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Wednesday 9 June 2021
Four Local Men Indicted on Drug and Gun Law Violations following Allegheny County Police InvestigationRead the Press Release
PITTSBURGH, PA – Two residents of Clairton and two residents of Pittsburgh have been indicted by a federal grand jury in Pittsburgh on charges of violating federal narcotic and firearm laws, Acting United States Attorney Stephen R. Kaufman announced today.
The five-count Indictment named Jamiel Green, a/k/a Jamiel Clifford, age 24, formerly of Mitchell Avenue, Pittsburgh, PA, Deonte Reddick age 20, formerly of Large Avenue, Clairton PA, Hazeon Kidd, age 20, of Hays Street, Pittsburgh PA and Tyrieke Hammonds age 24, of Large Avenue, Clairton PA, as the defendants.
According to the Indictment, on or about May 13, 2021, Green was in possession of a firearm. It is in violation of federal law for a felon to possess a firearm. As to Count Two, Hammonds was charged with illegal drug user in possession of a firearm. Counts Three and Four charged Kidd with possession with intent to distribute a substance containing fentanyl and cocaine as well as illegal drug user in possession of a firearm. Reddick was charged with being an illegal drug user in possession of a firearm in Count Five.
As to Counts One, Two, Four and Five, the law provides for a maximum sentence of ten years’ imprisonment, a fine of $250,000, or both. As to Count Three, the law provides for a maximum of 20 years in prison, a $1,000,000 fine or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Allegheny County Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Former State Regional Officer of Latin Kings Sentenced for Racketeering ConspiracyRead the Press Release
BOSTON – A former Regional Officer of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced yesterday on racketeering charges.
Michael Cotto, a/k/a “King Gordo,” 26, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 54 months in prison and three years of supervised release. On Jan. 21, 2021, Cotto pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
Cotto, a former member of the New Bedford Chapter, admitted to his role in the drug distribution activity of the Latin Kings in New Bedford, and a variety of violent acts committed in furtherance of the Latin Kings. This includes a February 2018 beating, known as a “termination,” of an individual who was suspected of cooperating with law enforcement. The victim was found by police bleeding from his injuries and transported to the hospital.
Cotto also admitted to conspiring in August 2018 to “terminate” a leader of the Fitchburg Chapter who was suspected of cooperating with law enforcement. On intercepted phone calls, Cotto discussed an elaborate ruse to trick this leader into attending a meeting at which he would be ambushed and beaten by other Latin Kings members.
In a December 2018 surveillance video, Cotto was captured participating in a group assault of another individual and observed striking the victim with a baseball bat.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Cotto is the 28th defendant to be sentenced in the case.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Mendell’s Criminal Division prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Seattle resident pleads guilty to arson at Seattle Police East PrecinctRead the Press Release
Seattle – A former Seattle resident, who prior to his arrest resided in Tacoma, pleaded guilty today in U.S. District Court in Seattle to arson for setting fire to the outside of the Seattle Police East Precinct during the occupied protest known as ‘CHOP’, announced Acting U.S. Attorney Tessa M. Gorman. Isaiah Thomas Willoughby, 36, faces up to five years in prison when sentenced by U.S. District Judge John C. Coughenour on October 4, 2021.
According to the plea agreement, in the early morning hours of June 12, 2020, Willoughby was wearing distinctive clothing when he was captured on surveillance video near debris piled next to the wall of the Seattle Police East Precinct. Willoughby admits he used a small gas can, to pour gasoline on the debris. Willoughby steps away from the debris pile for a moment, then reappears with something that he lights on fire and tosses on the debris pile. The pile begins to burn, and Willoughby is seen walking away. The fire scorched the side of the building, but was extinguished by those nearby using fire extinguishers, and pulling the flaming debris away from the building.
After the Seattle Police Department released pictures of the arson suspect, various people recognized Willoughby and noted that the distinctive sweatshirt came from a clothing line he represents. Relatives of Willoughby reported to police that he was in Seattle in the Capitol Hill Organized Protest Zone (CHOP) at the time of the fire. Following the fire, Willoughby took steps to remove posts from his social media accounts that may have linked him to the arson. However, at least some of his Facebook posts remain, noting his anger at police and his knowledge of the East Precinct building.
Willoughby has been in custody at the Federal Detention Center at SeaTac since his arrest on July 14, 2020.
Under the terms of the plea agreement the government will recommend a 3-year prison term. The defense is free to recommend any sentence allowed by law. Judge Coughenour is not bound by any recommendation and will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the FBI and the Seattle Police Department.
The case is being prosecuted by Assistant United States Attorney Todd Greenberg.
Former Postal Employee Charged with Delay of U.S. MailRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that MILES J. DUPERON, age 29, of Slidell, was charged on June 7, 2021 in a one-count bill of information with delay of U.S. Mail matter by postal employee, in violation of 18 U.S.C. ' 1703(a).
According to the bill of information, on or about July 2019 through January 21, 2020, DUPERON unlawfully delayed U.S. mail, which was intended to be conveyed by mail.
If convicted, DUPERON faces a maximum term of imprisonment of five years, a fine of up to $250,000.00 or the greater of twice the gross gain to defendant or loss to victim, up to three years supervised release after imprisonment, and a $100 special assessment.
U. S. Attorney Evans reiterated that a bill of information is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
U.S. Attorney Evans praised the work of the United States Postal Service, Office of Inspector General in investigating this matter. Assistant United States Attorney Irene González is in charge of the prosecution.
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Former Member of the Latin Kings Department of Correction Chapter Sentenced for Racketeering ConspiracyRead the Press Release
BOSTON – A former member of the Massachusetts Department of Correction Chapter of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced today on racketeering charges.
Vincent Dzierwinski, a/k/a “King Vice,” was sentenced by U.S. Senior District Court Judge Rya W. Zobel to 30 months in prison and three years of supervised release. On March 4, 2021, Dzierwinski pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy.
As detailed in court filings, the Latin Kings carry disputes and related gang violence into jails and prisons where Latin Kings members are incarcerated. Dzierwinski participated in three violent incidents in Massachusetts Department of Correction facilities from 2016 through 2019, while he was incarcerated on various state court sentences. These incidents involved participating in beatings and multiple incidents where victims were stabbed by other Latin Kings members. Following Dzierwinski’s release from his state court sentences, he has been held in federal custody.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Dzierwinski is the 29th defendant to be sentenced in the case.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Mendell’s Criminal Division prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Managers at Major Property Management Firm Plead Guilty to Defrauding U.S. Air ForceRead the Press Release
An Arizona man and a Texas woman have pleaded guilty to major fraud against the United States, and conspiracy to commit wire fraud, respectively, for their roles in a scheme to defraud the U.S. Air Force in connection with privatized military housing contracts between approximately 2013 and 2016.
Rick Cunefare, 61, of Glendale, Arizona, and Stacy M. Cabrera, 47, of Converse, Texas, pleaded guilty to their roles in the scheme. Cunefare was a regional manager for Company 1. He directly supervised the Company 1 community managers who were responsible for overseeing day-to-day operations at the military housing communities at Lackland Air Force Base (AFB), Travis AFB, Vandenberg AFB, Tinker AFB, and Fairchild AFB. He was responsible for reviewing and approving quarterly maintenance reports and for ensuring that the data in the quarterly maintenance reports were submitted to the Air Force with performance incentive fee request letters.
According to court documents, Company 1 managed housing communities created under the Military Privatized Housing Initiative (MHPI) at Lackland AFB, Travis AFB, Vandenberg AFB, Tinker AFB, Fairchild AFB and other U.S. military installations. The MHPI was a program designed to attract private sector financing, expertise, and innovation to provide necessary housing for military servicemembers, their families, and other dependents faster and more efficiently than traditional military construction processes would allow. Company 1’s revenue from the management of these communities was based, in part, on meeting performance maintenance objectives that were set forth in Company 1’s contracts with the U.S. Air Force. For example, if Company 1 completed 95% of routine maintenance requests within three business days on a quarterly basis, it was eligible for a performance incentive fee. Company 1 kept maintenance records in a computer system called Yardi and used data from Yardi to generate quarterly maintenance reports, which it submitted to the U.S. Air Force in support of requests for performance incentive fees.
According to court document, Cunefare and others conspired to manipulate and falsify information maintenance reports from 2013 to 2015 so that the reports falsely reflected that Company 1 had met performance maintenance objectives, when in reality, as Cunefare and his co-conspirators well knew, it had not. This allowed Company 1, acting through the co-conspirators to submit requests to the Air Force for payment of performance incentive fees to which it was not entitled. Specifically, in quarters in which Company 1 did not legitimately meet the maintenance performance objectives, Cunefare gave written and oral instructions to community managers and others that resulted in the community managers and others manipulating and falsifying maintenance information to reflect that Company 1 had met its objectives. These actions had the effect of falsely inflating Company 1’s maintenance performance objectives, resulting in Company 1 receiving approximately $2.5 million in performance incentive fees. Cunefare admitted that the false information deceived the U.S. Air Force into believing that Company 1 was properly maintain the housing communities, when in reality Company 1 was unable to keep up with maintenance issues at many of the military housing communities, parts of which had fallen into disrepair.
On April 21, Cabrera pleaded guilty to her role in the scheme. According to court documents, from approximately 2013 to 2016, Cabrera was the Company 1 community manager at Lackland AFB. She personally, and through subordinates acting on her instructions, falsified maintenance records in order to generate quarterly maintenance reports that falsely reflected that Company 1 had met maintenance-related performance objectives. She then caused these reports to be submitted to other managers at Company 1, who then knowingly used the false reports to substantiate Company 1’s requests for performance bonuses. According to court documents, Company 1 fraudulently obtained approximately $1 million in performance bonuses as a result of Cabrera’s conduct. Cabrera acted on instructions from Cunefare and others.
“The defendants defrauded the U.S. Air Force and put corporate profits ahead of the well-being of servicemembers and their families,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “The department is committed to protecting our military families from deceit and mistreatment and ensuring the integrity of Department of Defense programs.”
“As the lead investigative agency for the Department of the Air Force, AFOSI is resolute in safeguarding our personnel and their families from harm,” said Special Agent in Charge Blair A. Holmstrand of the U.S. Air Force Office of Special Investigations (AFOSI). “The collaboration between DCIS, AFOSI, and the Department of Justice has been significant, and we are looking forward to seeing the final results of the hard work put forth by all agencies involved.”
“As the investigation arm of the DoD Inspector General, the Defense Criminal Investigative Service (DCIS) is charged with investigating those who seek to fraudulently enrich themselves at the expense of the taxpayer,” said Special Agent in Charge Michael Mentavlos of the DCIS Southwest Field Office. “The safety and well-being of our service members and their families is paramount to readiness. This outcome demonstrates not only the outstanding partnership between AFOSI, the Justice Department and DCIS, but also our ability to keep our warfighters ready by holding wrongdoers accountable for their actions.”
Cunefare is scheduled to be sentenced at a later date and faces a maximum penalty of 10 years in prison and a $250,000 fine. Cabrera is scheduled to be sentenced at a later date and faces a maximum penalty of five years in prison and a $250,000 fine. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
AFOSI and DCIS are investigating the case.
Trial Attorneys Michael P. McCarthy and Siji Moore of the Justice Department’s Fraud Section are prosecuting the case.
The Fraud Section is the nation’s leading prosecuting authority for complex procurement fraud and corruption matters.
Former Ft. Bragg Employee Sentenced for Conspiracy and Theft of Government PropertyRead the Press Release
NEW BERN, N.C. – A man was sentenced today to 17 months in prison for conspiracy to steal government property and stealing government property. On September 14, 2020, Morris Cooper pled guilty to the charges.
According to court documents and other information presented in court, Cooper was a purchasing agent assigned to the Operations and Maintenance Division, Directorate of Public Works (DPW), at Fort Bragg, NC, and entrusted to purchase HVAC parts for DPW’s HVAC maintenance section. He was named in an indictment filed on August 20, 2019, which charged that Cooper used his position as purchasing agent in the DPW on Ft. Bragg to receive cash and gifts for both him and his wife, Beverley Cooper, from vendors in return for steering contracts for supplies to those vendors. Additionally, he at times inflated the prices for items under those contracts beyond market price, increasing both the profits to the vendor and the cash payment made to Cooper and/or his wife. Beverley Cooper was also charged with conspiring to steal government property and aiding and abetting Cooper to do so and was sentenced to 5 years probation. Both Cooper and Beverley Cooper earlier entered pleas of guilty to conspiracy to steal government property in violation of 18 U.S.C. §§ 371, and Cooper additionally entered a plea of guilty to the substantive charge of stealing government property in violation of 18 U.S.C. § 641. They were ordered to pay $6,300,000 in restitution and an order of forfeiture was entered in the amount of $1,283,135.15, the amount they agree they personally profited from the conspiracy.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. “Today’s judgment evinces the ongoing fight against fraud, waste and abuse in the government and particularly that perpetrated by and with the assistance of government personnel.”
