Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Thursday 8 July 2021
Cryptocurrency Fraudster Sentenced for Money Laundering and Securities Fraud in Multi-Million Dollar Investment SchemeRead the Press Release
A Swedish man was sentenced today to 15 years in prison for securities fraud, wire fraud and money laundering charges that defrauded thousands of victims of more than $16 million.
Roger Nils-Jonas Karlsson, 47, pleaded guilty on March 4. According to court documents, Karlsson ran an investment fraud scheme from 2011 until his arrest in Thailand in June 2019. Karlsson induced victims to purchase shares in the scheme called “Eastern Metal Securities” using cryptocurrency such as Bitcoin and other online payment platforms. Karlsson promised victims astronomical returns tied to the price of gold. Instead, the funds provided by victims were transferred to Karlsson’s personal bank accounts, and he then used proceeds to purchase expensive homes, a racehorse and a resort in Thailand. Karlsson’s fraud targeted financially insecure investors, causing severe financial hardship for many of them. Meanwhile, Karlsson went to great lengths to prolong his scheme, including rebranding, offering updates and account statements that provided assurances to the victims of the states of their assets, and offering explanations for the payout delays – including falsely claiming to be working with the Securities and Exchange Commission (SEC).
As part of the sentence, Karlsson was also ordered to forfeit a Thai resort and various other properties and accounts, and issued a money judgment in the amount of $16,263,820. The United States is seeking restitution on behalf of Karlsson’s victims. A restitution order is expected to be entered by the court within 90 days. Victims of Roger Karlsson and Eastern Metal Securities who have not been in contact with the U.S. Attorney’s Office for the Northern District of California are encouraged to submit information as soon as possible. Additional information for victims and a victim form are available at https://www.justice.gov/usao-ndca/united-states-vs-roger-karlsson-and-eastern-metal-securities.
Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney Stephanie Hinds of the Northern District of California; and Acting Special Agent in Charge Darrell J. Waldon of the IRS-Criminal Investigation (IRS-CI) Washington, D.C., Field Office made the announcement.
IRS-CI Washington, D.C. Cyber Crimes Unit investigated the case. The Justice Department’s Office of International Affairs, the FBI Legal Attaché Office in Thailand, the IRS-CI Attaché Office in Hong Kong and the Royal Thai Police Crime Suppression Division provided significant assistance. The SEC’s New York Regional Office also provided substantial support.
Trial Attorney C. Alden Pelker of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney William Frentzen of the U.S. Attorney's Office for the Northern District of California prosecuted the case. Assistant U.S. Attorney Karen Beausey of the Asset Forfeiture Unit of the U.S. Attorney’s Office handled the forfeiture proceedings, and Victim Specialist Maria Sunga provided support. Law clerks and interns Seamus Lynch, John Paul, Kate Kaplan and Edward Percarpio also provided essential assistance in support of the sentencing.
Cryptocurrency Fraudster Sentenced to 15 Years for Money Laundering and Securities Fraud in Multi-Million Dollar Investment SchemeRead the Press Release
SAN FRANCISCO – Roger Nils-Jonas Karlsson, citizen of Sweden, was sentenced today to 15 years in prison for securities fraud, wire fraud, and money laundering charges that defrauded thousands of victims. The court also ordered the defendant to forfeit several properties in Thailand, including a resort, and a forfeiture money judgment of more than $16 million. The sentence was handed down by the Hon. Charles R. Breyer, U.S. District Judge.
Karlsson, 47, pleaded guilty to the charges on March 4, 2021, without a written plea agreement. According to court documents, Karlsson ran an investment fraud scheme from 2011 until his arrest in Thailand in June 2019. Karlsson induced victims to use cryptocurrency such a Bitcoin and other online payment platforms to purchase shares in a scheme he called “Eastern Metal Securities.” Karlsson promised victims astronomical returns tied to the price of gold. Instead, the funds provided by victims were transferred to Karlsson’s personal bank accounts, and he then used proceeds to purchase personal items including expensive homes, a racehorse, and a resort in Thailand. Karlsson’s fraud targeted financially insecure investors, causing severe financial hardship for many of them. Meanwhile, Karlsson went to great lengths to prolong his scheme, including rebranding, offering updates and account statements that provided assurances to the victims that their assets were secure, and offering explanations for the payout delays – including falsely claiming to be working with the Securities and Exchange Commission. In addition, the government’s filings in the case describe Karlsson’s attempt to launder the proceeds of his fraud by using multiple aliases and shell companies, layering transactions through cryptocurrency wallets and exchanges, and using offshore accounts and properties. The government argued in its sentencing memorandum that Karlsson’s cryptocurrency Ponzi scheme is one of the largest such schemes the government knows to have been sentenced.
“The investigation into Roger Karlsson’s fraud uncovered a frighteningly callous scheme that lasted more than a decade during which Karlsson targeted thousands of victims, including financially vulnerable seniors, to callously rob them of their assets and all to fuel an extravagant lifestyle surrounded by luxury condominiums and lavish international vacations,” said Acting U.S. Attorney Hinds. “The court’s decision to order a 180-month prison term reflects the fact that Karlsson’s cryptocurrency Ponzi scheme is one of the largest to be sentenced to date and ensures that Karlsson now will have plenty of time to think about the harm he has caused to his victims.”
The judge ordered forfeited various Thai resort properties and accounts and issued a money judgment in the amount of $16,263,820. The United States is seeking restitution on behalf of Karlsson’s victims. A restitution order is expected to be entered by the Court within 90 days. Victims of Roger Karlsson and Eastern Metal Securities who have not been in contact with the U.S. Attorney’s Office for the Northern District of California are encouraged to submit information as soon as possible. Additional information for victims and a victim form are available at https://www.justice.gov/usao-ndca/united-states-vs-roger-karlsson-and-eastern-metal-securities.
Acting U.S. Attorney Stephanie Hinds of the Northern District of California; Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; and Acting Special Agent in Charge Darrell J. Waldon of the IRS-Criminal Investigation (IRS-CI) Washington, D.C. Field Office made the announcement.
IRS-CI Washington, D.C. Cyber Crimes Unit investigated the case. The Justice Department’s Office of International Affairs, the FBI Legal Attaché Office in Thailand, the IRS-CI Attaché Office in Hong Kong and the Royal Thai Police Crime Suppression Division provided significant assistance.The Securities and Exchange Commission has filed a separate enforcement action against Karlsson. The announcement of that action can be viewed here.
Trial Attorney C. Alden Pelker of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney William Frentzen prosecuted this case. Assistant U.S. Attorney Karen Beausey of the Asset Forfeiture Unit of the U.S. Attorney’s Office for the Northern District of California (USAO) handled the forfeiture proceedings and Victim Specialist Maria Sunga provided support. Seamus Lynch, John Paul, Kate Kaplan, and Edward Percarpio also provided essential assistance in support of the sentencing. The Department of Justice also appreciates the assistance of the Securities and Exchange Commission.
The Securities and Exchange Commission's Office of Investor Education and Advocacy warns investors to scrutinize investment “opportunities” offered through websites purporting to operate advisory and trading businesses related to digital assets. Additional information is available in the SEC’s Investor Alert on the topic. Victims of investment fraud schemes, including those involving cryptocurrency, are encouraged to report their loss to law enforcement.
Corvallis ex-lawyer admits wire fraud, money laundering and tax evasion in real estate investment schemeRead the Press Release
MISSOULA –A former lawyer who also was a licensed realtor and ran a construction company today admitted charges in which he defrauded investors, losing more than $1 million in the futures market, and filed false income tax returns, Acting U.S. Attorney Leif M. Johnson said.
Ronald Dean Lords, 53, of Corvallis, pleaded guilty to wire fraud, money laundering and filing false tax returns. Lords faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release on the wire fraud charge; 10 years in prison, a $250,00 fine and three years of supervised release on the money laundering charge and three years in prison, a $100,000 fine and one year of supervised release on the false tax returns charge.
U.S. Magistrate Judge Kathleen L. DeSoto presided. A sentencing date was set for Nov. 10 before U.S. District Judge Donald W. Molloy. Lords was released pending further proceedings.
The government alleged in court documents that Lords was a lawyer, who operated Eagles Landing Legal Services, PC, as well as a licensed realtor and general contractor, who operated Eagles Landing Construction, Inc. The construction company purported to develop real property and build homes. From June 2011 and September 2018, in Ravalli County, Lords defrauded several victims by convincing them to invest money in his construction company. Lords told them he would make monthly interest payments, use the money to build homes and repay the money after the homes were sold. Lords said he would return the victims’ money within 30 days of any request.
The government further alleged that instead of using the money to fund construction projects as promised, Lords used a portion of the new money to make interest payments to prior investors and lost the majority of the funds in the futures market. When some victims demanded their principal back, Lords admitted he lost more than $1 million in the futures market and did not have their money.
The government also alleged that Lords failed to declare $432,608 he received from several victims in 2015 as “other income” on his taxes, resulting in unpaid taxes of $152,734 for that year.
Assistant U.S. Attorney Timothy J. Racicot is prosecuting the case, which was investigated by the FBI and IRS, Criminal Investigation Division.
XXX
Cooke County Felon Sentenced for Federal Firearms ViolationsRead the Press Release
PLANO, Texas – A Gainesville convicted felon has been sentenced to federal prison for firearms violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.
William Randall Brannan, 39, was convicted by a jury on Feb. 21, 2020, of being a felon in possession of a firearm and two counts of possession of a firearm in furtherance of a drug trafficking crime. Brannan was sentenced to 272 months in federal prison today by U.S. District Judge Sean D. Jordan.
“Getting firearms out of the hands of prohibited persons is a critical part of the Department’s efforts to reduce violent crime in our neighborhoods,” said Acting U.S. Attorney Nicholas J. Ganjei. “Today’s sentence sends a strong message that violent criminals who utilize firearms to deal narcotics will be aggressively prosecuted and held accountable to fullest extent of the law.”
According to information presented in court, in January 2019, Brannan, while delivering methamphetamine, discharged a firearm in a Gainesville residence, and again outside the home, while attempting to intimidate others into returning methamphetamine which he believed had been stolen from him. On Feb. 28, 2019, Brannan was located in Arlington, Texas and fled as law enforcement officers attempted to arrest him. He then led police on a high-speed chase before crashing the vehicle. The gun used in the Gainesville shooting was found in the vehicle. Further investigation revealed Brannan was a convicted felon and prohibited from owning or possessing firearms or ammunition. Brannan was indicted by a federal grand jury on March 14, 2019.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case was investigated by the Cooke County Sheriff’s Office, the Arlington Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorneys Matthew Johnson and Chris Eason.
###
Convicted Felon Sentenced to More Than 17 Years in Prison on Gun and Drug ChargesRead the Press Release
HUNTSVILLE, Ala. – A federal judge yesterday sentenced Norman David Ray Fischer, 41, of Owens Cross Roads, to 211 months in prison on gun and drug charges, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Mickey French.
In March, Fischer pleaded guilty before U.S. District Court Judge Abdul K. Kallon to one count of possession with intent to distribute methamphetamine, one count of possession of a firearm in furtherance of a drug trafficking crime, and one count of being a felon in possession of a firearm.
“As this sentence demonstrates, drug-dealing felons with guns face stiff penalties under federal law,” U.S. Attorney Escalona said. “It is a priority of my office to work with our law enforcement partners to prosecute these crimes.”
“ATF’s Crime Gun Intelligence partnerships with the Madison County Sheriff’s Office and the U.S. Attorney’s Office focuses on the devastating impact of firearms violence and works with the entire community to reduce the potential for violent crime,” ATF SAC French stated.
The ATF investigated the case along with the Madison County Sheriff’s Department Narcotics Unit and SWAT Team. Assistant U.S. Attorney Robert J. Becher prosecuted the case.
Clay County Woman Pleads Guilty to Defrauding FEMARead the Press Release
HUNTINGTON, W.Va. – Rebecca F. Bragg, 37, pleaded guilty to fraud in connection with major disaster or emergency benefits.
According to court documents, in June 2016, at the time of a major flood, Bragg resided in a home in Procious, Clay County, that was owned by her husband’s parents. On June 26, 2016, Bragg applied to the U.S. Department of Homeland Security’s Federal Emergency Management Agency (FEMA) for both personal and rental assistance for the Procious residence. As a result of her application for rental assistance, Bragg received $2,472 from FEMA. FEMA initially deemed Bragg ineligible for home repair assistance because she had not proven she owned the home at the time of the flood. On July 20, 2016, through her previous employer, Bragg applied for and obtained home insurance for the Procious residence, wherein she falsely claimed she was the home owner. On August 9, 2016, from her previous employer’s office in Spencer, Roane County, Bragg faxed to FEMA the home insurance policy that listed her as the property owner. As a result of Bragg’s false statements and misrepresentations, she received $4,900.85 in home repair benefits from FEMA.
Bragg faces up to 30 years in prison when she is sentenced on October 28, 2021.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative efforts of the Department of Homeland Security, Office of Inspector General and the West Virginia Commission on Special Investigations. Assistant United States Attorney Kathleen Robeson is handling the prosecution.
United States District Judge Irene C. Berger presided over the hearing.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00103.
###
Charleston Rioter Sentenced to 18 Months in Federal PrisonRead the Press Release
Charleston, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that Abraham Jenkins, 26, of Charleston, was sentenced to 18 months in federal prison after pleading guilty to civil disorders related to the violence and destruction in downtown Charleston on May 30, 2020.
Jenkins is the second of six defendants to be sentenced on federal charges stemming from participation of actions including arson, inciting riots, and other civil disorder in Columbia and Charleston on May 30 and 31, 2020.
“The United States Attorney’s Office will always protect the First Amendment rights of South Carolinians,” said Acting U.S. Attorney DeHart. “However, when peaceful protests turn into violence and destruction, the violent agitators committing crimes will be brought to justice.”
“To protect our right to peacefully protest, the FBI will continue to investigate individuals that engage in criminal conduct that causes personal injury and property destruction as part of a riot,” said FBI Special Agent in Charge Susan Ferensic. “We are grateful for the work done by the ATF, Charleston Police Department and South Carolina Law Enforcement Division that helped bring this offender to justice.”
“The Charleston Police Department applauds the successful resolution of this criminal case and the support the displayed by the United States Attorney’s Office regarding this incident,” said Charleston Police Chief Luther Reynolds. “While the Charleston Police Department will always support our citizen’s right to peaceful protest, we will never condone violent or destructive acts that endanger our citizens or damage property. More work remains to be accomplished as we continue investigating and prosecuting those violent offenders responsible for the significant destruction of property, assault on our citizens and attack on our officers. We will not rest until justice is accomplished for all impacted by those criminal acts.”
