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10 June 2021
Chief Operating Officer of Network Security Company Charged with Cyberattack on Medical CenterRead the Press Release
A Georgia man was arraigned today on charges arising out of a cyberattack conducted on Gwinnett Medical Center in 2018.
According to the indictment, Vikas Singla, 45, of Marietta, the chief operating officer of a metro-Atlanta network security company that served the health care industry, allegedly conducted a cyberattack on Gwinnett Medical Center that involved (i) disrupting phone service, (ii) obtaining information from a digitizing device, and (iii) disrupting network printer service. The indictment further alleges that the cyberattack was conducted, in part, for financial gain.
“Criminal disruptions of hospital computer networks can have tragic consequences,” said Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division. “The department is committed to holding accountable those who endanger the lives of patients by damaging computers that are essential in the operation of our health care system.”
“Cyberattacks that target important infrastructure, like health care, pose a serious threat to public health and safety,” said Acting U.S. Attorney Kurt R. Erskine for the Northern District of Georgia. “In this case, Singla allegedly compromised Gwinnett Medical Center’s operations in part for his own personal gain.”
“This cyberattack on a hospital not only could have had disastrous consequences, but patients' personal information was also compromised,” said Special Agent in Charge Chris Hacker of the FBI’s Atlanta Field Office. “The FBI and our law enforcement partners are determined to hold accountable, those who allegedly put people’s health and safety at risk while driven by greed.”
Singla was indicted by a federal grand jury Tuesday and made his initial court appearance today before U.S. Magistrate Judge Linda T. Walker of the U.S. District Court for the Northern District of Georgia. The defendant is charged with 17 counts of intentional damage to a protected computer, each of which carries a maximum penalty of 10 years’ imprisonment, and one count of obtaining information by computer from a protected computer, which carries a maximum penalty of five years’ imprisonment. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
The FBI is investigating this case.
Trial Attorney Brian Mund of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney Samir Kaushal for the Northern District of Georgia and are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Carroll County Woman Pleads Guilty to Supplemental Security Income FraudRead the Press Release
ABINGDON, Va. – A Carroll County woman pleaded guilty today to Supplemental Security Income fraud after receiving disability benefits for more than two years for which she was not entitled.
According to court documents, Jessica Lynn Hawks, previously known as Jessica Lynn Wardwell, 37, received benefits from the Social Security Administration for which she was not entitled. Hawks admitted today that from February 7, 2014 to August 1, 2016, she received $21,858 in Supplemental Security Income disability benefits of behalf of a minor child that was no longer in her custody. Hawks agreed under penalty of perjury that she would use all disability benefits made to her as the representative payee for her minor child’s needs. She also agreed to notify the Social Security Administration of any change in her child’s living arrangements or care. However, when Hawks lost custody of her child in February 2014, she never informed the Social Security Administration that the minor child was no longer in her care and instead converted the disability benefits she received on the minor’s behalf for her own benefit.
Hawks pleaded guilty to knowingly and willfully converting Supplemental Security Income disability benefits received for the use and benefit of another, in violation of Title 42, United States Code, Section 1383a(a)(4). She is scheduled to be sentenced on September 28, 2021 and faces a period of incarceration of zero to six months, pursuant to a written plea agreement entered with the government.
Acting U.S. Attorney Daniel P. Bubar of the Western District of Virginia made the announcement.
The Office of the Inspector General – Social Security Administration is investigating the case.
Assistant U.S. Attorney Lena Busscher is prosecuting the case.
Canadian truck driver admits drug trafficking crime after U.S. Customs and Border Protection finds 211 pounds of cocaine in trailer load of bananasRead the Press Release
GREAT FALLS – A Canadian truck driver admitted to a drug trafficking crime today after U.S. Customs and Border Protection agents found 211 pounds of cocaine in a trailer load of load of bananas during an inspection as the driver was attempting to enter Canada, Acting U.S. Attorney Leif M. Johnson said.
Gurpal Singh Gill, 39, of Calgary, Alberta, Canada, pleaded guilty to possession with intent to distribute cocaine as charged in a superseding information. Gill faces a mandatory minimum five years to 40 years in prison, a $5 million fine and at least four years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for Sept. 30. Gill was detained pending further proceedings.
In court documents filed in the case, the government alleged that on Jan. 30, CBP officers at the Sweetgrass Port of Entry, in Toole County, were targeting commercial drivers destined for Canada from the United States. At about 8 p.m., officers observed a freightliner semi-truck with Alberta license plates traveling north on Interstate 15 at the Sweetgrass Port of Entry. Officers identified Gill as the driver and sole occupant of the semi-truck. Upon initial inspection, officers learned Gill was transporting a load of fresh bananas from California to Calgary. However, a missing rear seal on the truck’s trailer led to a secondary inspection. Officers observed seven unmarked boxes sitting on top of bananas in the back of the trailer. The unmarked boxes were a different color and size from the boxes of bananas. Officers opened the boxes and found a white powdery substance that appeared to be cocaine. An analysis by the Drug Enforcement Administration determined the packages contained about 211 pounds of cocaine.
Assistant U.S. Attorney Jessica A. Betley is prosecuting the case, which was investigated by Homeland Security Investigations and U.S. Customs and Border Protection.
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California Prison Inmate and 3 Accomplices Indicted for $1.2M Unemployment Insurance Benefits Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — A 16-count indictment was unsealed Wednesday charging Kenneth Ray Hawkins, 47, of Tracy; Jacqueline Marie Marquez, 34, formerly of Las Vegas; Alyssa Marie Jones, 32, of Barstow; and Ebony Chanel Jones, 20, of Barstow, with conspiracy to commit mail fraud and mail fraud, Acting U.S. Attorney Phillip A. Talbert announced.
A federal grand jury returned the indictment on May 13. According to court documents, between June 2020 and January 2021, the four defendants conspired to execute and executed a scheme to defraud by filing fraudulent unemployment insurance claims with the California Employment Development Department (EDD), seeking Pandemic Unemployment Assistance benefits under the CARES Act. During the conspiracy, Hawkins was an inmate at the Deuel Vocational Institution (DVI), a California state prison in Tracy, California. Hawkins collected identity information, including names and Social Security numbers, of California prison inmates and other individuals and used the identities and an unauthorized cellphone to file fraudulent unemployment insurance claims from his jail cell. The claims represented, among other things, that the claimants had recently lost employment from businesses or were unable to find employment due to the COVID-19 pandemic. These claims were fraudulent because, for example, the inmates were incarcerated, not recently employed, and ineligible for unemployment insurance benefits.
In the applications, Hawkins requested that the benefits be mailed to various California addresses that were under the control of one or more co-conspirators. EDD approved dozens of the fraudulent claims and authorized Bank of America to mail out EDD debit cards containing benefits. Co-defendants Marquez, Alyssa Jones, and Ebony Jones then obtained the EDD debit cards and used them to withdraw the benefits at ATMs throughout California for the benefit of the conspirators. The scheme sought over $1.2 million and resulted in EDD paying out over $900,000.
This case is the product of an investigation by the U.S. Postal Inspection Service, the California Department of Corrections and Rehabilitation Office of Correctional Safety, the DVI Investigative Services Unit, and EDD – Investigation Division. Special Assistant U.S. Attorney Robert J. Artuz is prosecuting the case.
Alyssa Jones and Ebony Jones recently made their initial appearances in the Central District of California and were released on bond to appear in the Eastern District of California. Marquez has not yet made her initial appearance in federal court. Hawkins remains in state prison for an unrelated conviction.
If convicted, each defendant faces a maximum statutory penalty of 20 years in prison and a $250,000 fine on each of the 16 counts. 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
Butte man sentenced to more than 15 years in prison for meth trafficking, firearms and money laundering crimesRead the Press Release
MISSOULA – A Butte man who admitted conspiring to traffic methamphetamine in Montana, wiring the drug proceeds to California and Mexico and illegally possessing firearms was sentenced today to 15 years and eight months in prison followed by five years of supervised release, Acting U.S. Attorney Leif M. Johnson said.
Joshua Jay Schroeder, 40, pleaded guilty on Aug. 24, 2020 to conspiracy to possess with intent to distribute meth, felon in possession of a firearm and conspiracy to commit money laundering.
U.S. District Judge Dana L. Christensen presided. Schroeder was detained.
In court documents filed in the case, the government alleged that law enforcement became aware that Schroeder was involved in drug trafficking in and around Montana. In April 2019, an undercover agent purchased meth from Schroeder, and by June 2019, law enforcement found multiple pounds of meth mailed to Schroeder, all of which was meant for distribution in Montana. In a search of Schroeder’s house, agents found 44 grams of meth and a digital scale. In addition, investigators found a total of five firearms in Schroeder’s vehicle. Schroeder possessed the firearms after having been convicted of multiple felonies in Montana. Schroeder admitted to law enforcement that he accepted packages of meth for redistribution and helped in collecting and wiring money used in drug trafficking. Financial records showed that Schroeder wired drug money from Montana to Mexico and California.
Assistant U.S. Attorney Ryan G. Weldon prosecuted the case, which was investigated by the Montana Division of Criminal Investigation, Drug Enforcement Administration, Homeland Security Investigations and Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Butte County Man Charged with Distribution of HeroinRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a two-count indictment today against Aaron Rex, 57, of Oroville, charging him with two counts of distributing heroin, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, Rex distributed heroin on two occasions in 2020.
This case is the product of an investigation by the Drug Enforcement Administration and the Butte County Interagency Narcotics Task Force. Assistant U.S. Attorney Ross Pearson is prosecuting the case.
If convicted, Rex faces a maximum sentence of up to 20 years in prison on each distribution count and a $1 million fine. 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.
Butler County Couple Sentenced to Prison on Fraud and Tax ChargesRead the Press Release
PITTSBURGH – A married couple from Butler County, Pennsylvania, has been sentenced in federal court on fraud and tax charges, Acting United States Attorney Stephen R, Kaufman announced today.
Stephanie J. Roskovski, 51, of Butler, PA, pleaded guilty in May 2020 to one count of mail fraud and one count of filing a false income tax return and was sentenced to 51 months in prison and three years of supervised release. Scott A. Roskovski, 52, also of Butler, PA, pleaded guilty previously to one count of filing a false income tax return and one count of submitting a false loan application to a bank. He was sentenced to 30 months in prison and two years of supervised release. Both defendants were sentenced by United States District Court Judge William S. Stickman IV. The court will issue an order of restitution within 90 days.
Acting U.S. Attorney Kaufman said, “Stephanie Roskovski took advantage of her trusted position as the second in command at Butler Health System (d/b/a Butler Memorial Hospital) to steal over $1.3 million from the Hospital, a non-profit organization. She and her husband then used the embezzled money to fund an extravagant lifestyle. They also committed fraud upon a financial institution and filed false tax returns. Today is the day that justice came to the Roskovskis for their criminal actions.”
“The Postal Inspection Service will continue to ensure that criminals are held accountable for their greed. These sentences are an example of the commitment of law enforcement working together to bring Scott and Stephanie Roskovski to justice for committing mail fraud and other crimes.” stated Inspector-in-Charge Lesley Allison.
“These cases were all about greed,” said Joleen Simpson, Acting Special Agent in Charge of IRS-Criminal Investigation. “That greed caused the Roskovskis to commit tax fraud and other crimes, which ultimately resulted in the penalties they received today. These sentencings should be a deterrent to other would-be criminals, knowing that Special Agents from IRS-CI and our law enforcement partners are fully committed to bringing offenders like this to justice.”
