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25 June 2021
Wagner Man Convicted of Abusive Sexual Contact of a Child Under 12 Years OldRead the Press Release
Acting United States Attorney Dennis Holmes announced that Frank Sanchez, age 66, of Wagner, South Dakota, was found guilty of one count of Abusive Sexual Contact, and was acquitted of one count of Aggravated Sexual Abuse and one count of Abusive Sexual Contact as a result of a federal jury trial in Sioux Falls, South Dakota.
The charge of conviction carries a maximum penalty of 10 years in federal prison and/or a $250,000 fine, up to life of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
Sanchez was indicted by a federal grand jury on December 3, 2019.
The conviction stems from an incident between June 1, 2006, and September 1, 2006, when Sanchez engaged in sexual contact with a female minor who had not attained the age of 12 years. The incident occurred while they were living with relatives in the Marty, South Dakota, area.
This case was investigated by the Federal Bureau of Investigation. Assistant U.S. Attorney Ann M. Hoffman prosecuted the case.
A presentence investigation was ordered. The defendant was remanded to the custody of the U.S. Marshals Service.
Virginia Man Sentenced for Producing Images of Child Sex AbuseRead the Press Release
A Virginia man was sentenced today in the Eastern District of Virginia to 19 years in prison for the production and distribution of child pornography.
Kevin Hewlett, 36, of Bluemont, was convicted by a federal jury on Oct. 8, 2020, of producing and distributing child pornography. According to court documents and evidence presented at trial, Hewlett was a farrier, a craftsman who trims and shoes horses’ hooves. He was hired to be the farrier to a minor girl’s horses. Hewlett began communicating with the minor regularly through text messages and social media applications. Then in August 2018, Hewlett recorded himself engaging in sexually explicit conduct with the minor in his bedroom. A few months later, in January 2019, Hewlett sent the minor the recording.
Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division, Acting U.S. Attorney Raj Parekh of the Eastern District of Virginia and Assistant Director in Charge Steven M. D’Antuono of the FBI Washington Field Office made the announcement.
This case was investigated by the Loudoun County Sheriff’s Office and the FBI’s Washington Field Office’s Child Exploitation and Human Trafficking Task force, which is composed of FBI agents along with local, state and federal partners.
Trial Attorney Gwendelynn Bills of the Criminal Division’s Child Exploitation and Obscenity Section and former Assistant U.S. Attorney Nathaniel Smith III of the Eastern District of Virginia prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Virginia Man Sentenced for Child Exploitation OffensesRead the Press Release
ALEXANDRIA, Va. – A Bluemont man was sentenced today to 19 years in prison for the production and distribution of child pornography.
According to court documents, Kevin Hewlett, 36, was convicted by a federal jury on October 8, 2020, of producing and distributing child pornography. According to court documents and evidence presented at trial, Hewlett was a farrier, a craftsman who trims and shoes horses’ hooves. He was hired to be the farrier to a minor girl’s horses. Hewlett began communicating with the minor regularly through text messages and social media applications. Then in August 2018, Hewlett recorded himself engaging in sexually explicit conduct with the minor in his bedroom. A few months later, in January 2019, Hewlett sent the minor the recording.
Acting U.S. Attorney Raj Parekh of the Eastern District of Virginia; Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; and Assistant Director in Charge Steven M. D’Antuono of the FBI Washington Field Office made the announcement.
This case was investigated by the Loudoun County Sheriff’s Office and the FBI’s Washington Field Office’s Child Exploitation and Human Trafficking Task force, which is composed of FBI agents along with local, state, and federal partners.
Former Assistant U.S. Attorney Nathaniel Smith III and Trial Attorney Gwendelynn Bills of the Criminal Division’s Child Exploitation and Obscenity Section prosecuted the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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. 1:20-cr-64.
U.S. Attorney Announces Extradition and Guilty Plea of Israeli Securities Trader for Participating in A Global Insider Trading RingRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, and William F. Sweeney Jr., the Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the unsealing today of a 15-count superseding indictment charging DOV MALNIK and TOMER FEINGOLD with offenses relating to their roles as securities traders in a wide-ranging international insider trading ring who made millions of dollars in illicit profits by trading based on misappropriated inside information. MALNIK, a citizen of Israel and Lithuania, was arrested in Switzerland on October 7, 2020, was extradited on June 10, 2021, from Switzerland, and pled guilty today before U.S. Magistrate Judge Stewart D. Aaron. FEINGOLD remains at large. The case is assigned to U.S. District Judge Victor Marrero.
Manhattan U.S. Attorney Audrey Strauss said: “Today’s charges represent another step in our Office’s pursuit of transnational insider trading. Our Office, along with the FBI and our other law enforcement partners, will vigorously protect the integrity of our nation’s capital markets, regardless of where in the world the inside information is stolen and where tips are illegally passed.”
FBI Assistant Director William F. Sweeney Jr. said: “Whether it happens inside or outside our borders, trading securities based on misappropriated insider information that affects our financial markets in any way will ultimately lead to federal criminal charges here in the U.S. Protecting the integrity of our markets from threats both at home and abroad remains a top priority of our white collar crime division.”
As alleged in the Indictment unsealed today in Manhattan federal court:[1]
DOV MALNIK, a citizen of Israel and Lithuania, and TOMER FEINGOLD, a citizen of Israel, were business partners and securities traders who traded in their own names and managed various companies and investment funds. From at least 2013 through 2017, MALNIK and FEINGOLD participated in a large-scale, international insider trading ring. Through the scheme, MALNIK and FEINGOLD received material, nonpublic information (“MNPI”) concerning acquisitions and potential acquisitions of publicly traded companies from a securities trader who resided in Switzerland (“CC-1”). MALNIK and FEINGOLD both knew that this MNPI was obtained by CC-1 directly and indirectly from individuals who were insiders at publicly traded companies and investment banks. These insiders breached their fiduciary duties and shared MNPI with others, including CC-1, in exchange for compensation, who in turn shared that information with MALNIK and FEINGOLD. MALNIK and FEINGOLD used that information to place timely, profitable securities trades resulting in millions of dollars of profits.
MALNIK and FEINGOLD began obtaining MNPI from CC-1 in approximately 2013. During that summer, CC-1 met MALNIK and FEINGOLD and explained to them that CC-1 had numerous sources of MNPI and CC-1 could share that MNPI with MALNIK and FEINGOLD. In return, MALNIK and FEINGOLD agreed to compensate CC-1 by buying additional securities on CC-1’s behalf and transmitting the profits from those trades to CC-1. Soon after meeting MALNIK and FEINGOLD, CC-1 explained to them the importance of CC-1 being paid CC-1’s share of the profits in cash because CC-1 needed cash to pay his sources of MNPI. MALNIK and FEINGOLD agreed to this arrangement and obtained MNPI about numerous companies from CC-1. Specifically, CC-1 obtained MNPI which was subsequently shared with MALNIK and FEINGOLD from numerous sources, including MNPI that was stolen by investment bank insiders from two different global investment banks.
Throughout the conspiracy, MALNIK and FEINGOLD, as well as the investment bank insiders, CC-1, and others involved in this scheme, took numerous steps to conceal their unlawful enterprise, including through the use of encrypted messaging applications and multiple unregistered “burner” cellphones to communicate with each other. MALNIK and FEINGOLD also attempted to avoid detection by engaging in securities trading through numerous offshore corporate entities. For example, in 2011, MALNIK incorporated a British Virgin Islands entity based in Geneva, Switzerland, and subsequently opened trading and/or bank accounts in that shell company’s name. During the insider trading scheme, MALNIK and FEINGOLD’s offshore companies traded in the stocks of companies about which MALNIK and FEINGOLD had received MNPI – often with multiple of those companies trading in the same stock and on the same days.
MALNIK and FEINGOLD also used these entities to transfer a portion of the profits of their illegal insider trading to CC-1 as per MALNIK and FEINGOLD’s agreement with CC-1. At first, MALNIK and FEINGOLD instructed their banks to send the funds to an account at a financial institution in Switzerland that agreed to hold the funds for the benefit of CC-1. After a short time, however, MALNIK and FEINGOLD’s banks questioned the purpose of the transactions and requested justification for the transfer of funds. Accordingly, in order to deceive the banks, MALNIK, FEINGOLD, and CC-1 agreed that CC-1 would issue fake invoices for consulting services to MALNIK and FEINGOLD’s various offshore entities. The offshore entities would then send the funds to CC-1’s account pursuant to the fake invoices.
To date, the investigation has also resulted in the conviction of other individuals who were involved in this global insider trading scheme, including investment banker Bryan Cohen, who pled guilty on January 7, 2020, to illegally passing MNPI related to his bank’s corporate clients, and entrepreneur and pharmaceutical company executive Telemaque Lavdias, who was convicted on January 15, 2020, of illegally passing MNPI related to Ariad Pharmaceuticals, Inc.
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MALNIK, 43, an Israeli and Lithuanian citizen and resident of Switzerland, pled guilty to one count of securities fraud, which carries a maximum sentence of 20 years in prison. Sentencing before Judge Marrero will take place on a date to be determined.
FEINGOLD, 42, an Israeli citizen, is charged with conspiracy to commit securities fraud, which carries a maximum sentence of five years in prison; conspiracy to commit securities fraud and wire fraud, which carries a maximum sentence of 25 years in prison; securities fraud under Title 15, which carries a maximum sentence of 20 years in prison; tender offer fraud, which carries a maximum sentence of 20 years in prison; wire fraud, which carries a maximum sentence of 20 years in prison; securities fraud under Title 18, which carries a maximum sentence of 25 years in prison; and money laundering, which carries a maximum sentence of 20 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Ms. Strauss praised the investigative work of the FBI and also thanked the Securities and Exchange Commission for its assistance. Ms. Strauss also thanked the Office of International Affairs of the Department of Justice’s Criminal Division and the Swiss Federal Office of Justice for their assistance in the arrest and extradition of MALNIK.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorneys Richard Cooper and Daniel Tracer are in charge of the prosecution.
[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.
Two men sentenced for trafficking over 400 kilograms of methamphetamineRead the Press Release
ATLANTA - Juan Carlos Torres-Carranza and Luis Pineda-Soto have been sentenced for conspiracy to possess with intent to distribute 418.95 kilograms of methamphetamine.
"The trafficking of large amounts of methamphetamine into and through the Northern District of Georgia continues to be a problem," said Acting U.S. Attorney Kurt R. Erskine. "We and our law enforcement partners are using every tool available to combat this scourge, which breeds violent crime, and presents a major public health risk."
"This is a significant amount of poison that thankfully won’t reach the streets of our communities and continue to destroy lives," said Special Agent in Charge Katrina W. Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “Cases like this are only possible because of the hard work and dedication of our agents, officers and law enforcement partners, and I am proud of their efforts.”
According to Acting U.S. Attorney Erskine, the charges and other information presented in court: On June 1, 2020, Homeland Security Investigations (HSI) agents began conducting visual surveillance at a warehouse located in McDonough, Georgia. The following day, as HSI agents continued their surveillance, they saw a semi-tractor trailer arrive at the warehouse. The trailer was then unhooked and the semi-tractor that was pulling the trailer drove off. According to Homeland Security databases, the trailer was taken across the border into the United States from Mexico on May 20, 2020.
Agents continued to perform surveillance on the warehouse and the trailer into the late evening and early morning hours of June 3, 2020. At approximately 11:30 p.m., Pineda-Soto and Torres-Carranza, driving a pickup truck, and another individual driving a car arrived at the warehouse. Shortly after arriving, all three individuals began working on the trailer over the next several hours, climbing on the top of the trailer, using power tools to remove panels from the top of the trailer, and dropping bundles of drugs from the top of the trailer to the ground. This process continued until 4:45 a.m. on June 3, 2020.
Before sunrise, the three individuals left the warehouse. Agents followed both vehicles until they split up and went in different directions. Agents following the pickup truck requested the assistance of the Clayton County Police Department who conducted a traffic stop. During a search of the truck, law enforcement found multiple black trash bags in the truck bed containing a total of 77 bundles of narcotics consistent with the bundles agents witnessed being removed from the trailer. Several of the bundles had cords attached to them, consistent with narcotics that are hidden in hard to reach voids found in semi-trailers, which are used as a method to retrieve the narcotics. In total, the bundles weighed 52 kilograms.
