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25 May 2021
Former Member of New Bedford Chapter of Latin Kings Sentenced for Racketeering ConspiracyRead the Press Release
BOSTON – A former probationary member of the New Bedford Chapter of the Massachusetts Almighty Latin King and Queen Nation (Latin Kings) was sentenced today on racketeering charges.
Emanuel Lopez-Velez, a/k/a “King Manny,” 22, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to five years in prison and three years of supervised release. In August 2020, Lopez-Velez pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy
Lopez-Velez admitted that on Sept. 30, 2019, he was one of multiple members of the Latin Kings who confronted and robbed rival gang members and was provided with a firearm to do so by another member of the gang. The Latin Kings members approached one of the rival gang members, surrounded him, pointed a firearm at the victim and demanded the victim’s phone. During the robbery, the victim ran and Lopez-Velez chased the rival gang member firing one shot, hitting the victim in the back. The victim fell to the ground and was transported to the hospital, where he was treated and ultimately survived.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Lopez-Velez is the 26th defendant to be sentenced in the case.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Mendell’s Criminal Division prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Former Federal Correctional Institution Employee Indicted for Mail Fraud and Theft of Government FundsRead the Press Release
Columbia, South Carolina ––– Acting United States Attorney M. Rhett DeHart stated today that a Federal Grand Jury has returned a seven-count indictment charging Jonathan Kent Owens – a former employee of the Federal Correction Institution, Edgefield (FCI Edgefield) – for mail fraud and theft of government funds.
Owens, 39, of North Augusta, is charged with five counts of mail fraud, one count of theft of government property, and one count of theft of government funds.
The indictment alleges that, over a five-year period and through his employment as an Information Technology Specialist at FCI Edgefield, Owens falsely reported and disguised the purchases of over $21,000 worth of certain items to appear as legitimate purchases for FCI Edgefield that were not. Alleged items purchased for personal benefit include a truck suspension lift kit, sunglasses, wading boots, shoes, and clothing.
The indictment further alleges that Owens misreported his time and attendance records to receive payment of approximately 120 hours of overtime for which he was not entitled.
The maximum penalty Owens could receive per count is twenty years imprisonment and a fine of $250,000.
The case was investigated by the Department of Justice’s Office of the Inspector General. Assistant United States Attorney Winston Marosek is prosecuting the case.
Acting United States Attorney DeHart stated that all charges in indictments are merely accusations and that all defendants are presumed innocent until and unless proven guilty.
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Former East Helena police chief suspected of distributing child pornography appears in courtRead the Press Release
MISSOULA—The former East Helena chief of police had an initial appearance today on a criminal complaint accusing him of distributing child pornography, Acting U.S. Attorney Leif M. Johnson said.
A criminal complaint filed in the case and unsealed today alleges that William Daly Harrington, 42, of Helena, distributed child pornography. The crime has a mandatory minimum penalty of five years to 20 years in prison, a $250,000 fine and five years to life of supervised release.
A criminal complaint is only an accusation, and a defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Harrington voluntarily surrendered this morning and was taken into custody by the FBI. The arrest is the result of a joint investigation between the FBI and the Lewis and Clark County Sheriff’s Office as part of the FBI's Child Exploitation and Human Trafficking Task Force.
U.S. Magistrate Judge Kathleen L. DeSoto presided. Harrington was detained pending further proceedings.
According to the criminal complaint and affidavit filed in support of the complaint, in September 2020, a law enforcement officer began investigating a Cybertip to the National Center for Missing and Exploited Children’s CyberTipline, a national centralized reporting system for the online exploitation of children. The court documents alleged that the investigation led to a Facebook account that used a fictitious name and was created and controlled by Harrington, who was the East Helena chief of police. The documents further allege that Harrington distributed child pornography to the Facebook account of another individual on multiple occasions.
The FBI, Lewis and Clark County Sheriff’s Office, Bozeman Police Department and Internet Crimes Against Children Task Force investigated the case.
PACER case reference. MJ-21-9.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Former Boston Police Sergeant Charged with Overtime Fraud SchemeRead the Press Release
BOSTON – A former Boston Police Sergeant has been charged and has agreed to plead guilty in connection with an ongoing investigation of overtime fraud at the Boston Police Department’s evidence warehouse.
William Baxter, 61, of Hyde Park, was charged with one count of conspiracy to commit theft concerning programs receiving federal funds and one count of embezzlement from an agency receiving federal funds. Baxter will make an initial appearance in federal court in Boston at a later date.
According to charging documents, members of Boston Police Department’s (BPD) Evidence Control Unit (ECU), were responsible for, among other things, storing, cataloging and retrieving evidence at the warehouse. ECU officers were eligible to earn overtime pay of 1.5 times their regular hourly pay rate for overtime assignments. It is alleged that, beginning in at least March 2015, members of the ECU routinely departed overtime shifts two or more hours early, and submitted false and fraudulent overtime slips claiming to have worked the entirety of each shift.
One such shift, called “purge” overtime, was focused on reducing the inventory of the evidence warehouse. The shift was supposed to be performed from 4:00 p.m. – 8:00 p.m. on weekdays. According to charging documents, on days during which Baxter and other members of the ECU claimed to have worked until 8:00 p.m., the warehouse was closed, locked and alarmed well before 8:00 p.m., and often at 6:00 p.m. or earlier. Despite this, Baxter and, allegedly, other members of the ECU routinely submitted false and fraudulent overtime slips, claiming to have worked until 8:00 p.m. It is alleged that supervisors such as Baxter, who also left early from this shift, submitted their own false and fraudulent slips and knowingly endorsed the fraudulent overtime slips of their subordinates.
Another shift, called “kiosk” overtime, occurred once a month on Saturdays and involved collecting materials from kiosks located in each of the city’s police districts and transporting it to an incinerator in Saugus. It is alleged that Baxter and other officers routinely submitted overtime slips claiming to have worked eight-and-one-half hours. However, officers frequently completed the necessary work early, often within four hours, and falsely and fraudulently claimed eight-and-one-half hours.
According to charging documents, between March 2015 and June 2016, Baxter personally collected approximately $9,223 for overtime hours he did not work.
From 2015 through 2019, BPD received annual benefits from the U.S. Department of Transportation and U.S. Department of Justice in excess of $10,000, which were funded pursuant to numerous federal grants.
Baxter is the 12th officer to be charged in the investigation of overtime fraud at the evidence warehouse. In September 2020, nine current and former officers were arrested and charged. Four defendants, including Baxter, have now pleaded guilty or have agreed to do so.
The charge of embezzlement from an agency receiving federal funds provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000 or twice the gross gain or loss. The charge of conspiracy provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Russell W. Cunningham, Special Agent in Charge of the Department of Justice Office of the Inspector General, Washington Field Office; and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division made the announcement today. Assistant U.S. Attorney Mark Grady of Mendell’s Public Corruption & Special Prosecutions Unit is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Five More Plead Guilty to Conspiring to Stage Automobile Accidents in Order to Defraud Insurance and Trucking CompaniesRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Duane A. Evans announced that LOIS RUSSELL (“RUSSELL”), age 61 of Gibson, Louisiana, TANYA GIVENS (“GIVENS”), age 43, of Gibson, Louisiana; HENRY RANDLE (“RANDLE”), age 64, of Gibson, Louisiana; JOHN DIGGS (“J. DIGGS”), age 60, of Thibodaux, Louisiana; and DAKOTA DIGGS (“D. DIGGS”), age 25, of Ft. Smith, Arkansas, entered a plea of guilty today to Conspiracy to Commit Mail Fraud, in violation of Title 18, United States Code, Section 371, arising out of staged automobile accidents with tractor-trailers occurring in New Orleans.
According to today’s guilty plea, on March 27, 2017, RUSSELL, GIVENS, and J. DIGGS conspired with passenger James “Curtis” Williams (“Williams”) to stage an accident with a tractor-trailer at the intersection of Chef Menteur Highway and Downman Road. Damien Labeaud (“Labeaud”) and Roderick Hickman (“Hickman”), who have already pleaded guilty to staging other accidents, also participated in this accident. Hickman, while driving RUSSELL’s car, intentionally struck the 18-wheeler and then fled the scene with Labeaud. RUSSELL advised NOPD that she was the driver and she, along with GIVENS and J. DIGGS, made claims for personal injuries. In total, the victim trucking and insurance companies paid out $272,500.00 for these fraudulent claims.
Also according to today’s guilty plea, on May 17, 2017, RANDLE and D. DIGGS, along with participants Labeaud, Mario Solomon (“Solomon”), and Ryan Wheaten (“Wheaten”), participated in a staged automobile accident in the vicinity of U.S. Highway 90 East and Calliope Street in New Orleans. Labeaud and Solomon fled the scene. RANDLE falsely reported to the NOPD that he had been driving and that the tractor-trailer had struck his vehicle. Shortly thereafter, Labeaud and Solomon went on to stage a second accident in the vicinity of Louisa Street and Chickasaw Street with Bernell Gale (“Gale”), Troy Smith (“Smith”), Marvel Francois (“Francois”), and another passenger. Labeaud, Solomon, Wheaten, Gale, Smith, and Francois were also charged. Labeaud, Solomon, Gale, Smith, and Francois already pled guilty. RANDLE, D. DIGGS, and Wheaten made claims for personal injuries. The victim trucking and insurance companies paid out approximately $10,000.00 for these fraudulent claims.
RUSSELL, GIVENS, RANDLE, J. DIGGS, and D. DIGGS face a maximum sentence of five (5) years. Upon release from prison, RUSSELL, GIVENS, RANDLE, J. DIGGS, and D. DIGGS also face a term of supervised release up to (3) three years, and/or a fine of $250,000 or the greater of twice the gross gain to each defendant or twice the gross loss to any person under Title 18, United States Code, Section 371. Sentencing in this matter is scheduled for September 15, 2021, before U.S. District Judge Lance M. Africk.
The U.S. Attorney’s Office would also like to acknowledge the assistance of the Federal Bureau of Investigation, Louisiana State Police, and the Metropolitan Crime Commission with this matter. The prosecution of this case is being handled by Assistant U.S. Attorney Edward J. Rivera, Assistant U.S. Attorney Maria Carboni, Assistant U.S. Attorney Shirin Hakimzadeh, and Assistant U.S. Attorney Brian M. Klebba, Chief of the Financial Crimes Unit.
Federal Indictment Charges 22 Individuals with Purchasing and Using Payment Cards Stolen from National Retail ChainRead the Press Release
CHICAGO — Twenty-two individuals have been indicted on fraud and identity theft charges for allegedly purchasing and using credit, debit, and gift cards that were stolen in a cyber attack from a national retain chain.
According to an indictment unsealed in the Northern District of Illinois, the cyber attack occurred in 2016 and 2017 when an individual installed a malicious software program on multiple computers of the retail chain, which is headquartered in the Chicago area. The malware allowed the co-schemer to capture data from more than three million payment cards, including credit cards, debit cards, and gift cards, that had been used at more than 400 of the company’s retail stores. The co-schemer then sold the card data for $4 million in bitcoin to another individual, who in turn sold it online to thousands of others, including the 22 charged defendants, the indictment states.
The defendants used data from the cards to purchase items at businesses throughout the country, including restaurants, gas stations, and hotels, the charges allege. At least 80 people were victimized by the defendants’ conduct, the indictment states.
Twenty defendants were arrested this month and have begun making initial appearances in federal courts throughout the country. Two defendants remain at large and are believed to be residing overseas. The investigation remains ongoing.
The indictment and arrests were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The government is represented by Assistant U.S. Attorneys Peter M. Flanagan and Thomas P. Peabody.
Charged with wire fraud and aggravated identity theft are BARRY SHI, 35, of Rosemead, Calif.; ANDREW DARIEN MCLEOD, 26, of Brooklyn, N.Y.; JAMEL T. WILLIAMS, 30, of Raleigh, N.C.; SAAQUAN RAM, 33, of Grand Rapids, Mich.; JAMES B. GIBBS, 32, of South Carolina; YI LIU, 32, of Temple City, Calif.; CHRISTOPHER JOHNSON, 38, of Monroe Township, N.J.; DAJUAN GEE, 32, of Redmond, Mich.; YANG SONG, 34, of Rosemead, Calif.; JAYVON A. PUGH, 23, of Brooklyn, N.Y.; KADEEM DEAN, 28, of Brooklyn, N.Y.; ENPING QU, 26, of Calif.; CAN JIANG, 27, of San Gabriel, Calif.; ESRON A. MURRELL, 30, of Jamaica, N.Y.; ZANPENG CHEN, 27, of Los Angeles, Calif.; JEFF MURAT, 41, of Miami, Fla.; CHRISTOPHER T. THOMPSON, 32, of Woodland Hills, Calif.; JOHN LIU, 37, of West Covina, Calif.; SADIKIFU NAWAB SHABAZZ, 42, of Atlanta, Ga.; BYRON HICKMAN, 32, of New York, N.Y.; CLIVE BAKER, 26, of New York, N.Y.; and DAVIN SMART, 31, of Spotsylvania, Va.
The public is reminded that an indictment is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Wire fraud is punishable by up to 20 years in federal prison, while aggravated identity theft carries a mandatory, consecutive prison sentence of two years. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
Farmington Woman Admits Stealing $103K from Bank CustomerRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, and David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, announced that LEE BLANCHETTE, 58, of Farmington, waived her right to be indicted and pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to one count of bank fraud.
According to court documents and statements made in court, Blanchette was employed by Bank of America as a relationship manager. As a relationship manager, Blanchette had the authority to cause temporary ATM cards to be activated and assigned to a customer’s account. Between August 2014 and March 2016, Blanchette caused multiple temporary ATM cards to be activated for bank accounts of a customer who Blanchette knew was experiencing cognitive decline. Without the customer’s authorization, Blanchette used the temporary ATM cards to withdraw significant funds from the customer’s accounts, keeping a significant portion for her own benefit, and causing a loss of $103,080.
Bank fraud carries a maximum term of imprisonment of 30 years. Judge Meyer scheduled sentencing for August 26, 2021.