“The Roskovskis knew what they were doing was wrong,” said FBI Pittsburgh Special Agent in Charge Mike Nordwall. “They embezzled money to line their own pockets and live a lavish lifestyle. They are now convicted felons and will serve time for their crimes. Hopefully today's sentencing will bring some closure to the community and send the message that the FBI takes our responsibility to stop those who set out to commit fraud and use it for their own personal gain very seriously. It simply won’t be tolerated.”
According to information provided to the court, from April 2011 through December 2017, Stephanie Roskovski, while serving as the Chief Operating Officer for Butler Health System (BHS), embezzled in excess of $1.3 million from her employer. She used her corporate credit card to make personal purchases that she disguised as business expenses, submitted falsified reimbursement requests claiming purchases she made on a personal credit card were for business, and obtained hundreds of merchant gift cards worth more than $350,000, falsely claiming they were for distribution to “focus groups” or physicians, and which she and her husband used for purely personal purposes. During that time, Stephanie’s husband, Scott Roskovski, was employed as a detective with the Butler County District Attorney’s Office. Ironically, he investigated financial crimes including theft and fraud. The defendants spent most of the stolen funds on lavish vacations, renovations to their home, and the purchase and operation of a motocross track, “Switchback MX LLC”, located in Butler County. The defendants failed to report the fraud proceeds as income on their annual income tax returns jointly filed with the Internal Revenue Service. Additionally, after the couple lost their respective jobs, the defendants submitted a materially false loan application to S&T Bank to refinance the Switchback business and to purchase a bulldozer. S&T Bank extended two loans, the first for $1,128,227, and the second for $55,384, based upon the false information.
The court was advised that the total loss resulting from the mail fraud scheme perpetrated against BHS is approximately $1,331,884, and the total tax loss to the IRS is approximately $397,342.
Assistant United States Attorney Carolyn J. Bloch prosecuted this case on behalf of the government.
The U.S. Postal Inspection Service, the Internal Revenue Service, Criminal Investigation, and the Federal Bureau of Investigation conducted the investigation leading to the prosecution of Scott and Stephanie Roskovski.
Beaverton Man Sentenced for Laser Assault on Federal Officer During Portland ProtestRead the Press Release
PORTLAND, Ore.—A Beaverton, Oregon man was sentenced today for shining a high-powered green laser at a uniformed Federal Protective Service (FPS) officer providing security at the Mark O. Hatfield U.S. Courthouse during a protest in July 2020.
Andrew Steven Faulkner, 25, was sentenced to three years’ federal probation to include six months of home detention and 40 hours of community service.
According to court documents, in the early morning hours of July 5, 2020, Faulkner shined a high-powered green laser at an FPS officer working as a member of the security team at the Hatfield Federal Courthouse. The officer was struck in the eye by the laser and quickly moved to avoid prolonged exposure. The officer was able to identify Faulkner and observed him shining the laser in the direction of other officers. When officers approached Faulkner, he attempted to flee, but was ultimately apprehended. The laser, a SDLaser 303 with a warning label cautioning direct eye exposure, was located in Faulkner’s possession.
On July 6, 2020, Faulkner was charged by criminal information with one count of misdemeanor assault on a federal officer. He pleaded guilty to the charge on January 13, 2021.
Acting U.S. Attorney Scott Erik Asphaug of the District of Oregon made the announcement.
This case was investigated by FPS and the FBI. Assistant U.S. Attorney Ashley R. Cadotte prosecuted the case.
Beaverton Man Sentenced to Federal Prison for Threat Against Whistleblower’s AttorneyRead the Press Release
BAY CITY – Brittan J. Atkinson, 54 of Beaverton, was sentenced today to one year and one day in federal prison for sending threatening communications to a Washington, D.C. attorney, announced Acting United States Attorney Saima Mohsin.
Mohsin was joined in the announcement by Special Agent in Charge Timothy Waters, Federal Bureau of Investigation, Detroit, Michigan.
Atkinson was sentenced by United States District Judge Thomas Ludington in Bay City, Michigan
According to court records, on November 7, 2019, Atkinson knowingly and willingly sent an email via the internet to an attorney in Washington, D.C. known to represent a federal whistleblower. The email contained threats to harm the victim stating, “[a]ll traitors must die miserable deaths” and “[t]hose that represent traitors shall meet the same fate[.]” Atkinson told the attorney, “we will hunt you down and bleed you out like the pigs you are.” Atkinson’s threat continued, “[k]eep looking over your shoulder, we know who you are, where you live, and who you associate with, we are all strangers in a crowd to you[.]” Upon receiving the threat, the attorney contacted the FBI who immediately began an investigation and identified Atkinson as the sender of the email. Atkinson was arrested pursuant to an indictment in February 20, 2020. On December 1, 2020, Atkinson pleaded guilty to making an interstate communication of a threat to injure.
“The actions in this case are very alarming,” stated Acting US Attorney Mohsin. “Once free speech crosses the line and becomes a threat, you can rest assured that the full extent of the law will be brought to bear. No one should be threatened for simply doing their job.”
"This sentence should send a message that you cannot hide behind a computer keyboard and make threats against another person with impunity," said Timothy Waters, Special Agent in Charge of the FBI in Michigan. "The First Amendment does not protect those who threaten violence against another person. Those threats are taken seriously, will be fully investigated, and people will be held accountable."
This case was investigated by special agents of the FBI and was prosecuted by Assistant United States Attorney Anthony Vance.
Barren County Man Charged with Drug Trafficking and Illegal Possession of FirearmsRead the Press Release
BOWLING GREEN, KY – A federal grand jury in Bowling Green returned an indictment yesterday charging a Barren County man with drug trafficking and illegal possession of firearms.
According to court documents, Eric R. Sturgeon, 40, of Cave City, KY, was found on or about November 12, 2020, in Barren County, KY to possess with the intent to distribute fifty (50) grams or more of a mixture or substance containing a detectible amount of methamphetamine. Sturgeon is also charged with possessing two handguns on the same date after he had been convicted of a felony, and in furtherance of his drug trafficking.
Sturgeon is also charged with possessing with the intent to distribute fifty (50) grams or more of a mixture or substance containing a detectible amount of methamphetamine, on or about May 6, 2021, in Warren County, KY. On this same date, Sturgeon possessed a different handgun after he had been convicted of a felony and possessed the handgun in furtherance of his drug trafficking.
Sturgeon is charged with two counts of Possession with the Intent to Distribute Methamphetamine, two counts of Possession of a Firearm by a Prohibited Person, and two counts of Possession of a Firearm in Furtherance of Drug Trafficking. If convicted, he faces a mandatory minimum of 10 years in prison. There is no parole in the federal system. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Acting U.S. Attorney Michael A. Bennett of the Western District of Kentucky and the Bureau of Alcohol, Tobacco and Firearm (ATF), made the announcement.
The ATF, Barren River Drug Task Force, and Bowling Green/Warren County Drug Task Force are investigating the case.
Assistant U.S. Attorney Mark J. Yurchisin II of the Bowling Green U.S. Attorney’s Office is prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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Baltimore Man Facing Federal Charges for Sex Trafficking of a MinorRead the Press Release
Greenbelt, Maryland – A federal criminal complaint has been filed charging Kyle David Robinson, age 28, of Baltimore, Maryland, on the federal charges of sex trafficking of a minor. At today’s initial appearance in U.S. District Court in Greenbelt, U.S. Magistrate Judge Charles B. Day ordered that Robinson be detained pending trial.
The criminal complaint was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner and Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI).
According to the affidavit filed in support of the criminal complaint, HSI special agents learned that an individual in Baltimore had access to two teenage females—one a minor—for the purpose of commercial sex. Agents learned that the telephone number allegedly used to communicate with clients interested in engaging in commercial sex acts with the teenage females was associated with Kyle Robinson.
On June 1, 2021, an undercover agent (UCA) contacted Robinson on the previously identified phone number. Robinson allegedly stated, “I got girls,” early in the conversation and stated to the UCA several times during the call that “they young.” The male explained that he had two teenagers available and the cost for an hour with both would be $1,000. The UCA offered to pay $500 for ½ an hour, and the male agreed. A tentative date of June 3, 2021 was agreed upon, and the affidavit alleges that Robinson stated that the meeting would have to occur before 7:30 p.m. due to conditions of one of the teenagers. When the UCA asked if the girls were “that young” that they have to get home, Robinson allegedly stated “yeah, for one of them it’s like that bro.” After the phone call, the UCA received sexually explicit images of one girl and an image of a younger looking girl wearing a crop top.
As detailed in the affidavit, over the next several days, the UCA exchanged phone calls and text messages with Robinson concerning the scheduled commercial sex date. On June 3, 2021, Robinson advised the UCA that he was on his way but only had the older girl with him as he was not able to reach the younger girl. The UCA requested that they postpone the commercial sex date until both girls were available. Later that evening, Robinson allegedly confirmed that he found the younger girl and that she would be available on June 7, 2021. After several more calls and text messages, Robinson agreed to meet the UCA at a hotel. At approximately 4:10, Robinson came to the UCA’s room with the minor female, who Robinson stated was fifteen years old. After agreeing to accept $740 for an hour with the minor female, the UCA paid Robinson and law enforcement entered the room and secured Robinson and the minor female. Law enforcement executed search warrants on Robinson and his residence. Law enforcement recovered $740 in cash, which was still in Robinson’s hand, his cell phone from his front pocket, and a key fob and four keys, which fit the vehicle he had driven to the location. Robinson was arrested for sex trafficking of a minor.
The young female that Robinson had brought to the hotel to engage in commercial sex with the UCA was identified as a 14-year-old 8th grader.
If convicted, Robinson faces a mandatory minimum sentence of 10 years in federal prison and up to life in prison for sex trafficking of a minor. 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.
A criminal complaint is not a finding of guilt. An individual charged by criminal complaint is presumed innocent unless and until proven guilty at some later criminal proceedings.
This case was investigated by law enforcement agencies that are members of the Maryland Human Trafficking Task Force, formed in 2007 to discover and rescue victims of human trafficking while identifying and prosecuting offenders. Members include federal, state and local law enforcement, as well as victim service providers and local community members. For more information about the Maryland Human Trafficking Task Force, please visit http://www.mdhumantrafficking.org/.
Report suspected instances of human trafficking to HSI's tip line at 866-DHS-2ICE (1-866-347-2423) or by completing its online tip form. Both are staffed around the clock by investigators.
United States Attorney Jonathan F. Lenzner commended the HSI for its work in the investigation and thanked the Baltimore County Police Department, the Baltimore Police Department, the Howard County Police Department, and ICE Enforcement Removal Operations for their assistance. Mr. Lenzner thanked Assistant U.S. Attorney Mary Setzer who is prosecuting the case.
For more information about the Maryland U.S. Attorney’s Office, its priorities and, resources for victims of human trafficking, please visit http://www.justice.gov/usao/md/priorities_human.html.
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Avis Budget Group to Pay $10.1 Million to Settle False Claims Act Allegations for Overcharging United States on Rental VehiclesRead the Press Release
NEWARK, N.J. – Avis Budget Group Inc. (Avis Budget), which includes its wholly-owned brands Avis Car Rental, Budget Car Rental, and Payless Car Rental, will pay $10.1 million to resolve allegations that it violated the False Claims Act by overcharging the United States in connection with rental vehicles, Acting U.S. Attorney Rachael A. Honig announced today.
According to the contentions of the United States contained in the settlement agreement:
Avis Budget made false claims in connection with obtaining payments under an agreement with the United States managed by the Department of Defense Travel Management Office. From Jan. 1, 2014, through Dec. 31, 2019, Avis Budget submitted false claims and received payment from the United States for unallowable supplemental charges to car rentals, including collision damage waiver/loss damage waiver insurance; supplemental liability coverage/additional liability insurance; personal accident insurance; personal effects coverage/personal effects protection; and late turn-in fees. In addition to being unallowable, some of the fees Avis Budget charged were already included in the government rental rate.
