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24 June 2021
Marion County Convicted Felon Pleads Guilty to Federal Firearm and Drug Distribution ChargesRead the Press Release
Ocala, Florida – Glenn Edward Davis, Jr. (35, Ocala) has pleaded guilty to two counts of possessing a firearm and ammunition as a convicted felon and two counts of possession with the intent to distribute methamphetamine. Davis faces a minimum mandatory sentence of 5 years, and up to 40 years, in federal prison on each of the drug counts, and up to 10 years’ imprisonment on each of the firearm charges.
Davis had been indicted in November 2019.
According to the facts presented in court, on the night of March 16, 2019, an officer from the Ocala Police Department attempted to stop Davis’s car. Davis quickly abandoned the car and fled on foot, but left behind his driver license, a loaded handgun, and methamphetamine packaged for distribution. On July 10, 2019, a detective from the Ocala Police Department spotted Davis driving a different car. When the detective attempted initiate a traffic stop, Davis again fled on foot. Once apprehended, Davis struggled with and injured the detective. A subsequent search of Davis’s car revealed another loaded handgun, ecstasy pills, heroin, and pure methamphetamine packaged for distribution. Laboratory testing confirmed Davis’s DNA on the firearm.
With 14 prior state felony convictions, Davis is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the City of Ocala Police Department, the Federal Bureau of Investigation, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Robert E. Bodnar, Jr.
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.
Manhattan U.S. Attorney Announces Securities and Wire Fraud Charges Against Founder and Manager of Mutual FundRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, and Philip R. Bartlett, Inspector-in-Charge of the New York Office of the U.S. Postal Inspection Service (“USPIS”), announced today that OFER ABARBANEL was arrested this morning in Los Angeles, California, and charged with securities fraud and wire fraud in connection with ABARBANEL’s scheme to defraud investors in a mutual fund he founded and controlled.
Manhattan U.S. Attorney Audrey Strauss said: “As alleged, Ofer Abarbanel conducted a bait-and-switch, promising investors safe and liquid investments but instead transferring their money to risky counterparties to trade for his own benefit and that of his confederates. His alleged scheme has now been uncovered and he will have to answer for his alleged lies.”
USPIS Inspector-in-Charge Philip R. Bartlett said: “Postal Inspectors remind investors to thoroughly review all lucrative offers as well as their fund managers. In this case, as alleged, Mr. Abarbanel devised a scheme to defraud investors with bogus claims of liquidity and collateral, when in fact he did not use investors’ funds as promised and did not acquire the promised collateral. Our advice is to trust your gut, and remember that where there is high reward, there is high risk.”
According to the Complaint[1] unsealed today Manhattan federal court:
From at least in or about 2018 through the present, ABARBANEL engaged in a scheme to defraud investors in a mutual fund he founded and controlled (the “Fund”). ABARBANEL falsely represented to an investment adviser to a group of investors (the “Investor Group”) that investments in the Fund would be placed “primarily” in short-term United States Treasury Securities having maturities less than or equal to three months. Contrary to these representations, the vast majority of the investors’ funds were not invested in short-term treasuries. Instead, immediately after the Investor Group’s investment was received by the Fund, ABARBANEL and his confederates transferred the investor funds to counterparties controlled by or otherwise closely associated with ABARBANEL, for use, among other things, in trading not authorized by the Fund’s offering documents and for the benefit of ABARBANEL and the counterparties.
ABARBANEL further represented that, in order to enhance income, the Fund intended to invest in securities lending transactions as well as repurchase and reverse repurchase agreements. ABARBANEL represented, as to these transactions, that the Fund would receive, in its possession and control, safe and secure collateral, in the form of treasury securities that could be quickly liquidated in the event a counterparty defaulted on its obligations. ABARBANEL, however, failed to obtain for the Fund the promised collateral to secure the investments. Nonetheless, ABARBANEL repeatedly represented, in substance, that the Fund had possession of the collateral.
In or about May and June 2021, ABARBANEL failed to honor a redemption request by the Investor Group for all of its outstanding investment, totaling more than $100 million, instead placing conditions on the redemption that were contrary to the Fund’s offering document and to the Fund’s practices with respect to prior redemptions. On or about June 16, 2021, the Fund transferred more than $10 million in investor funds from the Fund to a personal brokerage account of an attorney working with the Fund.
ABARBANEL will be presented later today in federal court in Los Angeles.
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ABARBANEL, 46, a dual U.S.-Israeli citizen who resides in Woodland Hills, California, is charged with one count of securities fraud and one count of wire fraud. The securities fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $5,000,000 or twice the gross gain or loss from the offense. The wire fraud count carries a maximum sentence of 20 years in prison and a maximum fine of $250,000 or twice the gross gain or loss from the offense.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Ms. Strauss praised the investigative work of the USPIS and thanked the SEC, which has filed civil charges against ABARBANEL in a separate action. She added that the criminal investigation is ongoing.
This case is being handled by the Office’s Securities and Commodities Fraud Task Force. Assistant U.S. Attorney Elisha J. Kobre is in charge of the prosecution.
The allegations contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations and every fact described should be treated as an allegation.
Kroger Shooter Sentenced to Life in Prison for Hate Crime MurdersRead the Press Release
A Kentucky man was sentenced in federal court to life in prison without parole in connection with his racially motivated murder of two Black patrons at a Kroger grocery store and his attempted murder of a third in Jeffersontown, Kentucky.
Gregory A. Bush, 53, of Louisville, Kentucky, previously pleaded guilty-but-mentally-ill to state charges for murder, attempted murder and wanton endangerment arising out of the shooting and was sentenced to a life term in state prison.
During his federal plea hearing, Bush admitted that on Oct. 24, 2018, he drove to a Kroger grocery store in Jeffersontown armed with a Smith & Wesson, model 411, .40-caliber pistol. In the store, Bush followed a Black man, who was shopping with his grandson, for the length of an aisle before pulling the gun from his waistband and shooting the victim in the back of the head. Bush then shot the victim several more times in the torso, killing him. Bush had no prior relationship with the victim and chose to shoot him because of the victim’s race. Bush then re-holstered his gun and calmly walked out of the store.
In the parking lot, Bush walked up to a Black woman and shot her several times in the head and body, killing her. Bush had no prior relationship with this victim and chose to shoot her because of her race.
Seconds later, Bush encountered a Black man who was in lawful possession of a handgun. The third victim asked Bush what was going on, and Bush, without responding, began walking toward him with the gun drawn. The third victim fired at Bush, and Bush returned fire. After about a minute, Bush stopped shooting and walked away. Bush had no prior relationship with the third victim and chose to shoot at him because of his race. Bush next encountered a white man, who was legally armed with a firearm. Bush told him, “Don’t shoot me [and] I won’t shoot you. Whites don’t shoot whites.”
“The defendant is being held accountable for his vicious, racially motivated attack on three Black individuals who were targeted because of the color of their skin, resulting in the untimely death of two of his victims and irreparable harm to the third,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “Racially motivated acts of violence must not be tolerated in our country today. The Civil Rights Division of the Department of Justice will continue to work with our federal, state and local partners to ensure that individuals who commit bias-motivated crimes are brought to justice for their actions.”
“Life in prison is appropriate in light of the brutal acts committed by the defendant against our fellow citizens,” said Acting U.S. Attorney Michael A. Bennett of the Western District of Kentucky. “The initial law enforcement response and investigation, collaboration by federal and state prosecutors, and the sentence imposed serve notice to all that race-based violence will be met with swift and exacting justice.”
“Today, Mr. Bush was held responsible for his vile conduct,” said Special Agent in Charge Robert Brown of the FBI Louisville Field Office. “We are a diverse city and country, bound together by shared values and beliefs. We are also a nation of laws. When those like Mr. Bush betray our shared values and violate our laws, the FBI and its Department of Justice partners will be ready to hold them accountable. This is just one example of how hate and violence will not be tolerated and have no place in our community.”
“This was a heinous crime where innocent victims were gunned down for no other reason than the color of their skin,” said Special Agent in Charge R. Shawn Morrow of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Louisville Division. “The ATF Louisville Division worked tirelessly alongside our law enforcement partners to seek justice for the victims, their families and the community at large impacted by this hate crime. Today’s life sentence in prison demonstrates law enforcement’s stance against race-based violence and our commitment to justice.”
This case was investigated by the FBI Louisville Office, the ATF Louisville Field Division, and the Jeffersontown Police Department, and was prosecuted by Special Litigation Counsel Christopher J. Perras of the DOJ’s Civil Rights Division and Assistant U.S. Attorney Amanda Gregory of the Western District of Kentucky.
Kroger Shooter Sentenced to Life in Prison for Hate Crime MurdersRead the Press Release
WASHINGTON – A Kentucky man was sentenced in federal court to life in prison without parole in connection with his racially motivated murder of two Black patrons at a Kroger grocery store, and his attempted murder of a third in Jeffersontown, Kentucky.
Gregory A. Bush, 53, of Louisville, Kentucky previously pleaded guilty-but-mentally-ill to state charges for murder, attempted murder and wanton endangerment arising out of the shooting and was sentenced to a life term in state prison.
During his federal plea hearing, Bush admitted that on Oct. 24, 2018, he drove to a Kroger grocery store in Jeffersontown armed with a Smith & Wesson, model 411, .40-caliber pistol. In the store, Bush followed a Black man, who was shopping with his grandson, for the length of an aisle before pulling the gun from his waistband and shooting the victim in the back of the head. Bush then shot the victim several more times in the torso, killing him. Bush had no prior relationship with the victim and chose to shoot him because of the victim’s race. Bush then re-holstered his gun and calmly walked out of the store.
In the parking lot, Bush walked up to a Black woman, and shot her several times in the head and body, killing her. Bush had no prior relationship with this victim and chose to shoot her because of her race.
Seconds later, Bush encountered a Black man who was in lawful possession of a handgun. The third victim asked Bush what was going on, and Bush, without responding, began walking toward him with the gun drawn. The third victim fired at Bush, and Bush returned fire. After about a minute, Bush stopped shooting and walked away. Bush had no prior relationship with the third victim and chose to shoot at him because of his race. Bush next encountered a white man, who was legally armed with a firearm. Bush told him, “Don’t shoot me [and] I won’t shoot you. Whites don’t shoot whites.”
“The defendant is being held accountable for his vicious, racially-motivated attack on three Black individuals who were targeted because of the color of their skin, resulting in the untimely death of two of his victims and irreparable harm to the third,” said Assistant Attorney General Kristen Clarke for the Justice Department’s Civil Rights Division. “Racially motivated acts of violence must not be tolerated in our country today. The Civil Rights Division of the Department of Justice will continue to work with our federal, state and local partners to ensure that individuals who commit bias-motivated crimes are brought to justice for their actions.”
“Life in prison is appropriate in light of the brutal acts committed by the defendant against our fellow citizens,” said Acting U.S. Attorney Michael A. Bennett of the Western District of Kentucky. “The initial law enforcement response and investigation, collaboration by federal and state prosecutors, and the sentence imposed serve notice to all that race-based violence will be met with swift and exacting justice.”
“Today, Mr. Bush was held responsible for his vile conduct," said Special Agent in Charge Robert Brown of the FBI Louisville Field Office. “We are a diverse city and country, bound together by shared values and beliefs. We are also a nation of laws. When those like Mr. Bush betray our shared values and violate our laws, the FBI and its Department of Justice partners will be ready to hold them accountable. This is just one example of how hate and violence will not be tolerated and have no place in our community.”
“This was a heinous crime where innocent victims were gunned down for no other reason than the color of their skin,” said Special Agent in Charge R. Shawn Morrow of the ATF Louisville Division. “The ATF Louisville Division worked tirelessly alongside our law enforcement partners to seek justice for the victims, their families, and the community at large impacted by this hate crime. Today’s life sentence in prison demonstrates law enforcement’s stance against race-based violence and our commitment to justice.”
This case was investigated by the FBI Louisville Office, the ATF Louisville Field Division, and the Jeffersontown Police Department, and was prosecuted by Special Litigation Counsel Christopher J. Perras of the DOJ’s Civil Rights Division, and Assistant U.S. Attorney Amanda Gregory of the Western District of Kentucky.
Justice Department Settles Claim Against Operators of a Utah On-The-Job Training Program for Discriminating Against AsyleeRead the Press Release
The Department of Justice today announced that it signed a settlement agreement with Montana-based Easterseals-Goodwill Northern Rocky Mountain Inc. (ESGW), which also operates in Utah, Idaho and Wyoming. The settlement resolves a claim that an ESGW office in Utah discriminated against an asylee by rejecting her documents that were valid proof of work authorization and demanding different documents to verify her employment eligibility, based on her immigration status. The investigation also determined that ESGW required other non-U.S. citizens to present unnecessary immigration documents to prove their authorization to work in the United States, in violation of the Immigration and Nationality Act (INA)’s anti-discrimination provision.
