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Wednesday 10 March 2021
New Orleans Attorney Pleads Guilty to Tax Fraud ChargeRead the Press Release
LAFAYETTE, La. - Acting United States Attorney Alexander C. Van Hook announced that Robert Hjortsberg, 38, of New Orleans, Louisiana, pleaded guilty today in United States District Court in New Orleans, to one count of willful failure to file a tax return.
According to documents presented at the guilty plea hearing, Hjortsberg was employed as an attorney at the Jason R. Williams Law Firm in New Orleans, Louisiana in 2017. Hjortsberg and his spouse were required to file an income tax return for the 2017 tax year by October 15, 2018. He failed to file a return by that date even though he knew he was required to do so. Hjortsberg did not file his return for the 2017 tax year until July 28, 2020.
At the guilty plea hearing, Hjortsberg acknowledged and agreed that restitution is due and payable to the Internal Revenue Service in the amount of $31,651. He faces a maximum penalty of not more than 1 year in prison, a $25,000 fine, or both, at sentencing. The sentencing hearing has been set for June 16, 2021.
The Internal Revenue Service and FBI conducted the investigation and Assistant United States Attorneys Kelly P. Uebinger and David J. Ayo are prosecuting the case.
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National Consumer Bankruptcy Law Firm Agrees to Pay More than $300,000 in Relief to Consumers and to a Six-Year Practice Ban in Settlement with U.S. Trustee ProgramRead the Press Release
The Department of Justice’s U.S. Trustee Program (USTP) has entered into a settlement with national consumer bankruptcy law firm Deighan Law LLC, previously known as Law Solutions Chicago and doing business as UpRight Law (UpRight). The settlement is set forth in a consent order entered by the Bankruptcy Court for the District of Montana on March 9 and resolves enforcement actions filed by the USTP over allegations of misconduct relating to UpRight’s representation of Montana consumers as debtors or prospective debtors in bankruptcy cases. As stipulated in the settlement, UpRight has paid or will pay more than $300,000 in monetary relief and will be barred from representing bankruptcy clients in Montana for six years.
As a result of dozens of USTP actions filed since 2016, UpRight has paid or been ordered to pay almost $900,000 in monetary relief, including returning fees to over 500 impacted consumers and paying court-ordered sanctions, attorney’s fees, and costs. Additionally, bankruptcy courts have imposed practice bans against UpRight in at least four jurisdictions.
“Lawyers who misrepresent their services to vulnerable clients and fail to perform as promised harm debtors, creditors, and the integrity of the bankruptcy system,” said USTP Director Cliff White. “This settlement shows that the USTP will continue to hold accountable attorneys who fail to adequately and honestly represent their clients.”
In the current matter, the USTP alleged that UpRight engaged in misconduct and misrepresentations impacting hundreds of Montana consumers, which came to light due to investigations by the USTP in two bankruptcy cases. In one case, UpRight substantially delayed filing its client’s bankruptcy case for almost a year after it misrepresented that it had a local attorney who was licensed in Montana available to file the case. UpRight’s delay resulted in a creditor garnishing more than $6,000 of the debtor’s wages. In the other case, UpRight obtained payment of its attorney’s fees by advising the debtors to participate in an improper scheme whereby they surrendered their vehicle to an out-of-state towing company. Another bankruptcy court previously sanctioned UpRight for implementing the towing program—which it used in more than 200 cases across the country—describing it as a “scam from the start,” and the towing company’s owners were indicted for their role in the scheme. UpRight’s advice resulted in the debtors being sued by their automobile lender for conversion of its collateral.
In the settlement, UpRight does not contest the USTP’s allegations that it engaged in misconduct in the course of its dealings with Montana consumers, including misrepresenting that it had a sufficient number of local Montana-licensed attorneys available to provide adequate bankruptcy representation, misrepresenting to clients the scope of legal services to be provided and the cost of those services, failing to timely provide its clients with written retainer agreements that clearly and conspicuously explained the legal services to be provided and the cost of those services, failing to discuss non-bankruptcy alternatives, failing to adequately supervise the firm’s non-attorney staff (some of whom engaged in the unauthorized practice of law), providing erroneous legal advice, and failing to adequately supervise its Montana “partner” attorneys. This misconduct contributed to UpRight’s substantial delay in filing bankruptcy cases for Montana consumers. In addition, UpRight filed bankruptcy cases for only 109 of the 473 Montana clients from whom the firm collected at least a partial fee.
To resolve the USTP’s allegations of misconduct, UpRight has refunded or will refund more than $300,000 in fees paid by Montana consumers for whom UpRight never filed a bankruptcy case. UpRight also agreed to pay a civil penalty of $10,309 and to return all fees, totaling $3,770, to the debtors in the two cases in which the USTP brought its enforcement actions. Additionally, UpRight will be barred from accepting bankruptcy clients or providing bankruptcy services to consumers in Montana, effective July 2, 2018, through July 2, 2024.
While the agreement resolves disputes with the USTP in the two underlying bankruptcy cases, it does not impact the rights of the debtors in those cases or any other parties or government agencies not participating in the settlement, including other Montana consumers, nor does it impact the USTP’s rights to litigate enforcement actions against UpRight in other jurisdictions or to seek redress in other Montana cases. The two underlying cases are captioned In re Dailey, Case No. 15-61088-7 (Bankr. D. Mont.), and In re Emerson, Case No. 16-60056-7 (Bankr. D. Mont.).
The U.S. Trustee Program is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. The Program has 21 regions and 90 field office locations. Learn more information on the Program at: https://www.justice.gov/ust.
Nashua Man Sentenced to 120 Months for Drug Trafficking ConspiracyRead the Press Release
CONCORD - Terray Morrison, 32, of Nashua, was sentenced to 120 months in federal prison for conspiracy to distribute, and possess with intent to distribute, controlled substances, Acting United States Attorney John J. Farley announced today.
According to court documents and statements made in court, Morrison was one of the leaders of a drug trafficking organization that distributed crack cocaine and other drugs to customers in the Nashua area. During an investigation that included the use of wiretaps, Morrison took orders from customers and sent other members of the conspiracy to make drug deliveries on his behalf. He and his co-conspirators operated two stash houses in Nashua and were responsible for the distribution of substantial quantities of crack cocaine.