Acting U.S. Attorney Honig credited special agents of the U.S. Department of Defense, Defense Criminal Investigative Service, Northeast Field Office, under the direction of Special Agent in Charge Patrick J. Hegarty; Regional Agent in Charge for the New Jersey Resident Agency, Richard Monticello; Regional Agent in Charge for the St. Louis Resident Agency, Mitch Berry, and personnel of the Department of Defense, Defense Travel Management Office, under the direction of Director William R. Mansell Jr., with the investigation leading to the settlement.
The United States is represented by Assistant U.S. Attorney Mark C. Orlowski of the U.S. Attorney’s Government Fraud Unit in Newark.
The claims settled by this agreement are allegations only, and there has been no determination of liability.
Associate Medical Director of Baltimore County Pain Management Practice Pleads Guilty to Accepting Kick-BacksRead the Press Release
Baltimore, Maryland – Howard Hoffberg, M.D., age 65, of Reisterstown, Maryland, pleaded guilty on June 9, 2021, to the federal charge of conspiracy to violate the anti-kickback statutes, in connection with a scheme to accept payments from a pharmaceutical company in exchange for prescribing a drug the company marketed for breakthrough pain in cancer patients for off-label purposes.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Acting Special Agent in Charge Rachel Byrd of the Federal Bureau of Investigation, Baltimore Field Office; Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office; Special Agent in Charge Maureen Dixon, Office of Investigations, Office of Inspector General of the Department of Health and Human Services; and Chief Melissa R. Hyatt of the Baltimore County Police Department.
According to his guilty plea, Howard Hoffberg, is a doctor and was licensed to practice medicine in the State of Maryland. He served as the Associate Medical Director and part-owner of Rosen-Hoffberg Rehabilitation and Pain Management (the “Practice”). The Practice’s Medical Director was Norman Rosen, who worked primarily at the Practice’s Towson, Maryland locations. Hoffberg principally worked at the Practice’s location in Owings Mills, Maryland, but at times also was at the Practice’s locations in Towson, Maryland.
Hoffberg was a Medicare provider and submitted claims to Medicare, which is federal healthcare program. In September 2011, Hoffberg certified to Medicare that he would comply with Medicare rules and regulations, including that he would refrain from violating the federal anti-kickback statute. Further, in August 2013, Hoffberg certified to the U.S. Food and Drug Administration (“FDA”), as part of his ability to prescribe drugs known as Transmucosal Immediate Release Fentanyl (“TIRF”) drugs, that: (a) he understood TIRF drugs are indicated only for the management of breakthrough pain in cancer patients; (b) he understood that TIRF drugs can be abused by patients; and (c) he understood that one TIRF drug is not interchangeable with another TIRF drug.
As detailed in his plea agreement, starting in June 2012, Hoffberg solicited and received kickbacks and bribes for himself in the form of payments from Insys Therapeutics, Inc. (“Insys”) (a pharmaceutical company) and related entities. In January 2012, the FDA approved Insys’s application to sell and market a TIRF drug named Subsys to treat cancer patients experiencing break-through pain, which is a sudden onset of pain in cancer patients that cannot be controlled with their usual treatment regimen. Subsys is a potent opioid designed to rapidly enter a patient’s bloodstream upon being sprayed under the tongue. Subsys contains fentanyl, which is a synthetic opioid pain reliever that has a high potential for abuse and addiction.
According to the plea agreement, because of the limited number of cancer patients experiencing breakthrough pain who fit the FDA-approved criteria, Insys devised an illegal kickback and bribery scheme to induce Hoffberg and others to prescribe Subsys off-label for conditions other than breakthrough pain in cancer patients. In order to conceal and disguise that kickbacks and bribes were being paid to Hoffberg to prescribe Subsys, Insys falsely designated the payments to Hoffberg as “honoraria” for purportedly providing educational programs about Subsys (the “Speakers Bureau Program”). Hoffberg admitted that his participation in the Speakers Bureau Program was a sham. Hoffberg often made these presentations at high-end restaurants, and to staff at the Practice and/or to persons who could not even prescribe controlled substances. Hoffberg knew that these presentations were not designed to promote any bona fide educational initiative about Subsys but rather were required to receive the honoraria.
Hoffberg was paid $66,600 by Insys and knew that these payments were kickbacks and bribes that were paid, at least in part, to induce Hoffberg to prescribe, or in exchange for Hoffberg prescribing, Subsys. As part of the scheme, through January 2018 Hoffberg prescribed Subsys to patients of the Practice who were not suffering from cancer, some of whose insurance coverage was paid for, in whole or in part, by a federal healthcare program. Further, Hoffberg admitted that he switched several other patients to Subsys from another fentanyl-based drug because of the kickbacks he received from Insys, even though he previously certified that TIRF drugs were not interchangeable.
Hoffberg faces a maximum sentence of five years in federal prison. U.S. District Judge George L. Russell, III has scheduled sentencing for September 29, 2021 at 11:00 a.m.
Acting United States Attorney Jonathan F. Lenzner commended the FBI, the DEA, HHS-OIG, and the Baltimore County Police Department for their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorney Jason D. Medinger, who is prosecuting the case.
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Armed Carjacker Who Fled to Mississippi Enters Guilty PleaRead the Press Release
Memphis, TN – Billy Drain, 38, has pleaded guilty to carjacking and brandishing a firearm during a crime of violence. Acting U.S. Attorney Joseph C. Murphy Jr., announced the guilty plea today.
According to information presented in court, on February 24, 2020, the victim, J.K., advised that a male suspect who he knew as "Eric" asked him for a ride. The victim recognized Eric as the brother of a friend who had recently passed away. The suspect was accompanied by an unknown female. The victim drove the suspects to various locations in Memphis, when they decided to carjack the victim. The male suspect pulled out a silver 9mm handgun and pointed it at the victim and said, "mane get out the car right now or I'll kill you." The suspects drove off with his car, a silver 2008 Chrysler PT Cruiser, his phone, and house keys.
On March 15, 2020, officers and deputies in Yazoo City, Mississippi, observed Drain, (who was known to them to have outstanding warrants), driving a silver 2008 PT Cruiser. They engaged in a vehicle pursuit, when Drain attempted to ram the police vehicles. Ultimately, Drain crashed the vehicle and ran towards a nearby house. Once inside the home, Drain grabbed a 1-year-old baby, holding the baby hostage as the police attempted to arrest him. Drain was holding the baby by the throat and a cell phone to the baby's head, as if the phone was a weapon. Law enforcement safely recovered the baby and subdued Drain.
The vehicle Drain wrecked was determined to be the same vehicle stolen from the victim J.K. who later identified Drain as the suspect. Drain's full name is Billy Voneric Drain. Charges in Mississippi against Drain are still pending.
On June 9, 2021, Drain entered a guilty plea to both charges in the indictment.
Sentencing is scheduled for September 9, 2021, before U.S. District Judge Jon P. McCalla.
This case was investigated by the Memphis Police Department’s Violent Crimes Unit (VCU) and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Assistant U.S. Attorney Elizabeth J. Rogers and Special Assistant U.S. Attorney Samuel D. Winnig are prosecuting this case on behalf of the government. SAUSA Winnig is currently assigned from the Shelby County District Attorney General’s Office for the purpose of prosecuting violent crimes and firearms offenses in federal court.
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Albuquerque man charged in federal court with drug trafficking and firearms possessionRead the Press Release
ALBUQUERQUE, N.M. – Orlando “Orly” Roybal, 39, of Albuquerque, was charged in federal court on June 7 with possession with intent to distribute methamphetamine and fentanyl, possession of firearms in furtherance of drug trafficking and being a felon in possession of firearms and ammunition. Roybal will remain in custody pending trial.
According to a criminal complaint, on June 2 agents with the FBI’s Albuquerque Violent Crime Gang Task Force (VCGTF) and the New Mexico State Police executed a search warrant on an apartment allegedly used by Roybal. At the time, Roybal was serving a term of supervised release for a prior conviction for being a felon in possession of a firearm and had registered a different address with his probation officer.
Among the items allegedly located by agents during the search were 2.9 pounds of methamphetamine, 41 fentanyl tablets, a dozen firearms, several ammunition magazines and more than a thousand rounds of ammunition. As a previously convicted felon, Roybal cannot legally possess firearms or ammunition.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Roybal faces a minimum of 10 years and up to life in prison.
The Albuquerque VCGTF investigated this case with assistance from the Bernalillo County Sheriff’s Office and the New Mexico State Police. Assistant U.S. Attorney Alexander M. Uballez is prosecuting the case.
9 June 2021
Wilmington Man Sentenced to 10 Years for Gun OffenseRead the Press Release
WILMINGTON, N.C. – A Wilmington man was sentenced today to 120 months in prison, and 3 years of supervised release for possessing a firearm while being a prohibited person and in connection with another felony offense. On September 30, 2020, Herbert Anthony Sloan pled guilty to the charge.
According to court documents and other information presented in court, late on July 13, 2019, Sloan, 34, entered a home in Wilmington with a firearm. Sloan was purportedly looking for a female who was not home. Sloan remained at the residence with the female’s mother, however, and displayed a firearm while in the mother’s bedroom. The mother reported being scared, feeling threatened and believed she was unable to leave. The daughter learned of the situation and called 911. Responding officers found Sloan on the sidewalk just outside the home and recovered a loaded .38 caliber pistol from Sloan’s waistband. Sloan later tried to obstruct the investigation by pressuring the mother and her daughter to drop the charges.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Wilmington office of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) and the Wilmington Police Department (WPD) investigated the case and Assistant U.S. Attorney Bryan Stephany 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 United States Attorney’s Office for the Eastern District of North Carolina implements the PSN Program through its Take Back North Carolina Initiative. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:19-cr-00150-D.
Westford Man Pleads Guilty to Bank Fraud Conspiracy and National Firearms Act ViolationRead the Press Release
BOSTON – A Westford man pleaded guilty yesterday in federal court in Boston to conspiring to commit bank fraud and possessing an unregistered firearm.
Bin Lu, 49, pleaded guilty to one count of conspiracy to commit bank fraud and one count of possession of an unregistered firearm before U.S. District Court Judge George A. O’Toole Jr., who scheduled sentencing for Nov. 10, 2021. Lu was arrested and charged in January 2021 with conspiracy to violate provisions of the National Firearms Act (NFA).
According to the charging documents, Lu and, allegedly, co-conspirator Daniel Whitman sought to build a large indoor shooting range, which would serve both regional and international customers, as well as offer shooting clinics and other services. Lu and his co-conspirator brought in a Chinese investor, who contributed several million dollars to the project. However, in applying for loans from federally insured financial institutions, Lu and, allegedly, his co-conspirators hid the true source of their initial funding from the banks and filed false documents in connection with their loan applications.
Lu also possessed a firearm that had been modified by the addition of a folding stock, resulting in its classification as a short-barreled rifle (SBR) under the NFA. The SBR was not registered to Lu in the National Firearms Registration and Transfer Record as required by the NFA.
On June 3, 2021, Whitman was indicted on charges of bank fraud and violations of the NFA and is awaiting trial.