Simultaneously, agents followed the individual in the car to a house located in Ellenwood, Georgia. Once that individual arrived at the house, agents watched as he pulled into the garage, staying at the house for approximately ten minutes, long enough to unload anything stored in the trunk of the vehicle. HSI subsequently obtained a federal search warrant for the house and searched it on the afternoon of June 3, 2020. It was unoccupied and contained no furniture. However, in a closet near the front door, law enforcement found 66 black bundles of methamphetamine similar to the bundles found during the stop of the pickup truck. The bundles weighed approximately 51.45 kilograms.
HSI also obtained a federal search warrant for the trailer located at the warehouse. It was searched on June 4, 2020. Inside hidden compartments in the roof, law enforcement found 446 bundles of methamphetamine similar to those previously seized, weighing 315.5 kilograms. In all, between the three searches, HSI seized 418.95 kilograms of methamphetamine
Juan Carlos Torres-Carranza, 28, and Luis Pineda-Soto, 26, both of Michoacan, Mexico, who were both present in the United States illegally at the time of their crimes, were convicted of conspiracy to possess a controlled substance with the intent to distribute on March 22, 2021 after pleading guilty. U.S. District Judge Steve C. Jones sentenced each of them on June 22, 2021, to five years, three months in prison for their role in the conspiracy, followed by five years of supervised release.
Assistant U.S. Attorney Miguel R. Acosta prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
ATLANTA - Juan Carlos Torres-Carranza and Luis Pineda-Soto have been sentenced for conspiracy to possess with intent to distribute 418.95 kilograms of methamphetamine.
“The trafficking of large amounts of methamphetamine into and through the Northern District of Georgia continues to be a problem,” said Acting U.S. Attorney Kurt R. Erskine. “We and our law enforcement partners are using every tool available to combat this scourge, which breeds violent crime, and presents a major public health risk.”
“This is a significant amount of poison that thankfully won’t reach the streets of our communities and continue to destroy lives,” said Special Agent in Charge Katrina W. Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “Cases like this are only possible because of the hard work and dedication of our agents, officers and law enforcement partners, and I am proud of their efforts.”
According to Acting U.S. Attorney Erskine, the charges and other information presented in court: On June 1, 2020, Homeland Security Investigations (HSI) agents began conducting visual surveillance at a warehouse located in McDonough, Georgia. The following day, as HSI agents continued their surveillance, they saw a semi-tractor trailer arrive at the warehouse. The trailer was then unhooked and the semi-tractor that was pulling the trailer drove off. According to Homeland Security databases, the trailer was taken across the border into the United States from Mexico on May 20, 2020.
Agents continued to perform surveillance on the warehouse and the trailer into the late evening and early morning hours of June 3, 2020. At approximately 11:30 p.m., Pineda-Soto and Torres-Carranza, driving a pickup truck, and another individual driving a car arrived at the warehouse. Shortly after arriving, all three individuals began working on the trailer over the next several hours, climbing on the top of the trailer, using power tools to remove panels from the top of the trailer, and dropping bundles of drugs from the top of the trailer to the ground. This process continued until 4:45 a.m. on June 3, 2020.
Before sunrise, the three individuals left the warehouse. Agents followed both vehicles until they split up and went in different directions. Agents following the pickup truck requested the assistance of the Clayton County Police Department who conducted a traffic stop. During a search of the truck, law enforcement found multiple black trash bags in the truck bed containing a total of 77 bundles of narcotics consistent with the bundles agents witnessed being removed from the trailer. Several of the bundles had cords attached to them, consistent with narcotics that are hidden in hard to reach voids found in semi-trailers, which are used as a method to retrieve the narcotics. In total, the bundles weighed 52 kilograms.
Simultaneously, agents followed the individual in the car to a house located in Ellenwood, Georgia. Once that individual arrived at the house, agents watched as he pulled into the garage, staying at the house for approximately ten minutes, long enough to unload anything stored in the trunk of the vehicle. HSI subsequently obtained a federal search warrant for the house and searched it on the afternoon of June 3, 2020. It was unoccupied and contained no furniture. However, in a closet near the front door, law enforcement found 66 black bundles of methamphetamine similar to the bundles found during the stop of the pickup truck. The bundles weighed approximately 51.45 kilograms.
HSI also obtained a federal search warrant for the trailer located at the warehouse. It was searched on June 4, 2020. Inside hidden compartments in the roof, law enforcement found 446 bundles of methamphetamine similar to those previously seized, weighing 315.5 kilograms. In all, between the three searches, HSI seized 418.95 kilograms of methamphetamine
Juan Carlos Torres-Carranza, 28, and Luis Pineda-Soto, 26, both of Michoacan, Mexico, who were both present in the United States illegally at the time of their crimes, were convicted of conspiracy to possess a controlled substance with the intent to distribute on March 22, 2021 after pleading guilty. U.S. District Judge Steve C. Jones sentenced each of them on June 22, 2021, to five years, three months in prison for their role in the conspiracy, followed by five years of supervised release.
Assistant U.S. Attorney Miguel R. Acosta prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Two Manatee County Fentanyl Dealers Sentenced to Federal PrisonRead the Press Release
Tampa, Florida – U.S. District Judge Kathryn Kimball Mizelle today sentenced Raphael Simean Bennett, Jr. (35, Bradenton) and Andre Renodd Ackerman, Sr. (34, Palmetto) for their respective roles in a conspiracy to distribute fentanyl. Bennett was sentenced to 11 years in federal prison and Ackerman was sentenced to 30 months in federal prison.
Bennett had pleaded guilty on March 10, 2021, to one count of conspiracy to distribute fentanyl, four counts of distribution of fentanyl, and one count of possession with the intent to distribute fentanyl. Ackerman had pleaded guilty on March 11, 2021, to one count of conspiracy to distribute fentanyl and one count of distribution of fentanyl.
According to court documents, on August 14, 2019, Bennett and Ackerman sold one ounce of fentanyl to a confidential informant (CI) in Bradenton. On four other occasions, Bennett sold multiple ounces of fentanyl to the CI. On September 5, 2019, law enforcement officers executed a search warrant at Bennett’s residence and seized 626 grams of cocaine and 8 grams of fentanyl. On July 9, 2020, a deputy from the Manatee County Sheriff’s Office lawfully searched Bennett’s car and found 8 grams of fentanyl, 13 grams of heroin, and 16 grams of cocaine.
This case was investigated by the Federal Bureau of Investigation, the Florida Department of Law Enforcement, the Bradenton Police Department, and the Manatee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney Christopher F. Murray.
Two Carjackers Who Beat 77-Year-Old Woman in Trujillo Alto Sentenced to 18 and 23 Years in PrisonRead the Press Release
SAN JUAN, Puerto Rico – U.S. District Court Judge Aida Delgado-Colón sentenced Eliezer Rosario-Ramos to 23 years in prison for the carjacking of a 77-year-old woman, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. Co-defendant Orlando Miguel Martínez-Ramos was previously sentenced to 18 years in prison.
On August 15, 2018 around 9 PM, brothers Orlando Martínez-Ramos and Eliezer Rosario-Ramos broke into the house of a 77-year-old woman in Trujillo Alto. While she was watching television, the brothers threw a cloth over the victim’s head and beat her with a frying pan. After taking the victim’s debit cards, cellphone and television, the brothers stole her Toyota Corolla. The defendants withdrew hundreds of dollars from the victim’s bank account. The following day, agents from the Puerto Rico Police Bureau arrested Rosario-Ramos and Martínez-Ramos in the stolen vehicle while they were driving in Condado.
The Federal Bureau of Investigation was in charge of the investigation. Assistant United States Attorney Jonathan Gottfried prosecuted the case.
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Texas Man Sentenced in Heroin and Methamphetamine Smuggling CaseRead the Press Release
United States Attorney Sean P. Costello of the Southern District of Alabama announced that Francisco Jesus Ramirez, 26, of Brownsville, Texas, was sentenced today for his participation in a conspiracy to possess with intent to distribute 30 kilograms of methamphetamine and five kilograms of heroin. Ramirez pled guilty to the charges in March of 2021.
According to the documents filed in connection with his guilty plea, Ramirez was identified following a traffic stop in January of 2020 on I-65 in Mobile County during which 30 kilograms of methamphetamine and five kilograms of heroin were seized from a co-conspirator driving Ramirez’s truck. The drugs were destined for delivery in Atlanta, Georgia, and investigators attempted to make a controlled delivery of the drugs at that destination. Ramirez was in telephone contact with the driver of the load during the trip and participated in the arrangements for the delivery of the drugs. A juvenile male picked up with heroin and was stopped and identified by authorities in Atlanta. No delivery of the methamphetamine could be accomplished following the seizure of the heroin. The truck driver assisted the investigators and Homeland Security agents were able to identify Ramirez as a participant in the scheme.
Chief United States District Court Judge Kristi K. Dubose imposed a 72-month sentence in Ramirez’s case, which would be followed by a five-year term of supervised release. Ramirez was also ordered to pay $100 in mandatory special assessments. No fine was imposed.
The case was investigated by the Saraland Police Department, the Mobile County Sheriff’s Office, and the Department of Homeland Security Investigations. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
St. Louis man pleads guilty to cocaine, fentanyl, and weapon chargesRead the Press Release
ST. LOUIS – Richard Lawrence Davis, 38, of St. Louis, Missouri, appeared before United States District Court Judge Stephen R. Clark on today’s date and pleaded guilty to conspiracy to distribute cocaine, possession with intent to distribute cocaine and fentanyl, and being a felon in possession of a firearm.
In September of 2019, investigators identified Davis as a distributor of narcotics, including cocaine and fentanyl. Investigators then initiated a surveillance of Davis’s activities in and around the 700 block of Greenway Manor Drive in Florissant, Missouri.
While conducting surveillance on September 25, investigators observed a narcotics transaction conducted by Davis, and subsequently seized over a half-kilogram of cocaine from Davis’s customer.
Investigators resumed their surveillance of Davis, where they observed other transactions. Investigators approached Davis, who fled and tried to discard approximately 80 grams of cocaine. Davis was ultimately apprehended. Investigators searched the apartment where Davis was storing his narcotics. Law enforcement officers seized over two kilograms of cocaine belonging to Davis, along with approximately one-half kilogram of fentanyl. Investigators also located and seized a Glock, .40 caliber, semi-automatic handgun and a Hi-Point, .45 caliber, semi-automatic handgun belonging to Davis, as well as a digital scale and wrappings for kilogram-amounts or “bricks” of cocaine.
Judge Clark has set sentencing for September 30, 2021. Davis faces a mandatory minimum term of imprisonment of ten years and a maximum term of imprisonment of life in the Federal Bureau of Prisons.
Davis was also on federal supervised release for previous federal drug and weapon offenses at the time of his above-described arrest.
This case was investigated by the Drug Enforcement Administration, with assistance from the Florissant Police Department, the Bridgeton Police Department, the St. Louis Metropolitan Police Department, and the St. Charles Police Department. Assistant United States Attorneys Lisa Yemm and Ricardo Dixon are handling the case.
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St. Louis Man Sentenced to Four Years for Unlawful Possession of a FirearmRead the Press Release
Acting United States Attorney Jan Sharp announced that Drake L. Banks, Sr., age 30, of St. Louis, Missouri, was sentenced today to a 48-month term of imprisonment, to be followed by 3 years of supervised release, following his conviction for being an unlawful user of controlled substances in possession of a firearm. There is no parole in the federal system. Chief United States District Judge John M. Gerrard presided over this case, including the trial and sentencing.
A federal jury in Lincoln, Nebraska, returned a guilty verdict against Banks on March 3, 2021. The evidence at trial established that Banks and Zachary R. Macomber, age 29, of Annapolis, Missouri, were traveling eastbound on Interstate 80 a few miles west of Lincoln on September 19, 2019. They passed a police officer, who proceeded to stop them for following another vehicle too closely and cutting off a semi-truck. The officer soon discovered that there was marijuana inside the vehicle. Banks and Macomber were seated in the back of the patrol vehicle while the officer conducted a search of the vehicle. Methamphetamine, marijuana, and evidence of marijuana use were found in the front seats of the rental vehicle. In the trunk of the vehicle, the officer found the seven firearms listed below, numerous magazines for the firearms, and ammunition. Two of the Glock handguns were found to be loaded at the time of the traffic stop. The firearms included:
- a Palmetto State Armory PA-15, multi caliber pistol,
- a Kel-Tec PLR-16, 5.56 mm caliber pistol,
- a AA Arms AP9, 9 mm caliber pistol,
- a Glock 19, 9 mm caliber pistol,
- a Glock 22, .40 caliber pistol,
- a Glock 17, 9 mm caliber pistol, and
- a Glock 21, .45 caliber pistol.