“The Mount Pleasant Police Department appreciates the investigation in this matter and feels the process worked out in the interest of justice,” read in part a statement from the Mount Pleasant Police Department. “We will continue to work with our law enforcement and community partners to ensure our citizens rights, safety, and property are protected.”
Evidence presented in court showed that Jenkins stood on top of a Town of Mount Pleasant Police vehicle, damaging it; sprayed a fire extinguisher at police officers who were patrolling Charleston on two separate occasions; and threw a water bottle at a patrolling officer. Jenkins also took a burning t-shirt and threw it through a broken back window of a Charleston Police cruiser, causing damage to the cruiser.
United States District Judge Richard M. Gergel sentenced Jenkins to 18 imprisonment to be followed by 36 months of supervised release. There is no parole in the federal system.
The case was investigated by the FBI, ATF, Charleston Police Department, and South Carolina Law Enforcement Division (SLED). Numerous other local police departments and Solicitors’ Offices across the states have also assisted in the investigations of civil unrest in May 2020.
Assistant United States Attorneys Emily Limehouse and Nathan Williams prosecuted the case.
#####
California Men Pleads Guilty to Drug TraffickingRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that on July 7, 2021 ALLEN EDGERSON, age 43, of Moreno Valley, California, pled guilty today to charges relating to methamphetamine trafficking.
EDGERSON pled guilty to conspiring to distribute and to possess with the intent to distribute 50 grams or more of methamphetamine and 500 grams or more of a mixture and substance containing a detectable amount of methamphetamine, in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(A), and 846. According to court documents, EDGERSON sold methamphetamine in large quantities, quoting customers prices for up to 20 pounds of methamphetamine at a time. Law enforcement agents caught EDGERSON and his codefendant, Rachel Cesario, sending packages with multiple pounds of methamphetamine at a time to codefendant Sheon Copprue in New Orleans.
EDGERSON faces a term of imprisonment of at least ten years and up to life in prison, a fine of up to $10,000,000, at least five years of supervised release, following any term of imprisonment, and a mandatory special assessment of $100. Two of EDGERSON’s codefendants, Sheon Copprue and Tonya Calvin, have already pled guilty in this case. Judge Sarah S. Vance set EDGERSON’s sentencing for November 10, 2021.
U.S. Attorney Evans praised the work of the United States Postal Inspection Service, the Drug Enforcement Administration, and the Louisiana State Police. Assistant U.S. Attorney Nicholas D. Moses is in charge of the prosecution.
California Man Sentenced in Erie for Possessing Fentanyl, Cocaine, Heroin and PillsRead the Press Release
ERIE, Pa. - A former resident of California has been sentenced in federal court to 70 months in jail on his conviction of violating federal drug laws, Acting United States Attorney Stephen R. Kaufman announced today.
United States District Judge Susan Paradise Baxter imposed the sentence on Victor Daniel Guttierez, 48.
According to information presented to the court, between May 28, 2020 and June 8, 2020, Gutierrez conspired to possess with intent to distribute and distribute forty grams or more of a mixture and substance containing a detectable amount of fentanyl. The charge was based on an intercepted United States Mail parcel that Gutierrez shipped to Pennsylvania from California containing approximately 340 grams of fentanyl pills. As part of the plea, Gutierrez had also acknowledged his responsibility for attempting to possess with intent to distribute 2.125 kilograms of cocaine and 1.535 kilograms of heroin in and around September of 2019 and Gutierrez was sentenced on these amounts as well.
Prior to imposing sentence, Judge Baxter stated that despite Mr. Gutierrez’s claims of mitigating circumstances, his actions in trafficking these substantial quantities of controlled substances had only served to “further addiction and heartbreak” for those suffering from drug use and addiction in the Western District of Pennsylvania.
Assistant United States Attorney Paul S. Sellers prosecuted this case on behalf of the government.
Acting United States Attorney Kaufman commended the United States Postal Inspection Service for the investigation leading to the successful prosecution of Gutierrez.
California Man Sentenced in Erie for Possessing Fentanyl, Cocaine, Heroin and PillsRead the Press Release
ERIE, Pa. - A former resident of California has been sentenced in federal court to 70 months in jail on his conviction of violating federal drug laws, Acting United States Attorney Stephen R. Kaufman announced today.
United States District Judge Susan Paradise Baxter imposed the sentence on Victor Daniel Guttierez, 48.
According to information presented to the court, between May 28, 2020 and June 8, 2020, Gutierrez conspired to possess with intent to distribute and distribute forty grams or more of a mixture and substance containing a detectable amount of fentanyl. The charge was based on an intercepted United States Mail parcel that Gutierrez shipped to Pennsylvania from California containing approximately 340 grams of fentanyl pills. As part of the plea, Gutierrez had also acknowledged his responsibility for attempting to possess with intent to distribute 2.125 kilograms of cocaine and 1.535 kilograms of heroin in and around September of 2019 and Gutierrez was sentenced on these amounts as well.
Prior to imposing sentence, Judge Baxter stated that despite Mr. Gutierrez’s claims of mitigating circumstances, his actions in trafficking these substantial quantities of controlled substances had only served to “further addiction and heartbreak” for those suffering from drug use and addiction in the Western District of Pennsylvania.
Assistant United States Attorney Paul S. Sellers prosecuted this case on behalf of the government.
Acting United States Attorney Kaufman commended the United States Postal Inspection Service for the investigation leading to the successful prosecution of Gutierrez.
Convicted Felon Sentenced to over 9 Years in Federal Prison for Firearms PossessionRead the Press Release
FAYETTEVILLE – A Fayetteville man was sentenced today to 110 months in federal prison followed by three years of supervised release on one count of being a Felon in Possession of a Firearm. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court documents, on February 7, 2021, the 4th Judicial District Drug Task Force obtained a search warrant for the residence of Marcellius Ricardio Phillips, 38, for drug trafficking offenses in the Western District of Arkansas. Prior to executing the search warrant, Detectives made contact with Phillips outside his residence. After Phillips was placed under arrest for an outstanding warrant, Detectives searched his pants pocket and located a loaded handgun. Phillips is a convicted felon and is prohibited from possessing any firearms.
Acting U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The 4th Judicial District Drug Task Force investigated the case.
Assistant U.S. Attorney David Harris prosecuted the case.
This case was prosecuted as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Bridgeton Police Officer Charged with Civil Rights Violation and Filing False Police ReportRead the Press Release
CAMDEN, N.J. – A City of Bridgeton police officer has been indicted for offenses arising from an assault on the streets of Bridgeton, Acting U.S. Attorney Rachael A. Honig announced today.
John Grier III, 49, of Cedarville, New Jersey, is charged in an indictment unsealed today with one count of violating an individual’s civil rights and one count of falsifying a record for submitting a false police report about the assault. A federal grand jury returned the sealed indictment on June 30, 2021. Grier surrendered this morning and was arraigned by videoconference before U.S. Magistrate Judge Ann Marie Donio. He was released on $50,000 bond.
“One of the most important responsibilities we hold at the Department of Justice is the responsibility to investigate and prosecute police officers who abuse their power and deprive our citizens of their civil rights,” Acting U.S. Attorney Honig said. “This Office will continue to charge officers, like this defendant, who dishonor their badges by using force when it is neither reasonable nor necessary and thereby fail to live up to their duty to protect the public they serve.”
“Civil Rights violations are of great concern, particularly when the allegations involve a member of law enforcement,” FBI Newark Special Agent in Charge George M. Crouch Jr. said. “The public has an absolute right to trust that law enforcement will protect those they serve and keep them safe. When that trust is violated, it makes it more difficult for our fellow police officers and federal agents to maintain the community's confidence.”
According to documents filed in this case and statements made in court:
On June 18, 2017, Bridgeton Police Department (BPD) officers were dispatched to a Bridgeton gas station following a report of two males sitting at the gas station yelling at passersby. When an officer arrived, he found the victim in the driver seat of a car parked by the gas pumps, and another man was sitting in the passenger seat. In response to the radio call, Grier arrived as a back-up officer.
Eventually, the driver and passenger were issued summonses, and Grier departed the gas station. Within minutes, an officer who remained at the gas station radioed for assistance because the driver and passenger had gotten out of the car and approached him before he could drive off. As Grier drove back to the gas station, he grabbed a large can of OC spray and pulled out the pin allowing its use.
Upon Grier’s arrival, the driver was yelling at officers. Grier ordered the driver to get back into his vehicle and warned him that if he approached the officers again that he would be arrested. The driver and passenger returned to their car and drove to the side of the gas station. At that point the police officers had probable cause to arrest the victim for driving while intoxicated.
The officers approached the car in order to arrest the victim. Grier got out of his car with the large can of OC spray in his hand and told another officer to “step back,” despite the fact that the officer had nearly finished handcuffing the victim. While holding the OC spray, Grier asked the victim “do you want to feel pain, sir?” Other officers were able to handcuff the victim without incident.
As an officer attempted to the place the handcuffed victim into the rear of a patrol vehicle, Grier sprayed the victim in the face. The victim doubled over. An officer helped the victim up and sat him on the edge of the rear seat of the police SUV. Grier then sprayed the victim for a second time. After the second burst of OC spray to the face, Grier asked the driver “there, how do you like it now? Now get in the goddamn car.”
Grier returned to the police station to prepare his report in connection with the victim’s arrest. Grier prepared and submitted a false and fraudulent police report in which Grier falsely stated that the victim “refused [to enter the police vehicle] and continued to forcefully remain outside the vehicle,” and, in an effort to falsely justify the use of the OC spray a second time, stated that the “spray did not strike [the victim] in the face and that it did not take immediate effect[.]”
The violation of civil rights count carries a maximum penalty of 10 years in prison. The false records count carries a maximum penalty of 20 years in prison. The maximum fine for each charge is $250,000.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Acting U.S. Attorney Honig credited special agents of the FBI, Atlantic City Resident Agency, under the direction of Special Agent in Charge Crouch in Newark, with the investigation leading to today’s indictment. Acting U.S. Attorney Honig also thanked the Internal Affairs Unit of the Bridgeton Police Department, under the direction of Chief Michael A. Gaimari Sr.; investigators and detectives of the New Jersey Attorney General’s Office, under the direction of Attorney General Gurbir Grewal; and the Cumberland County Prosecutor’s Office, under the direction of Prosecutor Jennifer Webb-McCray.
The government is represented by Assistant U.S. Attorney Jason M. Richardson of the U.S. Attorney=s Office Criminal Division in Camden.
Avanos Medical to Pay $22 Million to Resolve Criminal Charge Related to Fraudulent Misbranding of MicroCool Surgical GownsRead the Press Release
Avanos Medical Inc., a U.S.-based multinational medical device corporation, has agreed to pay more than $22 million to resolve a criminal charge relating to the company’s fraudulent misbranding of its MicroCool surgical gowns.
A criminal information filed yesterday in the U.S. District Court for the Northern District of Texas charges Avanos with one count of introducing misbranded surgical gowns into interstate commerce with the intent to defraud and mislead. According to court filings, Avanos falsely labeled the gowns as providing the highest level of protection against fluid and virus penetration.
Under the terms of a deferred prosecution agreement filed with the criminal information, Avanos will pay $22,228,000, composed of a victim compensation payment of $8,939,000, a criminal monetary penalty in the amount of $12,600,000, and a disgorgement payment of $689,000. The deferred prosecution agreement resolves a criminal investigation into Avanos’s misbranding of its MicroCool surgical gowns under the Federal Food, Drug, and Cosmetic Act (FDCA) and the company’s obstruction of a 2016 for-cause inspection conducted by the U.S. Food and Drug Administration (FDA) into Avanos’s surgical gown business.
“The last thing health care workers should have to worry about is whether their personal protective equipment lives up to manufacturers’ claims,” said Acting U.S. Attorney Prerak Shah for the Northern District of Texas. “Misbranded PPE can pose serious risks to medical professionals and patients alike. All companies that do business in Texas, health care or otherwise, will be held accountable for the promises they make about their products.”
“Companies that sell medical products put their customers at risk when they misrepresent the quality of those products,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Department of Justice will work with its law enforcement partners to prosecute companies that put profits over safety, especially when they provide products meant to protect medical professionals in potentially high-risk situations involving infectious diseases.”
“Customers of Avanos trusted the company to deliver on the promises it made about the safety of its surgical gowns,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Avanos betrayed that trust. This resolution emphasizes that the department will hold companies in the medical device industry accountable.”
“Medical devices, such as surgical gowns, must have truthful and accurate labeling,” said Assistant Commissioner for Criminal Investigations Catherine A. Hermsen of the FDA. “Surgical gowns with false or misleading labeling can put health care practitioners and patients at risk. The FDA’s Office of Criminal Investigations protects the American public by aggressively investigating allegations involving FDA-regulated products.”
According to court documents, surgical gowns sold in the United States are subject to regulation by the FDA, which recognizes a system of classification set forth by the American National Standards Institute (ANSI) and the Association for the Advancement of Medical Instrumentation (AAMI) — known as the ANSI/AAMI PB70 standard. The ANSI/AAMI PB70 standard was first established in 2003 and revised to be more rigorous in 2012. Under the standard, the highest protection level for surgical gowns — AAMI Level 4 — is reserved for gowns intended to be used in surgeries and other high-risk medical procedures on patients suspected of having infectious diseases.
As part of the deferred prosecution agreement, Avanos admitted that between late 2014 and early 2015, it sold hundreds of thousands of MicroCool surgical gowns that were labeled as AAMI Level 4 under the 2012 ANSI/AAMI PB70 standard but did not actually meet that standard. In addition, Avanos made direct misrepresentations to customers about the MicroCool gowns’ compliance with the 2012 ANSI/AAMI PB70 standard. For example, in November 2014, Avanos sent letters to certain hospitals and other potential purchasers that falsely claimed that the MicroCool gowns met the revised and more rigorous 2012 ANSI/AAMI PB70 standard for classification as AAMI Level 4 — a standard that Avanos’s employees knew the gowns had never met. At least one of these letters was sent in response to a request for assurances made by a health care provider seeking to obtain surgical gowns for use in responding to the 2014 Ebola outbreak. In total, Avanos sold approximately $8,939,000 worth of misbranded MicroCool gowns to customers in the United States and abroad.