“Bribery and fraud have no place in the government contracting system,” said Frank Robey, director of the U.S. Army Criminal Investigation Command's Major Procurement Fraud Unit. “This sentencing shows that we will not allow this sort of subterfuge to occur and those that do attempt it will be caught.”
“We hope this case sends a stark warning about the consequences of violating the public trust for personal gain and compromising the integrity of the Department of Defense,” said Special Agent in Charge Christopher Dillard, DCIS, Mid-Atlantic Field Office. “The Defense Criminal Investigative Service, along with our law enforcement partners, remains committed to rooting out fraud and corruption and safeguarding the valuable resources entrusted to the Department of Defense by the American taxpayer.”
The Defense Criminal Investigative Service (DCIS) and the U.S. Army Criminal Investigative Division, Major Procurement Fraud Unit, with assistance from the Federal Bureau of Investigation and the Inspector General for Afghanistan Reconstruction, investigated the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-CR-328-1-FL.
Former Digital Marketing Executive Sentenced to over 6½ Years in Federal Prison for Embezzling More Than $22 Million from EmployerRead the Press Release
LOS ANGELES – A former executive at a Hollywood-based digital marketing company that represents influencers on Instagram and YouTube was sentenced today to 79 months in federal prison for embezzling more than $22 million from his employer and then using the stolen money for personal expenses and cryptocurrency gambling.
Dennis Blieden, 31, of Cincinnati, but who formerly lived in Santa Monica, was sentenced by United States District Judge André Birotte Jr., who also ordered him to pay $22,669,979 in restitution.
Blieden pleaded guilty in November 2019 to one count of wire fraud and one count of aggravated identity theft.
From October 2015 to March 2019, Blieden was the controller and vice president of accounting and finance for StyleHaul Inc., a digital company once based in Hollywood. As part of his job, Blieden had control over the company’s bank accounts. He abused this authority to wire company money to his personal bank account, then, used the stolen money to pay for personal expenses, gambling debt, and to fund his cryptocurrency accounts.
To conceal his scheme, Blieden made fraudulent entries in StyleHaul’s accounting records, falsely representing that the illegal wire transfers he made were authorized payments of money due to StyleHaul clients. Blieden also falsely indicated on one of StyleHaul’s bank accounts that wire transfers to Blieden’s personal bank account were “equity” draws that the company owed him. Furthermore, Blieden created fictitious wire transfer letters that purported to be from Western Union and were designed to make it appear that he had caused wire transfers from StyleHaul to pay money it purportedly owed to a client.
Blieden also disguised his fraud by creating a fictitious lease in May 2018 for the rental of a condominium in Rosarito Beach, Mexico, which bore a forged signature of a StyleHaul executive. He illicitly transferred $230,000 of StyleHaul’s funds by falsely representing that the condominium was being rented for business purposes for StyleHaul’s clients and employees.
Blieden, who has entered and won professional poker tournaments, also frequently engaged in online gambling with cryptocurrency he purchased with embezzled money.
“(Blieden)…breached the trust and obligations owed to the young and perhaps unsophisticated YouTube, Instagram, and other social media influencers and creators, who earned money through their work on said platforms, that were needed to support their families,” prosecutors wrote in their sentencing memorandum. “Those clients relied upon defendant to do his job, when instead, he stole millions (of dollars) from them.”
The FBI investigated this matter.
Assistant United States Attorney Valerie L. Makarewicz of the Major Frauds Section prosecuted this case.
Federal Jury Convicts Three Individuals of Kidnapping and Multiple Bank RobberiesRead the Press Release
Memphis, TN – After a four-day federal jury trial, Antonio Johnson 44, Travis Jackson 37, and Shalundra Johnson, 39 have been found guilty of kidnapping and multiple bank robberies. Acting U.S. Attorney Joseph C. Murphy Jr., announced the conviction today.
According to information presented in court, on September 14, 2018, at approximately 2:15 a.m., an employee of Trustmark Bank on Elvis Presley Blvd., got off work from her second job and arrived home. As the victim walked into her home, a male with a firearm grabbed her and pushed her inside of the residence. The victim was zip-tied and taken to the bank to complete the robbery where approximately, $73,400 was taken. Travis Jackson’s DNA was recovered from the zip-ties used to restrain the victim.
On December 7, 2018, at approximately 7:18 p.m., an employee of the First Tennessee Bank on Elvis Presley Blvd arrived home from work. While in her driveway, an unknown male wearing a mask approached her vehicle. The unknown male forced the victim at gunpoint to the passenger seat of her vehicle and drove her to a location near the bank. The victim was then zip-tied and taken to the bank to complete the robbery; approximately, $110,435 was taken. Again, Travis Jackson’s DNA was recovered from the zip-ties used to restrain the victim and from other zip-ties recovered from the scene. Travis Jackson’s cell phone records placed him at the bank at the time of the robbery. Cell phone records also placed Antonio Johnson at the scene of the victim’s house and at the bank at the time of the kidnapping and the robbery. A tracking device was placed on the victim's vehicle for the gunman to determine where she lived.
On April 4, 2019, at approximately 6:15 p.m., an employee of First South Financial Credit Union on East Shelby Drive, arrived at her home in Horn Lake, Mississippi. Armed men entered the victim’s home, zip-tied the victim’s hands, and demanded keys to the bank. The victim, along with her three-year-old child, were then forced into her personal car and driven away. Eventually, the victim was taken to the bank for the robbery.
Approximately, $425,000 was taken in the robbery. Shalundra Johnson placed a tracking device on the victim's vehicle for the gunmen to determine where the victim lived. Cell phone records, tracking device information, and evidence recovered from the respective defendant’s residences proved the involvement of the defendants in the robbery.
Travis Jackson is scheduled to be sentenced on September 3, 2021. Jackson was convicted of three counts of bank robbery, three counts of firearm possession, one count of kidnapping an adult, and one count of kidnapping a child. Jackson faces a mandatory minimum of 41 years in federal prison.
Both Antonio Johnson and Shalundra Johnson are scheduled to be sentenced September 8, 2021. Antonio Johnson was convicted of two counts of bank robbery, two counts of firearms possession, one count of kidnapping of adult, and one count kidnapping of a child. Johnson faces a mandatory maximum sentence of 34 years imprisonment. Shalundra Johnson was convicted of one count of bank robbery and one count of kidnapping of an adult. Shalundra Johnson faces up to 20 years in federal prison. There is no parole in the federal system.
This case was investigated by the FBI’s Safe Streets Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Memphis Police Department, Desoto County (MS) Sheriff’s Department and Horn Lake, MS Police Department.
Assistant U.S. Attorneys Marques Young and Kevin Whitmore prosecuted this case on behalf of the government.
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Federal Indictment Charges 19 in Alleged Conspiracy to Traffic Pound Quantities of Methamphetamine from Mexico into Inland EmpireRead the Press Release
RIVERSIDE, California – Law enforcement authorities today arrested 12 defendants charged in a federal grand jury indictment alleging they conspired to traffic large quantities of methamphetamine from their suppliers in Mexico into and throughout the Inland Empire.
The 19-count indictment charges a total of 19 defendants with one count of conspiracy to distribute and possess with intent to distribute methamphetamine, an offense that carries a mandatory minimum 10-year prison sentence and a statutory maximum penalty of life imprisonment.
During this morning’s takedown, 12 of the federal defendants were arrested. Three other defendants were already in federal or state custody on unrelated charges, and federal prosecutors will seek to have them brought into federal court. Four defendants are fugitives.
The defendants arrested today are expected to make their initial appearances this afternoon in the United States District Court in Riverside and downtown Los Angeles.
According to the indictment returned on May 5 and unsealed today, from April to August 2020, lead defendants Timoteo Gomez, 48, of Riverside, and Javier Rodriguez, a.k.a. “Harvey,” 54, of Riverside, purchased methamphetamine from their suppliers in Mexico as well as Los Angeles and Riverside counties. Other alleged members of the conspiracy would further distribute methamphetamine in the Inland Empire.
The indictment details the conspirators’ efforts in April 2020 to smuggle 46.6 pounds (21.2 kilograms) of methamphetamine from Mexico across the U.S port of entry at Calexico and into Riverside County. In May 2020, another co-conspirator allegedly attempted to drive a load of 90.4 pounds (41 kilograms) of methamphetamine into the United States from Mexico through the San Ysidro port of entry.
In total, law enforcement seized more than 150 pounds (68 kilograms) of methamphetamine and $31,035 in cash during this investigation.
The indictment also charges some of the defendants with conspiracy to import methamphetamine, possession with intent to distribute methamphetamine, possession with intent to distribute fentanyl, being a felon in possession of ammunition, and attempted international money laundering.
Two additional defendants were charged in separate indictments in March in connection with this case, bringing the number of defendants charged so far to 21. Both were arrested in April on charges of possession with intent to distribute methamphetamine and are currently in federal custody. One has pleaded guilty and the other is awaiting trial.
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.
The FBI’s Inland Empire Safe Streets Task Force investigated this matter. The Task Force is a joint federal and state gang task force that includes the FBI; the Drug Enforcement Administration; IRS Criminal Investigation; the Riverside County Sheriff’s Department; and the Riverside Police Department. The FBI’s Safe Streets Task Force received assistance during the investigation from the San Bernardino County Sheriff’s Department; U.S. Customs and Border Protection, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the United States Marshals Service.
The investigation leading to these federal charges focused on the criminal activities of the Riverside-based Casa Blanca Rifa criminal street gang to combat drug trafficking and associated violence in Riverside and the surrounding community.
Assistant United States Attorney Robert S. Trisotto of the Riverside Branch Office is prosecuting this case.
Farmington Man Pleads Guilty to Fentanyl Trafficking and Firearm ChargesRead the Press Release
CONCORD - Thomas Blanchette, 45, of Farmington, pleaded guilty in federal court to conspiracy to distribute fentanyl and unlawful possession of a firearm, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, Blanchette conspired with others between approximately 2016 and December 20, 2018 to distribute fentanyl. As part of the conspiracy, on November 17, 2017, a New Hampshire State Police (“NHSP”) trooper made a motor vehicle stop of co-conspirator Christopher Stearns’ vehicle after observing several motor vehicle violations. Blanchette and his wife, co-conspirator Amy Blanchette, were passengers in the vehicle, along with another individual. The trooper subsequently seized the vehicle and executed a search warrant and seized 176 grams of fentanyl from a box near the rear passenger seat where Amy Blanchette had been seated. Arrest warrants were obtained for Blanchette, Stearns and Amy Blanchette.
On January 2, 2018, DEA agents observed Stearns and Thomas Blanchette in Stearns’ vehicle travel to the area of Lawrence, Massachusetts and return to New Hampshire a short time later. A NHSP trooper stopped the vehicle and arrested Stearns and Thomas Blanchette on the outstanding arrest warrants. The NHSP subsequently executed a search warrant on Stearns’ vehicle and seized over 28 grams of fentanyl.
On December 20, 2018, DEA agents executed federal arrest warrants for Thomas and Amy Blanchette at their residence. A search of the residence resulted in the seizure of quantities of fentanyl, cocaine, and several firearms. Thomas Blanchette was prohibited from owning firearms due to a felony conviction in 2010.
Blanchette is scheduled to be sentenced on September 15, 2021. Amy Blanchette pleaded guilty on October 19, 2020 and is awaiting sentencing. Christopher Stearns also pleaded guilty and has been sentenced.
“Fentanyl traffickers continue to cause significant damage to communities throughout New Hampshire,” said Acting U.S. Attorney Farley. “When drug dealers are armed, they pose an enhanced risk to public safety. We will continue to work closely with our law enforcement partners to identify and prosecute the drug traffickers who are threatening the quality of life in the Granite State.”
This matter was investigated by the Drug Enforcement Administration, the New Hampshire State Police and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the New Hampshire State Police. The case is being prosecuted by Assistant U.S. Attorney Jennifer Cole Davis.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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Executive of Venture Capital Funds Sentenced in Manhattan Federal Court to over Four Years in Federal Prison for Securities and Wire FraudRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, announced that MARC LAWRENCE was sentenced in Manhattan federal court to 55 months in prison for securities fraud and wire fraud in connection with his participation in a scheme to perpetrate a Ponzi-like investment scheme through a number of corporate entities (collectively referred to as “Downing”). LAWRENCE, the President of Downing entities, and his co-defendant DAVID WAGNER, the Chairman and CEO of Downing entities, solicited almost $10 million from approximately 40 Downing investors through materially false and misleading statements. LAWRENCE previously pled guilty to these charges, and was sentenced today before U.S. District Judge Alvin K. Hellerstein. WAGNER was previously sentenced by Judge Hellerstein to 72 months in prison.