While seated in the back of the patrol car, and while the officer was searching the rental car, the two defendants made considerable efforts to escape, including kicking the center divider and opening a sliding door on the center divider. At one point, Banks was heard asking Macomber something to the effect of ‘if he had one on him?’ At an earlier hearing, the officer testified that he understood Banks to be asking Macomber if Macomber was carrying a firearm.
Macomber pleaded guilty on August 6, 2020, to being a felon in possession of firearms. On November 6, 2020, he was sentenced by Chief Judge Gerrard to serve a 52-month term of imprisonment, to be followed by 3 years of supervised release.
This case was investigated by the Lincoln Police Department, the Lancaster County Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. This case was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Slidell Woman Pleads Guilty to Conspiracy to Alter Postal Money OrdersRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that CHASITY DOTEY a/k/a “CHASITY PINES”, age 27, of Slidell, Louisiana, pleaded guilty on June 24, 2021 to one count of conspiracy to alter U.S. Postal Money Orders before United States District Court Judge Mary Ann Vial Lemmon today.
According to court records, DOTEY cashed two altered U.S. Postal Money Orders in the amounts of $530.00 each at a U.S. Post Office located in Slidell, Louisiana. The two Postal Money Orders had been purchased in California for minimal value and then altered to reflect a higher amount by unknown co-conspirators.
Sentencing is scheduled for October 21, 2021. At that time, DOTEY faces up to five years in prison, up to $250,000 in fines, and up to three years of supervised release. There is also a $100 mandatory special assessment due after conviction.
U.S. Attorney Evans praised the work of the United States Postal Inspection Service in investigating this matter. Assistant U.S. Attorney Edward J. Rivera is in charge of the prosecution.
Rosebud Man Indicted on Drug and Firearm ChargesRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Conspiracy to Distribute Cocaine and Marijuana and Prohibited Person in Possession of Firearm.
Blade Ryan Marshall, age 24, was indicted on October 7, 2020. He appeared before U.S. Magistrate Judge Mark A. Moreno on June 21, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $1,000,000 fine, three years of supervised release, and $300 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between January 2017 and March 2018, the Defendant conspired with others to distribute cocaine and marijuana on the Rosebud Indian Reservation. The Indictment further alleges that on January 16, 2018, the Defendant, who is a drug user, was in possession of several firearms.
The charges are merely accusations and Marshall is presumed innocent until and unless proven guilty.
Drug trafficking is an inherently violent activity. Firearms are tools of the trade for drug dealers. It is common to find drug traffickers armed with guns in order to protect their illegal drug product and cash, and enforce their illegal operations.
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 is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force, the Rosebud Sioux Tribe Law Enforcement Services, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Marshall was released on bond pending trial. A trial date has not been set.
Repeat Fraudster Sentenced for Embezzling more than $1.4 Million from Non-Profit EmployersRead the Press Release
BOSTON – A Canton woman was sentenced yesterday in connection with two fraud and embezzlement schemes that netted more than $1.4 million from her non-profit employers.
Nicole Lescarbeau, a/k/a “Nicole Coulibaly,” 53, was sentenced by U.S. District Court Judge Richard G. Stearns to six years in prison, five years of supervised release and was ordered to pay restitution.
In December 2019, Lescarbeau pleaded guilty to wire fraud, bank fraud and aggravated identity theft in connection with an embezzlement scheme. In December 2020, Lescarbeau was charged again with a separate embezzlement scheme and agreed to plead guilty on May 3, 2021 to wire fraud and bank fraud.
From August 2013 until her termination in January 2018, Lescarbeau stole funds from her employer, a Boston-based non-profit, for her personal use. Specifically, Lescarbeau wrote unauthorized checks to herself using the non-profit’s accounting software and affixed the signatures of the authorized signers on the account. In addition, Lescarbeau repeatedly logged on to the non-profit’s online bank accounts and directed unauthorized payments and transfers for her personal benefit. Lescarbeau also made unauthorized personal charges using the non-profit’s business credit cards. In total, Lescarbeau embezzled more than $1.3 million from the non-profit organization.
While out on pre-trial release for the prior case, Lescarbeau was hired as an administrator at a small, Brookline-based non-profit organization. Lescarbeau did not tell the non-profit about her pending indictment and applied for the position using her married name in an effort to conceal the prior charges. From August 2019 until February 2020, Lescarbeau used her position to steal funds from the non-profit for her personal use by diverting checks to herself that the non-profit had issued for legitimate business and depositing them into her personal bank account. Lescarbeau also opened a PayPal account in the non-profit’s name to make unauthorized wire transfers from the non-profit’s bank account and made transfers directly from the non-profit’s bank account to pay for her personal rent. In total, as a result of this scheme, Lescarbeau embezzled nearly $57,000 from the non-profit’s bank account.
Acting United States Attorney Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement. Assistant United States Attorney Justin D. O’Connell of Mendell’s Securities, Financial & Cyber Fraud Unit prosecuted the case.
Prison Health Care Provider Naphcare Agrees to Settle False Claims Act AllegationsRead the Press Release
NaphCare Inc., headquartered in Birmingham, Alabama, has agreed to pay $694,593 to resolve allegations that the company violated the False Claims Act by knowingly submitting false claims to the Federal Bureau of Prisons (BOP) in connection with health care services provided to BOP inmates.
“Companies that do business with the government have an obligation to ensure that they charge only for the services they provide,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “We will hold accountable those who knowingly fail to comply with this obligation and seek taxpayer funds to which they are not entitled.”
NaphCare subcontracts with physicians to provide health care services to inmates who reside at BOP facilities located throughout the United States. The United States alleged that NaphCare submitted inflated claims for evaluation and management services provided by several physicians at BOP’s Terre Haute, Indiana, facility between January 2014 and June 2020. Specifically, the United States alleged that, when certain physicians did not indicate the type of service performed on onsite visit sheets, NaphCare charged the government for higher-level services than were provided. The settlement also resolves allegations that, for two other physicians at BOP’s facility in Victorville, California, NaphCare similarly submitted claims that included higher-level services than those that were actually performed.
“This settlement is the result of the OIG’s innovative data analytics and other efforts to identify health care claims anomalies to protect taxpayer dollars,” said Special Agent in Charge Kenneth R. Dieffenbach of the Justice Department’s Office of the Inspector General, Fraud Detection Office. “Government contractors have a responsibility to ensure that all claims presented to the government are accurate.”
The resolution obtained in this matter was the result of a coordinated effort between the Civil Division’s Commercial Litigation Branch, Fraud Section, and the Department of Justice Office of Inspector General. This matter was handled by Trial Attorney Jonathan Gold.
The claims resolved by the settlement are allegations only and there has been no determination of liability.
Preston County man admits to drug and firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – David Ray Deberry, of Terra Alta, West Virginia, has admitted to drug and firearms charges, Acting U.S. Attorney Randolph J. Bernard announced.
Deberry, 34, of Terra Alta, West Virginia, pleaded guilty today to one count of “Conspiracy to Distribute More Than Fifty Grams or More of Methamphetamine” and one count of “Unlawful Possession of Firearm as Felon.” Deberry admitted to working with others to distribute more than 50 grams of methamphetamine from February 2017 to June 2018 in Harrison County and elsewhere. Deberry, a person prohibited from having a firearm because of a prior conviction, admitted to having a .45 caliber pistol in January 2018 in Marion County.
Deberry faces at least five years and up to 40 years of incarceration and a fine of up to $5,000,000 for the conspiracy charge and faces up to 10 years of incarceration and a fine of up to $250,000 for the firearms charge. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. The Greater Harrison Drug Task Force, a HIDTA-funded initiative and the Bureau of Alcohol, Tobacco, Firearms & Explosives investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Pittsburgh man admits to drug chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Raimonte Gordon Gaston, of Pittsburgh, Pennsylvania, has admitted to a drug charge, Acting United States Attorney Randolph J. Bernard announced.
Gaston, also known as “Boog,” “Barkley Boo,” “Barkley,” and “Ray,” 28, pleaded guilty to one count of “Conspiracy to Distribute and to Possess with the Intent to Distribute Heroin and Fentanyl.” Gaston admitted to working with another to distribute heroin and fentanyl from September 2018 to January 2019 in Harrison County and elsewhere.
Gaston faces up to 20 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Shawn M. Adkins is prosecuting the case on behalf of the government. The Greater Harrison Drug Task Force, a HIDTA-funded initiative, and the Bridgeport Police Department investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Pittsburgh Felon Charged with Possessing a Stolen Firearm and FentanylRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, has been charged by criminal complaint with possessing a mixture of fentanyl and a stolen firearm, Acting United States Attorney Stephen R. Kaufman announced today.
The criminal complaint named Darion Ethridge, 21, as the sole defendant. Mr. Ethridge was arrested Thursday evening and made an initial appearance today in federal court in Pittsburgh.
According to the complaint, investigators had information a male matching Mr. Ethridge’s description and car would be bringing 10 bricks of heroin to the area of 2727 Mosside Blvd., in Monroeville, PA. When Mr. Ethridge arrived, he was stopped by police for a traffic violation, refused to exit the vehicle and then drove in reverse striking an officer’s vehicle. Mr. Ethridge then drove to the dead-end section of the parking lot, exited his vehicle, and engaged in a brief physical altercation with a detective. Mr. Ethridge then ran through two parking lots and onto Northern Pike where he stopped traffic and resisted multiple police officers. Mr. Ethridge was caught and taken into custody. In the car that Mr. Ethridge had been driving, investigators found a fully loaded, stolen firearm and 20 bricks, which is 1,000 stamp bags, of a substance that field-tested positive for fentanyl.
For the drug charge, the law provides for a maximum total sentence of 20 years in prison, a fine of $1 million or both, For the firearm charge, the law provides for a maximum total sentence of 10 years in prison, a fine of $250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Ira M. Karoll is prosecuting this case on behalf of the government.
The Monroeville Police Department and the Pennsylvania Office of the Attorney General are leading the investigation and have been assisted by the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is being prosecuted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
A criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pine Ridge Man Indicted for Stealing Fuel TruckRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Pine Ridge, South Dakota, man has been indicted by a federal grand jury for Interstate Transportation of a Stolen Vehicle.
Cole Brewer, age 29, was indicted on May 20, 2021. He appeared before U.S. Magistrate Judge Daneta Wollmann on June 16, 2021, and pleaded not guilty to the Indictment. The penalty upon conviction is 10 years in federal prison and/or a $250,000 fine, three years supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The charge relates to Brewer stealing a Freightliner fuel truck from Hay Springs, Nebraska, in June 2020, and transporting it across the state line. The charge is merely an accusation and Brewer is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Oglala Sioux Tribe Department of Public Safety and Sheridan County Sheriff’s Department. Assistant U.S. Attorney Eric Kelderman is prosecuting the case.
Brewer was detained pending trial. A trial date has not been set.
Philadelphia Man Who Raped Child for Eight Years Indicted for Concealing His Crimes to Obtain U.S. CitizenshipRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Sumo Dukulah, 47, of Philadelphia, PA, was charged by Indictment on the charge of procurement of citizenship by false statement.
According to the Indictment, approximately fourteen months after he took the oath and was sworn in as a United States citizen, the defendant was arrested in Philadelphia in April 2013 on charges of raping a minor child, beginning when the victim was eight years-old in 2004 and continuing until March 2013 when she was 16 years-old. Dukulah was ultimately convicted of those charges and is currently serving a state sentence of 31-63 years in prison. The Indictment alleges that when the defendant applied to become a naturalized U.S. citizen in 2011, he falsely claimed that he had never committed a crime, when during the same time period, he was actively committing a crime by raping a child. As a result of his fraudulent claims in his application to U.S. Citizenship and Immigration Services, Dukulah’s citizenship was granted in January 2012.
“Applying to become a citizen of the United States necessitates your willingness to adhere to the laws of our Nation,” said Acting U.S. Attorney Williams. “What this defendant did, and the crime for which he was convicted, is not just illegal but is also morally repugnant and shocking. The defendant then allegedly lied about it in order to obtain U.S. citizenship, and he will have to answer to this charge in federal court.”