Blanchette has agreed to pay restitution to Bank of America, which covered the victim’s losses.
Blanchette is released pending sentencing.
This matter is being investigated by Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
The Justice Department has established a National Elder Fraud Hotline to provide services to seniors who may be victims of financial fraud. The Hotline is staffed by experienced case managers who can provide personalized support to callers. Case managers assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll-free number is 833-FRAUD-11 (833-372-8311).
Erie Man Pleads Guilty to Stealing $550,000 from Victim He Met OnlineRead the Press Release
ERIE, Pa. - A resident of Erie, Pennsylvania, pleaded guilty in federal court to wire fraud and engaging in monetary transactions in property derived from specified unlawful activity, Acting United States Attorney Stephen R. Kaufman announced today.
Henry James Corder, Jr., 67, pleaded guilty to two counts before Senior United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Corder engaged in a scheme wherein he used numerous falsehoods to steal from a victim that he met online. Corder falsely stated that he was a U.S. Marshal who could find the perpetrator who had previously scammed the victim. He also falsely claimed he needed money for cancer treatments, funeral services for relatives, business partnerships in which he promised to include the victim and items for a non-existent security business. As a result of his lies to the victim, Corder obtained more than $550,000 from her. He then used that money to pay off his mortgage and buy cars and a motorcycle.
Judge Cercone scheduled sentencing for October 4, 2021 at 1:30 p.m. The law provides for a total sentence of 30 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Corder on bond.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Internal Revenue Service, Criminal Investigation, conducted the investigation that led to the prosecution of Corder.
Elk County Bookkeeper Embezzled $765,000 from her EmployerRead the Press Release
ERIE, Pa. - A resident of Johnsonburg, Pennsylvania, pleaded guilty in federal court to charges of wire fraud, Acting United States Attorney Stephen R. Kaufman announced today.
Melissa Bittler, 41, pleaded guilty to three counts before Senior United States District Judge David S. Cercone.
In connection with the guilty plea, the court was advised that Bittler embezzled over $765,000 from the construction company in Johnsonburg where she was employed as the office manager and bookkeeper. Bittler bought and renovated her house and purchased a Honda Pilot with the embezzled company money.
Judge Cercone scheduled sentencing for October 4, 2021 at 2:00 p.m. The law provides for a total sentence of 60 years in prison, a fine of $750,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued Bittler on bond.
Assistant United States Attorney Christian A. Trabold is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation and the Johnsonburg Borough Police Department conducted the investigation that led to the prosecution of Bittler.
Eight Individuals Charged in Connection with Residential Burglaries Targeting Homeowners of Asian DescentRead the Press Release
NEWARK, N.J. – Eight members of an interstate burglary crew were charged for their roles in a conspiracy that targeted homeowners of Asian descent for residential burglaries, Acting U.S. Attorney Rachael A. Honig announced today.
Rabine Armour of Easton, Pennsylvania; Kevin Burton of Newark; Kevin Jackson of Rahway, New Jersey; Thomas Rodgers of Newark; James Hurt of Tobyhanna, Pennsylvania; Sherman Glasco of Bethlehem, Pennsylvania; Randi Barr of Irvington, New Jersey; and Terrance Black of Irvington, New Jersey, are charged by complaint with conspiracy to commit interstate transportation of stolen property. Burton is also charged with one count of being a felon in possession of a firearm, and conspiring with Keesha Davis, of Elizabeth, New Jersey, to tamper with evidence. The defendants will appear by videoconference today before U.S. Magistrate Judge James B. Clark III.
As alleged in the complaint, these defendants were part of a sophisticated, multi-state burglary crew that targeted the homes of business owners of Asian descent, intending to steal the cash proceeds of their businesses as well as jewelry, foreign currency, and other property,” Acting U.S. Attorney Honig said. “A comprehensive investigation led by our partners at the FBI and aided by the cooperation of local law enforcement revealed the links among over 50 residential burglaries and thereby uncovered this scheme. As a result of this careful investigative work, the defendants now face federal charges for their actions.”
“These defendants allegedly carried out a brazen conspiracy based on stereotype and opportunity,” Special Agent in Charge George M. Crouch Jr. said. “It is fitting that these arrests come at a time when society is raising awareness regarding crimes against our Asian-American citizens. FBI-Newark appreciates the strong relationship with our law enforcement partners. To that end, I want to thank the South Plainfield Police Department and Middlesex County Prosecutors office for initiating the investigation, and the police departments of New Castle County, Delaware, Eatontown, Edison, Hazlet and the Old Bridge for their investigative assistance leading to these burglary interruptions.”
According to documents filed in this case and statements made in court:
Law enforcement officials identified eight members of an interstate burglary crew responsible for more than 50 home burglaries. Armour, Burton, and Jackson were arrested in Old Bridge, New Jersey, and Barr was arrested in Hazlet, New Jersey, during burglaries in progress. Searches of Armour’s and Burton’s residences revealed tens of thousands of dollars in United States currency and currency from Asian countries, jewelry, family heirlooms, and other valuables that were previously reported stolen by victims. While searching vehicles used in the commission of burglaries, law enforcement recovered notes containing the home addresses of individuals of Asian descent with derogatory descriptive terms to identify the ethnicity of the homeowners.
A subsequent investigation of the contents of communications obtained from Armour and Burton’s cellular telephones, in addition to location data associated with crew members’ phone numbers, led law enforcement to identify other conspirators, including Glasco, Hurt, Black, and Rodgers. In comparing communications, location information, and recovered stolen property with known burglaries matching the methods employed by the burglary crew, law enforcement was able to associate these defendants with numerous residential burglaries of homes owned by individuals of Asian descent.
Law enforcement officials learned that unlawful entry into the homes was often made through unsecured second-floor windows; the victims’ cars were burglarized at their respective places of business in order to ascertain the homeowners’ addresses from the vehicles’ documents; makeshift trackers were placed on victims’ vehicles; the crew looked for indications of occupancy of homes by individuals of Asian descent; and once inside, the crew sought out cash, jewelry, and firearms.
The charge of conspiracy to commit interstate transportation of stolen property carries a maximum potential penalty of five years in prison and a $250,000 fine, or twice the amount of money involved in the offense, whichever is greater.
Acting U.S. Attorney Honig credited FBI Newark’s Transnational Organized Crime Task Force, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to the charges. She also thanked the Middlesex County Prosecutors Office, and the South Plainfield, South Whitehall, Eatontown, New York City, Edison, Hazlet, Kenilworth, New Castle County, Pocono Township, Sayreville, Old Bridge and Spotswood police departments for their work on the investigation. Acting U.S. Attorney Honig also thanked the numerous law enforcement agencies in New Jersey, Pennsylvania, New York, and Delaware that assisted with the investigation.
The government is represented by Special Assistant U.S. Attorney Keith Travers of the U.S. Attorney’s Office OCDETF/Narcotics Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Denison Woman Pleads Guilty to Falsifying Credit Union Statements to Hide EmbezzlementRead the Press Release
A Denison woman who served as CEO of Consumers Credit Union (CCU), and falsified financial records to hide embezzlement, pled guilty on May 24, 2021, in federal court in Sioux City.
Janine Keim, age 68, from Denison, Iowa, was convicted of making false statements to auditors of the National Credit Union Administration (NCUA).
In open court, Keim admitted to falsifying documents to hide the embezzlement of money from CCU in Denison, Iowa. Keim was the CEO of CCU and she admitted to abstracting funds from the credit union. Keim submitted call reports she knew to be false to the NCUA alleging the existence of funds held by CCU. Keim’s actions contributed to a total cash and cash equivalent loss for CCU that resulted in CCU’s insolvency. In October 2020, Keim’s sister, Brenda Jensen, pled guilty to embezzling from CCU.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Keim remains free on bond previously set pending sentencing. Keim faces a possible maximum sentence of 30 years’ imprisonment, a $1,000,000 fine, and 5 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Ron Timmons and was investigated by the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-4091.
Convicted Felon Guilty of Illegal Possession of Multiple Guns in First Criminal Jury Trial in the Middle District of Georgia Since Lifting of Jury Trial MoratoriumRead the Press Release
ALBANY, Ga.– A federal jury returned a guilty verdict this afternoon, convicting an Albany man for illegal possession of firearms by a prohibited person in the first criminal jury trial conducted in the Middle District of Georgia since the COVID-19 pandemic jury trial restrictions lifted in May 2021.
“It is significant that a jury trial for a criminal case was successfully and safely accomplished in the Middle District of Georgia as the legal community works to return to pre-COVID, in-person gatherings. I want to commend everyone involved in the trial for helping to ensure that justice was fairly and safely delivered,” said Peter D. Leary, the Acting U.S. Attorney for the Middle District of Georgia.
According to court documents and evidence presented at trial, Eric Tollefson, 63, was wanted by authorities in Virginia in 2018 pursuant to an indictment returned against him in a narcotics case. Law enforcement agents traveled to his Albany home to arrest him on November 2, 2018. Upon entering the residence, agents observed a number of firearms in plain view. Tollefson was in illegal possession of a total of eleven firearms: nine rifles, a pistol and a shotgun. At the time he possessed the 11 guns, Tollefson was a multiple-time convicted felon, to include a previous conviction for being a felon in possession of a firearm.
Tollefson faces a maximum ten years in prison to be followed by three years of supervised release and a $250,000 fine. Sentencing is scheduled for August 24, 2021. U.S. District Judge Leslie Gardner is presiding over the case.
FBI investigated the case with assistance from ATF, the U.S. Marshals Service and the Albany Police Department.
Assistant U.S. Attorney Leah McEwen is prosecuting the case.
Charlotte Man Is Charged with Using Stolen Identities to Defraud Government-Funded Coronavirus Aid Relief Programs of More Than $200,000Read the Press Release
CHARLOTTE, N.C. – A criminal indictment was unsealed in federal court today, following Keon I. Taylor’s initial appearance on federal charges for allegedly using stolen identities to defraud government-funded coronavirus aid relief programs of more than $200,000, announced William T. Stetzer, Acting U.S. Attorney for the Western District of North Carolina.
Specifically, the criminal indictment charges Taylor, 30, of Charlotte, with eight counts of wire fraud, two counts of making a false statement to the U.S. Small Business Administration, three counts of aggravated identity theft, and one count related to possessing equipment that can be used to make fake identity documents.
Acting U.S. Attorney Stetzer is joined in making today’s announcement by Tommy D. Coke, Inspector in Charge of the Atlanta Division of the U.S. Postal Inspection Service (USPIS) which oversees Charlotte.
According to allegations contained in the indictment, from at least March 2020 through February 2021, Taylor engaged in a scheme to defraud the U.S. Department of Labor (DOL), the U.S. Small Business Administration (SBA), the North Carolina Division of Employment Security, and the States of Tennessee, Texas, Ohio, Massachusetts, Nevada, and Arizona by filing fraudulent claims for COVID-19 related unemployment insurance (UI) benefits using stolen information of identity theft victims. The indictment alleges that, as part of the scheme, Taylor obtained over the internet and elsewhere multiple victims’ stolen personal identifying information, or “PII,” including victims’ names, Social Security numbers, dates of birth, and addresses. Taylor used the stolen PII of more than 35 victims to apply for and receive over $219,000 in fraudulent unemployment benefits, and to submit numerous additional applications seeking fraudulent UI benefits. The indictment further alleges that Taylor also used false information to fraudulently apply for three Economic Injury Disaster Loans (EIDL) under the expanded CARES Act.
The CARES Act is a federal law enacted March 29, 2020, and it is designed to provide emergency financial assistance to millions of Americans suffering the economic effects caused by the COVID-19 pandemic. The CARES Act established several new temporary programs and provided for the expansion of others, including the EIDL program, which is an SBA program that provides low-interest financing to small businesses, renters, and homeowners in regions affected by declared disasters.
U.S. District Judge David C. Keesler presided over Taylor’s initial appearance in magistrate court in Charlotte this morning.
The wire fraud charges carry a maximum sentence of 20 years in prison and a $250,000 fine per count, with additional penalties possible because the offenses relate to a presidentially declared emergency. The false statements to the SBA charges carry a maximum prison sentence of 30 years and a $1 million fine per count. The aggravated identity theft charges carry a minimum prison term of two years, consecutive to any other prison term imposed, per count. The charge of production, transfer, or possession of a document making implement or authentication feature carries a term of imprisonment of up to 15 years and a $250,000 fine.
The charges against Taylor are allegations and the defendant is presumed innocent unless and until proven guilty beyond reasonable doubt in a court of law.
In making today’s announcement, Acting U.S. Attorney Stetzer thanked the U.S. Postal Inspection Service for their investigative efforts which led to the charges. The prosecution for the government is handled by Assistant United States Attorney Jenny G. Sugar of the U.S. Attorney’s Office in Charlotte.
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On May 17, 2021, U.S. Attorney General Merrick B. Garland announced the establishment of a the COVID-19 Fraud Enforcement Task Force to combat fraud related to the coronavirus epidemic. The Task Force will marshal the resources of the Department of Justice in partnership with agencies across the government to enhance enforcement efforts against wrongdoers seeking to exploit COVID-19 pandemic.
“The Department of Justice will use every available tool – including criminal, civil, and administrative actions – to combat and prevent COVID-19 related fraud. We look forward to working with our federal government colleagues to bring to justice those who seek to profit unlawfully from the pandemic,” wrote Attorney General Garland in a memo announcing the Task Force.
Organized and led by the Deputy Attorney General, the Task Force includes several entities within the Department of Justice, including the Criminal and Civil Division, the Executive Office for United States Attorneys, and the FBI. Key interagency partners, such as the Department of Labor, the Department of Treasury, the Department of Homeland Security, the SBA, the Special Inspector General for Pandemic Relief (SIGPR), the Pandemic Response Accountability Committee (PRAC), and others, have been invited to be part of the Task Force.