The charge of conspiracy to commit bank fraud provides for a sentence of up to 30 years in prison, up to five years of supervised release and a fine of $1 million, or twice the gross gain or loss, whichever is greater. The charge of possession of an unregistered firearm provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of $10,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Jonathan Davidson, Special Agent in Charge of U.S. Department of State’s Diplomatic Security Service, Boston Field Office; Joshua McCallister, Acting Inspector in Charge of the U.S. Postal Inspection Service in Boston; and Ramsey E. Covington, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. The Westford Police Department provided special assistance in this case. Assistant U.S. Attorney Eugenia M. Carris, Deputy Chief of Mendell’s Public Corruption & Special Prosecutions Unit, is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Waterbury Man Sentenced to 33 Months in Prison for Possessing Child Sex Abuse ImagesRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut announced that JOHN T. PERUGINI, 79, of Waterbury, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 33 months of imprisonment, followed by a lifetime term of supervised release, for possessing child sex abuses images.
According to court documents and statements made in court, Homeland Security Investigations received information that Perugini had been paying for access to a commercial website that contained child sex abuse images and videos. On October 29, 2019, agents seized Perugini’s computer equipment, including multiple external storage devices, from his residence. Analysis of one of Perugini’s external storage devices revealed numerous images and videos of child sex abuse.
Perugini was arrested in a federal criminal complaint on November 8, 2019. On December 14, 2020, he pleaded guilty to one count of possession of child pornography.
Perugini, who is released on a $50,000 bond, is required to report to prison on July 21, 2021.
This matter was investigated by Homeland Security Investigations (HSI) with the assistance of the Waterbury Police Department. The case was prosecuted by Assistant U.S. Attorneys Maria del Pilar Gonzalez and Brendan Keefe.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Vicksburg Man Sentenced to 2 ½ Years in Federal Prison for Possessing a Firearm as a Convicted FelonRead the Press Release
Jackson, Miss. - A Vicksburg man was sentenced today to 30 months in prison, followed by 3 years of supervised release, for possessing a firearm as a convicted felon, announced Acting U.S. Attorney Darren LaMarca and Special Agent in Charge Michelle A. Sutphin with the Federal Bureau of Investigation in Mississippi.
On March 28, 2020, at 3:30 a.m., Darren Antonyo Mazie, 36, was driving during a city-wide curfew and encountered a Vicksburg Police Officer. Mazie possessed a firearm at the time and was a convicted felon, having been found guilty of burglarizing a business.
Mazie was charged in a federal criminal indictment with possession of a firearm by convicted felon. He pled guilty on March 3, 2021.
The Vicksburg Police Department and the Federal Bureau of Investigation investigated the case.
Assistant U.S. Attorney Bert Carraway prosecuted the case.
Union County Man Admits Offering Bribes to Postal Service EmployeesRead the Press Release
NEWARK, N.J. – A Union County, Jersey, man today admitted offering bribes to a U.S. Postal Service (USPS) employee to steal check books and credit cards from the mail, Acting U.S. Attorney Rachael A. Honig announced.
Jabre Beauvoir, 22, of Elizabeth, New Jersey, pleaded guilty by videoconference before U.S. District Judge Kevin McNulty to an information charging him with one count of bribery.
According to documents filed in this case and statements made in court:
In the summer of 2019, Beauvoir offered bribes to USPS employees to steal mail containing check books and credit cards. Beauvoir typically offered $100 per package of check books or credit cards to induce USPS employees to steal such mail matter and deliver it to him. It was further part of the scheme that Beauvoir and others then posed as the actual accountholders to whom the check books or credit cards originally were mailed by fraudulently signing checks, activating the stolen credit cards, and fraudulently using them.
The bribery charge is punishable by a maximum potential penalty of 15 years in prison and a fine of $250,000, or twice the gross gain derived or loss sustained, or three time the monetary equivalent of the thing of value received, whichever is greatest. Sentencing is scheduled for Oct. 26, 2021.
Acting U.S. Attorney Honig credited postal inspectors of the U.S. Postal Inspection Service, under the direction of Acting Inspector in Charge Rodney M. Hopkins, and special agents with the USPS-Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, with the investigation leading to today’s arrest. He also thanked the U.S. Secret Service, the New Jersey State Police, the Elizabeth Police Department, and the Secaucus Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Elaine K. Lou of the Special Prosecutions Division in Newark.
Union County Mail Carrier Charged with Making False Statements to Obtain Federal Workers’ Compensation BenefitsRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, U.S. Postal Service (USPS) mail carrier made her initial court appearance today on charges of making false statements to obtain federal workers’ compensation benefits, Acting U.S. Attorney Rachael A. Honig announced.
Aida Perez, 42, of Roselle Park, New Jersey, is charged by complaint with one count of knowingly and willfully falsifying, concealing, and covering up a material fact, and making a false, fictitious, and fraudulent statement and representation in connection with the application for and receipt of federal workers’ compensation benefits. Perez made her initial appearance today by videoconference before U.S. Magistrate Judge Mark Falk and was released on bail.
According to documents filed in this case and statements made in court:
Perez worked as a mail carrier for the USPS in Westfield, New Jersey. On Nov. 18, 2020, Perez signed and certified a form in which she alleged she sustained an ankle sprain on Nov. 9, 2020, while performing her duties. In subsequent forms, Perez certified that she did not receive earnings from employment outside of her federal job. However, an investigation revealed that Perez operated a business from which she received substantial income. For example, during the investigation, an undercover law enforcement officer purchased $245 in goods from Perez’s business.
The count of making false statements to obtain federal workers’ compensation benefits carries a maximum penalty of five years in prison and a $250,000 fine.
Acting U.S. Attorney Honig credited members of the USPS – Office of Inspector General, Northeast Area Field Office, under the direction of Special Agent in Charge Matthew Modafferi, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Mark J. Pesce of the U.S. Attorney’s Office’s OCDETF/Narcotics Unit in Newark.
The charge and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
U.S. Attorney’s Office to Join Department of State and Myrtle Beach PD for Press Conference Tomorrow, June 10, at 2:30 PM in Myrtle BeachRead the Press Release
Myrtle Beach, South Carolina --- Acting United States Attorney M. Rhett DeHart announced today that a press conference will be held tomorrow – June 10, 2021 – at 2:30 p.m., at the Warren S. Gall Police Annex at 3340 Mustang Street, Myrtle Beach SC 29577.
Represented at the press conference will be the U.S. Attorney’s Office for the District of South Carolina, the U.S. Department of State’s Diplomatic Security Service (DSS), and the Myrtle Beach Police Department.
WHEN: Tomorrow – Thursday, June 10 – at 2:30 p.m.
WHERE: Warren S. Gall Police Annex
3340 Mustang Street
Myrtle Beach, South Carolina 29577
NOTE: Press inquiries regarding logistics should be directed to Michael Mule’, 843-327-0882. Members of the media wishing to attend the remarks should begin gathering outside the Warren S. Gall Police Annex at 2 p.m., 30 minutes in advance.
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Two Lansing Men Sentenced to Federal Prison for Armed Robbery SpreeRead the Press Release
GRAND RAPIDS, MICHIGAN —U.S. Attorney Andrew Birge announced today that James Winston Honeysucker, Jr., of Lansing, Michigan, was sentenced to serve more than 27 years in federal prison for committing four armed robberies in Lansing and Battle Creek, Michigan. Earlier this year, Honeysucker’s co-defendant, Wilnell Lakeey Henry, also of Lansing, was sentenced to more than 6 years for his role as Honeysucker’s getaway driver. The pair were also ordered to pay full restitution to their victims.
From August through October 2019, Honeysucker robbed four cash advance businesses at gunpoint in Lansing and Battle Creek. In each case, he pretended to be interested in applying for a loan before suddenly brandishing a pistol, pointing it at the clerk, and demanding cash. After his first robbery, Honeysucker recruited Henry to serve as his getaway driver, and they committed the remaining three robberies together.
Investigators with the Battle Creek Police Department located and arrested Henry after surveillance videos showed him picking Honeysucker up after the robbery on October 22. Later that night, BCPD officers located Honeysucker at the bus station in Chicago, Illinois. BCPD officers then contacted their counterparts in Chicago, who went to the bus station and arrested Honeysucker with more than $17,000 cash and a loaded pistol in his possession. The FBI then assisted and expanded the investigation to definitively link Honeysucker and Henry to the three other robberies.
Honeysucker was convicted in February following a four-day jury trial, during which Henry cooperated with federal authorities and testified against Honeysucker. At Honeysucker’s sentencing, Chief U.S. District Court Judge Robert J. Jonker expressed relief that no one was killed during the robbery spree and admonished Honeysucker for causing “real human toll” by robbing tellers at gunpoint. Chief Judge Jonker was particularly struck by one teller’s testimony that during the robbery the thought flashed through her mind that she wouldn’t see her child again.
In announcing the sentences, U.S. Attorney Birge stated, “Instead of working for their money, these brazen criminals used a loaded pistol to threaten and steal from those trying to earn an honest living. They were identified and apprehended so they could be brought to justice thanks to the outstanding work of our partners at the Battle Creek Police Department, Lansing Police Department, and Eaton County Sheriff’s Department and the Federal Bureau of Investigation and Chicago Police Department.”
“This defendant committed four brazen armed robberies that terrorized innocent victims and endangered lives. The sentences handed down in this case should serve as an example to others – if you rob any kind of business with a firearm in Michigan, law enforcement at all levels will work together to bring you to justice,” said Timothy Waters, Special Agent in Charge of the FBI in Michigan.
This case was prosecuted by Assistant U.S. Attorneys Patrick Castle and Daniel Mekaru, and investigated by the Federal Bureau of Investigation, Battle Creek Police Department, Lansing Police Department, Eaton County Sheriff’s Department, and Chicago Police Department.
September 30, 2019 – $17,000 Approved Cash on W. Columbia Ave. Battle Creek, Michigan###
Tulsa Man Convicted for Violent Assault on Former Intimate PartnerRead the Press Release
A Tulsa man pleaded guilty Tuesday in federal court for assaulting and strangling his former intimate partner, announced Acting U.S. Attorney Clint Johnson.
Terrance DuJuan Reed, 29, pleaded guilty to assault of an intimate partner by strangling, suffocating, or attempting to strangle or suffocate in Indian Country. Sentencing is scheduled for Sept. 13, 2021.
According to the complaint and accompanying affidavit initially filed in the case, Reed asked for a ride on Feb. 16, 2020. During the car ride, Reed began yelling at and questioning the victim about a recent trip she took with friends, and once they arrived at his destination, he demanded to check her text messages. Following the victim’s refusal to hand over her cell phone, Reed punched the victim, dragged her from the car and began to strangle the victim with his hands. He then placed his arm around her throat and neck and strangled her until she passed out. He continued his violent attack by punching the victim in the head, eyes and mouth. Upon regaining consciousness, she attempted to call 911 for help, but Reed took her cell phone and fled the scene.
The victim drove herself to a family member’s home to receive help, 911 was called, and emergency responders transported the victim to the hospital for care.
Reed was located and arrested by Tulsa Police officers on Feb.17, 2020.
The FBI and Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Cymetra M. Williams is prosecuting the case. Ms. Williams is a prosecutor from the U.S. Attorney’s Office in the District of New Jersey. She volunteered to assist prosecution efforts here in the Northern District of Oklahoma due to increased jurisdictional responsibilities regarding crimes involving Native American victims or defendants and that occur within the Muscogee and Cherokee Nation reservations.
Troy Man Pleads Guilty to Trafficking Kilograms of HeroinRead the Press Release
ALBANY, NEW YORK – Carlos Leon Rivera, age 62, of Troy, New York, pled guilty today to conspiring to traffic more than 1 kilogram of heroin, and also admitted that the conspiracy involved up to 10 kilograms of heroin.
The announcement was made by Acting United States Attorney Antoinette T. Bacon; Special Agent in Charge Ray Donovan, U.S. Drug Enforcement Administration (DEA), New York Division; and Rensselaer County Sheriff Pat Russo.