Manhattan U.S. Attorney Audrey Strauss said: “ Marc Lawrence and his co-defendant fraudulently induced employee-investors to invest over $8 million in return for sales, operations, and management expertise in profitable business operations. Unfortunately for their investors, Downing generated virtually no returns, and was little more than a vehicle for Lawrence and Wagner to syphon employee-investor funds to pay Wagner’s personal expenses or pay off other investors in Ponzi-like fashion. Lawrence’s sentence of over four years in federal prison signifies the seriousness of his conduct and the consequence that assuredly awaits those who commit Ponzi-like frauds.”
According to the Indictment filed in Manhattan federal court:
From at least in or about December 2013 through at least in or about 2017, WAGNER, the Chief Executive Officer of Downing, and MARC LAWRENCE, the President of several Downing entities, solicited investments in Downing, a purported venture capital firm that would invest in healthcare start-ups referred to as “portfolio companies” and provide sales, operations, and management expertise to the portfolio companies in order to bring their products to market and generate returns for Downing investors, who also worked for Downing (the “employee-investors”). WAGNER and LAWRENCE, and others acting at their direction, solicited almost $10 million in investments in Downing from employee-investors located across the United States, including in the Southern District of New York, as a requirement of employment with Downing.
After making the required investment of between $150,000 and $250,000 in Downing and starting their employment at Downing, employee-investors soon learned, among other things, that contrary to representations made by WAGNER and LAWRENCE, and others acting at their direction, Downing did not have access to millions of dollars in funding, often could not make payroll, had virtually no products to sell, and that employee-investments were the overwhelming source of funding. Employee-investors also learned that WAGNER and LAWRENCE had misrepresented the companies in Downing’s portfolio, their product readiness, and ability to generate revenue. While the particular formulation of these misrepresentations shifted over time, WAGNER and LAWRENCE systematically sought and obtained employee-investor money through materially false and misleading statements.
Beginning in or about May 2016, after several employee-investors had brought lawsuits against WAGNER and LAWRENCE, and several Downing entities, alleging claims based on, among other things, fraud, WAGNER and LAWRENCE continued the scheme by recruiting employee-investors into a new company called Cliniflow Technologies, LLC (“Cliniflow”), through materially false and misleading statements about Cliniflow’s cash reserves, portfolio companies, and exposure to litigation. In fact, Cliniflow purportedly held majority ownership in the same primary portfolio company as other Downing entities and was simply a new name used by WAGNER and LAWRENCE to solicit investments from new employee-investors that was not tainted by the lawsuits filed against Downing entities. A majority of the over $1.5 million raised by WAGNER and LAWRENCE through Cliniflow was transferred to other Downing entities and used to pay for, among other things, WAGNER’s personal expenses and the repayment of prior investors.
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LAWRENCE, 54, of Clearwater, Florida, pled guilty to two counts of securities fraud and one count of wire fraud, which each carry a maximum sentence of 20 years in prison. In addition to the prison term, Judge Hellerstein ordered LAWRENCE to serve 3 years of supervised release, and to pay forfeiture in the amount of $150,000 and restitution in the amount of $4,450,000 to victims of his criminal conduct.
Ms. Strauss praised the work of the FBI, and thanked the United States Securities and Exchange Commission and the Enforcement Section of the Massachusetts Securities Division for their assistance.
This case is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Jilan J. Kamal and Sagar K. Ravi are in charge of the prosecution.
Evans man sentenced to more than six years in federal prison for possession of child pornographyRead the Press Release
AUGUSTA, GA: An Evans man has been sentenced to federal prison after admitting to possession of child pornography.
Oludare Oluwabusi, 44, of Evans, Ga., was sentenced to 78 months in federal prison after pleading guilty to one count of Possession of Child Pornography, said David H. Estes, Acting U.S. Attorney for the Southern District of Georgia. U.S. District Court Chief Judge J. Randal Hall also ordered Oluwabusi to register as a sex offender and to serve 15 years of supervised release after completion of his prison term.
There is no parole in the federal system.
“Criminals who exploit children attempt to hide their deeds in the far corners of the internet, but our law enforcement partners relentlessly track them down and bring them to justice,” said Acting U.S. Attorney Estes. “Oludare Oluwabusi will now be held accountable for his crimes.”
As described in court, Oluwabusi was taken into custody in April 2020 after FBI agents searched his residence based on a cyber tip from the National Center for Missing and Exploited Children. Investigators who examined multiple devices seized from Oluwabusi’s home in the Riverwood Plantation community identified hundreds of photos and videos of child pornography stored on those devices.
Oluwabusi has no prior criminal record.
“Oluwabusi’s sentence should be a message to anyone involved in this abhorrent behavior,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The FBI will always make it a top priority to protect our children by working with our federal, state, local and private sector partners to track down and hold accountable anyone who victimizes them.”
The case was investigated by the FBI, and prosecuted for the United States by Assistant U.S. Attorney and Project Safe Childhood Coordinator Tara M. Lyons.
Enterprise Man Sentenced to 37 Months in Prison for Being A Felon in Possession of A FirearmRead the Press Release
Montgomery, Alabama – On Tuesday, June 8, 2021, Alexander Russaw, Jr., a 40-year-old man from Enterprise, Alabama, was sentenced to 37 months in prison for being a felon in possession of a firearm. In addition to his prison sentence, Russaw was ordered to serve three years of supervised release. There is no parole in the federal system.
According to court records, on April 24, 2020, the Enterprise Police Department observed a vehicle sitting on the side of the road at the intersection of Rucker Boulevard and Boll Weevil Circle. The car was located in some hedges on the roadside and when officers stopped to see if anyone needed assistance, they found Russaw asleep in the driver’s seat. When they woke Russaw, he seemed disoriented. While speaking with him, officers noticed an open container with baggies of a white powdery substance that they suspected to be cocaine in plain view. Officers then detained Russaw to investigate further and, during a pat down search, found a .380 caliber handgun in his pants pocket. Russaw has multiple felony convictions and is prohibited from possessing a firearm. When officers conducted a full search of the container, additional suspected controlled substances were found.
Russaw was indicted by a federal grand jury for being a felon in possession of a firearm on October 27, 2020. He pleaded guilty to that charge on March 3, 2021.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Enterprise Police Department investigated this case. Assistant United States Attorney Alice S. LaCour prosecuted the case.
Enrolled member of the Navajo Nation pleads guilty to second degree murder in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Mathias Neal, 21, from Sheep Springs, New Mexico, and an enrolled member of the Navajo Nation, pleaded guilty in federal court on June 3 to an information charging him with second degree murder in Indian Country.
According to his plea agreement, on or about July 12, 2015, Neal and an accomplice got into a physical altercation with John Doe while at a chapter house, a local governance building, in San Juan County, New Mexico, on the Navajo Nation. During the altercation, Neal punched and kicked the victim while he was on the ground and hit him with brass knuckles and rocks to his head and throat, causing fatal injuries. Neal admitted being aware that John Doe tried to run away and not fight back. As a result of the beating, John Doe died at the scene and was dragged to a windmill area by Neal and his accomplice.
Neal is currently in custody awaiting sentencing, which has not been scheduled yet. He faces life in prison.
The case was investigated by the Farmington Office of the FBI and the Navajo Division of Public Safety. Assistant U.S. Attorney Novaline D. Wilson is prosecuting the case.
Eighth Defendant Sentenced to Federal Prison for Felony Lane Gang-Type Criminal Activity in Baton Rouge and Across LouisianaRead the Press Release
Acting United States Attorney Ellison C. Travis announced that Chief U.S. District Judge Shelly D. Dick sentenced Raymond Mathews, age 35, of Oakland Park, Florida, to 48 months in federal prison following his conviction for conspiracy to commit bank fraud. The Court further sentenced Mathews to serve five years of supervised release following his term of imprisonment, ordered him to pay $224,068 in restitution, and further ordered him to forfeit an additional $77,070.69 in proceeds from his crime.
Today’s sentence stems from a lengthy federal, state, and local investigation that spanned numerous jurisdictions across several states and led to convictions against ten (10) individuals for participating in a fraudulent scheme targeting victims in the Middle District of Louisiana. As the charging documents explain, and numerous defendants have admitted in connection with their guilty pleas, from August 2016 through February 2017, the defendants traveled through numerous states, including Louisiana, where they would break into unattended vehicles, steal the victims’ licenses, checkbooks, and credit and debit cards, and then use the stolen items to conduct fraudulent financial transactions at the victims’ banks. As alleged in the Indictment, throughout the course of the conspiracy, in an effort to evade detection and capture, the defendants would monitor social media and other websites for reports of criminal activity attributed to the “Felony Lane Gang,” a term often used to describe criminals engaged in this type of scheme. The defendants would use social media postings regarding Felony Lane Gang activity to plot the courses of their trips (e.g., to avoid locations where they perceived banks and law enforcement to be particularly effective at detecting fraud) and to increase the success of their endeavor (e.g., by checking to make sure that their own photographs and identities had not been publicly disseminated).
As Mathews admitted in connection with his guilty plea, he joined the group in August 2016 and participated in trips about once a month, through February 2017. Mathews often assisted the other members of the conspiracy by filling out the stolen checks and forging the victims’ signatures on the checks, so that other members of the conspiracy could take the checks and fraudulently cash them at the victims’ banks. Mathews is the eighth defendant from this investigation to be sentenced to federal prison as a result of his role in this scheme.
The status of the other charged defendants in this investigation is as follows:
- Michael D. Gibbs, age 28, of Ft. Lauderdale, Florida, pled guilty to conspiracy to commit bank fraud and bank fraud, and is awaiting sentencing.
- Brandon J. Gassett, age 30, of Ft. Lauderdale, Florida, pled guilty to conspiracy to commit bank fraud and bank fraud. On October 29, 2020, Gassett was sentenced to serve 84 months in federal prison and pay $224,068 in restitution.
- Frank Jackson, age 27, of Oakland Park, Florida, pled guilty to conspiracy to commit bank fraud and bank fraud. On July 2, 2020, Green was sentenced to serve 33 months in federal prison.
- Geoffrey D. Green, age 37, of Lauderdale Lakes, Florida, pled guilty to conspiracy to commit bank fraud, and is awaiting sentencing.
- Erin Brown, charged in Case 17-80-SDD-EWD, pled guilty to conspiracy to commit bank fraud. On September 26, 2018, Brown was sentenced to serve 24 months in federal prison.
- Natasha Hammett, charged in Case 17-81-BAJ-RLB, pled guilty to conspiracy to commit bank fraud. On September 20, 2018, Hammett was sentenced to serve 4 months in federal prison.
- Tina Eggleston, charged in Case 17-136-JWD-RLB, pled guilty to conspiracy to commit bank fraud. On August 23, 2018, Eggleston was sentenced to serve 10 months in federal prison and pay restitution, among other conditions.
- Johnny Jones, charged in Case 17-137-JWD-EWD, pled guilty to conspiracy to commit bank fraud and possession of unauthorized access devices. On August 27, 2018, Jones was sentenced to serve 10 months in federal prison.
- Allen Clark, charged in Case 18-9-SDD-EWD, pled guilty to conspiracy to commit bank fraud and possession of unauthorized access devices. On September 13, 2018, Clark was sentenced to serve 16 months in federal prison.
In addition, all of the defendants sentenced to date have been ordered to pay restitution for their crimes and serve terms of supervised release following their release from prison.
Acting U.S. Attorney Ellison C. Travis stated, “The convictions and sentencings of these interstate criminals sends a clear message that this type of organized crime will be vigorously investigated and prosecuted to the fullest extent of the law. I want to congratulate our prosecutors and all of our federal, state, and local partners around the country for their tireless efforts.”
Douglas Williams, Jr., FBI New Orleans Special Agent in Charge, stated, “The FBI will continue to aggressively pursue those individuals, such as Mr. Raymond Mathews, who seek to unjustly enrich themselves at the expense of others. The investigation of the Felony Lane Gang’s criminal activities was expansive and far reaching. The successful results of the investigation and prosecution would not have been possible without the substantial assistance of our law enforcement partners and the U.S. Attorney’s Office for the Middle District of Louisiana.”