The Department of Justice and the U.S. Attorney’s Office for the Western District of North Carolina need the public’s assistance in remaining vigilant and reporting suspected fraudulent activity. To report suspected fraud, contact the National Center for Disaster Fraud (NCDF) at (866) 720-5721 or file an online complaint at https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form. Complaints filed will be reviewed by the NCDF and referred to federal, state, local or international law enforcement or regulatory agencies for investigation. Members of the public in the Western District of North Carolina are also encouraged to call 704-344-6222 to reach their local Coronavirus Fraud Coordinator.
California Man Indicted on Federal Drug Law ViolationsRead the Press Release
PITTSBURGH – One resident of California 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 Jose Juan Flores, age 55, as the sole defendant.
According to the Indictment presented to the court, in and around April 2021, Flores conspired to possess with intent to distribute and distribute fentanyl, fluoro fentanyl, and heroin. Also on or about April 28, 2021, Flores possessed with intent to distribute and distribute fentanyl, fluoro fentanyl, and heroin.
The law provides for a maximum total sentence of life in prison, a fine of $10,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Robert Schupansky is prosecuting this case on behalf of the government.
The Department of Homeland Security and Pennsylvania State Police 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.
Buffalo Man Pleads Guilty to Gun ChargesRead 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 Arthur Everett, 35, of Buffalo, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to conspiracy to commit firearms offenses and being a felon in possession of firearms. The charges carry a maximum penalty of 10 years in prison and a $250,000 fine.
“With violence skyrocketing in Buffalo, my office remains committed to doing all that we can to apprehend those who are helping to fuel this violence by illegally trafficking guns in our community,” stated U.S. Attorney Kennedy. “Today’s illegally trafficked guns become tomorrow’s crime guns.”
Assistant U.S. Attorneys Caitlin M. Higgins and Charles E. Watkins, who are handling the case, stated that between February 2018, and June 2019, the defendant, without being a licensed firearms importer, manufacturer, dealer, or collector, conspired with co-defendant Von Harmon to sell firearms. In May 2019, Everett introduced Von Harmon to an individual in Buffalo who bought seven firearms from Von Harmon for $6,000. The defendant was present during the sale, participated in price negotiations, and describing the firearms to the individual. The firearms included five pistols, a revolver, and a handgun.
In October 2009, Everett was convicted in Erie County Court of Criminal Possession of a Weapon in the Second Degree and Attempted Assault in the Second Degree. In April 2008, the defendant was convicted in Erie County Court of Attempted Criminal Possession of a Weapon in the Second Degree. As a result, Everett is legally prohibited from possessing a firearm.
Von Harmon was previously convicted and is awaiting sentencing.
The plea is the result of an investigation by the Federal bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; and the Buffalo Police Department, under the direction of Commissioner Byron Lockwood.
Sentencing is scheduled for September 13, 2021, before Judge Arcara.
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Birmingham Man Sentenced for Using Stolen ID to Buy PistolsRead the Press Release
BIRMINGHAM, Ala. – A federal judge today sentenced a Birmingham man for making a false statement to a firearms dealer, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Mickey French.
U.S. District Judge Annemarie Carney Axon sentenced Nasheed Kareem Hutchins, 22, to 24 months in prison for making a false statement during the purchase of pistols from two Tuscaloosa gun stores. Hutchins pleaded guilty to these charges in February.
According to the plea agreement, using the stolen identification card of another man, Hutchins purchased six pistols from Wade’s Jewelry and Pawn and two pistols from Quick Pawn Shop #9 on the same day. The ATF began an investigation after law enforcement officers in New Jersey recovered one of the guns from a felon within a short time after it was purchased in Tuscaloosa.
After security video at one of the gun stores ruled out the individual whose identification card was used, ATF agents tracked down the true purchaser, Hutchins, using contact information provided during one of the purchases and an unrelated booking video of Hutchins from the Tuscaloosa County Jail. That video showed Hutchins wearing the same distinctive shirt as the gun buyer. Hutchins later admitted using the identification card to buy the guns.
“Illegally obtained firearms are a major source of crime guns throughout the United States,” U.S. Attorney Escalona said. “My office is committed to prosecuting those who illegally acquire and possess firearms.”
“The partnerships with the public safety departments and the U.S. Attorney’s office were crucial in reducing the potential for violent crime in this case,” SAC French said.
The ATF investigated the case. Assistant U.S. Attorney Alan Baty prosecuted.
Birmingham Man Sentenced for Fraud against Huntsville Police Officer’s Memorial FundRead the Press Release
BIRMINGHAM, Ala. – A Birmingham man was sentenced today for a scheme to obtain money from a fund intended for the family of a fallen Huntsville Police officer, announced U.S. Attorney Prim F. Escalona, U.S. Postal Inspector In Charge, Houston Division, Adrian Gonzalez, and FBI Special Agent in Charge Johnnie Sharp, Jr.
U.S. District Judge Annemarie Axon sentenced Devonte Lemond Hammonds, 28, to 37 months in prison for access device fraud and wire fraud. Hammonds pleaded guilty to the charges in February.
“This sentence sends a strong message that frauds like this will be prosecuted and punished severely,” U.S. Attorney Escalona said. “This defendant exploited a tragedy and stole money intended for the family of an officer killed in the line of duty. Today justice was served for the victims of this egregious crime.”
“Today’s sentencing revealed that what Devonte Hammonds thought was an easy fraud scheme turned out to be an even easier trip to federal prison,” Inspector in Charge Adrian Gonzalez, Houston Division, U.S. Postal Inspection Service said. “His mail fraud scheme was insidious, and it is hoped that justice being served today will help bring closure for those he affected.”
“Hammonds stole from the family of a fallen hero and has now been sentenced for his despicable crimes,” FBI SAC Sharp said. “I commend the tireless efforts of our special agents and law enforcement partners who worked jointly to bring this case to justice.”
In December 2019, Hammonds devised a scheme to fraudulently obtain money from the Billy Clardy Memorial Fund. Billy Clardy was a Huntsville Police officer killed in the line of duty in 2019. After Officer Clardy’s death, a memorial fund was established to collect contributions and provide aid to his family. Hammonds used the identity of another person to open a bank account and transfer funds from the Billy Clardy Memorial Fund bank account to the fictitious account for his own use. Hammonds also used the U.S. Postal Service website to fraudulently reroute mail from numerous U.S. Postal Service customers to addresses in Birmingham that he could access. He rerouted the mail to obtain more personal identifying information of those customers, and used that information to pay bills, make purchases, and open new accounts.
The FBI and USPIS investigated the case. Assistant U.S. Attorneys J.B. Ward and Michael Pillsbury prosecuted the case.
Atlanta man admits attempting to conceal firearms in overseas shipmentRead the Press Release
SAVANNAH, GA: An Atlanta man faces up to five years in prison after admitting he attempted to hide firearms in an overseas shipment of goods.
Shawn Sabi, 34, of Atlanta, pled guilty in U.S. District Court to an Information charging him with Submitting False or Misleading Export Information, said David H. Estes, Acting U.S. Attorney for the Southern District of Georgia. The plea subjects Sabi to a possible statutory sentence of up to five years in prison followed by two years of supervised release and a $10,000 fine. There is no parole in the federal system.
“With massive numbers of shipments moving daily through the Port of Savannah, our law enforcement partners perform stellar work in intercepting illegal materials moving through commerce,” said Acting U.S. Attorney Estes. “When these shipments are detected, we will hold those attempting such criminal acts accountable.”
In March, agents from U.S. Customs and Border Protection (CBP) detained Sabi’s shipment, labeled “115 pieces used household goods and personal effects,” based on discrepancies in declarations filed for the shipment. An agent from the U.S. Department of Commerce Bureau of Industry and Security (BIS) reviewed the records, leading to a search of the container in which a shotgun, a rifle, and three handguns were discovered concealed inside the legs of an aluminum shelving unit, along with ammunition and other materials.
In most cases, it is illegal to export firearms to another country without a federal export license. BIS confirmed that Sabi does not possess such a license.
The case was investigated by the U.S. Department of Commerce Bureau of Industry and Security, Office of Export Enforcement, Miami Field Office; the Bureau of Alcohol, Tobacco, Firearms and Explosives; Customs and Border Protection; and Homeland Security Investigations, and prosecuted for the United States by Assistant U.S. Attorney Jennifer G. Solari and Special Assistant U.S. Attorney Darron J. Hubbard.
Armed Career Criminal Sentenced to over 15 Years in Prison for Firearm PossessionRead the Press Release
BIRMINGHAM, Ala. – A federal judge today sentenced an Atlanta man for being a felon in possession of a firearm, announced United States Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Mickey French.
Chief U.S. District Judge L. Scott Coogler sentenced Kareem Jamal Young, 38, of Atlanta, Ga., to 188 months in prison for being a felon in possession of a SCCY 9mm pistol in March 2017. Young pleaded guilty to the charge in April 2021.
“Prosecuting career criminals who continue to possess firearms is an important part of reducing violent crime in this district,” said U.S. Attorney Escalona. “Convicted felons with guns, especially those individuals involved in promoting violence or drugs, will be held accountable in a federal prison.”
“It is imperative to keep firearms out of the hands of convicted felons who use them in the furtherance of violent crimes,” ATF SAC Mickey French. “ATF will continue to work in conjunction with law enforcement agencies and the community to remove the criminal element that have a negative impact to our communities.”
Young was sentenced under the Armed Career Criminal Act, which provides a sentencing range of fifteen years to life for individuals who have been convicted of federal gun crimes and have at least three prior felony convictions for crimes of violence and/or serious drug offenses. Young was convicted on August 25, 2009, in the Circuit Court of Tuscaloosa County, Alabama, for Robbery and Distribution of a Controlled Substance. He was also convicted on January 4, 2002, in the Circuit Court of Tuscaloosa County for Robbery and Escape.
ATF investigated the case. Assistant U.S. Attorneys Allison Garnett and Jonathan Cross prosecuted the case.
Ammunition Smuggler Sentenced to Almost 4 Years in PrisonRead the Press Release
TUCSON, Ariz. – Last week, Jorge Armando Lopez-Espinoza, 42, a Mexican citizen, was sentenced by U.S. District Judge Rosemary Marquez to 46 months in prison for attempting to smuggle ammunition from the United States into Mexico.
In May of 2020, Lopez-Espinoza conspired with others to smuggle 8,000 rounds of ammunition in his tractor trailer from Nogales, Arizona to Mexico. Law enforcement agents were able to intercept the shipments of ammunition before Lopez-Espinoza acquired them. On May 14, 2020, Lopez-Espinoza picked up the boxes he believed contained the 8,000 rounds of ammunition, hid them in his tractor trailer, and attempted to enter Mexico through the Nogales Port of Entry. Lopez-Espinoza later admitted he believed he was smuggling ammunition in the boxes, expected to be paid for doing so, and had previously smuggled ammunition into Mexico in exchange for payment.
Homeland Security Investigations conducted the investigation in this case, with the assistance of Customs and Border Protection. Angela W. Woolridge, Assistant U.S. Attorney, District of Arizona, Tucson handled the prosecution.
CASE NUMBER: 20-2715-001-TUC-RM
RELEASE NUMBER: 2021- 033_Lopez-Espinoza# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/ th
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.ACJ Inmate Charged with Possessing Prohibited ObjectsRead the Press Release
PITTSBURGH – An inmate of the Allegheny County Jail has been indicted by a federal grand jury in Pittsburgh on charges of possessing contraband while in prison, Acting United States Attorney Stephen R. Kaufman announced today.
The two-count Indictment named James Byrd, age 45, as the sole defendant.
According to the Indictment, Byrd was charged with possessing a cell phone, cigarettes, a JUUL vape pen, and a red cigarette lighter, while in custody, prohibited object for inmates, on July 22, 2020.
The law provides for a maximum total sentence of not more than 1 year in prison, a fine not to exceed $100,000.00, a term of supervised release of not more than 1 year, or a combination thereof. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Benjamin J. Risacher is prosecuting this case on behalf of the government.
The United States Marshals Service 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.
24 May 2021
‘Dark web’ heroin dealer sentenced to 5 years in prisonRead the Press Release
Seattle – A 31-year-old ‘dark web’ heroin dealer was sentenced today in U.S. District Court in Seattle to 5 years in prison, announced Acting U.S. Attorney Tessa M. Gorman. Zachary Madding of Mill Creek, Washington, was arrested at a long-stay hotel in Mukilteo, Washington after a horrific assault on his estranged girlfriend. At the sentencing hearing U.S. District Judge James L. Robart said, “The person who is before me is not a good person. He is a common criminal who is engaged in the most serious behavior…. On the dark web you have no idea who you are dealing with… Because of your actions, there are 1,600 families out there who are going through the pain of addiction.”
“This defendant put thousands of people at risk of death by anonymously sending his potent heroin to all corners of the country,” said Acting U.S. Attorney Gorman. “He knew all too well the destruction his drugs inflicted, having critically injured two young pedestrians while driving under the influence of narcotics. Dealing on the dark web spreads the destruction from heroin abuse to a far larger geographic area with callous disregard for how communities and addicts are damaged.”
According to records filed in the case, Madding first came to the attention of law enforcement in May 2018, when he attacked his estranged girlfriend by forcing Xanax down her throat and forcibly spraying a fentanyl up her nose. Fortunately, medics were able to use Narcan to revive the victim. Madding was arrested. In his hotel room, law enforcement discovered false identification documents, shipping labels, drug ledgers, crushed Xanax tables and the fentanyl spray. An investigation by Homeland Security Investigations revealed that from as early as 2016 Madding was selling heroin on dark web websites – these are an extensive network of computers that conceal the true Internet Protocol (“IP”) address of computing devices. Even as different marketplace sites were seized by law enforcement and shut down, Madding moved on to different sites. He took care to avoid detection by being paid in bitcoin, encrypting communications, and shipping his drugs in such a way to avoid detection by drug detecting canines.
In all, Madding made more than 1,600 sales on the dark web and pocketed $72,000 in bitcoin.
“Madding’s rein of violence and drug dealing is over,” said Special Agent in Charge Robert Hammer, who oversees HSI operations in the Pacific Northwest. “The law enforcement partnerships we have in Washington are stronger than criminals who hide behind computer screens peddling poison in our communities.”