The department opened its investigation after the asylee filed a discrimination complaint against ESGW based on her experience with an ESGW on-the-job training program. The investigation showed that ESGW did not allow the asylee to provide her choice of legally acceptable documentation to show that she was authorized to work in the United States. The asylee had presented a valid state ID and unrestricted Social Security card, which are sufficient to complete the federal form (Form I-9) employers use to verify an employee’s identity and work eligibility. However, ESGW rejected the documents and demanded unnecessary additional documents to prove work authorization. The department also concluded that another Utah ESGW office demanded an immigration document from all non-U.S. citizens as a regular practice, even if these workers had already presented other documents sufficient to complete the Form I-9. The INA’s anti-discrimination provision prohibits employers from requesting more or different documents than necessary or rejecting documents that reasonably appear genuine to prove work authorization based on employees’ citizenship, immigration status, or national origin. Instead, in the INA, Congress determined that workers may choose which valid, legally acceptable documents to present to demonstrate their ability to work in the United States, regardless of citizenship status or national origin.
“Employers may not demand more documents than required by law to prove work authorization based on a worker’s citizenship or immigration status,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “The Civil Rights Division is committed to protecting asylees and others who are not U.S. citizens from unlawful discrimination.”
Under the terms of the settlement agreement, ESGW will pay $6,186 in civil penalties to the United States, revise its policies and procedures and train relevant employees on the INA’s anti-discrimination provision.
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits citizenship, immigration status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
Learn more about IER’s work and how to get assistance through this brief video. More information on the rights of refugees and asylees in the Form I-9 and E-Verify process is available here. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status or national origin in hiring, firing, recruitment, or during the employment eligibility verification process (e.g., Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public also can contact IER’s worker hotline at 1-800-255-7688; call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER.
Justice Department Reaches Agreement with San Luis Obispo County Jail to Ensure Safe and Equal Access to its Programs for Inmates with Mobility DisabilitiesRead the Press Release
The Justice Department today reached a settlement under Title II of the Americans with Disabilities Act (ADA) with San Luis Obispo County, California, to ensure that inmates with mobility disabilities have an equal opportunity to participate in San Luis Obispo Jail’s (SLO Jail) programs, services and activities.
Based on its investigation, the United States determined that SLO Jail facilities were inaccessible to inmates with mobility disabilities and denied them equal access to the Jail’s programs, services and activities. SLO fully cooperated with the Justice Department’s investigation and indicated a commitment to remedying barriers to equal access.
“Jails and prisons across our country must ensure that their facilities are accessible to people with disabilities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “Compliance with the Americans with Disabilities Act ensures that inmates with disabilities have equal access to basic necessities, such as showers and sleeping areas, and to all activities that are offered to inmates without disabilities. We commend the County for recognizing its obligations and working with the Department of Justice to bring the facilities at its jail into compliance with the law.”
“People with mobility disabilities are entitled to have access to cells and showers they can safely use while incarcerated,” said Acting United States Attorney for the Central District of California Tracy L. Wilkison. “San Luis Obispo County has taken important steps to ensure that the facilities at its jail are in compliance with the ADA.”
Under the ADA, governmental entities that operate jails or prisons must make changes necessary to ensure that inmates with mobility disabilities do not serve time in a manner that is more difficult, or less safe, than those without disabilities.
The department opened its investigation after receiving a complaint by a former inmate at SLO Jail who has a mobility disability and uses a prosthetic leg. The inmate alleged that SLO Jail failed to provide him with an accessible cell or shower, causing him to fall repeatedly and, in one instance, to break his leg. The complainant also alleged that, because of his disability, SLO Jail denied him equal opportunities for recreation and other programs, leading him to experience unnecessary isolation.
Under the agreement, SLO Jail will make architectural changes to its facilities to ensure that they are accessible to inmates with disabilities. The Jail will also train relevant staff, designate an ADA coordinator and implement an ADA complaint procedure. In addition, the Jail will pay $175,000 to the complainant to compensate him for his pain and suffering.
For more information about the ADA and today’s agreement, please visit http://www.ada.gov or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY). ADA complaints may be filed online at http://www.ada.gov/complaint/.
Justice Department Reaches Agreement with San Luis Obispo County Jail to Ensure Safe and Equal Access to Programs for Inmates with Mobility DisabilitiesRead the Press Release
LOS ANGELES – The Justice Department today reached a settlement under Title II of the Americans with Disabilities Act (ADA) with San Luis Obispo County to ensure that inmates with mobility disabilities have an equal opportunity to participate in San Luis Obispo Jail’s (SLO Jail) programs, services and activities.
Based on its investigation, the United States determined that SLO Jail facilities were inaccessible to inmates with mobility disabilities and denied them equal access to the jail’s programs, services and activities. San Luis Obispo County fully cooperated with the investigation and indicated a commitment to remedying barriers to equal access.
“People with mobility disabilities are entitled to have access to cells and showers they can safely use while incarcerated,” said Acting United States Attorney Tracy L. Wilkison. “San Luis Obispo County has taken important steps to ensure that the facilities at its jail are in compliance with the ADA.”
“Jails and prisons across our country must ensure that their facilities are accessible to people with disabilities. Compliance with the Americans with Disabilities Act ensures that inmates with disabilities have equal access to basic necessities, such as showers and sleeping areas, and to all activities that are offered to inmates without disabilities,” said Assistant Attorney General Kristen Clarke of the Justice Department’s Civil Rights Division. “We commend the County for recognizing its obligations and working with the Department of Justice to bring the facilities at its jail into compliance with the law.”
Under the ADA, governmental entities that operate jails or prisons must make changes necessary to ensure that inmates with mobility disabilities do not serve time in a manner that is more difficult, or less safe, than those without disabilities.
The Justice Department opened its investigation after receiving a complaint by a former inmate at SLO Jail who has a mobility disability and uses a prosthetic leg. The inmate alleged that SLO Jail failed to provide him with an accessible cell or shower, causing him to fall repeatedly and, in one instance, to break his leg. The complainant also alleged that, because of his disability, SLO Jail denied him equal opportunities for recreation and other programs, leading him to experience unnecessary isolation.
Under the agreement, SLO Jail will make architectural changes to its facilities to ensure that they are accessible to inmates with disabilities. The jail will also train relevant staff, designate an ADA coordinator and implement an ADA complaint procedure. In addition, the jail will pay $175,000 to the complainant to compensate him for his pain and suffering.
For more information about the ADA and today’s agreement, please visit https://www.ada.gov/ or call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TTY). ADA complaints may be filed online at https://www.ada.gov/file-a-complaint/.
Jury Convicts Two Men for Bribery and Kickback Conspiracy Involving U.S. Department of Defense ContractsRead the Press Release
ALEXANDRIA, Va. – A federal jury convicted two men today for participating in a bribery and kickback conspiracy involving a contract for the U.S. Department of Defense’s Office of Inspector General (DoD OIG).
According to court records and evidence presented at trial, beginning in 2010 and continuing through 2015, William S. Wilson, 56, of Florida, was the owner of a small construction company based in Lake Butler, Florida that paid numerous kickbacks and bribes to his co-conspirators. Among other things, Wilson paid tens of thousands of dollars in bribes to Matthew K. LumHo, 46, of Fairfax Station, then employed with the DoD OIG’s Information Services Directorate. In return, LumHo took official acts that benefitted Wilson’s companies, including steering work to Wilson’s company by placing fraudulent service orders through a government contract that LumHo controlled.
The evidence presented at trial further proved that, over the same time period from 2010 through 2015, Wilson also paid numerous kickbacks to Ronald Capallia and another employee for a telecommunications company that was a prime contractor to the government. Wilson paid these kickbacks to Capallia and the other individual to cause them to steer work and provide favorable treatment to Wilson’s companies as subcontractors to the telecommunications company.
One of the key subcontracts steered to Wilson’s company related to a prime contract between the telecommunications firm and the DoD OIG, in which the telecommunications firm was supposed to supply various information technology-related services to the government. Wilson’s company was awarded this subcontract despite its lack of any relevant experience or expertise, and despite having no employees based in or near northern Virginia, where all the work was to be performed.
Wilson frequently disguised the bribes and kickbacks to Capallia, LumHo, and another individual through fake invoices for services that were never provided, or by masking the payments as payroll to relatives of Capallia and LumHo for jobs that did not in fact exist.
As the scheme progressed, the co-conspirators caused the government to submit numerous false and fraudulent service orders through the prime contract. The false service orders typically described the items being provided as specialized IT-related support services, when in fact the co-conspirators were simply buying standard, commercially available items, dramatically marking up the price, and billing the government as though it had been provided with the specialized IT-related services. The co-conspirators also used fraudulent service orders to conceal bribes in the form of high-end camera equipment and stereo equipment sent from Wilson to LumHo, thereby causing the government to pay for the very bribes that Wilson was sending to LumHo.
The evidence adduced at trial further demonstrated that the co-conspirators repeatedly sought to interfere with the criminal investigation by creating false documentation, making false statements to law enforcement officials, lying on a financial disclosure form, committing perjury during sworn civil deposition testimony, and tampering or attempting to tamper with a witness. In addition, Wilson threatened to murder Capallia and his family members by slitting their throats if Capallia ever testified on behalf of the government.
Co-conspirator Ronald A. Capallia, Jr., 40, pleaded guilty on January 25, 2018 to his role in the conspiracy and will be sentenced on September 14, 2021.
Wilson and LumHo each face a maximum penalty of 20 years in prison when sentenced on October 15. 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; Timothy R. Thibault, Acting Special Agent in Charge of the FBI Washington Field Office Criminal Division; and Kelly P. Mayo, Deputy Inspector General for Investigations at the Department of Defense’s Office of Inspector General, made the announcement after Senior U.S. District Judge Liam O’Grady accepted the verdict.
Assistant U.S. Attorneys Matthew Burke and Russell L. Carlberg 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. 1:17-cr-222.
Jefferson County Doctor Sentenced to Federal Prison for Health Care Fraud ViolationsRead the Press Release
BEAUMONT, Texas – A physician practicing in Beaumont has been sentenced to prison for federal health care fraud violations in the Eastern District of Texas, announced Acting U.S. Attorney Nicholas J. Ganjei today.
Grigoriy T. Rodonaia, 45, of Port Neches, Texas, was convicted by a jury on Nov. 17, 2020, of 12 counts of health care fraud, three counts of aggravated identity theft, and one count of making a false statement. Rodonaia was sentenced to 84 months in federal prison today by U.S. District Judge Marcia Crone. Rodonaia was additionally ordered to pay $195,607.76 in restitution.
“Mr. Rodonaia’s sentence is well deserved. His criminal acts inflicted significant financial harm on the TRICARE system and involved identity theft from military service members and their families,” said Acting U.S. Attorney Nicholas J. Ganjei. “Targeting health care fraud in all its forms remains a top priority for the U.S. Attorney’s Office for the Eastern District of Texas.”
Rodonaia, a physician practicing in Beaumont with Rodonaia Family Medicine and Aesthetics, was indicted on March 18, 2020. According to information presented in court, beginning in January 2015, Rodonaia participated in a health care fraud scheme by issuing prescriptions for specially compounded scar creams using the names, dates of birth, and Health Insurance Claim Numbers of TRICARE beneficiaries, and caused the prescriptions to be forwarded directly to Memorial Compounding Pharmacy in Houston, Texas. These prescriptions were issued without consultation with the patient and without the patient’s knowledge. The pharmacy billed the prescriptions to the military health care program, TRICARE, at approximately $9,000 to $13,000 per prescription, with multiple refills authorized per prescription. Rodonaia issued over 600 prescriptions in the names of approximately 140 beneficiaries in furtherance of this scheme. Before the scheme could be detected, TRICARE paid approximately $6.7 million in TRICARE funds to Memorial Compounding Pharmacy. Further, to conceal his criminal activity, Rodonaia forged patient records to create the false appearance that he had examined those patients, and he submitted the fraudulent records to the Defense Health Agency in response to an audit.
This case was investigated by the Defense Criminal Investigative Service, the Drug Enforcement Administration, Health and Human Services – Office of Inspector General, and the Texas Medicaid Fraud Control Unit. Assistant U.S. Attorneys John B. Ross and Robert A. Wells prosecuted this case.
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Jacksonville Couple Pleads Guilty to Child Exploitation OffensesRead the Press Release
Jacksonville, Florida – Samuel Christopher Templeman (46, Jacksonville) has pleaded guilty to conspiring to sex traffic a child. His wife, Deborah Lynn Templeman (50, Jacksonville), has pleaded guilty to possession of child sex abuse material. Samuel Templeman faces a maximum penalty of life in federal prison, and Deborah Templeman faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
According to the plea agreements, in 2018, Samuel Templeman and the child victim began regularly using heroin and crack cocaine together. Also at that time, a pimp began directing the child victim to engage in sex acts in exchange for drugs.
In July 2019, a court terminated the Templemans’ custodial rights over the child victim and ordered them not to have any contact with the child. The child was then placed in foster care, from which the child ran away. In late August 2019, Samuel Templeman received over $25,000 in inheritance, which the Templemans used to entice the child to return to them. By mid-October 2019, the Templemans had spent the entire inheritance, primarily on drugs for Samuel Templeman and the victim.
Thereafter, the only legitimate income for the Templemans and the victim was Deborah Templeman’s bi-weekly salary, which they spent 1-2 days after receipt. During the remaining portions of each month, the Templemans’ only income was derived from their sex trafficking of the child victim for money and the victim’s occasional panhandling. The Templemans spent most of that money on drugs and the rest on living expenses.
