System reimbursed New Age for dispensing prescription drugs and other pharmaceuticals. Marketer A was paid commissions for facilitating the referral of compounded drug prescriptions.
Marketer A provided pre-printed prescription pads for compounded drugs to Friedman and offered Friedman kickbacks and bribes for each prescription he wrote. After Friedman wrote the kickback-tainted prescriptions, New Age dispensed the compounded drugs, billed insurance companies for reimbursement and shipped through the mail the compounded drugs to patients.
In total, Friedman accepted $788,140 in kickbacks and bribes – a sum he received in the form of approximately 28 check payments that represented illicit proceeds from the conspiracy. He admitted in his plea agreement that he was aware that the compounded drugs he prescribed were far more expensive than equivalents.
The FBI investigated this matter.
Assistant United States Attorney Poonam G. Kumar of the Major Frauds Section prosecuted this case.
Cheyenne Man Pleads Guilty to Being an Unlawful User of Methamphetamine in Possession of a FirearmRead the Press Release
Acting United States Attorney Bob Murray announced today that PHILIP JAY SCALES, age 44, of Cheyenne, Wyoming pleaded guilty to being an unlawful user of a controlled substance in possession of a firearm during a plea hearing held on October 12, 2021 in front of Federal District Court Judge Nancy D. Freudenthal.
Scales was arrested on July 29, 2021 in Cheyenne and indicted by a federal grand jury. He faces up to 10 years imprisonment, up to three years of supervised release, a fine of up to $250,000, and a $100 special assessment.
This crime was investigated by the United States Drug Enforcement Administration and the Cheyenne Police Department. The case is being prosecuted by Assistant United States Attorney Jonathan C. Coppom.
Case Number 0:21-cr-00093Cheyenne Man Pleads Guilty to Being an Unlawful User of Methamphetamine in Possession of a FirearmRead the Press Release
Acting United States Attorney Bob Murray announced today that PHILIP JAY SCALES, age 44, of Cheyenne, Wyoming pleaded guilty to being an unlawful user of a controlled substance in possession of a firearm during a plea hearing held on October 12, 2021 in front of Federal District Court Judge Nancy D. Freudenthal.
Scales was arrested on July 29, 2021 in Cheyenne and indicted by a federal grand jury. He faces up to 10 years imprisonment, up to three years of supervised release, a fine of up to $250,000, and a $100 special assessment.
This crime was investigated by the United States Drug Enforcement Administration and the Cheyenne Police Department. The case is being prosecuted by Assistant United States Attorney Jonathan C. Coppom.
Case Number 0:21-cr-00093Cheyenne Man Pleads Guilty to Being an Unlawful User of Methamphetamine in Possession of a FirearmRead the Press Release
Acting United States Attorney Bob Murray announced today that PHILIP JAY SCALES, age 44, of Cheyenne, Wyoming pleaded guilty to being an unlawful user of a controlled substance in possession of a firearm during a plea hearing held on October 12, 2021 in front of Federal District Court Judge Nancy D. Freudenthal.
Scales was arrested on July 29, 2021 in Cheyenne and indicted by a federal grand jury. He faces up to 10 years imprisonment, up to three years of supervised release, a fine of up to $250,000, and a $100 special assessment.
This crime was investigated by the United States Drug Enforcement Administration and the Cheyenne Police Department. The case is being prosecuted by Assistant United States Attorney Jonathan C. Coppom.
Case Number 0:21-cr-00093Broken Arrow Man Sentenced to Three Concurrent Life Sentences for Sexually Abusing Two ChildrenRead the Press Release
A Broken Arrow man was sentenced Friday in federal court for sexually abusing two children under the age of 12.
“Pedophile Jeffrey Jones will serve the remainder of his life in federal prison for sexually abusing two young children. I am thankful for the work of the FBI and Broken Arrow Police Department that ensured this defendant was held accountable for his crimes,” said Acting U.S. Attorney Clint Johnson. “The U.S. Attorney’s Office and our local, state, tribal and federal law enforcement partners will bring the full weight of the law against sexual predators for the harm they inflict on children.”
U.S. District Judge Gregory K. Frizzell sentenced Jeffrey Arch Jones, 31, to serve three concurrent life terms in prison.
In June 2021, a federal jury found Jones guilty of two counts of aggravated sexual abuse of a child in Indian Country and one count of abusive sexual contact of a child in Indian Country.
From Sept. 29, 2015 to Sept 28, 2016, Jones sexually abused a young child. He also sexually abused a second child from Oct. 9, 2014 to Sept. 30, 2016. On Feb. 2, 2017, one of the victims disclosed to a teacher that the defendant had been touching her in a sexual manner. School officials contacted the Broken Arrow Police Department. During the ensuing investigation, it was determined the second child was also sexually abused by Jones.
During the June trial’s closing arguments, Assistant U.S. Attorney Reagan Reininger reminded the jury of the testimony of expert witnesses, law enforcement, and the victims. She assured the jury the children had no incentive to lie and that the medical evidence corroborated the type of sexual abuse reported by the victims. She described how their behavior and disclosures were similar to that seen in other child sexual abuse victims. She explained how some victims disclose abuse on their own when they are ready, but others may be asked about abuse before they are fully ready to disclose what happened to them, as in the case of the second victim. She explained how difficult it had been for the two victims to describe the abuse to others repeatedly since 2017. Finally, Reininger reminded the jury that child sexual abuse is perpetrated in secrecy, behind closed doors, in moments when the abuser is alone with a child. She asked the jury to evaluate the evidence, including the children’s accounts, and to find Jeffrey Jones guilty.