In addition, according to court documents, an employee and an agent of Avanos obstructed a July 2016 FDA for-cause inspection of the company’s surgical gown business by making numerous false entries in four documents requested by FDA investigators.
As part of the criminal resolution, Avanos has agreed to continue to cooperate with the Justice Department and to report any evidence or allegation of a violation of the FDCA or U.S. obstruction or fraud laws committed by Avanos’s employees or agents upon any domestic government agency (including the FDA), regulator or any of Avanos’s customers. Avanos has further agreed to strengthen its compliance program and abide by specific reporting requirements, which require the company to submit yearly reports to the government regarding the status of Avanos’s enhancements to its compliance program and internal controls, policies and procedures aimed at deterring and detecting violations of the FDCA and U.S. obstruction and fraud laws, and the status of its remediation efforts.
The government reached this resolution with Avanos based on a number of factors, including the nature and seriousness of the offense conduct and Avanos’s failure to timely and voluntarily self‑disclose the offense conduct to the department. In addition, Avanos fully cooperated with the investigation conducted by the government, including conducting a thorough internal investigation, meeting requests from the government promptly, making factual presentations to the government, assisting in making a key foreign-based employee available for interview, and producing extensive documentation to the government, including documents located in a foreign jurisdiction.
The government also considered that Avanos engaged in remedial measures after the offense conduct, including: (i) changing the manufacturing process for the MicroCool surgical gowns to improve the quality of their sleeve seams; (ii) reorganizing its quality and regulatory departments so that they report directly to the CEO; (iii) substantially increasing the budget and headcount of its compliance and quality departments; (iv) creating a stand-alone Compliance Committee of the Board of Directors; (v) enhancing the independence, autonomy and resources of its compliance function by creating a stand-alone compliance department and appointing a full-time Chief Ethics and Compliance Officer who reports directly to the CEO and presents compliance reports to the Compliance Committee at least five times per year; (vi) enhancing compliance training for its employees; and (vii) implementing revised procedures for the review and approval of all medical device marketing material.
The criminal case was investigated by the FDA’s Office of Criminal Investigations.
Senior Litigation Counsel Allan Gordus and Trial Attorneys David Gunn and Max Goldman of the Civil Division’s Consumer Protection Branch, Trial Attorney John “Fritz” Scanlon of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Katherine Miller of the Northern District of Texas prosecuted the case.
Avanos Medical Inc. to Pay $22 Million to Resolve Criminal Charge Related to the Fraudulent Misbranding of Its MicroCool Surgical GownsRead the Press Release
Avanos Medical Inc., a U.S.-based multinational medical device corporation, has agreed to pay more than $22 million to resolve a criminal charge relating to the company’s fraudulent misbranding of its MicroCool surgical gowns.
A criminal information filed yesterday in the U.S. District Court for the Northern District of Texas charges Avanos with one count of introducing misbranded surgical gowns into interstate commerce with the intent to defraud and mislead. According to court filings, Avanos falsely labeled the gowns as providing the highest level of protection against fluid and virus penetration. Under the terms of a deferred prosecution agreement filed with the criminal information, Avanos will pay $22,228,000, composed of a victim compensation payment of $8,939,000, a criminal monetary penalty in the amount of $12,600,000 and a disgorgement payment of $689,000. The deferred prosecution agreement resolves a criminal investigation into Avanos’s misbranding of its MicroCool surgical gowns under the Federal Food, Drug, and Cosmetic Act (FDCA) and the company’s obstruction of a 2016 for-cause inspection conducted by the U.S. Food and Drug Administration (FDA) into Avanos’s surgical gown business.
“Companies that sell medical products put their customers at risk when they misrepresent the quality of those products,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The Department of Justice will work with its law enforcement partners to prosecute companies that put profits over safety, especially when they provide products meant to protect medical professionals in potentially high-risk situations involving infectious diseases.”
“Customers of Avanos trusted the company to deliver on the promises it made about the safety of its surgical gowns,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “Avanos betrayed that trust. This resolution emphasizes that the department will hold companies in the medical device industry accountable and shows the Criminal Division’s dedication to partnering with the Civil Division’s Consumer Protection Branch to root out fraud.”
“The last thing health care workers should have to worry about is whether their personal protective equipment lives up to manufacturers’ claims,” said Acting U.S. Attorney Prerak Shah for the Northern District of Texas. “Misbranded PPE can pose serious risks to medical professionals and patients alike. All companies that do business in Texas, health care or otherwise, will be held accountable for the promises they make about their products.”
“Medical devices, such as surgical gowns, must have truthful and accurate labeling,” said Assistant Commissioner for Criminal Investigations Catherine A. Hermsen of the FDA. “Surgical gowns with false or misleading labeling can put health care practitioners and patients at risk. The FDA’s Office of Criminal Investigations protects the American public by aggressively investigating allegations involving FDA-regulated products and violations of the FDCA. In this case, OCI worked with the Department of Justice to ensure a just resolution, and we applaud the exceptional work done by the team.”
According to court documents, surgical gowns sold in the United States are subject to regulation by the FDA, which recognizes a system of classification set forth by the American National Standards Institute (ANSI) and the Association for the Advancement of Medical Instrumentation (AAMI) — known as the ANSI/AAMI PB70 standard. The ANSI/AAMI PB70 standard was first established in 2003 and revised to be more rigorous in 2012. Under the standard, the highest protection level for surgical gowns — AAMI Level 4 — is reserved for gowns intended to be used in surgeries and other high-risk medical procedures on patients suspected of having infectious diseases.
As part of the deferred prosecution agreement, Avanos admitted that between late 2014 and early 2015, it sold hundreds of thousands of MicroCool surgical gowns that were labeled as AAMI Level 4 under the 2012 ANSI/AAMI PB70 standard but did not actually meet that standard. In addition, Avanos made direct misrepresentations to customers about the MicroCool gowns’ compliance with the 2012 ANSI/AAMI PB70 standard. For example, in November 2014, Avanos sent letters to certain hospitals and other potential purchasers that falsely claimed that the MicroCool gowns met the revised and more rigorous 2012 ANSI/AAMI PB70 standard for classification as AAMI Level 4 — a standard that Avanos’s employees knew the gowns had never met. At least one of these letters was sent in response to a request for assurances made by a health care provider seeking to obtain surgical gowns for use in responding to the 2014 Ebola outbreak. In total, Avanos sold approximately $8,939,000 worth of misbranded MicroCool gowns to customers in the United States and abroad.
In addition, according to court documents, an employee and an agent of Avanos obstructed a July 2016 FDA for-cause inspection of the company’s surgical gown business by making numerous false entries in four documents requested by FDA investigators.
As part of the criminal resolution, Avanos has agreed to continue to cooperate with the Justice Department and to report any evidence or allegation of a violation of the FDCA or U.S. obstruction or fraud laws committed by Avanos’s employees or agents upon any domestic government agency (including the FDA), regulator or any of Avanos’s customers. Avanos has further agreed to strengthen its compliance program and abide by specific reporting requirements, which require the company to submit yearly reports to the government regarding the status of Avanos’s enhancements to its compliance program and internal controls, policies and procedures aimed at deterring and detecting violations of the FDCA and U.S. obstruction and fraud laws, and the status of its remediation efforts.
The government reached this resolution with Avanos based on a number of factors, including the nature and seriousness of the offense conduct and Avanos’s failure to timely and voluntarily self‑disclose the offense conduct to the department. In addition, Avanos fully cooperated with the investigation conducted by the government, including conducting a thorough internal investigation, meeting requests from the government promptly, making factual presentations to the government, assisting in making a key foreign-based employee available for interview, and producing extensive documentation to the government, including documents located in a foreign jurisdiction.
The government also considered that Avanos engaged in remedial measures after the offense conduct, including: (i) changing the manufacturing process for the MicroCool surgical gowns to improve the quality of their sleeve seams; (ii) reorganizing its quality and regulatory departments so that they report directly to the CEO; (iii) substantially increasing the budget and headcount of its compliance and quality departments; (iv) creating a stand-alone Compliance Committee of the Board of Directors; (v) enhancing the independence, autonomy and resources of its compliance function by creating a stand-alone compliance department and appointing a full-time Chief Ethics and Compliance Officer who reports directly to the CEO and presents compliance reports to the Compliance Committee at least five times per year; (vi) enhancing compliance training for its employees; and (vii) implementing revised procedures for the review and approval of all medical device marketing material.
The criminal case was investigated by the FDA’s Office of Criminal Investigations.
Senior Litigation Counsel Allan Gordus and Trial Attorneys David Gunn and Max Goldman of the Civil Division’s Consumer Protection Branch, Trial Attorney John “Fritz” Scanlon of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Katherine Miller of the Northern District of Texas prosecuted the case.
Armed Career Criminal Receives 20 Years in Prison for Gun and Drug ChargesRead the Press Release
TALLAHASSEE, FLORIDA – Keith A. Penn, 41, of Tallahassee, Florida, has been sentenced to 20 years in federal prison after pleading guilty to drug trafficking and firearm charges. Jason R. Coody, Acting United States Attorney for the Northern District of Florida, announced the sentence.
“This case is another example of the success that can be achieved through collaboration between our local and federal law enforcement agencies,” stated Acting U.S. Attorney Coody. “As a result of the excellent relationship between the Leon County Sheriff’s Office, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the Drug Enforcement Administration, this armed drug trafficker has been held accountable for his criminal conduct, and the community is safer as a result.”
In July 2020, the Leon County Sheriff’s Office made two controlled purchases of cocaine from Penn, leading to a search warrant for his apartment. During the execution of the warrant on August 11, 2020, LCSO recovered six firearms, over fifty grams of cocaine, drug paraphernalia associated with the sale of narcotics such as scales and baggies, and approximately $5925 in cash. Penn was arrested on state charges and was placed on pretrial release. LCSO conducted another controlled purchase of cocaine from Penn on October 13, 2020 and obtained a second search warrant for his apartment. During the execution of the second warrant on October 30, 2020, LCSO found various calibers of firearm ammunition, a small amount of cocaine, and drug paraphernalia (scales and baggies). LCSO also found approximately six grams of cocaine individually packaged into 25 baggies in Penn’s car, and over $900 in his pants pocket.
Penn pled guilty to possession of a firearm by a convicted felon, possession of ammunition by a convicted felon, possession of a firearm in furtherance of a drug-trafficking offense, and two counts of possession of cocaine with intent to distribute. Penn qualified for enhanced penalties as an Armed Career Criminal because of prior convictions for armed robbery with a deadly weapon and two counts of sale of cocaine. The Court also ordered 6 years of supervised release following Penn’s prison term.
“ATF takes possession of a firearm and ammunition by a convicted felon serious,” said Special Agent in Charge Craig W. Saier, “We will continue to work with our law enforcement partners to combat these crimes that endanger our communities.”
This sentence resulted from an investigation conducted by the Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, and the Leon County Sheriff’s Office. Assistant United States Attorney James A. McCain prosecuted the case.
This case falls within the purview of the Project Safe Neighborhoods initiative, which brings together federal, state, local and tribal law enforcement officials, prosecutors, and community leaders to combat violent crime in the community. Here in Tallahassee, the Sheriff’s ALLinLEON initiative has focused on enforcement, but also engaged community volunteers to regularly take at-risk youth to places of worship, activated Neighborhood Crime Watch programs, and conducted other activities to target neighborhoods that are perennial hotspots for violence. The effort also aims to help connect individuals who are reentering the community from incarceration with education, job skills and substance abuse treatment.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Albion Man Indicted on Charges of Distribution and Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y.- U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned a four count indictment charging Spencer Hart, 37, of Albion, NY, with three counts of distribution of child pornography and one count of possession of child pornography. The charges carry a minimum penalty of 15 years in prison, a maximum of 40 years, and a $250,000 fine.
Special Assistant U.S. Attorney Jeffrey T. Fiut and Assistant U.S. Attorney Aaron J. Mango, who are handling the case, stated that according to the indictment, the distributed child pornography on March 17, June 21, and June 22, 2020. In addition, on July 16, 2020, Hart possessed a hard drive containing an image of child pornography involving a prepubescent minor under the age of 12. The defendant was previously convicted on a state charge involving possession of child pornography.
The defendant was arraigned before U.S. Magistrate Judge Jeremiah J. McCarthy and is being held pending a detention hearing on July 14, 2021, at 10:00 a.m.
The indictment is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Federal Bureau of Investigation, Buffalo and Rochester Offices, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
# # # #
20-year prison sentence for Cincinnati man who sold fentanyl-laced heroinRead the Press Release
CINCINNATI - A 46-year old Cincinnati man has been sentenced to 20 years in prison for selling heroin laced with fentanyl to three people who overdosed on it.
Darrell R. Seay was sentenced yesterday. He pleaded guilty on March 25 to one count of distribution of a controlled substance resulting in serious bodily injury.
Court documents reveal that Seay came under investigation by the Hamilton County Heroin Coalition (now known as the Hamilton County Addiction Response Coalition) after Cincinnati Police responded to triple, non-fatal overdoses on January 14, 2020 and learned that Seay had sold one of the victims the fentanyl-laced heroin just before all three victims ingested the substance and overdosed. The three victims overdosed at the residence where he sold it (two in the house and one in the front yard). All three victims were administered Narcan at the scene, were transported to a nearby hospital and survived.
After further investigation, agents obtained a search warrant for the Seay’s residence. When searched on February 21, 2020, law enforcement seized more than half a kilogram of cocaine, approximately 65 grams of fentanyl, more than $75,000 in U.S. currency, two semi-automatic pistols, and paraphernalia indicative of drug trafficking, including digital scales. The guns were found in the wardrobe in the second-floor bedroom where the defendant and his wife sleep. In that wardrobe agents also found baggies of white powder individually wrapped into approximately 10-20 different bags of equal weight, indicative of further drug distribution to customers. Although the guns were not loaded, there were two loaded magazines in that same wardrobe that could properly attach to the firearms seized.
"Drug dealers prey on the addicted and we will hold dealers accountable," said Acting U.S. Attorney Vipal J. Patel in reminding people of the Fentanyl in Narcotic Drugs (FIND) Awareness project launched last December. “Street drugs are laced with fentanyl, which makes addiction even more deadly and peddling such drugs all the more dangerous.”
“This sentencing is the result of great police work in Hamilton County and individuals, like Mr. Seay, who choose to deal drugs in this community will have to answer for their crimes,” said Drug Enforcement Administration Detroit Field Division Special Agent in Charge Keith Martin. “Fentanyl is a very dangerous drug and the three victims in this case could have easily joined the tens of thousands who have already lost their lives to this public health crisis.”