On December 11, 2019, a detective from the Jacksonville Sheriff’s Office went to Deborah Templeman’s place of employment in an attempt to locate the victim. While there, the detective overheard phone conversations in which Samuel Templeman told Deborah Templeman that he was taking the victim to a “date,” a common slang term for an appointment for the child to have sex for money, and that he would then come pick up Deborah Templeman. When Samuel Templeman later arrived at Deborah Templeman’s workplace, authorities arrested him and recovered the child victim.
Pursuant to a search warrant, investigators reviewed Deborah Templeman’s cellphone and found it contained sexually explicit images of the child victim. Deborah Templeman admitted that she knew those images were stored on her phone.
This case was investigated by the Jacksonville Sheriff’s Office and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Laura Cofer Taylor and Special Assistant United States Attorney Erin Wolfson.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Independence Man Pleads Guilty to Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – An Independence, Missouri, man pleaded guilty in federal court today to illegally possessing two firearms that he stole from a car and attempted to sell outside a nearby hotel.
Edward J. Kelly Jr., 39, pleaded guilty before U.S. District Judge Brian C. Wimes to one count of being a felon in possession of firearms.
Police officers contacted Kelly at the Truman Inn/Best Western Inn, 4048 S. Lynn Court Drive, Independence, at about 4:20 a.m. on Aug. 24, 2020, after an employee reported a suspicious person in the back courtyard of the hotel trying to sell guns. One officer began to pad-down Kelly when a second officer saw a loaded Glock 9mm handgun on a nearby picnic table. Kelly then fled; officers pursued him and took him into custody. Officers searched a black bag with drawstrings that Kelly had been wearing. Inside the bag, they found a Glock handgun case with three 9mm magazines, a loaded Taurus model “The Judge” revolver which was loaded with five rounds of .410 shells, an additional 10 rounds of .410 shells, and a Taser. They also found a glass smoking pipe that contained methamphetamine in Kelly’s pants pocket.
Both the Glock and the Taurus were reported stolen shortly before Kelly’s arrest. Kelly admitted that he stole the firearms from a car in a nearby home’s driveway.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Kelly has three prior felony convictions for tampering with a motor vehicle, and prior felony convictions for resisting a lawful stop, burglary, and domestic assault.
Under federal statutes, Kelly is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Assistant U.S. Attorney Sean T. Foley. It was investigated by the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Imposter sent to prison after claiming to be federal immigration officerRead the Press Release
LAREDO, Texas – A 53-year-old Laredoan has been ordered to federal prison after he admitted to wire fraud and extortion under color of official right, announced Acting U.S. Attorney Jennifer B. Lowery.
Rito Salomon Palacios pleaded guilty Sept. 9, 2020.
Today, U.S. District Judge Diana Saldana ordered Palacios to serve a 57-month sentence to be immediately followed by three years of supervised release. At the hearing, the court heard additional information including testimony and evidence detailing the fraud scheme and the emotional and fiscal damage Palacios caused the victims. Four of them appeared in court and detailed the harassment and threats Palacios committed and the resultant ill effect on their lives.
In handing down the sentence, Judge Saldana noted how heartless Palacios was in relation to his victims as well as his history of thefts and lies and the unfortunate lack of real punishment in previous cases.
The court upwardly departed and raised his criminal history category by two levels to adequately reflect his criminal history. Judge Saldana also mentioned his threats and aggression and considered Palacios a threat to the community.
Palacios masqueraded at varying times as an officer or employee of Customs and Border Protection, an immigration officer or another federal officer or employee. At the time of his plea, the court also heard he delivered receipts in documents bearing the seal of the Department of Transportation and Customs and Border Protection.
Palacios defrauded and extorted members of the public who were not citizens or nationals of the United States. He took money or property by false and fraudulent pretenses, representations and promises to deliver immigration visas, permits or residency in the United States. As part of the scheme, he utilized the internet to set appointments for his victims to be fingerprinted.
Palacios admitted as part of the plea that he demanded and obtained more than $72,000 from the fraud and extortion scheme.
Palacios was permitted to remain on bond and voluntarily surrender to a U.S. Bureau of Prisons facility to be determined in the near future.
Immigration and Customs Enforcement’s Office of Professional Responsibility and Homeland Security Investigations conducted the investigation with the assistance of the Laredo Police Department. Assistant U.S. Attorney José Angel Moreno prosecuted the case.
Humboldt Man Charged in Federal Court for Being A Felon in Possession of A Loaded Firearm and for Possessing Methamphetamine for DistributionRead the Press Release
San FRANCISCO – Deryl Craig Morse appeared in United States District Court today to face a federal indictment charging him with being a felon who possessed a loaded firearm and also charging him with possessing with intent to distribute 50 grams or more of a mixture or substance containing methamphetamine, announced Acting United States Attorney Stephanie M. Hinds and Federal Bureau of Investigation Special Agent in Charge Craig D. Fair.
The indictment alleges that Morse, who is 58 years old and resides in McKinleyville, California, is a convicted felon who on March 10, 2021, possessed a Ruger .357 caliber revolver loaded with six rounds of .357 ammunition. A forfeiture allegation in the indictment asserts the loaded revolver was recovered from Morse’s residence along with more than 50 additional rounds of ammunition. Morse is also charged with possessing on the same date 50 grams or more of a mixture or substance containing methamphetamine with the intent to distribute it.
Morse made his initial appearance in federal court today before United States Magistrate Judge Joseph C. Spero. Morse is out of custody on condition of location monitoring. His next appearance is scheduled for July 14, 2021, for an initial appearance before United States District Judge James Donato.
The indictment charges Morse with possessing with intent to distribute 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine in violation of 21 U.S.C. § 841(a)(1) and (b)(1)(B)(viii). If convicted, Morse faces a mandatory minimum sentence of 5 years in prison and a maximum sentence of 20 years, with a maximum fine of $5,000,000. The indictment also charges Morse with being a felon in possession of a firearm in violation of 18 U.S.C. § 922(g)(1). If convicted of this charge, Morse faces a maximum of 10 years in prison and a fine of $250,000. However, any sentence following conviction would be imposed by the Court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
An indictment merely alleges that crimes have been committed, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Ankur Shingal is the Assistant U.S. Attorney who is prosecuting the case with the assistance of Daniel Fuentes and Madeline Wachs. The prosecution is the result of an investigation by the FBI and the Humboldt County Drug Task Force.
Hubert Dupigny Sentenced to 25 Years in Prison for Sex Trafficking MinorsRead the Press Release
Audrey Strauss, the United States Attorney for the Southern District of New York, announced that HUBERT DUPIGNY, a/k/a “Fox,” was sentenced to 300 months in prison for sex trafficking of minors and conspiracy to commit sex trafficking of minors. DUPIGNY was previously convicted of those offenses, following an eight-day jury trial, on January 24, 2020, before U.S. District Judge Jesse M. Furman.
Manhattan U.S. Attorney Audrey Strauss said: “Hubert Dupigny trafficked minor victims who were runaways from the foster care system – victims who were half his age and did not have permanent homes or families to take care of them. Dupigny victimized, and violently abused, some of the most vulnerable members of our society for his own financial gain. His predatory conduct irreparably damaged the lives of his victims. Today, Hubert Dupigny was justly sentenced to 25 years in prison for his callous exploitation of those minor victims.”
According to the allegations contained in the Indictment and evidence presented during the trial in Manhattan federal court:
From at least in or about August 2016 through in or about May 2017, HUBERT DUPIGNY, a/k/a “Fox,” the defendant, engaged in a conspiracy to commit sex trafficking of minors. The defendant recruited two minor victims (“Victim-1” and “Victim-2”) to engage in commercial sex acts when they were living in foster care facilities or homes in New York City. The defendant took photographs of Victim-1 and Victim-2 in lewd positions, used Backpage.com to post advertisements of them for commercial sex, and then directed Victim-1 and Victim-2 to meet customers to engage in commercial sex out of an abandoned home in Brooklyn, New York. Victim-1 and Victim-2 saw as many as ten to fifteen customers each day. The defendant took all of the proceeds from their commercial sex acts, forcing Victim-1 and Victim-2 to be reliant on him for food and clothing.
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In addition to today’s prison sentence, DUPIGNY, 38, of Brooklyn, New York, was sentenced to 10 years of supervised release.
Ms. Strauss thanked the FBI and the New York City Police Department for their outstanding work in this matter, particularly the FBI-NYPD New York Child Exploitation and Human Trafficking Task Force.
Any individuals who believe they have information that may be relevant to this investigation should contact the Federal Bureau of Investigation at (212) 384-1000 or https://tips.fbi.gov/.
This case is being handled by the Office’s General Crimes Unit. Assistant United States Attorneys Mollie Bracewell, Elinor Tarlow, Jacob Gutwillig, and Michael Herman are in charge of the prosecution.
High-level member of hacking group sentenced to prison for scheme that compromised tens of millions of debit and credit cardsRead the Press Release
Seattle – A Ukrainian national was sentenced today in the Western District of Washington to 7 years in prison for his role in the criminal work of the hacking group FIN7. The defendant was also ordered by the Court to pay restitution in the amount of $2,500,000. At the sentencing hearing Chief U.S. District Judge Ricardo S. Martinez said, “To indiscriminately prey on millions of people… the consequences must be serious.”
According to documents filed in the case, statements made at the sentencing, and public documents, Andrii Kolpakov, 33, who has used a number of different names, served as a high-level hacker, whom the group referred to as a “pen tester,” for FIN7. He was arrested in Lepe, Spain, on June 28, 2018, at the request of U.S. law enforcement and was extradited to the United States on June 1, 2019. In June 2020, he pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to commit computer hacking.
“This defendant breached the security of numerous U.S. businesses and managed a team of hackers hunting payment card information,” said Acting U.S. Attorney Tessa M. Gorman. “He was not the leader – but he was an instrumental cog in the wheel – training recruits, developing new hacking techniques, and adding to FIN7’s malware arsenal. He left millions of victims in his wake and, together with his fellow hackers, caused tremendous harm to U.S. interests, estimated to be in the billions of dollars.”
According to public documents, since at least 2015 members of FIN7 (also referred to as Carbanak Group and the Navigator Group, among other names) engaged in a highly sophisticated malware campaign to attack hundreds of U.S. companies, predominantly in the restaurant, gambling, and hospitality industries. FIN7 hacked into thousands of computer systems and stole millions of customer credit and debit card numbers that were then used or sold for profit. FIN7, through its dozens of members, launched waves of malicious cyberattacks on numerous businesses operating in the United States and abroad. FIN7 carefully crafted email messages that would appear legitimate to a business’s employees and accompanied emails with telephone calls intended to further legitimize the emails. Once an attached file was opened and activated, FIN7 would use an adapted version of the Carbanak malware, in addition to an arsenal of other tools, to access and steal payment card data for the business’s customers. Since 2015, many of the stolen payment card numbers have been offered for sale through online underground marketplaces.
In the United States alone, FIN7 successfully breached the computer networks of businesses in all 50 states and the District of Columbia, stealing more than 20 million customer card records from over 6,500 individual point-of-sale terminals at more than 3,600 separate business locations. According to court documents, victims incurred enormous costs that, according to some estimates, exceeded one billion dollars. Additional intrusions occurred abroad, including in the United Kingdom, Australia, and France. Companies that have publicly disclosed hacks attributable to FIN7 include Chipotle Mexican Grill, Chili’s, Arby’s, Red Robin, and Jason’s Deli.
Kolpakov was involved with FIN7 from at least April 2016, until his arrest in June 2018. He also managed other hackers tasked with breaching the security of victims’ computer systems. During the course of the scheme, Kolpakov received compensation for his participation in FIN7, which far exceeded comparable legitimate employment in Ukraine. Moreover, FIN7 members, including Kolpakov, were aware of reported arrests of other FIN7 members, but nevertheless continued to attack U.S. businesses.
“Mr. Kolpakov is an experienced specialist and leader, responsible for directing the activities of others within this criminal organization,” said Special Agent in Charge Donald M. Voiret of the FBI’s Seattle Field Office. “As the cybersecurity threat evolves and finetunes its techniques, the FBI and our partners continue our pursuit of these hackers to help safeguard American businesses and individuals.”
This case is the result of an investigation conducted by the Seattle Cyber Task Force of the FBI and the U.S. Department of Justice. The Justice Department’s Office of International Affairs, the National Cyber-Forensics and Training Alliance, numerous computer security firms and financial institutions, FBI offices across the nation and globe, as well as a number of international agencies provided significant assistance. Spanish law enforcement authorities provided significant assistance by arresting Kolpakov.
This case was prosecuted by Assistant U.S. Attorneys Francis Franze-Nakamura and Steven Masada of the Western District of Washington and Trial Attorney Anthony Teelucksingh of the Criminal Division’s Computer Crime and Intellectual Property Section.
High-Level Member of Hacking Group Sentenced to Prison for Scheme that Compromised Tens of Millions of Debit and Credit CardsRead the Press Release
A Ukrainian national was sentenced today in the Western District of Washington to seven years in prison for his role in the criminal work of the hacking group FIN7. The defendant was also ordered by the court to pay restitution in the amount of $2,500,000.