Morrison is one of eleven individuals charged with participating in this conspiracy. Nine have pleaded guilty and two are awaiting trial. Several members of the conspiracy have received substantial prison sentences. Melvin Nooks, Jr. was sentenced on April 2, 2020, to 120 months. George Cruz was sentenced on July 30, 2020, to 63 months. Mallory Nooks was sentenced on February 25, 2020, to 60 months. Marvin Morrison was sentenced on May 13, 2020, to 15 months. Don Johnson was sentenced on February 13, 2020, to 42 months. Isaiah Kinard pleaded guilty on December 18, 2019, Lawrence Fortenberry pleaded guilty on January 7, 2020, and William Greenleaf pleaded guilty on January 14, 2020. Kinard, Fortenberry and Greenleaf all await sentencing. Arnetta Harris and Melvin Stanford are scheduled for trial in May of 2021.
Morrison previously pleaded guilty on December 1, 2020.
“Drug traffickers threaten our communities when they peddle crack and other dangerous substances,” said Acting U.S. Attorney Farley. “Thanks to the hard work of the FBI and our other law enforcement partners, this significant drug trafficking organization has been dismantled. As this case shows, we will not hesitate to seek substantial prison sentences for the drug dealers whose actions threaten the citizens of the Granite State.”
“Terray Morrison and his crew pushed vast amounts of crack cocaine and other drugs to customers in the Nashua area, in their continuous quest for illegal profits. He endangered the health and safety of those around him, and with today’s sentence he has finally been held accountable,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “This collaborative law enforcement effort has dismantled a large-scale drug trafficking organization that has brought danger to our community for years.”
The case was a collaborative investigation that involved the FBI New Hampshire Safe Streets Gang Task Force; the Nashua Police Department; the New Hampshire State Police; the Manchester Police Department; New Hampshire Probation and Parole; DEA; Massachusetts State Police Department; Portsmouth Police Department and the Federal Protective Service. The United States Marshals Service also assisted in the investigation.
The case is being prosecuted by Assistant U.S. Attorneys Georgiana MacDonald and Anna Krasinski.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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Missoula man accused of Flathead Valley methamphetamine trafficking admits crimesRead the Press Release
MISSOULA — A Missoula man suspected of trafficking large amounts of methamphetamine in the Flathead Valley and of having five pounds of meth at his shop admitted drug crimes on March 9, Acting U.S. Attorney Leif Johnson said.
Leon Paul Kavis, Jr., 36, pleaded guilty to conspiracy to possess with intent to distribute meth and to possession with intent to distribute meth. Kavis faces a mandatory minimum 10 years to life in prison, a $10 million fine and at least five years of supervised release. Kavis was detained pending further proceedings,
U.S. Magistrate Judge Kathleen L. DeSoto presided. Sentencing was set for July 8 before U.S. District Judge Dana L. Christensen. Kavis was detained pending further proceedings.
In court documents filed in the case, the government alleged that Kavis was identified to law enforcement as a source of meth in the Flathead Valley from about November 2019 to November 2020. California authorities also identified Kavis as working with individuals to bring to meth to Montana for distribution.
The government further alleged witnesses would testify that Kavis sold them meth, observed him with pounds of meth, including up to 15 pounds on one occasion, that he always carried a firearm for protection and often had large sums of cash, ranging from $30,000 to $50,000.
The government also alleged that packages were being sent from California to Kavis’ shop in East Missoula. Officers executed a search warrant on one of the packages at the shop and found it contained about five pounds of meth, which is the equivalent of about 18,120 doses. The package was addressed to Kavis’ shop and had Kavis’ number listed.
Kavis contested aspects of the government’s case.
Assistant U.S. Attorney Jennifer Clark is prosecuting the case, which was investigated by the FBI, Missoula Police Department and Flathead County Sheriff’s Office.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. According to the FBI’s Uniform Crime Reports, violent crime in Montana increased by 48% from 2013 to 2019. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Michigan Man Indicted in Western PA for Meth PossessionRead the Press Release
PITTSBURGH - One resident of River Rouge, Michigan, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal narcotics laws, Acting United States Attorney Stephen R. Kaufman announced today.
The one-count Indictment named Martell Agee, 31, as the sole defendant.
According to the Indictment, on or about December 1, 2020, Agee possessed with the intent to distribute 500 grams or more of methamphetamine, a Schedule II controlled substance.
The law provides for a maximum total sentence of not less than ten years to a maximum of life in prison, a fine not to exceed $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 Ira M. Karoll is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Drug Enforcement Administration and Pennsylvania State Police conducted the investigation leading to the Indictment in this case, which was coordinated with the Greene County District Attorney’s Office.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Miami Man Pleads Guilty to Money Laundering Conspiracy in Connection with Nationwide Gas Station Skimming SchemeRead the Press Release
ALBANY, NEW YORK – Yanio Montes De Oca, age 33, of Miami, Florida, pled guilty today to participating in a conspiracy to launder funds derived from a nationwide gas station skimming scheme that involved stealing the banking and personal information of residents of Upstate and Central New York who used the “pay at the pump” feature to make gasoline purchases.
The announcement was made by Acting United States Attorney Antoinette T. Bacon; Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); and Inspector in Charge Joseph Cronin, Boston Division, United States Postal Inspection Service (USPIS).
As part of his guilty plea, De Oca admitted to being a part of a conspiracy that, between December 2015 and July 2019, laundered thousands of gift cards that were obtained using fraudulent debit and credit cards encoded with information stolen using gas station skimming devices. After obtaining the gift cards from co-conspirators, De Oca sold them on a gift card exchange website using a “bulk seller” account he established in the name of a Florida company he created in 2015 for that purpose. After selling the fraudulently obtained gift cards, De Oca transferred the resulting amounts to bank accounts he controlled. De Oca then distributed some of the money he obtained through gift card sales to other conspirators, retaining the rest of the funds for himself. As part of his plea agreement, De Oca agreed to be subject to a forfeiture money judgment in the amount of $1,020,193.10.
A sentencing hearing is set for July 13, 2021, before Senior United States District Judge Gary L. Sharpe. De Oca faces up to 20 years in prison; a fine of up to $500,000 or twice the value of the property involved in the transaction, whichever is greater; and up to 3 years of supervised release. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
This case is being investigated by the FBI Albany Field Office and USPIS Boston Division, with assistance from the FBI Field Offices in Miami and Pittsburgh, the USPIS Miami Division, and the United States Secret Service Miami Field Office. The case is being prosecuted by Assistant U.S. Attorneys Rick Belliss and Emily C. Powers.