This matter is being investigated by the Federal Bureau of Investigation, the Jefferson Parish Sheriff’s Office, the Baton Rouge Police Department, the East Baton Rouge Parish Sheriff’s Office, Ascension Parish Sheriff’s Office, Walker Police Department, Lafayette Police Department, Covington Police Department, Oxford (Mississippi) Police Department, Florida Highway Patrol and Asheville (North Carolina) Police Department. The investigation has received substantial assistance from the 19th JDC District Attorney’s Office in East Baton Rouge, Louisiana, the Johnson County, Wyoming Prosecuting Attorney’s Office, and the Third Judicial Circuit of Florida State Attorney’s Office.
This matter is being prosecuted by Assistant United States Attorney Alan Stevens, who serves as Senior Litigation Counsel for the United States Attorney’s Office, and former Assistant United States Attorneys Chris Dippel and Cal Leipold.
Dominican National Sentenced for False Identity CrimesRead the Press Release
BOSTON – A Dominican national previously residing in Methuen was sentenced today in federal court in Boston for aggravated identity theft and fraudulent use of a Social Security number.
Manuel Enrique Arias Aguasvivas, 32, was sentenced by U.S. District Court Judge Rya W. Zobel to two years in prison and one year of supervised release. Arias Aguasvivas will be subject to deportation proceedings upon completion of his sentence. On Feb. 17, 2021, Arias Aguasvivas pleaded guilty to one count of aggravated identity theft and one count of false representation of a Social Security number.
On July 2, 2015, Arias Aguasvivas submitted an application to renew his Massachusetts driver’s license in the Lawrence office of the Massachusetts Registry of Motor Vehicles. In so doing, he used the Social Security number and other identifying information of a U.S. citizen.
The investigation was conducted by Homeland Security Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized investigative group comprising personnel from various state, local and federal agencies with expertise in detecting, deterring and disrupting organizations and individuals involved in various types of document, identity and benefit fraud schemes.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Phillip M. Coyne, Special Agent in Charge of the U.S. Department of Health & Human Services, Office of Inspector General made the announcement today. Valuable assistance was provided by the U.S. Marshals Service, District of Massachusetts; Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Office; U.S. Secret Service; U.S. Postal Inspection Service; U.S. Department of State, Bureau of Diplomatic Security, Boston Field Office; U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, Boston; the Massachusetts State Police; and the Massachusetts Office of Inspector General. Assistant U.S. Attorney Robert E. Richardson of Mendell’s Major Crimes Unit prosecuted the case.
District Woman Sentenced to Prison for Hate Crime Targeting Member of the Asian CommunityRead the Press Release
WASHINGTON – Carolyn Heard, 64, of Washington D.C., was sentenced on June 1, 2021, to a term of imprisonment based on charges stemming from a hate crime targeting a member of the Asian community that took place in Northwest Washington in April 2021, U.S. Attorney Channing D. Phillips announced.
Heard pleaded guilty to one count of threats to do bodily harm, a charge that, with a hate-bias enhancement, carries a maximum penalty of 270 days of incarceration. District of Columbia Superior Court Associate Judge Steven Wellner sentenced Heard to the maximum penalty of 270 days, suspending all but 90 days of incarceration. Following her prison term, Heard will be placed on probation for 18 months. Heard also was sentenced in two other pending cases.
According to the government’s evidence, Heard approached the victim, a member of the Asian community in Washington, D.C., outside a neighborhood store and, while armed with a knife, threatened to kill the victim, saying, “I will kill you; you have coronavirus; go back to China.”
In announcing the sentence, Acting U.S. Attorney Channing D. Phillips commended the work of those who investigated the case from the Metropolitan Police Department. He also acknowledged the efforts of those who worked on the case from the U.S. Attorney’s Office, including Assistant U.S. Attorney Anna Forgie, who prosecuted the hate crime matter, and Assistant U.S. Attorneys Victor Suh and Raha Mokhtari, who prosecuted other charges on which the defendant was sentenced.
Defendant Arrested in Texas for Multimillion-Dollar Wire Fraud and Money Laundering SchemeRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, and Peter C. Fitzhugh, the Special Agent-in-Charge of Homeland Security Investigations (“HSI”) in New York, announced today that GUILLERMO PEREZ was arrested this morning for defrauding businesses and individuals of more than $2.2 million through business email compromise and bank fraud schemes. PEREZ will be presented tomorrow in the United States District Court for the Southern District of Texas.
According to the allegations contained in the Indictment[1] unsealed today:
From at least in or about October 2018 through at least in or about October 2019, GUILLERMO PEREZ participated in a scheme to defraud businesses by impersonating individuals and businesses in the course of otherwise ordinary financial transactions, thereby fraudulently inducing counterparties to those transactions to transfer funds to bank accounts controlled by PEREZ and his co-conspirators (the “Business Email Compromise Scheme”). To facilitate this scheme, PEREZ conspired to deceive federally insured banks into opening business bank accounts (the “Fraudulent Bank Accounts”) by providing the banks with false and misleading information regarding PEREZ’s co-conspirators’ affiliations.
In reliance on the foregoing false and misleading misrepresentations, the victims of the Business Email Compromise Scheme wired more than $2.2 million into the Fraudulent Bank Accounts. PEREZ and his co-conspirators, knowing the money represented fraud proceeds, transferred those fraud proceeds out of the Fraudulent Bank Accounts in transactions designed to conceal and disguise their source, ownership, and control.
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GUILLERMO PEREZ, 26, of Houston, Texas, is charged with (1) conspiracy to commit wire fraud and bank fraud, which carries a maximum sentence of 30 years in prison, and (2) conspiracy to commit money laundering, which carries a maximum sentence of 20 years in prison.
The maximum potential sentences in these cases are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by a judge.
Ms. Strauss praised the investigative work of HSI. The prosecution of this case is being handled by the Money Laundering and Transnational Criminal Enterprises Unit. Assistant United States Attorneys Emily Deininger and Tara La Morte are in charge of the prosecution.
The charges contained in the Indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations, and every fact described should be treated as an allegation.
City of Quincy Agrees to Remedy Discharges of Stormwater Containing SewageRead the Press Release
BOSTON – The U.S. Attorney’s Office has entered into a consent decree with the City of Quincy to resolve violations of the Clean Water Act regarding the City’s stormwater and sanitary sewer systems. Water sampling indicated untreated sanitary sewage discharging from numerous Quincy stormwater outfalls, including outfalls discharging at beach areas.
The settlement requires Quincy to implement extensive remedial measures to minimize the discharge of sewage and other pollutants into Quincy Bay, Dorchester Bay, Neponset River, Hingham Bay, Boston Harbor and other water bodies in and around Quincy. The cost of the remedial measures is expected to be in excess of $100 million. The City will also pay a civil penalty of $115,000.
Under the proposed consent decree, Quincy will implement a comprehensive and integrated program to investigate, repair and rehabilitate its stormwater and sanitary sewer systems. The proposed settlement is also consistent with U.S. Environmental Protection Agency (EPA) directives to strengthen enforcement of violations of cornerstone environmental statutes in communities disproportionately impacted by pollution, with special focus on achieving remedies with tangible benefits for the community.
“This settlement is a reminder that municipalities must comply with the law and environmental standards to prevent and address pollution caused by defects in their stormwater and sewage systems,” said Acting United States Attorney Nathaniel R. Mendell. “This is a matter of environmental protection and public health.”
“This settlement builds on work done over the past three decades to address pollution in Boston Harbor,” said EPA New England Acting Regional Administrator Deborah Szaro. “The work required under the proposed settlement will achieve cleaner and healthier water in Quincy and nearby areas. This will protect people’s health, making it safer to enjoy beaches or other recreation in or on the bays and rivers in the area.”
In March 2019, the U.S. Attorney’s Office filed a civil complaint alleging that the City of Quincy inadequately controlled sewage leaking from its sanitary sewer system, allowing sewage to mix with stormwater and be discharged from the municipal storm sewer system into nearby waterbodies, including at beach locations. The complaint also alleged that Quincy’s sanitary sewer system has overflowed on numerous occasions, resulting in discharges of sewage.
Raw sewage overflows from sanitary sewers and discharges of stormwater mixed with sewage from municipal storm sewer systems introduce a variety of harmful pollutants, including disease causing organisms, and can contribute to illnesses and beach and shellfish bed closings.
The proposed consent decree establishes a schedule for Quincy to investigate the sources of sewage being discharged from its storm drains. Quincy will first complete its investigations of drainage areas discharging to beach areas, including Wollaston Beach and the Adams Shore area. Quincy will prioritize the rest of the investigations according to the sensitivity of receiving waters and evidence of sewage. The proposed consent decree also requires Quincy to remove all identified sources of sewage as expeditiously as possible. In addition, Quincy is required to conduct frequent and enhanced monitoring (in both dry and wet weather) of its stormwater outfalls. Until pollutants are removed from its storm drain discharges, Quincy will be required to post notices to warn beachgoers of contaminated stormwater at such storm drain outfalls. The remedies under the proposed consent decree also include the investigation and repair of Quincy’s sanitary sewer infrastructure, and the integration of that work with its stormwater investigations.
Some portions of Quincy’s sanitary sewer system are over 100 years old. Numerous studies conducted by Quincy have identified significant and widespread defects in the sanitary sewer system, including cracks that allowed sewage to leak. While Quincy has made some repairs to the sanitary sewer system, the proposed consent decree will require future work to be conducted on a fixed schedule and coordinated with its stormwater investigations. The proposed consent decree requires the City to conduct all investigations and complete remedial work by December 2034.
Acting U.S. Attorney Mendell and EPA Acting Regional Administrator Szaro made the announcement today. The matter was handled by Susan Poswistilo of Mendell’s Civil Division and Senior Counsel David Gordon and Donald Frankel of the Justice Department’s Environment and Natural Resources Division.
More information:
How EPA works to protect water by ensuring compliance with environmental laws and regulations: https://www.epa.gov/enforcement/water-enforcement.
Sanitary Sewer Overflows (SSOs): https://www.epa.gov/npdes/sanitary-sewer-overflow-sso-frequent-questions.
Chenango County Man Pleads Guilty to Sexually Exploiting Three ChildrenRead the Press Release
SYRACUSE, NEW YORK – Patrick Kain, age 34, of Norwich, New York pled guilty yesterday to three counts of sexual exploitation of a child and one count of committing a felony involving a minor by a registered sex offender. The announcement was made by Acting United States Attorney Antoinette T. Bacon and Nicholas Boshears, Acting Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Kain was convicted in Chenango County Court of Sexual Abuse in the First Degree in 2014, and because of that conviction is required to register as a sex offender in New York State. As a part of his guilty plea, Kain admitted that from roughly 2016 through 2019 he created sexually explicit images and videos of three different victims, each of whom were approximately five years old. These depictions generally involved Kain secretly recording the victims’ genitals. Included among this material is a video of Kain reaching his hand toward one of the victim’s genitals, putting his hand inside that victim’s underwear, and pulling it aside. In addition to the child pornography that Kain created, he also possessed approximately 90 videos and 10 images of child pornography not involving his own victims, both on his laptop and in an online storage account.
Kain faces a mandatory minimum sentence of 35 years and a maximum sentence of 160 years, a $250,000 fine, restitution to the victims, will be required to serve a post-release term of supervised release of between five years and life, and will have a continued duty to register as a sex offender. A defendant’s sentence is imposed by a judge based on the statutes the defendant violated, the U.S. Sentencing Guidelines, and other factors. The defendant’s sentencing is scheduled for October 6, 2021 before Hon. Thomas J. McAvoy, Senior District Judge.
This case is being investigated by the FBI, the New York State Police, and the Chenango County District Attorney’s Office. It is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Charlotte Man Found Guilty for Operating as Money Mule in $2 Million Business Email Compromise SchemeRead the Press Release
CHARLOTTE, N.C. – A federal jury convicted Chukwudi Michael Okwara, 40, of Charlotte, for his involvement in a Business Email Compromise (BEC) scheme that defrauded at least six companies of approximately $2 million. William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina, announced today that Okwara had been convicted at trial of 27 counts of money laundering, false statements to banks, and aggravated identity theft.
A business email compromise scheme, or BEC, is a sophisticated scam, often targeting businesses involved in wire transfer payments. The fraud is carried out by compromising and/or “spoofing” legitimate business email accounts through social engineering or computer intrusion techniques, to cause employees of the victim company (or other individuals involved in legitimate business transactions) to transfer funds to accounts controlled by scammers.