If convicted, the defendant faces a maximum possible sentence of 20 years’ imprisonment, a $500,000 fine, three years’ supervised release, a $200 special assessment, and revocation of his U.S. citizenship.
The case was investigated by Homeland Security Investigations, and is being prosecuted by Assistant United States Attorney Josh A. Davison.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Philadelphia Man Convicted After Trial of Unlawfully Possessing Drugs and GunsRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Jamir Foushee, a/k/a “Jamir Young,” 31, of Philadelphia, PA, was convicted after trial of possession of a firearm by a convicted felon, possession with intent to distribute “crack” cocaine, and possession of a firearm in furtherance of a drug trafficking crime. The charges against the defendant stemmed from his unlawful possession of these items while riding in his car, which was stopped by Philadelphia police in the Kensington section of the city.
The evidence presented at trial proved that, in April 2019, Foushee was riding as a passenger in his own car when it was stopped for a traffic violation by Philadelphia Police officers. After observing the defendant reach under his seat, officers discovered a handgun under that seat. The defendant then stated to officers that the other guns and drugs in the car were his. Police detained Foushee and the driver of the vehicle, searched the car, and found crack cocaine packaged for sale, as well as two additional firearms. At the time of the incident, the defendant was a convicted felon and was not allowed by law to possess a firearm.
“Less than three months ago, I vowed that our Office would continue doing everything possible to reduce gun violence in Philadelphia through our ‘All Hands On Deck’ initiative,” said Acting U.S. Attorney Williams. “And in just the last three weeks, we have delivered on that promise by securing guilty verdicts from three federal juries against defendants who illegally possessed firearms after sustaining felony convictions. Now, our efforts are multiplying; just this week the Justice Department announced a nationwide initiative to target illegal firearms and support community violence intervention programs in cities experiencing a spike in gun violence like Philadelphia.”
“Drugs and firearms are a very dangerous combination, especially while in the hands of a felon,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division. “We will continue our great partnership with the Philadelphia Police Department and the U.S. Attorney’s Office to make the community safer by removing criminals like this from our streets.”
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Philadelphia Police Department, and is being prosecuted by Assistant United States Attorney David E. Troyer, and Department of Justice Trial Attorney Randall Warden.
Pacific Beach Resident Sentenced to 15 Years for Distributing Fentanyl that Caused Two Overdoses, One of Them FatalRead the Press Release
Assistant U. S. Attorney Michael A. Deshong (619) 546-9290
NEWS RELEASE SUMMARY – June 25, 2021
SAN DIEGO – Pacific Beach resident Maya Kol was sentenced in federal court today to 15 years in prison for selling fentanyl powder that caused the death of one man and sent another to the hospital over Labor Day weekend in September 2018. Two other men—including the source of Kol’s fentanyl—also fatally overdosed that weekend from the same batch of fentanyl powder, which was misrepresented as cocaine when it was sold to users, including the victims.
Kol, a Cambodian national living illegally in San Diego, previously admitted that he purchased the fentanyl powder believing it to be cocaine. However, after he sampled the powder he noticed it tasted different and then became woozy and nearly lost his balance from the effects of it. Despite his own troubling experience with the powder, Kol sold the powder to others and told them it was cocaine.
According to his plea agreement, on September 7, 2018, Kol met three individuals, identified in court records as J.E., J.H., and L.S., and delivered to them one-half gram of fentanyl powder which he represented as cocaine. Several hours later, L.S. contacted Kol asking for help. Kol arrived to L.S. and J.H.’s apartment and foundJ.E. and J.H. non-responsive. When Kol realized authorities would be coming to the scene, he went back to his home and flushed his remaining fentanyl powder down the toilet.
J.E. died from the fentanyl powder Kol sold to him. J.H. survived the ordeal after first responders administered Narcan, a drug prescribed to treat an opioid overdose in an emergency situation, and rushed him to the hospital. L.S. was admitted to the hospital the following day for lingering symptoms. A subsequent search of Kol’s residence uncovered more than $5,000 in cash, scales, materials for operating a butane honey oil laboratory, and other indications of drug sales.
J.E. was 47 years old and is survived by his wife. Hiss death was one of three overdose deaths that occurred in Pacific Beach over Labor Day weekend in 2018, including the individual who sold the fentanyl powder to Kol. Kol is not charged with the other deaths.
“Many people are dying because of dealers like Kol, who know the extreme danger of what they are doing but do it anyway,” said Acting U.S. Attorney Randy Grossman. “Dealers do not care about their customers. They care about money. As this case tragically shows, illegal drugs laced with fentanyl are deadly.” Grossman praised prosecutor Michael Deshong and law enforcement partners for their excellent work on this case.
“The DEA is increasingly seeing fentanyl in drugs purported to be other street drugs, such as cocaine in this case, and these drugs are likely to cause you to overdose,” said DEA Special Agent in Charge John W. Callery. “We don’t want to investigate your death. Your life matters. Help with addiction is available by calling the San Diego County’s Access and Crisis line at (888) 724-7240.”
This case is the result of ongoing efforts by the U.S. Attorney’s Office, the San Diego County District Attorney’s Office, and multiple law enforcement agencies to investigate and prosecute the distribution of dangerous illegal drugs that result in overdose deaths.
Fentanyl-related deaths are rapidly climbing to unprecedented levels. The San Diego County Medical Examiner’s Office has predicted a 50 percent increase in deaths from 2020 to 2021. Fentanyl-related deaths more than doubled during the previous two years.
In July 2018, Narcotics Task Force Team 10 was created to address drug overdose deaths in San Diego County. Team 10 led the investigation into the cluster of fentanyl drug overdoses in Pacific Beach in September 2018.
DEFENDANTS Case Number 19cr1277-CAB
Maya Kol Age: 42 Pacific Beach, CA
SUMMARY OF CHARGES
Distribution of Fentanyl – Title 21, U.S.C., Section 841(a)(1)
Maximum Penalty: Twenty years in prison
AGENCIES
Drug Enforcement Administration
San Diego Police Department
Homeland Security Investigations
California Department of Health Care Services
Federal Bureau of Investigation
San Diego County District Attorney’s Office
Owner of haunted house equipment supplier pleads guilty to tax crimeRead the Press Release
COLUMBUS, OHIO – David Fachman, 59, of New Albany, Ohio pleaded guilty in U.S. District Court to one count of willful failure to pay over tax to the Internal Revenue Service (IRS).
According to court documents, since at least 1998 Fachman owned and operated The Scarefactory, Inc., a haunted house and special effects supplier in Columbus, Ohio. As the owner, Fachman always maintained financial and administrative control over the business. From at least January 1, 2015 and continuing until in or about December 31, 2018, Fachman withheld and collected the trust fund portion of the employment taxes from his employees’ paychecks but failed to file timely and to remit the payment to the IRS. Scarefactory was required to make deposits of the federal employment taxes to the IRS for all employees on a periodic basis. Fachman had a corporate responsibility to collect, truthfully account for, and pay over business’ payroll taxes and failed to do so.
For example, on October 31, 2018, Fachman had an obligation to file a Form 941 and pay over $26,226.02 in employee withheld federal employment taxes. Fachman failed to file timely and to pay $26,226.02 of those taxes over to the IRS.
In total, Fachman failed to pay over employee and employer federal employment taxes totaling $547,854.73.
Willful failure to pay over tax carries a maximum penalty of five years in prison and a $250,000 fine.
"Business owners have a responsibility to collect and turn over all IRS employment taxes," said Bryant Jackson, Special Agent in Charge, IRS, Criminal Investigation, Cincinnati Field Office. "Employment fraud can also impact employees who may see future benefits affected such as Social Security, Medicare or Unemployment Compensation."
Vipal J. Patel, Acting United States Attorney for the Southern District of Ohio and Bryant Jackson, Special Agent in Charge, Internal Revenue Service Criminal Investigation, Cincinnati Field Office, announced the plea entered today before U.S. District Judge Edmund A. Sargus Jr.
This case was prosecuted by Assistant Deputy Criminal Chief Jessica Knight and was investigated by special agents of IRS-Criminal Investigation.
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Owner of Great Falls plumbing businesses sentenced to prison for employment tax fraudRead the Press Release
GREAT FALLS –A Great Falls businessman was sentenced on June 24 to nine months in prison and ordered to pay $148,735 restitution for employment tax fraud, Acting U.S. Attorney Leif M. Johnson said today.
According to court documents, Thomas O’Connell, 48, owned and operated three plumbing businesses: Quality Plumbing and Heating, Orbit Plumbing and Heating, and Orbit PHC. From at least 2005 through 2016, O’Connell caused trust fund taxes to be withheld from employees’ wages and then did not pay employment taxes for several quarters. Instead, he directed payments to other creditors and to his own personal expenses. The total tax loss to the IRS resulting from his conduct is more than $550,000.
O’Connell pleaded guilty on March 24 to willful failure to pay over employment taxes.
Chief U.S. District Judge Brian M. Morris presided. In addition to the sentence of imprisonment, O’Connell will serve an additional three years of supervised release.
Assistant U.S. Attorney Ryan G. Weldon and Trial Attorney Mark S. Determan of the Justice Department’s Tax Division prosecuted the case. The case was investigated by IRS-Criminal Investigation.
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New Orleans Man Pleads Guilty to Conspiracy to Distribute Drugs and Possession of FirearmRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that NATHAN BALLANSAW III, age 69, of New Orleans, pled guilty to conspiracy to distribute cocaine, cocaine base and heroin, and firearms-related charges.
Specifically, on June 24, 2021, BALLANSAW pled guilty to one count of conspiracy to distribute and possess with the intent to distribute a quantity of cocaine hydrochloride, cocaine base, and heroin in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(C), and 846. BALLANSAW also pled guilty to one count of possessing a firearm in furtherance of a drug trafficking crime.
On the drug conspiracy, BALLANSAW faces a maximum sentence of 20 years imprisonment, a fine of up to $1,000,000, at least 3 years of supervised release and a mandatory $100 special assessment. On the firearm charge, BALLANSAW faces a mandatory minimum of 5 years of imprisonment, up to life imprisonment, a fine of up to $250,000, up to 5 years of supervised release, and a mandatory $100 special assessment.
According to court documents, BALLANSAW conspired to sell cocaine, cocaine base and heroin between September 12, 2015 and May 4, 2017. In furtherance of that drug-trafficking conspiracy, he possessed a Smith and Wesson Model 638-2 .38 caliber revolver on March 28, 2017.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration and Federal Bureau of Investigation in investigating this matter. Assistant United States Attorneys Elizabeth Privitera and Jonathan L. Shih are in charge of the prosecution.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (“OCDETF”). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
New Orleans Man Pleads Guilty to Conspiracy to Distribute Drugs and Possession of FirearmRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that NATHAN BALLANSAW III, age 69, of New Orleans, pled guilty to conspiracy to distribute cocaine, cocaine base and heroin, and firearms-related charges.
Specifically, on June 24, 2021, BALLANSAW pled guilty to one count of conspiracy to distribute and possess with the intent to distribute a quantity of cocaine hydrochloride, cocaine base, and heroin in violation of 21 U.S.C. §§ 841(a)(1), 841(b)(1)(C), and 846. BALLANSAW also pled guilty to one count of possessing a firearm in furtherance of a drug trafficking crime.
On the drug conspiracy, BALLANSAW faces a maximum sentence of 20 years imprisonment, a fine of up to $1,000,000, at least 3 years of supervised release and a mandatory $100 special assessment. On the firearm charge, BALLANSAW faces a mandatory minimum of 5 years of imprisonment, up to life imprisonment, a fine of up to $250,000, up to 5 years of supervised release, and a mandatory $100 special assessment.
According to court documents, BALLANSAW conspired to sell cocaine, cocaine base and heroin between September 12, 2015 and May 4, 2017. In furtherance of that drug-trafficking conspiracy, he possessed a Smith and Wesson Model 638-2 .38 caliber revolver on March 28, 2017.
U.S. Attorney Evans praised the work of the Drug Enforcement Administration and Federal Bureau of Investigation in investigating this matter. Assistant United States Attorneys Elizabeth Privitera and Jonathan L. Shih are in charge of the prosecution.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (“OCDETF”). OCDETF is a joint federal, state and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
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New Hampshire Man Sentenced to 21 Years in Prison for Sex Trafficking of a Minor and Other CrimesRead the Press Release
A New Hampshire man was sentenced to 21 years in federal prison, followed by five years of supervised release for sex trafficking of a minor, operation of a prostitution enterprise and maintaining a drug-involved premises. The court also ordered $20,800 in restitution to the victims.