Maryland Woman Sentenced for Role in Money Laundering SchemeRead the Press Release
PITTSBURGH – Nicole Bracey was sentenced to 3 years of probation for conspiring to launder drug trafficking proceeds between 2017 and 2019, Acting United States Attorney Stephen R. Kaufman announced today.
Bracey, age 45 of Waldorf, Maryland, was sentenced by United States District Judge J. Nicholas Ranjan. Judge Ranjan directed that Bracey serve 150 hours of community service while on probation.
Assistant United States Attorney Craig W. Haller prosecuted this case on behalf of the United States.
The Drug Enforcement Administration, the Internal Revenue Service, the Federal Bureau of Prisons, and the Pennsylvania Office of Attorney General led the multi-agency investigation that also included the United States Postal Inspection Service, the Beaver County District Attorney’s Office, the Department of Homeland Security/Homeland Security Investigations, the Pittsburgh Police Department, the United States Marshals Service, the Pennsylvania State Police, the Munhall Police Department, the Robinson Township Police Department, the McKees Rocks Police Department, the Stowe Township Police Department, the Etna Police Department, and the Erie County District Attorney’s Office.
This prosecution is a result of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles high-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten communities throughout the United States. OCDETF uses a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
Marion County man admits to meth chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – James Charles Costello, of Fairmont, West Virginia, has admitted to distributing methamphetamine, Acting United States Attorney Randolph J. Bernard announced.
Costello, 52, pleaded guilty today to one count of “Distribution of Fifty Grams or More of Methamphetamine.” Costello admitted to selling 50 grams or more of methamphetamine for $7,500 in July 2020 in Marion County.
Costello is facing at least five and up to 40 years of incarceration and a fine of up to $5,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Brandon S. Flower is prosecuting the case on behalf of the government. The Greater Harrison Drug Task Force, a HIDTA-funded initiative, investigated. The task force is comprised of the Drug Enforcement Administration, the West Virginia State Police, the Harrison County Sheriff’s Office, the Clarksburg Police Department, and the Bridgeport Police Department.
U.S. Magistrate Judge Michael John Aloi presided.
Man Who Brandished Assault Rifle at Black Lives Matter Protest Sentenced to 46 MonthsRead the Press Release
A man who brandished an assault rifle at a Black Lives Matter protest in Lubbock has been sentenced to 46 months in federal prison, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
Emmanuel Quinones, a 25-year-old local, was charged via criminal complaint in early June and indicted a week later. He pleaded guilty to interstate threatening communications in September and was sentenced on Tuesday by U.S. District Judge James Wesley Hendrix.
“The Department of Justice stands firmly against anyone and everyone who seeks to instill terror and encourage violence,” said Acting U.S. Attorney Prerak Shah. “This sentence sends a clear message that our office will continue to work with our law enforcement partners to apprehend and charge all violent instigators, while protecting those who want to lawfully exercise their constitutional rights.”
“Together, our local, state, and federal partners work to protect those participating in legitimate, peaceful protests,” said FBI Dallas Special Agent in Charge Matthew J. DeSarno. “The intimidating and violent behavior exhibited by Mr. Quinones while individuals exercised their First Amendment rights has been swiftly answered with today’s sentence.”
According to plea papers, Mr. Quinones admitted he brought a loaded Smith & Wesson .223 caliber semi-automatic rifle to a protest decrying the death of George Floyd. He also admitted that, prior to the protest, he posted threatening messages online. For example, in a May 28 Facebook post, he intimated that he planned to obtain gun parts “to off racists and MAGA people.”
In view of the protesters, Mr. Quinones held the rifle at “low ready,” in firing position with the muzzle pointed toward the ground, as panic rippled through the assembled crowd. (Although Texas is an open-carry state, the Texas Penal Code makes it illegal to display a firearm in a public place “in a manner calculated to alarm.”) He refused a Lubbock Police officer’s verbal commands to drop the rifle, and only did so when the officer drew his gun and a protestor moved to tackle him. As he was taken into custody, Mr. Quinones allegedly shouted “this is a revolution” and “President Trump must die.”
The Federal Bureau of Investigation Dallas Field Office, Lubbock Resident Agency, the United States Secret Service, the United States Bureau of Alcohol, Tobacco, Firearms, & Explosives Dallas Field Division, and the Lubbock Police Department conducted the investigation. Assistant U.S. Attorney Jeff Haag is prosecuting the case.
Lubbock Area Bank Robber Sentenced to 20 Years in PrisonRead the Press Release
A Lubbock area bank robber was sentenced to 20 years in federal prison, the statutory maximum, announced Acting U.S. Attorney for the Northern District of Texas Prerak Shah.
Eric Dion Warren, 50, plead guilty to bank robbery in August 2020 and was sentenced Tuesday by U.S. District Judge James Wesley Hendrix.
According to court documents, on June 7, 2019, at approximately 12:45 p.m., Mr. Warren entered AIM Bank in Wolfforth, Texas. He approached one of the tellers and placed a paper fast food bag and a demand note on the counter which read: “This is a f------ robbery. Play with me and die. I want $10,000 in 50 and 100 dollar bills now you got 1 minute or I will kill you.” Mr. Warren then pulled out what appeared to be a handgun and said, “I ain’t playing around, I only want 100s and 50s.”
The teller gave Mr. Warren money from her drawer including strapped twenty-dollar bills with recorded serial numbers. After the teller placed the money in Mr. Warren’s bag, he said, “Don’t push any buttons” and then fled the scene with several thousand dollars currency.
Mr. Warren admitted to driving away in a vehicle that had been loaned to him by a car dealership, while the sale of a black BMW was being finalized. Approximately 15 minutes after the robbery took place, Mr. Warren arrived in the loaned vehicle at the car dealership in Lubbock. Mr. Warren began waving the cash that he had illegally obtained from the bank robbery at employees in the car dealership. He entered the dealership’s finance office and attempted to finalize the purchase of the BMW by giving the dealership $3,000 cash as a down payment.
While Mr. Warren was in the dealership’s finance office, an employee received a phone call informing him of the recent bank robbery. The employee realized that the vehicle used in the bank robbery matched the vehicle the dealership had loaned to Mr. Warren and he alerted law enforcement.