According to trial evidence, witness testimony and documents filed with the court, beginning in November 2018, Okwara, who also goes by “Collins Bird” and “Larry Eugene Coleman,” used fake documents to open multiple money mule bank accounts. Money mule bank accounts are accounts used by fraudsters as a pass-through means of moving fraudulently obtained funds. As trial evidence established, Okwara used the money mule accounts to receive and launder the proceeds of BEC scams perpetrated on at least six victim companies totaling $2 million. According to evidence presented at trial, the money mule accounts opened by Okwara were initially funded with relatively small deposits. Victims of the BEC schemes located throughout the United States were then tricked by scammers to wire large amounts of funds into these accounts. Within days of receipt of the fraudulent wires, Okwara used false and stolen identities and conducted financial transactions with the fraudulently obtained proceeds in order to conceal their origins, including to make large cash withdrawals, purchase official checks, and send wires to other bank accounts under his control.
Okwara’s money laundering convictions carry a maximum sentence of 20 years and a $500,000 fine per count; the five counts of conducting financial transactions with illegal proceeds carry a maximum prison sentence of 10 years and a $250,000 fine per count; the two counts of submitting false documents to banks carry a maximum prison term of 30 years and a $1,000,000 fine per count; and the two counts of aggravated identity theft carry a mandatory minimum sentence of two years in prison, per count, to be served consecutively to any other sentence imposed.
Okwara is currently in federal custody. A sentencing date has not been set.
In making today’s announcement, Acting U.S. Attorney Stetzer commended the investigating efforts of the U.S. Postal Inspection Service and the Charlotte-Mecklenburg Police Department.
Assistant United States Attorneys Matthew Warren and Mark T. Odulio, of the U.S. Attorney’s Office in Charlotte, are prosecuting the case.
Cayuga County Felon Admits to Unlawfully Possessing Firearms and AmmunitionRead the Press Release
ALBANY, NEW YORK – James Workman, age 32, of Conquest, New York, pled guilty today to unlawfully possessing a firearm and ammunition as a felon.
The announcement was made by Acting United States Attorney Antoinette T. Bacon; Nicholas B. Boshears, Acting Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Cayuga County Sheriff Brian Schenck.
Workman, who has prior felony convictions for arson and burglary offenses, admitted that he possessed a .30-06 caliber rifle and ammunition, and discharged the rifle at his residence in Conquest, on October 6, 2020.
Chief United States District Judge Glenn T. Suddaby is scheduled to sentence Workman on October 28, 2021. Workman faces up to 10 years in prison, a fine of up to $250,000, and a term of post-imprisonment supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI, the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), the Cayuga County Sheriff’s Department, as well as Immigration and Customs Enforcement (ICE) and the Office of Special Investigation for the New York State Department of Corrections and Community Supervision (DOCCS). The case is being prosecuted by Assistant U.S. Attorneys Richard Belliss and Alexander Wentworth-Ping.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/ag/project-guardian-memo-2019/download.
Car Wreck Fraud Defendant Pleads GuiltyRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Sebron Dejuan Brown, age 35, of Muskogee, Oklahoma entered a guilty plea to Conspiracy to Commit Odometer Tampering, in violation of Title 49, United States Code, Sections 32703(2) and 32709(b); two counts of Odometer Fraud, in violation of Title 49, United States Code, Section 32703(2) and 32709(b); and to Conspiracy to Commit Wire Fraud, in violation of Title 18, United States Code, Section 1343. Brown could potentially be sentenced to up to 20 years imprisonment for the multiple violations of federal laws.
The Second Superseding Indictment alleged that from in or about December 2016 and continuing through in or about May 2017, within the Eastern District of Oklahoma and elsewhere, the defendant, and others known and unknown to the grand jury, agreed and conspired to commit offenses against the United States, to-wit: to knowingly and willfully reset and alter, and cause to be reset and altered, the odometers of motor vehicles, intending to change the mileage registered by the odometers.
The Second Superseding Indictment further alleged that on or about December 18, 2016, and continuing through March 10, 2017, within the Eastern District of Oklahoma and elsewhere, the defendant, did knowingly and willingly reset and alter, and cause to be reset and altered, the odometer of motor vehicles from approximate high mileage to the approximate low mileage with the intent to change the number of miles registered on said odometers in vehicles.
The Second Superseding Indictment further alleged that from on or about March 3, 2017, and continuing through on or about May 2, 2017, within the Eastern District of Oklahoma and elsewhere, the defendant, codefendant Rakyra Jones, codefendant Tracy Mahone (now dismissed from the Second Superseding Indictment), and others known and unknown to the grand jury, agreed and conspired to transmit and caused to be transmitted by means of a wire communication in interstate commerce signals and sounds for the purpose of executing a scheme to defraud insurance companies.
The charges arose from an investigation by the Muskogee Police Department, the Federal Bureau of Investigation, and the United States Department of Transportation, National Highway Traffic Safety Administration, Office of Odometer Fraud Investigation.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Doug Horn, Assistant United States Attorney Jarrod Leaman, and Assistant United States Attorney Michael Cooper represented the United States.
Camden Man Sentenced to 10 Years in Prison for Conspiring to Distribute over One Kilogram of HeroinRead the Press Release
CAMDEN, N.J. – A Camden man was sentenced today to 120 months in prison for conspiring to distribute more than one kilogram of heroin, Acting U.S. Attorney Rachael A. Honig announced.
Ramon Velez, 44, of Camden, previously pleaded guilty before U.S. District Judge Renee Marie Bumb to an information charging him with one count of conspiracy to distribute heroin from June 2018 through November 2018. Judge Bumb imposed the sentence today in Camden federal court.
According to documents filed in the case and statements made in court:
Using confidential informants, consensual recordings, over 40 controlled drug purchases, and several court-authorized wiretaps, the investigation showed a large-scale drug operation operating in the 400-500 block of Pine Street in Camden in 2017-2018. Street-level sellers were supervised by managers, who also resupplied them with pre-packaged heroin, cocaine, and crack cocaine. Ramon Velez also sold heroin from the area surrounding his residence. Several firearms were recovered from different locations during searches by the FBI and other law enforcement officers when the defendants were arrested in November 2018. Ramon Velez was arrested on December 6, 2018.
In addition to the prison term, Judge Bumb sentenced Johnson to five years of supervised release.
Nineteen defendants were arrested on drug trafficking charges based on the investigation; 15 defendants have pleaded guilty on drug conspiracy charges. One defendant, Kaliel Johnson of Camden, was sentenced last week to nine years in prison; 13 defendants are awaiting sentencing and three more defendants are awaiting trial. The charges and allegations against those three defendants awaiting trial are merely accusations, and they are presumed innocent unless and until proven guilty.
Acting U.S. Attorney Honig credited special agents of the FBI’s South Jersey Violent Offender and Gang Task Force, South Jersey Resident Agency, under the direction of Special Agent in Charge Michael J. Driscoll; the Camden County Police Department, under the direction of Chief Gabriel Rodriguez; the Camden County Prosecutor’s Office, under the direction of Acting Prosecutor Jill S. Mayer; the Camden County Sherriff’s Department, under the direction of Sheriff Gilbert L. Wilson; the Cherry Hill Police Department, under the direction of Chief William P. Monaghan; and the N.J. State Police, under the direction of Colonel Patrick J. Callahan, with the investigation leading to today’s sentencing. She also thanked the Drug Enforcement Administration, the U.S. Marshals Service, and the Department of Homeland Security for their assistance.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The government is represented by Assistant U.S. Attorneys Patrick C. Askin and Sara Aliabadi of the U.S. Attorney’s Office’s Camden Office.
California Man Sentenced to 90 Months in Prison for Plot to Distribute over 30 Pounds of Crystal Methamphetamine and Five Kilos of Fentanyl into New JerseyRead the Press Release
CAMDEN, N.J. – A California man was sentenced today to 90 months in prison for shipping approximately 30 pounds of crystal methamphetamine and conspiring to send an additional 5 kilograms of fentanyl into New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
Jesus Zavala-Torres, 35, of San Jacinto, California, pleaded guilty before U.S. District Judge Noel Hillman in Camden federal court to an information charging him with one count of conspiracy to possess with intent to distribute 500 grams or more of methamphetamine and a quantity of fentanyl. Judge Hillman imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
In September 2018, law enforcement officers received information that an individual identified as Isabel Otanez-Sanchez, was shipping large quantities of narcotics to New Jersey from California. On Jan. 28, 2019, Sanchez agreed to send 30 pounds of methamphetamine to a law enforcement confidential source (the “CS”) in Atlantic City, New Jersey. Zavala-Torres and Sanchez hid 28 packages of methamphetamine inside a salvaged vehicle that was shipped from California to New Jersey. Agents recovered the 28 packages, totaling approximately 30 pounds, from the car’s gas tank. On Feb. 12, 2019, the CS met with Sanchez and Zavala-Torres in Riverside, California. At this meeting, Sanchez and Zavala-Torres also agreed to sell an additional five kilograms of fentanyl that would be shipped to the CS in New Jersey in the same manner as the methamphetamine. Following this meeting, Sanchez and Zavala-Torres were arrested by law enforcement and the five kilograms of fentanyl they intended to ship to New Jersey were recovered.
In addition to the prison term, Judge Hillman sentenced Zavala-Torres to five years of supervised release.
Acting U.S. Attorney Honig credited special agents of the Department of Homeland Security, Homeland Security Investigations (HSI), Cherry Hill, under the direction of Special Agent in Charge Jason J. Molina in Newark, with the investigation leading to today’s sentencing. She also thanked HSI in Riverside, CA; the New Jersey State Police; the Hemet, California, Police Department; and the Atlantic City Task Force for their assistance.
The government is represented by Special Assistant U.S. Attorney Meriah Russell of the U.S. Attorney's Office Criminal Division in Camden.
Burlington County Man Sentenced to 65 Months in Prison for Defrauding Investors of over $1.5 MillionRead the Press Release
CAMDEN, N.J. – A Burlington County, New Jersey, man was sentenced today to 65 months in prison for defrauding several investors of more than $1.5 million, Acting U.S. Attorney Rachael A. Honig announced.
Brett Cooper, 44, of Moorestown, New Jersey, previously pleaded guilty before U.S. District Judge Renee Marie Bumb to an information charging him with one count of money laundering. Judge Bumb imposed the sentence today in Camden federal court.
According to documents filed in this case and statements made in Court:
Cooper and two other individuals created a “high-yield bank scheme” and solicited investments from multiple investors, telling them that they could double or triple their initial investments in 60 to 90 days. Cooper set up several shell companies, including a company he named Peninsula Water Development and another named Dream Holdings, and he had the investors wire money to bank accounts that he had set up for these shell companies. Cooper admitted that he never invested any of the money and that he transferred the money to his personal accounts used it to pay his living expenses and for other personal expenditures. Cooper also wired some of the money from the investors to two other conspirators. A total of eight victims lost money due to Cooper’s fraudulent scheme.
Cooper was previously found liable for damages related to the fraud scheme in a civil case brought by the Securities and Exchange Commission (SEC). In the civil case, Cooper was ordered to pay over $2 million in damages and fines in November 2015.
In addition to the prison term, Judge Bumb sentenced Cooper to three years of supervised and fined him $25,000. Restitution will be determined at a late date.
Acting U.S. Attorney Honig credited agents with IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark; and attorneys and investigators for the Securities and Exchange Commission, under the direction of Division of Enforcement Acting Director Melissa Hodgman, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Patrick C. Askin of the U.S. Attorney’s Office’s Camden Office.
Brainerd Man Sentenced to Prison for Wildlife Trafficking, Trespassing After Removing the Head of A Black Bear on the Red Lake Indian ReservationRead the Press Release
ST. PAUL, Minn. – A Brainerd, Minnesota, man was sentenced in federal court today for wildlife trafficking and trespassing on Indian land after removing the head of a 700-pound black bear on the Red Lake Indian Reservation.
Brett James Stimac, 41, was sentenced by Judge Susan Richard Nelson to 15 months in prison, followed by one year of supervised release, and a $9,500 fine.
According to court documents, on the evening of September 1, 2019, Stimac, who is not an enrolled member of the Red Lake Band of Chippewa Indians, willfully, knowingly and without authorization or permission, entered the Red Lake Indian Reservation for the purposes of hunting a bear. The Government contends that Stimac, using a compound bow, shot and killed a large American black bear near the Reservation’s garbage dump.
According to court documents, on September 2, 2019, Stimac returned to the dump the following day and located the bloody carcass of the bear. Stimac posed for photographs with the bear’s carcass and later shared the photographs on social media. Because of the bear’s large size, Stimac was unable to move the bear from the Reservation. Instead, Stimac used a saw to remove the bear’s head for a trophy. Stimac brought the bear’s head to a taxidermist in Ironton, Minnesota, and left the remainder of the carcass to spoil.
The Red Lake Band of Chippewa Indians does not permit non-Indians to hunt bear, one of seven clan animals of the Band, within the boundaries of the Red Lake Indian Reservation, due to the bear’s cultural and spiritual importance to the Band.