After a three-day trial in March 2019, a federal jury found Steven Tucker, 36, of Manchester, guilty of one count of sex trafficking of a minor, one count of operating an interstate prostitution enterprise and one count of maintaining a property for drug trafficking.
Evidence presented at trial established that, between October 2013 and June 2014, the defendant operated drug and prostitution businesses in the Manchester area. He sold heroin to numerous individuals, including young women and a minor. Witnesses described how the defendant used their addictions to cause them to prostitute for his profit. The defendant would often front heroin to the women and then arrange prostitution “dates” for them. The women were required to give the defendant half of the proceeds and then purchase heroin from him with the remainder.
On other occasions, the defendant withheld heroin from the women, causing them to suffer painful withdrawal symptoms and then instructed them to prostitute to earn money to purchase heroin from him. The defendant’s scheme guaranteed that he had a steady source of drug customers and money. Some of the women were required to help the defendant sell his heroin and received heroin in exchange. The defendant used violence and threats to maintain control of the women. The investigation began in 2014, when the mother of one of the women called the Manchester Police Department after the defendant beat her daughter.
“The Civil Rights Division is committed to pursuing justice on behalf of vulnerable members of our society,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant preyed on young women and teenage girls living in the shadows and on the margins. He cruelly exploited their drug addictions for his own profit. This sentence sends a clear message that the United States will not tolerate human trafficking and will work tirelessly to restore the rights and dignity of its victims.”
“By exploiting and trafficking multiple victims, including a minor, this defendant committed egregious and reprehensible crimes,” said Acting U.S. Attorney John Farley of the District of New Hampshire. “The substantial sentence imposed today finally holds Mr. Tucker responsible for his actions and sends a clear message to the community that this conduct will not be tolerated. We will continue to work with our law enforcement partners and members of the New Hampshire Human Trafficking Collaborative Task Force to combat the human trafficking in the Granite State.”
“Today’s sentence brings to a conclusion one of the most disturbing cases of exploitative treatment of human trafficking victims that we have seen,” said William S. Walker, acting Special Agent in Charge, Homeland Security Investigations, Boston. “Mr. Tucker’s trial of harm and pain will unfortunately live within his victims for years to come, but, hopefully, they will take solace in knowing that the sentence imposed upon Mr. Tucker today effectively prevents him from causing more physical and psychological trauma to future victims. HSI was pleased to partner in this case with the New Hampshire Human Trafficking Collaborative Task Force, the U.S. Attorney’s Office for the District of New Hampshire, the Department of Justice Civil Rights Division’s Human Trafficking Prosecution Unit, the Manchester Police Department and the Hillsborough County Attorney’s Office. Without the tireless work of these partners, Mr. Tucker’s victims would never have had even the opportunity to achieve any measure of justice while continuing the healing process.”
This prosecution is the result of the joint investigation by Homeland Security Investigations and the Manchester Police Department, the New Hampshire Human Trafficking Collaborative Task Force, the U.S. Attorney’s Office for the District of New Hampshire and the Civil Rights Division’s Human Trafficking Prosecution Unit (HTPU). The Hillsborough County Attorney’s Office provided victim assistance in the case.
The New Hampshire Human Trafficking Collaborative Task Force is a multidisciplinary effort comprised of law enforcement as well as social, medical and legal services for victims of human trafficking. The Task Force is funded by a grant from the Department of Justice, Office of Victims of Crime (OVC) and Bureau of Justice Programs (BJA).
This case was prosecuted by Assistant U.S. Attorney Seth Aframe, former Assistant U.S. Attorney Arnold Huftalen for the District of New Hampshire and Trial Attorney Vasantha Rao for the Civil Rights Division’s HTPU, with assistance from HTPU Trial Attorney Maryam Zhuravitsky.
New Hampshire Man Sentenced to 21 Years in Prison for Sex Trafficking of a Minor and Other CrimesRead the Press Release
WASHINGTON – A New Hampshire man was sentenced to 21 years in federal prison, followed by five years of supervised release for sex trafficking of a minor, operation of a prostitution enterprise, and maintaining a drug-involved premises. The court also ordered $20,800 in restitution to the victims.
After a three-day trial in March of 2019, a federal jury found Steven Tucker, 36, of Manchester, guilty of one count of sex trafficking of a minor, one count of operating an interstate prostitution enterprise and one count of maintaining a property for drug trafficking.
Evidence presented at trial established that, between October 2013 and June 2014, the defendant operated drug and prostitution businesses in the Manchester area. He sold heroin to numerous individuals, including young women and a minor. Witnesses described how the defendant used their addictions to cause them to prostitute for his profit. The defendant would often front heroin to the women and then arrange prostitution “dates” for them. The women were required to give the defendant half of the proceeds and then purchase heroin from him with the remainder.
On other occasions, the defendant withheld heroin from the women, causing them to suffer painful withdrawal symptoms and then instructed them to prostitute to earn money to purchase heroin from him. The defendant’s scheme guaranteed that he had a steady source of drug customers and money. Some of the women were required to help the defendant sell his heroin and received heroin in exchange. The defendant used violence and threats to maintain control of the women. The investigation began in 2014, when the mother of one of the women called the Manchester Police Department after the defendant beat her daughter.
“The Civil Rights Division is committed to pursuing justice on behalf of vulnerable members of our society,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “This defendant preyed on young women and teenage girls living in the shadows and on the margins. He cruelly exploited their drug addictions for his own profit. This sentence sends a clear message that the United States will not tolerate human trafficking and will work tirelessly to restore the rights and dignity of its victims.”
“By exploiting and trafficking multiple victims, including a minor, this defendant committed egregious and reprehensible crimes,” said Acting U.S. Attorney John Farley of the District of New Hampshire. “The substantial sentence imposed today finally holds Mr. Tucker responsible for his actions and sends a clear message to the community that this conduct will not be tolerated. We will continue to work with our law enforcement partners and members of the New Hampshire Human Trafficking Collaborative Task Force to combat the human trafficking in the Granite State.”
“Today’s sentence brings to a conclusion one of the most disturbing cases of exploitative treatment of human trafficking victims that we have seen,” said William S. Walker, acting Special Agent in Charge, Homeland Security Investigations, Boston. “Mr. Tucker’s trial of harm and pain will unfortunately live within his victims for years to come, but, hopefully, they will take solace in knowing that the sentence imposed upon Mr. Tucker today effectively prevents him from causing more physical and psychological trauma to future victims. HSI was pleased to partner in this case with the New Hampshire Human Trafficking Collaborative Task Force, the U.S. Attorney’s Office for the District of New Hampshire, the Department of Justice Civil Rights Division’s Human Trafficking Prosecution Unit, the Manchester Police Department, and the Hillsborough County Attorney’s Office. Without the tireless work of these partners, Mr. Tucker’s victims would never have had even the opportunity to achieve any measure of justice while continuing the healing process.”
This prosecution is the result of the joint investigation by Homeland Security Investigations and the Manchester Police Department, the New Hampshire Human Trafficking Collaborative Task Force, the U.S. Attorney’s Office for the District of New Hampshire and the Civil Rights Division’s Human Trafficking Prosecution Unit (HTPU). The Hillsborough County Attorney’s Office provided victim assistance in the case.
The New Hampshire Human Trafficking Collaborative Task Force is a multidisciplinary effort comprised of law enforcement as well as social, medical, and legal services for victims of human trafficking. The Task Force is funded by a grant from the Department of Justice, Office of Victims of Crime (OVC) and Bureau of Justice Programs (BJA).
This case was prosecuted by Assistant U.S. Attorney Seth Aframe, former Assistant U.S. Attorney Arnold Huftalen for the District of New Hampshire and Trial Attorney Vasantha Rao for the Civil Rights Division’s HTPU, with assistance from HTPU Trial Attorney Maryam Zhuravitsky.
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Montgomery Restaurant Co-Owner Convicted on Federal Drug and Gun ChargesRead the Press Release
Montgomery, Alabama – On Thursday, June 17, 2021, Richard Herbert Smith, 44, from Wetumpka, Alabama, was convicted by a federal jury for conspiracy to distribute cocaine, possession of cocaine with intent to distribute, possession of a firearm in connection with a drug trafficking crime, and using a cell phone to further a drug trafficking conspiracy, announced Acting U.S. Attorney Sandra J. Stewart. The jury found Mr. Smith and his wife, Mellissa Stacy Ann Smith, not guilty on a money laundering conspiracy count contained in the indictment. This was the only charged alleged against Mrs. Smith. Mellissa Smith is listed as the owner of the Island Delight Caribbean Restaurant in Montgomery.
According to court records and evidence presented at trial, in August of 2017, law enforcement was investigating suspected drug trafficking activity in Montgomery, Alabama. They eventually identified an individual named Ronnie White, 51, from Montgomery, as a potential suspect. Using various investigative techniques, they discovered that White was buying cocaine from Richard Smith. On December 17, 2017, officers conducted a traffic stop on a vehicle driven by Richard Smith and found five ounces of cocaine and a firearm. During the trial, the jury heard testimony that White regularly purchased cocaine from Richard Smith and, on the date of the traffic stop, he was expecting to buy between five and nine ounces. Other testimony stated that Richard Smith often carries a firearm during these transactions and that he would occasionally conduct the illegal drug sales while wearing his Air Force Reserve uniform.
Ronnie White previously pleaded guilty to distribution of a controlled substance and possession of a firearm by a convicted felon. White’s sentencing hearing is scheduled for July 7, 2021 and he faces a sentence of up to 20 years in prison. Following his convictions, Richard Smith faces a maximum sentence of 25 years.
This case was investigated by the Drug Enforcement Administration (DEA) and the Montgomery Police Department, with assistance from the Prattville Police Department, the Alabama Law Enforcement Agency (ALEA), and the Alabama National Guard Counterdrug program. Assistant United States Attorneys Russell T. Duraski and Mark E. Andreu prosecuted the case.
Milbank Man Indicted on Drug ChargeRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Milbank, South Dakota, man has been indicted by a federal grand jury for Possession with Intent to Distribute a Controlled Substance.
Delvin Eagle Chasing, a/k/a Delvin Baumgarten, age 35, was indicted on May 11, 2021. He appeared before U.S. Magistrate Judge Veronica L. Duffy on June 25, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to life in prison and/or a $1,000,000 fine, three years of supervised release, and $100 to the Federal Crime Victims Fund for each Count. Restitution may also be ordered.
The Indictment alleges that on January 12, 2021, in Eagle Butte, South Dakota, Eagle Chasing did knowingly and intentionally possess with intent to distribute a mixture or substance containing a detectable amount of methamphetamine.
The charge is merely an accusation and Eagle Chasing is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Eagle Chasing was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Middlesex County Man Charged with Conspiring to Defraud New Jersey Banks by Depositing $1 Million in Stolen Checks.Read the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man was indicted today for his role in a scheme to defraud banks of more than $1 million using stolen and counterfeited checks and stolen identities, Acting U.S. Attorney Rachael A. Honig announced.
Benjamin Rich, 37, of Edison, New Jersey, is charged with one count of conspiracy to commit bank fraud and one count of aggravated identity theft. Rich and two other men, Felix Alamo and Frank Ambrosio, both of Brooklyn, New York, were previously charged by complaint with conspiracy to commit bank fraud and aggravated identity theft.
According to documents filed in this case and statements made in court:
Rich, Alamo, and certain conspirators agreed to defraud banks across New Jersey by using the stolen personal identification information of other individuals to open fraudulent bank accounts and deposit stolen and counterfeited checks. Rich used stolen identities, which included Social Security numbers belonging to minors, to create sham businesses. Rich, Alamo, and others opened bank accounts for the sham businesses and deposited stolen or counterfeited checks into the accounts and attempted to withdraw or transfer the funds before the banks could detect the fraud. Rich and his conspirators deposited approximately $1 million in fraudulently obtained checks into the fraudulent business bank accounts, resulting in at least $250,000 in losses to the various banks.
The charge of bank fraud carries a maximum of 30 years in prison and a statutory maximum fine $1 million, or twice the gain derived or loss loss caused by the offense, whichever is greatest.