Mr. Warren was arrested with $5,086 in cash. The serial numbers of the money found on Mr. Warren’s person were cross-referenced and matched the numbers of the bills stolen from AIM bank. Law enforcement also recovered a painted pellet gun, resembling a real handgun, approximately 10 feet way from Mr. Warren at the time of his arrest. The demand note given to the teller at the bank was analyzed and confirmed the existence of Mr. Warren’s fingerprints and DNA.
The FBI’s Lubbock Resident Agency conducted the investigation. Assistant U.S. Attorney Stephen Rancourt prosecuted the case.
KC Man Sentenced for $6 Million Ponzi SchemeRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man was sentenced in federal court today for engaging in a $6 million Ponzi scheme that defrauded dozens of victim investors.
Matthew R. Peterson, 51, was sentenced by U.S. District Judge Howard F. Sachs to eight years and one month in federal prison without parole. The court also ordered Peterson to pay $2,516,010 in restitution to his victims.
On Sept. 10, 2020, Peterson pleaded guilty to one count of bank fraud and one count of money laundering.
Sports Wagering Investment Fraud
Peterson admitted that he operated an investment fraud scheme from 2012 to November 2016. During this scheme, Peterson persuaded at least 37 victims to invest approximately $6 million into sporting wagers.
Peterson lied to prospective investors about being an expert in sports betting in order to carry out his investment fraud scheme. Peterson created fictitious spreadsheets, financial statements and betting reports that indicated the investments were yielding large returns. Peterson, for the most part, did not invest funds on behalf of the investors. Instead, Peterson perpetrated a multimillion-dollar Ponzi scheme through which he fraudulently transferred new investor money to earlier investors, falsely representing these payments as profits earned on their funds invested with him. Peterson used about $3.3 million of the approximately $6 million obtained from investors to make Ponzi-type payments to existing investors.
Peterson spent approximately $565,000 of investor funds on luxury vacations for himself and his family, personal gambling, retail, automobiles, credit card payments, a house, and made cash withdrawals of more than $90,000 of investor money.
Peterson’s widespread criminal activity caused significant financial harm to numerous victims, who invested amounts ranging from $1,000 to $100,000. One of the investors, identified in court documents as T.C., went into business with Peterson. T.C. liquated his 401(k) retirement account and gave the net proceeds to Peterson. Peterson used T.C.’s personal identifiable information without T.C.’s knowledge or consent to obtain an American Express card. Peterson also made additional charges to the card, charging over $248,862 on this card without T.C.’s knowledge. Due to his scheme, financial institutions and credit card companies also incurred a loss of approximately $461,000.
Church Travel Fraud Scheme
According to court documents, Peterson also used his business to establish credibility within his church community as someone with great connections.
Peterson owned and operated AIS Travel, which attempted to find discounted deals for people who wanted to travel. Peterson approached his pastors about helping the church save money with his travel business. Peterson requested the church staff promote his business to church members and, in return, he would donate a portion of the profits to the church.
The pastors declined Peterson’s proposal, but told him they would consider using his business for church staff travel. In November 2016, Peterson approached church staff with a proposal that they should hold their staff retreat in Cancun, Mexico. The cost for approximately 20 people would be $18,000. The church paid Peterson over $16,000 for the airline tickets and room reservations before the date of travel. However, upon arrival at the airport, the church group learned that the tickets had never been purchased, and no reservations were made.
This case was prosecuted by Assistant U.S. Attorney Rudolph R. Rhodes IV. It was investigated by the FBI.
Justice Department Settles Claims Against Toms River, New Jersey over Zoning Code That Restricts Houses of WorshipRead the Press Release
The Justice Department today announced an agreement with the Township of Toms River, New Jersey, to resolve allegations that the Township violated the Religious Land Use and Institutionalized Persons Act (RLUIPA) by severely restricting where houses of worship can locate within its jurisdiction.
The proposed consent decree, which was filed today in the U.S. District Court of the District of New Jersey and must still be approved by the court, would resolve a lawsuit the United States also filed today alleging that the Township’s zoning code places unreasonable limits on where religious assemblies and institutions may locate, substantially burdens religious exercise and treats religious assemblies and institutions on less than equal terms with nonreligious assemblies and institution.
“RLUIPA protects people of all faiths in their right to exercise their religion,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Civil Rights Division. “The Department of Justice has long enforced RLUIPA against zoning regulations that unreasonably burden religious exercise by imposing unwarranted restrictions and conditions on the location of houses of worship.”
“Federal law protects religious communities against unequal treatment and unwarranted burdens,” said Rachael A. Honig, Acting U.S. Attorney for the District of New Jersey. “Zoning regulations that impose unreasonable restrictions or prevent religious faiths from having a place to worship violate RLUIPA. Through the resolution entered today, this office takes another step to put an end to unlawful zoning practices and vindicate the civil rights of minority religious communities in the District of New Jersey.”
The complaint alleges that since 2009, Toms River has enacted a series of revisions to its zoning code—including a ten-acre parcel minimum requirement—which greatly reduced both the number of zoning districts in which houses of worship can locate and the number of sites available for houses of worship. These restrictions have had a particular impact on the Township’s Orthodox Jewish population, who, because of their faith and religious traditions, tend to worship at small houses of worship which they walk to and from on the Sabbath and holidays. The complaint also alleges that the Township’s zoning ordinance treats houses of worship and other religious assemblies and institutions on less favorable terms than nonreligious assemblies and institutions.
As part of the consent decree, the Township will revise its zoning code to: reduce the minimum acreage required for a house of worship in many zoning districts from ten acres to two acres; allow houses of worship as-of-right in certain zoning districts; allow smaller houses of worship to be located on minor collector roads; and treat houses of worship on comparable terms to nonreligious places of assembly. The consent decree also requires the Township to train its officials and employees on RLUIPA’s requirements, establish a procedure for receiving and resolving RLUIPA complaints and other injunctive relief.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions that protect the rights of houses of worship and other religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or the U.S. Attorney’s Office Civil Right Hotline at (855) 281-3339, or may submit a complaint through the complaint portal on the Place to Worship Initiative website. More information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.
Justice Department Settles Claims Against Toms River over Zoning Code that Restricts Houses of WorshipRead the Press Release
NEWARK, N.J. – The Justice Department today announced an agreement with the Township of Toms River, New Jersey, to resolve allegations that the township violated the Religious Land Use and Institutionalized Persons Act (RLUIPA), by severely restricting where houses of worship can locate within its jurisdiction.