“Without question this is a major step in shutting down large scale Dark web drug dealers. Madding alone was responsible for over 1600 shipments of illegal and deadly narcotics to communities around the country. The sentencing of a vendor like him disrupts a truly deadly supply chain and his removal from the community will undoubtedly save lives,” said Inspector-in-Charge Anthony Galetti, “The U.S. Postal Inspection Service is tasked with investigating any criminal use of the U.S. Mail, and the shipment of illegal narcotics remains one of our highest priorities. We thank Mukilteo Police Department and HSI for their assistance in bringing Madding to justice.”
Madding’s dark web dealing accelerated after he was released from a state prison sentence for vehicular assault. In that case, in August 2014, Madding drove under the influence of heroin and struck two teen-agers as they walked on the side of the road. Both were badly injured, and one suffered a critical and life-altering brain injury.
The case was investigated by Homeland Security Investigations and the U.S. Postal Inspection Service, with assistance from the Mukilteo Police Department.
The case is being prosecuted by Assistant United States Attorney Marie Dalton.
Upshur County man sentenced for methamphetamine chargeRead the Press Release
ELKINS, WEST VIRGINIA – Rodney Allen Rowan, of Buckhannon, West Virginia, was sentenced today to 151 months of incarceration for a methamphetamine charge, Acting U.S. Attorney Randolph J. Bernard announced.
Rowan, 26, pleaded guilty in January 2020 to one count of “Possession with Intent to Distribute at Least 50 Grams of Methamphetamine.” Rowan admitted to having more than 50 grams of methamphetamine in November 2019 in Upshur County.
Assistant U.S. Attorney Stephen D. Warner prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, West Virginia State Police, and the Upshur County Sheriff’s Office investigated.
U.S. District Judge Thomas S. Kleeh presided.
Two Postal Service Employees Plead Guilty to Using EDD Debit Cards to Illegally Purchase Thousands of Dollars in Postal Money OrdersRead the Press Release
LOS ANGELES – Two United States Postal Service (USPS) employees pleaded guilty today to federal criminal charges accusing them of unlawfully buying and cashing tens of thousands of dollars’ worth of Postal money orders with unemployment benefits fraudulently obtained with false claims of COVID-related job losses.
Christian Jeremyah James, 31, of South Los Angeles, who worked in the Culver City Main Post Office, and Armand Caleb Legardy, 32, of Inglewood, who worked in the La Tijera Post Office on Crenshaw Boulevard in South Los Angeles, each pleaded guilty in separate hearings to one count of use of unauthorized access devices.
According to their plea agreements, from August 2020 to February 2021, James and Legardy used debit cards that the California Employment Development Department (EDD) had issued to other people for unemployment insurance benefits – cards that were obtained by other unidentified individuals using stolen identities and false information.
James and Legardy admitted they used the EDD-issued debit cards in other people’s names to purchase or cash money orders from the USPS and to withdraw thousands of dollars in cash from bank ATMs. The defendants also admitted that they deposited multiple fraudulently purchased Postal money orders directly into their own bank accounts.
Between September 3 and September 19, 2020, James deposited more than $27,000 worth of USPS money orders into his bank account, according to his plea agreement. Legardy deposited more than $10,000 in USPS money orders that had been illegally purchased with California EDD cards in other people’s names, his plea agreement states.
James admitted to knowingly using at least eight EDD debit cards in other people’s names and causing a loss of approximately $142,652. Legardy admitted to illegally using nine EDD cards and causing a loss of approximately $160,879.
United States District Judge George H. Wu has scheduled sentencing hearings of October 7 for James and September 30 for Legardy, at which time each defendant will face a statutory maximum sentence of 10 years in federal prison.
The United States Postal Service Office of Inspector General, the United States Department of Labor Office of Inspector General, IRS Criminal Investigation, and the California Employment Development Department investigated this matter.
Assistant United States Attorney Charles E. Pell of the Santa Ana Branch Office is prosecuting these cases.
Two Novus Doctors, One Nurse Found Guilty of Healthcare FraudRead the Press Release
Three medical professionals who helped a local hospice agency scam Medicare have been convicted of healthcare fraud, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
On Monday, a federal jury found Novus Health Services Medical Directors Dr. Mark E. Gibbs and Dr. Laila Hirjee, along with Novus RN Tammie Little, guilty of conspiracy to commit healthcare fraud.
Additionally, the jury found Dr. Gibbs guilty of two counts of healthcare fraud and one count of obstruction of justice, Dr. Hirjee guilty of three counts of healthcare fraud and one Title 21 drug offense, and Ms. Little guilty of three counts of healthcare fraud. (Dr. Gibbs was acquitted of one of the three health care fraud counts brought by the government.)
According to evidence presented at trial, the defendants helped Novus CEO Bradley Harris defraud Medicare by submitting materially false claims for hospice services, providing kickbacks for referrals, violating HIPAA to recruit beneficiaries, and destroying documents to conceal the fraud from Medicare.
Mr. Harris, who pleaded guilty prior to trial, testified against his former employees.
He told the jury that instead of relying on the expertise of licensed medical professions, he and Novus nurses, including Ms. Little, determined which patients would be admitted to or discharged from hospice care, as well as which drugs and dosages they would receive.
They relied upon Novus doctors, including Dr. Gibbs and Dr. Hirjee, to certify that they had examined these patients face-to-face, when no such examinations had occurred, Mr. Harris testified.
Witnesses also testified that Dr. Hirjee and Dr. Gibbs engaged in the prescription of Schedule II controlled substances, such as morphine and hydromorphone, by pre-signing blank C2 prescriptions and giving those to Brad Harris and others at Novus to let them prescribe controlled substances without any physician oversight.
As Director of Operations Melanie Murphey testified on day five of trial, “I was the doctor.”
Mr. Harris and the nurses used pre-signed prescription pads, prepared by Dr. Gibbs, Dr. Hirjee, and other Novus doctors, to dispense medications like morphine to patients. Mr. Harris paid also Dr. Gibbs and Dr. Hirjee kickbacks – disguised as medical directory salaries – to induce them to refer patients to his facilities.
When Medicare suspended payment to Novus over concerns about billing, Mr. Harris, Dr. Gibbs, and others moved patients and employees to a new hospice company and continued to bill Medicare for hospice services.
In total, Medicare and Medicaid paid the Novus entities approximately $40 million dollars for hospice services before the companies were shut down.
“With today’s guilty verdicts, we are one step closer to bringing this sordid case to a close,” said Acting U.S. Attorney Shah. “These medical professionals behaved unconscionably, allowing Mr. Harris – an accountant – to dictate end-of-life care for suffering patients. The Northern District of Texas will not stand for this sort of misconduct.”
Dr. Hirjee now faces up to 60 years in federal prison, Dr. Gibbs faces up to 35 years, and Ms. Little faces up to 40 years.
Twelve of their codefendants – Novus CEO Brad Harris, his wife, Novus Vice President of Patient Services Amy Harris, Novus Director of Operations Melanie Murphy, Novus Medical Director Charles Leach, Novus Medical Director Reziuddin Siddique (deceased), Novus Medical Director Syed Aziz, Novus Vice President of Marketing Samuel Anderson, Novus Director of Marketing Slade Brown, Novus RN Jessica Love, Novus triage RN Patricia Armstrong, Novus LVN Taryn Stewart, and Ali Rizvi, the owner of a separate physician home visit company – pleaded guilty to various offenses prior to trial. Dr. Aziz has been sentenced to probation, and the remaining defendants are facing between two and 14 years in federal prison.
The Federal Bureau of Investigation’s Dallas Field Office, the U.S. Department of Health & Human Services Office of Inspector General (HHS-OIG), and the Texas Attorney General’s Medicaid Fraud Control Unit conducted the investigation. Assistant U.S. Attorneys Donna Strittmatter Max, Marty Basu, and Chad Meacham are prosecuting the case with Assistant U.S. Attorneys Stephen Gilstrap, Gail Hayworth, and Brian McKay. Chief U.S. District Judge Barbara M.G. Lynn presided over the trial.
Three people charged for hostage taking of foreign nationals in ChaparralRead the Press Release
ALBUQUERQUE, N.M. – Ricardo Arce, Vicki Sowell and Jonathan Gonzalez have been charged in federal court with hostage taking.
Arce, 40, of Chaparral, New Mexico, and Sowell, 35, of El Paso, Texas, were arrested on April 28. Sowell was charged in court and ordered detained on May 5. Arce was charged in court and ordered detained on May 7. Both will remain detained pending trial. Gonzales, 34, of Chaparral, was arrested on May 12 and made a first appearance in court on May 21. A detention hearing for Gonzalez is scheduled for May 26.
The defendants allegedly participated in an alien smuggling organization that held victims hostage for money and assaulted the victims.
According to a criminal complaint, on April 4 a citizen of the country of Georgia entered the United States from Juarez, Mexico, into El Paso. The victim later met people who allegedly were a part of an alien smuggling organization and paid them to transport him to New York where his family lives. They allegedly transported the victim to an unknown location and would not allow him to leave. They allegedly assaulted the victim by punching, kicking and hitting him and threatened that unless they received more money they would kill him. After the victim provided contact information for his family in Georgia, the defendants allegedly sent videos of the victim being assaulted and told the family that they would continue to harm or kill the victim if they did not pay.
On approximately April 25, the family contacted law enforcement in Georgia, who then contacted the FBI. On April 27, law enforcement recovered the victim at a barbershop in the El Paso area.
On approximately April 13, a citizen of Honduras entered the United States from Juarez. On approximately April 14, this second victim was taken to a trailer where approximately 14 other individuals allegedly were held. The victim was then taken to another trailer and later to a house where he encountered the victim from Georgia. The defendants allegedly assaulted the second victim multiple times on video and threatened his life if he did not pay them. On approximately April 17, the defendants allegedly contacted the victim’s family in Dallas, Texas, and demanded money for the victim’s release. On April 27, law enforcement recovered the victim at a pizza restaurant in the El Paso area.
“Anyone targeting and seeking to extort money from individuals who illegally cross the United States’ border should take heed that our office will vigorously prosecute all manner of violence and threats of violence,” said Acting U.S. Attorney for the District of New Mexico Fred J. Federici.
“Those who seek to exploit and prey upon the vulnerable will be held accountable for these heinous crimes,” said Acting Special Agent in Charge for FBI El Paso Jeffrey L. Coburn. “I want to thank our FBI El Paso Violent Crime squad, FBI SWAT, our local law enforcement partners, and victim services for their help and support. It takes incredibly special people willing to put his or her life on the line to hold these violent criminals accountable for the emotional and physical harm they caused the victims and their families. And to do this day after day is the true definition of being a public servant.”
A complaint is only an allegation. Defendants are presumed innocent unless and until proven guilty. If convicted, the defendants face up to life in prison.
The FBI El Paso Field Office investigated this case with assistance from the FBI Las Cruces Resident Agency, El Paso Police Department, Las Cruces Police Department, Otero County Sheriff's Office, Doña Ana County Sheriff's Office, U.S. Border Patrol El Paso Sector and Border Patrol El Paso Sector Special Operations Detachment BORTAC. Assistant U.S. Attorneys Matthew Ramirez, Luis Martinez and Rachel Feuerhammer are prosecuting the case.
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Third Defendant Sentenced to Almost 19 Years in Fentanyl Overdose Death of Longtime Rugby PlayerRead the Press Release
Assistant U. S. Attorney Larry Casper (619) 546-6734
NEWS RELEASE SUMMARY – May 24, 2021
SAN DIEGO – Andrew Samuel Daniel Gossai was sentenced in federal court today to 226 months in prison for supplying the fentanyl that led to the fatal overdose of 45-year old Derrick Hotchkiss, a longtime rugby player for the San Diego Old Aztecs Rugby Football Club.
Gossai, the last of three defendants to plead guilty in the case, admitted to distributing the fentanyl that caused the death and to selling in excess of 400 grams of fentanyl.
At today’s sentencing hearing, U.S. District Judge Anthony J. Battaglia noted the “severe costs the crime has brought to the community” and that the defendant was “up the chain of distribution and had a long history of selling drugs.” The defendant was “clearly aware of the risks” posed by fentanyl yet continued distributing the drug.
Gossai, who has a history of drug sales convictions dating back more than a decade, sold fentanyl despite recognizing the dangers associated with the drug. Upon his arrest, Gossai admitted to law enforcement that, despite his sales of fentanyl, he was “scared” by the drug. Upon executing a search warrant at Gossai’s residence, law enforcement seized fentanyl in powdered and pill form; a digital scale with powdered residue; drug paraphernalia; and other illicit narcotics.
“Fentanyl continues to plague our community, and tragic deaths such as that of Derrick Hotchkiss are increasing exponentially,” said Acting U.S. Attorney Randy S. Grossman. “We will continue to work with our law enforcement and community outreach partners to reverse this terrible trend.”
“Justice has finally been served in the death of Derrick Hotchkiss due of the hard work of the men and women on DEA's NTF Team 10 and our law enforcement partners,” said DEA Special Agent in Charge John W. Callery. “This case is a stark reminder to people selling drugs: If the drugs you sell cause someone to die, we will bring you to justice.”
Previously, defendants Christopher Emison and Jeffrey Alden Blair were also sentenced in connection with Hotchkiss’ death to 168 and 188 months in custody respectively. According to the government’s sentencing papers, Gossai sold the fatal dose of fentanyl to Blair who made the purchase for both Emison and himself. In turn, Emison sold the fatal dose directly to Hotchkiss shortly before his overdose death.
Acting U.S. Attorney Grossman praised prosecutor Larry Casper as well as the agents from Narcotics Task Force Team 10, a multi-agency team housed by DEA that was created in July 2018 to address drug overdose deaths in San Diego, for their efforts on these cases.
For those who suffer from addiction, please know there is help. Call the Crisis line at 888-724-7240; it’s always open.