Jones, a Cherokee citizen, was previously convicted of sexually abusing the two victims in Tulsa County District Court but appealed his conviction, arguing the state did not have jurisdiction to prosecute the case because the crime occurred within the Muscogee Nation Reservation and he was a tribal citizen. The case was then prosecuted in federal court.
The FBI and Broken Arrow Police Department conducted the investigation. Assistant U.S. Attorneys Reagan V. Reininger and Leah Paisner prosecuted the case.
Breon Peace Sworn in as United States Attorney for the Eastern District of New YorkRead the Press Release
Breon Peace was sworn in earlier today as United States Attorney for the Eastern District of New York by United States Chief District Judge Margo K. Brodie. He was appointed by President Joseph R. Biden. As U.S. Attorney, Mr. Peace leads an office that is responsible for all federal criminal and civil cases in a district comprised of more than 8 million people in the boroughs of Brooklyn, Queens, and Staten Island, and in Nassau and Suffolk counties on Long Island. Mr. Peace now supervises a staff of approximately 163 Assistant U.S. Attorneys and 116 support personnel. Prior to his appointment, Mr. Peace was a partner in the New York office of Cleary Gottlieb Steen & Hamilton LLP and was a member of the firm’s White-Collar Defense & Investigations and Litigation Groups.
“I am honored to serve as the United States Attorney for the Eastern District of New York. This Office has a long history of excellence, integrity, and outstanding service to the community. I look forward to leading the Office’s incredibly talented and dedicated women and men in addressing present and future challenges in the Eastern District. We will continue to work tirelessly with our law enforcement partners to pursue equal justice under the law, and protect and serve the people of the district. I am eager to get to work,” stated United States Attorney Peace.
Mr. Peace has had a distinguished career, having joined Cleary in 1996. From 1997 to 1998, he served as law clerk to The Honorable Sterling Johnson, Jr., of the United States District Court for the Eastern District of New York. From 2000 to 2002, he served as an Assistant United States Attorney for the Eastern District of New York, where he successfully handled a wide array of federal criminal cases in the district court and U.S. Court of Appeals for the Second Circuit. As an Acting Professor of Clinical Law at New York University School of Law, Mr. Peace trained aspiring prosecutors in the law school’s Prosecution Clinic during the 2002-2003 academic year. He returned to Cleary in 2003 and in 2007 made history by becoming the first African American man to be elected partner at the firm. In addition to handling significant white collar, regulatory enforcement, and complex commercial litigation matters for clients, Mr. Peace held several positions of leadership at the firm, serving most recently as a member its Global Executive Committee.
In 2012, Mr. Peace was appointed by The Honorable Nicholas G. Garaufis of the United States District Court for the Eastern District of New York to serve as a Special Master in United States et al. v. City of New York, a high-profile case brought against the New York City Fire Department alleging discrimination on the basis of race and national origin in hiring black and Hispanic firefighters. While at the law firm, Mr. Peace also maintained an active pro bono practice vindicating the rights of clients in criminal, immigration, human trafficking, and civil rights cases. Notably, he led the team of lawyers that in 2016 won dismissal of the indictment of a man who had been wrongly convicted of murder, rape, and robbery in 1981 and spent almost 30 years in prison.
Mr. Peace received his J.D. in 1996 from New York University School of Law where he was a member of the Law Review and later served as a member of the Board of Trustees, and his B.A. from the University of California, Berkeley, in 1993.
Box Elder Man Sentenced to over 20 years for Drug Trafficking ConspiracyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Box Elder, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance and Possession of a Firearm During a Drug Trafficking Crime was sentenced on October 4, 2021, by U.S. District Judge Karen E. Schreier.
Charles Clark, age 42, was sentenced to 15 years and 10 months in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund for count one; and five years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund for count two. Sentences are to run concurrently.
Clark was indicted for Conspiracy to Distribute a Controlled Substance and Possession of a Firearm During a Drug Trafficking Crime by a federal grand jury on July 23, 2020. He pleaded guilty to both counts on June 25, 2021. During his involvement in the conspiracy, multiple pounds of methamphetamine were brought to South Dakota from Mexico through arrangements made by the Defendant. Upon arrival in South Dakota, it was further dispersed to others for use and distribution. The Defendant also possessed a firearm while in the presence of others as a display of intimidation, in furtherance of the drug distribution conspiracy.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota National Guard, and the South Dakota Highway Patrol. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Clark was immediately turned over to the custody of the U.S. Marshals Service.
Box Elder Man Sentenced to over 20 years for Drug Trafficking ConspiracyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Box Elder, South Dakota, man convicted of Conspiracy to Distribute a Controlled Substance and Possession of a Firearm During a Drug Trafficking Crime was sentenced on October 4, 2021, by U.S. District Judge Karen E. Schreier.
Charles Clark, age 42, was sentenced to 15 years and 10 months in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund for count one; and five years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund for count two. Sentences are to run concurrently.
Clark was indicted for Conspiracy to Distribute a Controlled Substance and Possession of a Firearm During a Drug Trafficking Crime by a federal grand jury on July 23, 2020. He pleaded guilty to both counts on June 25, 2021. During his involvement in the conspiracy, multiple pounds of methamphetamine were brought to South Dakota from Mexico through arrangements made by the Defendant. Upon arrival in South Dakota, it was further dispersed to others for use and distribution. The Defendant also possessed a firearm while in the presence of others as a display of intimidation, in furtherance of the drug distribution conspiracy.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, Rapid City Police Department, South Dakota Division of Criminal Investigation, South Dakota National Guard, and the South Dakota Highway Patrol. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Clark was immediately turned over to the custody of the U.S. Marshals Service.