The proposed consent decree, which was filed today in the U.S. District Court of the District of New Jersey and must still be approved by the court, would resolve a lawsuit the United States also filed today alleging that the township’s zoning code places unreasonable limits on where religious assemblies and institutions may locate, substantially burdens religious exercise, and treats religious assemblies and institutions on less than equal terms with nonreligious assemblies and institution.
“Federal law protects religious communities against unequal treatment and unwarranted burdens,” Rachael A. Honig, Acting U.S. Attorney for District of New Jersey, said. “Zoning regulations that impose unreasonable restrictions or prevent religious faiths from having a place to worship violate RLUIPA. Through the resolution entered today, this office takes another step to put an end to unlawful zoning practices and vindicate the civil rights of minority religious communities in the District of New Jersey.”
“RLUIPA protects people of all faiths in their right to exercise their religion,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Civil Rights Division. “The Department of Justice has long enforced RLUIPA against zoning regulations that unreasonably burden religious exercise by imposing unwarranted restrictions and conditions on the location of houses of worship.”
The complaint alleges that since 2009, Toms River has enacted a series of revisions to its zoning code – including a 10-acre parcel minimum requirement – which greatly reduced both the number of zoning districts in which houses of worship can locate and the number of sites available for houses of worship. These restrictions have had a particular impact on the township’s Orthodox Jewish population, who, because of their faith and religious traditions, tend to worship at small houses of worship, which they walk to and from on the Sabbath and Holidays. The complaint also alleged that the township’s zoning ordinance treats houses of worship and other religious assemblies and institutions on less favorable terms than nonreligious assemblies and institutions.
As part of the consent decree, the township will revise its zoning code to: reduce the minimum acreage required for a house of worship in many zoning districts from 10 acres to two acres; allow houses of worship as-of-right in certain zoning districts; allow smaller houses of worship to be located on minor collector roads; and treat houses of worship on comparable terms to nonreligious places of assembly. The consent decree also requires the township to train its officials and employees on RLUIPA’s requirements, establish a procedure for receiving and resolving RLUIPA complaints, and other injunctive relief.
RLUIPA is a federal law that protects religious institutions from unduly burdensome or discriminatory land use regulations. In June 2018, the Justice Department announced its Place to Worship Initiative, which focuses on RLUIPA’s provisions that protect the rights of houses of worship and other religious institutions to worship on their land. More information is available at www.justice.gov/crt/placetoworship.
In July 2018, the Department of Justice announced the formation of the Religious Liberty Task Force. The Task Force brings together department components to coordinate their work on religious liberty litigation and policy, and to implement the Attorney General’s 2017 Religious Liberty Guidance.
Individuals who believe they have been subjected to discrimination in land use or zoning decisions may contact the Civil Rights Division Housing and Civil Enforcement Section at (800) 896-7743, or the U.S. Attorney’s Office Civil Rights Hotline at (855) 281-3339, or may submit a complaint through the complaint portal on the Place to Worship Initiative website. More information about RLUIPA, including questions and answers about the law and other documents, may be found at http://www.justice.gov/crt/about/hce/rluipaexplain.php.
The United States is represented by Assistant U.S. Attorney Michael E. Campion, Chief of the U.S. Attorney’s Office’s Civil Rights Unit, Civil Division, Assistant U.S. Attorney Susan Millenky, of the Civil Rights Unit, Civil Division, and Trial Attorneys Ryan G. Lee and Noah D. Sacks, U.S. Department of Justice, Civil Rights Division, Housing and Civil Enforcement Section.
Justice Department Files Title VII Sex Discrimination Lawsuit Against Alabama Sheriff’s Office and the Mobile County SheriffRead the Press Release
The Department of Justice announced today that it has filed a lawsuit against the Mobile County Sheriff’s Office, Alabama’s second-largest sheriff’s office, and the Mobile County Sheriff, in his official capacity (collectively, MCSO).
The lawsuit alleges that MCSO discriminated against current and former female corrections officers and other similarly situated female employees on the basis of sex, in violation of Title VII of the Civil Rights Act of 1964, by subjecting them to a sexually hostile work environment. Title VII is a federal statute that prohibits employment discrimination on the basis of sex, race, color, national origin and religion.
The Department’s complaint, filed today in the U.S. District Court for the Southern District of Alabama, alleges that female corrections officers at MCSO were regularly subjected to severe and pervasive sexual harassment in the workplace by male inmates who frequently expose their genitals, masturbate, and direct sexual slurs, sexual propositions, threats of sexual violence and sexually degrading comments towards female employees. The complaint alleges that despite the employees’ numerous reports to MCSO supervisors objecting to the harassment, MCSO did not take the complaints seriously and failed to take prompt and effective action to remedy this harassing conduct.
“Nobody deserves to be sexually harassed while on the job,” said Principal Deputy Assistant Attorney General Pamela S. Karlan of the Civil Rights Division. “The behavior to which these female employees were subjected is appalling, and the County’s failure to take action to protect its employees from such conduct is inexcusable.”
Twelve female correctional officers employed by the MCSO filed charges of sex discrimination with the U.S. Equal Employment Opportunity Commission (EEOC). The EEOC investigated the charges and found that there was a reasonable basis to believe that violations of Title VII had occurred. After unsuccessful conciliation efforts by the EEOC, the charges were referred by the EEOC to the Justice Department.
Through this lawsuit, the United States seeks monetary relief for the affected female employees and injunctive relief to require MCSO to develop and implement policies that would prevent and remedy sex-based harassment in the future.
Today’s lawsuit is part of the Civil Rights Division’s Sexual Harassment in the Workplace Initiative announced in February 2018. The Initiative is aimed at eradicating sexual harassment in state and local government workplaces. It focuses on litigation, outreach, and development of effective remedial measures to address and prevent future sex discrimination and harassment.
The United States is represented in the case by Senior Trial Attorneys Taryn Wilgus Null, Alicia Johnson, and Juliet Gray of the Civil Rights Division’s Employment Litigation Section.
Additional information about Title VII and other federal employment laws is available on the Civil Rights Division’s website at https://www.justice.gov/crt.
Jury convicts former officer for violating civil rightsRead the Press Release
McALLEN, Texas - A former local police officer has been convicted of sexually assaulting two men while in his custody, announced Acting U.S. Attorney Jennifer B. Lowery.
The federal jury deliberated for approximately two hours before returning guilty verdicts against Matthew Lee Sepulveda on two violations of civil rights following a two-day trial.