DEFENDANTS
Case Number 19cr3253-AJB
Andrew Samuel Daniel Gossai Age: 33 San Diego, California
Case Number 19cr3252-AJB
Jeffrey Alden Blair Age: 34 San Diego, California
Christopher Glenn Emison Age: 33 El Cajon, California
SUMMARY OF CHARGES
Andrew Samuel Daniel Gossai and Jeffrey Alden Blair:
Distribution of Fentanyl – Title 21 U.S.C. Section 841(a)(1) and (b)(1)(C)
Maximum Penalties – Mandatory minimum of 10 years, and maximum of life in prison and $10 million fine.
Christopher Glenn Emison
Sentenced to 168-months on Distribution of Fentanyl – Title 21 U.S.C. Section 841(a)(1) and (b)(1)(C) with maximum penalties – mandatory minimum of five years and maximum of 40 years in prison and $5 million fine.
INVESTIGATING AGENCIES
Drug Enforcement Administration
Federal Bureau of Investigation
Department of Homeland Security
California Department of Healthcare Services
San Diego Police Department
(The above-listed agencies are represented on DEA NTF Team 10)
Texas Man Pleads Guilty to Conspiring to Commit Wire FraudRead the Press Release
PORTLAND, Maine: A Texas man pleaded guilty in federal court today to conspiring to commit wire fraud, Acting U.S. Attorney Donald E. Clark announced.
According to court records, in 2017 and 2018, Russell Hearld, 45, of Katy, Texas, participated in a scheme to defraud involving investments in Standby Letters of Credit (SBLCs). Investors were promised that they could receive a portion of the value of an SBLC, worth millions of dollars, for a much smaller initial investment. Investors were promised returns equal to many times the amounts of their initial investments in a matter of weeks. They were also promised that their money would remain in the attorney trust account of a co-conspirator—who at the time was a licensed attorney in Florida—until confirmation was received that the SBLC had been issued.
Contrary to these representations, Hearld routinely directed the co-conspirator attorney to withdraw investor funds as soon as they were deposited into the attorney’s trust account. For example, in March 2017, an investor wired $500,000 from his bank account in Maine to the attorney’s trust account in Florida. On the previous day, Hearld had sent the attorney an email, directing the attorney to disburse the investor’s funds. At Hearld’s direction, the attorney wired $200,000 to Hearld’s bank account; $150,000 to the account of the attorney’s law firm; $100,000 to the account of another co-conspirator; and $40,000 to the attorney’s personal account.
Hearld faces up to 20 years in prison and a fine of up to $250,000. He also faces up to three years of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The FBI investigated the case.
St. Louis man pleads guilty to carjacking and gun brandishing chargesRead the Press Release
ST. LOUIS – Lorenzo Young, 21, of St. Louis, Missouri, pleaded guilty to one count of carjacking and one count of brandishing a firearm in furtherance of a crime of violence. Young appeared, today, before United States District Court Judge John A. Ross.
On June 7, 2020, Young and a co-defendant approached a victim in the 7300 block of Hazelcrest in St. Louis County to take a 2013 Chrysler 200 at gunpoint from that victim. Young was armed with a loaded Charter Arms .38 caliber firearm as he and the co-defendant approached the victim. Young brandished the firearm and demanded the victim’s car keys. The victim complied with the demand. Young and the co-defendant entered the Chrysler and drove away.
The victim called Hazelwood Police to report the carjacking. As the victim talked with police at the scene, the victim observed the stolen Chrysler drive past the 7300 block of Hazelcrest and the victim alerted police. Officers from multiple jurisdictions pursued the stolen Chrysler at high speeds for approximately 10 miles. Young was driving the stolen Chrysler.
Young crashed the vehicle while fleeing police near the intersection of New Halls Ferry and Riverview in the City of St. Louis. Officers took Young and his co-defendant into custody, and recovered the firearm used in the carjacking.
Judge Ross has set Lorenzo Young’s sentencing for August 25, 2021.
Young’s co-defendant is awaiting trial and is presumed innocent of the charges.
The Hazelwood Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives are investigating the case.
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Seattle man convicted of drug and gun crimesRead the Press Release
Seattle – A 51-year-old Seattle man was convicted late Friday, May 21, in U.S. District Court in Seattle of drug and gun crimes following a five-day jury trial, announced Acting United States Attorney Tessa M. Gorman. The conviction of Clyde McKnight resulted from a 6-month investigation in 2017 by the Seattle Police Department and Drug Enforcement Administration, of significant drug trafficking in Seattle’s Pioneer Square neighborhood. The jury deliberated for a day before finding him guilty of Possession of Controlled Substances with Intent to Distribute. U.S. District Judge Thomas S. Zilly scheduled sentencing for McKnight for August 26, 2021.
According to records filed in the case and testimony at trial, Clyde McKnight was arrested outside a Portland, Oregon motel in January 2018. The arrest followed the seizure of 2.6 kilos of cocaine, 1.5 kilos of heroin, 607 grams of crack cocaine, 42 grams of methamphetamine and 180 grams of fentanyl from McKnight’s vehicle in Seattle. At the time of his arrest, MCKNIGHT had $39,000 and a handgun with him.
McKnight had been observed by law enforcement using a Chrysler 300 sedan as a storage location for drugs – crack cocaine, powder cocaine, heroin, and fentanyl. McKnight parked the vehicle in various locations in the Mount Baker neighborhood. On the night of January 2, 2018, the Seattle Police Department impounded the car and obtained a search warrant. In the early morning of January 3, 2018, McKnight made numerous panicked calls to 9-1-1 to report the vehicle stolen. Ultimately, he was informed the vehicle had been impounded and was in the police evidence yard. McKnight immediately tried to flee the state, traveling to Portland, Oregon where he was arrested.
A search of McKnight’s apartment in downtown Seattle turned up another firearm – a loaded Glock. McKnight is prohibited from possessing firearms due to prior convictions – including one for attempted murder. The jury reached separate verdicts following the drug conviction, finding that McKnight was also guilty of being a felon in possession of the two firearms.
Four other conspirators were charged, convicted, and sentenced as part of the case:
Patrick Tables, 56, was sentenced to 10 years in prison.
Jonathon Rushing, 42, was sentenced to 8 and a half years in prison.
Michael Turner, 52, was sentenced to 5 years in prison
Marvin Traylor, 52, was sentenced to one year in prison.
After multiple requests by the defendant for delays in the trial, McKnight’s trial was scheduled for April 2020. The pandemic closure of the U.S. District Courthouse to in-person appearances delayed the trial further. The case was the first one scheduled for trial as the courthouse returned to limited jury trials.
This was an Organized Crime and Drug Enforcement Task Force (OCDETF) investigation, providing supplemental federal funding to the federal and state agencies involved.
The case was investigated by the Seattle Police Department and the Drug Enforcement Administration (DEA) with assistance from the Port of Seattle Police Department and the FBI crime lab at Quantico, VA.
The case is being prosecuted by Assistant United States Attorneys Vince Lombardi and Casey Conzatti.
Russian Hacker Sentenced to 30 Months for Running a Website Selling Stolen, Counterfeit and Hacked AccountsRead the Press Release
Assistant U. S. Attorney Alexandra F. Foster (619) 546-6735
NEWS RELEASE SUMMARY – May 24, 2021
SAN DIEGO – Kirill Victorovich Firsov, a Russian citizen, was sentenced to 30 months in custody for his role as the administrator of a website that catered to cyber criminals by virtually selling items such as stolen credit card information, other personal information and services to be used for criminal activity.
The now-defunct online platform DEER.IO started operations as of at least October 2013, and, as of Firsov’s arrest in March 2020, the platform hosted approximately 3,000 active shops with sales exceeding $17 million. Although Firsov maintained that the bulk of the sales on DEER.IO were Russian accounts, the parties agreed that the government could show that shop owners on the DEER.IO platform sold at least $1.2 million in U.S.-based stolen information, to include the gamer accounts identified in the plea agreement.
At sentencing, the prosecutor noted that Firsov built the DEER.IO platform in 2013 and maintained it for almost seven years. Further, the prosecutor asserted that Firsov knew DEER.IO was selling stolen and counterfeit accounts, because he built the platform, which included a number of icons for U.S.-based companies that anyone setting up a store on DEER.IO could click on to then sell stolen accounts from those U.S. companies. Also, DEER.IO was easily searchable, so anyone --including Firsov-- could search the platform for stolen U.S. accounts and information. Even though it sold stolen accounts, DEER.IO was not cloaked in secrecy and required no special password for access, because everything was run out of Russia, and American law enforcement could gain no foothold.
DEER.IO sold not only stolen accounts, like the gamer accounts identified in the plea agreement, but also Americans’ personal information, to include names, current addresses, telephone numbers and at times Social Security numbers. On March 4, 2020, the FBI purchased 1,100 gamer accounts, and on March 5, 2020, the FBI purchased the personal information for over 3,600 Americans. On March 7, 2020, Firsov was arrested by the FBI in New York City when he flew into JFK Airport from Moscow.
In sentencing Firsov to 30 months, U.S. District Judge Cynthia Bashant acknowledged that he had been incarcerated in the United States for 15 months, while the COVID-19 pandemic swept the world and, very specifically, the American jail system. She also recognized that Firsov had been incarcerated in the United States, far from his support system of family and friends in Russia. Finally, she noted that once released, Firsov would likely be incarcerated as he underwent deportation proceedings back to Russia. Nonetheless, she noted that without Firsov’s involvement, there would be no DEER.IO, and that facilitated the sale of stolen property on a large scale. Balancing these factors, Judge Bashant sentenced Firsov to 30 months.
“This platform provided cybercriminals with easy access to the personal accounts and information of people around the world, including Americans,” said Acting U.S. Attorney Randy Grossman. “Stopping that flow of stolen information to criminals is critical to addressing the cybercrime threats facing our country, and we will prosecute those who are responsible.” Grossman commended the excellent work of Assistant U.S. Attorney Alexandra F. Foster and the FBI agents on this case.
“The FBI will pursue cyber-criminals across the globe,” said FBI Special Agent in Charge Suzanne Turner. “Today’s sentence sends a message – conducting criminal activity from outside the United States does not mean you are out of reach. The FBI will identify and pursue criminal actors in the cyber-sphere, regardless of where they operate, and work to bring them to justice in a United States court.”
If victimized in a cyber security incident, the FBI encourages companies to immediately contact the FBI. Specialized cyber agents will work with companies to protect company information and the personal data of its customers. Please contact the FBI San Diego's cyber program by calling our field office at (858) 320-1800 or submitting tips at Internet Crime Complaint Center (IC3).
DEFENDANT Case Number 20cr1182-BAS
Kirill Victorovich Firsov Age: 30 Moscow, Russia
SUMMARY OF CHARGE
Unauthorized Solicitation of Access Devices (18 U.S.C. § 1029(a)(6))
Maximum Penalty: Ten years in prison, $250,000 fine.
INVESTIGATING AGENCY
FBI
Rosebud Woman Sentenced for Involuntary Manslaughter and PerjuryRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Rosebud, South Dakota, woman convicted of Involuntary Manslaughter and Perjury was sentenced on May 17, 2021, by Chief Judge Roberto A. Lange, U.S. District Court.
Kaylee Spotted Elk, age 29, was sentenced to 36 months in federal prison, followed by three years of supervised release, and a $200 special assessment to the Federal Crime Victims Fund.
Spotted Elk was indicted by a federal grand jury on March 2, 2020, for Involuntary Manslaughter and on June 16, 2020, for Perjury. She pleaded guilty to both charges on March 1, 2021.
On January 12, 2020, in Todd County, South Dakota, Spotted Elk killed a man while operating a motor vehicle under the influence of methamphetamine.
On November 6, 2019, Spotted Elk knowingly lied about a material fact at a federal jury trial in Pierre, South Dakota, while she was under oath and sworn to tell the truth.
The investigations were conducted by the Rosebud Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorneys Kirk W. Albertson and Cameron J. Cook prosecuted the cases.
Spotted Elk was immediately remanded to the custody of the U.S. Marshals Service.
Rosebud Man Sentenced for Assaulting Federal OfficerRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Rosebud, South Dakota, man convicted of Assaulting, Resisting, and Impeding a Federal Officer was sentenced on May 17, 2021, by Chief Judge Roberto A. Lange, U.S. District Court.
Adam Moran, a/k/a Cante Moran, age 27, was sentenced to 21 months in federal prison, followed by 3 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Moran was indicted by a federal grand jury on September 9, 2020. He pled guilty on March 1, 2021.
The conviction stemmed from an incident that occurred on the evening of May 19, 2020, in Todd County, South Dakota. On that date, Rosebud Sioux Tribe Law Enforcement Services (RSTLES) responded to a call for service in Rosebud indicating that Moran had taken a vehicle without permission. RSTLES officers located the vehicle a short time later and attempted to initiate a traffic stop. Moran refused to stop, however, and led officers on a high-speed pursuit from Rosebud to Mission, South Dakota, during which he forced multiple RSTLES vehicles off the road. Moran ran his vehicle off the roadway near Mission and exited the vehicle. When officers approached him, he physically confronted one of the officers before being placed under arrest and taken into custody.
This case was investigated by the RSTLES. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Moran was immediately turned over to the custody of the U.S. Marshals Service.
Rosebud Man Indicted for Failure to Register as a Sex OffenderRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Failure to Register as a Sex Offender.
Jason Kimmel, Sr., age 39, was indicted on April 13, 2021. He appeared before U.S. Magistrate Judge Mark A. Moreno on May 18, 2021, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, five years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
Kimmel was convicted of Sexual Abuse of a Minor in 2005. As a result of this conviction, he is required to register as a sex offender. It is alleged that between February 10, 2021, and April 1, 2021, Kimmel, a person required to register under the Sex Offender Registration and Notification Act, and a sex offender by reason of conviction under Federal Law, failed to properly register as a sex offender and update his registration.
The charge is merely an accusation and Kimmel is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Marshals Service. Assistant U.S. Attorney Troy R. Morley is prosecuting the case.
Kimmel was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Robbery spree earns convicted felon decades in federal prisonRead the Press Release
SAVANNAH, GA – A previously convicted felon whose crime spree ended when he was shot by a store employee will spend nearly four decades in federal prison for a string of armed robberies and carjackings across Georgia and South Carolina.