Vipal J. Patel, Acting United States Attorney for the Southern District of Ohio, Keith Martin, Special Agent in Charge, Drug Enforcement Administration (DEA), and Cincinnati Police Chief Eliot K. Isaac announced the sentence handed down today by U.S. District Court Judge Douglas R. Cole. Assistant United States Attorney Jennifer K. Weinhold prosecuted the case on behalf of the United States.
# # #
Wednesday 7 July 2021
Wilmington Man Sentenced to 11 Years in Federal Prison for Drug and Firearms OffensesRead the Press Release
WILMINGTON, Del. – A Wilmington man was sentenced yesterday to 11 years in federal prison by the Honorable Colm F. Connolly, for possession with intent to distribute crack and powder cocaine and possession of a firearm by a prohibited person.
According to court documents, Troy Alexander, 42, admitted that for four to five months he obtained approximately a kilogram of cocaine each week for sale. On the day of his arrest, DEA Agents seized approximately 160 grams of crack cocaine, 280 grams of powder cocaine, cutting agents, and a kilogram press with molds from a residence affiliated with Mr. Alexander in Wilmington, Delaware. A loaded handgun was also found at Mr. Alexander’s home. Mr. Alexander is not legally allowed to possess a firearm due to a prior federal drug conviction.
U.S. Attorney David C. Weiss stated, “All too often, drugs and guns lead to violence in Wilmington and the surrounding communities. My office will continue to partner with the DEA to target, arrest, and prosecute drug and gun offenders and attempt to stem the violence before it occurs.”
The case was investigated by the Drug Enforcement Administration Group 41 is a member of the New Castle County High Intensity Drug Trafficking Area (“HIDTA”) and is comprised of officers from the Delaware State Police, New Castle County Police Department, Wilmington Police Department, Delaware Probation and Parole, Homeland Security Investigations, and Newark Police Department. Additional assistance was provided from by the Wilmington Police Department Drug Organized Crime & Vice Unit. The case was prosecuted by Assistant U.S. Attorneys Carly Hudson, Jennifer K. Welsh, and Christopher L. de Barrena-Sarobe.
Wheeling woman admits to role in drug trafficking operationRead the Press Release
WHEELING, WEST VIRGINIA – Kristen Hoffler, of Wheeling, West Virginia, has admitted to her role in a drug trafficking conspiracy, Acting United States Attorney Randolph J. Bernard announced.
Hoffler, age 25, pleaded guilty to one count of “Conspiracy to Distribute and Possess with the Intent to Distribute Cocaine Base, Methamphetamine, Heroin, and Fentanyl,” one count of “Aiding and Abetting Possession with Intent to Distribute Heroin within 1000 feet of a Protected Location,” one count of “Aiding and Abetting Possession with Intent to Distribute Cocaine Base within 1000 feet of a Protected Location,” and one count of “Maintaining Drug-Involved Premises within 1000 Feet of a Protected Location.” Hoffler admitted to working with other individuals to distribute heroin and cocaine base, also known as crack, near Luau Manor, a housing facility owned by a public housing authority, in April 2020.
Hoffler faces at up to 40 years of incarceration and a fine of up to $1,000,000 on the conspiracy charge and she faces up to 40 years of incarceration and a fine of up to $2,000,000 for each additional count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorneys Shawn M. Adkins and Clayton J. Reid are prosecuting the case on behalf of the government. The Ohio Valley Drug and Violent Crimes Task Force, a HIDTA-funded initiative, which includes the Drug Enforcement Administration, West Virginia State Police, Ohio County Sheriff’s Office, and the Wheeling Police Department, investigated. The U.S. Marshal Service, Columbus Police Department Gang Crimes Unit, the Martins Ferry Police Department, and the Bellaire Police Department also assisted.
U.S. Magistrate Judge James P. Mazzone presided.
Original case indictment here: https://www.justice.gov/usao-ndwv/pr/26-charged-drug-conspiracy-involving-heroin-fentanyl-crack-cocaine-and-meth-wheeling
Wausau Woman Pleads Guilty to Distribution of Child PornographyRead the Press Release
Acting United States Attorney Richard G. Frohling of the Eastern District of Wisconsin announced that on July 7, 2021, Natalie J. Ticho (age: 25) of Wausau, Wisconsin, appeared in federal court in Green Bay and pled guilty to a single-count information charging her with distribution of child pornography.
As detailed in a plea agreement filed in the case, Ticho distributed sexually explicit images of a 7-year-old child and engaged in conversations online about child pornography. Unbeknownst to Ticho, she was communicating with an undercover law enforcement officer. Her arrest and subsequent conviction were part of Operation Kick Boxer, a collaborative effort involving the Milwaukee Division of the Federal Bureau of Investigation (FBI), the U.S. Attorney’s Office for the Eastern District of Wisconsin, and the Winnebago County Sheriff's Office. (https://go.usa.gov/xfPHh).
Ticho will be sentenced on October 12, 2021, at 1:30 p.m. before Senior United States District Judge William C. Griesbach. Pursuant to the terms of the plea agreement, Ticho will receive a 90-month federal prison sentence. She will also be required to register as a sexual offender.
This case was investigated by the Winnebago County Sheriff’s Office and the FBI’s Milwaukee and Green Bay Offices, with the assistance of the Wausau Police Department and the Marathon County District Attorney’s Office. It is being prosecuted by Assistant United States Attorney Daniel R. Humble.
This case was also brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
###
For further information contact: Public Information Officer
(414) 297-1700
Follow us on Twitter
Warden Man Sentenced to 23 Years for Child Sex Trafficking and Production of Child PornographyRead the Press Release
Spokane – Joseph H. Harrington, Acting United States Attorney for the Eastern District of Washington, announced that Carlos Salgado Velasquez, age 30, of Warden, Washington, was sentenced today after pleading guilty on April 1, 2021, to one count of Production of Child Pornography and one count of Child Sex Trafficking. Senior United States District Judge Nielsen sentenced Velasquez to a 23-year term of imprisonment, to be followed by a life term of court supervision after Velasquez is released from federal prison.
According to information disclosed during court proceedings, beginning in September 2016 and continuing through September 2018, Velasquez engaged in conduct with four minor female victims within the Eastern District of Washington that constituted both the production of child pornography and child sex trafficking, in violation of federal law. Velasquez admitted that he knowingly took part in sexually explicit conduct with the four minor victims for the purpose of producing visual depictions of the sexually explicit conduct. Velasquez also admitted that he engaged in commercial sex acts with the four minor victims by soliciting them to engage in sexual intercourse with him in exchange for things of value. Velasquez solicited the four victims to engage in commercial sex acts with him by arranging to meet them using various internet communications platforms.
Acting United States Attorney Harrington said “This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to
identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
This case was investigated by the Spokane Resident Office of the United States Department of Homeland Security, the Southeast Regional Internet Crimes Against Children Task Force, which includes detectives from the Kennewick and Richland Police Departments, and the Moses Lake Police Department. The case was prosecuted by Ann T. Wick, Assistant United States Attorney for the Eastern District of Washington.
Vinita Veterinarian Sentenced for Failing to Report ArsonRead the Press Release
A Vinita veterinarian was sentenced in federal court for failing to report an arson and will pay more than $300,000 in restitution to the victims of the crime, announced Acting U.S. Attorney Clint Johnson.
On Oct. 2, 2016, John Marcotte, 57, accompanied a friend, Thomas Craig Shelton, 40, who set fire to the Yazel Land & Cattle Company building in Vinita. On April 1, 2021, Marcotte pleaded guilty to misprision of a felony, admitting that he knowingly concealed the arson and failed to report the crime to law enforcement.
In his plea agreement, Marcotte stated he was with Shelton, who set the company building on fire. He further stated that in May 2020, Shelton told him that he (Shelton) was under federal investigation concerning the fire and that the two discussed details of the arson and finding legal representation. Marcotte admitted that he failed to contact authorities as soon as possible at the time of the crime and after learning about the federal investigation in 2020. Finally, Marcotte stated that when he learned of the investigation, he tried to conceal the crime by attempting to coordinate details with Shelton about events leading up to the setting of the fire.
Chief U.S. District Judge John F. Heil III sentenced Marcotte to three years of probation. He further ordered the defendant to pay $311,220.43 in restitution to the victims and a fine of $5,000. Judge Heil found that restitution was mandatory, stating that Marcotte pleaded guilty to misprision of a felony and that his failure to report the arson resulted in the victims’ losses. The restitution will be paid by both defendants in the case.
Co-defendant Shelton pleaded guilty on April 22, 2021. In his plea agreement, Shelton admitted that on Oct. 2, 2016, he conspired with John Marcotte to set the Yazel Land & Cattle Company building on fire. Shelton further stated that he and Marcotte retrieved an accelerant, drove together to the building and used the accelerant to start the fire. Shelton stated he knew his actions were wrong and expressed feeling terrible about committing the crime. Shelton will be sentenced on Aug. 31, 2021.
The FBI and the Craig County District Attorney’s Office (District 12) conducted the investigation. Assistant U.S. Attorneys Robert T. Raley and David D. Whipple are prosecuting the case.
United States Attorney's Office for the Eastern District of Oklahoma Obtains Thirty-Five Indictments from Federal Grand JuryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced federal grand juries sitting in Muskogee recently completed two separate June sessions and returned thirty-five felony indictments, including five superseding indictments.
The Eastern District of Oklahoma has experienced a dramatic increase in Indian Country cases for federal prosecution due to the U.S. Supreme Court decision of McGirt v. Oklahoma and recent Oklahoma Court of Criminal Appeals rulings. These opinions determined the reservations of the Five Civilized Tribes were never disestablished by Congress and, therefore, the United States has primary federal jurisdiction to prosecute major crimes committed by—or against—Native Americans occurring within the 26 counties of the Eastern District of Oklahoma. In response to the caseload rise, a second grand jury was empaneled in the Eastern District. This is a first for the Eastern District.
From the two grand jury sessions in June, thirty-three indictments were publicly filed and two remain sealed pending arrest of the charged defendants. All but two of the unsealed charges involve crimes arising out of Indian Country. Eleven of the unsealed indictments are for murder or involuntary manslaughter, eleven are for sex crimes, and the balance contain allegations of assault with a dangerous weapon or resulting in serious bodily injury, and robbery. The two unsealed non-Indian Country indictments involve possession with intent to distribute cocaine and rioting in a federal detention facility, assaulting a federal officer, and possessing contraband.
The following indictments were returned by the federal grand juries and filed in the United States District Court for the Eastern District of Oklahoma. The information listed in brackets is the county and reservation where the crime(s) allegedly occurred.