Sepulveda, 25, Edinburg, was a former law enforcement officer with the Progreso Police Department. He served from April 17 to July 2, 2019. The jury heard that while acting under his authority as a uniformed police officer, Sepulveda violated performed oral sex on the victims while they were in his custody.
The jury heard from the two victims.
The first explained that after he was arrested, Sepulveda took him from the jail cell and escorted him to another office at the police department. Sepulveda then began asking him questions of a sexual nature and performed oral sex on him. The victim testified because Sepulveda was a police officer, he was scared and did not think he could leave.
The evidence showed Sepulveda’s DNA was found on the victim’s underwear. The jury also heard that Sepulveda logged the victim’s arrest and case after the fact.
The second victim, who was only 17 at the time, was taken to the police department because he was unable to contact his parents subsequent to a traffic stop in which he was a passenger. He described how Sepulveda took him to an office located within the police department where he began asking the victim questions of a sexual nature and also performed oral sex on the victim.
The defense attempted to portray one of the victims as a liar and questioned some of the evidence. The jury was unconvinced and found Sepulveda guilty of two civil rights violations. They also found that on the second count, his conduct resulted in bodily injury and included attempted aggravated sexual abuse, aggravated sexual abuse and kidnapping.
U.S. District Judge Randy Crane presided over trial and set sentencing for May 20. At that time, Sepulveda faces up to life in federal prison.
Previously released on bond, he was taken into custody following the verdict today where he will remain pending that hearing.
The Hidalgo County Sheriff’s Office conducted the investigation with the assistance of the FBI. Assistant U.S. Attorneys Sarina S. DiPiazza and Angel Castro prosecuted the case.
Jury Convicts Richmond Man of Fentanyl TraffickingRead the Press Release
RICHMOND, Va. – A federal jury convicted a Richmond man today for distributing fentanyl on multiple occasions. According to court records and evidence presented at trial, Quotez Tyveck Pair, 33, a known drug trafficker operating in Mosby Court, a Richmond public housing community, engaged in two separate distributions of fentanyl to a law enforcement cooperator. “Fentanyl is 50 times more potent than heroin and is extremely lethal, especially when sold under false pretenses,” said Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia. “This type of conduct has unfortunately helped fuel the fires of the opioid crisis. EDVA will continue to hold accountable individuals who peddle this harmful substance in our communities for profit and risk the lives of our loved ones.”Between October 2019 and November 2019, Drug Enforcement Administration agents utilized a cooperator to execute two controlled drug purchases from Pair. The cooperator, working with law enforcement, purchased one ounce of heroin on October 30, 2019, and two ounces of heroin on November 12, 2019, from Pair. Upon inspection, both substances purchased from Pair were found to be fentanyl.
Pair was found guilty on two counts of unlawfully distributing more than 40 grams of a mixture and substance containing fentanyl. Pair faces a mandatory minimum of five years and a maximum of 40 years in prison when sentenced on May 20. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia, and Jarod Forget, Special Agent in Charge for the Drug Enforcement Administration’s Washington Division, made the announcement after Senior U.S. District Robert E. Payne accepted the verdict.
Assistant U.S. Attorney Olivia L. Norman is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:20-cr-3.
Judge sentences Wayne County man for firearm charge and attempted witness tamperingRead the Press Release
CAPE GIRARDEAU – United States District Judge Stephen R. Clark sentenced Donald Sanders to 110 months in prison today. The 63-year-old Williamsville, Missouri resident pleaded guilty, in September, to one count of possession of a firearm by a convicted felon and one count of attempting to intimidate or threaten a government witness.
On January 14, 2019, Sanders was a passenger in a pick-up truck. Officers tried to stop the truck, but the driver sped away and the truck eventually crashed. Officers found four firearms in the truck and recovered another rifle thrown from the truck during the chase and arrested Sanders and the driver. Officers later found a handgun in a motel room in Poplar Bluff that was shared by Sanders and the driver. Investigators soon learned all of the firearms were stolen from residences in Butler County, Missouri.
On February 9, 2019, while in the custody of the Butler County Jail, Sanders had a conversation with a visitor that was recorded. During the conversation, Sanders learned a female acquaintance was a possible witness against him for the firearm charge. Sanders expressed concern that he might be charged in federal court. Sanders directed the visitor to tell the woman, “Black River is very cold right now.” Sanders admitted this statement was an attempt to intimidate the woman into not testifying against him.
Sanders has prior convictions preventing him from possessing firearms.
The Butler County Sheriff’s Office investigated the case. Assistant United States Attorney Keith Sorrell is handling the case for the U.S. Attorney’s Office.
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Houston drug trafficker held responsible for moving millions in proceedsRead the Press Release
HOUSTON – A 51-year-old Mexican citizen who legally resided in Houston has been ordered to federal prison for leading a cocaine trafficking organization, announced Acting U.S. Attorney Jennifer B. Lowery.
Aldo Rigoberto Guerra-Guevara pleaded guilty Oct. 23, 2020, to conspiracy to possess with intent to distribute cocaine.
Today, Chief U.S. District Judge Lee H. Rosenthal imposed a 14-year federal prison sentence. Guerra-Guevara could potentially lose his legal status in the country and face removal proceedings following completion of his sentence. Judge Rosenthal also entered a final order of forfeiture for properties and vehicles used for cocaine trafficking valued at over $500,000.
At the hearing, the court found Guerra was the Houston leader and organizer of a drug trafficking organization responsible for moving millions in drugs and drug money throughout the United States.
Between November 2018 and January 2019, the organization moved over $7.1 million in U.S. currency and at least 486 kilograms of cocaine valued at over $12.5 million. Guerra-Guevara served as the Houston leader and also oversaw locations where drugs and money were stored for distribution.
The investigation culminated Jan. 18, 2019, when authorities seized 50 kilograms of cocaine from Silvano Adame Jr., 52, Galena Park; and over $687,000 in U.S. currency from Alejandro Valenzuela-Razo, 41, Laredo. They also pleaded guilty as did Hermes Tomasichi-Ledezma, 46, Monterrey, Mexico and Aldo Fernando Soto, 34, Houston. They are all pending sentencing and face up to 40 years in prison.
Two others - Eluid Alejandro Rodriguez Garcia, 41, and Jose Guillermo Ramirez, 41, both of Monterrey, Mexico – are also charged but not as yet in custody. They are considered fugitives and warrants remain outstanding for their arrests.