Belleville Nurse Pleads Guilty to Stealing Drugs from Elderly PatientsRead the Press Release
EAST ST. LOUIS, Ill. – A Belleville nurse, Angela Mohler, 40, pled guilty to five counts of obtaining drugs by fraud on Wednesday, October 13, 2021.
According to court documents, Mohler worked as a nurse for senior care and nursing facilities from
2018 to 2021, including facilities in Edwardsville, Belleville, Lebanon, and Caseyville. She used her position of trust to steal pain medications like oxycodone, hydrocodone, and morphine from vulnerable patients. After taking the drugs for her personal use, Mohler would often destroy or modify the patient’s records to cover up the thefts. This meant the patient’s records would show
Mohler had given him or her pain medication, when in fact they had often suffered without it.Mohler is one of several medical professionals recently charged with stealing medication from patients. In April, a nurse, Krista Brenner, was indicted on similar charges for stealing pain medication while working at senior care facilities in the Metro East area in 2019.
In September, another nurse, Joseph Mattingly, was sentenced on charges of stealing pain medication from residents while working at a center for adults with intellectual disabilities in
2018.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.
Battle Creek Man Sentenced to 57 Months in Prison for Fentanyl ChargeRead the Press Release
Clay Shepherd Possessed 1.37 kilograms of the synthetic opioid
GRAND RAPIDS, MICHIGAN — U.S. Attorney Andrew Byerly Birge announced today that Clay Shepherd, 57, of Battle Creek Michigan, was sentenced to 57 months in prison after pleading guilty to possession of fentanyl, a Schedule II controlled substance, with the intent to distribute it. Following his release from federal prison, Shepherd will serve five years on supervised release. United States District Judge Paul Maloney imposed the sentence.
Fentanyl is a synthetic opioid that is 80-100 times stronger than morphine, the substance to which heroin metabolizes. Drug traffickers add fentanyl to heroin to increase its potency or falsely claim that the fentanyl they are selling is highly potent heroin.
On April 18, 2018, Battle Creek Police officers executed a search warrant at Shepherd’s residence and discovered a package containing 399 grams of fentanyl and tramadol and a package containing 975 grams of fentanyl concealed behind insulation in the attic. The Battle Creek Police Department requested the assistance of federal authorities to investigate the matter further. Investigators from Homeland Security Investigations (“HSI”) developed evidence that Shepherd possessed the fentanyl with the intent to distribute it by investigating his known associates and customers, who confirmed that Shepherd was selling narcotics and possessed the fentanyl seized on April 18.
“Clay Shepherd profited from distributing fentanyl, an opioid nearly 100 times more potent than morphine, without any regard to the destruction it caused to families or communities here in Michigan,” Homeland Security Investigations (HSI) Special Agent-in-Charge Vance Callender said. “This complex investigation could not have been brought to conclusion without the outstanding partnership between HSI and Battle Creek PD. Thank you to the hardworking and dedicated officers in Battle Creek.”
U.S. Attorney Birge said, “My office will continue to aggressively pursue those who illegally peddle fentanyl to our community. The illegal trafficking of this drug is responsible for a multitude of overdose deaths in our state, and we are committed to deterring the trafficking that leads to these tragedies.”
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Bakersfield Man Pleads Guilty to Burglarizing 8 Post OfficesRead the Press Release
FRESNO, Calif. — Steven Martin, 39, of Bakersfield, pleaded guilty today to burglarizing a post office, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, in December 2018, Martin burglarized eight different post offices in Kern, Kings, and Tulare counties. He stole cash registers, packages containing clothes, and other mail, and caused thousands of dollars in damages.
This case is the product of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorney Joseph Barton is prosecuting the case.
Martin is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Jan. 14, 2022. Martin faces a maximum statutory penalty of five 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.
Aquilino Torres Sentenced to over 24 Years in Prison for Brutal Kidnapping of Mother and ChildRead the Press Release
Damian Williams, United States Attorney for the Southern District of New York, announced today that AQUILINO TORRES was sentenced to 292 months in prison for his kidnapping and stalking of an adult woman (“Victim-1”) and the kidnapping of her seven-year-old son (“Minor Victim-1”) in or around October 2020. TORRES was convicted following a one-week jury trial in July 2021 before U.S. District Judge Denise L. Cote, who imposed today’s sentence.
U.S. Attorney Damian Williams said: “Aquilino Torres carried out a brutal kidnapping of a 7-year-old child and his mother, and threatened to kill the child. He held his victims captive and physically abused both mother and child. Thanks to the FBI and NYPD, Torres was apprehended, prosecuted, and convicted of these horrific crimes, and has now been sentenced to a lengthy prison term.”