Murder:
United States v. Michael Lee Wolfe and Carlos Allen Locust – Count 1: Murder in Perpetration of Kidnapping in Indian Country – 18 U.S.C. §§ 2, 1111(a), 1151 & 1153; Count 2: Kidnapping in Indian Country Resulting in Death – 18 U.S.C. §§ 2, 1201(a)(2), 1151 & 1153 [Adair County – Cherokee Nation Reservation]
United States v. David Deval Martin – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1153 [McIntosh County – Muscogee (Creek) Nation Reservation]
United States v. Robert Wayne Mitchell (superseding indictment) – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1153; Count 2: Murder in Perpetration of Burglary in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1153 [Seminole County – Seminole Nation Reservation]
United States v. Bernard Richard Poulin – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1152; Count 2: Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151 & 1152; Count 3: Arson in Indian Country – 18 U.S.C. §§ 81, 1151 & 1152 [Okmulgee County – Muscogee (Creek) Nation Reservation]
United States v. William Clayton Brown – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1153; Count 2: Assault with a Dangerous Weapon with Intent to Do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151, & 1153 [Pittsburg County – Choctaw Nation Reservation]
United States v. David Glen Thompson & Keith Bruno Titsworth (superseding indictment) – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 2, 1151 & 1153 [Pontotoc County – Chickasaw Nation Reservation]
United States v. William Shirley – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 2, 1151 & 1153; Count 2: Use of a Firearm During and in Relation to a Crime of Violence – 18 U.S.C. §§ 924(c)(1)(A), 1111(a), 1151 & 1153; Count 3: Causing the Death of a Person in the Course of a Violation of Title 18, United States Code, Section 924(c) – 18 U.S.C. §§ 924(j)(1), 1111(a), 1151 & 1153 [Okmulgee County – Muscogee (Creek) Nation Reservation]
United States v. Lonnie Leonard Swarer III – Count 1: Involuntary Manslaughter in Indian Country – 18 U.S.C. §§ 1112, 1151 & 1152 [Wagoner County – Cherokee Nation Reservation]
United States v. Brittney Nicole Schmidt, a/k/a Brittany Nicole Schmidt, a/k/a Brittney Nicole Williams – Count 1: Involuntary Manslaughter in Indian Country – 18 U.S.C. §§ 1112, 1151 & 1153 [Bryan County – Choctaw Nation Reservation]
United States v. Robert James Grass – Count 1: Murder in Indian Country – 18 U.S.C. §§ 1111(a), 1151 & 1153 [Cherokee County – Cherokee Nation Reservation]
United States v. Dustin Randall Bulla– Count 1: Involuntary Manslaughter in Indian Country – 18 U.S.C. §§ 1112, 1151 & 1153; Count 2: Driving Under the Influence of Alcohol Resulting in Great Bodily Injury – 18 U.S.C. §§ 13, 13(b)(2)(A), 1151 & 1152 & 47 O.S.A. § 11-904(B) [Carter County – Chickasaw Nation Reservation]
Sexual Assault:
United States v. Ashley Dawn Langford - Count 1: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. §§ 2243(a), 2246(2)(A), 1151 & 1153; Count 2: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. §§ 2243(a), 2246(2)(B), 1151 & 1153 [McIntosh County– Muscogee (Creek) Nation Reservation]
United States v. Montelito Sanchez Simpkins - Count 1: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. §§ 2243(a), 2246(2)(D), 1151 & 1152 [Pontotoc County – Chickasaw Nation Reservation]
United States v. Aaron Richard Eubanks - Count 1: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. §§ 2241(c), 2246(2)(A), 1151 & 1153; Count 2: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. §§ 2241(c), 2246(2)(C), 1151 & 1153; Count 3: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. §§ 2241(c), 2246(2)(B), 1151 & 1153 [Adair County – Cherokee Nation Reservation]
United States v. Jeffery Denton Sumka - Count 1: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. §§ 2243(a)(1), 2246(2)(A), 1151 & 1153 [Okmulgee County– Muscogee (Creek) Nation Reservation]
United States v. Boyd Weldon Gross - Count 1: Coercion and Enticement of a Minor in Indian Country – 18 U.S.C. §§ 2422(b), 1151 & 1152 [Seminole County– Seminole Nation Reservation]
United States v. Tyler James Stephens (superseding indictment) - Count 1: Stalking – 18 U.S.C. § 2261A(2)(B); Count 2: Extortionate Interstate Communications – 18 U.S.C. § 875(d); Count 3: Video Voyeurism in Indian Country (Misdemeanor) – 18 U.S.C. §§ 1151, 1152, & 1801(a); Count 4: Attempted First Degree Burglary in Indian Country – 18 U.S.C. §§ 1151, 1153, & 21 O.S.A. §§ 44 & 1431; Count 5: Attempted Sexual Abuse in Indian Country – 18 U.S.C. §§ 2242(1), 2246(2)(A), 1151 & 1153; Count 6: First Degree Burglary in Indian Country – 18 U.S.C. §§ 1151, 1153, & 21 O.S.A. § 1431 [McIntosh County– Muscogee (Creek) Nation Reservation]
United States v. Christopher Wayne Webb - Count 1: Sexual Abuse in Indian Country – 18 U.S.C. §§ 2242(2)(B), 2246(2)(C), 1151 & 1153; Count 2: Sexual Abuse in Indian Country – 18 U.S.C. §§ 2243(a), 2246(2)(C), 1151 & 1153 [Bryan County– Choctaw Nation Reservation]
United States v. Brian Douglas Nicholson (superseding indictment) - Count 1: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. §§ 2241(c), 2246(2)(B), 1151 & 1153; Count 2: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. § 2243(a), 2246(2)(B), 1151 & 1153; Count 3: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. § 2241(c), 2246(2)(D), 1151 & 1153; Count 4: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. § 2243(a), 2246(2)(D), 1151 & 1153 [McCurtain County– Choctaw Nation Reservation]
United States v. Dustin Bristow (superseding indictment) - Count 1: Aggravated Sexual Abuse of a Child Indian Country – 18 U.S.C. §§ 2241(a), 2244(a)(5), 2246(2)(A), 2246(2)(D), 2246(3), 1151 & 1153 [Pittsburg County– Choctaw Nation Reservation]
United States v. Jerry Dewayne Rogers - Count 1: Aggravated Sexual Abuse in Indian Country – 18 U.S.C. §§ 2241(c), 2246(2)(C), 1151 & 1152; Count 2: Abusive Sexual Contact in Indian Country – 18 U.S.C. §§ 2244(a)(5), 2246(3), 1151 & 1152; Count 3: Sexual Abuse of a Minor in Indian Country – 18 U.S.C. §§ 2243(a), 2246(2)(C), 1151 & 1152 [Sequoyah County– Cherokee Nation Reservation]
United States v. Joshua Michael Carter - Count 1: Lewd and Indecent Proposals to Child Under 16 in Indian Country – 18 U.S.C. §§ 1151, 1152, 13, & 21 O.S.A. § 1123(A)(1) [Sequoyah County– Cherokee Nation Reservation]
Other violent crime in Indian Country:
United States v. Tyler Cheyenne Ned – Count 1: Robbery in Indian Country – 18 U.S.C. §§ 2111, 1151 & 1153; Count 2: Use, Carry, Brandish and Discharge of a Firearm During and in Relation a Crime of Violence – 18 U.S.C. §§ 924(C)(1)(a)(i), (ii) & (iii); Count 3: Assault With a Dangerous Weapon With Intent to do Bodily Harm in Indian Country - §§ 113(a)(3), 1151 & 1153 [Carter County – Chickasaw Nation Reservation]
United States v. Cameron Dale Bowden – Count 1: Assault with a Dangerous Weapon with Intent to Do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151, & 1153 [Haskell County– Choctaw Nation Reservation]
United States v. Charles Bradley Vinson – Count 1: Assault with a Dangerous Weapon with Intent to Do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151, & 1152; Count 2: Assault Resulting in Serious Bodily Injury in Indian Country – 18 U.S.C. §§ 113(a)(6), 1151 & 1152 [Okmulgee County– Muscogee (Creek) Nation Reservation]
United States v. Derek Scott Frazier – Count 1: Assault Resulting in Serious Bodily Injury in Indian Country – 18 U.S.C. §§ 113(a)(6), 1151, & 1153 [Pontotoc County– Chickasaw Nation Reservation]
United States v. Hunter Ray Kelley – Count 1: Robbery in Indian Country – 18 U.S.C. §§ 2111, 1151 & 1152 [Muskogee County– Muscogee (Creek) Nation Reservation]
United States v. Darius Keshawn Seals – Count 1: Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151 & 1153; Count 2: Use, Carry Brandish and Discharge a Firearm During and in Relation to a Crime of Violence – 18 U.S.C. §§ 924(c)(1)(A)(i)(ii)(iii); Count 3: Use, Carry and Brandish a Firearm During and in Relation to a Crime of Violence – 18 U.S.C. §§ 924(c)(1)(A)(i)(ii) [Marshall County – Chickasaw Nation Reservation]
United States v. Michael Wayne Pinnick – Count 1: Assault Resulting in Serious Bodily Injury in Indian Country – 18 U.S.C. §§ 113(a)(6), 1151 & 1153 [Johnston County– Chickasaw Nation Reservation]
United States v. Tyler Wilson Hediger – Count 1: Assault with a Dangerous Weapon with Intent to do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151 & 1153; Count 2: Possession of an Unregistered Firearm – 26 U.S.C. §§ 5845, 5861(d) & 5871; Forfeiture Allegation – 28 U.S.C. § 2461(c), 49 U.S.C. § 80303 & 26 U.S.C. § 5872 [Sequoyah County– Cherokee Nation Reservation]
United States v. Shylow Shane Young - Count 1: Assault with a Dangerous Weapon with Intent to Do Bodily Harm in Indian Country – 18 U.S.C. §§ 113(a)(3), 1151, & 1153; Count 2: Use Carry, Brandish, and Discharge of a Firearm During and in Relation to a Crime of Violence – 18 U.S.C. §§ 924(c)(1)(A)(i)(ii)(iii); Count 3: Felon in Possession of Firearm – 18 U.S.C. §§ 922(g)(1) & 924(a)(2) [Sequoyah County– Cherokee Nation Reservation]
Non-Indian Country offenses:
United States v. Edgar Rodriguez – Count 1: Possession with Intent to Distribute Cocaine – 21 U.S.C. §§ 841(a)(1) & 841(b)(1)(A) [Okfuskee County]
United States v. Matthew Dewayne Carter, Anthony Drake Ahaisek, Joshua Ryan Green, Jabaica Lee Tecumseh, Richard Loyd Jack, Samuel Wayne Washington, Jason Don Rowan, David Hurl Lemmon, and John Cole Haeberle – Count 1: Rioting in a Federal Detention Facility – 18 U.S.C. §§ 1792 & 2; Count 2: Conspiracy to Commit Assault on a Federal Officer – 18 U.S.C. § 371; Count 3: Assaulting a Federal Officer – 18 U.S.C. §§ 111(a), 111(b) & 2; Count 4: Possessing Contraband in Prison – 18 U.S.C. §§ 1791(a)(2), 1791(d)(1)(B), 1791(d)(1)(F) & 1791(d)(1)(G) [Okmulgee County]
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Tax defier found guilty on all counts of filing false liens and obstructing or impeding the administration of the IRSRead the Press Release
ATLANTA - A federal jury found Hakim Amal Archible guilty of three counts of filing or attempting to file false liens against federal officials and one count of obstructing or impeding the due administration of the Internal Revenue Service on July 2, 2021.
“In this case, the defendant filed false liens against current and former public officials to bully and harass them,” said Acting U.S. Attorney Kurt R. Erskine. “Archible learned that our office will vigorously pursue individuals who improperly weaponize the lien system in Georgia.”
“TIGTA’s statutory mission includes investigating individuals who are alleged to pose a threat to IRS employees engaged in the lawful collection of taxes,” said J. Russell George, the Treasury Inspector General for Tax Administration. “Attempts to intimidate or retaliate against IRS employees engaged in the performance of their official duties will be aggressively pursued. We appreciate the efforts of the U.S. Attorney’s Office in working with TIGTA to protect the integrity of Federal tax administration.”
According to Acting U.S. Attorney Erskine, the charges and other information presented in court: The evidence at trial showed that in October of 2014, Archible received an IRS tax penalty letter for $5,000 for filing frivolous tax returns. In retaliation, Archible filed false liens against the former Secretary of the U.S. Treasury and the former IRS Commissioner with the Fayette County Clerk of Court in 2014 and 2015. The liens were in amounts ranging from $5,000 to $100 billion and named the federal officials as debtors, and responsible parties for Archible's financial liabilities.
Archible also filed false liens against Georgia State officials. Archible targeted Henry County, Georgia officials, including the Clerk of Court, District Attorney, and Superior Court Judge, because he was being prosecuted there on unrelated charges. Archible's conduct demonstrated a pattern of harassment and retaliation.
Sentencing for Hakim Amal Archible, 29, of Hampton, Georgia, is scheduled for October 1, 2021, at 10:00 a.m. before U.S. District Judge Thomas W. Thrash.
This case is being investigated by the U.S. Treasury Inspector General for Tax Administration.
Assistant U.S. Attorneys Angela Adams and Erin N. Spritzer are prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Staten Island Sex Offender Pleads Guilty to Transferring Obscene Material to A MinorRead the Press Release
Earlier today, Ryan Behar pleaded guilty in federal court in Brooklyn to transferring obscene material to a minor and to committing that offense while required by state law to register as a sex offender. The proceeding took place before United States District Judge Rachel P. Kovner. When sentenced, Behar faces a statutory minimum sentence of 10 years’ imprisonment.
Jacquelyn M. Kasulis, Acting United States Attorney for the Eastern District of New York, announced the guilty plea.
“The defendant, a registered sex offender, admits to victimizing a 12-year-old girl by misrepresenting himself as a teenager on social media and sending her obscene, sexually explicit material,” stated Acting U.S. Attorney Kasulis. “Protecting children from predators like the defendant will always be a priority of this Office. The defendant’s conduct should serve as a reminder to parents of the dangers that may be lurking online.” Ms. Kasulis expressed her grateful appreciation to the Federal Bureau of Investigation, New York Field Office (FBI), and the FBI’s Human Trafficking and Child Exploitation Task Force for their work on the case.
As set forth in court filings and today’s court proceeding, in October 2020, while misrepresenting himself on Instagram to be a teenage boy, Behar, then 41 years old, contacted the victim and asked her age. The victim responded that she was 12 years old, provided an image of a young girl and stated, “This is what I look like.” Behar repeatedly asked the victim to send him images of her body. When she refused, Behar sent her a graphic image of adult male genitals and wrote to the victim “that’s mine,” and continued to press the victim for “full body” images.
Behar was previously convicted in February 2018 in Richmond County Supreme Court for attempted dissemination of indecent material to a minor in the first degree after sending sexually explicit material over social media to another female minor victim. Following that conviction, Behar was required to register with the New York State Division of Criminal Justice Services as a Level 1 sex offender pursuant to the New York Sex Offender Registration Act.
This prosecution is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by United States Attorneys’ Offices and the Department of Justice Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorney Garen S. Marshall is in charge of the prosecution.
The Defendant:
RYAN BEHAR
Age: 42
Staten Island, New YorkE.D.N.Y. Docket No. 21-CR-187 (RPK)
Six Individuals Charged Federally in Operation United FrontRead the Press Release
MACON, Ga. – The U.S. Attorney’s Office in the Middle District of Georgia has brought federal charges against six individuals taken into custody during Operation United Front, an ongoing ATF-led investigation into illegal gun possession and drug distribution centered in the Macon, Georgia, community using data gathered from the National Integrated Ballistic Information Network (NIBIN) to plot shooting incidents and determine the areas with the highest number of shootings.
A federal grand jury returned the indictments charging the following six individuals on June 10, 2021:
Jasper Blackshear, 56, of Macon, is charged with conspiracy to distribute cocaine. If convicted, Blackshear faces up to twenty years’ imprisonment;
Devon Futrell, 27, of Macon, is charged with two counts of possession of a firearm by a convicted felon. If convicted, Futrell faces up to ten years’ imprisonment on each count;
Deonta Lowe, 32, of Macon, is charged with distribution of methamphetamine. If convicted, Lowe faces up to twenty years’ imprisonment;
Logan Nettles, 23, of Macon, is charged with possession of a firearm by a convicted felon. If convicted, Nettles faces up to ten years’ imprisonment;
Chadrick Purnell, 42, of Macon, is charged with possession of a firearm by a convicted felon. If convicted, Purnell faces up ten years’ imprisonment; and,
Jermaine White, 32, of Warner Robins, Georgia, is charged with conspiracy to distribute cocaine. If convicted, White faces up to twenty years’ imprisonment.
These cases were made possible by investigative leads generated from the ATF’s National Integrated Ballistic Information Network (NIBIN). NIBIN is the only national network that allows for the capture and comparison of ballistic evidence to aid in solving and preventing violent crimes involving firearms. NIBIN is a proven investigative and intelligence tool that can link firearms from multiple crime scenes, allowing law enforcement to quickly disrupt shooting cycles. For more information on NIBIN, visit https://www.atf.gov/firearms/national-integrated-ballistic-information-network-nibin.
In Operation United Front, agents used NIBIN data to plot shooting incidents in the Macon area on a map. When areas of high density relating to these shootings were identified, confidential informants and undercover agents were directed to these areas of criminal activity.
These cases are being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The Bureau of Alcohol, Tobacco, and Firearms (ATF), the Bibb County Sheriff’s Office, the Georgia Department of Community Supervision and the Bibb County District Attorney’s Office are investigating the cases.
Assistant U.S. Attorneys William Keyes and Joy Odom are prosecuting the cases.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Serial Armed Robber Pleads Guilty in Ft. Lauderdale Federal CourtRead the Press Release
Miami, Florida – A 24-year-old Oakland Park man who stole from South Florida businesses during a one-month armed robbery spree pled guilty today to federal robbery and gun crimes.