Guerra-Guevara has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration and IRS - Criminal Investigation conducted the two-year Organized Crime Drug Enforcement Task Force (OCDETF) investigation dubbed Dirty Dingo.
This operation is part of an OCDETF Strike Force Initiative which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs and transnational criminal organizations.
The specific mission of the Houston Strike Force is to disrupt and dismantle the drug trafficking organizations that designated Consolidated Priority Organization or Regional Priority Organization Targets head with their affiliates and that impact Houston and south Texas.
Assistant U.S. Attorney Edward F. Gallagher prosecuted the case.
Honduran Man Pleads Guilty to Unlawful Return After RemovalRead the Press Release
Gulfport, Miss. – Erick Edgardo Amaya, 42, an illegal alien from Honduras, pled guilty yesterday before U.S. District Judge Taylor B. McNeel to unlawful return of an alien after removal, announced Acting U.S. Attorney Darren J. LaMarca and Michael J. Harrison, Acting Chief Patrol Agent of the U.S. Border Patrol’s New Orleans Sector. Amaya is scheduled to be sentenced on June 9, 2021 at 10:00 a.m. by Judge McNeel, and faces a potential maximum of two years in prison, one year of supervised release, a $250,000 fine and removal proceedings.
In September 2020, the U.S. Border Patrol began investigating activities of Amaya following receipt of information indicating he had been officially removed from the United States, and had unlawfully returned to the Biloxi area. On November 11, 2020, a Border Patrol agent conducted a traffic stop of a vehicle driven by Amaya. A second Border Patrol agent arrived on the scene and the agents confirmed Amaya’s identity. He was arrested and transported to the Gulfport Border Patrol Station.
Further investigation revealed that Amaya had been previously arrested by the U.S. Border Patrol in Biloxi in 2008. He had been lawfully removed to his home nation of Honduras on June 12, 2008 and had unlawfully returned to the United States.
Acting U.S. Attorney LaMarca praised the efforts of the U.S. Border Patrol and the Department of Homeland Security. Assistant U.S. Attorney Stan Harris is the prosecutor for the case.
Heroin Dealer Receives Federal Prison SentenceRead the Press Release
WILMINGTON, Del. – David C. Weiss, U.S. Attorney for the District of Delaware, announced today that Trashaun Black, 28, of Wilmington, was sentenced by the Honorable Leonard P. Stark to 50 months in prison after a Drug Enforcement Administration (“DEA”) investigation in Wilmington, Delaware. According to court documents, the Defendant was arrested in April 2019 for selling heroin to a DEA informant. As referenced in open court at today’s sentencing hearing, the DEA’s investigation of Mr. Black originated with an overdose death in Middletown, Delaware.
U.S. Attorney Weiss stated, “In tandem with our law enforcement partners on the First State Overdose Taskforce, my office will continue to pursue drug dealers linked to a fatal drug overdose. If you are peddling heroin for profit, we will bring the full force of the federal justice system to ensure your removal from our streets.”
At the same time, the United States Attorney’s Office is committed to helping those who suffer from substance abuse. While COVID-19 has made access to drug addiction treatment more difficult for many, it need not remain a barrier. If you need help, drug treatment information is available any time through the federal Substance Abuse and Mental Health Services Administration’s Treatment Referral Routing Service, found online at dpt2.samhsa.gov/treatment/ or by dialing 1.888.545.2600. Don’t let the pandemic stop you from beginning treatment.
This case was investigated by DEA Group 41, as part of the First State Overdose Taskforce, with assistance from the Middletown and New Castle County Police Departments. Assistant U.S. Attorney Christopher L. de Barrena-Sarobe prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Delaware. Related court documents and information is located on the website of the District Court for the District of Delaware or on PACER by searching for Case No. 19-CR-00095 (LPS).
Hartford Man Sentenced to 27 Months in Federal Prison for Possessing Loaded Gun While on Supervised ReleaseRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that RAKEEM GRANT, 32, of Hartford, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 27 months of imprisonment, followed by three years of supervised release, for possession of a firearm and ammunition as a convicted felon, and while he was on supervised release following a prior federal conviction for the same offense.
According to court documents and statements made in court, in April 2017, Grant was convicted in state court of possession of a pistol without a permit. On April 23, 2018, Hartford Police arrested Grant after he was found in possession of a loaded .40 caliber handgun outside of nightclub that has been a hotspot for shootings and violence on Main Street in Hartford. He subsequently pleaded guilty in federal court to possession of a firearm by a convicted felon and, on March 28, 2019, was sentenced to six months of imprisonment, with credit for time served, and three years of supervised release. Grant was released from federal prison approximately one month later.
On August 28, 2020, Hartford Police arrested Grant after they found him in possession of a loaded Taurus G2S .40 caliber handgun. He was on federal supervised release at the time of his arrest.
Grant has been detained since his arrest. On November 24, 2020, he pleaded guilty to possession of a firearm and ammunition by a convicted felon.
Judge Meyer sentenced Grant to 21 months of imprisonment for possessing the firearm, and an additional six months of imprisonment for violating his conditions of supervised release.
This matter was investigated by the Federal Bureau of Investigation’s Northern Connecticut Gang Task Force and the Hartford Police Department. The Task Force includes members of the Hartford Police Department, East Hartford Police Department, New Britain Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The case was prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
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 neighborhoods safer for everyone.
Grand Jury Indicts Jamestown Man on Multiple Child Pornography Charges Including Enticement and ProductionRead 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 a federal grand jury has returned a three-count indictment charging Richard Lafrance, 34, of Jamestown, NY, with enticement, production of child pornography, and committing certain crimes while required to register as a sex offender. The charges carry a minimum sentence of 45 years in prison, and a maximum penalty of life.
Assistant U.S. Attorney Douglas A. C. Penrose, who is handling the case, stated that according to the indictment and a previously filed complaint, in April 2019, the defendant met and began communicating via email and text message with a 14-year-old Minor Victim (MV1). The communications between Lafrance and MV1 were sexually explicit and included the defendant requesting that MV1 send him naked pictures. In addition, Lafrance met up with MV1 on at least two occasions to engage in sexual intercourse.
In 2006, the defendant was convicted in Oregon of two counts of second degree rape and one count of second degree sexual abuse, and as a result, he is a registered Level III sex offender.