This case was the result of an investigation conducted by the Minnesota Department of Natural Resources, the Red Lake Department of Public Safety, the Red Lake Department of Natural Resources, and the U.S. Fish and Wildlife Service, with assistance from the Beltrami County Attorney’s Office.
Special Assistant U.S. Attorney Gina L. Allery and Assistant U.S. Attorney Emily A. Polachek prosecuted the case.
Aroostook County Man Sentenced for Sexual Exploitation of a Child and Possession of Child PornographyRead the Press Release
BANGOR, Maine: An Aroostook County man was sentenced today in U.S. District Court in Bangor for sexual exploitation of a minor and possession of child pornography, Acting U.S. Attorney Donald E. Clark announced.
U.S. District Judge Lane E. Walker sentenced Kyle Sirois, 29, recently of Fort Fairfield, to 40 years in prison to be followed by a lifetime of supervised release. Sirois was also ordered to pay $24,000 in restitution. He pleaded guilty on October 3, 2019.
According to court records, at an unknown time between March 2015 and October 2017, Sirois produced video files depicting child pornography. In addition, Sirois possessed other images and videos of different children engaging in sexual behavior, which he had purposefully sought out and received through the internet. These images and videos depicted the sexual exploitation of prepubescent children under the age of 12.
The investigation was conducted by Homeland Security Investigations, the Maine State Police Computer Crimes Unit, the Fort Fairfield Police Department, and the Madawaska Police Department.
The case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Arizona man admits sexually exploiting two Montana children through online activityRead the Press Release
GREAT FALLS – An Arizona man accused of coercing minor girls to send him sexually explicit images of themselves through the internet and of receiving child pornography pleaded guilty to charges today, Acting U.S. Attorney Leif M. Johnson said.
Joshua Dean Fish, 27, of Gilbert, Arizona, pleaded guilty to two counts of sexual exploitation of a child and to receipt of child pornography. Fish faces a mandatory minimum 15 years to 40 years in prison, a $250,000 fine and five years to life of supervised release on each sexual exploitation crime and a mandatory minimum five years to 20 years in prison, a $250,000 fine and five years to life of supervised release on the receipt of child pornography crime.
Chief U.S. District Judge Brian M. Morris presided and set sentencing for Sept. 23. Chief Judge Morris continued Fish’s detention pending further proceedings.
The government alleged in court documents that in January 2020, the Lewis and Clark County Sheriff’s Office received a report of online sexually explicit activity involving two children, who were under the age of 18. An investigation identified Fish as the person who was offering to pay for the sexually explicit images. Prior to mid-2018, Fish resided in Montana. The two child victims, one residing in Butte and another residing in Helena, reported that an online user promised monetary digital payments in exchange for nude images that would be sent through the internet. Both child victims sent Fish sexually explicit images of themselves.
The government further alleged that an investigation by Arizona law enforcement into a Cybertip to the National Center for Missing and Exploited Children involving sending and receiving child pornography through a social media application led to Fish. In June 2020, law enforcement searched Fish’s residence and interviewed him. Fish admitted he paid minor girls for nude images, which were sent to him online, and to possessing numerous hard drives containing child pornography. During an examination of digital devices seized during the search, law enforcement found hundreds of thousands of images and video files of child pornography.
Assistant U.S. Attorney Cyndee L. Peterson is prosecuting the case, which was investigated by Homeland Security Investigations, FBI, Lewis and Clark County Sheriff’s Office, Internet Crimes Against Children Task Force and the Gilbert (Arizona) Police Department.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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Amsterdam Man Sentenced for Attempting to Transfer Obscene Material to a MinorRead the Press Release
SYRACUSE, NEW YORK – Neil Giraldi, age 65, of Amsterdam, New York, was sentenced today to 33 months in prison for attempting to transfer obscene material to a minor.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Nicholas B. Boshears, Acting Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
In pleading guilty, Giraldi admitted to sending sexually explicit messages and multiple pictures of his penis to an undercover FBI agent posing as a 13-year-old child on a social media application.
In addition to the prison sentence, Senior United States District Judge Norman A. Mordue sentenced Giraldi to a 3-year term of post-release supervision.
This case was investigated by the FBI and its Child Exploitation Task Force, and prosecuted by Assistant U.S. Attorney Rachel Williams.
Albany Felon Sentenced for Possession of a Loaded HandgunRead the Press Release
ALBANY, NEW YORK – Saul McDuffie, age 34, of Albany, was sentenced today to 33 months in prison for unlawful possession of a firearm by a felon.
The announcement was made by Acting United States Attorney Antoinette T. Bacon; Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI); and Chief Eric Hawkins of the Albany Police Department (APD).
In pleading guilty, McDuffie admitted to possessing a loaded .380 caliber handgun on North Swan Street in Albany on October 28, 2019. When McDuffie saw a marked APD police cruiser pass, he placed the handgun on the tire of a parked car, which was observed by an APD officer responding to a complaint of drug dealing in the area. McDuffie had prior felony convictions for drug offenses and burglary when he possessed the loaded handgun.
In addition to the prison sentence, Chief U.S. District Judge Glenn T. Suddaby sentenced McDuffie to serve a 3-year term of post-release supervision.
This case was investigated by the APD and HSI, and prosecuted by Assistant U.S. Attorneys Cyrus P.W. Rieck and Rachel Williams.
Akwesasne Man Pleads Guilty to Marijuana ChargesRead the Press Release
ALBANY, NEW YORK – Tevin Terrance, age 28, of Akwesasne, New York, pled guilty today to conspiring to distribute, and possess with intent to distribute, 100 kilograms or more of marijuana. The announcement was made by Acting United States Attorney Antoinette T. Bacon and Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Division.
As part of his guilty plea, Terrance admitted that on August 20, 2020, he and a co-conspirator used two pickup trucks to transport 10 hockey bags containing approximately 200 kilograms of marijuana through the Northern District of New York with the intent to distribute the drugs in the New York City area.
As a result of his conviction, Terrance faces at least 5 years and up to 40 years in prison, and a term of post-release supervision of at least 4 years and up to life. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors. Sentencing is scheduled for October 28, 2021 before Chief United States District Judge Glenn T. Suddaby.
This case was investigated by the DEA and is being prosecuted by Assistant U.S. Attorney Joshua R. Rosenthal.
Airline passenger charged with interfering with flight crewRead the Press Release
ALBUQUERQUE, N.M. – Asiel Christian Norton, 43, of Venice, California, made an initial appearance in federal court on June 8 for a charge of interfering with flight crew members and attendants. Norton will remain in custody pending a preliminary and detention hearing scheduled for June 10.
According to a criminal complaint, on June 4 Norton was a passenger on a Delta Airlines flight from Los Angeles to Nashville. After takeoff, Norton allegedly rushed to the front of the aircraft and began pounding on the door to the flight deck. When a flight attendant attempted to intervene, Norton allegedly pushed the attendant. Other passengers then assisted the attendant in subduing Norton. The situation caused the flight to be redirected into Albuquerque, where Norton was arrested.
It is a violation of federal law on an aircraft in the special aircraft jurisdiction of the United States to interfere with a flight attendant in the performance of their duties or to lessen their ability to perform those duties by assault or intimidation. If convicted, Norton faces up to 20 years in prison. A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty.
“We take all threats to the safety of air travelers very seriously, and we will vigorously enforce the laws intended to protect air travelers and others placed in danger by breaches in flight security,” said Acting U.S. Attorney for the District of New Mexico, Fred J. Federici. “I am also grateful for the actions of those involved in this incident who helped ensure a safe outcome for the travelers on the airplane.”
“The FBI has no tolerance for individuals who interfere with flight operations and endanger the safety of passengers and airline personnel,” said Raul Bujanda, Special Agent in Charge of the FBI’s Albuquerque Field Office. “I am pleased many people aboard the flight felt the same way, judging by the courageous attendants and passengers who sprang into action to restrain this person. As more Americans return to the skies, the FBI reminds travelers that misbehavior on board aircraft will not be tolerated and, if warranted, will be thoroughly investigated and referred for prosecution.”
The FBI investigated this case with assistance from the Albuquerque Police Department. Assistant U.S. Attorneys Paul Mysliwiec and Stephen White are prosecuting the case.
ADT Technician Sentenced for Hacking Home Security FootageRead the Press Release
A home security technician was sentenced today to 52 months in federal prison for repeatedly hacking into customers’ video feeds, announced Acting U.S. Attorney for the Northern District of Prerak Shah.
Telesforo Aviles, a 35-year-old former ADT employee, pleaded guilty to computer fraud in January. He was sentenced today by U.S. District Judge Brantley Starr.
“This deliberate and calculated invasion of privacy is arguably more harmfrul than if I had installed no security system and my house had been burglarized,” a female victim told the court in an impact statement. "This sick and corrupt individual's actions will have a lasting emotional and mental toll on me."
According to plea papers, Mr. Aviles admits that contrary to company policy, he routinely added his personal email address to customers’ “ADT Pulse” accounts, giving himself real-time access to the video feeds from their homes. In some instances, he claimed he needed to add himself temporarily in order to “test” the system; in other instances, he added himself without their knowledge.
Mr. Aviles took note of which homes had attractive women, then repeatedly logged into these customers’ accounts in order to view their footage for sexual gratification, he admits. Plea papers indicate he watched numerous videos of naked women and couples engaging in sexual activity inside their homes.
Over a four and a half year period, Mr. Aviles secretly accessed roughly 200 customer accounts more than 9,600 times without their consent, he admits.
The Federal Bureau of Investigation’s Dallas Field Office conducted the investigation. Assistant U.S. Attorney Sid Mody prosecuted the case.
ACJ Correctional Officer Indicted for Possessing an Unregistered FirearmRead the Press Release
PITTSBURGH, Pa. – A resident of McKees Rocks, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of possession of an unregistered firearm, Acting United States Attorney Stephen R. Kaufman announced today.
The one-count Indictment named Lewis Bagnato, 32, as the sole defendant.
According to the Indictment, on or about May 20, 2021, Bagnato was found to be in possession of an unregistered firearm. The weapon was discovered by the Allegheny County Police Department while executing a search warrant on Bagnato, a correctional officer, for alleged distribution of controlled substances.
The law provides for a maximum total sentence of not more than ten (10) years in prison, and a fine not to exceed $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Benjamin J. Risacher is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, as well as the Allegheny County Police Department, conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
8 charged in fentanyl distribution conspiracyRead the Press Release
DAYTON, Ohio – A federal grand jury has charged eight individuals in a narcotics conspiracy involving at least 14 kilograms of fentanyl destined for resale in Clark, Greene, Hamilton and Montgomery counties.
The indictment was returned on June 8 and unsealed today.
Each of the defendants is charged with conspiring to distribute more than 400 grams of fentanyl, a crime punishable by at least 10 years and up to life in prison.
The 13-count indictment alleges that between December 2020 until June 2021, the defendants used a network of sellers in southern Ohio to distribute kilogram quantities of opioids from supply sources in Mexico and the western United States. The co-conspirators allegedly used a series of properties throughout southern Ohio to process, store, and distribute controlled substances and their resulting cash proceeds.
As part of the conspiracy, one defendant, under the guise of her profession as a truck driver, transported thousands of dollars in cash to sources of drug supply in Mexico and the western United States.
Those charged include:
Name
Also Known As
Age
Residence
Clemente Quezada
38
Fairborn, Ohio
Isai David Navarro-Rivas
Pollo
44
Calexico, Calif.
Juana Elvira-Arrechea Gilbert
60
San Diego
Edson Cruz-Medina
32
Springfield, Ohio
Tiun Todd
Tito Todd
37
Cincinnati
Jonathan Lopez
31
Cincinnati
Mark Turner
42
Xenia, Ohio
Erick Collins
Erick Johnson
36
Cincinnati
“This is a sophisticated, alleged drug trafficking organization that stretched from the Mexican border to southern Ohio. We believe this group, and others who we are working to bring to justice, are responsible for trafficking a significant amount of fentanyl into southern Ohio,” said DEA Special Agent in Charge Keith Martin. “Fentanyl remains a significant threat to this region. DEA and our law enforcement partners are intensifying efforts to go after those who exchange the suffering of thousands for their own personal gain.”
Vipal J. Patel, Acting United States Attorney for the Southern District of Ohio; Keith Martin, Special Agent in Charge, Drug Enforcement Administration (DEA); Ohio State Highway Patrol Superintendent Col. Richard S. Fambro; and Miami County Sheriff Dave Duchak announced the charges. Deputy Criminal Chief Brent G. Tabacchi and Assistant United States Attorney Amy M. Smith are representing the United States in this case.