During a hearing in federal district court in Ft. Lauderdale, Bryan David Burke admitted that from February 24 to March 31 of this year, he robbed 10 stores in Broward and Palm Beach counties at gunpoint (including convenience stores, a liquor store, and a gas station). During each robbery, Burke pointed a firearm at the store cashier while an accomplice grabbed money, lottery tickets, and other valuables. On the day of his arrest, before officers took him into custody, Burke led officers on a high-speed chase, abandoned his vehicle, ran through multiple private backyards, and broke into a home where he had a fist fight with someone inside. After taking Burke into custody, officers seized two firearms and ammunition from him. Burke had tried to discard one of the firearms while fleeing from officers.
Burke pled guilty to five counts of federal robbery (Hobbs Act) and three counts of brandishing a firearm during a crime of violence. Burke is scheduled for sentencing at 1:15 p.m. on September 15, 2021, before U.S. District Judge William P. Dimitrouleas. Burke faces a mandatory minimum sentence of 21 years’ imprisonment and a maximum of life imprisonment.
Two other South Florida residents are charged in the case: Brandon Xavier Jones and Kelvyn Lavon Cross, Jr. The charges are pending. Indictments contain mere allegations and defendants are considered innocent until found guilty.
Juan Antonio Gonzalez, Acting U.S. Attorney for the Southern District of Florida, and Robert Cekada, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Miami Field Office, announced the guilty plea.
ATF Miami investigated the case, with assistance from Broward Sheriff’s Office, Fort Lauderdale Police Department, Wilton Manors Police Department, and Delray Beach Police Department. Assistant United States Attorneys Ajay Alexander and Brooke Latta are prosecuting this case.
This case stems from Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. In 2017, PSN was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
You may find related court documents and information on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov, under case number 21-cr-60144.
###
San Antonio Physician’s Assistant Admits to Defrauding Medicaid and MedicareRead the Press Release
SAN ANTONIO – Christopher Felix Montoya, a licensed Physician’s Assistant and owner of TPC Family Care and Medical Clinics in San Antonio and Laredo, admitted to defrauding Medicaid, Medicare and TRICARE by fraudulent billing and receiving health care kickbacks.
Appearing before U.S. Magistrate Judge Henry Bemporad this afternoon, Montoya pleaded guilty to one count of conspiracy to defraud the U.S. and to pay and receive health care kickbacks. Montoya admitted that from September 2018 to June 2019, he enriched himself by performing nasal swabs on patients and then accepting kickbacks for submitting those swabs to a particular laboratory for testing. Montoya’s Chief Operating Officer, 41-year-old Nancy Almaguer of San Antonio, is charged with one count of conspiracy to defraud the U.S. and to pay and receive health care kickbacks and three counts of soliciting and receiving illegal health care kickbacks. Jury selection and trial for Almaguer is pending.
In a separate case, Montoya pleaded guilty on June 15, 2021, to one count of conspiracy to receive health care kickbacks. Montoya admitted that for five months beginning in February 2015, he received kickbacks to write prescriptions for compounded medication from a California-based pharmacy that had high TRICARE reimbursements. Based on the evidence, TRICARE was billed $1,884,577.86 for prescriptions Montoya wrote to which TRICARE paid out $797,262.21.
Montoya faces up to 20 years in federal prison. Sentencing is scheduled for August 23, 2021, before Senior U.S. District Judge David A. Ezra in San Antonio.
U.S. Attorney Ashley C. Hoff and Special Agent in Charge Christopher Combs of the FBI’s San Antonio Division made today’s announcement.
Agents with the FBI, together with the Texas Attorney General’s Medicaid Fraud Control Unit and Defense Criminal Investigative Service, investigated this case. Assistant U.S. Attorneys Justin Chung and William R. Harris are prosecuting this case.
An indictment is merely a charge and should not be considered as evidence of guilt. Almaguer is presumed innocent unless proven guilty in a court of law.
###
Repeat Immigration Offender and Illegal Alien Sentenced to Two Years in PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Richard A. Lazzara has sentenced German Lopez-Gomez, a/k/a Samuel Bautista-Bautista (41), to two years in federal prison for illegal re-entry into the United States after deportation.
Lopez-Gomez had pleaded guilty in March 2021.
According to court documents, on December 20, 2020, Lopez-Gomez was arrested in Polk County on state felony criminal charges (burglary of an unoccupied structure and theft) and found to be present in the United States without legal authorization. Lopez-Gomez had previously been convicted of illegal reentry to the United States after deportation in the United States District Court for the Southern District of Texas, which sentenced him to 16 months in prison followed by 3 months of supervised release on the illegal re-entry charge, as well as an additional 10 months in prison for a violation of supervised release.
This case was investigated by U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations. It was prosecuted by Assistant United States Attorney David William Alexander Chee.
Registered Sex Offender Sentenced to Serve Fifty Years in Federal Prison for Producing Child PornographyRead the Press Release
OKLAHOMA CITY – Today, William Don Dollarhide, 45, of Nardin, Oklahoma, was sentenced to serve 50 years in federal prison for producing child pornography, announced Acting U.S. Attorney Robert J. Troester.
On June 16, 2020, a federal grand jury returned an Indictment against Dollarhide, charging him with producing and possessing child pornography.
Public records reflect that, in September 2018, Dollarhide, a registered sex offender due to a prior Oklahoma state child pornography conviction, used his cell phone to film himself sexually abusing a 10-year-old girl. The child’s mother called the Grant County Sheriff’s Department on May 12, 2019, reporting that Dollarhide had sexually assaulted the girl. Officers responded to Dollarhide’s residence and arrested him. Officers later searched his electronic devices under a search warrant. They discovered photographs and videos of Dollarhide sexually abusing the girl and nude pictures and videos of the girl in the bathroom he produced using a hidden camera.
On October 7, 2020, Dollarhide pleaded guilty to producing child pornography.
Today, U.S. District Judge Scott L. Palk sentenced Dollarhide to serve 50 years in federal prison, followed by a lifetime of supervised release. In imposing the sentence, Judge Palk noted that by repeatedly victimizing a 10-year-old girl Dollarhide had given the girl a life sentence. The Judge also took into consideration the fact that Dollarhide had a collection of other child pornography images on his computer. In imposing the maximum sentence—600 months’ imprisonment—the Court ensured that Dollarhide would never endanger or exploit a child again.
This case results from an investigation by the Grant County Sheriff’s Department, with forensic analysis assistance from the Enid Police Department and the Oklahoma State Bureau of Investigation. Assistant U.S. Attorney Brandon Hale prosecuted the case.
This case is part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section of the Department of Justice, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Reference is made to court filings for further information.
Rapper Pooh Shiesty Held without Bond in Miami on Federal Gun and Robbery ChargesRead the Press Release
Miami, FL – Yesterday, a Miami federal magistrate judge ordered that 21-year-old Tennessee rapper Lontrell D. Williams (a/k/a Pooh Shiesty) be held without bond in a federal detention center pending trial on charges that he participated in the shooting of two men during a street purchase of marijuana and high-end sneakers.
According to an indictment returned by a federal grand jury and an earlier-filed criminal complaint affidavit, on October 9, 2020, Williams, along with 21-year-old Bobby Brown of Memphis, Tennessee and 20-year-old Jayden Darosa of Pembroke Pines, Florida, drove to a Bay Harbor Islands hotel to buy marijuana and a pair of high-end sneakers from two other men. It is alleged that during the transaction, the defendants shot the sellers with semi-automatic weapons. Then, Williams, Brown, and Darosa drove away from the scene, taking with them the sneakers and marijuana they had not paid for, according to the court documents. The shooting victims survived.
The indictment charges Williams, Brown, and Darosa each with one count of conspiring to possess firearms in furtherance of a crime of violence, conspiring to commit a Hobbs Act robbery, committing a Hobbs Act robbery, and discharging a firearm in furtherance of a crime of violence.
Williams and Darosa made their initial federal court appearances on June 29, 2021. Brown was arrested in Tennessee on June 15, 2021. Brown’s first appearance in federal court in Miami is yet to be scheduled.
Yesterday, after separate hearings, Miami U.S. Magistrate Judge Edwin G. Torres ordered Williams and Darosa detained in a federal detention center without bond pending their trials (pre-trial detention).
Williams also faces state criminal charges, including charges related to the shooting of a security guard at the King of Diamonds strip club in May 2021, over the Memorial Day weekend. The Miami-Dade State Attorney’s Office is prosecuting the state charges.
Juan Antonio Gonzalez, Acting United States Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, FBI, Miami Field Office, made the announcement.
FBI Miami investigated the case, with assistance from ATF Miami, Miami Dade Police Department, and Bay Harbor Islands Police Department. The Miami-Dade State Attorney’s Office also assisted. Assistant U.S. Attorneys Arielle Klepach and Ignacio J. Vázquez, Jr. are prosecuting the case.
Indictment and criminal complaints are merely charging document. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case stems from Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. In 2017, PSN was reinvigorated as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime. The case is also related to “Operation Summer Heat,” a Miami-Dade County antiviolence initiative.
Anyone with information related to possible gun crimes is asked to call Crime Stoppers at 305-471-TIPS.
A copy of this press release may be found on the website of the United States Attorney’s Office for the Southern District of Florida at www.usdoj.gov/usao/fls.
You may find related court documents and information 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-20357.
Pittsburgh Man, 21, Sentenced to Prison for Possessing Heroin, Fentanyl and a Stolen FirearmRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania has been sentenced in federal court to 46 months’ imprisonment followed by three years of supervised release on his conviction for possession with intent to distribute heroin and fentanyl, Acting United States Attorney Stephen R. Kaufman announced today.
Senior United States District Judge Joy Flowers Conti imposed the sentence on Jeremiah McDonald, 21, of Pittsburgh, Pennsylvania.
According to information presented to the court, on April 17, 2019, investigators executed a search warrant at McDonald’s residence and recovered distribution-quantities of heroin and fentanyl along with a loaded, stolen firearm. McDonald accepted responsibility for possessing with intent to distribute between 40 grams and 160 grams of heroin and fentanyl and possessing the firearm in conjunction with his drug trafficking.
While announcing McDonald’s sentence, Judge Conti referenced the seriousness of heroin and fentanyl trafficking as well as the possession of a firearm in relation to these offenses.
Assistant United States Attorney Mark V. Gurzo prosecuted this case on behalf of the government.
Acting United States Attorney Kaufman commended the Federal Bureau of Investigation, Homeland Security Investigations, the Allegheny County Police Department, the Stowe Township Police Department, the Pittsburgh Bureau of Police, the Office of the Attorney General, the Allegheny County Sheriff's Office, the North Versailles Police Department, the Allegheny County Port Authority Police Department, the Munhall Police Department, and the Pennsylvania State Police for the investigation leading to the successful prosecution of McDonald.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Philadelphia Drug Dealer Sentenced to Nearly Six Years in Federal PrisonRead the Press Release
JOHNSTOWN, Pa. – A resident of Philadelphia, Pa., has been sentenced in federal court to 70 months in prison and four years’ supervised release on his conviction of violating federal narcotics laws and money laundering, Acting United States Attorney Stephen R. Kaufman announced today.
United States District Judge Kim R. Gibson imposed the sentence on Malik Byers, 29, of Philadelphia, Pa.
According to information presented to the court, from July 5, 2018 and continuing thereafter to on or about May 5, 2020, Byers conspired to distribute 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine, 40 grams or more of a mixture and substance containing a detectable amount of fentanyl, and 28 grams or more of a mixture and substance containing a detectable amount of cocaine base, in the form commonly known as crack. Further, Byers conspired to commit money laundering.
Assistant United States Attorney Arnold P. Bernard, Jr. prosecuted this case on behalf of the government.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
OCDETF conducted the investigation leading to the successful prosecution of Byers. The task force is headed by the Federal Bureau of Investigation, Laurel Highlands Resident Agency and is comprised of members drawn from the FBI Safe Streets Task Force, Homeland Security Investigations, Bureau of Alcohol, Tobacco, and Firearms, the Pennsylvania State Police, and the Indiana Borough Police Department.
Penn Hills Man Sentenced to 10 Years in Prison for Selling Fentanyl that Caused an Overdose DeathRead the Press Release
PITTSBURGH, PA - A former resident of Penn Hills, PA, has been sentenced in federal court to 10 years in prison on his conviction for distributing fentanyl, Acting United States Attorney Stephen R. Kaufman announced today.
Senior United States District Judge Joy Flowers Conti imposed the sentence on Christopher Hill, age 32, formerly of Penn Hills, PA 15235.
According to information presented to the court, on or about July 21, 2016, Hill sold fentanyl to an individual who, after using the narcotic, died of an overdose.
Assistant United States Attorney Barbara K. Doolittle prosecuted this case on behalf of the government.
Acting United States Attorney Kaufman commended the Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Christopher Hill.
Parkersburg Man Pleads Guilty to Firearm and Drug ChargesRead the Press Release
CHARLESTON, W.Va. – A Parkersburg man pleaded guilty today to federal firearm and drug charges.
According to court documents and statements made in court, on or about December 1, 2019, Ryan Ashley Williams, 35, was arrested by law enforcement officers at an apartment on Hall Street in Parkersburg. Officers found approximately 40 grams of a mixture containing carfentanil, fentanyl and heroin on Williams, as well as keys to a safe. Within the safe, officers located approximately eight grams of a mixture containing fentanyl and heroin, along with a semi-automatic pistol. Williams admitted that he intended to distribute the drugs to another person and that he knew he had been previously convicted of the felony offense of first degree robbery with a firearm specification in Wood County Circuit Court, which prohibited him from possessing firearms.
Williams pleaded guilty to possession with intent to distribute carfentanil, fentanyl and heroin and to being a felon in possession of a firearm, and faces up to 40 years in prison when sentenced on September 30, 2021.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative efforts of the Parkersburg Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF). Assistant United States Attorney Jeremy B. Wolfe is handling the prosecution.
United States District Judge Joseph R. Goodwin presided over the hearing.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:20-cr-00091.
###
Park Forest Man Convicted of Enticement of a MinorRead the Press Release
PEORIA, Ill. – A federal jury deliberated for just over two hours before returning a guilty verdict this afternoon against Bryan Rossi, 31, of the 400 block of Titonka Street in Park Forest, Ill., for one count of enticement of a minor.
Over two days of testimony this week, the government presented evidence to establish that Rossi arranged to meet a 15-year-old minor for sexual activity on the dating application Grindr.