According to documents filed in the case, statements made at the sentencing, and public documents, Andrii Kolpakov, 33, who has used a number of different names, served as a high-level hacker, whom the group referred to as a “pen tester,” for FIN7. He was arrested in Lepe, Spain, on June 28, 2018, at the request of U.S. law enforcement and was extradited to the United States on June 1, 2019. In June 2020, he pleaded guilty to one count of conspiracy to commit wire fraud and one count of conspiracy to commit computer hacking.
According to public documents, since at least 2015, members of FIN7 (also referred to as Carbanak Group and the Navigator Group, among other names) engaged in a highly sophisticated malware campaign to attack hundreds of U.S. companies, predominantly in the restaurant, gambling and hospitality industries. FIN7 hacked into thousands of computer systems and stole millions of customer credit and debit card numbers that were then used or sold for profit. FIN7, through its dozens of members, launched waves of malicious cyberattacks on numerous businesses operating in the United States and abroad. FIN7 carefully crafted email messages that would appear legitimate to a business’s employees and accompanied emails with telephone calls intended to further legitimize the emails. Once an attached file was opened and activated, FIN7 would use an adapted version of the Carbanak malware, in addition to an arsenal of other tools, to access and steal payment card data for the business’s customers. Since 2015, many of the stolen payment card numbers have been offered for sale through online underground marketplaces.
In the United States alone, FIN7 successfully breached the computer networks of businesses in all 50 states and the District of Columbia, stealing more than 20 million customer card records from over 6,500 individual point-of-sale terminals at more than 3,600 separate business locations. According to court documents, victims incurred enormous costs that, according to some estimates, exceeded $1 billion. Additional intrusions occurred abroad, including in the United Kingdom, Australia and France. Companies that have publicly disclosed hacks attributable to FIN7 include Chipotle Mexican Grill, Chili’s, Arby’s, Red Robin and Jason’s Deli.
Kolpakov was involved with FIN7 from at least April 2016 until his arrest in June 2018. He also managed other hackers tasked with breaching the security of victims’ computer systems. During the course of the scheme, Kolpakov received compensation for his participation in FIN7, which far exceeded comparable legitimate employment in Ukraine. Moreover, FIN7 members, including Kolpakov, were aware of reported arrests of other FIN7 members, but nevertheless continued to attack U.S. businesses.
Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney Tessa M. Gorman for the Western District of Washington; and Special Agent in Charge Donald M. Voiret of the FBI’s Seattle Field Office made the announcement.
This case is the result of an investigation conducted by the Seattle Cyber Task Force of the FBI and the U.S. Department of Justice. The Justice Department’s Office of International Affairs, the National Cyber-Forensics and Training Alliance, numerous computer security firms and financial institutions, FBI offices across the nation and globe, as well as a number of international agencies provided significant assistance. Spanish law enforcement authorities provided significant assistance by arresting Kolpakov.
This case was prosecuted by Trial Attorney Anthony Teelucksingh of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorneys Francis Franze-Nakamura and Steven Masada of the Western District of Washington.
Heroin/Fentanyl Supplier to DS44 Drug Gang Gets 10-Year Federal Prison SentenceRead the Press Release
PITTSBURGH - A former Pittsburgh resident has been sentenced in federal court to 10 years’ imprisonment and 8 years’ supervised release on his conviction of a drug-trafficking charge related to a large-scale investigation conducted by the Greater Pittsburgh Safe Streets Task Force, Acting United States Attorney Stephen R. Kaufman announced today.
United States District Judge William S. Stickman, IV imposed the sentence on Jarrell Dawson, age 32, formerly of Pittsburgh, Pennsylvania. Dawson pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute more than 40 grams of a mixture containing heroin and fentanyl, and a quantity of cocaine, before United States District Judge William S. Stickman IV. Mr. Dawson is one of 40 defendants charged in the Indictment and Superseding Indictment returned in the case and was proven to be a fentanyl and heroin supplier to Christopher Highsmith and other coconspirators.
In connection with his guilty plea, the court was advised that in 2017, the Greater Pittsburgh Safe Streets Task Force initiated an investigation primarily targeting the Darccide/Smash 44, or DS44, neighborhood gang, and its drug-trafficking activity, in and around the South Side area of Pittsburgh. As part of this large-scale narcotics and firearms investigation, in February of 2019, the United States received authorization to conduct a federal wire investigation, which continued through June of 2019. In addition to communications about drug trafficking between Dawson and several of his coconspirators, agents made numerous seizures of fentanyl, heroin, and other drugs from members of the organization, as well as maintained critical physical surveillance of Dawson’s drug-trafficking activities.
Assistant United States Attorneys Carolyn J. Bloch and Brendan J. McKenna prosecuted this case on behalf of the government.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the Bureau of Alcohol Tobacco Firearms and Explosives, Allegheny County Adult Probation, Allegheny County Police Department, Allegheny County Sheriff’s Office, Pennsylvania Attorney General’s Office Bureau of Narcotics, Pittsburgh Bureau of Police, and the Wilkinsburg Police Department. Other assisting agencies include the Green Tree Police Department, New York City Police Department, Mount Oliver Police Department, Pennsylvania State Police, Yonkers Police Department, United States Marshals Fugitive Task Force, and the United States Postal Inspection Service.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Gulfport Man Pleads Guilty to Illegal Possession of FirearmRead the Press Release
Gulfport, Miss. – A Gulfport man pled guilty to being an unlawful drug user in possession of a firearm, announced Acting U.S. Attorney Darren J. LaMarca and Kurt Thielhorn, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
According to court documents, Gulfport Police officers and ATF agents executed a search warrant on the residence of Connor Higginbotham, 22, of Gulfport, as part of investigation into stolen firearms. Agents discovered 12 firearms, several of them capable of receiving high capacity magazines. Officers also discovered approximately 300 grams of marijuana and an unregistered silencer. Higginbotham was taken into custody and later admitted to purchasing some of the firearms and knowing they were stolen. Higginbotham also admitted to daily use of marijuana and frequent use of Percocet.
Higginbotham pled guilty to being an unlawful user of a controlled substance in possession of a firearm. He is scheduled to be sentenced on September 23, 2021. He faces a maximum penalty of 10 years in federal prison. A federal district judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Gulfport Police Department, and the Hancock County Sheriff’s Department investigated the case.
Assistant U.S. Attorney Jonathan Buckner is prosecuting the case.
This case is being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Georgetown Woman Sentenced for Bank FraudRead the Press Release
BOSTON – A Georgetown woman was sentenced yesterday in federal court in Boston for embezzling over $419,000 from her employer.
Michelle Higson, 46, was sentenced by U.S. District Judge Richard G. Stearns to 27 months in prison, five years of supervised release and was ordered to pay over $419,000 in restitution. In September 2019, Higson pleaded guilty to four counts of bank fraud.
Higson was also sentenced separately for violating her supervised release, which was imposed in a prior case following her September 2017 conviction for a fraudulent scheme. U.S. District Judge Denise J. Casper sentenced Higson to an additional six months in prison for the supervised release violation.
In 2013, Higson began working as a part-time bookkeeper for a Wilmington company. From 2015 until her termination in 2018, Higson stole a series of the company’s checks, made them payable to herself or to her husband, and forged her employer’s signatures. Higson cashed and deposited the checks for her own personal use. To conceal her criminal conduct and avoid detection by the company, Higson falsified entries in the company’s books to make it appear as if the stolen checks had been issued to satisfy payment to actual vendors. In addition, on several occasions, Higson inflated her pay rate and falsified the number of hours she worked, thereby collecting more money than what she actually earned. In total, Higson embezzled over $419,000.
Acting United States Attorney Nathaniel R. Mendell and Joshua McCallister, Acting Inspector in Charge of the U.S. Postal Inspection Service made the announcement today. Assistant U.S. Attorney Anne Paruti, Deputy Chief of Mendell’s Major Crimes Unit, prosecuted the case.
Former Sacramento Man Charged with Engaging in Monetary Transactions with Money from Wire Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against former Sacramento resident, William A. Sassman, 53, now residing in Orange County, charging him with knowingly engaging in monetary transactions with criminally derived property, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, between October and December 2019, Sassman deposited checks totaling $325,000 into a bank account, knowing that the money was derived from a crime. The money originated from a wire fraud scheme, which is a specified unlawful activity under federal money laundering statutes.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Nirav Desai is prosecuting the case.
If convicted, Sassman faces a maximum statutory penalty of 10 years in prison and a fine of $250,000 or up to twice the amount of the laundered money. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Former Mayor of Columbus Sentenced for Loan FraudRead the Press Release
MADISON, WIS. – Timothy M. O’Shea, Acting United States Attorney for the Western District of Wisconsin, announced that Michael Eisenga, 49, Columbus, Wisconsin, was sentenced yesterday by U.S. District Judge William M. Conley to 42 months in federal prison for loan fraud. The prison term is to be followed by a five-year term of supervised release. Eisenga pled guilty to the charge on March 25, 2021. He was also ordered to pay restitution of approximately $4,000,000. Eisenga was ordered to begin serving his sentence in July, when he will report to prison.
Eisenga owned several businesses, including CCC Lot 2, LLC, which was a Wisconsin company with its principal place of business in Columbus, Wisconsin. On behalf of CCC Lot 2, Eisenga sought and obtained from a credit union in Illinois, a $6.9 million commercial mortgage. He convinced the credit union to issue the loan by representing, among other things, that he had already secured Festival Foods Inc. as a tenant for the property through a 20-year lease agreement and that another company, Supervalue Holdings Inc., had guaranteed the lease.
After Eisenga defaulted on the loan, the credit union ultimately discovered that the signatories on the purported lease and lease guarantee that Eisenga gave to the credit union never signed the documents nor did their respective companies enter into any such agreements with Eisenga. The documents were wholly fraudulent and no such lease or lease guarantee ever existed.
The charge against Eisenga was the result of an investigation conducted by the Federal Bureau of Investigation. The United States would also like to acknowledge the assistance of the U.S. Trustee’s Office for the Western District of Wisconsin. The prosecution of the case has been handled by Assistant U.S. Attorney Meredith P. Duchemin.
Former Baltimore Department of Public Works Supervisor Sentenced to More Than a Year in Federal Prison for ExtortionRead the Press Release
Baltimore, Maryland – U.S. District Judge Catherine C. Blake sentenced Ronald M. Smith, age 47, of Elkton, Maryland, a former Baltimore Department of Public Works (“DPW”) supervisor, today to a year and a day in federal prison, followed by two years of supervised release, for the federal charge of extortion under color of official right for misuse of his authority as a public employee. Judge Blake also ordered Smith to pay a forfeiture money judgment of $64,000, representing his gain from the crime. Smith admitted that he accepted cash payments for work he caused DPW crews to perform for private businesses on at least 22 residential and commercial properties.
The sentence was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office.
According to his plea agreement, in 2014 and 2015, Smith was an employee of the Department of Public Works in Baltimore City ("DPW"). Smith was a supervisor in the Water and Waste Management Division ("WWMD"), and his supervisory responsibilities included receiving work orders, dispatching work crews and supervising the crews on jobsites. He supervised a crew of approximately eight employees. Smith generally worked the night shift—from midnight to 8 a.m. and, though he was not a licensed plumber, was responsible for responding to, overseeing and performing service repairs to City water ways, pipes, taps, connections, valves and water mains.
From 2014 through 2015, DPW was not responsible for installation of new or upgraded water service from Baltimore City's water main to the water meter vault of a house or a commercial property. If a property owner or developer was installing new or upgraded service to a property, the property owner/developer was required to hire a bonded utilities contractor, chosen from a list approved by Baltimore City DPW, to tap into the City's water main and connect from the water main to the property. The contractor was required to create a water meter vault in which a water meter could be installed to measure water usage for billing to the address. The property owner/developer, or the utilities contractor hired by the owner/developer, was also required to submit an Application for the Temporary Use of Right of Way to the Department of Transportation’s (DOT) Right of Way Permits Section, whenever the utilities contractor needed to "cut" into a street or alley to access the water main in connection with the installation of new or upgraded water service, and pay a fee of $300 for traffic control. The contractor also had to pay a 9% inspection fee for City costs before work could proceed. After the contractor completed the installation of the service, the contractor was required to repair the street cut. If the work extended overnight, the contractor was required to install and bolt down a steel plate over the excavation and place asphalt around the edges of the plate to secure it.
In 2014 and 2015, Philip Michael Loverde was a licensed plumber in the State of Maryland and one of the owners of All Service Plumbing and Drain Cleaning (“ASPDC” or “All Service”). ASPDC provided plumbing services in the Baltimore area. Loverde and ASPDC were not bonded approved utilities contractors permitted to tap into Baltimore City's water mains.