An indictment is merely an allegation, and all defendants are presumed innocent unless proven guilty in a court of law.
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Tuesday 8 June 2021
Wrongful billing results in $2.6M settlement and 10-year exclusion from federal health care programsRead the Press Release
HOUSTON – A 46-year-old chiropractor and her medical group have agreed to pay in order to resolve allegations of fraudulent billing, announced Acting U.S. Attorney Jennifer B. Lowery.
Suhyun An owns and manages Campbell Medical Group PLLC and Johnson Medical Group PLLC dba Campbell Medical Clinic in the Spring Valley area of Houston.
In March 2021, the United States filed a civil complaint against An alleging she fraudulently obtained over $3.9 million from the Medicare and TRICARE programs by billing for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room for which Medicare pays thousands of dollars An’s staff did not perform surgery. In fact, nurses at the clinic were trained to use the devices in part by watching YouTube videos.
An knew the devices were not billable or recklessly disregarded that fact. She and her staff ignored warnings and specific guidance from Medicare contractors and her own outside billing companies, including warnings that the devices were being labeled as “possible fraud.”
In addition to the $2.6 million financial settlement, An and her medical entities have agreed to a 10-year-period of exclusion from participation in any federal health care programs.
To date, the Southern District of Texas has resolved three other settlements with a Katy anesthesiologist, a Houston pain doctor and a Rockport chiropractor involving similar allegations of false billing.
The Department of Health and Human Services – Office of Inspector General and Defense Criminal Investigation Service conducted the investigation. Assistant U.S. Attorney Brad Gray handled the matter.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Westinghouse Director During Nuclear Debacle to Plead Guilty Thursday to Making False Statement to Federal AuthorityRead the Press Release
Columbia, South Carolina --- Acting United States Attorney M. Rhett DeHart announced that Carl Dean Churchman, Former Westinghouse Electric Corporation Vice President and Project Director of the V.C. Summer Nuclear project, is scheduled to plead guilty on Thursday, June 10, in federal court to making a false statement to an FBI agent during the investigation of the failed nuclear project at the V.C. Summer site. The hearing is scheduled for 10:00 a.m. at the Matthew J. Perry Federal Courthouse, 901 Richland Street, Columbia, before the Honorable Mary Geiger Lewis.
Acting U.S. Attorney DeHart will be available for media questions after the hearing.
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Virginia man sentenced for role in drug trafficking operationRead the Press Release
MARTINSBURG, WEST VIRGINIA – Charles Jackson, of Winchester, Virginia, was sentenced today to 30 months of incarceration for his role in a drug distribution operation, Acting U.S. Attorney Randolph J. Bernard announced.
Jackson, 53, pleaded guilty in March 2021 to one count of “Conspiracy to Possess with Intent to Distribute and to Distribute Eutylone and Cocaine Base.” Jackson admitted to working with others to distribute eutylone and cocaine base from October 2019 to April 2020 in Berkeley and Jefferson Counties.Assistant U.S. Attorney Lara Omps-Botteicher prosecuted the case on behalf of the government. The FBI; the Department of Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms and Explosives; the U.S. Marshals Service; the West Virginia State Police; the Eastern Panhandle Drug & Violent Crimes Task Force, a HIDTA-funded initiative; and the West Virginia Air National Guard investigated.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Chief U.S. District Judge Gina M. Groh presided.
Find the related case here: https://www.justice.gov/usao-ndwv/pr/west-virginia-and-virginia-residents-indicted-drug-trafficking-operation-berkeley-and
USP Lee Inmate Pleads Guilty to Conspiring to Kill Fellow InmateRead the Press Release
ABINGDON, Va. – An inmate at United State Penitentiary- Lee County (USP Lee) pleaded guilty yesterday to conspiring to kill a fellow inmate, attempting to commit murder, and being an inmate in possession of a prohibited object in relation to an assault that occurred in January 2020.
According to court documents, Moris Flores, 32, and four fellow inmates - Carlos Almonte, Julio Chavez, German Hernandez, and Angel Guevara - entered a cell occupied by victim “AZ” on January 15, 2020, with the intent to commit murder. Flores, a member of MS-13, admitted today that he and Guevara entered the prison cell to attack AZ, a member of the Mexican Mafia, while Almonte, Chavez, and Hernandez surrounded the cell and held the door closed, preventing others from interfering with the attack.
Today Flores admitted that inside the cell he and Guevara attacked victim “AZ” with metal shanks and closed fists. Victim “AZ” sustained multiple stab and puncture wounds. Flores faces up to life in prison on the conspiracy to commit murder charge.
“Violence within our federal prison system simply will not be tolerated and we will do all we can to continue to closely partner with the FBI and Bureau of Prisons to investigate and prosecute those who continue to break the law inside such facilities,” Acting U.S. Attorney Bubar said today. “I appreciate the hard work of the investigative team, which brought Flores to justice.”
“The FBI will aggressively investigate and work closely with the United States Attorney’s Office, Western District of Virginia, to prosecute violations of an individual’s civil rights and bring those responsible to justice,” Stanley M. Meador, Special Agent in Charge of the FBI’s Richmond Division said today.
Almonte, Chavez, Hernandez, and Guevara have all been charged for their roles in the assault.
The Federal Bureau of Investigation and the Bureau of Prisons are investigating the case.
Assistant U.S. Attorneys Lena Busscher and Danny Murphy are prosecuting the case.
U.S. Navy Petty Officer Pleads Guilty to Participating in Multi-State Anabolic Steroid Trafficking NetworkRead the Press Release
NORFOLK, Va. – Today, a Jacksonville, Florida man was the sixth and final defendant to enter a guilty plea for his role in a multi-state anabolic steroid conspiracy that operated in multiple states across the country.
According to court documents, law enforcement received information in February 2020 that Erik Eckert, 34, a Petty Officer with the U.S. Navy, was distributing anabolic steroids to an individual in Norfolk. The investigation revealed that Eckert was receiving wholesale quantities of anabolic steroids from a drug trafficking organization run by his co-conspirator, Michael Lambert, who pleaded guilty to drug distribution charges earlier this year. Eckert then sold the steroids to others, including fellow servicemembers.
Eckert is one of six members of the trafficking network, led by Michael Lambert, who have been charged in this case. In early 2020, Lambert and his wife, Laura Lambert, rented a residence in Surry County, where they used raw materials received from China to manufacture liquid and pill-form steroids for wholesale distribution. Lambert’s products were advertised on various underground internet forums and, with the assistance of his co-conspirators, the group shipped wholesale quantities of steroids through the U.S. Postal Service to various states for further distribution.
The organization concealed its activities by using false names and identity information, encrypted messaging platforms, and cyber-currency accounts. The Lamberts used the proceeds from the conspiracy to purchase luxury vehicles, jewelry, and a horse, among other items.
The following defendants involved in the organization have pleaded guilty to the crimes listed below:
Name, Age
Charges
Total Maximum Penalties
Sentencing Date
Michael Steven Lambert, a/k/a “Christopher DeCamillo,” 36
Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances; Possession with the Intent to Distribute; and Felon in Possession of a Firearm
50 years
July 13, 2021
Laura Frances Lambert, a/k/a “Laura Purcell,” 31
Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances; Possession with the Intent to Distribute=
20 years
Sept. 23, 2021
Adam Morin, 35
Making an Unregistered Silencer
10 years
Aug. 31, 2021
Hamdy Sayed, 36
Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances
10 years
Sept. 9, 2021
Clyde Edward Peele, a/k/a “Bo,” 45
Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances
10 years
Oct. 5, 2021
Erik Eckert, 34
Conspiracy to Distribute and Possess with the Intent to Distribute Controlled Substances
10 years
Oct. 12, 2021
Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Division; Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service (USPIS); Gregory Scovel, Special Agent in Charge of the Naval Criminal Investigative Service (NCIS) Norfolk Field Office; Charlie J. Patterson, Special Agent in Charge of the ATF’s Washington Field Division; and Paul Neudigate, Chief of Virginia Beach Police, made the announcement after U.S. District Judge Roderick C. Young accepted the plea.
Special Assistant U.S. Attorney Kristin Bird and Assistant U.S. Attorney Andrew Bosse are prosecuting the case.
This prosecution is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:20-cr-112.
Three Russian Men, One U.S. Citizen Indicted for $11 Million Tax Fraud ConspiracyRead the Press Release
KANSAS CITY, Mo. – Three Russian men and a naturalized U.S. citizen have been indicted by a federal grand jury for their roles in a conspiracy to use stolen identities to file thousands of fraudulent tax returns and send much of the illegal proceeds to their co-conspirators in Russia.
Alexander Pavlov, 37, and Dmitrii Shenke, 35, citizens and residents of Russia; Anton Vikharev, 29, a citizen of Russia; and Stanuslav Lukyantsev, 34, a naturalized U.S. citizen from Kyrgyzstan residing in Philadelphia, Pennsylvania, were charged in a 25-count indictment returned under seal by a federal grand jury in Kansas City, Mo., on Feb. 23, 2021. That indictment was unsealed and made public today upon the arrest and initial court appearance of Lukyantsev in Philadelphia. Vikharev was arrested in Canada on June 4, 2021.
The federal indictment alleges that all four defendants participated in a conspiracy to defraud the United States by filing fraudulent federal income tax returns using stolen identities. The tax returns claimed fraudulent refunds, the indictment says, which were deposited into accounts controlled by the conspirators at several banks in the United States. Co-conspirators allegedly withdrew the proceeds of their fraudulent scheme in cash from ATMs, then deposited the cash into other bank accounts. They allegedly wire transferred much of the money to Pavlov, Shenke, and Vikharev in Russia.
According to the indictment, co-conspirators filed 7,167 false and fraudulent tax returns for the tax years 2011 to 2016. The returns claimed $11,178,361 in fraudulent refunds. The Internal Revenue Service paid at least $2,020,569 in fraudulent tax refunds, of which conspirators wire transferred at least $1,411,082 to bank accounts in Russia.
In addition to the conspiracy, the indictment charges various defendants in 19 counts of wire fraud and five counts of money laundering.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorneys Kathleen D. Mahoney and Mary Kate Butterfield. It was investigated by IRS-Criminal Investigation, the Department of Homeland Security, and the U.S. Postal Inspection Service.
Three Men Arrested on Charges Alleging They Collected Ransom Payments as Part of Cross-Border Kidnapping ConspiracyRead the Press Release
LOS ANGELES – Law enforcement officials have arrested three men allegedly involved in a ring that kidnapped at least six people near the U.S.-Mexico border, later demanding ransom for their release, and often refusing to release them after payments were made.
Edgar Adrian Lemus, 23, of Vernon; Francisco Javier Hernandez Martinez, 20, also of Vernon; and Junior Almendarez Martinez, 23, of Watts, have been charged with one count of money laundering conspiracy. Lemus and Hernandez were arrested Monday evening on a federal criminal complaint. Almendarez was arrested – also on Monday evening – on a separate complaint. The three defendants are expected to make their initial appearances this afternoon in United States District Court in downtown Los Angeles.
According to affidavits filed with the complaints, each of the kidnapping incidents targeted victims who were waiting or attempting to cross the border from Mexico into the United States. In each incident, the kidnappers offered to assist in smuggling the victims across the border from Mexico, but instead would hold them for ransom. The kidnappers insisted on ransom payments from the victim’s family members to release the victim, the affidavit states.
The kidnappers allegedly used specific sections at Walmart and other stores in Southern California to meet with the family members to collect the ransom payments. After the payments were made, however, the kidnappers demanded additional money rather than releasing the victim, according to the affidavit.
Law enforcement has identified Lemus, Hernandez and Almendarez as individuals that either picked up or received ransom payments from the victims’ family members, the affidavit alleges. Specifically, the defendants allegedly match the individuals captured on video surveillance footage during the ransom drops.
Lemus allegedly picked up a $19,000 ransom payment on April 20 at a Walmart store in South Gate from the husband of a victim in Mexicali who had been promised she would be smuggled into the United States, but who had been kidnapped instead. After delivering the payment, the kidnappers allegedly refused to release the victim and demanded additional payment. After the victim’s husband told the kidnappers that they had made him crash his car and he was in the streets begging for more money, they stopped calling him. The victim was released on April 22.
Hernandez allegedly picked up a $15,000 ransom payment on May 26 at a Walmart in Paramount from the husband of another kidnapping victim who was being held in Mexicali. After the ransom payment was made, the kidnappers allegedly demanded an additional $16,000 because the victim purportedly broke a package believed to contain narcotics, the affidavit states. All three allegedly were seen together on May 31 at a shopping center in Pico Rivera for another ransom payment pickup.