According to court documents and the evidence presented at the trial of TORRES:
On or about October 5, 2020, TORRES texted and called Victim-1 hundreds of times, including a text threatening to “kick [Minor Victim-1’s] teeth out.” Later that night, TORRES took Victim-1 and Minor Victim-1 to a motel in the Bronx, where he hit Minor Victim-1 in the face and assaulted Victim-1, breaking both sides of her jaw. While TORRES assaulted Victim-1, he told her that he would hang Victim-1 and that Minor Victim-1 would be found dead in the river. TORRES then had sex with Victim-1 against her will. For the next five days, TORRES held Victim-1 and Minor Victim-1 against their will at an apartment in Washington Heights, without medical treatment for Victim-1’s broken jaw. On or about October 10, 2020, Victim-1 and Minor Victim-1 escaped from the apartment and were admitted to a hospital shortly thereafter. In response to their escape, TORRES once again sent Victim-1 hundreds of threatening text messages and called Victim-1 hundreds of times. For example, TORRES texted Victim-1, telling her that he had put GPS on her phone and that, if he made the decision to go looking for her, “there won’t be turning back.” TORRES then followed through on those threats and attempted to track down Victim-1 and also posted nude photographs of Victim-1 on the internet.
At the time of the events described above, TORRES had absconded from parole supervision, having been placed on such supervision following a 2014 New York State conviction for second degree assault against the mother of TORRES’s children, who was then pregnant.
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TORRES, 27, was found guilty after trial of (i) one count of kidnapping, in violation of 18 U.S.C. §§ 1201(a)(1) and (b); (ii) one count of kidnapping of a minor, in violation of 18 U.S.C. §§ 1201(a)(1), (b), and (g); and (iii) one count of stalking, in violation of 18 U.S.C. §§ 2261A(2)(A) and (B), 2261(b)(3), and 2265A.
Mr. Williams praised the outstanding investigative work of the FBI-NYPD Violent Crimes Task Force.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys David Robles, Sarah Kushner, and Andrew Dember are in charge of the prosecution.
Albany Man Charged with Drug Trafficking OffenseRead the Press Release
ALBANY, NEW YORK – Wakeem Ricks, age 30, of Albany, was ordered detained today pending trial on a charge that he distributed cocaine base.
The announcement was made by United States Attorney Carla B. Freedman and Ray Donovan, Special Agent in Charge, U.S. Drug Enforcement Administration (DEA), New York Division.
The complaint alleges Ricks distributed cocaine base to another individual on September 23, 2021. The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
The charge carries a maximum sentence of 20 years in prison, a fine of up to $1 million, and a term of post-imprisonment supervised release of at least 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by the DEA, Albany Police Department, and Albany County Sheriff’s Department, and is being prosecuted by Assistant U.S. Attorney Dustin Segovia.
Acting U.S. Attorney Gonzalez Announces More Than $2.2 Million in Grants to Assist Domestic Violence Victims in IdahoRead the Press Release
BOISE – Acting U.S. Attorney Rafael M. Gonzalez, Jr. joins law enforcement partners, victim services professionals, advocates, and communities across the country in observing October as National Domestic Violence Awareness Month and announces that Idaho has received $2,255,613 in Office of Violence Against Women (OVW) grants. These OVW grants will help address domestic violence, dating violence, sexual assault, and stalking victims throughout the state.
Nationwide, OVW announced more than $476 million in grants. The funding supports projects that meaningfully address the needs of underserved and marginalized survivors, improve access to justice, enhance survivor safety, hold accountable those who have caused harm, and provide training and technical assistance to an array of professionals and systems working to address sexual assault, domestic violence, dating violence and stalking in every state and territory, as well as dozens of tribal communities.
Four OVW awards were granted to four Idaho recipients, including the Idaho Coalition Against Sexual and Domestic Violence, the Bingham Crisis Center, the YWCA of Lewiston and Clarkston, and the Coeur d’Alene Tribe. The awards will not only support local domestic violence and sexual assault victims with services, they will also provide funding to bolster the critical work of state and territory domestic violence and sexual assault coalitions.
The Acting U.S. Attorney for the District of Idaho encourages Idaho residents to be aware of the serious problem that is physical violence, sexual violence, stalking, and other forms of emotional abuse by a current or former intimate partner. “These forms of abuse affect millions of Americans and Idaho is not spared of this trauma,” Acting U.S. Attorney Gonzalez said. “It is estimated that nearly 20 people, on average, in the U.S. are abused by an intimate partner every minute, or 10 million instances of domestic violence every year. Domestic violence is connected to more than half of homicides with female victims, according to the Centers for Disease Control and Prevention. Victims need an escape, and these funds provide that life-line,” Gonzalez concluded.
“Domestic Violence Awareness Month is a sobering reminder of the harm domestic violence inflicts across our country, at a time when the COVID-19 pandemic means that for many survivors, abuse may be compounded by being isolated with an abuser, loss of income and stress over the virus itself,” said Deputy Attorney General Lisa O. Monaco. “These OVW grants will provide local organizations with resources to support survivors as they heal, promote victim access to justice, and further local, state and tribal training efforts to best prepare officials to respond to these dangerous calls.”
The OVW grants awarded in Idaho include the State and Territory Domestic Violence and Sexual Assault Coalitions Grant Program; the Transitional Housing Assistance Grants for Victims of Domestic Violence, Dating Violence, Sexual Assault, and Stalking Program; the Tribal Sexual Assault Services Program; and the Training and Technical Assistance Program.
The State Domestic Violence and Sexual Assault Coalitions grant will allow the Idaho Coalition Against Sexual and Domestic Violence to facilitate coordinating victim service activities and collaborating with federal, state and local entities engaged in addressing violence against women, provide training to Idaho’s tribal and community domestic and sexual violence organizations, public awareness activities, and public policy. In particular, the Idaho Coalition is focusing on increasing awareness and coordination on Missing and Murdered Indigenous People.