The charge of aggravated identity theft carries a statutory minimum term of two years in prison, which must run consecutively to any term of imprisonment imposed on the bank fraud charge, and a statutory maximum fine of $250,000, or twice the gain derived or loss caused by the offense, whichever is greatest.
Alamo previously pleaded guilty and will be sentenced on July 21, 2021.
Acting U.S. Attorney Rachael A. Honig credited postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Rodney Hopkins, and special agents of the Treasury Inspector General for Tax Administration under the direction of Special Agent in Charge Andrew McKay, with the investigation leading to today’s indictment.
The government is represented by Assistant U.S. Attorney Perry Farhat of the Government Fraud Unit of the U.S. Attorney’s Office in Newark.
The charges and allegations against Rich and Ambrosio are merely accusations, and they are presumed innocent unless and until proven guilty.
Metropolitan Police Department Officer and Maryland Woman Indicted for Bribery Scheme to Provide Personal Identifying Information of Traffic Crash Victims in Exchange for Cash PaymentsRead the Press Release
WASHINGTON – A Metropolitan Police Department (MPD) Officer and a Maryland woman were indicted on charges in connection with a bribery scheme to unlawfully provide information contained in non-public police paperwork identifying individuals involved in traffic accidents in exchange for cash payments, announced Acting U.S. Attorney Channing D. Phillips.
Vincent Forrest, 33, of Washington, D.C., and Raquel Depaula, 43, of Beltsville, Maryland, were indicted by a federal grand jury on one count of conspiracy in violation of Title 18, United States Code, Section 371, and one count each of bribery in violation of Title 18, United States Code, Section 201. In addition, Forrest was indicted on one count of making a false statement in violation of Title 18, United States Code, Section 1001.
As alleged in the indictment, beginning at least as early as April 2019, Forrest, a Patrol Officer with MPD, and Depaula, a “runner” who worked, in return for referral fees, to connect people in need of legal representation or medical services with providers of those services, engaged in a scheme to trade confidential traffic accident victim information from MPD Traffic Accident Reports, or “PD Form 10s,” for bribes. Depaula offered Forrest, a public official, bribes to get confidential accident victim information. MPD General Order 401.03 limited the distribution of these reports to individuals involved in traffic accidents and their representatives. Forrest, in violation of his official duties, used his official access to MPD’s law enforcement sensitive database to review and record victim contact information from Traffic Accident Reports which contained the names and contact information of individuals involved in traffic accidents. Forrest sent the Depaula victim contact information using WhatsApp Messenger, an encrypted communications application. Forrest then met up with Depaula at various locations in the District of Columbia and Maryland, including Depaula’s Maryland residence to receive bribes from her. Depaula then provided victim contact information from the Traffic Crash Reports to local attorneys in exchange for a referral fee, causing accident victims to be contacted by attorneys within days of their traffic accidents in violation of 22 D.C. Code Section 3225.14. Forrest and Depaula concealed their bribery scheme by, among other methods, communicating by encrypted application, meeting in person, and exchanging bribes in cash. Over the course of the four-month scheme, Forrest viewed over 4,000 Traffic Crash Reports. In addition, when interviewed by federal law enforcement, Forrest provided false, fictitious, and fraudulent statements and representations regarding his conduct and the scheme, specifically, denying that he ever provided Traffic Crash Reports to unauthorized third parties.
In connection with this scheme, Forrest was arrested and charged in a criminal complaint on June 4, 2021 and is expected to be arraigned on the indictment on June 25, 2021 at 3 PM before Magistrate Judge Zia M. Faruqui in the U.S. District Court for the District of Columbia.
The charges in the indictment are merely allegations, and every defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt. If convicted, Forrest would face a maximum sentence of 30 years’ imprisonment and Depaula would face a maximum of 20 years’ imprisonment. The maximum statutory sentences are prescribed by Congress and are provided here for informational purposes. The sentencing of the defendants, if they are later convicted, will be determined by the court after considering the advisory Sentencing Guidelines and other statutory factors.
This investigation is being conducted by special agents from the FBI’s Washington Field Office and MPD’s Internal Affairs Division. The case is being prosecuted by Assistant U.S. Attorney Joshua S. Rothstein from the Public Corruption and Civil Rights Section of the United States Attorney’s Office for the District of Columbia.
Man Charged in Federal Court with Carjacking and Murdering Chicago Rideshare DriverRead the Press Release
CHICAGO — A man has been charged in federal court with carjacking and murdering a rideshare driver in Chicago earlier this year.
EDMOND HARRIS, 18, of Chicago, carjacked a Lexus GS sedan from Javier Ramos on March 23, 2021, according to an indictment returned Thursday in U.S. District Court in Chicago. During the carjacking, Harris brandished a firearm and fatally shot Ramos, the indictment states.
The indictment charges Harris with one count of carjacking, one count of discharging a firearm during a crime of violence, and one count of causing death through the use of a firearm during a crime of violence. The charges in the indictment carry a mandatory minimum sentence of ten years in federal prison and a maximum sentence of death.
Harris was taken into federal custody this morning. An initial court appearance is scheduled for today at 3:15 p.m. before U.S. Magistrate Judge Jeffrey I. Cummings.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen deTineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; and David Brown, Superintendent of the Chicago Police Department. The government is represented by Assistant U.S. Attorney Michelle Kramer.
“Senseless acts of violence like the ones charged in this indictment have no place in our society,” said U.S. Attorney Lausch. “The charges announced today are the direct result of a strong partnership between federal, state, and local law enforcement in Chicago. We will not hesitate to prosecute violent carjackers to the fullest extent of federal law.”
“Carjacking is a threat to the safety of the community,” said ATF SAC deTineo. “I pledge the continued full support of the men and women of the Chicago Field Division to work collaboratively with our law enforcement partners to investigate these crimes.”
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Level 3 Communications, LLC Agrees to Pay over $12.7 Million to Settle Civil False Claims Act AllegationsRead the Press Release
ALEXANDRIA, Va. – Level 3 Communications, LLC (Level 3), a multinational telecommunications and Internet service provider company with offices throughout the world, including in McLean, agreed to pay $12,772,843 to settle allegations involving: kickbacks paid to former Level 3 officials in return for favorable treatment to subcontractors in connection with government contracts; improperly obtaining competitive bid information; and misstating compliance with woman-owned small business subcontracting requirements.
“Kickbacks paid in connection with government contracts defraud the American taxpayer and undermine the federal procurement process,” said Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia. “EDVA is firmly committed to utilizing all available civil remedies to combat such alleged conduct and protect the public fisc.”
Level 3 entered a contract issued by the General Services Administration under which the U.S. Department of Defense Office of Inspector General ordered supplies and services, known as the “WITS 3” contract. Level 3 subcontracted work under the WITS 3 contract to MSO Tech, Inc. (MSO Tech) and P.V.S. Inc. (PVS), two Florida-based companies owned by William S. Wilson.
The United States alleged that in 2012, Wilson paid kickbacks to Level 3 senior managers Ronald Capallia and another individual to induce them to steer Level 3 subcontract work to MSO Tech and PVS. In return for these alleged kickbacks, MSO Tech and PVS were allegedly given favorable treatment and subcontracts. The United States also alleged that Capallia knowingly obtained protected competitor bid information in connection with the WITS 3 contract to gain an advantage in bidding on task orders on the contract.
Level 3 also entered into a contract with the U.S. Department of Homeland Security (DHS), known as the “Terrawatt” contract. The United States alleged that in 2011, Level 3 informed DHS that PVS qualified as a woman-owned small business in order to satisfy contractual obligations to award a certain portion of work under the Terrawatt contract to a woman-owned small business, despite Capallia and another individual knowing that PVS was owned and controlled by Wilson, and that the work awarded to PVS was in fact performed by MSO Tech.
The settlement resolves federal civil claims under the False Claims Act, the Anti-Kickback Act, and the Procurement Integrity Act. Level 3 cooperated during the investigation.
The settlement arises in connection with a lawsuit filed by a former Level 3 employee under the whistleblower provision of the False Claims Act. A whistleblower suit, or qui tam action under the False Claims Act, is commenced by an individual, known as a “relator,” filing a complaint under seal in the U.S. District Court, and providing a copy of the complaint and other evidence to the U.S. Attorney’s Office. The United States then has an opportunity to investigate the claims. The False Claims Act provides whistleblowers with a share of the government’s recovery.
The resolution obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia, the Defense Criminal Investigative Service, and the Department of Homeland Security’s Office of Inspector General.
This matter was investigated by Assistant U.S. Attorneys Krista Anderson and Gerard Mene.
The civil claims settled by this agreement are allegations only; there has been no determination of civil liability.
Related court documents and information from the civil lawsuit can be accessed on PACER by searching for Case No. 1:13-cv-1453. Court documents regarding related criminal proceedings can be found at Case Nos. 1:17-cr-223 and 1:17-cr-222.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Las Vegas Business Owner Pleads Guilty in Fraudulent Income Tax Return SchemeRead the Press Release
A Las Vegas, Nevada, businesswoman pleaded guilty today to filing a false tax return.
According to court documents and admissions made in court, Graciela Rueda Alvarez, aka “Graciela Masso,” owned and operated two Las Vegas businesses: All Hose Inc. (AHI) and All Hose South LLC (AHS), which are distributors of industrial, hydraulic, and pneumatic hoses, connectors and fluid transfer systems. From 2013 to 2016, Rueda Alvarez transferred more than $950,000 of the profits from AHI and AHS to bank accounts she controlled, but did not report these funds as income on her personal federal tax returns. In total, Rueda Alvarez caused a tax loss to the IRS of $210,807.
Rueda Alvarez faces the statutory maximum penalty of three years in prison, one year of supervised release, and a fine of $250,000. In addition to the prison term, Rueda Alvarez has agreed to pay $458,728.52 in restitution, including past-due taxes, interest, and penalties. U.S. District Court Judge Jennifer A. Dorsey scheduled sentencing for Sept. 27.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, Acting U.S. Attorney Christopher Chiou for the District of Nevada, and Special Agent in Charge Albert Childress of the IRS Criminal Investigation made the announcement.
The IRS Criminal Investigation is investigating this case.
Assistant U.S. Attorney Jessica Oliva of the District of Nevada and Trial Attorney Michael Landman of the Tax Division are prosecuting the case.
Las Vegas Business Owner Pleads Guilty in Fraudulent Income Tax Return SchemeRead the Press Release
LAS VEGAS, Nev. – A Las Vegas, Nevada, businesswoman pleaded guilty today to filing a false tax return.
According to court documents and admissions made in court, Graciela Rueda Alvarez, aka “Graciela Masso,” owned and operated two Las Vegas businesses: All Hose Inc. (AHI) and All Hose South LLC (AHS), which are distributors of industrial, hydraulic, and pneumatic hoses, connectors and fluid transfer systems. From 2013 to 2016, Rueda Alvarez transferred more than $950,000 of the profits from AHI and AHS to bank accounts she controlled, but did not report these funds as income on her personal federal tax returns. In total, Rueda Alvarez caused a tax loss to the IRS of $210,807.
Rueda Alvarez faces the statutory maximum penalty of three years in prison, one year of supervised release, and a fine of $250,000. In addition to the prison term, Rueda Alvarez has agreed to pay $458,728.52 in restitution, including past-due taxes, interest, and penalties. U.S. District Court Judge Jennifer A. Dorsey scheduled sentencing for Sept. 27.
Acting Deputy Assistant Attorney General Stuart M. Goldberg of the Justice Department’s Tax Division, Acting U.S. Attorney Christopher Chiou for the District of Nevada, and Special Agent in Charge Albert Childress of the IRS Criminal Investigation made the announcement.
The IRS Criminal Investigation is investigating this case.
Assistant U.S. Attorney Jessica Oliva of the District of Nevada and Trial Attorney Michael Landman of the Tax Division are prosecuting the case.
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Laplace Man Pleads Guilty to Being Felon in Possession of AmmunitionRead the Press Release
NEW ORLEANS, LOUISIANA – DWAYNE BROWN, age 34, a resident of Laplace, Louisiana, pled guilty to being a felon in possession of ammunition, announced U.S. Attorney Duane A. Evans. Sentencing is currently scheduled for October 14, 2021 before the Honorable Barry W. Ashe.