Demetrius Lamar Jackson, a/k/a “Meechy,” 31, of Savannah, was sentenced today (Monday, May 24) to 444 months in prison after pleading guilty to Discharging and Brandishing a Firearm During and in Relation to Crimes of Violence; Carjacking and Attempted Carjacking; Interference with Commerce by Robbery; and Conspiracy to Use and Carry Firearms During Crimes of Violence, said David H. Estes, Acting U.S. Attorney for the Southern District of Georgia. U.S. District Judge Lisa Godbey Wood also ordered Jackson to pay restitution to nine victims in the case, and to serve five years of supervised release after completion of his prison sentence.
There is no parole in the federal system.
“Meechy Jackson is the epitome of a violent, armed criminal, and providence prevented his stolen gun from firing when he attempted to shoot his final victim,” said Acting U.S. Attorney Estes. “The legal gun owner then used his own weapon to defend himself, bringing an end to Jackson’s crime spree. He’ll have a long prison term to contemplate his errors – and to be thankful that he’s still alive.”
During sentencing, Jackson repeatedly disrupted the proceedings and was restrained by members of the U.S. Marshals Service after he lunged toward the prosecutors’ table.
According to court statements and filings, in November 2018, Jackson perpetrated a two-and-a-half-week crime spree across Georgia and South Carolina, including:
- Nov. 6, 2018: Jackson robbed an employee of a Boost Mobile store in Savannah at gunpoint while the employee was transporting cash for the store. Jackson shot the store manager in the abdomen when she came to assist, and fled the scene in a car driven by his accomplice, Nautica Morgan, 23, of Savannah.
- Nov. 12: Jackson approached a young couple who was washing a Nissan sedan at a midtown Savannah carwash. Jackson pointed a gun at them and twice pulled the trigger, but the gun malfunctioned. Jackson then sped away in the victims’ car.
- Nov. 13: Jackson robbed a Valdosta, Ga., Boost Mobile employee and his girlfriend at gunpoint. The getaway car was the one stolen at the Savannah car wash.
- Nov. 19: Morgan attempted to steal merchandise from a beauty store in Augusta, Ga. When the store manager followed Morgan, Jackson pointed a gun at the manager. Jackson and Morgan later carjacked a vehicle at gunpoint from a woman at a nearby CVS. Later that day, at a Walgreens pharmacy in Conyers, Ga., Jackson held a man at gunpoint and attempted to steal his car, then stole a purse.
- Nov. 20: Jackson robbed a Boost Mobile store in East Point, Ga. Armed with a pistol, Jackson ordered the store’s employees to empty the cash register and safe. He then demanded the employees kneel on the floor of a back room and surrender a key to the store and their personal cell phones, debit cards, and cash before he fled.
- Nov. 21: Jackson carjacked a 73-year-old woman in Athens, Ga., while she was vacuuming her SUV. Jackson threatened to shoot her and then pistol-whipped her in the head. Later that same day, Jackson walked into a Boost Mobile store in Aiken, S.C., pulled out a gun and demanded money. Before he left with the store’s cash, Jackson seized an employee’s cellphone and smashed it.
- Nov. 23: Jackson attempted to rob a Boost Mobile store in Columbia, S.C., and his pistol jammed when he tried to shoot a store employee. The employee produced his own legal firearm and shot Jackson, and Morgan then drove Jackson to a hospital emergency room in a Chevrolet Tahoe that the two of them had carjacked in Georgetown, S.C., a few hours earlier.
Jackson and Morgan were both arrested shortly after the Columbia shooting, and a search of the Tahoe revealed bloody clothes, the stolen .22 caliber pistol used in the crimes, and numerous stolen items.
Jackson’s charges stem from two separate indictments brought by grand juries sitting in the Northern and Southern Districts of Georgia. The Northern District’s indictment was transferred to the Southern District. The U.S. Attorney’s Offices in the Middle District of Georgia and District of South Carolina were important in bringing these cases to resolution.
For her role in the crime spree, Morgan was sentenced in February 2020 in the District of South Carolina to 144 months in prison followed by three years of supervised release after pleading guilty to Conspiracy to Use and Carry a Firearm During Crimes of Violence, and Brandishing a Firearm During a Crime of Violence.
“Quick, effective collaboration between state and federal law enforcement officers and prosecutors throughout Georgia and South Carolina has brought Demetrius Jackson to justice,” said Kurt R. Erskine, Acting U.S. Attorney for the Northern District of Georgia. “This office is fully committed to tackling violent crime and protecting the community from violent criminals.”
“Jackson brutally inflicted a reign of terror against innocent victims across two states,” said Acting U.S. Attorney Peter D. Leary for the Middle District of Georgia. “His lengthy prison sentence is a deserving result, and our communities will be safer with him behind bars.”
“Jackson terrorized innocent victims in two states in a crime spree that lasted more than two weeks, leaving those victims with emotional and physical scars for life,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “This sentence won’t wipe away those scars, but thanks to an alert citizen and our many law enforcement partners, they won’t have to worry about him hurting anyone else for a long time.”
“This case is the product of a concerted collaborative effort on the part of ATF and its local partners to investigate and eliminate the perpetrators of violent crime,” said Beau Kolodka, Assistant Special Agent in Charge of the Atlanta Division of the ATF. “These sentences will ensure the incarceration of dangerous criminals and contribute to the restoration of order and peace in the Southern District of Georgia.”
This case was investigated by the FBI, the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Savannah Police Department, the Richland County (S.C.) Sheriff’s Department, the Valdosta Police Department, the Richmond County Sheriff’s Office, the East Point Police Department, the City of Conyers Police Department, the Aiken (S.C.) Department of Public Safety, the Athens-Clarke County Police Department, and the Georgetown (S.C.) City Police Department.
Assistant U.S. Attorneys for the Southern District of Georgia and Theodore S. Hertzberg of the Northern District of Georgia prosecuted Jackson’s cases for the United States.
Registered Sex Offender from California Going to Prison for More Than 12 Years for Enticement of A MinorRead 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 Carlos Francisco Lopez, 32, of Los Angeles, CA, who was convicted of enticement of a minor to engage in sexual activity and attempting to transport a minor across state lines to engage in sexual activity, was sentenced to serve 147 months in prison and 15 years supervised release by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Aaron J. Mango, who handled the case, stated that on January 16, 2018, the City of Tonawanda Police Department received a request to conduct a welfare check on a 15 year old girl (victim) who was reported to have run away from home and gotten on a bus. Police officers located the bus in Tonawanda, stopped it, and located the victim who was a passenger. The victim told officers she was running away from home and intended to travel to California to visit family, claiming that her uncle purchased the bus ticket for her.
Subsequent interviews revealed that the victim met an unknown individual, with the username “playfulchaos,” on the internet application Kik in a group for runaway youth. In addition to discussing the victim running away, the two also discussed having sex. According to the victim, the two continued to communicate on the internet application Text Free, making plans for the victim to travel to California.
On January 18, 2018, an undercover law enforcement (UC) officer posed as the victim to continue to communicate with Lopez. The UC wrote, “hey u there... this bus ride sucks.” The UC stated she was due into California around 10:00 pm on January 19, 2018, and asked what to do upon arrival. The defendant replied, “call me or text me. Wait at the station, and ill send an uber.” Lopez was arrested after the UC sent a message that the bus had arrived and the defendant ordered an Uber.
In 2011 and 2012, Lopez was convicted of sexual offenses against minor children in the State of California. He is a registered sex offender. The defendant was released from prison in 2016 and is an active parolee.
The sentencing is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the Cheektowaga Police Department, under the direction of Chief Michael Sliwinski; and the City of Tonawanda Police Department, under the direction of Chief William Strassburg.
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Pilot of Boat that Capsized 7.5 Miles West of Mission Bay Sentenced in Drug and Human Smuggling EventRead the Press Release
Assistant U. S. Attorney Charlotte E. Kaiser (619) 546-7282
NEWS RELEASE SUMMARY – May 24, 2021
SAN DIEGO – The pilot of a boat that capsized during a drug and human smuggling event was sentenced in federal court today to 50 months in custody.
Henrry Javier Garcia Valle pleaded guilty in September 2020 to Possession of Methamphetamine with Intent to Distribute on Board a Vessel, in violation of Title 46, United States Code, Section 70502(a)(1).
At the hearing, U.S. District Judge John Houston admonished the defendant: “Tell the other fishermen – ‘Don’t do it.’ . . . You are placing everyone in danger. The smugglers don’t care. Tell your friends don’t do this.”
“Maritime drug and human smugglers repeatedly engage in dangerous tactics to avoid law enforcement,” said Acting U.S. Attorney Randy Grossman. “In this event, 14 individuals including the defendant almost lost their lives due to the defendant’s conduct. We will continue to hold accountable those who engage in these dangerous tactics.” Grossman praised Assistant U.S. Attorney Charlotte Kaiser and law enforcement partners for their excellent work on this case.
“We’re encountering more smugglers who attempt to avoid detection by navigating their ill-equipped vessels farther out to sea,” said Cardell T. Morant, Special Agent in Charge of Homeland Security Investigations (HSI). “It cannot be overstated—dangerous smuggling operations like these could potentially result in lives lost at sea.”
“Smuggling attempts like these oftentimes lead to tragic consequences, which fortunately were avoided this time,” said Rear Adm. Brian Penoyer, Eleventh Coast Guard District commander. “Today, justice has been served, and the Coast Guard will continue to work with our maritime partners to bring these criminals to justice.”
According to the government’s sentencing memorandum, on July 25, 2020 at 11 p.m., air interdiction agents spotted a vessel using no navigational lights headed towards the United States from Mexico. At approximately 3:58 a.m. on July 26, 2020, the U.S Coast Guard attempted to interdict the vessel containing 14 individuals, who later were determined to be non-citizens without legal status to be in the United States. The location was approximately 7.5 miles west of Mission Bay. Reports from law enforcement and information from fellow defendants indicated that the defendant gave chase for several minutes and then the boat stopped. At that point, law enforcement saw certain individuals toss bags from the boat. Three of the bags subsequently were recovered and contained approximately 37.2 kilograms of methamphetamine. On further testing, the amount came to 35 kilograms of actual methamphetamine, and was deemed 100 percent pure.
At the time the boat stopped, it began to take on water. The occupants shifted and the boat began to capsize. U.S. Coast Guard officials were able to rescue all 14 occupants including defendant and three co-defendants identified as crew members. Two of those other codefendants – Faustino Dominguez Padilla and Ivan Ramirez Guzman - pleaded guilty to human smuggling and were sentenced to approximately 7.5 and 10 months in custody, respectively. Another co-defendant – Joel Lopez Burgos – pleaded guilty to the same charge as defendant and will be sentenced in June 2021.
As part of his plea agreement, the defendant admitted that he was pilot or captain of the vessel that contained 14 occupants including himself, all of whom lacked lawful status to enter or remain in the United States, as well as the 37.2 kilograms of methamphetamine. The defendant admitted that he conspired to bring the occupants and the drugs into the United States illegally. He further admitted that the boat not only had no navigational lights on during the overnight journey but also that it had engine problems and that none of the defendants was wearing life vests. He additionally recognized that the boat capsized after a pursuit.
DEFENDANTS Case Number 20CR2524-JAH
Henrry Javier Garcia Valle Age: 38 Sinaloa, Mexico
Joel Lopez Burgos Age: 35 Sinaloa, Mexico
Faustino Dominguez-Padilla Age: 37 Jalisco, Mexico
Ivan Ramirez Guzman Age: 27 Sinaloa, Mexico
SUMMARY OF CHARGES
For Defendants Henrry Javier Garcia Valle and Joel Lopez Burgos:
Possession of Methamphetamine with Intent to Distribute on Board a Vessel – Title 46, United States Code, Section 70502(a)(1) – Maximum penalty: Life in prison and $10 million fine.
For Defendants Faustino Dominguez-Padilla and Ivan Ramirez Guzman:
Attempted Bringing in Without Presentation and Aiding and Abetting – Title 8, U.S.C., Section 1324(a)(2)(B)(iii) and Title 18, United States Code, Section 2
Maximum penalty: Five years in prison, and $250,000 fine.
AGENCIES
Homeland Security Investigations
U.S. Border Patrol
U.S. Coast Guard
Owner of third cockfighting venue admits participation in illegal animal fighting operationRead the Press Release
STATESBORO, GA: An Emanuel County man has admitted operating an animal fighting venture, representing the third owner of a cockfighting operation in the Southern District to enter a guilty plea to federal charges.
Wendell Allan Strickland, 67, of Swainsboro, Ga., pled guilty in U.S. District Court to two counts of Sponsoring and Exhibiting an Animal in an Animal Fighting Venture; two counts of Conducting an Illegal Gambling Business; and one count of Possession and Transport of an Animal in an Animal Fighting Venture, all felonies; and one misdemeanor charge of Attending an Animal Fighting Venture, said Acting U.S. Attorney David H. Estes. In addition to forfeiture of the property on which illegal cockfights were held, Strickland faces a possible statutory penalty of up to five years in prison and significant financial penalties, followed by up to three years of supervised release. There is no parole in the federal system.
“Animal fights are illegal and barbaric, and also are magnets for other criminal activity,” said Acting U.S. Attorney Estes. “With our law enforcement partners, we will continue to shut down these operations and hold the organizers accountable.”
The investigation into animal fighting operations in the Southern District, led by the U.S. Department of Agriculture Office of the Inspector General (USDA-OIG) and in cooperation with multiple federal, state and local law enforcement agencies and the U.S. Attorney’s Office, determined that Strickland operated a cockfighting venue called The Red Barn on his Swainsboro property. Multiple law enforcement agencies raided the site in September 2020, seizing cockfighting gear and arresting Strickland.
Cockfights were held at The Red Barn on alternating weekend schedules with those at Little Sunset, a larger venue in nearby Midville, Ga., owned by William Shannon Scott, 49. Scott was arrested on federal charges as part of Operation Sunrise, a multi-agency raid of a cockfighting tournament at his property in June 2020 in which nearly 200 possible defendants were identified. Scott pled guilty to Sponsoring and Exhibiting an Animal in an Animal Fighting Venture and is awaiting sentencing.