According to court documents, sometime in late 2014 or in 2015, a contractor in the Baltimore area was building four new row houses. DPW was not required to install the new water or sewer utilities. Loverde was contracted for All Service to perform the plumbing work inside his properties. Loverde mentioned that he had a "utilities contractor," Smith, who could install the water and sewer services for the new construction. Smith was not a bonded approved utilities contractor and was neither a licensed contractor nor a licensed plumber. Smith obtained no permits for the work or for the street cut. Rather, Smith had DPW employees come to the site with Baltimore City equipment to break the street pavement for the new utilities, causing a large hole in the street and installing two water lines from the public water main to the new vaults. The DPW employees constructed two vaults which would accommodate two water meters each and installed a "jumper" so that from each vault, two lines ran from the vault to the houses. The crews also installed one sewer line per house which ran to the sewer line in the street. Loverde’s contract for the utility work and the interior plumbing for all four houses totaled $92,000. Of this amount, Loverde paid Smith approximately $10,000 for the installation of water and sewer services.
As detailed in his plea agreement, from May through October 2015, Smith was paid $12,500 for new water services to be installed at five row houses that were being re-developed. Without permits or paid traffic fees, Smith caused DPW work crews using DPW equipment to break the pavement, dig the holes, connect the pipe from the water main to the vault and from the vault to the house. Loverde was not involved.
In 2015, TRF Development Partners ("TRF"), a non-profit corporation based in Philadelphia, Pennsylvania, was active in renovating certain sections of East Baltimore. TRF had contracted with the East Baltimore Redevelopment Association to perform an historical rehabilitation of residential properties in east Baltimore. A supervisor for TRF contracted with All Service for plumbing work at the residences. In the 1200 block of Gay Street, water and sewer services connected to their respective lines from the back of the properties to a water main and sewer line buried underneath the alley behind the houses. TRF paved over the back yards of the houses before new water and sewer services had been installed.
Beginning sometime in 2015, Loverde agreed with Smith and an employee of TRF, that Smith would handle the connection of service from the City's water main to the water meter vault and then from the vault to the inside of the property for the residential and commercial properties on Preston and Gay Streets and perform similar utilities work for the sewer line. The new lines would run from the front of the houses to connect with a water main and a sewer line in the street; the pre-existing water and sewer lines ran from the back of the properties to the alley and would not be used because of the already completed paving.
TRF had retained the front wall of the properties but had gutted them completely and rebuilt them. Loverde's company was to be responsible for installing all interior plumbing and fixtures and connecting to the water supply lines and sewer lines that Smith had run into the property for the houses on Preston and Gay Street.
At the request of a TRF employee, Loverde agreed to include in his invoicing the charges for Smith to create the new water and sewer services for the properties. Loverde agreed to cash the checks from TRF made payable to All Service and to provide the cash to Smith. Loverde knew that Smith was not a bonded approved utilities contractor but intended to divert City employees, equipment and material to perform the work and to pocket the cash funneled through him by TRF.
Smith admitted that he caused DPW work crews to cut the street on Preston and Gay Streets and connect the water and sewer services from the water main or sewer to the house for nine properties on Gay Street. Smith charged $1600 per address for water and sewer installation, for a total of $14,400, without permits or traffic fees. Smith caused a DPW crew with a heavy equipment operator to come to North Gay Street at night to cut the pavement, dig into the street and install the new water lines and sewer. Because the crew worked at night and in haste, the work was badly done, and North Gay Street began to collapse. The crew had to return at night to finish the street patching job. Smith also charged TRF $17,500 for the installation of a new dedicated water line for a commercial property at 1759 East Preston Street to provide water to a required fire sprinkler system. Smith installed the new water line with DPW crews, and Loverde cashed the TRF check and paid Smith.
Smith met a developer who was tearing down a church at the corner of Elwood and East Baltimore Street. The developer was rehabbing one row house and building 3 new row houses on the foundation of the old church. The developer agreed with Smith that Smith would install new water service for the three new row houses by connecting to the water main on East Baltimore and the water main on Elwood. They also agreed that Smith could install three new sewer connections to the sewer line that ran down the alley behind the church. Once again, Smith used DPW crews and equipment to perform this work, obtained no permits, paid no traffic fees, and paid no inspection fees. Smith was paid approximately $10,000 in cash for this work. Loverde was not involved.
In all, Smith admitted that he received at least $64,000 for the work performed by DPW crews. Loverde previously pleaded guilty to his role in the extortion scheme and is scheduled to be sentenced on September 17, 2021, at 9:00 a.m.
Acting United States Attorney Jonathan F. Lenzner commended the FBI for their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorney Joyce McDonald, who is prosecuting the case.
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Fentanyl Dealer Going to Prison for More Than 10 YearsRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y.—U.S. Attorney James P. Kennedy, Jr. announced today that Devonnte White, 29, of Huntersville, North Carolina, who was convicted of possessing with intent to distribute 400 grams or more of fentanyl, was sentenced to serve 121 months in prison by U.S. District Judge Elizabeth A. Wolford.
Assistant U.S. Robert A. Marangola, who handled the case, stated that the defendant was arrested January 15, 2021, following the execution of a federal search warrant at an apartment on Court Street in Rochester. When law enforcement officers entered the apartment, which was occupied only by White, the defendant dropped two bags of fentanyl to the floor. Investigators recovered a total of 1.5 kilograms of fentanyl, 979 grams of cocaine, and 571 grams of heroin from inside the apartment, as well as scales, bags, diluents for processing narcotics for distribution, five cell phones, and $3,954 in U.S. currency.
The sentencing was the culmination of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
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Felon Pleads Guilty to Illegal Possession of Firearm and Narcotics ConspiracyRead the Press Release
Baltimore, Maryland – Kenneth Clark Jr., a/k/a “Man”, a/k/a “Play”, age 30, of Port Deposit, Maryland, pleaded guilty yesterday to a narcotics conspiracy and being a felon in possession of a firearm.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police; and Cecil County Sheriff Scott Adams.
According to his guilty plea, on February 20, 2020, Clark and his associate (Associate 1) were stopped by a Cecil County Officer due to speeding and failing to stop at a stop sign. The officer activated his mobile video recorder, capturing video through the windshield of his patrol vehicle.
After the vehicle came to a stop, the officer observed the vehicle shake as the driver and passenger switched seats.
The officer asked both occupants to produce identification documents and vehicle registration. The driver, Associate 1, produced identification while Clark informed the officer that he did not have a license. Clark then attempted to flee the scene by grabbing the gear shifter and commanding Associate 1 to drive. However, the car did not move. At that time, the officer turned off the vehicle while Clark and Associate 1 ran on foot. The officer’s in-car video camera captured Clark holding a black semi-automatic handgun as he exited the passenger side. Associate 1 and Clark were later apprehended by law enforcement.
As stated in his plea agreement, Clark was searched subsequent to his arrest. Officers recovered $1,802 in cash on Clark’s person. The officer returned to the area where Clark threw the firearm and recovered a .22 LR handgun with 11 live rounds in the magazine Additionally, the firearm in Clark’s possession was reported stolen in February 2020. Clark knew that he was prohibited from possessing firearms due to previous felony convictions, including a 2016 conviction for second-degree assault in Cecil County Circuit Court. During the search of the vehicle, the officer recovered approximately six grams of marijuana inside the passenger’s side door and two cell phones. The officer also recovered a small plastic baggie containing approximately one gram of crack cocaine on the floorboard where Clark was seated.
According to Clark’s plea agreement, a concerned citizen contacted Maryland State Police in February 2020 to report possible cocaine transactions in Cecil County by a male nicknamed “Man”. During the investigation of a non-fatal overdose in January 2020, Maryland State Police identified Clark as the likely source of the narcotics supply leading to the overdose. Numerous messages downloaded from the victim’s cellular phone resolved to the phone number assigned to the phone in Clark’s possession at the time of his most recent arrest.
Additionally, Maryland state police recovered several photos of Clark brandishing firearms on his public social media accounts. For example, on February 13, 2020, Clark posted two public photographs holding a semi-automatic handgun with an extended magazine. A subsequent review of Clark’s social media messages revealed conversations regarding narcotic transactions.
As detailed in his plea agreement, while incarcerated at the Cecil County Detention Center, Clark made several phone calls to two associates. During these conversations, Clark asked for them to retrieve several hidden items from his father’s residence. Clark also spoke in code terms while providing specific instructions on where to find the items. Over the course of the conversation, Clark instructed an associate and his father to remove potentially incriminating items from Clark’s room.
On February 28, 2020 Maryland State Police recovered a 9mm semi-automatic handgun, that matched the description of the firearm depicted in Clark’s social media pictures, during a search of an associate’s residence. The associate advised law enforcement that he obtained the firearm from Clark.
Clark and the government have agreed that, if the Court accepts the plea agreement, Clark will be sentenced to 52 months in federal prison. U.S. District Judge Deborah K. Chasanow has scheduled sentencing for September 15, 2021 at 11 a.m.
Acting United States Attorney Jonathan F. Lenzner commended the Maryland State Police Department and the Cecil County Sheriff’s Office their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorney Sandra Wilkinson who is prosecuting the case.
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Federal Jury Finds Milwaukee Man Guilty of Sex TraffickingRead the Press Release
Richard G. Frohling, Acting United States Attorney for the Eastern District of Wisconsin, announced that on June 22, 2021, Calvin C. Freeman, Jr., was convicted of sex trafficking and related offenses following a federal jury trial in Milwaukee. The crimes of which Freeman was convicted include:
Conspiracy to Engage in Sex Trafficking
Sex Trafficking by Force, Fraud, or Coercion (two counts)
Interstate Transportation for Prostitution (three counts)
Interstate Transportation of a Minor for Criminal Sexual Activity
Possession of a Firearm/Ammunition by a Felon (two counts)
Obstruction of Sex Trafficking Enforcement (two counts)
Contempt of Court (three counts)
The evidence presented at trial established that Freeman used force, threats of force, fraud, and coercion to compel female victims to engage in commercial sex acts in cities across the country, including Milwaukee, Chicago, Las Vegas, New Orleans, and Miami, as well as in parts of
Southern California and Hawaii. One of the victims was a minor at the time Freeman transported her for this purpose. The victims testified that Freeman kept and controlled all of the money they made, whipping them with belts, threatening them with guns, and subjecting them to dehumanizing punishments, such as forcible sodomy and smearing human feces in one victim’s face when she failed to comply with his demands. The evidence also established that Freeman repeatedly urged victims and witnesses not to speak to federal agents or to comply with court orders, including while Freeman was in jail and subject to a no-contact order that had been entered by a federal judge.
Freeman is scheduled to be sentenced on October 4, 2021, by Chief United States District Court
Judge Pamela Pepper. Freeman faces a maximum life term of imprisonment and a mandatory minimum of 15 years of imprisonment.
The Federal Bureau of Investigation, the Milwaukee Police Department, and the Federal Deposit
Insurance Corporation – Office of Inspector General investigated the case with the assistance of the Las Vegas Metropolitan Police Department, the Philadelphia Police Department, and the
Wisconsin Department of Justice Division of Criminal Investigation. Assistant United States
Attorneys Erica J. Lounsberry and Julie F. Stewart prosecuted the case.
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For further information contact: Public Information Officer
[email protected]
(414) 297-1700
Follow us on TwitterFederal Jury Convicts St. Paul Man for Cocaine PossessionRead the Press Release
MINNEAPOLIS – A federal jury convicted a St. Paul man for drug possession with intent to distribute after being arrested with six kilograms of cocaine in his vehicle, announced Acting U.S. Attorney W. Anders Folk.
Following a four-day trial before Judge Ann D. Montgomery, John Sheldon Pickens, Jr. was convicted on one count of possession with intent to distribute cocaine.
According to the evidence presented at trial, during the early morning hours of November 1, 2019, officers with the St. Paul Police Department initiated a traffic stop of Pickens’s vehicle. Pickens initially pulled his vehicle over but then accelerated away and led police on a high-speed chase for several miles through the city of St. Paul. Officers were ultimately able to stop him on the Lafayette Bridge and take him into custody. Officers searched the vehicle and found six packages of cocaine that had a combined weight of approximately six kilograms.
Pickens faces a 10-year mandatory minimum prison sentence. At sentencing, a federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. A sentencing date has yet to be scheduled.
This case was the result of an investigation conducted by the Homeland Security Investigations, the Saint Paul Police Department, and the Minnesota State Patrol.
This case was tried by Assistant U.S. Attorneys Amber M. Brennan and Joseph S. Teirab.
Essex County Man Sentenced to 128 Months in Prison for Drug DistributionRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was sentenced today to 128 months in prison for possession of heroin with intent to distribute, Acting U.S. Attorney Rachael A. Honig announced.
Shawn Alexander, 52, of Newark, previously pleaded guilty before U.S. District Judge Kevin McNulty to Count Two of an indictment, charging him with possession of heroin with intent to distribute. Judge McNulty imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
On Jan. 30, 2019, officers of the Newark Police Department arrested Alexander after receiving a tip that Alexander distributed and stored narcotics in the basement of an abandoned house on Lyons Avenue in Newark. At his plea hearing on Dec. 19, 2019, Alexander admitted that he possessed 42 decks of heroin with the intent to distribute them.
In addition to the prison term, Judge McNulty sentenced Alexander to three year of supervised release.
Acting U.S. Honig credited officers of the Newark Police Department, under the direction of Public Safety Director Brian O’Hara, and Task Force Officers of the U.S. Attorney‘s Office, under the direction of Supervisory Special Agent Thomas J. Mahoney, with the investigation leading to today’s sentencing.