Also, the Training and Technical Assistance grant designated the Idaho Coalition as the national technical assistance provider on the prevention and response to teen dating violence and sexual assault in rural communities, focusing on increasing access to victim services for youth from historically marginalized communities who experience higher rates of dating violence and a lack meaningful access to intervention services.
Finally, the Transitional Housing Assistance grant will provide needed transitional housing funds to rural survivors of domestic and sexual assault in collaboration with domestic and sexual violence organizations and culturally specific service providers.
“We are honored to receive these grant awards from the Office on Violence Against Women,” said Kelly Miller, executive director of the Idaho Coalition. “We are committed to increasing access to services for survivors from communities that have been historically marginalized and are invested in creating the societal conditions so violence is no longer a common occurrence and everyone can thrive.”
Additional Idaho OVW grant recipients, the Bingham Crisis Center, the YWCA of Lewiston and Clarkston, and the Coeur d’Alene Tribe, were similarly pleased to receive this federal funding, which will be instrumental in furthering their missions to support victims of crime.
Through their domestic abuse and sexual assault programs, the YWCA of Lewiston and Clarkston is dedicated to providing safety and support through advocacy and education while working towards social change and to provide a safe and understanding environment that fosters hope, healing and empowerment. The mission of the Bingham Crisis Center is to work within the community to help eliminate domestic and sexual violence, promote healthy non-violent relationships by providing emergency services, shelter, individual and group treatment, education, and support services to survivors and their families. The Coeur d’Alene Tribe’s grant funding from OVW’s Tribal Sexual Assault Services Program will support the establishment, maintenance, and expansion of programs and projects within Indian country to assist those victimized by sexual assault. Acting U.S. Attorney Gonzalez commended the YWCA, the Center, and the Coeur d’Alene Tribe for their commitment to victim services.
To learn more about OVW, please visit www.justice.gov/ovw.
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Activity in the United States Attorney's OfficeRead the Press Release
Federal District Court Alan B. Johnson sentenced LUIS SALGUERO-NOLASCO, 33, of Brooklyn Center, Minnesota on October 15, 2021 for illegal re-entry of previously deported alien into the Unites States. He received 12 months and one day of imprisonment and ordered to pay a $100.00 special assessment. Salguero-Nolasco was arrested by Campbell County Sheriff’s Office on April 26, 2021, for no driver’s license and possession of a controlled substance. On April 27, 2021, he told a Homeland Security Investigations agent that he was an illegal alien and a former member of the violent street gang MS-13. On May 15, 2021, the agent filed a Complaint in federal court against Salguero-Nolasco for illegal re-entry of previously deported alien into the United States. The grand jury later returned an indictment re-alleging that charge. The United States Homeland Security Investigations investigated this case.
Federal District Court Judge Nancy D. Freudenthal sentenced VICTORIA RENEE WILSON, 39, of Gillette, Wyoming on October 12, 2021 for possession of child pornography. She received 37 months of imprisonment to be followed by five years of supervised release. Wilson was ordered to pay a $100.00 special assessment. Wyoming Division of Criminal Investigation and Homeland Security Investigations investigated this case.
Federal District Court Judge Nancy D. Freudenthal sentenced NATOSHA MARTIN, 37, of Cody, Wyoming on October 12, 2021 for conspiracy to distribute methamphetamine. She received 37 months of imprisonment to be followed by three years of supervised release. Martin was ordered to pay a $100.00 special assessment and a $300.00 community restitution. ThePostal Inspector with the United States Postal Service and the Wyoming Division of Criminal Investigation investigated this case.
Federal District Court Judge Nancy D. Freudenthal sentenced CHRISTOPHER RYAN GROSS, 34, of Cheyenne, Wyoming on September 30, 2021 for felon in possession of a firearm. He received 37 months of imprisonment to be followed by 37 months of supervised release. Gross was ordered to pay a $100.00 special assessment. The Laramie County Sheriff’s Office investigated this case.
14 October 2021
Waterbury Man Pleads Guilty to Violating Federal Sex Offender Registration and Notification ActRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that CHRISTOPHER POSKUS, 47, of Waterbury, pleaded guilty today to two counts of failing to register as a sex offender.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the court proceeding before U.S. Magistrate Judge Robert M. Spector occurred via videoconference.
The Sex Offender Registration and Notification Act (“SORNA”), which was passed by Congress in 2006 as part of the Adam Walsh Act, provides a comprehensive set of minimum standards for sex offender registration and notification in the United States and seeks to strengthen the nationwide network of sex offender registration and notification programs. In part, SORNA requires registered sex offenders to register and keep their registration current in each jurisdiction in which they reside, work, or go to school.
According to court documents and statements made in court, in 2010, Poskus was convicted in state court of possession of child pornography and was sentenced to 14 years of incarceration, suspended after seven years, and 10 years of probation. He also was required to register as a sex offender upon his release from prison. While on probation, Poskus violated several mandatory and special conditions, had his probation revoked, returned to prison, and eventually was placed under house arrest with GPS monitoring.
In July 2019, Poskus removed his GPS monitoring device and fled to California. On August 29, 2019, the U.S. Marshals Service located and arrested Poskus in San Francisco, where he was residing in a homeless shelter. Poskus failed to update his Connecticut sex offender registration to reflect an interstate change of residence, and he failed to register as a sex offender in California.