In pleading guilty, Leon admitted to working with Mario Figueroa-Portalatin to sell heroin in and around Troy, from January 2019 to March 2020. Leon admitted to regularly traveling to New York City, where he would acquire at least 500 grams of heroin at a time from Figueroa’s source of supply. Leon brought the heroin back to Troy, where he and Figueroa prepared and packaged it for sale to customers.
Leon also admitted that when DEA and other law enforcement searched his apartment on March 30, 2020, he possessed approximately 31 grams of heroin, 23.7 grams of fentanyl (in tablet form), and 60 grams of cocaine; $7,150 in drug proceeds; a Ruger model EC9S, 9mm handgun; and a Glock 30 .45 caliber handgun.
Leon, who has been in custody since March 30, 2020, faces at least 10 years and up to life in prison, as well as post-release supervision of at least 5 years and up to life, when Chief United States District Judge Glenn T. Suddaby sentences him on October 28, 2021. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
Figueroa-Portalatin, age 42, of Troy, pled guilty on August 11, 2020 to conspiring to distribute 1 kilogram or more of heroin, and is pending sentencing.
A third defendant, Jose Leon Roldan, age 42, of Troy, has pled not guilty to drug charges and is pending trial. The charges against Jose Leon Roldan are merely accusations. He is presumed innocent unless and until proven guilty.
This case is being investigated by the DEA and the Rensselaer County Sheriff’s Office, and is being prosecuted by Assistant U.S. Attorney Michael Barnett.
Three Charleston Men Plead Guilty to Federal Drug ChargesRead the Press Release
CHARLESTON, W.Va. – Three Charleston men pleaded guilty this week to federal drug charges. Dante Williams, 24, Darius Coles, 23, and Joshua Lawson, 31, were indicted in February 2021 in connection with a long-term investigation dubbed the “Woo Boyz.”
According to court documents, Williams admitted that on January 14, 2021, he sold two ounces of methamphetamine to a confidential informant working with law enforcement. Williams arranged to first meet the informant in the parking lot of the Family Dollar store on Charleston’s West Side, but then directed the informant to follow him to Swinburn Street where the transaction took place. Williams also admitted that he fronted the informant an additional two ounces of methamphetamine for which Williams would be paid later. Williams pleaded guilty to distribution of 50 grams or more of methamphetamine and faces a minimum mandatory sentence of 10 years and up to life in prison when he is sentenced on September 23, 2021.
Coles admitted that on January 27, 2021, he met a confidential informant at the Go-Mart near Bigley Avenue in Charleston to collect $1,200 for an outstanding drug debt. Coles collected the $1,200 and fronted the confidential informant an additional amount of methamphetamine to be paid for later. Coles pleaded guilty to distribution of methamphetamine and faces up to 20 years in prison when he is sentenced on September 9, 2021.
According to Lawson’s plea agreement and statements made in court, after Lawson left a meeting with his methamphetamine source of supply on December 27, 2020, officers with the Charleston Police Department conducted a traffic stop on his vehicle in the 600 block of Ruffner Avenue. An officer performed a pat down of Lawson and found an ounce of methamphetamine hidden in his groin area. Lawson admitted he intended to distribute the methamphetamine. Lawson pleaded guilty to possession with intent to distribute five grams or more of methamphetamine and faces a mandatory minimum sentence of five years and up to 40 years in prison when he is sentenced on September 9, 2021.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Drug Enforcement Administration (DEA), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Charleston Police Department, the Metropolitan Drug Enforcement Network Team (MDENT), the U.S. Marshals Service and the West Virginia State Police. The Appalachia High Intensity Drug Trafficking Area (HIDTA) provided critical support to the investigative agencies.
Senior United States District Judge John T. Copenhaver, Jr. presided over the hearings. Assistant United States Attorney Monica Coleman is handling the prosecution.
The investigation was part of the Department of Justice’s Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:21-cr-00032 (Williams, et al.).
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Thirteenth Reagor Dykes Employee SentencedRead the Press Release
The thirteenth Reagor Dykes Auto Group employee was sentenced for her role in the auto group’s floor plan fraud scheme, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
Andrea Kate Phillips, 40, pleaded guilty in January to misprision of a felony. On Tuesday, she was sentenced to 4 years’ probation and ordered to pay $40,254,297.72 in restitution by U.S. District Judge Matthew J. Kacsmaryk.
In plea papers, Ms. Phillips, an accounting associate and office manager at Reagor Dykes Plainview LP (a Ford store in Plainview, Texas) admitted the auto group participated in a fraudulent floor plan fraud scheme.
Ms. Phillips admitted that the auto group routinely sold vehicles “out of trust” – meaning that they failed to repay lenders within seven days of selling the vehicle financed by that lender.
Just before the lender conducted audits, Ms. Phillips admitted she routinely would create documents falsifying vehicles sales dates on official paperwork to make it appear as though the vehicle had sold within the prior seven days and was not yet out of trust.
Ms. Phillips is the thirteenth RDAG employee sentenced to more than 30 years combined in federal prison for the dummy flooring and check kiting scheme. Reagor Dykes employees previously sentenced include:
- Diana Urias, an office manager in Reagor Dykes’ used car mall in Levelland, pleaded guilty to conspiracy to commit bank fraud and was sentenced to 2 years in federal prison and ordered to pay $19,335,901.10 in restitution, joint and severally.
- Sheila Miller, an RDAG group controller, pleaded guilty to conspiracy to commit bank fraud and was sentenced to 27 months in federal prison and ordered to pay $19,335,901.10 in restitution, joint and severally.
- Paige Johnston, an office manager in Reagor Dykes’ Chevrolet store in Floydada, pleaded guilty to conspiracy to commit wire fraud and was to 27 in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Lindsay Williams, and RDAG group accounting manager, pleaded guilty to conspiracy to commit bank fraud and was sentenced to 27 months in federal prison and ordered to pay $19,335,901.10 in restitution, joint and severally.
- Sherri Wood, an office manager at Reagor Dykes’ Ford store in Plainview, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 30 months in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Pepper Rickman, an accounting controller at Reagor Dykes’ Toyota store in Plainview, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 4 years in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Brad Fansler, an RDAG group administrative director, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 42 months in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Ashley Dunn, executive assistant to the CEO, pleaded guilty to conspiracy to commit bank fraud and was sentenced to 30 months in federal prison and ordered to pay $19,335,901.10 in restitution, joint and severally.
- Whitney Maldonado, an office manager at Reagor Dykes’ Mitsubishi store in Lubbock, pleaded guilty to conspiracy to commit wire fraud was sentenced on 27 months in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Elaina Cabral, an office manager at Reagor Dykes’ Toyota store in Plainview, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 27 months in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Mistry Canady, an office manager at Reagor Dykes’ Ford store in Lamesa, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 2 years in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
- Wesley Neel, RDAG Safety & Compliance Manager, pleaded guilty to conspiracy to commit wire fraud and was sentenced to 30 months in federal prison and ordered to pay $40,254,297.72 in restitution, joint and severally.
Steven Reinhart, RDAG Legal Compliance Director, and Shane Smith, RDAG CEO, both have pleaded guilty and are awaiting sentencing. Bart Reagor, owner of RDAG, is scheduled for trial in October.
The Federal Bureau of Investigation and Internal Revenue Services - Criminal Investigation Division conducted the investigation. Assistant U.S. Attorneys Joshua Frausto, Jeffrey Haag, and Amy Burch prosecuted the case.
Third and Final Defendant Pleads Guilty to Conspiring to Provide Material Support to ISISRead the Press Release
Today, Mohamed Haji, 28, of Lansing, Michigan, pleaded guilty to conspiring to provide material support to a designated foreign terrorist organization, namely the Islamic State of Iraq and al-Sham, aka ISIS. In January 2020, his co-defendants Muse Muse and Mohamud Muse pleaded guilty to the same offense.
According to court documents, between December 2018 and January 2019, co-defendant Muse Muse coordinated with an individual he believed to be a Somali ISIS fighter to wire funds to be used to purchase airline tickets for travel to Mogadishu, Somalia, where he believed he would meet an ISIS representative. All three defendants: picked up money to provide Muse Muse the funds to travel to join ISIS, pledged allegiance to ISIS in recorded videos, and submitted their videos to individuals they believed were associated with ISIS. Additionally, throughout the conspiracy, all three defendants participated in numerous discussions regarding traveling overseas to join ISIS and even adopted fighter aliases by which they would be known when fighting for ISIS.
On Jan. 21, 2019, special agents of the FBI and members of its Joint Terrorism Task Force (JTTF) arrested defendant Muse Muse at the Gerald R. Ford International Airport in Grand Rapids, after he checked in for a flight to the first of a series of destinations on his way to Mogadishu with the goal of joining ISIS. Shortly thereafter, his brother Mohamud Muse and cousin Mohamed Haji were arrested as co-conspirators.
Muse, Mohamud Muse and Haji were indicted by a federal grand jury on multiple charges, including conspiracy to provide material support to a designated foreign terrorist organization. This federal offense required the government to prove that Haji: (1) agreed with one or more individuals to provide material support or resources (which includes personnel) to ISIS, a foreign terrorist organization; (2) knew that ISIS was a designated foreign terrorist organization or had engaged or engages in terrorist activity; and (3) is a U.S. national or some part of the offense occurred in the United States. Haji admitted each of those elements of the crime. He is scheduled to be sentenced on Sept. 22 and faces a maximum of 20 years in prison. A federal district court judge will determine any sentence after considering the U.S. Sentencing Guidelines and other statutory factors.
Assistant Attorney General John C. Demers of the Justice Department’s National Security Division and U.S. Attorney Andrew Birge for the Western District of Michigan made the announcement.
The FBI is investigating the case, with valuable assistance provided by the Michigan State Police, Kent County Sheriff’s Office, Eaton County Sheriff’s Office, Michigan State University Police Department, Lansing Police Department, Grand Rapids Police Department, Grand Rapids Airport Police, the U.S. Marshals Service, and the Department of Homeland Security's Transportation Security Administration, Federal Air Marshals, and U.S. Customs and Border Protection.
Trial Attorney David Smith of the National Security Division’s Counterterrorism Section and Assistant U.S. Attorneys Clay M. West and Christopher M. O’Connor of the Western District of Michigan are prosecuting the case.
Third Arkansas Physician Sentenced to Federal Prison for Prescription FraudRead the Press Release
FORT SMITH – A Fort Smith physician, Donald E. Hinderliter, was sentenced today to 4 years in federal prison followed by 1 year of supervised release on one count of Distribution of a Controlled Substance without an Effective Prescription. The Honorable Judge P. K. Holmes III presided over the sentencing hearing in the U.S. District Court in Fort Smith.
According to court documents, Hinderliter, 85, of Fort Smith, pleaded guilty to a felony Information charging unlawful distribution of a controlled substance namely, alprazolam. From approximately January 2016 and through November 8, 2018, Hinderliter was an owner and practitioner at Hinderliter Pain Clinic that operated as a pain management clinic in Barling, Arkansas. In May 2017, the Drug Enforcement Administration (DEA) received several anonymous complaints that Hinderliter was operating a “pill mill” under the name Hinderliter Pain Clinic. The complaints stated that Hinderliter and his associate, Dr. Cecil W. Gaby, charged cash, prescribed hydrocodone and benzodiazepines in the same amount to patients regardless of a particular patient’s prognosis or need, and that patients traveled great distances within the state of Arkansas and surrounding states seeking large quantities and dangerous combinations of oxycodone, hydrocodone, alprazolam, and methadone, among other controlled substances. As part of the plea, Hinderliter admitted that he prescribed opioids and benzodiazepines to more than 150 individuals, often not for a legitimate medical purpose and not in the usual course of professional practice. Specifically, on October 17, 2016, Hinderliter prescribed 84 alprazolam 2mg pills, a Schedule IV controlled substance to a patient that was not for a legitimate medical purpose and not in the usual course of professional practice.