Almendarez was observed with Lemus and Hernandez after Lemus picked up a ransom payment at a Target store in South Gate, an affidavit attached to a criminal complaint charging him alleges. From February 9 to June 2, Almendarez allegedly made 10 cash transfers – all but one sent to individuals in Mexico – totaling $14,720 at a MoneyGram store in Lynwood. Several of the transfers were sent to a receiving MoneyGram agent in Mexicali, where the kidnappings occurred, the affidavit alleges.
A complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted, the defendants would face a statutory maximum sentence of 20 years in federal prison.
The FBI investigated this matter. The South Gate Police Department and the Santa Barbara County Sheriff’s Office provided substantial assistance.
Assistant United States Attorneys Jeffrey M. Chemerinsky and Kathy Yu of the Violent and Organized Crime Section are prosecuting this case.
Six Men Sentenced for Meth and Money Laundering ConspiracyRead the Press Release
Acting United States Attorney Dennis Holmes announced that six Defendants convicted of Conspiracy to Distribute a Controlled Substance and Conspiracy to Launder Monetary Instruments, have been sentenced to federal prison terms by U.S. District Judge Karen E. Schreier.
Matthew Thomas Houff, age 25, from Los Angeles, California, was sentenced on June 3, 2021, to 360 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $200.
Dominic Shawn Walberg, age 20, from Sioux Falls, South Dakota, was sentenced on June 3, 2021, to 120 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Sameer Eugene Gentry, age 34, from Pasadena, California, was sentenced on May 17, 2021, to 330 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $200.
Cody Lee Jackson-Duimstra, age 25, from Sioux Falls, South Dakota, was sentenced on October 19, 2020, to 180 months of federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Mycah Jayden Burns, age 31, from Crooks, South Dakota, was sentenced on September 14, 2020, to 168 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Zachary Alanjon Trippler, age 27, from Sioux Falls, South Dakota, was sentenced on August 26, 2020, to 120 months in federal prison, followed by five years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Trippler, Houff, and Burns were indicted on December 17, 2019; Jackson-Duimstra was indicted on January 7, 2020; Gentry was indicted on March 10, 2020; and Walberg was indicated on August 17, 2020.
Trippler pled guilty on June 3, 2020; Houff pled guilty on March 22, 2021; Burns pled guilty on August 17, 2020; Jackson-Duimstra pled guilty on July 20, 2020; Gentry pled guilty on February 24, 2021; and Walberg pled guilty on March 1, 2021.
The conviction stemmed from incidents beginning at an unknown date and continuing until on or about October 6, 2020, in the District of South Dakota and elsewhere, when Defendants knowingly and intentionally combined, conspired, confederated, and agreed together, with others known and unknown, to knowingly and intentionally distribute a mixture and substance containing 500 grams or more of methamphetamine, which is a Scheduled II controlled substance.
Houff and Gentry wired funds derived from the sale of methamphetamine by utilizing various phone applications. They wired the money for the purpose of concealing the fact that the money they were sending was acquired from the sale of the methamphetamine on behalf of the conspiracy.
“Now that Mr. Gentry, Mr. Houff and the other defendants are being held accountable for their involvement in the methamphetamine distribution and money laundering conspiracy, the public is safer,” said Amanda Prestegard, Acting Special Agent in Charge of the IRS Criminal Investigation division in the St. Louis Field Office. “IRS CI, along with our law enforcement partners, and the U.S. Attorney’s Office are committed to dismantling and disrupting drug and money laundering organizations.”
This case was investigated by the U.S. Postal Inspection Service, Sioux Falls Area Drug Task Force, Homeland Security Investigations, and the Internal Revenue Service. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
All Defendants were turned over to the custody of the U.S. Marshals Service following their sentencings.
Sex Offender Sentenced in Federal CourtRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a South Dakota man convicted of failure to register as a sex offender was sentenced on June 7, 2021, by U.S. District Judge Lawrence L. Piersol.
Jeremiah Calvin Rederth, age 39, was sentenced to 15 months in custody, followed by five years of supervised release. He was also ordered to pay $100 to the Federal Crime Victims Fund.
Rederth was indicted for failure to register as a sex offender by a federal grand jury on March 2, 2021. He pled guilty on April 8, 2021.
According to court documents, Rederth was convicted in 2010 of fourth degree rape, a Class 3 Felony, in the 3rd Judicial Circuit, South Dakota. He was sentenced to 10 years, and two years of the sentence were suspended with conditions. As a result of his prior conviction, Rederth is classified as a Tier II sex offender, which requires him to register two times per year and update the sex offender registry within three days of any change of address, school, or place of employment. Rederth knew of his obligation to register as a sex offender and to update his registration but failed to do so.
This case was investigated by the U.S. Marshal’s Service. Assistant U.S. Attorney Jeremy Jehangiri prosecuted the case.
Rederth was immediately turned over to the custody of the U.S. Marshals Service.
Selling 104 Pounds of Methamphetamine Results in 230 Months of Federal Prison TimeRead the Press Release
A man who distributed pounds of methamphetamine was sentenced June 4, 2021, to nearly two decades in federal prison.
Henry Wilke Eilders, age 43, from Cedar Rapids, Iowa, received the prison term after an October 6, 2020 guilty plea to conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine.
During a search of Eilders’s residence in March 2020, officers located over 800 grams of methamphetamine, a firearm, and $63,151 in cash. Eilders later admitted selling 104 pounds of methamphetamine during the previous year.
Eilders was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Eilders was sentenced to 230 months’ imprisonment. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system. Eilders is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Emily K. Nydle and investigated as part of the Organized Crime Drug Enforcement Task Force (OCDETF) program of the United States Department of Justice through a cooperative effort of by the Cedar Rapids Police Department, the Federal Bureau of Investigation, the Iowa Division of Narcotics Enforcement; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Linn County Sheriff’s Office, the Marion Police Department, the Iowa Division of Narcotics Enforcement, and the Drug Enforcement Administration
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-27.
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Rapid City Man Sentenced to Federal Prison on Firearm ChargeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rapid City, South Dakota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced by Jeffrey L. Viken, U.S. District Judge.
Maurice “Mo” Wilford, age 34, was sentenced on June 4, 2021, to seven years in federal prison, followed by three years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
The conviction stems from Wilford, a previously convicted felon, who is prohibited from possessing firearms, unlawfully possessing four rifles and a pistol in August 2017 during a traffic stop at Rapid City.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
The investigation was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the South Dakota Division of Criminal Investigation, and the Rapid City Police Department. Assistant U.S. Attorney Eric Kelderman prosecuted the case.
Wilford was immediately remanded to the custody of the U.S. Marshals Service.
Project Monitor and Abatement Supervisor Plead Guilty to Conspiring to Violate Asbestos RegulationsRead the Press Release
Two individuals pleaded guilty today to conspiring to violate federal and New York State regulations intended to prevent human exposure to asbestos.
According to court documents, between 2015 and 2016, Kristofer Landell, 36, and Madeline Alonge, 27, both permitted, and in some cases directed, abatement workers to use illegal methods to remove asbestos from a former IBM site in Kingston, now known as TechCity. The facility in question contained over 400,000 square feet of regulated asbestos-containing material (RACM), as well as an additional 6,000 linear feet of RACM pipe wrap. Alonge, then a supervisor for the asbestos abatement company operating on the TechCity site, oversaw multiple crews of abatement workers who were illegally removing asbestos. Landell held a New York license to work as a person responsible for ensuring compliance with federal and state asbestos regulations and had been hired as the “project monitor” on site. Landell was also responsible for conducting air monitoring to ensure that asbestos fibers were not released into the surrounding environment.
According to court documents, Alonge and Landell failed to fulfill their responsibilities. As a result, New York State issued numerous notices of violation (NOVs). Notwithstanding those NOVs, A2 owner Stephanie Laskin, as well as abatement supervisors Alonge and Gunay Yakup, instructed workers to remove asbestos illegally. For example, they removed RACM dry, produced visible emissions of asbestos, and directed work to proceed in areas that were not properly sealed off with “critical barriers,” which are designed to prevent asbestos emissions outside a work area. Their co‑conspirator Landell not only permitted such practices to continue, but also failed to conduct requisite air monitoring, falsified compliance records, and failed to properly conduct “final air clearances,” as required by New York regulations. Final air clearances are intended to ensure areas are safe to be reinhabited following abatement activities. All of the defendants charged as co-conspirators had received training in proper asbestos removal and regulatory requirements.
“The pleas entered today are especially important because they address not only criminal violations of the Clean Air Act, but also the criminal circumvention of the third party project and air monitor systems designed to ensure compliance,” said Acting Assistant Attorney General Jean E. Williams for the Justice Department’s Environment and Natural Resources Division (ENRD). “I would like to take this opportunity to thank New York State inspectors for their support of this prosecution.”
“Today’s plea agreements again reflect the serious consequences of the failure of these defendants to comply with EPA’s regulations that protect public health from asbestos, a dangerous human carcinogen,” said Special Agent in Charge Tyler Amon of the Environmental Protection Agency’s (EPA) Criminal Investigation Division. “These criminal acts endanger workers and the community and cost the taxpayers substantial monies in cleanup costs. EPA commends the Justice Department prosecutors for vigorously prosecuting this environmental crime case.”
Because of the defendants’ and others’ actions, asbestos was released into the surrounding environment, as admitted by co-defendant Roger Osterhoudt. Although not charged with conspiracy, Osterhoudt took responsibility last month for his criminal negligence in re-hiring A2 Environmental Services after having been made aware of numerous NOVs and other evidence of illegal practices. According to Osterhoudt’s plea, his negligence caused a release of asbestos into the environment that placed others at an increased risk of death or serious bodily injury. Asbestos has been determined to cause lung cancer, asbestosis, and mesothelioma, an invariably fatal disease. The EPA has determined that there is no safe level of exposure to asbestos.
Landell and Alonge entered guilty pleas to violating the federal conspiracy statute before Hon. Judge McAvoy in Binghamton, New York. Sentencing is currently scheduled for Oct. 6, and Oct. 19, respectively. Both individuals face up to five years in prison, three years supervised release, a $250,000 criminal fine, and may be held liable for providing restitution to any victims.
These charges are related to conspiracy pleas previously entered by Laskin, who owned A2 Environmental Solutions, and Yakup, who — like Alonge — worked for Laskin as an abatement supervisor.
Special agents of the EPA and individuals from the New York Departments of Labor and Environmental Conservation investigated the case.
Todd W. Gleason and Gary N. Donner of ENRD’s Environmental Crimes Section prosecuted the case with the assistance of paralegal Chloe Harris.
Previously Convicted Sex Offender Sentenced to 10 Years in Federal Prison for Possession of Child PornographyRead the Press Release
Greenbelt, Maryland - U.S. District Judge George J. Hazel sentenced Christopher Dubry, age 25, of La Plata, Maryland, to 10 years in federal prison, followed by lifetime supervised release, for possession of child pornography. Judge Hazel also ordered that, upon his release from prison, Dubry must continue to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA).
The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police.
Dubry was convicted for four counts of attempted sex offense fourth degree and five counts of possession of child pornography in November 2018. He was sentenced to a total of three years in prison, followed by five years of supervised probation. Dubry was registered as a Tier I registered sex offender in the State of Maryland.
According to his guilty plea, in February 2019, Dubry accessed child pornography while on work release from the Charles County Detention Center.
As detailed in his plea agreement, on August 26, 2019, an online file storage application sent a cybertipline report to the National Center for Missing and Exploited Children. The report stated that the user account associated with Dubry’s email address uploaded eleven files to the account, including two video files depicting sexual abuse of prepubescent children. The IP address used to access the user account four times on February 14, 2019 between 9:08 p.m. and 9:10 p.m. related back to a cell phone registered to Dubry. Dubry’s account contained approximately 33 images and 33 videos of child pornography. Dubry admitted that from April 2019 to September 12, 2019, he accessed child pornography on his cell phone on multiple occasions while on work release.
A subsequent forensic analysis of Dubry’s cell phone revealed approximately 250 images and 3 videos of child pornography, including the sexual abuse of prepubescent children. At least one video depicts sadistic or masochistic conduct. In total, Dubry received and possessed the equivalent of 600 images of child pornography on his cell phone.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
For more information about the Maryland U.S. Attorney’s Office’s priorities regarding Project Safe Childhood, visit https://www.justice.gov/usao-md/project-safe-childhood. For more USAO-MD information about internet safety for children, visit https://www.justice.gov/usao-md/community-outreach.
Acting United States Attorney Jonathan F. Lenzner commended the HSI and the Maryland State Police for their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorney Kelly O. Hayes who prosecuted the federal case.
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