Poskus was detained from the date of his arrest until December 21, 2020, when he began serving a seven-year term of probation. On January 7, 2021, state probation officers were unable to contact Poskus, and they subsequently discovered that Poskus had left Connecticut by train shortly after his release from prison. He was again located in San Francisco, and has been detained in federal custody on March 18, 2021. Poskus again had failed to update his Connecticut sex offender registration to reflect an interstate change of residence, and he failed to register as a sex offender in California.
Poskus is scheduled to be sentenced by U.S. District Judge Janet Bond Arterton on January 4, 2022, at which time he faces a maximum term of imprisonment of 20 years.
This matter is being investigated by the United States Marshal Service. This case is being prosecuted by Assistant U.S. Attorney Joseph Vizcarrondo.
Vermont Man Pleads Guilty to Hiring A Person to Kidnap and Kill an Individual in a Foreign Country and Child Pornography ChargesRead the Press Release
A Vermont man pleaded guilty today to hiring a woman in Venezuela to kidnap an adult male and make a video of the man being beaten, tortured, and suffocated to death, and to conspiracy to produce child pornography and possession of child pornography.
According to court documents, Sean Fiore, 37, was arrested in May 2019, as part of an operation conducted by Vermont’s Internet Crimes Against Children Task Force (VT-ICAC) and Homeland Security Investigations (HSI). VT-ICAC and HSI executed search warrants in one week on 15 residences based on cyber tips received by the National Center for Missing and Exploited Children and leads developed through undercover investigation. Fiore’s digital media, seized and searched by law enforcement, revealed that he paid a woman in Venezuela $4,000 to kidnap, torture, and murder a “slave” in Venezuela. According to the indictment, Fiore provided specific instructions about what he wanted, which included beating, burning with a cigarette, urinating and defecating on, and suffocating the so-called slave to death. Fiore requested a video of the torture and murder, which the woman sent to him over the internet.
According to the plea agreement, Fiore’s digital media also revealed that he paid the same woman $600 to create a video of her inflicting sexually motivated sadistic abuse on a child. The woman also created that video and sent it to Fiore online. In addition, Fiore possessed other images and videos depicting minors engaging in sexually explicit conduct, including sexual intercourse and sadistic abuse.
Fiore pleaded guilty to murder-for-hire, conspiracy to kidnap or murder a person in a foreign country, conspiracy to produce child pornography, and possession of child pornography. He is scheduled to be sentenced on March 1, 2022, and faces a mandatory minimum penalty of 15 years in prison, and up to life. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors
The woman who sent Fiore the videos, co-defendant Moraima Escarlet Vasquez Flores, is charged with conspiracy to murder and kidnap a person in a foreign country, conspiracy to produce child pornography, production of child pornography, and aiding and abetting the receipt of child pornography. Vasquez Flores was arrested in Colombia pursuant to an Interpol Red Notice on Sept. 18, 2020. The United States is seeking her extradition from Colombia to the United States to face these charges. An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Assistant U.S. Attorney Barbara Masterson of the District of Vermont, Trial Attorney Patrick Jasperse of the Criminal Division’s Human Rights and Special Prosecutions Section, and Trial Attorney Eduardo Palomo of the Criminal Division’s Child Exploitation and Obscenity Section are prosecuting the case with the assistance of the Justice Department’s Office of International Affairs.
U.S. Attorney’s Office recognized for work on Clarksburg VA Hospital Serial Murder caseRead the Press Release
AUSA Jarod J. Douglas and AUSA Brandon S. Flower receive a CIGIE award for their work on the serial killer case at the Clarksburg VA hospital.CLARKSBURG, WEST VIRGINIA – United States Attorney William J. Ihlenfeld, II is proud to announce that Assistant U.S. Attorneys Jarod J. Douglas and Brandon S. Flower are being recognized today for their tireless and superior work on the case of serial killer Reta Mays.
The Annual Council of the Inspectors General on Integrity and Efficiency Awards ceremony took place virtually this week. The award for excellence in investigation will be given to the Veterans Affairs Office of Inspector General investigative team for the murders committed by a nursing assistant at the Louis A. Johnson VA Medical Center in Clarksburg, West Virginia. This award is given in recognition of the personal sacrifice, exceptional investigative work, and unwavering dedication demonstrated in successfully investigating this case.
Douglas and Flowers will be recognized, along with VA OIG Resident Agent in Charge Keith Vereb, VA OIG Special Agent in Charge Colin Davis, VA OIG Special Agent in Charge Kim Lampkins, FBI Special Agent Ashley Archibald, and WV State Trooper Corporal John Smith.
In July 2020, Reta Mays, a former nursing assistant at the VA Medical Center in Clarksburg, admitted to killing seven veterans, and attempting to kill an eighth, with insulin injections. Mays was sentenced in May 2021 to seven consecutive life sentences plus 20 years.
For more information on the case, go to https://www.justice.gov/usao-ndwv/pr/former-va-hospital-nursing-assistant-sentenced-seven-consecutive-life-sentences.
The Council of the Inspectors General on Integrity and Efficiency (CIGIE) is an independent entity established within the executive branch to address integrity, economy and effectiveness issues that transcend individual Government agencies and aid in the establishment of a professional, well-trained and highly skilled workforce in the Offices of Inspectors General.
U.S. Attorney’s Office Joins Broad Effort to Observe National Disability Employment Awareness MonthRead the Press Release
BOISE – The U.S. Attorney’s Office for the District of Idaho today announced its participation in National Disability Employment Awareness Month, an annual awareness campaign that takes place each October. The purpose of National Disability Employment Awareness Month is to educate about disability employment issues and celebrate the many and varied contributions of America's workers with disabilities. This year's theme is "America’s Recovery: Powered by Inclusion."