A third cockfighting venue owner, Lanier Augustus Hightower Jr., 65, of Lincolnton, Ga., also pled guilty to Sponsoring and Exhibiting an Animal in an Animal Fighting Venture and is awaiting sentencing. Hightower and more than three dozen other defendants were indicted after a December 2019 raid during a cockfighting tournament on his farm.
Both Scott and Hightower face forfeiture of their farms, along with up to five years in prison, substantial financial penalties, and up to three years of supervised release. Most of the other defendants charged in the cases have been sentenced after entering guilty pleas.
“The gruesome ritual of animal fighting has no place in a civilized society and will not be tolerated,” said Jason Williams, Special Agent in Charge, USDA-OIG. “Our agency has prioritized dismantling animal fighting ventures as we continue to be relentless in our pursuit of those who would take pleasure in inflicting misery and death upon these defenseless creatures.”
The cases are being investigated by the USDA-OIG and prosecuted for the United States by Assistant U.S. Attorneys Alejandro V. Pascual IV and Xavier A. Cunningham, and Special Assistant U.S. Attorneys Jessica Rock and Edwin Caban Jr.
Overbrook Woman Pleads Guilty to Obstructing a Court OrderRead the Press Release
PITTSBURGH, PA - A resident of Pittsburgh, Pennsylvania pleaded guilty in federal court to a charge of obstruction of a court order, Acting United States Attorney Stephen R. Kaufman today.
Janine Lanese, 47, Pittsburgh, PA 15234 pleaded guilty to one count before United States District Judge Cathy Bissoon.
In connection with the guilty plea, the court was advised that Lanese obstructed a court order by lying to law enforcement officers present at her home to effect the lawful arrest of her husband.
Judge Bissoon scheduled sentencing for Sept. 22, 2021 at 2:15 p.m. The law provides for a total sentence of not more than one year in prison, a fine of not more than $100,000.00, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Pending sentencing, the court continued the defendant’s existing bond.
Assistant United States Attorney Barbara K. Doolittle is prosecuting this case on behalf of the government.
The Drug Enforcement Administration - Pittsburgh Division, Bureau of Alcohol, Tobacco, Firearms and Explosives - Pittsburgh Division, and the Pittsburgh Bureau of Police, with assistance from the Drug Enforcement Agency - Santa Rosa, California Division conducted the investigation that led to the prosecution of Lanese.
Oakland Man Pleads Guilty to Destroying Letter BoxesRead the Press Release
BANGOR, Maine: An Oakland man pleaded guilty in federal court today to destruction of letter boxes, Acting U.S. Attorney Donald E. Clark announced.
According to court records, in October 2018, law enforcement officers were called to the Oakland neighborhood of Jonathan Charles Michaud, 43. Investigators found that a fire had been set in the mailbox at a residence there. In addition, handwritten messages had been written on bills addressed to different residences. One of these handwritten messages contained the telephone number of Michaud’s mother, with whom Michaud resided. Investigators learned that several other mailboxes in the neighborhood had also been vandalized. In addition, a handwritten note was found in one mailbox stating, “Jonathan Charles is dead at my home, will find me dead in my room, bye mom and dad.” A state search warrant was obtained for Michaud’s residence, and investigators found evidence linking him to the vandalized mailboxes, including fingerprint and handwriting matches.
Michaud faces up to three years in prison and a fine of up to $250,000. He also faces up to a year of supervised release. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The Bureau of Alcohol, Tobacco, Firearms and Explosives; the Maine Office of State Fire Marshal; and the U.S. Postal Inspection Service investigated the case.
O Departamento de Justiça Entra em Acordo com o Novo Distrito Escolar de Hampshire para Proteger os Alunos Aprendizes de InglêsRead the Press Release
WASHINGTON — hoje, o Departamento de Justiça anunciou um acordo com o Distrito Escolar de Nashua para resolver a investigação do departamento sobre os programas do distrito escolar para seus alunos aprendizes de inglês. A investigação do departamento encontrou falhas generalizadas no fornecimento a esses alunos da instrução e do apoio de que precisam para aprender inglês e participar plenamente da escola. A Divisão de Direitos Civis e o Gabinete do Procurador dos EUA para o Distrito de New Hampshire conduziram a investigação de acordo com a Lei de Oportunidades de Igualdade na Educação de 1974.
“Os distritos escolares devem intensificar e oferecer aos alunos aprendizes de inglês serviços e suportes linguísticos aos quais têm direito de acordo com a lei federal. Este acordo é um lembrete de que os professores não podem proporcionar suporte e serviços sem treinamento e recursos de seu distrito”, disse Pamela S. Karlan, Subprocuradora Geral Adjunta da Divisão de Direitos Civis do Departamento de Justiça. “O Departamento de Justiça aplicará vigorosamente a lei para abrir as portas de oportunidades para todos os alunos das escolas do nosso país. Parabenizamos o Distrito Escolar de Nashua por abrir essas portas para seus alunos de inglês ao celebrar este acordo.”
“Estamos comprometidos em proteger os direitos civis de todos os alunos, incluindo os que estão aprendendo inglês”, disse John J. Farley, Procurador dos EUA para o Distrito de New Hampshire. “Tornamos nossas comunidades melhores quando nossas escolas locais atendem às necessidades de todos os alunos e pais. Este Acordo ajudará a garantir que as escolas de Nashua sejam lugares onde todos os alunos tenham a chance de aprender e crescer, e todos os pais tenham a oportunidade de acompanhar o progresso dos seus filhos.”
O Distrito cooperou em todas as fases da investigação e está empenhado em melhorar as suas práticas por meio deste acordo abrangente. Nos termos do Acordo, o Distrito:
- Identificará alunos aprendizes de inglês e os matriculará nas aulas apropriadas;
- Fornecerá instrução de inglês como segunda língua a todos os alunos aprendizes de inglês, incluindo alunos com deficiência, e garantirá que o Distrito tenha professores certificados suficientes para ensinar inglês como segunda língua;
- Treinará professores de disciplinas acadêmicas básicas como matemática, ciências e estudos sociais sobre como ajudar os alunos aprendizes de inglês a compreender o conteúdo de seus cursos de nível escolar;
- Treinará diretores de escolas sobre como avaliar professores de alunos aprendizes de inglês e apoiará estratégias de ensino eficazes;
- Comunicará informações essenciais relacionadas à escola em um idioma que os pais com proficiência limitada do inglês possam entender para que seus filhos possam acessar todos os programas escolares; e
- Monitorará o progresso dos alunos e avaliará a eficácia de seus programas de aprendizes de inglês ao longo do tempo.
O Departamento de Justiça monitorará a implementação do Acordo pelo Distrito por três anos letivos completos.
A aplicação da Lei de Oportunidades de Igualdade na Educação de 1974 é uma das principais prioridades da Divisão de Direitos Civis do Departamento de Justiça. Informações adicionais sobre a Divisão de Direitos Civis do Departamento de Justiça estão disponíveis no site www.justice.gov/crt, e informações adicionais sobre o trabalho da Seção de Oportunidades Educacionais estão disponíveis em https://www.justice.gov/crt/educational-opportunities-section. Os membros do público podem denunciar possíveis violações dos direitos civis em https://civilrights.justice.gov/report/.
Minnesota Man Sentenced on Firearm ChargeRead the Press Release
Acting United States Attorney Dennis Holmes announced that a Sauk Rapids, Minnesota, man convicted of Possession of a Firearm by a Prohibited Person was sentenced on May 17, 2021, by U.S. District Judge Charles B. Kornmann.
Ron Carlo Carter, age 48, was sentenced to 30 days in custody, followed by 2 years of supervised release, a fine of $5,000, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Carter was indicted by a federal grand jury on September 9, 2020. He pled guilty on November 23, 2020.
The conviction stemmed from an incident that occurred on April 9, 2020. On that date, Carter was stopped for speeding near Mobridge, South Dakota. Carter was found in possession of a loaded 9 mm pistol, and he admitted to being an unlawful user of marijuana and methamphetamine, making it illegal for him to possess firearms. Carter will forfeit ownership of the pistol and ammunition to the United States.
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 its 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 local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
This case was investigated by the Northern Plains Safe Trails Drug Enforcement Task Force, the Bureau of Alcohol, Tobacco Firearms and Explosives, the Bureau of Indian Affairs-Standing Rock Agency, and the Mobridge Police Department. Assistant U.S. Attorney Cameron J. Cook prosecuted the case.
Miamisburg man who solicited more than 170 minors online sentenced to 25 years in prisonRead the Press Release
DAYTON – A Miamisburg man was sentenced in federal court in Dayton today to 300 months in prison for attempting to coerce a minor while registered as a sex offender.
Steven Shawn Smith, 48, pleaded guilty to the crime in January 2021.
According to court documents, Smith created nine online dating profiles with the names “Sammy” and “Shaw.” From April 2020 through October 2020, Smith communicated with an undercover FBI agent posing as a minor online and by text messages. Smith requested nude images from the undercover agent on multiple occasions. The defendant also sent images of his nude genitalia to the undercover agent.
In one communication, when the undercover agent refused to send nude photos, Smith said, “I know that you don’t want to send me those pictures but I was hoping that you would understand just how much it would mean to me and how close it would bring us.”
Court documents detail that Smith discussed meeting with the purported minor to engage in sexually explicit conduct and sent the officer $75 via Cash App so that the purported minor could buy a one-way bus ticket to Ohio. Smith was arrested in October 2020, shortly after sending the money to the undercover agent.
In addition to communicating with the undercover agent, Smith messaged more than 170 other online users who identified themselves as minors. He received sexually explicit images from at least 21 of the purported minors and sent nude images of himself to at least 70 users.
Smith was convicted in 1994 in Athens County Common Pleas Court of one count of rape of a child, and as a result, is required to register as a sex offender.
Vipal J. Patel, Acting United States Attorney for the Southern District of Ohio, and Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence imposed today by U.S. District Judge Michael J. Newman. Assistant Deputy Criminal Chief Laura I. Clemmens and Assistant United States Attorney Rob Painter are representing the United States in this case.
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Massachusetts Man Pleads Guilty to Attempting to Steal Trade Secrets from Nevada Defense CompanyRead the Press Release
RENO, Nev. – A Massachusetts man pleaded guilty today to attempting to steal trade secrets belonging to his employer, a Nevada-based defense contractor.
According to court documents and admissions made in court, Peter James Cariani, 58, of Boston, was employed as a systems engineer by Sierra Nevada Corporation (SNC). On April 7, 2015, without authority to do so, Cariani downloaded tens of thousands of electronic files from SNC’s computer network. The files contained trade secret information related to SNC’s Radar Enhanced Vision System: a unique onboard aircraft radar sensing system that displays digital images of the ground for pilots flying in zero-visibility conditions. Cariani transferred the files to a personal external hard drive, and later transmitted information derived from the files to others for potential economic benefit. When entering his guilty plea, Cariani admitted that he knowingly downloaded trade secret information from SNC’s network and he knew his actions would harm SNC. An investigation was initiated by the FBI’s Reno branch after SNC detected (and reported) that an unauthorized electronic device had been used to download files from its computer network.
“Theft of trade secret information is a federal crime and economically destructive, depriving companies of the fruits of their creativity,” said Acting U.S. Attorney Christopher Chiou for the District of Nevada. “Our office will continue to work closely with the FBI and Nevada businesses to hold accountable anyone trying to steal trade secret information from the innovative companies in our district, and to protect their sensitive business and technical information.”
“This case reminds all of our business partners of the need to be vigilant to prevent the insider threat from robbing them of their success,” said Special Agent in Charge Aaron C. Rouse for the FBI. “The FBI stands ready to protect businesses from those who would profit from stealing trade secrets as this case clearly shows.”
Cariani pleaded guilty to one count of attempted theft of trade secrets. U.S. District Judge Larry R. Hicks scheduled a sentencing hearing for August 31, 2021.
Cariani faces a statutory maximum penalty of 10 years in prison and $250,000 fine.
This case was investigated by the Reno Resident Agency of the Las Vegas Division of the FBI with assistance from the FBI's Boston Field Office. Assistant U.S. Attorneys Steven Myhre and Randolph St. Clair are prosecuting the case.
A private sector entity that is a victim of a cyber incident can receive assistance from government agencies, which are prepared to investigate the incident, mitigate its consequences, and help prevent future incidents. Federal Government agencies work together to leverage their collective response expertise, apply their knowledge of cyber threats, preserve key evidence, and use their combined authorities and capabilities to minimize asset vulnerability and bring malicious actors to justice. Private sector entities are encouraged to report a cyber incident to the FBI at 1-800-CALLFBI (225-5324) or file a complaint with the Internet Crime Complaint Center (IC3) at www.ic3.gov.
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Maryland Woman Pleads Guilty to Defrauding MedicaidRead the Press Release
WASHINGTON – Mahsa Azimirad, 41, of Rockville, Maryland, pled guilty on May 24, 2021, to a federal charge of health care fraud stemming from a scheme where she was paid over $813,000 by defrauding the District of Columbia’s Medicaid program.
The announcement was made by Acting U.S. Attorney Channing D. Phillips; James A. Dawson, Special Agent in Charge, FBI Washington Field Office, Criminal Division; Maureen R. Dixon, Special Agent in Charge of the U.S. Department of Health and Human Services’ Office of Inspector General for the region that includes Washington, D.C.; and Daniel W. Lucas, Inspector General for the District of Columbia.
Azimirad was indicted in January 2019, along with Bilal Ahmed, the dentist who ran the dental practice, on one count of conspiracy to commit health care fraud, one count of health care fraud, and five counts of wire fraud. Azimirad pled guilty to health care fraud, the second count of the indictment, in the U.S. District Court for the District of Columbia. The remaining charges will be dismissed at sentencing. Health care fraud carries a statutory maximum sentence of 10 years in prison and potential financial penalties. Under federal sentencing guidelines, Azimirad faces a likely range of 24 to 30 months in prison and a fine of up to $95,000. The plea agreement also calls for Azimirad to pay $813,184 in restitution and agree to entry of a $813,184 forfeiture money judgment. The Honorable Judge Colleen Kollar-Kotelly scheduled sentencing for October 1, 2021.