On May 27, 2021, Dr. Cecil W. Gaby was sentenced to 120 months imprisonment for his role in the Hinderliter Pain Clinic and Gaby Medical Clinic in Fort Smith, Arkansas. On the same date, Dr. Robin Cox was sentenced to 36 months imprisonment for distribution of opioid medications outside legitimate medical practice at an unrelated clinic in Rogers, Arkansas.
U.S. Attorney David Clay Fowlkes of the Western District of Arkansas made the announcement.
The Drug Enforcement Administration (DEA), DEA Diversion Little Rock, Federal Bureau of Investigation (FBI), the United States Department of Health and Human Services Office of Inspector General (HHS), Arkansas State Medical Board and the Fort Smith Police Department investigated the case.
Special Assistant U.S. Attorney Anne Gardner and Assistant U.S. Attorney Brandon Carter prosecuted the case for the United States.
Third and Final Lansing Defendant Convicted of Terrorism ChargeRead the Press Release
GRAND RAPIDS, MICHIGAN — United States Attorney Andrew Birge announced today that three residents of Lansing, Michigan have been convicted of conspiring to provide material support to a designated foreign terrorist organization, namely the Islamic State of Iraq and al-Sham (“ISIS”). Today, the third and final defendant in the case, Mohamed Haji, pleaded guilty to the federal crime of conspiring to provide material support to a designated foreign terrorist organization. In January 2020, his co-defendants Muse Muse and Mohamud Muse pleaded guilty to the same offense.
On January 21, 2019, special agents of the Federal Bureau of Investigation (FBI) and members of its Joint Terrorism Task Force arrested defendant Muse Muse at the Gerald R. Ford International Airport in Grand Rapids, Michigan, after he checked in for a flight to the first of a series of destinations on his way to Mogadishu, Somalia, with the goal of joining ISIS. Shortly thereafter, his brother Mohamud Muse and cousin Mohamed Haji were arrested as co-conspirators. According to court documents, between December 2018 and January 2019, Muse Muse coordinated with an individual he believed to be a Somali ISIS fighter to wire funds to be used to purchase airline tickets for travel to Mogadishu, Somalia, where he believed he would meet an ISIS representative. All three defendants picked up money to provide Muse Muse the funds to travel to join ISIS, all three defendants pledged allegiance to ISIS in recorded videos, and all three submitted their videos to individuals they believed were associated with ISIS. Additionally, throughout the conspiracy, all three defendants participated in numerous discussions during which they discussed traveling overseas to join ISIS and even adopted fighter aliases by which they would be known when fighting for ISIS.
Muse, Mohamud Muse, and Haji were indicted by a federal grand jury on multiple charges, including conspiracy to provide material support to a designated foreign terrorist organization. This federal offense required the government to prove that Haji: (1) agreed with one or more individuals to provide material support or resources (which includes personnel) to ISIS, a foreign terrorist organization; (2) knew that ISIS was a designated foreign terrorist organization or had engaged or engages in terrorist activity or terrorism; and (3) is a U.S. national or some part of the offense occurred in the United States. At his change of plea hearing before Chief United States District Judge Robert J. Jonker, Haji admitted each of those elements of the crime.
All three defendants will be sentenced by Chief Judge Jonker at a later date. The crime is punishable by up to 20 years in federal prison. The Court will determine the ultimate sentence to be imposed after evaluating the applicable federal Sentencing Guidelines and considering the statutory sentencing factors, including the nature and circumstances of the offense; the history and characteristics of each defendant; the seriousness of the offense; and the need to promote respect for the law, to provide just punishment, and protect the public from future crimes of each defendant.
United States Attorney Andrew Birge stated, “There is no priority higher for my Office than detecting, preventing and prosecuting terrorism. With this successful investigation and prosecution, the United States Attorney’s office and its law enforcement partners prevented these young men from assisting a dangerous international terrorist organization and held them accountable for conspiring to do so. Nearly 80 countries around the globe have committed to eliminating the threat ISIS poses. Every person and every resource bound for a terrorist organization that we intercept impacts the ability of that organization to carry out attacks here and overseas. Every conviction sends a powerful message of deterrence.”
“As this case demonstrates, the threat from foreign terrorist organizations has not ended. The FBI works every day to identify and disrupt those acting in support of these groups both in the United States and throughout the world. The FBI will continue to aggressively pursue these investigations and hold accountable those who provide material support to foreign terrorist groups,” said Timothy Waters, Special Agent in Charge of the FBI’s Detroit Field Office. “The successful disruption of Muse Muse’s plan to travel overseas, and the conviction of those who aided him in that plan, is the result of the hard work and dedication of the FBI’s Joint Terrorism Task Force, which remains committed to protecting the public from terror attacks.”
The FBI’s investigation was assisted by the Michigan State Police, Kent County Sheriff’s Office, Eaton County Sheriff’s Office, Michigan State University Police Department, Lansing Police Department, Grand Rapids Police Department, Gerald R. Ford Airport Police, the U.S. Marshals Service, and the Department of Homeland Security Transportation Security Administration, Federal Air Marshals, and Customs and Border Protection.
Assistant United States Attorneys Clay West and Christopher O’Connor are prosecuting the case with assistance from the National Security Division Counterterrorism Section.
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Texas Man Pleads Guilty to Plotting to Attack Data CentersRead the Press Release
A Wichita Falls man who plotted to blow up a data center in Virginia pleaded guilty Wednesday to malicious attempt to destroy a building with an explosive, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
Seth Aaron Pendley, 28, was arrested in April after attempting to obtain an explosive device from an undercover FBI employee in Fort Worth. He entered his guilty plea today before U.S. Magistrate Judge Hal R. Ray, Jr.
“Due in large part to the meticulous work of the FBI’s undercover agents, the Justice Department was able to expose Mr. Pendley’s twisted plot and apprehend the defendant before he was able to inflict any real harm,” said Acting U.S. Attorney Prerak Shah. “We may never know how many tech workers’ lives were saved through this operation – and we’re grateful we never had to find out. Bringing to justice domestic extremists remains one of the Department’s top priorities.”
FBI Dallas Special Agent in Charge Matthew J. DeSarno said, “The FBI thoroughly investigates all credible threats, and The North Texas Joint Terrorism Task Force acted quickly based on information received from a concerned citizen. The defendant sought to cause destruction with an explosive and investigators devised a strategy to disrupt the threat while keeping the public safe from harm. We ask the public to stay vigilant and to continue reporting suspicious or threatening behavior to law enforcement.”
In plea papers, Mr. Pendley admitted that he disclosed his plan to blow up a prominent tech company’s data center to a confidential human source via Signal, an encrypted messaging app, in January.
In late February, he sent the source a list of data center addresses and said he hoped a successful attack could “kill off about 70% of the internet.” When the source offered to help him obtain C4 explosives to use in the attack, Mr. Pendley responded, “F*** yeah.”
Mr. Pendley then showed the source a hand-drawn map of a data center on Smith Switch Road in Virginia, featuring proposed routes of ingress and egress at the facility. He later described how he planned to disguise his car to evade detection by law enforcement.
In late March, the confidential source introduced Mr. Pendley to an individual who he claimed was his explosives supplier. In actuality, the man was an undercover FBI employee.
In recorded conversations, Mr. Pendley allegedly told the undercover employee he planned to attack web servers that he believed provided services to the FBI, CIA, and other federal agencies.
“The main objective is to f*** up the Amazon servers,” he said, adding that he hoped to anger “the oligarchy” enough to provoke a reaction that would convince the American people to take action against what he perceived to be a “dictatorship.”
During that same conversation, Mr. Pendley claimed to have been present at the Jan. 6 attack on the U.S. Capitol. He said that although he did not enter the building, he came prepared with a sawed off AR rifle, which he left in his car.
On April 8, Mr. Pendley again met with the undercover FBI employee to pick up what he believed to be explosive devices. (In actuality, however, the undercover gave Mr. Pendley inert devices.) After the agent showed Mr. Pendley how to arm and detonate the devices, the defendant loaded them into his car. He was then arrested.
A subsequent search of his residence in Wichita Falls turned up an AR-15 receiver with a sawed off barrel, a pistol painted to look like a toy gun, masks, wigs, and notes and flashcards related to the planned attack.
Mr. Pendley now faces between five and 20 years in federal prison. His sentencing hearing has been set for Oct. 1 before U.S. District Judge Reed C. O’Connor.
The FBI’s Dallas Field Office, Wichita Falls Resident Agency and FBI’s North Texas Joint Terrorism Task Force conducted the investigation. Assistant U.S. Attorney Robert J. Boudreau of the Northern District of Texas is prosecuting the case with the assistance of Trial Attorney Alexandra Hughes of the National Security Division.
Sturgeon Lake Man Sentenced to 30 Years, Aitkin Woman Sentenced to 19 Years for Producing Child PornographyRead the Press Release
ST. PAUL, Minn. – A Sturgeon Lake, Minnesota, man and an Aitkin, Minnesota, woman were sentenced in federal court today for producing and attempting to produce child pornography.
Matthew James Gunderson, 31, and Amanda May Walsh, 39, were sentenced by Judge Patrick J. Schiltz to 360 months and 228 months, respectively. The court also sentenced Gunderson and Walsh to 10 years each of supervised release following incarceration. They will be required to register as sex offenders upon their release from prison and will be subject to federal and state sex offender registration requirements, which may apply throughout their lives.
According to court documents, on January 22, 2019, and at other times, Walsh engaged in the sexual abuse of a minor for the purpose of producing videos and photographs of the abuse. On January 24 and January 26, 2019, and at other times, Gunderson engaged in the sexual abuse of minors for the purpose of producing videos and photographs of the abuse.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
This case was the result of an investigation conducted by the Minnesota Bureau of Criminal Apprehension and the Aitkin County Sheriff’s Office.
This case was prosecuted by Assistant U.S. Attorney Manda M. Sertich.
St. Louis County man pleads guilty to being a felon in possession of a firearmRead the Press Release
ST. LOUIS – Brandon Phillips, 35, of Florissant, Missouri, pleaded guilty to one count of being a felon in possession of a firearm. Phillips appeared, today, before United States District Court Judge Stephen R. Clark.
On May 23, 2019, officers were conducting surveillance of Phillips as part of a narcotics investigation. Officers located Phillips parking a car at a home in the 2700 block of Blue Heron Drive in Florissant. Phillips was driving his co-defendant, was in the front passenger seat. Officers approached Phillips and the co-defendant, and placed Phillips under arrest for a warrant for violating his parole. Officers found, after searching Phillips, two bags containing suspected controlled substances. In a bag Phillips was carrying, officers located a loaded 9mm Ruger handgun and three bags containing suspected controlled substances.
During interactions with Phillips and his co-defendant, officers observed multiple bags containing pills, powders, and rock-like substances, believed to be controlled substances, sitting on the center console of the car. During a thorough search of the car, officers located a bag tucked partially under the driver’s seat. The bag contained a loaded 9mm handgun, multiple bags containing suspected controlled substances along with Phillips’ identification and credit cards. Laboratory analysis revealed the suspected controlled substances were methamphetamine, fentanyl, and heroin.
Judge Clark has set sentencing for August 15, 2021 at 11:00 a.m.