Sentencing for Rossi has been scheduled for November 15, 2021, before U.S. District Judge Michael Mihm at the federal courthouse in Peoria, Ill. Rossi faces statutory penalties of 10 years to life imprisonment. He remains in the custody of the U.S. Marshals.
Rossi was arrested over Valentine’s Day weekend 2020 as part of an FBI operation conducted in Kankakee County, Ill. The operation was conducted with the assistance of the Bradley Police Department, the Kankakee County Sheriff’s Office, and the Kankakee Area Metropolitan Enforcement Group. Assistant U.S. Attorneys Elly Peirson and Melissa Moody represented the government at trial.
The case was brought as part of Project Safe Childhood, a nationwide initiative by the Department of Justice to combat the epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Nigerian National Sentenced for Role in Fraud SchemeRead the Press Release
In Austin today, a federal judge sentenced Akhabue Ehis Onoimoimilin, aka “David Harrison,” a 29-year-old Nigerian national residing in Houston, to 87 months of imprisonment for his participation in a money laundering conspiracy that swindled more than $2.2 million from victims using Business Email Compromise (BEC) and romance scams.
In addition to the prison term, U.S. District Judge Robert Pitman ordered that Onoimoimilin pay $865,210.78 in restitution to his victims and be placed on supervised release for two years after his prison term. Judge Pitman also ordered a money judgment against the defendant in the amount of $50,605 for the proceeds he received from the scheme.
In a BEC scheme, scammers target businesses and individuals making wire transfer payments, especially those with access to company finances. The scammers trick the employees into making wire transfer payments to bank accounts thought to belong to trusted partners - except the money ends up in accounts controlled by the fraudsters. Sometimes the scammers use computer intrusion techniques to alter legitimate payment request emails, changing the recipient bank accounts. Sometimes they send spoofed emails from email addresses similar to the real email accounts used by trusted partners.
In romance scams, conspirators often located outside the U.S. review established online dating sites, targeting victims who appear lonely based upon their profiles. The fraudsters create fake profiles and exploit the emotional vulnerabilities of the victims. Once an emotionally dependent relationship is established, the fraudsters create various crises and ruses, such as an emergency medical need that must be paid to allow the conspirator to travel to meet the victim in person and purportedly requiring the immediate transfer of funds. These schemes are often emotionally and fiscally harmful, as the duration of the “relationship” can span months and years. They often end only when the victim drains his or her resources and can no longer send funds to the conspirators.
On February 2, 2021, Onoimoimilin pleaded guilty to one count of conspiracy to commit money laundering, admitting that beginning prior to June 2015, he used a fraudulent foreign passport in the name of David Harrison to open bank accounts in Austin and Houston. Onoimoimilin used these financial accounts to receive, launder and distribute wire transfers to coconspirators illegally receiving proceeds of BEC and romance schemes. For his efforts, Onoimoimilin collected between 10% and 15% of more than $420,000 in fraudulently obtained funds.
“These morally reprehensible schemes deprive people of their hard-earned money and even their entire life savings and retirement funds, leaving humiliation and financial ruin behind,” said U.S. Attorney Ashley C. Hoff. “Our office will continue to vigorously prosecute those who conspire to prey on vulnerable victims in this manner.”
“The types of fraud committed by Mr. Onoimoimilin not only have lasting ramifications for the affected victims, but also threaten the integrity of our country’s financial systems,” said Acting Special Agent in Charge Tim Tubbs of the Homeland Security Investigation’s San Antonio Division. “While today’s sentence is a decisive victory for the victims, the overall fight against fraud continues. HSI will do everything in its power to bring other cyber criminals to justice and recover ill-gotten gains for those victimized.”
HSI conducted this investigation. Assistant U.S. Attorneys Keith Henneke, Michael C. Galdo and Robert Almonte II prosecuted this case.
###
Montgomery Man Sentenced Following Federal Drug and Gun ConvictionsRead the Press Release
Montgomery, Ala. – On Wednesday, July 7, 2021, Ronnie White, 51, from Montgomery, Alabama, was sentenced to 37 months in prison for distribution of cocaine and being a felon in possession of a firearm, announced Acting U.S. Attorney Sandra J. Stewart. Following his prison sentence, White will serve three years of supervised release. There is no parole in the federal system.
According to court records, in 2017 law enforcement began to suspect that White was involved in the distribution of illegal drugs. Agents confirmed that suspicion on August 22, 2017 when they discovered White was buying cocaine from co-defendant and Island Delight Caribbean Restaurant co-owner, Richard Smith, with intention to re-sell to others. Later, on March 9, 2020, the Montgomery Police Department conducted a traffic stop of a vehicle White was driving and found a .40 caliber handgun. White is a convicted felon and is prohibited from possessing firearms or ammunition. White pleaded guilty to illegal distribution of cocaine and possession of a firearm by a convicted felon on October 22, 2020.
Co-defendant Smith was convicted by a federal jury last month of conspiracy to distribute cocaine, possession of cocaine with intent to distribute, possession of a firearm in connection with a drug trafficking crime, and using a cell phone to further a drug trafficking conspiracy. Smith’s sentencing hearing is scheduled for September 29, 2021.
This case was investigated by the Drug Enforcement Administration (DEA) and the Montgomery Police Department, with assistance from the Prattville Police Department, the Alabama Law Enforcement Agency (ALEA), and the Alabama National Guard Counterdrug program. Assistant United States Attorneys Russell T. Duraski and Mark E. Andreu prosecuted the case.
Massachusetts Man Sentenced to Prison for Fraudulent Scheme to Evade Payroll Taxes and Workers’ Compensation Requirements in Construction IndustryRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Dennis Alexander Barahona (38, Chelsea, Massachusetts) to 18 months in federal prison for conspiracy to commit wire fraud and conspiracy to commit tax fraud. The court also ordered Barahona to pay restitution to the IRS in the amount of $1,110,257 and to an insurance company in the amount of $41,352.91. In addition, the court ordered Barahona to forfeit his interest in $230,764 that was seized from two bank accounts. The court also entered a money judgment against Barahona in the amount of $263,302, representing the proceeds of the wire fraud.
Barahona had pleaded guilty on March 29, 2021. Barahona’s co-defendant, Gregorio Jose Fuentes-Zelaya, was sentenced on May 10, 2021, to 33 months in federal prison.
According to court documents, Barahona established a shell company that purported to be involved in the construction industry. He obtained a workers’ compensation insurance policy in the name of the shell company to cover a minimal payroll for a few purported employees. Barahona then “rented” the workers’ compensation insurance to work crews who had obtained subcontracts with construction contractors on projects in various Florida counties. Barahona sent the contractors a certificate as “proof” that the work crews had workers’ compensation insurance, as required by Florida law. By sending the certificate, Barahona falsely represented that the work crews worked for his company. Over the course of the scheme, Barahona “rented” the certificates to dozens of work crews.
As part of the scheme, the contractors issued payroll checks for the workers’ wages to the shell company and Barahona or a co-conspirator cashed these checks, then distributed the cash to the work crews after deducting their fee, which was typically about 6% of the payroll. During the scheme, the conspirators cashed payroll checks totaling approximately $4,388,371, with their fees totaling approximately $263,302. Neither the shell company nor the contractors reported to government authorities the wages that were paid to the workers, nor did they pay either the employees’ or the employer’s portion of payroll taxes – including Social Security, Medicare, and federal income tax. According to the IRS, the amount of payroll taxes due on wages totaling $4,388,371 was approximately $1,110,257.
The scheme also facilitated the avoidance of the higher cost of obtaining adequate workers’ compensation insurance for the numerous workers on the work crews to whom Barahona “rented” the workers’ compensation insurance. The policy that Barahona purchased and then “rented” out was for an estimated payroll of $91,000, and the insurance company issued the policy for a premium of $15,206. Had a workers’ compensation insurance policy been purchased for a payroll totaling $4,388,371, the policy premium would have totaled about $728,030.
“This criminal thought he could make quick profits with this criminal scheme,” said HSI Jacksonville Assistant Special Agent in Charge K. Jim Phillips. “But instead of enjoying illegal profits, he will now be spending time behind bars with his co-conspirator thanks to HSI special agents and our law enforcement partners.”
“Employers are legally obligated to their employees and the American taxpayer to withhold and pay their fair share of taxes,” said Special Agent in Charge Brian Payne of IRS Criminal Investigation. “By shirking this obligation, their employees are cheated out of benefits they’ve earned and the taxpayer is also undercut. Today’s significant sentencing should make it abundantly clear that these actions will not be tolerated.”
This case was investigated by Homeland Security Investigations, the Internal Revenue Service – Criminal Investigation, and the Florida Department of Financial Services. It is being prosecuted by Assistant United States Attorney Arnold B. Corsmeier.
Martinsburg man admits to firearm chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Marquis Hicks, of Martinsburg, West Virginia, has admitted to his role in a conspiracy involving the illegal purchase and transportation of firearms, Acting United States Attorney Randolph J. Bernard announced.
Hicks, age 30, pleaded guilty to one count of “Conspiracy.” Hicks admitted to working with another individual to purchase, possess, and transfer firearms to an out of state resident, in March 2020.
Hicks faces up to five years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Martinsburg man admits drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Joseph George Ray, of Martinsburg, West Virginia, has admitted to a drug charge, Acting U.S. Attorney Randolph J. Bernard announced.
Ray, 56, also known as “YB,” pleaded guilty today to one count of “Possession with Intent to Distribute a Heroin and Fentanyl Mixture.” Ray admitted to distributing heroin and fentanyl in August 2020 in Berkeley County.
Ray faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
These charges are the result of investigations supported by the Organized Crime Drug Enforcement Task Force (OCDETF) under the Attorney General-led Synthetic Opioid Surge (SOS)/Special Operations Division (SOD) Project Clean Sweep. This initiative seeks to reduce the supply of synthetic opioids in “hot spot” areas previously identified by the Attorney General of the United States, thereby reducing drug overdoses and drug overdose deaths, and identify wholesale distribution networks and sources of supply operating nationally and internationally.
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.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Eastern Panhandle Drug Task Force, a HIDTA-funded initiative, and the Martinsburg Police Department investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Man Sentenced to 39 Months in Prison for Distributing Crack on Supervised ReleaseRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, today announced that SHAUN HAWKINS, 44, was sentenced yesterday by U.S. District Judge Alvin W. Thompson in Hartford to 39 months of imprisonment, followed by three years of supervised release, for distributing crack cocaine while he on federal supervised release.
According to court documents and statements made in court, in March 2009, Hawkins was sentenced in Bridgeport federal court to 96 months of imprisonment and three years of supervised release for obstruction of justice. In that case, Hawkins engaged in a scheme to pay a witness not to testify in an ongoing grand jury investigation related to Hawkins’ participation in a violent home invasion robbery in Hartford. After Hawkins completed his federal sentence in March 2016, he was transferred to state custody to serve a consecutive sentence for robbery and burglary offenses related to the home invasion. He was released from prison in March 2018 and began serving his three-year term of federal supervised release.
In July 2019, after a spate of gun violence in Hartford, the FBI’s Northern Connecticut Gang Task Force, DEA, Hartford Police Department and other law enforcement agencies initiated an investigation targeting gang-related drug distribution and associated violence in north Hartford. In August and September 2019, investigators made three controlled purchases of crack cocaine from Hawkins in Hartford.
Hawkins was arrested on September 13, 2019. On October 21, 2020, he pleaded guilty to one count of possession with intent to distribute, and distribution of, cocaine base (“crack”).
Judge Thompson sentenced Hawkins to 15 months of imprisonment for distributing crack, and a consecutive 24-month prison term for violating the conditions of his supervised release.
Hawkins, who is residing in Windsor Locks while released on bond, is required to report to prison on August 6, 2021.
The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case was prosecuted by Assistant U.S. Attorney Heather Cherry.
Law Enforcement Officer Charged with Transfer of Firearm to a Felon, Transferee Charged with Felon in PossessionRead the Press Release
GREENSBORO, N.C. –Timothy Jay Norman, age 47, of Browns Summit, NC, and Tommy Lee Hudson, age 33, of Reidsville, NC, were arrested today on criminal firearm charges.
The Criminal Complaints unsealed today allege that Norman, a North Carolina Highway Patrol State Trooper, transferred firearms to Hudson, knowing or having reasonable cause to believe that Hudson is a convicted felon.
The defendants had initial appearances in federal court in Greensboro this afternoon and were detained pending their next scheduled court appearances on July 14 at 3:00 p.m. (Hudson) and 3:45 p.m. (Norman), in Greensboro Courtroom 1A.
Norman is charged with unlawful transfer of a firearm to a prohibited person. If convicted, he faces a maximum penalty of 10 years in prison.
Hudson is charged with felon in possession of a firearm. If convicted, he also faces a maximum penalty of 10 years in prison.
A criminal complaint is merely an allegation, and each defendant is presumed innocent unless and until proven guilty.
The charges were announced by Sandra J. Hairston, Acting United States Attorney for the Middle District of North Carolina. The case has been investigated by the North Carolina State Bureau of Investigation (SBI), the Federal Bureau of Investigation (FBI), and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
###
Kissimmee Tax Preparer Sentenced to Prison and Ordered to Pay Restitution for False Tax Return SchemeRead the Press Release
Orlando, Florida – U.S. District Judge Wendy W. Berger today sentenced Joseph Amaya to 12 months in federal prison for aiding and assisting in the preparation of false tax returns. The court also ordered Amaya to pay more than $1.6 million in restitution to the Internal Revenue Service.
Amaya had pleaded guilty on February 16, 2021.
According to court documents, from 2014 through approximately 2018, Amaya co-owned and managed Tax Machine, Inc., a tax preparation business in Kissimmee. During the life of the business, Amaya knowingly prepared and filed—and trained his employees to prepare and file—numerous false and fraudulent tax returns on behalf of Tax Machine customers. Specifically, Amaya and his employees created bogus expenses or deliberately overstated true deductible expenses (such as unreimbursed employee expenses, gas, mileage, medical and dental expenses, and gifts to charity). Amaya also trained his employees to include false claims of net business losses on tax returns. By including those false and fraudulent material statements on the income tax returns of Tax Machine customers, Amaya and his employees eliminated certain tax liabilities that their customers otherwise would have had, generated tax refunds that they were not entitled to, or did both. The tax loss to the IRS as a result of Amaya’s conduct is approximately $1.6 million.