According to the statement of offense submitted to the Court and admitted by Azimirad, she was the marketing and operations manager for Universal Smiles, a dental practice, in Northwest, Washington, D.C. Through Universal Smiles, Azimirad and Ahmed, engaged in a scheme to enrich themselves by defrauding D.C. Medicaid, a health care benefits program jointly funded by the federal government and the District of Columbia to provide health care services to residents who meet the income qualifying requirements. As part of the scheme, Ahmed applied to be a Medicaid provider. Once approved to bill Medicaid, Azimirad and Ahmed then billed D.C. Medicaid for thousands of provisional crowns, a significant number of which were not provided to the Medicaid patients. From August 9, 2012, through February 26, 2014, D.C. Medicaid paid Universal Smiles approximately $5.4 million for provisional crowns. Of the $5.4 million that D.C. Medicaid paid for provisional crowns, Azimirad received approximately $813,184.
The FBI, the Department of Health and Human Services’ Office of Inspector General, the District of Columbia’s Office of the Inspector General’s Medicaid Fraud Control Unit, and the U.S. Attorney’s Office are committed to investigating and prosecuting individuals who defraud the D.C. Medicaid program.
The government counts on the public for tips and assistance in helping stop health care fraud. If you have information about individuals committing health care fraud, please call the Department of Health and Human Services’ Office of Inspector General hotline at (800) HHS‑TIPS [(800) 447-8477.
In announcing the plea, Acting U.S. Attorney Phillips, Special Agent in Charge Dawson, Special Agent in Charge Dixon, and Inspector General Lucas commended the work of those who investigated the case from the FBI’s Washington Field Office, the U.S. Department of Health and Human Services Office of Inspector General, and the District of Columbia Office of Inspector General. They also expressed appreciation for the work of Paralegal Specialist Chad Byron and Forensic Financial Analyst Bryan Snitselaar. Finally, they commended the work of Criminal Division Trial Attorney Gary Winters, Assistant U.S. Attorney Melissa Jackson, Assistant U.S. Attorney Emily Miller, and former Assistant U.S. Attorneys Denise A. Simmonds, Michelle Bradford, and Lionel Andre, who prosecuted the case.
Local Man Admits Setting Fire to Pittsburgh Police Vehicle and Interfering with Law Enforcement during May 30, 2020 ProtestRead the Press Release
PITTSBURGH, PA - A resident of Allegheny County pleaded guilty in federal court to charges of conspiring to set fire to property of an organization that receives federal funding and unlawful interference with a law enforcement officer during a civil disorder, Acting United States Attorney Stephen R. Kaufman announced today.
Christopher West, 26, of Pittsburgh, PA 15210 pleaded guilty to two counts before United States District Judge J. Nicholas Ranjan.
In connection with the guilty plea, the court was advised that West attended a protest march held on May 30, 2020, in the downtown Pittsburgh area. The march was related primarily to the death of George Floyd in Minneapolis. The march in Pittsburgh began at approximately 2:30 pm on Liberty Avenue in the downtown area, and eventually finished at approximately 4:30 pm on Centre Avenue near the intersection with Washington Place above the PPG Paints Arena. At that time, many of the participants were agitated, and one of them began vandalizing a marked Pittsburgh Bureau of Police vehicle ("Unit 3212") on Centre Avenue. The crowd was thereby incited to join in vandalizing and destroying that vehicle, and eventually set fire to that vehicle. West and co-defendant Da’Jon Lengyel climbed onto Unit 3212, and then jumped up and down on the roof of the vehicle. West also sat on the roof and attempted to kick out a window of Unit 3212. Shortly thereafter, Lengyel and West, along with two white males who have not yet been identified ("WM1 and WM2") began efforts to set fire to Unit 3212. WM1 attempted to open the hood to the engine compartment but had difficulty with it. He was then joined by WM2 and West. As they were doing this, another vocal member of the crowd, who used a megaphone throughout the destruction of Unit 3212, announced to the crowd that "they are going to light the vehicle." Finally, West was able to disengage the hood’s locking mechanism. The hood of Unit 3212 was lifted, thereby exposing the engine compartment. At that point, WM1 lit a small flame with a lighter and then tossed that lighter inside the engine compartment. However, WM1’s attempt failed, and the engine compartment did not catch fire. A few minutes later, West, Lengyel, WM1 and WM2 placed pieces of cardboard and crumpled paper into Unit 3212’s passenger compartment. WM2 then leaned into the backseat area and ignited the combustible materials that had been placed there. After the fire got going, both Lengyel and WM2 continued to add more paper products to the fire, which eventually spread throughout Unit 3212 and destroyed it.
Da’Jon Lengyel is scheduled to change his plea to guilty on Tuesday, June 1, 2021.
Judge Ranjan scheduled sentencing for October 5, 2021 at 10:00 am The law provides for a total sentence of 10 years in prison, a fine of $500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Pending sentencing, the defendant is being detained.
Assistant United States Attorney Shaun E. Sweeney is prosecuting this case on behalf of the government.
The Pittsburgh Bureau of Police, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, and Firearms conducted the investigation that led to the prosecution of Christopher West.
Lander Woman Sentenced for Making False Accusations of Sexual AssaultRead the Press Release
Acting United States Attorney Bob Murray announced today that RACHAEL MYLA STAGNER, of Lander, Wyoming, age 36 was sentenced in U.S. District Court by Federal District Court Judge Alan B. Johnson. Johnson sentenced her to 21 months of imprisonment. Stagner was indicted on September 16, 2020 and later pled guilty on January 4, 2021 for making false accusations that she was sexually assaulted by a white male on the Wind River Indian Reservation.
Stagner willfully reported being sexually assaulted by a white male suspect on the Wind River Indian Reservation, initiating an investigation by the Federal Bureau of Investigation. Because the alleged crime happened on the Wind River Indian Reservation, the FBI has jurisdiction. During the course of the investigation, Stagner continued with her false allegations in an effort to extort money from the victim.
“The U.S. Attorney’s Office and the FBI take any allegation of sexual assault seriously,” said Acting United States Attorney Bob Murray. “The resources our offices have to investigate and prosecute crimes on the Wind River Indian Reservation are limited, and false reports hinder and delay other investigations. Not to mention how actions like this belittle the crime of sexual assault and those who are true victims,” concluded Murray.
"The FBI and our law enforcement partners take seriously acts of violence and sexual assault targeting our Native American community. False claims of such crimes, in this case meant to extort the alleged perpetrator, result in the diversion of valuable law enforcement and victim service resources away from actual victims," said FBI Denver Special Agent in Charge Michael Schneider. "The FBI thanks our partners at the U.S. Attorney’s Office, Bureau of Indian Affairs - Wind River Police Department, Fremont County Sheriff's Office, and Montana Department of Corrections - Adult Probation & Parole for their work in this matter."
Upon completion of her prison sentence Stagner will serve 36 months of supervised release, and was ordered to pay a $100.00 special assessment. The investigation into this case was conducted by the Bureau of Indian Affairs and the Federal Bureau of Investigation The case was prosecuted by Assistant United States Attorney Kerry Jacobson.
Justice Department Settles with Georgia-Based Staffing Company to Resolve Immigration-Related Discrimination ClaimsRead the Press Release
Note: A full copy of the settlement agreement can be viewed
here.This press release is also available in
Spanish.WASHINGTON – The Department of Justice announced today that it reached a settlement with Pyramid Consulting Inc., an IT staffing company based in Georgia.
The settlement resolves claims that Pyramid Consulting discriminated against a new employee when it rejected his valid employment authorization documentation and requested an unnecessary extra document because he is an asylee, then fired him because he refused to comply with the company’s unlawful request.
“Employers cannot discriminate against employees based on their citizenship or immigration status by restricting the types of valid work authorization documents that employees can present, or by firing them for refusing to comply with illegal document requests,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Justice Department’s Civil Rights Division. “We are pleased that Pyramid Consulting will compensate the charging party for lost wages and work with the Department of Justice to ensure that the company does not impose unlawful discriminatory barriers on employees when verifying their eligibility to work.”
The department’s investigation began after an asylee filed a discrimination complaint with the Civil Rights Division against Pyramid Consulting. Based on its investigation, the department concluded that during the process of verifying his employment eligibility through the Form I-9, Pyramid Consulting rejected the worker’s driver’s license and Social Security card, which are sufficient documentation for the Form I-9. The department also determined that Pyramid Consulting requested that he provide an Employment Authorization Document instead. After the worker refused, and even after he directed Pyramid Consulting to the relevant law prohibiting unfair documentary practices, Pyramid Consulting terminated his employment. Following the department’s initiation of its investigation, Pyramid Consulting rehired the worker, but only after he lost several weeks of pay.
The Immigration and Nationality Act (INA) prohibits employers from requesting more or different documents than necessary to establish eligibility to work based on employees’ citizenship, immigration status or national origin.
Under the terms of the settlement, Pyramid Consulting will pay a civil penalty to the United States of $5,204 and back pay of $13,920 to the worker. It will also revise its policies and procedures, ensure that relevant employees participate in training on the requirements of the INA’s anti-discrimination provision, and be subject to departmental monitoring over the term of the agreement.
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation. Like U.S. citizens and lawful permanent residents, asylees and refugees may have several kinds of valid Form I-9 documents, and employers that request specific documents from them for the Form I-9 may be violating the law that IER enforces.
Learn more about IER’s work and how to get assistance through this brief video. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status, or national origin in hiring, firing, recruitment, or during the employment eligibility verification process (Form I-9 and E-Verify); or subjected to retaliation, may file a charge. The public also may contact IER’s worker hotline at 1-800-255-7688; call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER.
Justice Department Reaches Settlement with New Hampshire School District to Protect English Learner StudentsRead the Press Release
Note: A full copy of the settlement agreement can be viewed
here.This press release is also available in
Spanishand
Portuguese.
WASHINGTON – Today the Justice Department announced a settlement agreement with the Nashua School District to resolve the department’s investigation into the school district’s programs for its English learner students. The department’s investigation found widespread failures to provide these students with the instruction and support they need to learn English and participate fully in school. The Civil Rights Division and the U.S. Attorney’s Office for the District of New Hampshire conducted the investigation under the Equal Educational Opportunities Act of 1974.
“School districts must step up and give English learners the language services and supports they are entitled to under federal law. This agreement is a reminder that teachers cannot deliver those supports and services without training and resources from their district,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Justice Department’s Civil Rights Division. “The Justice Department will vigorously enforce the law to open the doors of opportunity for all students in our nation’s schools. We commend the Nashua School District for opening those doors to its English Learners by entering into this agreement.”
“We are committed to protecting the civil rights of all students, including English language learners,” said Acting U.S. Attorney John J. Farley for the District of New Hampshire. “We make our communities better when our local schools serve the needs of all students and parents. This agreement will help ensure that Nashua schools are places where all students have a chance to learn and grow and all parents have an opportunity to follow their children’s progress.”
The district cooperated at every stage of the investigation and is committed to improving its practices through the comprehensive agreement. Under the agreement, the district will:
- Identify English learners and enroll them in appropriate classes;
- Provide English as a second language instruction to all English learner students, including students with disabilities, and ensure the district has enough teachers certified to teach English as a second language;
- Train teachers of academic core subjects like math, science and social studies on how to help English learner students understand the content in their grade-level courses;
- Train school principals on how to evaluate teachers of English learner students and support effective teaching strategies;
- Communicate essential school-related information in a language that Limited English Proficient parents can understand so their children can access all school programs; and
- Monitor students’ progress and evaluate the effectiveness of its English learner programs over time.
The Justice Department will monitor the district’s implementation of the settlement for three full school years.
The enforcement of the Equal Educational Opportunities Act of 1974 is a top priority of the Department of Justice’s Civil Rights Division. Additional information about the Civil Rights Division of the Justice Department is available on its website at www.justice.gov/crt, and additional information about the work of the Educational Opportunities Section is available here. Members of the public may report possible civil rights violations here.
Jury Convicts Two Men for Series of Armed RobberiesRead the Press Release
LAS VEGAS, Nev. – A federal jury convicted two men on May 21, of committing four armed robberies, including two banks and the same Starbucks coffeehouse twice.
According to court documents and evidence presented at trial, Edwin Arnold Jr., 25, of Las Vegas, and Shamariae Marshon Jones, 25, of Pasadena, Calif., robbed two banks and a Starbucks coffeehouse between December 2016 and January 2017. They stole a total of $14,280. During each robbery, Arnold brandished a handgun at employees, demanding money and threatening to shoot if they did not comply. Jones helped Arnold commit the robberies. On January 26, 2017, the FBI's Criminal Apprehension Team arrested Arnold and Jones when the two drove back to Arnold's residence immediately after committing their latest robbery.
After a five-day jury trial, Arnold and Jones were each found guilty of one count of conspiracy to interfere with commerce by robbery, one count of conspiracy to commit bank robbery, one count of interference with commerce by robbery, two counts of bank robbery, and three counts of brandishing a firearm in a crime of violence. Arnold was found guilty of an additional count of interference with commerce by robbery and of brandishing a firearm in a crime of violence. U.S. District Judge Andrew P. Gordon presided over the jury trial and scheduled sentencing for August 25, 2021. Arnold and Jones each face the statutory maximum penalty of life imprisonment.
Acting U.S. Attorney Christopher Chiou for the District of Nevada and Special Agent in Charge Aaron C. Rouse of the FBI made the announcement.
This case was investigated by the FBI and Las Vegas Metropolitan Police Department. Assistant U.S. Attorneys Allison Reese and Shaheen Torgoley are prosecuting the case.
The case was brought as part of Project Safe Neighborhoods (PSN), a nationwide program by the Department of Justice 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 has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, the Department announced the reinvigoration of PSN. For more information about PSN, visit www.justice.gov/usao-nv.
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