The St. Louis County Police Department investigated this case. Assistant United States Attorney Jennifer Szczucinski is handling the case.
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Six Charged as Part of Law Enforcement Efforts to Reduce Gun Violence in AshevilleRead the Press Release
ASHEVILLE, N.C. – Acting U.S. Attorney William T. Stetzer announced that six individuals have been indicted on federal charges as a result of federal and local law enforcement efforts to reduce gun violence in Asheville.
Led by the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) in partnership with the Asheville Police Department, the local initiative aimed at identifying repeat offenders who illegally possess firearms and/or engage in the distribution of narcotics in the Asheville area.
As a result of this proactive investigation the following six individuals have been charged as follows:
- Andre Ravon Payton, 34, of Asheville, is charged with illegal possession of a firearm and ammunition by a convicted felon, possession of a firearm by an unlawful user of a controlled substance, possession with intent to distribute fentanyl, crack cocaine, and marijuana, and possession of a firearm in furtherance of a drug trafficking crime.
- Daton Tahvian Dapre Alen-Long, 21, of Asheville, is charged with illegal possession of a firearm and 18 rounds of ammunition by a convicted felon, possession with intent to distribute fentanyl, and possession of a firearm in furtherance of a drug trafficking crime.
- Kalon Jamar Logan, 24, of Swannanoa, N.C. is charged with illegal possession of a firearm and 25 rounds of ammunition by a convicted felon.
- Jacob Keith Hall, 31, of Asheville, is charged with illegal possession of a firearm and 25 rounds of ammunition by a convicted felon.
- Juve Markie Lequan McAlpin, 20, of Asheville, is charged with illegal possession of a firearm and 15 rounds of ammunition by a convicted felon.
- Akeem Kwaman McDay, 30, of Asheville, is charged with illegal possession of a firearm and 58 rounds of ammunition by a convicted felon.
The charges contained in the indictments are allegations. The defendants are presumed innocent until proven guilty beyond reasonable doubt in a court of law.
In making today’s announcement Acting U.S. Attorney Stetzer commended the ATF and the Asheville Police Department for their joint investigation that led to the charges and thanked the North Carolina Department of Public Safety for their invaluable assistance.
Assistant U.S. Attorney John Pritchard of the U.S. Attorney’s Office in Asheville is in charge of the prosecution for the government.
These cases are being prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN) Program, the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Sioux City Meth Dealer Sentenced in Federal Court for Conspiracy to Distribute MethamphetamineRead the Press Release
A Sioux City man who received methamphetamine which he intended to distribute was sentenced June 8, 2021, to more than 21 years in federal prison.
Levi Hamilton, age 40, from Sioux City, received the prison term after a guilty plea to conspiracy to distribute methamphetamine and possession with intent to distribute methamphetamine.
At the plea hearing, Hamilton admitted that beginning on August 25, 2020 and continuing to August 27, 2020, he and another received 2.7 pounds of methamphetamine via mail which they intended to redistribute around the Sioux City area. Hamilton has an extensive criminal history with over twenty convictions. His prior convictions include: serious assault on a peace officer; three theft convictions; two eluding a peace officer convictions; terrorism; resisting arrest; possession of a controlled substance; three eluding convictions; assault on a peace officer; domestic abuse; and serious assault.
Hamilton was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Hamilton was sentenced to 262 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system.
Hamilton is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Ron Timmons and investigated by United States Postal Inspection Service and the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Woodbury County Sheriff's Office; the Sioux City Police Department; and the Iowa Division of Narcotics Enforcement..
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-4078.
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Second Defendant Pleads Guilty to Conspiring to Defraud Massachusetts-Based Uniform Supply CompanyRead the Press Release
BOSTON – A North Carolina man pleaded guilty yesterday to conspiring to defraud his former employer, a Massachusetts-based uniform supply company, by falsifying invoices.
Keith Smedley, 49, pleaded guilty to one count of conspiracy to commit mail fraud and wire fraud. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Oct. 12, 2021.
From approximately 1998 to April 2019, Smedley and others defrauded the uniform supply company by causing it to pay fake invoices for products that were not actually delivered, and by diverting other products that they re-sold for their own benefit. In addition, Smedley and his co-conspirators created a fake supply company, and Smedley caused the uniform-supply company to pay thousands of dollars in invoices to the fake supplier for purported products that he knew would never be delivered.
Smedley is the second former employee of the uniform-supply company to plead guilty in connection with the conspiracy. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The charge of conspiracy to commit mail fraud and wire fraud provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000, or twice the gross gain or loss, whichever is greater. Sentences are imposed by a federal district judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorneys Sara Miron Bloom and Ian Stearns of Mendell’s Securities, Financial & Cyber Fraud Unit are prosecuting the case.
Schenectady Man Pleads Guilty to Possession of a Molotov CocktailRead the Press Release
ALBANY, NEW YORK – Joel Malek, age 43, of Schenectady, New York, pled guilty today to possession of a “Molotov cocktail” on June 5, 2020, and admitted to using the improvised incendiary device to set fire to a vehicle in Schenectady.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and John B. DeVito, Special Agent in Charge of the New York Field Division of the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
As part of his guilty plea, Malek admitted that on June 5, 2020, he and a co-conspirator approached a vehicle in Schenectady, at which time the co-conspirator broke the driver-side rear window with a hammer, and then Malek ignited a Molotov cocktail and threw it into the vehicle through the broken window, which started a fire and caused an explosion in the vehicle; no one was injured.
Acting United States Attorney Antoinette T. Bacon stated: “Joel Malek firebombed a vehicle, damaging a Schenectady resident’s property and frightening a community already on edge from the civil unrest that followed George Floyd’s May 25, 2020 death in Minneapolis. Today’s plea holds Malek fully accountable for his brazen and cruel act. I commend the investigators who worked quickly to solve the firebombing and arrest this dangerous man.”
“The defendant’s use of a destructive device not only endangered the lives of our community members but also jeopardized our first responders that had to extinguish and secure the scene,” stated ATF Special Agent in Charge John B. DeVito. "I thank them for their efforts, as well as those of the U.S. Attorney’s Office and the Federal Bureau of Investigation for partnering with ATF in sending a clear message that individuals committing violent acts in our communities will be held responsible for their actions."
Sentencing is scheduled for October 7, 2021 before Senior United States District Judge Norman A. Mordue. As a result of his conviction, Malek faces up to 10 years in prison, a fine of up to $10,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Malek has agreed to pay restitution in the amount of $3,000 to the owner of the vehicle. He has been in custody since his arrest on October 6, 2020.
This case was investigated by the ATF and the FBI’s Joint Terrorism Task Force, as well as the Schenectady Police and Fire Departments, and is being prosecuted by Assistant U.S. Attorneys Richard Belliss and Alexander Wentworth-Ping.
Sanford Man Pleads Guilty to Fentanyl Trafficking Conspiracy Resulting in DeathRead the Press Release
PORTLAND, Maine—A Sanford man pleaded guilty today in federal court to conspiracy to distribute 40 grams or more of fentanyl with death and serious bodily injury resulting, Acting U.S. Attorney Donald E. Clark announced.
According to court records, between August 2017 and April 2018, Scott Adams, 45, and other conspirators acquired fentanyl in Massachusetts for distribution in York County, Maine. Two people who obtained fentanyl distributed by members of the conspiracy died and another person suffered serious bodily injury.
On April 11, 2018, law enforcement officers seized about 150 grams of fentanyl from members of the conspiracy. An ensuing search of the defendant’s residence resulted in the seizure of fentanyl, a digital scale, approximately $2,500 in U.S. currency, and a “finger press” designed to compress fentanyl for further distribution.
As a result of the deaths and serious bodily injury, the defendant faces at least 20 years and up to life in prison and a fine of up to $5,000,000. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
This case was investigated by the U.S Drug Enforcement Administration and the Maine Drug Enforcement Agency, with assistance from the Biddeford and Sanford Police Departments.
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.
Rochester Food Truck Delivery Business and Principals to Pay Fine for Submitting False Claims for Payment to the SNAP ProgramRead 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 Groceries To Your Door, a Rochester food truck delivery business, its owner, Fotene (Tina) Boosalis, 54, and one of its operators, Boosalis’ son Christopher Musson, 22, both of Rochester, have agreed to pay $250,000 to resolve allegations that they violated the False Claims Act by submitting false and fraudulent claims for payment to the Supplemental Nutrition Assistance Program (“SNAP”), formerly known as the Food Stamp Program. The SNAP program is administered by the United States Department of Agriculture’s Food and Nutrition Service.
Assistant U.S. Attorney MaryEllen Kresse, who handled the case, stated that in April 2017, Groceries To Your Door was authorized to participate in the SNAP program. From the time it received authorization, the business operated in violation of the program’s rules and regulations by selling food to SNAP beneficiaries on credit and by obtaining payments for food purchases that never occurred. In order to perpetuate this scheme, Groceries To Your Door processed food purchases using manual food vouchers instead of an Electronic Benefit Transfer (EBT) machine. As a result, the business obtained protected beneficiary account information which it then used to debit beneficiaries’ SNAP accounts for food purchases that had occurred the previous month or not at all. The SNAP program reimbursed Groceries To Your Door based on its representations that the manual food voucher purchases had occurred and that the purchases had been processed according to SNAP rules and regulations. Groceries To Your Door ceased operation in February 2020, when its bank account was seized by law enforcement.
The settlement is the result of an investigation by the U.S. Department of Agriculture, Office of Inspector General, under the direction of Special Agent-in-Charge Bethanne M. Dinkins; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Monroe County Department of Social Services, under the direction of Commissioner Thalia Wright; and the New York State Office of Inspector General, under the direction of Inspector General Letizia Tagliafierro.
The claims resolved by the settlement are allegations only, and there have been no determinations of liability.
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Robeson County Cocaine Distributor Sentenced to More Than 17 Years ImprisonmentRead the Press Release
NEW BERN, N.C. – A Pembroke man was sentenced today to 210 months in prison for cocaine distribution.
According to court documents and other information presented in court, an investigation revealed that John Caulder, Jr., 38, had conspired with other Robeson County area individuals to distribute over one hundred kilograms of cocaine from 2014 through May of 2019. On May 1, 2019, law enforcement concluded the investigation by executing a search warrant at Caulder’s Pembroke residence. During the search, investigators located cocaine, crack, cash, and drug packaging material.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Robeson County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives investigated the case and Assistant U.S. Attorney Caroline Webb prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:20-CR-101-FL.
Raleigh Man Sentenced for Child Pornography Offense Following Investigation of Disturbing Online ChatsRead the Press Release
NEW BERN, N.C. – Cameron Hayes of Raleigh, was sentenced today to 108 months in prison for receipt of child pornography. On September 16, 2020, Hayes pled guilty to the charge.
According to court documents and statements made during hearings, in September 2019, the website MeetMe.com alerted the National Center for Missing and Exploited Children (NCMEC) that an individual with username beginning with “Jen” was engaging in suspicious activity on the website. Specifically, Jen had a conversion with another person on the MeetMe platform about receiving child pornography and engaging in sexual conduct with the other person’s 10-year-old niece. NCMEC determined that the user had an IP address in Raleigh and referred the tip to local law enforcement. Records showed the IP to be registered to the wife of defendant Cameron Hayes, at a residence in Raleigh. Apple Inc. confirmed that an email associated with the MeetMe account was registered to Hayes.
On January 7, 2020, members of the Federal Bureau of Investigation and Raleigh Police Department executed a search warrant at Hayes’ residence. Hayes confirmed his email account and told law enforcement that the chats about the 10-year-old were just fantasy. He admitted to unintentionally seeing child pornography but denied having any on his devices.