According to court documents, on or about October 1, 2019, BROWN attempted to go through security at Louis Armstrong Airport. At that time, BROWN was in possession of a “ghost” gun – a firearm that has no serial number or manufacturer’s marks of identification affixed to it. The firearm was assembled at an unknown time and location from a kit distributed by Polymer80, Inc. Moreover, the firearm was affixed with an auto-sear which permitted it to fire automatically. Along with the firearm, BROWN was in possession of $35,000 in cash and two 30-round magazines containing approximately 28 rounds each. Prior to this, BROWN had been convicted in the 40th Judicial Court, State of Louisiana, for aggravated flight from an officer, simple criminal damage to property, and unauthorized entry of an inhabited dwelling.
At sentencing, BROWN faces maximum penalties of 10 years imprisonment, a $250,000 fine, 3 years of supervised release, and a mandatory $100 special assessment.
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.
U.S. Attorney Evans praised the work of the Federal Bureau of Investigation and the Bureau of Alcohol, Tobacco, and Firearms in investigating this matter. The prosecution of this case is being handled by Assistant U. S. Attorneys G. Dall Kammer and Rachal Cassagne.
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Justice Department files lawsuit against the State of Georgia to stop racially discriminatory provisions of new voting lawRead the Press Release
ATLANTA - The U.S. Justice Department announced today that it filed a lawsuit against the State of Georgia, the Georgia Secretary of State, and the Georgia State Election Board over recent voting procedures adopted by Georgia Senate Bill 202, which was signed into law in March 2021. The United States' complaint challenges provisions of Senate Bill 202 under Section 2 of the Voting Rights Act.
"The right of all eligible citizens to vote is the central pillar of our democracy, the right from which all other rights ultimately flow," said Attorney General Merrick B. Garland. "This lawsuit is the first step of many we are taking to ensure that all eligible voters can cast a vote; that all lawful votes are counted; and that every voter has access to accurate information."
"The right to vote is one of the most central rights in our democracy and protecting the right to vote for all Americans is at the core of the Civil Rights Division’s mission," said Assistant Attorney General Kristen Clarke for Justice Department's Civil Rights Division. "The Department of Justice will use all the tools it has available to ensure that each eligible citizen can register, cast a ballot, and have that ballot counted free from racial discrimination. Laws adopted with a racially motivated purpose, like Georgia Senate Bill 202, simply have no place in democracy today."
"One of the fundamental rights of our democracy is the right to vote. That right should be protected for every citizen of our district, regardless of race," said Acting U.S. Attorney Kurt R. Erskine for the Northern District of Georgia. "The United States Attorney’s Office for the Northern District of Georgia is committed to protecting the rights of all Americans to vote."
The United States' complaint contends that several provisions of Senate Bill 202 were adopted with the purpose of denying or abridging the right to vote on account of race. The Justice Department's lawsuit alleges that the cumulative and discriminatory effect of these laws—particularly on Black voters—was known to lawmakers and that lawmakers adopted the law despite this.
The United States' complaint challenges several provisions of Senate Bill 202, including a provision banning government entities from distributing unsolicited absentee ballot applications; the imposition of costly and onerous fines on civic organizations, churches and advocacy groups that distribute follow-up absentee ballot applications; the shortening of the deadline to request absentee ballots to 11 days before Election Day; the requirement that voters who do not have identification issued by the Georgia Department of Driver Services photocopy another form of identification in order to request an absentee ballot without allowing for use of the last four digits of a social security number for such applications; significant limitations on counties’ use of absentee ballot drop boxes; the prohibition on efforts by churches and civic groups to provide food or water to persons waiting in long lines to vote; and the prohibition on counting out-of-precinct provisional ballots cast before 5 p.m. on Election Day. The complaint asks the court to prohibit Georgia from enforcing these requirements.
Deputy Attorney General Lisa O. Monaco also issued a memo to United States Attorneys and FBI Field Offices today on investigating and prosecuting threats to election officials. To assist with this important effort the department will also establish an intra-Departmental task force to address the rising threats.
Today’s announcements follow Attorney General Garland’s recent commitment to expand the Justice Department’s efforts to safeguard voting rights.
More information about the Voting Rights Act and other federal voting laws is available on the Department of Justice’s website at www.justice.gov/crt/about/vot. Complaints about discriminatory voting practices may be reported to the Voting Section of the Justice Department’s Civil Rights Division at 1-800-253-3931.
Justice Department Files Lawsuit Against the State of Georgia to Stop Racially Discriminatory Provisions of New Voting LawRead the Press Release
The U.S. Justice Department announced today that it filed a lawsuit against the State of Georgia, the Georgia Secretary of State, and the Georgia State Election Board over recent voting procedures adopted by Georgia Senate Bill 202, which was signed into law in March 2021. The United States’ complaint challenges provisions of Senate Bill 202 under Section 2 of the Voting Rights Act.
“The right of all eligible citizens to vote is the central pillar of our democracy, the right from which all other rights ultimately flow,” said Attorney General Merrick B. Garland “This lawsuit is the first step of many we are taking to ensure that all eligible voters can cast a vote; that all lawful votes are counted; and that every voter has access to accurate information.”
“The right to vote is one of the most central rights in our democracy and protecting the right to vote for all Americans is at the core of the Civil Rights Division’s mission,” said Assistant Attorney General Kristen Clarke for Justice Department’s Civil Rights Division. “The Department of Justice will use all the tools it has available to ensure that each eligible citizen can register, cast a ballot, and have that ballot counted free from racial discrimination. Laws adopted with a racially motivated purpose, like Georgia Senate Bill 202, simply have no place in democracy today.”
“One of the fundamental rights of our democracy is the right to vote. That right should be protected for every citizen of our district, regardless of race,” said Acting U.S. Attorney Kurt R. Erskine for the Northern District of Georgia. “The United States Attorney’s Office for the Northern District of Georgia is committed to protecting the rights of all Americans to vote.”
The United States’ complaint contends that several provisions of Senate Bill 202 were adopted with the purpose of denying or abridging the right to vote on account of race. The Justice Department’s lawsuit alleges that the cumulative and discriminatory effect of these laws—particularly on Black voters—was known to lawmakers and that lawmakers adopted the law despite this.
The United States’ complaint challenges several provisions of Senate Bill 202, including a provision banning government entities from distributing unsolicited absentee ballot applications; the imposition of costly and onerous fines on civic organizations, churches and advocacy groups that distribute follow-up absentee ballot applications; the shortening of the deadline to request absentee ballots to 11 days before Election Day; the requirement that voters who do not have identification issued by the Georgia Department of Driver Services photocopy another form of identification in order to request an absentee ballot without allowing for use of the last four digits of a social security number for such applications; significant limitations on counties’ use of absentee ballot drop boxes; the prohibition on efforts by churches and civic groups to provide food or water to persons waiting in long lines to vote; and the prohibition on counting out-of-precinct provisional ballots cast before 5 p.m. on Election Day. The complaint asks the court to prohibit Georgia from enforcing these requirements.
Deputy Attorney General Lisa O. Monaco also issued a memo to United States Attorneys and FBI Field Offices today on investigating and prosecuting threats to election officials. To assist with this important effort the department will also establish an intra-Departmental task force to address the rising threats.
Today’s announcements follow Attorney General Garland’s recent commitment to expand the Justice Department’s efforts to safeguard voting rights.
More information about the Voting Rights Act and other federal voting laws is available on the Department of Justice’s website at www.justice.gov/crt/about/vot. Complaints about discriminatory voting practices may be reported to the Voting Section of the Justice Department’s Civil Rights Division at 1-800-253-3931.
For a list of the department’s actions to protect voting rights, click here.
Jury Convicts Springfield Man of Conspiracy to Distribute Synthetic Cannabinoids and Related ChargesRead the Press Release
SPRINGFIELD, Ill. – A federal jury returned a guilty verdict on June 21, 2021, against Abdul G. Alsamah, 51, formerly of Springfield, Ill., for conspiracy to distribute a controlled substance, distribution of a controlled substance, and possession of a controlled substance with the intent to distribute. Prior to his conviction, Alsamah was residing in Oakland, Calif. Sentencing for Alsamah has been scheduled for October 22, 2021, at the U.S. Courthouse in Springfield.
During four days of trial, beginning on June 16, the government presented evidence that between November 2014 and March 2016, Alsamah conspired with his co-defendant, Letha Dean, to distribute synthetic cannabinoids, sometimes referred to as K2 or spice – which are Schedule I controlled substances – to individuals in the Sangamon County, Ill. Alsamah and Dean distributed synthetic cannabinoids from the Crossing Two, a liquor store run by Alsamah, and a connected business, Mystic Enchantments, both in Springfield.
Alsamah was taken into custody after the verdict and remains in the custody of the United States Marshals Service. At sentencing, Alsamah faces a statutory penalty of up to twenty years in prison.
Eight other defendants have been convicted and sentenced in related cases: Mohammed Ali Saleh, Hamoud Hazam, Noman Hizam, Abdulrhamm Saleh, Abdu Saleh Mohamed, Walid Alanasawi, Jamal Nasir, and Ahmed Alkohshi. Two other defendants, Mohanad Al-Matarneh and Letha Dean, have been convicted but have not yet been sentenced.
These cases are the result of an Organized Crime Drug Enforcement Task Force (OCDETF) task force investigation conducted by the Drug Enforcement Administration’s Springfield Division, with the assistance of the Federal Bureau of Investigation’s Springfield Division; the Springfield Police Department; the Sangamon County Sheriff’s Department; the Illinois Department of Revenue; the Illinois Secretary of State; and the Illinois State Police. Assistant U.S. Attorneys Timothy A. Bass and Tanner K. Jacobs represented the federal government at trial.
OCDETF is a Department of Justice program that brings together the combined expertise and unique abilities of federal, state, and local enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle, and prosecute high-level members of drug trafficking, weapons trafficking, and money laundering organizations and enterprises.
Jury Convicts Felon for Illegal Possession of Multiple Firearms and Witness TamperingRead the Press Release
NORFOLK, Va. – A federal jury convicted a Norfolk man yesterday on one count of illegally possessing firearms as a felon, four counts of witness tampering and obstruction of justice, and one count of unlawful possession of a controlled substance.
According to court records and evidence presented at trial, in October and November 2017, Adonis Marquis Perry, 31—a five-time convicted felon who had sustained two state convictions and one federal conviction for being a felon in possession of firearms and ammunition—took pictures of himself holding a Glock, Model 17, 9mm semi-automatic handgun, loaded with an extended magazine, and a Taurus, Model 66, .357 magnum revolver.
According to the evidence presented at trial, on December 18, 2017, Perry was arrested at a traffic stop in Norfolk after attempting to elude law enforcement by running through stop signs and making rapid turns, finally stopping in a residential parking lot. When law enforcement caught up to the car, they ordered the two occupants out of the vehicle. After receiving permission to search the vehicle, officers found the Taurus revolver and the Glock handgun—the latter loaded with the same magazine that was in the defendant’s pictures.
According to the evidence presented at trial, Perry spent the next seven months after his arrest making recorded calls from the jail to engage in witness tampering and obstruction of justice, specifically involving a series of efforts to interfere with the potential testimony of the second person who was in the car during Perry’s arrest encounter.
Perry faces a maximum penalty of 92 years in prison when sentenced on November 17. 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, and Charlie J. Patterson, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after Senior U.S. District Judge Rebecca Beach Smith accepted the verdict.
Assistant U.S. Attorneys William B. Jackson and Joseph E. DePadilla are prosecuting the case.
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. 2:18-cr-113.
Joseph Meli Sentenced to 37 Months in Prison for Participating in Broadway Ticket Resale Investment Fraud SchemeRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, announced that JOSEPH MELI was sentenced today to 37 months in prison in connection with MELI’s participation in a fraudulent Broadway ticket investment scheme wherein MELI purported to use investor funds to purchase tickets to Broadway shows for resale on the secondary market, but instead misappropriated those funds for his personal use. MELI previously pled guilty before U.S. District Judge Ronnie Abrams, who imposed today’s sentence.
U.S. Attorney Audrey Strauss said: “Joseph Meli, a recidivist fraudster, spun the web of lies that buttressed this scheme while on pretrial release in a prior theatre ticket investment fraud case in this District. With today’s sentencing, the curtain has come down on Joseph Meli’s act.”