The history of National Disability Employment Awareness Month traces back to 1945 when Congress enacted a law declaring the first week in October each year "National Employ the Physically Handicapped Week." In 1962, the word "physically" was removed to acknowledge the employment needs and contributions of individuals with all types of disabilities. In 1988, Congress expanded the week to a month and changed the name to National Disability Employment Awareness Month.
“Our national recovery from the pandemic cannot be completed without the inclusion of all Americans, in particular people with disabilities,” said U.S. Secretary of Labor Marty Walsh. “Their contributions have historically been vital to our nation’s success, and are more important today than ever. We must build an economy that fully includes the talent and drive of those with disabilities.”
"The U.S. Attorney’s Office is proud to be a part of this year's National Disability Employment Awareness Month," said Gonzalez. "We want to spread the important message that we value all perspectives, including those of individuals with disabilities."
Employers and employees in all industries can learn more about how to participate in National Disability Employment Awareness Month and ways they can promote its messages — during October and throughout the year — by visiting www.dol.gov/NDEAM.
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U.S. Attorney Announces Four Additional Enforcement Actions as Part of Data-Driven National Effort to Combat P-Stim Fraud Scheme and Recover MillionsRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced three settlements and the filing of a complaint under the False Claims Act in the Eastern District of Pennsylvania. These are the latest actions in the national investigation into the scheme of improper billing involving P-Stim electro-acupuncture devices. P-Stim is also branded as, among other things, ANSiStim, Stivax, NeuroStim, and NSS-2 Bridge. Federal healthcare programs do not reimburse for P-Stim devices, whether they are characterized as an electro-acupuncture device or as an implantable neuro-stimulator. This District has helped lead the national Department of Justice effort to apply analytics to healthcare claims data to identify providers who have fraudulently billed federal healthcare programs for P-Stim services. As detailed below, this District and others have pursued and settled various False Claims Act cases against P-Stim providers, recovering millions.
The four enforcement actions announced today involve certain parties who sold P-Stim devices and/or promoted them as billable to Medicare and other federal healthcare programs, which then caused providers to submit fraudulent claims. The United States alleges that these promoters profited by conspiring together to make false representations to providers that P-Stim was reimbursable under billing codes that paid thousands of dollars per procedure. Those codes were meant for legitimate, surgically implanted neuro-stimulators to manage chronic pain. However, P-Stim devices can be applied in a few minutes in an office setting without anesthesia by someone with minimal training. The promoters allegedly had knowledge that the P-Stim devices were not reimbursable by federal healthcare programs but pushed the non-surgical devices anyway.
The three settlements announced today are all pursuant to DOJ’s inability to pay policy:
- Mark Kaiser of Bradenton, Florida, and his company, Doc Solutions, LLC, have paid $1.15 million; and
- James Carpenter of Rockledge, Florida, and his company, Solace Advancement Institute, have paid $150,000; and
- Aaron Oxenrider of Carmel, Indiana, and his company Baron, Inc., doing business as Access 2 Integration (known commonly as A2I) have paid $54,150.
The parties involved in these settlements also agreed to exclusions from federal healthcare programs, with 20-year exclusions for the Kaiser and Carpenter parties and a 7-year exclusion for the Oxenrider parties.
In a related case, today the United States filed a complaint in the Eastern District of Pennsylvania against Timothy Warren of Wichita, Kansas, and his company, Titan Medical Compliance, LLC, alleging violations of the False Claims Act. Warren is a chiropractor who promoted himself as a medical reimbursement consultant. Various marketers and distributors of P-Stim devices paid Warren a monthly fee, including Kaiser, to provide coding recommendations to customers. Certain providers also paid Warren directly for his coding guidance. Beginning in 2014, Warren promoted P-Stim devices as reimbursable by Medicare and other federal healthcare programs and provided instructions on what codes to bill. But, as detailed in the Complaint, the United States alleges that Warren had knowledge that he was providing incorrect advice: Warren knew that P-Stim was not reimbursable by federal healthcare programs because it was acupuncture, and not a surgically implanted neuro-stimulator. The United States alleges that Warren caused providers to submit to the federal Medicare and TRICARE programs thousands of fraudulent claims for P-Stim devices worth at least $20 million dollars.
“Our office has led the national charge to hold alleged fraudsters accountable for this P-Stim scheme,” said Acting U.S. Attorney Williams. Acting U.S. Attorney Williams continued: “Those who cause false claims by marketing alleged fraud schemes are also responsible for the tainted claims paid by federal health insurers. Working with our partners and using innovative investigative tools like data analytics, we will find those who peddle and profit from alleged false healthcare schemes like P-Stim—and, as the complaint filed today shows, we will fight you in court if needed.”
This ongoing national effort to identify and combat P-Stim fraud is a collaboration between this District, the Centers for Medicare & Medicaid Services’ (“CMS”) Center for Program Integrity, the Department of Health and Human Services Office of Inspector General (“HHS-OIG”), other federal healthcare programs, state partners, and sister U.S. Attorney’s Offices around the country.
Including the three settlements announced today, the national P-Stim initiative has so far produced over 15 False Claims Act settlements across the country worth approximately $15 million—of which, 8 settlements worth over $3 million have come from this District. (Previous press releases are linked below.) Additionally, outside of DOJ litigation, there are administrative enforcement actions by other federal agencies as well. In particular, CMS, through its Unified Program Integrity Contractors, is auditing and recovering improperly paid P-Stim claims. HHS-OIG is also pursuing civil money penalties and exclusion remedies.