FBI conducted an on-site preview of various digital items and found numerous images of child pornography on Hayes’ cell phone. A full forensic review of seized items uncovered 875 images and over 200 videos depicting child abuse material on Hayes’ phone and laptop. Some files depicted prepubescent children.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The Federal Bureau of Investigation and Raleigh Police Department conducted the investigation. Assistant U.S. Attorney Jake D. Pugh prosecuted the case.
This case was part of the Project Safe Childhood initiative, a national program aimed at ensuring that criminals exploiting children are effectively prosecuted by making full use of all available law enforcement resources at every level. For more information about this important national project, Project Safe Childhood, go to www.projectsafechildhood.gov.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:20-cr-0227-FL.
Operation Second Wave Update: Two More Defendants Sentenced to Federal Prison for Methamphetamine ConspiracyRead the Press Release
CHARLESTON, W.Va. – Two defendants charged as a result of a long-term investigation known as “Second Wave” were sentenced this week to federal prison for conspiracy to distribute methamphetamine. Larry Terrence Martin, 31, of St. Albans and Carol Lynn Belton, 62, of Montgomery were sentenced to 151 months and 15 months in prison, respectively.
According to court documents, Martin previously admitted distributing more than 10 pounds of methamphetamine and 60 pounds of marijuana between January 2018 and August 26, 2020 to both dealers and users in and around Kanawha County, West Virginia. Martin also admitted recruiting a U.S. Postal Service employee to deliver drug packages to him that had been sent to residences along the mail carrier’s route. Belton previously admitted distributing approximately seven ounces of methamphetamine in Montgomery, West Virginia.
This case was part of operation “Second Wave,” a long-term investigation of a drug trafficking ring involved in the distribution of methamphetamine, cocaine, heroin, marijuana, and THC products. More than a dozen individuals have been charged in federal court as part of the investigation. All have pled guilty.
Acting United States Attorney Lisa G. Johnston made the announcement and commended the investigative work of the Federal Bureau of Investigation (FBI), the Central West Virginia Drug Task Force, the United States Postal Inspection Service (USPIS), the United States Postal Service – Office of Inspector General (USPS-OIG), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the Drug Enforcement Administration (DEA), the Kanawha County Sheriff’s Office (KCSO), the Metropolitan Drug Enforcement Network Team (MDENT) and the Charleston Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:20-cr-00154 (Martin et al).
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Old Forge Borough Council President Charged with BriberyRead the Press Release
SCRANTON- The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Robert Semenza, Jr., age 47, of Old Forge, Pennsylvania, was charged in a criminal information with federal program bribery.
According to Acting United States Attorney Bruce D. Brandler, the information alleges that Semenza, the President of the Old Forge Borough Council, solicited, demanded, and accepted cash payments in exchange for performing and promising to perform official acts, between January 2019 and February 2020. In particular, the official acts were in connection with a civil litigation filed by Old Forge Borough against a local business owner, in a dispute over Old Forge zoning ordinances. Semenza allegedly agreed, in exchange for cash payments, to vote on the local business owner’s behalf in matters before the Old Forge Borough Council, to advocate on behalf of the local business owner with the Old Forge Borough Council, the Old Forge Borough Solicitor, and Old Forge zoning officials, and to propose a favorable resolution for the civil litigation to the Old Forge Borough Council and Solicitor, among other things.
“When public officials use their office to line their pockets rather than serve the public it not only constitutes a serious crime but also breeds cynicism and undermines the electorate’s faith in government,” stated Acting United States Attorney Bruce D. Brandler. “Our office and the FBI’s public corruption task force are committed to rooting out all public corruption in the Middle District and will commit all necessary resources to that task.”
The case was investigated by the Scranton Federal Bureau of Investigation’s Public Corruption Task Force, which consists of members of the Pennsylvania State Police and the Pennsylvania Attorney General’s Office, and federal agents from the FBI and Internal Revenue Service. Assistant U.S. Attorney Phillip J. Caraballo is prosecuting the case.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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North Country Hunting Guide Pleads Guilty to Hunting Waterfowl over BaitRead the Press Release
SYRACUSE, NEW YORK - William “Bill” Saiff III, age 57, of Henderson, New York, pled guilty today to a felony violation of the Lacey Act for hiring guides to lead paying hunters on illegal waterfowl hunts over baited ponds. The guilty plea was announced by Acting United States Attorney Antoinette T. Bacon; Ryan Noel, Regional Special Agent in Charge, U.S. Fish and Wildlife Service, Office of Law Enforcement; and Bernard Rivers, Director of Law Enforcement, New York State Department of Environmental Conservation.
Saiff is a professional hunting guide and fishing charter captain whose website advertises that for eighteen years he “hosted the popular hunting and shooting sports program Cabin Country as seen on Public Television Stations across the country.” In pleading guilty, Saiff admitted that in 2018 he repeatedly baited ponds in Jefferson County and sent hunting guides and paying clients to hunt wild ducks over those ponds while they were baited. Saiff admitted that he violated the Lacey Act by charging a total of more than $350 for hunts in which he knew the wild ducks killed by the hunters were taken over bait in violation of the Migratory Bird Treaty Act (“MBTA”). According to the plea agreement, Saiff charged each hunter $300 per day of hunting, and the four illegal guided hunts to which he admitted in the plea agreement involved a total of 17 hunters.
Saiff also admitted that he was on federal probation when he committed these offenses in 2018, having been convicted in federal court in Syracuse in 2017 for guiding illegal waterfowl hunts over bait in violation of the MBTA. Saiff faces separate charges for violating the terms of his probation for the offenses to which he pled guilty today.
At sentencing, Saiff faces up to 5 years in prison, a fine of up to $250,000, and a term of supervised release of up to 3 years. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors. Saiff will be sentenced on October 7, 2021, by Senior United States District Judge Norman A. Mordue, who presides over the criminal case. The supervised release violations are pending before United States Magistrate Thérèse Wiley Dancks.
This case is being investigated by U.S. Fish and Wildlife Service, Office of Law Enforcement, and the New York State Department of Environmental Conservation, Division of Law Enforcement, and it is being prosecuted by Assistant U.S. Attorney Michael F. Perry.
New Orleans Man Sentenced for Violating Federal Controlled Substances ActRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Duane A. Evans announced that on June 8, 2021, CHRISTOPER BONDY, age 40, a resident of New Orleans, Louisiana, was sentenced to 63 months imprisonment by United States District Court Judge Wendy B. Vitter for attempting to possess with the intent to distribute 500 grams or more of cocaine. Additionally, BONDY was ordered to serve 4 years of supervised release and pay a $100 special assessment fee. No fines were imposed in this case.
According to court documents, BONDY set up a deal to purchase four kilograms of cocaine from undercover agents. During the drug deal, BONDY gave the undercover agents $49,960 in cash in exchange for the cocaine. BONDY was subsequently arrested.
The case was investigated by the Department of Homeland Security and the Jefferson Parish Sheriff’s Office. Assistant United States Attorney Bayonle Osundare prosecuted this case.
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New Jersey Man Sentenced to 11 Years’ Imprisonment for Heroin TraffickingRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced today that Anthony McCoy, a/k/a “Hard Times,” age 36, of New Jersey, was sentenced on June 8, 2021, by United States District Court Judge Robert D. Mariani to 132 months’ imprisonment for drug trafficking.
According to Acting United States Attorney Bruce D. Brandler, McCoy pleaded guilty to a heroin trafficking conspiracy, and admitted that he was responsible for the distribution and possession with intent to distribute between 1 kilogram and 3 kilograms of heroin between August 2016 and February 2018. One kilogram of heroin is the equivalent of approximately 40,000 individual doses. After serving his term of imprisonment, McCoy must serve an additional four years under supervised release.
The case was investigated by the Federal Bureau of Investigation and the Stroud Area Regional Police Department. Assistant U.S. Attorney Sean A. Camoni is prosecuting the case.
This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
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New Haven Man Pleads Guilty to Federal Gun ChargeRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that ERICK E. GOMEZ, JR., 28, of New Haven, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to possession of a firearm in furtherance of a drug trafficking crime.
According to court documents and statements made in court, on April 3, 2020, Gomez fled from his car after he was involved in a car accident in Woodbridge. A search of the car revealed a loaded .380 semi-automatic pistol, 15 baggies of crack cocaine and 12 folds of heroin and fentanyl. Gomez was subsequently charged with state offenses stemming from this incident and was released on bond. On July 31, 2020, Gomez was arrested on related federal charges. At the time of his arrest he possessed quantities of crack cocaine, heroin/fentanyl and methamphetamine.
Judge Dooley scheduled sentencing for September 2, 2021, at which time Gomez faces a mandatory minimum term of imprisonment of at least five years.
Gomez has been detained since his federal arrest.
This investigation is being conducted by the Federal Bureau of Investigation, New Haven Police Department and Woodbridge Police Department. The case is being prosecuted by Assistant U.S. Attorneys Anthony E. Kaplan, Peter D. Markle and Tara E. Levens.
New Hampshire Roofing Contractor Pleads Guilty to Filing a False Tax ReturnRead the Press Release
BOSTON – A New Hampshire roofing contractor pleaded guilty yesterday in federal court in Boston in connection with failing to report income from his roofing and siding business to the Internal Revenue Service (IRS).
Ronald McPhail, 53, of Windham, N.H., pleaded guilty to one count of filing a false tax return. U.S. Senior District Court Judge George A. O’Toole Jr. scheduled sentencing for Oct. 7, 2021.
McPhail owed more than $700,000 in income taxes to the IRS after he failed to report more than $7.1 million in revenue and approximately $2.43 million in income from his roofing and siding business on his federal tax returns for tax years 2014 through 2019. To conceal his scheme, McPhail cashed customer checks without first depositing them and withheld information concerning these checks and other business revenues from his tax preparers.
The charge of filing a false tax return provides for a sentence of up to three years in prison, one year of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell and Ramsey E. Covington, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorney Seth B. Kosto, Deputy Chief of Mendell’s Securities, Financial & Cyber Fraud Unit, is prosecuting the case.
New Castle Man Charged with Possessing Cocaine in Early 2020Read the Press Release
PITTSBURGH, PA - A resident of New Castle, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on charges of violating federal narcotics laws, Acting United States Attorney Stephen R. Kaufman announced today.
The two-count Indictment named Donte Calhoun, age 31, as the sole defendant.
According to the Indictment, on January 21, 2020, and February 11, 2020, Calhoun possessed with the intent to distribute a quantity of cocaine.
The law provides for a maximum total sentence of 20 years in prison, a fine of $1,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Brendan T. Conway is prosecuting this case on behalf of the government.
The Pennsylvania State Police and the Drug Enforcement Administration conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
New Bedford Man Pleads Guilty to Being Felon in Possession of Firearm and AmmunitionRead the Press Release
BOSTON – A New Bedford man pleaded guilty yesterday in federal court in Boston to illegally possessing a Mustang .380 pistol and ammunition.
Victor Morales, 35, pleaded guilty to one count of possessing a firearm and ammunition while being a convicted felon. U.S. District Court Judge Patti B. Saris scheduled sentencing for Sept. 10, 2021. Morales was indicted by a federal grand jury in November 2020.
On approximately July 20, 2020, Morales possessed a Colt MK IV Mustang .380 loaded pistol and 12 rounds of .380 caliber ammunition in his apartment. Federal law prohibits Morales from possessing a firearm or ammunition due to a prior felony conviction.
The charge of being a convicted felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Assistant U.S. Attorneys Kenneth G. Shine and Evan Gotlob of Mendell’s Major Crimes Unit are prosecuting 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.