This case is part of the Newark Violent Crime Initiative (VCI). The VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety for the purpose of combatting violent crime in and around Newark. Federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI is composed of the U.S. Attorney’s Office, the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration, the U.S. Marshals, the Newark Department of Public Safety, the Essex County Prosecutor’s Office, the Essex County Sheriff’s Office, N.J. State Parole, Union County Jail, N.J. State Police Regional Operations and Intelligence Center/Real Time Crime Center, N.J. Department of Corrections, the East Orange Police Department, and the Irvington Police Department.
The government is represented by Assistant U.S. Attorney Tracey Agnew and Senior Litigation Counsel V. Grady O’Malley Sr. of the U.S. Attorney’s Office’s Organized Crime/Gangs Unit.
El Departamento de Justicia resuelve una acusación presentada contra operadores de un programa de capacitación laboral en Utah por haber discriminado a un postulante que era asiladaRead the Press Release
WASHINGTON, D.C. – El Departamento de Justicia anunció hoy que ha firmado un acuerdo conciliatorio con Easterseals-Goodwill Northern Rocky Mountain Inc. («ESGW»), con sede en Montana y operaciones en Utah, Idaho y Wyoming. El acuerdo resuelve una acusación de que la oficina de ESGW en Utah había discriminado a una asilada al rechazar sus documentos, los cuales eran pruebas válidas de su autorización para trabajar, y exigir documentos diferentes para verificar su elegibilidad para trabajar, por motivos de su estatus de ciudadanía. Asimismo, la investigación también determinó que ESGW requirió que otros no ciudadanos de los EE. UU. presentasen documentos migratorios innecesarios para demostrar su autorización para trabajar en los Estados Unidos, en contra de la disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad («INA», por sus siglas en inglés).
El Departamento inició su investigación tras la presentación por parte de una asilada de una denuncia de discriminación contra ESGW que se basaba en su experiencia con el programa de capacitación laboral de ESGW. La investigación halló que ESGW no permitió a la asilada escoger los documentos legalmente aceptables que quería presentar para demostrar que estaba autorizada para trabajar en los Estados Unidos. La asilada había presentado un carnet de identidad estatal válido y una tarjeta de seguro social sin restricciones, lo que debe ser suficiente como para completar el formulario federal (Formulario I-9) que los empleadores usan para comprobar la identidad de sus empleados, así como su elegibilidad para trabajar. No obstante, ESGW rechazó los documentos y pidió documentos adicionales innecesarios para demostrar una autorización para trabajar. Asimismo, el Departamento concluyó que, como práctica habitual, otra oficina de ESGW en Utah exigía un documento migratorio a todo individuo no ciudadano de los EE. UU., incluso cuando estos trabajadores ya habían presentado otros documentos que deberían ser suficientes como para completar el Formulario I-9. La disposición antidiscriminatoria de la INA prohíbe que los empleadores pidan documentos adicionales o diferentes a los que sean necesarios o que rechacen documentos que parecen ser genuinos para demostrar la autorización para trabajar con base en el estatus migratorio o de ciudadanía del empleado o bien por su nacionalidad de origen. A su vez, en la INA, el Congreso determinó que los trabajadores pueden elegir los documentos válidos y legalmente aceptables que desean presentar para demostrar su elegibilidad para trabajar en los Estados Unidos, independientemente de su estatus de ciudadanía o nacionalidad de origen.
«Los empleadores no pueden exigir, por motivos del estatus migratorio o de ciudadanía de un trabajador, más documentos de los que por ley se requieren para demostrar su autorización para trabajar» afirmó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. «La División de Derechos Civiles se ha comprometido a proteger a los asilados y otros individuos que no son ciudadanos de los EE. UU. de la discriminación ilícita».
Conforme los términos del acuerdo conciliatorio, ESGW pagará una sanción civil que asciende a 6.186 $ a los Estados Unidos; revisará sus políticas y procedimientos y capacitará a los empleados relevantes acerca de la disposición antidiscriminatoria de la INA.
La Sección de Derechos de Inmigrantes y Empleados («IER», por sus siglas en inglés) de la División de Derechos Civiles es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. La ley prohíbe la discriminación por motivos de estatus de ciudadanía y nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión, prácticas documentales injustas y represalias e intimidación.
Hay más información sobre los derechos de refugiados y asilados en el proceso del Formulario I-9 e E-Verify aquí. Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus migratorio o de ciudadanía, o bien por su nacionalidad de origen, en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (p. ej. el Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688; llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a [email protected]; inscribirse a un seminario en línea gratuito; o visitar la página web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery.
El Departamento de Justicia resuelve una acusación presentada contra operadores de un programa de capacitación laboral en Utah por haber discriminado a un postulante que era asiladaRead the Press Release
El Departamento de Justicia anunció hoy que ha firmado un acuerdo conciliatorio con Easterseals-Goodwill Northern Rocky Mountain Inc. («ESGW»), con sede en Montana y operaciones en Utah, Idaho y Wyoming. El acuerdo resuelve una acusación de que la oficina de ESGW en Utah había discriminado a una asilada al rechazar sus documentos, los cuales eran pruebas válidas de su autorización para trabajar, y exigir documentos diferentes para verificar su elegibilidad para trabajar, por motivos de su estatus de ciudadanía. Asimismo, la investigación también determinó que ESGW requirió que otros no ciudadanos de los EE. UU. presentasen documentos migratorios innecesarios para demostrar su autorización para trabajar en los Estados Unidos, en contra de la disposición antidiscriminatoria de la ley de Inmigración y Nacionalidad («INA», por sus siglas en inglés).
El Departamento inició su investigación tras la presentación por parte de una asilada de una denuncia de discriminación contra ESGW que se basaba en su experiencia con el programa de capacitación laboral de ESGW. La investigación halló que ESGW no permitió a la asilada escoger los documentos legalmente aceptables que quería presentar para demostrar que estaba autorizada para trabajar en los Estados Unidos. La asilada había presentado un carnet de identidad estatal válido y una tarjeta de seguro social sin restricciones, lo que debe ser suficiente como para completar el formulario federal (Formulario I-9) que los empleadores usan para comprobar la identidad de sus empleados, así como su elegibilidad para trabajar. No obstante, ESGW rechazó los documentos y pidió documentos adicionales innecesarios para demostrar una autorización para trabajar. Asimismo, el Departamento concluyó que, como práctica habitual, otra oficina de ESGW en Utah exigía un documento migratorio a todo individuo no ciudadano de los EE. UU., incluso cuando estos trabajadores ya habían presentado otros documentos que deberían ser suficientes como para completar el Formulario I-9. La disposición antidiscriminatoria de la INA prohíbe que los empleadores pidan documentos adicionales o diferentes a los que sean necesarios o que rechacen documentos que parecen ser genuinos para demostrar la autorización para trabajar con base en el estatus migratorio o de ciudadanía del empleado o bien por su nacionalidad de origen. A su vez, en la INA, el Congreso determinó que los trabajadores pueden elegir los documentos válidos y legalmente aceptables que desean presentar para demostrar su elegibilidad para trabajar en los Estados Unidos, independientemente de su estatus de ciudadanía o nacionalidad de origen.
«Los empleadores no pueden exigir, por motivos del estatus migratorio o de ciudadanía de un trabajador, más documentos de los que por ley se requieren para demostrar su autorización para trabajar» afirmó Kristen Clarke, la Fiscal General Auxiliar de la División de Derechos Civiles del Departamento de Justicia. «La División de Derechos Civiles se ha comprometido a proteger a los asilados y otros individuos que no son ciudadanos de los EE. UU. de la discriminación ilícita».
Conforme los términos del acuerdo conciliatorio, ESGW pagará una sanción civil que asciende a 6.186 $ a los Estados Unidos; revisará sus políticas y procedimientos y capacitará a los empleados relevantes acerca de la disposición antidiscriminatoria de la INA.
La Sección de Derechos de Inmigrantes y Empleados («IER», por sus siglas en inglés) de la División de Derechos Civiles es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. La ley prohíbe la discriminación por motivos de estatus de ciudadanía y nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión, prácticas documentales injustas y represalias e intimidación.
Hay más información sobre los derechos de refugiados y asilados en el proceso del Formulario I-9 e E-Verify aquí. Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus migratorio o de ciudadanía, o bien por su nacionalidad de origen, en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (p. ej. el Formulario I-9 e E-Verify) o sujetos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688; llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a [email protected]; inscribirse a un seminario en línea gratuito; o visitar la página web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery.
East Coast Leader of Eight Trey Crips Street Gang Sentenced to Life in Prison for Execution-Style Murder in Brooklyn NightclubRead the Press Release
Larry Pagett, the East Coast leader of the Eight Trey Crips street gang, was sentenced today by United States District Judge William F. Kuntz, II to life imprisonment for murdering a member of the rival Folk Nation street gang as part of a gang turf war. Pagett was convicted by a jury of murder in-aid-of racketeering in October 2018 following an eight-day trial.
Jacquelyn M. Kasulis, Acting United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Dermot F. Shea, Commissioner, New York City Police Department (NYPD), announced the sentence.
“Larry Pagett will deservedly spend the rest of his life behind bars for brazenly committing an execution-style, gang-related murder inside a lounge in Brooklyn,” stated Acting U.S Attorney Kasulis. “This Office will continue working tirelessly with our law enforcement partners to eradicate the murderous violence of street gangs like the Eight Trey Crips and end their wanton disregard for human life.”
The Eight Trey Crips were based in and around the Flatbush Gardens housing complex. The Crips and the Folk Nation, a rival street gang, had been engaged in a deadly feud over territory in Brooklyn for years. On August 28, 2015, Pagett encountered Chrispine Philip, also known as “Droppa,” inside the Buda Hookah Lounge located on Flatbush Avenue in Brooklyn. Philip was a member of the rival Folk Nation, and Pagett blamed him for the murder of an Eight Trey Crips gang member in Trinidad in the Spring of 2015. Pagett pulled out a gun, shot Philip multiple times and ended his life with a final bullet to the back of his head. A bystander in the crowded nightclub was also shot in the stomach and arm, but survived. The murder was recorded on video surveillance cameras inside the club.
The government’s case is being handled by the Office’s Organized Crime and Gangs Section. Assistant United States Attorneys Patrick T. Hein and Mathew S. Miller are in charge of the prosecution.
This case was brought as part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. As part of the program, U.S. Attorneys’ Offices work in partnership with federal, state, local and tribal law enforcement and their local communities to develop effective, locally based strategies to reduce violent crime.
The Defendant:
LARRY PAGETT (also known as “Biz,” “Biz Loc” and “Molotovbizzz”)
Age: 41
Brooklyn, New YorkE.D.N.Y. Docket No. 17-CR-306 (WFK)
Dunmore Man Sentenced to 96 Months’ Imprisonment for Methamphetamine TraffickingRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on June 23, 2021, Robert Andrewsh, Jr., age 26, of Dunmore, Pennsylvania, was sentenced to 96 months’ imprisonment and five years of supervised release, by United States District Court Judge Malachy E. Mannion, for methamphetamine trafficking.
According to Acting United States Attorney Bruce D. Brandler, Andrewsh pleaded guilty to possessing with intent to distribute between 150 and 500 grams of high-purity methamphetamine in November and December 2019. Andrewsh also admitted that he possessed firearms in connection with his offense.
The matter was investigated by the Drug Enforcement Administration, the Scranton Police Department, and the City of Carbondale Police Department. Assistant United States Attorney Phillip J. Caraballo prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. 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.
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.
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Dominican National Pleads Guilty to Misusing a Social Security NumberRead the Press Release
BOSTON – A Dominican national pleaded guilty today in federal court in Boston to fraudulently using another person’s Social Security number.
Manuel Maria German Familia, 30, who previously resided in Lawrence, pleaded guilty to one count of false representation of a Social Security number. U.S. District Court Judge Patti B. Saris scheduled sentencing for Sept. 30, 2021. German Familia was arrested and charged on Feb. 9, 2021.
German Familia admitted to fraudulently using a Social Security number that was assigned to someone else in an application at the Massachusetts Registry of Motor Vehicles in 2016.
The charge of false representation of a Social Security number provides for a sentence of up to five years in prison, up to 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.
The investigation was conducted by Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; and Joshua McCallister, Acting Inspector in Charge of the U.S. Postal Inspection Service, Boston Division made the announcement today. Valuable assistance was provided by the Massachusetts State Police; U.S. Department of State’s Diplomatic Security Service; U.S. Health and Human Services, Office of Inspector General; Billerica Police Department and Lawrence Police Department. Assistant U.S. Attorney Fred M. Wyshak, III, of Mendell’s Criminal Division, is prosecuting the case.
Discord User Is Sentenced to 14 Years for Distributing Child PornographyRead the Press Release
CHARLOTTE, N.C. B Mayuresh Suresh Iyer, 26, of Matthews, N.C. was sentenced today to 14 years in prison for distributing child pornography on Discord, a popular messaging platform, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina. In addition to the sentenced imposed, U.S. District Judge Frank D. Whitney also ordered Iyer to pay a $35,000 special assessment, serve 25 years of supervised release, pay restitution to the victims of his offense, and to register as a sex offender after he is released from prison.
Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), Charlotte Division and Chief Johnny Jennings of the Charlotte-Mecklenburg Police Department join Acting U.S. Attorney Stetzer in making today’s announcement.
According to court documents and information introduced at the sentencing hearing, in October 2019, law enforcement received information that an individual later identified as Iyer was using his Discord user account to distribute child pornography. Discord is a popular free application that allows users to communicate with each other via voice and video calls and text messaging, and to share media files through private chats or communities referred to as “servers.”
Law enforcement executed a search warrant at Iyer’s residence and seized multiple electronic devices, including two external hard drives. A forensic analysis of those devices revealed that Iyer possessed an extensive collection of child pornography, including over 800 videos and approximately 14,147 images of children engaging in sexually explicit conduct. Some of the child pornography in Iyer’s possession depicted prepubescent minors being abused through sadistic, masochistic and other violent conduct. In September 2020, Iyer pleaded guilty to distributing and attempting to distribute child pornography.
Acting U.S. Attorney Stetzer thanked the FBI and CMPD for their investigation of this case. Assistant U.S. Attorney Mark T. Odulio of the U.S. Attorney’s Office in Charlotte was in charge of the prosecution.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in 2006 by the Department of Justice, aimed at combating the growing online sexual exploitation of children. By combining resources, federal, state and local agencies are better able to locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue those victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov
Detroit man admits to his role in a drug conspiracyRead the Press Release
CLARKSBURG, WEST VIRGINIA – William D. Charleston, of Detroit, Michigan, has admitted to his role in a drug trafficking conspiracy, Acting United States Attorney Randolph J. Bernard announced.
Charleston, also known as “Jay,” 41, pleaded guilty today to one count of “Possession with Intent to Distribute Heroin and Fentanyl in Proximity to a Protected Location.” Charleston admitted to distributing heroin and fentanyl near Fairmont Senior High School and Fairmont State University in August 2020.
Charleston faces at least one and up 40 years of incarceration and a fine of up to $2,000,000 for each 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 Brandon S. Flower is prosecuting the case on behalf of the government. The Three Rivers Drug Task Force investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Dawara Brothers Sentenced to Nine Years Imprisonment for Arson and Tax Fraud Conspiracy Stemming from February 2018 Old City FireRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Imad Dawara, 40, of Swathmore, PA, and Bahaa Dawara, 32, of Woodlyn, PA, were both sentenced this week by United States District Court Chief Judge Juan R. Sanchez to nine years in prison and ordered to pay more than $22 million in restitution for conspiracy to commit arson and conspiracy to defraud the United States.
The defendants previously pleaded guilty and admitted to planning and causing the arson of their business, RCL Management LLC, at 239-241 Chestnut Street in Philadelphia on February 18, 2018, and to evading the assessment of their income tax liabilities from 2015-2017. Imad Dawara also admitted to fraud in connection with his receipt of health care and other government benefits.
From around December 2012 until February 18, 2018, the defendants owned and operated various restaurants and entertainment establishments in Philadelphia, including a restaurant and hookah lounge in the 200 block of Chestnut Street. As detailed in the Indictment, the Dawara brothers were struggling in their Chestnut Street business and had a years-long history of fighting with their landlord. By October 2017, the Dawara brothers had ceased all business operations at the Chestnut Street location and attempted to sell the business, but as they had failed to renew their lease or pay rent, no one would buy it.
On January 31, 2018, their landlord directed the defendants to vacate the premises by February 2, and advised them that they owed over $64,000 in overdue payments. Nonetheless, the Dawaras failed to vacate the premises, and on the same day they were to leave, RCL Management purchased a $750,000 insurance policy providing coverage in the event of an accidental fire at the Chestnut Street property. On February 18, a fire was intentionally started with gasoline in the basement of 239 Chestnut Street, which destroyed the entire building, displaced approximately 160 people, closed the 200 block of Chestnut Street for months, and closed numerous businesses.
“The Dawara brothers selfishly and criminally thought only of themselves and their finances that fateful February night,” said Acting U.S. Attorney Williams. “But their horrific conduct left so many victims in its wake – including individuals, businesses and the City of Philadelphia at large. I hope these sentences provide a measure of closure to the victims, and I want to thank all of our partner agencies for coming together to investigate and hold the Dawaras responsible.”
“This sentencing is the result of the exhaustive effort by ATF’s Arson and Explosives Task Force working in harmony with the U.S. Attorney’s Office,” said Matthew Varisco, Special Agent in charge of ATF’s Philadelphia Field Division. “The Dawara brothers will now serve nine years in federal prison, as a result of his actions. Criminals who commit arson for any reason jeopardize the safety of the community and first responders and will be held accountable.”
“These sentencings demonstrate that individuals who are willing to destroy property for financial gain and commit income tax violations will be held accountable,” said IRS Criminal Investigation Acting Special Agent in Charge Joleen Simpson. “The Dawara brothers had no regard for the well-being of others and were focused on their own greed. This collaborative effort with our law enforcement partners highlights the excellent investigative work done in ensuring such deplorable crimes are brought to justice.”
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Philadelphia, the Philadelphia Fire Marshal, the Philadelphia Police Department, the Internal Revenue Service – Criminal Investigation, the U.S. Department of Health & Human Services - Office of the Inspector General, with assistance from the Philadelphia Parking Authority Taxi and Limousine Division, and is being prosecuted by Assistant United States Attorneys Jeanine Linehan and Katherine E. Driscoll.
Cut Bank man admits strangulation, assault chargesRead the Press Release
GREAT FALLS – A Cut Bank man accused of strangling and assaulting a woman on the Blackfeet Indian Reservation admitted multiple charges on June 23, Acting U.S. Attorney Leif M. Johnson said.
Gordon Lee Connelly, 20, pleaded guilty to strangulation, assault resulting in substantial bodily injury and interstate violation of a protection order. Connelly faces a maximum of 10 years in prison, a $250,000 fine and three years of supervised release on the strangulation count, and a maximum of five years in prison, a $250,000 fine and three years of supervised release on the assault count and the violation of protection order count.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for Oct. 7. Connelly was detained pending further proceedings.
In court documents filed in the case, the prosecution alleged that on Feb. 16, Connelly strangled and assaulted the victim, identified as Jane Doe, near Cut Bank, on the Blackfeet Indian Reservation, causing her substantial injuries. The government further alleged that on March 25, Connelly violated a portion of a protection order that prohibits violence, threats and communication with another person.
Assistant U.S. Attorney Kalah A. Paisley is prosecuting the case, which was investigated by the Bureau of Indian Affairs, Glacier County Sheriff’s Office and Blackfeet Law Enforcement Services.
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Convicted Felon Sentenced to More Than Three Years in Prison for Possessing a GunRead the Press Release
A Waterloo man who unlawfully possessed a firearm was sentenced today to 46 months in federal prison.
Karon Bennett, age 22, from Waterloo, Iowa, received the prison term after a March 4, 2021 guilty plea to one count of possession of a firearm by a felon.
Information disclosed at the plea and sentencing hearings showed that on November 21, 2020, Bennett possessed a Smith and Wesson 9mm pistol after previously being convicted of intimidation with a dangerous weapon, burglary in the second degree, and unauthorized possession of an offensive weapon. Bennett was apprehended by law enforcement shortly after a 9-1-1 caller reported that he was attempting to break into a garage in Waterloo. At the time he possessed the gun, Bennett was on parole for the prior felony convictions.
Bennett was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Bennett was sentenced to 46 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was prosecuted by Assistant United States Attorney Melissa A. Carrington and investigated by the Waterloo Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 21-CR-2005.
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Columbus man admits to role in drug trafficking operationRead the Press Release
WHEELING, WEST VIRGINIA – Sihrahn Major, II, of Columbus, Ohio, has admitted to his role in a drug trafficking conspiracy, Acting U.S. Attorney Randolph J. Bernard announced.
Major, also known as “Black,” age 25, pled guilty to one count of “Distribution of 5 Grams or More of Methamphetamine within 1000 feet of a Protected Location.” Major admitted to selling five grams or more of methamphetamine near Riverview Towers on in Wheeling in January 2020.
Major faces at least five and up to 80 years of incarceration and a fine of up to $10,000,000. 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. Attorneys Shawn M. Adkins and Clayton J. Reid are prosecuting the case on behalf of the government. The Ohio Valley Drug and Violent Crimes Task Force, a HIDTA-funded initiative, which includes the Drug Enforcement Administration, West Virginia State Police, Ohio County Sheriff’s Office, and the Wheeling Police Department, investigated. The U.S. Marshal Service, Columbus Police Department Gang Crimes Unit, the Martins Ferry Police Department, and the Bellaire Police Department also assisted.
U.S. Magistrate Judge James P. Mazzone presided.
Original case indictment here: https://www.justice.gov/usao-ndwv/pr/26-charged-drug-conspiracy-involving-heroin-fentanyl-crack-cocaine-and-meth-wheeling
Chattanooga Man Indicted for Sexual Exploitation of A ChildRead the Press Release
CHATTANOOGA, Tenn. – On June 16, 2021, a federal grand jury in Knoxville returned a one count indictment against Mark Alan Deakins, 61, of Chattanooga, for the sexual exploitation of a child. Deakins appeared in court June 22, 2021, before the Honorable U.S. Magistrate Judge Susan K. Lee and entered a plea of not guilty to the charge in the indictment. He was detained pending trial, which has been set for August 24, 2021 before the Honorable U.S. District Judge Charles E. Atchley, Jr.
The indictment alleges that Deakins sexually exploited a child under the age of 12 from June 2018 through September 2018, and that he has prior convictions for the sexual abuse of children.
If convicted, Deakins faces a mandatory minimum term of imprisonment of 35 years up to a maximum term of life in prison.
If you have information regarding the pending prosecution, or you believe you or someone you know may have been victimized by the defendant, the FBI requests that you contact them at 423-265-3601 or report it at tips.fbi.gov. Identified victims may be eligible for certain services and rights under federal and/or state law.
This indictment is the result of an investigation by the Chattanooga Crimes Against Children Task Force, and included the Federal Bureau of Investigation, the United States Marshals Service, Homeland Security Investigations, Chattanooga Police Department, Tennessee Highway Patrol, Hamilton County Sheriff’s Office, and Red Bank Police Department.
Assistant U.S. Attorney Steve Neff represents the United States.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative launched in May 2006, by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section, PSC marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about PSC, please visit www.justice.gov/psc. For more information about internet safety education click on the link for “Publications & Resources.”
Members of the public are reminded that an indictment constitutes only charges and that every person is presumed innocent until their guilt has been proven beyond a reasonable doubt.
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Cedar Rapids Man Sentenced to over Four Years in Federal Prison for Possessing Guns and DrugsRead the Press Release
A Cedar Rapids man, responsible for possessing multiple guns while being under the influence of marijuana, was sentenced today to 50 months in prison.
Cameron Jay Burgess, age 29, from Cedar Rapids, Iowa, received the prison sentence after pleading guilty to possession of a firearm by a drug user.
Information disclosed at sentencing and at his plea hearing showed that in February 2020, law enforcement executed a search warrant at Burgess’ residence in Cedar Rapids. During their search, officers located and seized seven firearms and three high capacity magazines. The firearms, which consisted of handguns and shotguns, were located in different areas throughout his residence. Officers also seized over 4 grams of cocaine, approximately 38 grams of hash oil, approximately 92 grams of hashish balls, 25 THC cartridges, approximately 147 grams of marijuana, drug paraphernalia, and drug packaging materials. Burgess admitted that he intended to distribute some or all of the THC and marijuana. Burgess also admitted that he was a daily marijuana user and also used cocaine.
Burgess was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Burgess was sentenced to 50 months’ imprisonment. He was ordered to make payment of $100 to the special assessment fund. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Ashley Corkery and investigated by the Cedar Rapids Police Department, the Linn County Sheriff’s Office, the Drug Enforcement Administration, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number 20-CR-67.
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Brooklyn Man Convicted of Sexually Abusing Female Passenger Aboard International Flight from Abu Dhabi to Kennedy AirportRead the Press Release
A federal jury in Brooklyn today returned a guilty verdict against Daniel Martin Katz on both counts of an indictment charging him with abusive sexual contact and assault in the special aircraft jurisdiction of the United States. The verdict followed a three-day trial before United States District Judge Frederic Block.
Jacquelyn M. Kasulis, Acting United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the verdict.
“With today’s verdict, the jury has held the defendant accountable for his unwanted, in-flight assault of a young, vulnerable woman who was sleeping in a darkened aircraft cabin during a transatlantic flight,” stated Acting U.S. Attorney Kasulis. “This Office will vigorously prosecute reprehensible acts of sexual abuse that take place onboard aircrafts.”
“Today, Mr. Katz learned there are consequences for his outrageous assault of a fellow passenger. To others who need a quick refresher, here it is: The FBI's jurisdiction includes any illegal act committed on a plane the moment the doors are closed. Behave yourselves. If you break the law while aboard an aircraft, you will be arrested and held accountable,” stated FBI Assistant Director-in-Charge Sweeney.