According to the Complaint, the Indictment, and other court documents, as well as statements made in public court proceedings:
Beginning in at least March 2017 through in or about June 2018, MELI falsely represented to partners in a business entity, Indio Entertainment, LLC (“Indio”), that MELI owned a large number of tickets to live events, or intended to purchase a large number of tickets to live events. MELI further falsely represented that he would sell those tickets to Indio in exchange for investor money that Indio had solicited for the purpose of reselling the tickets on the secondary market for profit. MELI, in turn, caused Indio principals to represent to investors that investor funds would be used to purchase bulk tickets to live shows without disclosing MELI’s involvement, and promised investors a share of these profits. In fact, MELI failed to invest the investor monies as promised, and failed to supply Indio with bulk tickets, but rather diverted investor monies to his own personal use, including sending $455,000 to a close relative of MELI’s in part to pay off credit card debt incurred by MELI, $500,000 to an individual completely unrelated to the entertainment or ticket industry, and $220,000 to a residential management company that managed an apartment MELI was leasing.
This was not MELI’s first involvement in such a scheme. MELI is currently serving a 78-month sentence imposed by U.S. District Judge Kimba M. Wood in September 2018, resulting from MELI’s involvement in a similar Broadway ticket investment scheme. Indeed, MELI participated in the present scheme while on pretrial release in the case in front of Judge Wood.
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MELI, 46, of New York, New York, will serve 25 of the 37 months of the prison sentence concurrently with the prison sentence he is already serving. In addition to his prison sentence, MELI was sentenced to three years of supervised release, two years of which will run concurrently with the term of supervised release previously imposed by Judge Wood. MELI was also ordered to pay a forfeiture penalty of $2,082,425 and restitution in the amount of $1,909,146.
Ms. Strauss praised the work of the Special Agents from the U.S. Attorney’s Office for the Southern District of New York and thanked the Securities and Exchange Commission for its assistance.
This case is being handled by the Office’s General Crimes Unit. Assistant U.S. Attorneys Sarah Mortazavi and Micah Fergenson are in charge of the prosecution.
Jefferson County man admits to firearms chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Warren Long, of Harper’s Ferry, West Virginia, has admitted to a firearms charge, Acting United States Attorney Randolph J. Bernard announced.
Long, 33, pleaded guilty today to one count of “Unlawful Possession of a Firearm.” Long, a person prohibited from having a firearm because of a prior conviction, admitted to having a .410 gauge shotgun in May 2020 in Jefferson County.
Long faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Timothy D. Helman is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, & Explosives and the Jefferson County Sheriff’s Office investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on June 24 was:
Jimmy Lee King, 29, of Great Falls, on charges of conspiracy to possess with intent to distribute controlled substances, possession with intent to distribute controlled substances and distribution of methamphetamine. If convicted of the most serious crime, King faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. King was detained pending further proceedings. The Drug Enforcement Administration and Great Falls Police Department investigated the case. PACER case reference. 21-39.
Appearing on June 17 was:
Jeffrey Lee Foss, 37, of Great Falls, on charges of conspiracy to possess with intent to distribute meth and possession with intent to distribute meth. If convicted of the most serious crime, Foss faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Foss was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives and Great Falls Police Department investigated the case. PACER case reference. 21-38.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Hinton Man Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
BECKLEY, W.Va. – A Hinton man pleaded guilty today to a federal child pornography charge – his second federal child pornography conviction in seven years.
According to court documents, David Alan Hunt, 39, admitted that on January 22, 2021, he possessed child pornography of prepubescent minors on an iPad at his residence in Hinton. Hunt also admitted that at the time he possessed the child pornography, he was on supervised release for a 2014 federal child pornography conviction. Hunt’s supervising United States Probation Officer recovered the iPad containing the child pornography during a home visit.
Hunt faces a mandatory minimum sentence of 10 years in prison and up to 20 years in prison when he is sentenced on October 18, 2021. He also faces consecutive prison time as a result of violating his supervised release.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI) and the United States Probation Office.
United States District Court Judge Frank W. Volk presided over the hearing. Assistant United States Attorneys Kristin F. Scott and Jennifer Rada Herrald are handling the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 5:21-cr-00075.
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Hattiesburg Woman Pleads Guilty to Wire Fraud Related to Employee TheftRead the Press Release
NEW ORLEANS – U.S. Attorney Duane A. Evans announced that CHRISTY BARTHOLOMEW, age 39, of Hattiesburg, Mississippi, pleaded guilty on June 23, 2021 to a two-count Bill of Information for wire fraud before United States District Court Judge Lance M. Africk today.
According to court records, BARTHOLOMEW was employed as a financial controller for a business located in Slidell, Louisiana, and later worked as an office manager for a company located in Kenner, Louisiana. From 2016 to October of 2019, she embezzled approximately $357,000 from her Slidell employer by several schemes, including unauthorized use of a company credit card. She later did the same thing with her Kenner employer, embezzling approximately $300,000 from November 2019 to February 2020.
Sentencing is scheduled for October 27, 2021. At that time, BARTHOLOMEW faces up to twenty years in prison, up to $250,000 in fines, and up to three years of supervised release. There is also a $100 mandatory special assessment due after conviction.
U.S. Attorney Evans praised the work of the Department of Homeland Security – Homeland Security Investigations, along with assistance from the St. Tammany Parish Sheriff’s Office, in investigating this matter. Assistant U.S. Attorney Edward J. Rivera is in charge of the prosecution.
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Harrisburg Man Indicted for Drug Trafficking and Firearms OffensesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Reginald Hopkins, age 44, of Harrisburg, Pennsylvania, was indicted by a federal grand jury on June 23, 2021, for drug trafficking and firearms offenses.
According to Acting U.S. Attorney Bruce D. Brandler, the indictment alleges that on January 15, 2021, in Dauphin County, Pennsylvania, Hopkins sold a detectable amount of cocaine base, commonly known as “crack.” Additionally, the indictment alleges that on February 11, 2021, Hopkins was in possession of three firearms (an Astra Constable 9mm handgun, a Hi-Point CF380 .380 handgun and a S&W M&P 9 Shield 9mm handgun) after previously having been convicted of a felony offense. Hopkins was also in possession of 9 mm and .380 caliber ammunition.
The matter was investigated by the Harrisburg Police Department’s Street Crimes Unit and the Community Policing Unit, along with the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Paul J. Miovas, Jr. is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty for the felon in possession of a firearm and ammunition offense is 10 years of imprisonment, a term of 3 years of supervised release following imprisonment, and a $250,000 fine. The maximum penalty for the distribution of a controlled substance offense is 30 years of imprisonment, a term of at least 6 years of supervised release following imprisonment, and a $2,000,000 fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Green Bay Man Sentenced to 13 years in Federal Prison for Sex TraffickingRead the Press Release
Acting United States Attorney Richard G. Frohling of the Eastern District of Wisconsin, announced that on June 25, 2021, Darryl K. Green (age: 53) of Green Bay, Wisconsin was sentenced to 13 years in federal prison by Senior District Judge William C. Griesbach.
Between January 2020 and August 2020, Green recruited, enticed, and forced dozens of women toengage in acts of prostitution under the threat of physical force. Often compelling the victims to give asmuch as 100% of the proceeds to him. Green also manipulated his victims’ controlled substance addictions to keep them in the prostitution trade. He pled guilty earlier this year to a charge of “Conspiracy to Commit Sex Trafficking” contrary to Title 18, United States Code, Sections 1594(c), 1591(a)(1), and 1591(b)(1).
In handing down the sentence, Judge Griesbach noted the extremely serious nature of the charge, calling it an “astounding offense in many ways.” He further cited a strong need to protect the public and to deter Green and others from engaging in sex trafficking in the future. Following his release from prison, Green will spend 10 years on supervised release.
This case was investigated by the Green Bay Police Department and the Wisconsin Department of Justice, Division of Criminal Investigation, with the assistance of the Green Bay office of the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorneys Erica J. Lounsberry and Daniel R. Humble.
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Gorham Man Sentenced to 17 Years for Receiving and Possessing Child PornographyRead the Press Release
PORTLAND, Maine: A Gorham man was sentenced today in U.S. District Court in Portland for receiving and possessing child pornography, Acting U.S. Attorney Donald E. Clark announced.
U.S. District Judge Nancy Torresen sentenced Carl Loomis, 65, to 17 years in prison followed by 10 years of supervised release. Loomis pleaded guilty on November 30, 2020.
According to court records, in May 2018, investigators with the Gorham Police Department executed a search warrant at Loomis’s residence in Gorham. He admitted to investigators that he had child pornography images on his phone and that he had sent images to others using chat sites. Investigators seized several electronic devices from the residence. On one of them, they found chats using a messaging application in which Loomis received child pornography images and videos and discussed his sexual interest in children.
The Gorham Police Department and Homeland Security Investigations investigated the case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Department’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Gang Member Sentenced for Being a Felon in Possession of FirearmRead the Press Release
Acting United States Attorney Jan Sharp announced that Travell T. Richard, 32, of Omaha, Nebraska, was sentenced today in federal court in Omaha for being a felon in possession of a firearm. United States District Judge Robert F. Rossiter, Jr. sentenced Richard to 51 months’ imprisonment. Richard will serve a 3-year term of supervised release following his release from the Bureau of Prisons. There is no parole in the federal system.
On July 8, 2020, police were called to a possible disturbance involving Richard at a residence located on the 5900 block of North 47th Street, in Omaha.
Upon arrival at the residence, officers saw Richard, who attempted to flee into a bathroom located in the house. Officers followed Richard into the bathroom, at which time an officer could see Richard attempting to remove something from his shorts pocket. While officers attempted to detain Richard, he tossed a Taurus PT111 Millennium G2 pistol from his shorts across the bathroom floor. The handgun was recovered by an officer.
At the time Richard possessed this firearm, he knew he had prior felony convictions and was prohibited from possessing firearms. His previous convictions were in 2007, Assault in the First Degree and Use of a Deadly Weapon to Commit a Felony, and in 2018, Possession of a Controlled Substance, both in the District Court of Douglas County, Nebraska. Richard also had a previous federal felony conviction for being a Prohibited Person in Possession of a Firearm (8:10CR10).
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 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. The United States Attorney’s Office has prosecuted this case with support from Project Guardian partner, the Omaha Police Department.
Former Boston Police Sergeant Pleads Guilty in Overtime Fraud SchemeRead the Press Release
BOSTON – A former Boston Police Sergeant pleaded guilty today in connection with an ongoing investigation of overtime fraud at the Boston Police Department’s evidence warehouse.
William Baxter, 62, of Hyde Park, pleaded guilty to one count of conspiracy to commit theft concerning programs receiving federal funds and one count of embezzlement from an agency receiving federal funds. U.S. District Court Judge Patti B. Saris scheduled sentencing for Oct. 21, 2021. Baxter was charged on May 24, 2021.
From March 2015 through June 2016, Baxter submitted false and fraudulent overtime slips for overtime hours that he did not work for two overtime shifts at the evidence warehouse. The first, called “purge” overtime, was a 4 – 8 p.m. weekday shift intended to dispose of old, unneeded evidence. The second shift, called “kiosk” overtime, involved driving to each police district in Boston one Saturday a month to collect old prescription drugs to be burned.
For the “purge” shift, Baxter claimed to have worked from 4 – 8 p.m., but he routinely left at 6 p.m., and sometimes earlier. Additionally, Baxter knowingly endorsed the fraudulent overtime slips of his subordinates who, allegedly, also left early from this shift. For the “kiosk” shift, Baxter and, allegedly, others routinely submitted overtime slips claiming to have worked eight-and-one-half hours, when in fact he and, allegedly, other members of the unit, only worked three-to-four hours of those shifts.
Between March 2015 and June 2016, Baxter personally collected approximately $9,223 for overtime hours he did not work.
To date, 14 Boston Police officers have been charged in connection with committing overtime fraud at the Boston Police Department’s evidence warehouse. Baxter is the seventh officer to plead guilty. An eighth former officer, Craig Smalls, is scheduled to plead guilty on July 1, 2021.
From 2015 through 2019, BPD received annual benefits from the U.S. Department of Transportation and U.S. Department of Justice in excess of $10,000, which were funded pursuant to numerous federal grants.
The charge of embezzlement from an agency receiving federal funds provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss. The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Russell W. Cunningham, Special Agent in Charge of the Department of Justice Office of the Inspector General, Washington Field Office; and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Mark Grady of Mendell’s Public Corruption & Special Prosecutions Unit is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.