“When Joseph Amaya used his tax return preparation service, Tax Machine, Inc., to try and make a fast buck for him and his clients, he underestimated the special agents of IRS Criminal Investigation,” said Special Agent in Charge Brian Payne of IRS Criminal Investigation. “At the IRS, protecting taxpayer money is a matter we take seriously. An integral part of the agency’s mission involves detecting and catching fraudulent tax refund claims. Taxpayers looking for tax preparation information are encouraged to visit IRS.gov.”
This case was investigated by the Internal Revenue Service-Criminal Investigation. It is being prosecuted by Assistant United States Attorney Emily C. L. Chang.
Kaufman County Man Sentenced to Federal Prison for Trafficking Methamphetamine in the Eastern District of TexasRead the Press Release
TYLER, Texas – A Terrell man was sentenced to federal prison for drug trafficking violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.
Cory Joe Phillips, 39, pleaded guilty on March 8, 2021, to possession with intent to distribute and distribution of methamphetamine. Today, Phillips was sentenced to 60 months in federal prison by U.S. District Judge J. Campbell Barker.
“We thank our law enforcement partners for their diligence in investigating drug trafficking crimes and protecting the public from those who deal illicit substances,” said Acting U.S. Attorney Nicholas J. Ganjei. “Drug traffickers in the Eastern District of Texas will not escape justice.”
According to documents and information presented in court, Phillips distributed methamphetamine in Van Zandt County on multiple occasions over a four-month period in late 2019 and early 2020. In one instance, Phillips was in possession of a 12-gauge shotgun.
This case was investigated by the U.S. Drug Enforcement Administration, the Canton Police Department and the Van Zandt County Sheriff’s Office. The case was prosecuted by Assistant U.S. Attorney Allen Hurst.
###
Kanawha County Man Pleads Guilty to Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. -- James Arnold Scott, 45, of Hansford, pleaded guilty to aiding and abetting the distribution of five grams or more of methamphetamine.
According to his own statements and court documents, on January 17, 2020, Scott aided and abetted one of his drug sources of supply in the distribution of four ounces of methamphetamine to a confidential informant for $1,150. The drug transaction took place in Huntington. Scott further admitted that when law enforcement later executed a search warrant at his Hansford residence they seized cash, marijuana, methamphetamine, four firearms, one of which was stolen, and a ballistic vest.
Scott faces a mandatory minimum of five years and up to 40 years in prison when he is sentenced on October 12, 2021.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative efforts of the Drug Enforcement Administration (DEA). Assistant United States Attorney Negar Kordestani is handling the prosecution.
United States District Judge Robert C. Chambers presided over the hearing.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:21-cr-00078.
###
Justice Department to Provide Funding for Body-Worn Cameras to Small, Rural and Tribal Law Enforcement AgenciesRead the Press Release
The Justice Department announced today that the Bureau of Justice Assistance (BJA) is releasing $7.65 million in a competitive microgrant grant solicitation that will fund body-worn cameras (BWCs) to any law enforcement department with 50 or fewer full-time sworn personnel, rural agencies (those agencies within non-urban or non-metro counties); and federally-recognized Tribal agencies.
“The Justice Department is committed to providing law enforcement with valuable resources to increase accountability and build trust with the communities they serve,” said Attorney General Merrick B. Garland. “Today we encourage all small, rural and Tribal law enforcement agencies to apply for funding for this important tool that will enhance protection for both officers and citizens.”
“The grant solicitation today will help law enforcement agencies and their communities improve evidentiary outcomes, and enhance the safety of, and improve interactions between, officers and the public,” said Acting Director Kristen Mahoney of BJA. “Importantly, this grant program will make it easier for small, rural and Tribal law enforcement agencies to apply for funding. It’s an online application that will streamline the grant process for these agencies.”
Funds must be used to purchase or lease body-worn cameras and may include expenses reasonably related to BWC program implementation. Funding can be used to support pilot BWC programs, establish new BWC implementation or expand existing programs.
BJA has selected Justice & Security Strategies Inc. to administer the grant program through a cooperative agreement. For more information and to apply, please visit https://www.srtbwc.com. All applications are due by August 31, 2021.
Agencies interested in body-worn camera funding that do not meet the eligibility criteria for small, rural and Tribal as described in the microgrant solicitation should note that the FY 2021 Body-Worn Camera Policy and Implementation Program to Support Law Enforcement Agencies grant solicitation is currently open. That solicitation will close on July 12, 2021. The anticipated total amount to be awarded under that solicitation is $27.5 million.
Today’s announcement follows Deputy Attorney General Lisa O. Monaco’s recent memo to the department’s law enforcement components directing them to develop and submit for review their plans for BWC policies that require agents to wear and activate BWC recording equipment for purposes of recording their actions during: (1) a pre-planned attempt to serve an arrest warrant or other pre-planned arrest, including the apprehension of fugitives sought on state and local warrants; or (2) the execution of a search or seizure warrant or order. The Deputy Attorney General will work with the department’s law enforcement components in the coming weeks to review their policies and finalize implementation plans.
For resources to support the development and implementation of body-worn camera programs, the Department of Justice has created a Body-Worn Camera Tool Kit.
The Bureau of Justice Assistance helps to make American communities safer by strengthening the nation’s criminal justice system. BJA’s grants, cooperative agreements, training and technical assistance and policy development services provide state, local and Tribal governments with the cutting-edge tools and best practices they need to reduce violent and drug-related crime, support law enforcement and combat victimization.
BJA is a component of the Office of Justice Programs, U.S. Department of Justice. The Office of Justice Programs provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, advance racial equity in the administration of justice, assist victims and enhance the rule of law. More information about OJP and its components can be found at www.ojp.gov
Georgia man found guilty of drug distribution resulting in deathRead the Press Release
CLARKSBURG, WEST VIRGINIA – After a 7-day trial, a federal jury found Seddrick Banks, of Cartersville, Georgia, guilty of drug distribution resulting in death and a myriad of other charges, Acting U.S. Attorney Randolph J. Bernard announced.
After two hours of deliberation, the jury found Banks, age 28, guilty of one count of “Conspiracy to Possess with the Intent to Distribute and Distribute Controlled Substances,” one count of “Possession with the Intent to Distribute Methamphetamine – Aiding and Abetting,” one count of “Possession with the Intent to Distribute Cocaine Hydrochloride – Aiding and Abetting,” one count of “Possession with the Intent to Distribute Fentanyl – Aiding and Abetting,” one count of “Use and Carry a Firearm During and in Relation to a Drug Trafficking Crime,” and one count of “Accessory After the Fact to Distribution of Fentanyl Resulting in Serious Bodily Injury or Death.”
During the trial, the jury heard testimony that Banks trafficked and distributed more than 4.5 kilograms of methamphetamine, as well as cocaine hydrochloride and fentanyl, in Marion County and elsewhere from May 2018 to September 2018. He would travel from Georgia to West Virginia, trafficking the drugs from different motel and hotel rooms and other locations. Banks and his conspirators carried at least three firearms during the drug trafficking crimes.
At one of the motels in Lewis County on August 9, 2018, Terrick Robinson, a co-conspirator, distributed fentanyl to Courtney Dubois of Fairmont, West Virginia. That drug, according to her autopsy, was an independent sufficient cause of Courtney Dubois’ death. The jury heard testimony and saw evidence that Banks assisted Robinson in taking the body of the victim to Georgia, where they dismembered the body and disposed of it at the Bartow County Landfill.
“This horrific and heinous crime is more than just a drug trafficking case. Banks and his co-conspirators not only preyed on our neighbors with the drugs they were selling, they allowed a young woman to die and disposed of her without any regard or respect for her life. While this outcome won’t bring Courtney back, we hope it will give her family some peace as justice has prevailed,” said Bernard.
Banks faces the following:
- Conspiracy to Possess with the Intent to Distribute and Distribute Controlled Substances – at least 10 years and up to life incarceration and a fine of up to $10,000,000
- Possession with the Intent to Distribute Methamphetamine – Aiding and Abetting - at least 10 years and up to life incarceration and a fine of up to $10,000,000
- Possession with the Intent to Distribute Cocaine Hydrochloride – Aiding and Abetting – up to 20 years of incarceration and a fine of up to $1,000,000
- Possession with the Intent to Distribute Fentanyl – Aiding and Abetting – at least five years and up to 40 years of incarceration and a fine of up to $5,000,000
- Use and Carry a Firearm During and in Relation to a Drug Trafficking Crime – at least five years and up to life incarceration and up to a $250,000 fine
- Distribution of Fentanyl Resulting in Serious Bodily Injury or Death –up to 15 years of incarceration and a fine of up to $500,000
Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Two of the co-conspirators in this case have pled guilty. William Gregory Chappell, age 34, of Cartersville, Georgia, pled guilty to one count of “Conspiracy to Possess with the Intent to Distribute and Distribute Controlled Substances” and one count of “Use and Carry a Firearm During and in Relation to a Drug Trafficking Crime” in February 2019. Joel Jimenez, age 39, also of Cartersville, Georgia, pled guilty to one count of “Conspiracy to Possess with the Intent to Distribute and Distribute Controlled Substances” in October 2019. Both men were a part of the drug distribution operation from Georgia to West Virginia.
Another defendant in this case, Terrick Robinson, age 36, of Cartersville, Georgia, was sentenced to life in prison plus 10 years after being found guilty after a nine-day trial of a multiple charges related this case. Read more here: https://www.justice.gov/usao-ndwv/pr/georgia-man-sentenced-four-life-sentences-plus-10-years-drug-distribution-resulting
Assistant U.S. Attorneys Brandon S. Flower and Andrew M. Cogar prosecuted the case on behalf of the government. The Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Drug Enforcement Administration; the Three Rivers Drug & Violent Crimes Task Force; the West Virginia State Police; The Bartow County, Georgia, Sheriff’s Office; the FBI in Rome, Georgia; and the Georgia Bureau of Investigation investigated.
U.S. District Judge Thomas S. Kleeh presided.
Georgia Man Pleads Guilty in Bank Fraud Scheme Exploiting Homeless in Rhode IslandRead the Press Release
PROVIDENCE, R.I. – A Georgia man, one of four charged in March with running a scheme in which Providence area homeless and transient individuals were recruited to cash counterfeit business checks in Rhode Island, Massachusetts, Connecticut, and Maine, in exchange for cash payments, pleaded guilty in federal court in Providence today to conspiracy to commit bank fraud.
A United States Secret Service-led investigation determined that from October 2018 through February 2021, numerous homeless individuals were arrested at banks throughout the region attempting to cash counterfeit business checks. Many of them reported similar patterns of being approached by one or more males in Providence and being offered the opportunity to cash bogus checks in return for cash payments.
According to information presented to the court, among those approaching individuals to cash checks was Michael Williams, 26, of East Point, GA. Once a person agreed to cash a check, Williams and his co-conspirators, Austin Weaver, 31, of Decatur, GA, Cortavious Benford, 26, of Atlanta, GA, and Jalen Ronald Stanford, 28, of East Point, GA, allegedly created a counterfeit check made payable to the individual and then drove him or her to a bank to cash it. The checks were generally in the amount of $2,000 or more. Individuals were often paid about $100 per check that they successfully cashed.
On February 5, 2021, Williams and Cortavious Benford allegedly recruited and drove a homeless person to a Providence bank to cash a check. They threatened to injure the man if he failed to provide them with all the proceeds. From inside the bank, the man pointed to a white sedan that was parked outside of the bank as containing the individuals who recruited him and provided him with the counterfeit check. Providence Police located the vehicle a short distance away and arrested Williams and Benford. They were found to be in possession of $12,000 in cash.
A court-authorized search of a Providence residence that law enforcement determined the co-conspirators used when in Rhode Island resulted in the seizure of items used in the creation of counterfeit checks, including a computer, which had a program used to design and print checks, a printer, blank check stock, and an envelope containing numerous stolen checks and approximately $5,000 in cash.
Several completed fraudulent checks, which included known cashers and victim business information were found on the computer.
The investigation determined that using homeless and itinerant individuals, Williams and his co-conspirators allegedly attempted to cash approximately $677,687 worth of counterfeit checks throughout the New England region, causing losses to financial institutions of approximately $480,000.
Appearing today before U.S. District Court Chief Judge John J. McConnell, Jr., Michael Williams pleaded guilty to conspiracy to commit bank fraud, announced Acting United States Attorney Richard B. Myrus. Williams is scheduled to be sentenced on September 21, 2021.
Cortavious Benford, Austin Weaver, and Jalen Ronald Stanford, are awaiting trial.
The cases are being prosecuted by Assistant U.S. Attorney Lee H. Vilker.
Charges brought in this case are merely accusations. A defendant is presumed innocent unless and until proven guilty.
Acting United States Attorney Myrus thanks the Providence and Medway, MA, Police Departments for their assistance in the investigation of this matter.
###
Gardena Man Charged in Indictment Alleging Five-Day Armed Robbery Spree of Donut Shops, Pet Clinic, and Other BusinessesRead the Press Release
LOS ANGELES – A South Bay man has been indicted on federal criminal charges alleging he committed a five-day armed robbery spree of nearly a dozen Los Angeles-area businesses, including four donut shops and the attempted robbery of a veterinarian’s office.
Justin Washington, 32, of Gardena, was named in a 14-count federal grand jury indictment returned on July 6. He is charged with 11 counts of Hobbs Act robbery and three counts of using a firearm during a crime of violence. Washington’s arraignment is expected in the coming weeks. He is currently in custody on separate state charges.
According to the indictment, between November 30 and December 4, 2020, Washington robbed and attempted to rob 10 businesses in the South Bay and in South Los Angeles. His alleged robbery spree began at the same Gardena grocery store, robbed on consecutive days on November 30 and December 1. From there, in Gardena, Washington allegedly robbed a 7-Eleven store, a donut shop and attempted to rob a veterinarian’s office. He allegedly then went on to rob a donut shop in Torrance, and, in South Los Angeles, a wireless phone store, a dry cleaner business, two additional donut shops and a Baskin-Robbins ice cream store.
During the robberies, Washington allegedly held the stores’ employees against their will, including, as charged in three counts, at gunpoint.
The total loss alleged in the indictment is approximately $5,679.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
A violation of the Hobbs Act carries a statutory maximum penalty of 20 years in federal prison. The offense of brandishing a firearm during a crime of violence carries a statutory maximum sentence of life in federal prison.
The FBI; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the Torrance Police Department; the Gardena Police Department; the Los Angeles Police Department; and the Los Angeles County Sheriff’s Department investigated this matter.
Assistant United States Attorney Sara B. Milstein of the Violent and Organized Crime Section is prosecuting this case.