The government’s evidence at trial established that on February 24, 2018, Katz and the then-25-year-old victim were passengers aboard Etihad Airways Flight 103, an overnight flight traveling from Abu Dhabi, United Arab Emirates, to John F. Kennedy International Airport in Queens, New York. The victim, assigned to a window seat, fell asleep with Katz assigned to the aisle seat next to her. While she slept, Katz reached into the victim’s pants with his hand and touched her genitals. She awoke to the defendant sexually abusing her.
The government’s case is being prosecuted by Assistant United States Attorneys Kayla C. Bensing and James P. McDonald.
The Defendant:
DANIEL MARTIN KATZ
Age: 36
Brooklyn, New YorkE.D.N.Y. Docket No. 19-CR-115 (FB)
Brockton Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
BOSTON – A Brockton man pleaded guilty yesterday to distributing fentanyl throughout southeastern Massachusetts.
Christian Collins, 19, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl and three counts of distribution of fentanyl. U.S. District Court Judge Patti B. Saris scheduled sentencing for Sept. 28, 2021.
In 2019 and 2020, law enforcement officers conducted an investigation into fentanyl traffickers operating in southeastern Massachusetts. On Dec. 16, 2019, it is alleged that Collins worked with a co-defendant to distribute 20 grams of fentanyl to a cooperating witness and an undercover police officer in Plympton. On Jan. 3, 2020, Collins and a third man sold 10 grams of fentanyl and a Taurus .38 caliber firearm to the same cooperating witness and undercover officer. On Jan. 6 and Jan. 8, 2020, Collins distributed a total of 45 grams of fentanyl to the cooperating witness and undercover officer.
The charge of conspiracy to distribute and possess with intent to distribute 40 grams or more of fentanyl provides for a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years of supervised release and a fine of up to $5 million. The charge of distribution of fentanyl provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Brockton Police Chief Emanuel Gomes; East Bridgewater Police Chief Paul O’Brien; John Gibbons, U.S. Marshal for the District of Massachusetts; and Plymouth County District Attorney Timothy Cruz made the announcement. Assistant U.S. Attorney Christopher Pohl of Mendell’s Narcotics and Money Laundering Unit is prosecuting the case.
The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Bridgeport Man Sentenced to 5 Years in Federal Prison for Trafficking HeroinRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that DAVON LOTT, also known as “D,” 39, of Bridgeport, was sentenced today by U.S. District Judge Alvin W. Thompson in Hartford to 60 months of imprisonment, followed by four years of supervised release, for distributing heroin.
According to court documents and statements made in court, in the summer of 2017, members of the FBI’s Bridgeport Safe Streets Task Force and Bridgeport Police Department began investigating individuals who were distributing narcotics in and around Bridgeport. The investigation, which included the use of court-authorized wiretaps and controlled purchases of narcotics, resulted in federal charges against 19 defendants and the seizure of narcotics, items used to process and package drugs for street sale, eight firearms, and more than $360,000 in cash.
The investigation revealed that Lott acquired and distributed a significant amount of heroin for several years.
Lott was arrested on May 10, 2019. On February 28, 2020, he pleaded guilty to one count of conspiracy to possess with intent to distribute 100 grams or more of heroin.
Lott, who is released on a $50,000 bond, is required to report to prison on August 23, 2021.
This matter is being investigated by the FBI’s Bridgeport Safe Streets Task Force and the Bridgeport Police Department, as well as the Drug Enforcement Administration, Connecticut State Police, and the Stratford, Norwalk, Seymour and Trumbull Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Karen L. Peck and Patrick J. Doherty through the Organized Crime Drug Enforcement Task Forces (OCDETF) Program. OCDETF identifies, disrupts and dismantles drug traffickers, money launderers, gangs and transnational criminal organizations through a prosecutor-led and intelligence-driven approach that leverages the strengths of federal, state and local law enforcement agencies. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Boston Man Sentenced for Fentanyl TraffickingRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for fentanyl distribution.
Anthony Smallwood, 30, was sentenced by U.S. District Court Judge Richard G. Stearns to seven years in prison and four years of supervised release. In January 2020, Smallwood pleaded guilty to four counts of distribution and possession with intent to distribute 40 grams or more of fentanyl.
Between March and May 2019, Smallwood engaged in four separate drug sales of fentanyl to a cooperating witness. These sales totaled over 230 grams of fentanyl.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorney Stephen W. Hassink of Mendell’s Narcotics and Money Laundering Unit prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Boston Man Sentenced for Cocaine ConspiracyRead the Press Release
BOSTON – A Boston man was sentenced yesterday in federal court in Boston for his role in a cocaine conspiracy.
Luis Alfredo Baez, 53, of Boston, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 41 months in prison and two years of supervised release. On Feb. 23, 2021, Baez pleaded guilty to one count of conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin, 400 grams or more of fentanyl, cocaine, cocaine base, oxycodone and marijuana and one count of conspiracy to distribute and possess with intent to distribute 500 grams or more of cocaine.
In May 2019, Baez and two others were charged following an investigation of a drug trafficking organization in and around Brockton and Boston. According to court documents, in 2018, federal and state law enforcement began investigating a Brockton drug crew. That investigation identified Baez, a Boston-based drug dealer who distributed large quantities of cocaine. In June 2019, a federal grand jury returned a 17-count superseding indictment charging Baez and 16 others with controlled substance and firearm offenses. Baez is the eighth defendant to be sentenced in the case.
The charge of conspiracy to distribute and to possess with intent to distribute 100 grams or more of heroin, 400 grams or more of fentanyl, cocaine, cocaine base, oxycodone and marijuana provides for a sentence of up to life in prison, at least three years of supervised release and a fine of up to $10 million. The charge of conspiracy to distribute and to possess with intent to distribute 500 grams or more of cocaine provides for a sentence of at least five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. Assistant U.S. Attorneys Christopher Pohl and Alathea Porter of Mendell’s Narcotics and Money Laundering Unit prosecuted the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Boston Man Sentenced for Being a Felon in Possession of FirearmRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for being a felon in possession of a firearm and ammunition.
Elvis R. Abinader, 22, was sentenced by U.S. Senior District Court Judge Mark L. Wolf to two years in prison and three years of supervised release. On May 13, 2021, Abinader pleaded guilty to one count of being a felon in possession of a firearm and ammunition.
Abinader possessed a Ruger .380 caliber pistol with an obliterated serial number and three rounds of ammunition on June 24, 2019, at Mt. Pleasant Park, a playground in Boston. Federal law prohibits Abinader from possessing a firearm or ammunition due to a prior felony conviction for a narcotics distribution offense.
Acting United States Attorney Nathaniel R. Mendell; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Suffolk County District Attorney Rachael Rollins; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorney James R. Drabick of Mendell’s Criminal Division prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Blasdell Man Arrested After Investigators Recover Thousands of Images and Videos of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Shawn Kostelny, 55, of Blasdell, NY, was arrested and charged by criminal complaint with receipt and possession of child pornography, which carry a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a fine of $250,000.
Assistant U.S. Attorney David J. Rudroff, who is handling the case, stated that the between June 19 and June 23, 2020, a Homeland Security Investigations Special Agent, who was engaged in a Peer-to-Peer investigation online, downloaded 1,346 files of suspected child pornography from an IP address traced to the defendant.
On August 14, 2020, HSI Special Agents executed a search warrant at Kostelny’s residence and seized 49 electronic devices, including a laptop and hard drive. Forensic analysis of the 49 seized items recovered 8,018 images and 686 videos of suspected child pornography. Some of the images depicted children as young as three-years-old subjected to sexually explicit situations.
The complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Bath Man Pleads Guilty to Fraud and Identity Theft ChargesRead the Press Release
PORTLAND, Maine: A Bath man pleaded guilty today in federal court to one count of wire fraud, seven counts of money laundering, one count of transferring property to prevent seizure, and one count of aggravated identity theft, Acting U.S. Attorney Donald E. Clark announced.
According to court records, between February 2019 and September 2020, David Altenburg, 46, used his access to his employer’s financial accounts to make approximately 106 wire transfers and other withdrawals. To execute his scheme, he fraudulently used the name and email address of a firm director to purportedly authorize certain transfers.
In total, Altenburg diverted more than $2.7 million to accounts under his control. He used the diverted funds to fund travel; pay down his mortgage; and purchase luxury vehicles, jewelry, clothing and other items. After learning he was under investigation, he transferred title of his residence to a trust managed by his wife in an effort to prevent its seizure.
Altenburg faces a period of imprisonment of up to 20 years and a fine of up to $250,000 on the wire fraud count, up to 20 years and a fine of up to $500,000 on three of the money laundering counts, up to 10 years and a fine of $250,000 on four of the money laundering counts, up to five years and a fine of $250,000 on the transferring property to prevent seizure count, and a consecutive mandatory minimum sentence of two years and a fine of up to $250,000 on the aggravated identify theft count. He will also be required to pay restitution to the victims of the offenses. He will be sentenced following the preparation of a presentence report by the United States Probation Office. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI investigated the case with assistance from the Bath Police Department.
Acting United States Attorney Jacquelyn M. Kasulis Announces Formation of Environmental Justice Team in the Office’s Civil DivisionRead the Press Release
Jacquelyn M. Kasulis, Acting United States Attorney for the Eastern District of New York, announced today the creation of the Environmental Justice Team. The Environmental Justice Team, comprised of seven Civil Division Assistant U.S. Attorneys, including the Civil Division Chief of Environmental Litigation, reinforces the Office’s focus on protecting the rights of residents of the Eastern District of New York who are disproportionately burdened by environmental and health hazards. The Office has responsibility for the enforcement of our nation’s laws in the Eastern District of New York, which encompasses three of the five boroughs of New York City – Brooklyn, Queens and Staten Island – and Nassau and Suffolk Counties on Long Island. The Eastern District of New York encompasses approximately eight million people.
The Office is creating this team in recognition of President Joseph Biden’s directive in Executive Order 14008, which mandates that “[a]gencies shall make achieving environmental justice part of their missions by developing programs, policies, and activities to address the disproportionately high and adverse human health, environmental, climate-related and other cumulative impacts on disadvantaged communities, as well as the accompanying economic challenges of such impacts.” Among the areas that the Environmental Justice Team will focus on are child lead exposure, clean air, and the protection of groundwater, surface waters, and wetlands across New York City and Long Island.
In announcing the formation of the Environmental Justice Team, Acting United States Attorney Kasulis stated, “I am proud to announce the formation of our Environmental Justice Team, which will enhance the Office’s longstanding commitment to environmental enforcement by addressing disproportionate environmental, health, economic and climate impacts on disadvantaged communities. The Environmental Justice Team is a critical part of the Office’s longstanding commitment to fighting pollution and climate change. This Office will continue to vigorously enforce federal environmental laws and hold polluters accountable.”
“For too long, the lived experience of many communities whose residents are predominantly of color, Indigenous, or low-income is that they suffer from disproportionately high pollution levels that result in adverse health and environmental impacts,” stated EPA Acting Regional Administrator Walter Mugdan. “The creation of this Environmental Justice Team is a positive step forward to strengthen the enforcement of our bedrock environmental laws and Title VI of the Civil Rights Act to ensure violations in environmental justice communities are promptly identified and corrected, and that appropriate penalties are imposed as a deterrent against future violations. Environmental justice is a central driving factor in all that we all do.”
The Office will continue to partner and coordinate with the Environment and Natural Resources Division at the U.S. Department of Justice, as well as client agencies across the federal government.
The Environmental Justice Team is led by Civil Division Chief of Environmental Litigation Matthew Silverman; the Environmental Justice Team is made up of Senior Litigation Counsel Deborah Zwany and Assistant U.S. Attorneys Ekta R. Dharia, Kathleen Mahoney, Thomas Price, Shana C. Priore and Alex Weinberg. The Environmental Justice Team is overseen by Civil Division Acting Chief Joseph A. Marutollo and Civil Division Deputy Chief Richard K. Hayes.
The Office previously announced the creation of a Civil Rights Team in the Office’s Civil Division, which is comprised of the Civil Division Chief of Civil Rights, four Civil Division Assistant U.S. Attorneys, and a Civil Rights investigator. The Civil Rights Team’s focus will be on protecting the rights of the most vulnerable residents of the Eastern District of New York, especially those in disadvantaged communities. The Environmental Justice Team will be coordinating its work with the Civil Rights Team.
Acting U.S. Attorney named West Virginia Bar FellowRead the Press Release
WHEELING, WEST VIRGINIA – Acting U.S. Attorney Randolph J. Bernard will be honored today as a 2021 Fellow at the West Virginia Bar Foundation Fellows Dinner in Charleston.
The event will honor the judges and lawyers selected for both the 2020 Fellows class and the 2021 Fellows class. The criteria for Bar Foundation Fellows are those judges and lawyers whose professional, public and private careers have demonstrated outstanding dedication to the welfare of their communities and honorable service to the legal profession with the individuals selected reflecting the diverse nature of the legal profession in West Virginia.
“It is an honor and a privilege to be recognized by the West Virginia Bar and my colleagues. All of us work tirelessly every day to find justice for clients in a variety of arenas. I’m proud to be a part of such an esteemed group of legal professionals,” said Bernard.
Bernard was nominated by former U.S. Attorney Bill Powell, Northern District of West Virginia.There have been approximately 400 lawyers and judges selected as Fellows over the years from the 6,000 judges and lawyers across the state.