“CMS is dedicated to removing fraudulent actors and protecting the people who rely on our programs,” said CMS Administrator Chiquita Brooks-LaSure. “We thank our partners at the Department of Justice and Department of Health and Human Services Office of Inspector General for collaborating with us to identify, investigate, and eliminate waste, fraud, and abuse in our federal health care programs.”
“Accurately billing for services provided to Medicare beneficiaries is required of all health care providers,” said Maureen R. Dixon, Special Agent in Charge for the U.S. Department of Health and Human Services, Office of the Inspector General, Region III. “HHS-OIG, CMS’s Center for Program Integrity, and the U.S. Attorney’s Office will continue to evaluate and pursue inaccurate billings of P-Stim and similar devices.”
All civil claims, including the settled claims, are allegations only. There has been no determination of civil liability. The cases in this District have been investigated by the U.S. Department of Health and Human Services Office of the Inspector General. They have been handled by Assistant U.S. Attorneys Deborah W. Frey and Matthew E. K. Howatt, as well as former Assistant U.S. Attorney John T. Crutchlow, Civil Chief Gregory B. David, Auditor Dawn Wiggins, and Investigator Frank O’Connor.
Prior DOJ press releases related to the P-Stim Initiative:
- Eastern District of Pennsylvania
- https://www.justice.gov/usao-edpa/pr/two-pa-chiropractic-practices-pay-over-800000-resolve-alleged-false-claims-act
- https://www.justice.gov/usao-edpa/pr/neurosurgeon-medical-practice-director-pay-over-1-million-resolve-false-claims-act
- https://www.justice.gov/usao-edpa/pr/chiropractor-and-related-practice-pay-nearly-100000-resolve-false-claims-act-liability
- https://www.justice.gov/usao-edpa/pr/doctor-and-physician-practice-pay-178000-resolve-false-claims-act-liability-arising
- Southern District of Texas
- https://www.justice.gov/usao-sdtx/pr/katy-anesthesiologist-pays-settle-allegations-arising-electro-acupuncture-device
- https://www.justice.gov/usao-sdtx/pr/katy-anesthesiologist-pays-settle-allegations-arising-electro-acupuncture-device
- Eastern District of Texas
- https://www.justice.gov/usao-edtx/pr/texas-company-agrees-reimburse-medicare-improper-billing-related-neurostimulators
- Western District of Texas
- https://www.justice.gov/usao-wdtx/pr/healthcare-practitioners-pay-over-1-million-resolve-false-claims-act-liability-arising
- Middle District of Tennessee
- https://www.justice.gov/usao-mdtn/pr/united-states-and-tennessee-resolve-claims-three-providers-false-claims-act-liability
- https://www.justice.gov/usao-mdtn/pr/comprehensive-pain-specialists-and-former-owners-agree-pay-41-million-settle-fraud
- Southern District of Georgia
- https://www.justice.gov/usao-sdga/pr/government-obtains-more-5-million-judgments-resolve-healthcare-fraud-allegations
Two Men Indicted in Connection with a Gun Trafficking Conspiracy Operating in Monmouth and Ocean CountiesRead the Press Release
TRENTON, N.J. – A New Jersey man and a Florida man were charged today with conspiring to illegally sell firearms, including multiple handguns and a semi-automatic rifle, in and around Monmouth and Ocean counties, Acting U.S. Attorney Rachael A. Honig announced.
Manuel Espinosa-Ozoria, 31, aka “Chino,” of Bartow, Florida, and Enrique Quijada, 24, aka “El Enano 13,” aka “Kike,” of Freehold, New Jersey, are each charged by indictment with one count of conspiracy to engage in firearms trafficking. Espinosa-Ozoria additional charged with two counts of possession of a firearm by a convicted felon, and Quijada is additionally charged with two counts of possession of a firearm by an alien unlawfully present in the United States.
According to the indictment:
From May 2020 through September 2020, Espinosa-Ozoria, Quijada, and others were members of a gun trafficking conspiracy operating in Monmouth and Ocean counties, in which they unlawfully obtained, possessed, and sold numerous firearms for profit.
The count of conspiracy to engage in firearms trafficking carries a maximum potential penalty of five years in prison and a $250,000 fine. The counts of possession of a firearm by a convicted felon and possession of a firearm by an alien unlawfully present in the United States each carry a maximum penalty of 10 years in prison and a $250,000 fine.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to the charges. She also thanked the FBI Tampa Division, the ATF Newark and Tampa Field Divisions, and the Freehold Borough, New Jersey, Police Department for their assistance.
In July 2021 the U.S. Department of Justice launched five cross-jurisdictional strike forces to help reduce gun violence by disrupting illegal firearms trafficking in key regions across the country. Leveraging existing resources, the regional strike forces will better ensure sustained and focused coordination across jurisdictions and help stem the supply of illegally trafficked firearms from source cities, through other communities, and into five key market regions: New York, Chicago, Los Angeles, the San Francisco Bay Area/Sacramento Region and Washington, D.C. According to gun trace data, a significant number of firearms recovered in the New York/northern New Jersey area originate from outside the area. The new strike force will help ensure sustained and focused coordination between law enforcement and prosecutors in the New York/northern New Jersey area with their counterparts in those other locations.
The government is represented by Assistant U.S. Attorney Ian D. Brater of the U.S. Attorney’s Office’s Criminal Division in Trenton.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.