The defendant was arraigned today before U.S. Magistrate Judge Jeremiah J. McCarthy and was detained.The indictment is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia, and the Chautauqua County Sherriff’s Office, under the direction of Sheriff James B. Quattrone.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Georgia Man Sentenced to Three Years for Nationwide Bank Fraud and Identity Theft SchemeRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Sean Christopher Williams, 40, of Sandy Springs, GA, was sentenced to three years in prison, five years of supervised release, and ordered to pay $185,920 in restitution by United States District Court Judge John R. Padova for a nationwide bank fraud and identity theft scheme.
In February 2020, the defendant pleaded guilty to one count of bank fraud and attempt, and one count of aggravated identity theft. Williams used stolen identities to open fraudulent accounts at multiple banks, but he left the accounts unfunded. Williams then repeatedly transferred “funds” from one fraudulent account to another, knowing that the transferring account did not have any funds to support the transfer. Williams quickly used the receiving account to pay a variety of financial accounts in his name, including credit cards and student loans, before the receiving bank determined no funds were incoming. This scheme resulted in more than $185,000 in losses to the banks and impacted around 35 individual victims whose names and social security numbers were attached to the fraudulent accounts.
“This was a sophisticated fraud scheme with many victims from across the country, and it took top-notch investigative work to unravel,” said Acting U.S. Attorney Williams. “Financial fraud and identity theft is often financially devastating for victims. Prosecuting these cases will continue to be a top priority of the United States Attorney’s Office.”
“Sean Williams not only defrauded multiple banks, he dragged dozens of innocent people into his scheme by stealing their identities,” said Michael J. Driscoll, Special Agent in Charge of the FBI’s Philadelphia Division. “The impacts of identity theft can be serious and far-reaching for victims. Whether you take money that’s not yours or someone else’s personal information, the FBI is going to ensure you’re held accountable.”
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Michael J. Rinaldi.
Fresno County Woman Arrested for over $790,000 in Crop Insurance FraudRead the Press Release
FRESNO, Calif. — On March 10, 2021, Jatinderieet “Jyoti” Sihota, 34, of Selma, was arrested on a federal indictment charging her with conspiracy to commit mail fraud and mail fraud for the submission of over $790,000 in fraudulent crop insurance claims, Acting U.S. Attorney Phillip A. Talbert announced. The indictment was unsealed today following her arrest.
According to court records, from at least November 2013 through September 2016, Sihota controlled her family’s farms in Fresno and Tulare Counties that produced table grapes, plums, and other crops. The crops were sold through fruit brokers in California’s Central Valley to supermarket chains and other third-party buyers.
Throughout this period, Sihota and others caused her family’s farms to obtain federally backed crop insurance policies through the U.S. Department of Agriculture Risk Management Agency’s Federal Crop Insurance Program. They then submitted fraudulent insurance claims for crop losses due to excessive heat, rain, and other reasons that did not actually occur.
Sihota and others, including individuals at the produce brokers through which the crops were sold, altered records to misrepresent the varieties, quantities, and other information regarding the crops that were sold and submitted the records to the insurance program to support the fraudulent claims. These misrepresentations established sufficient crop losses to obtain insurance payments. When the insurance loss adjusters contacted Sihota and others to confirm the accuracy of the representations, they confirmed that the representations were accurate and complete, but in actuality, they were not.
This case is the product of an investigation by the U.S. Department of Agriculture’s Office of the Inspector General and the USDA Management Agency’s Special Investigations Staff. Assistant U.S. Attorney Joseph Barton is prosecuting the case.
If convicted, Sihota faces a maximum statutory penalty of 20 years in prison and a fine of up to $250,000 for each of the conspiracy and mail fraud charges. Any sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which consider several variables. The charges are only allegations; the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Former Roswell Park Nurse Pleads Guilty to Tampering with Medications Intended for PatientsRead 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 Kelsey A. Mulvey, 28, of Grand Island, NY, pleaded guilty before U.S. Magistrate Judge Michael J. Roemer to tampering with a consumer product. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
“This case highlights the self-destructive power of addiction and the lengths to which those struggling with substance use disorder will go,” stated U.S. Attorney Kennedy. “This defendant took medications intended to treat cancer patients to feed her own addiction, hurting those who were seriously ill or dying. This case illustrates just how widespread and devastating the damage caused by a one person’s addiction can be.”
“The FDA oversees the U.S. drug supply to ensure that it is safe and effective, and those who tamper with medicines put patients’ health at risk,” said Special Agent-in- Charge Jeffrey J. Ebersole, FDA Office of Criminal Investigations, New York Field Office. “We will continue to protect the public health and bring to justice health care professionals who take advantage of their unique positions and compromise patients’ health and comfort by criminally tampering with needed drugs.”
“Kelsey Mulvey's plea today to tampering with powerful narcotics intended to ease the suffering of cancer patients here in Buffalo painfully resonates with the thousands of families who have personally faced the challenges and torment that comes with the crippling affliction of cancer,” said FBI Buffalo Field Office Special-Agent-in-Charge Stephen Belongia. “Although the pain of addiction takes its own toll on those who suffer from it, it cannot and does not excuse medical professionals who intentionally compromise the health and comfort of cancer patients who deserve to receive safe and unadulterated medication meant to ease their pain.”
Assistant U.S. Attorney Misha A. Coulson, who is handling the case, stated that between July 21, 2016, and July 13, 2018, the defendant worked as a registered nurse at Roswell Park Comprehensive Center. Between February and June 2018, Mulvey tampered with and stole controlled medications, including Dilaudid, from various medication dispensing machines located throughout the hospital, which tracked and held controlled substances meant for Rowell Park patients. She did so to satisfy her addiction.
Specifically, the defendant would conduct a transaction at a dispensing machine, quickly cancel the transaction and leave the medication drawer open, open the vial and remove the hydromorphone, replace it with water, and place the vial back into the machine so the total count of vials would not trigger scrutiny. Over time, Mulvey utilized the patient medical record database to search for patients specifically prescribed hydromorphone, because to access the dispensing machine, the defendant had to first access patient profiles. At times, Mulvey would divert vials of controlled medications from the dispensing machine and not administer the medication to any patient.
On June, 27 2018, the defendant had a scheduled vacation day, however, she was observed accessing a dispensing machine, carrying a backpack, and exiting a medication room in which she was not assigned. It was later determined that Mulvey had accessed the drawer for hydromorphone. The defendant was subsequently placed on administrative leave and resigned in lieu of termination.
From June to July 2018, there was a spate of waterborne infections at Roswell Park, during which six patients became ill. An investigation by the hospital concluded that tampering of compounded hydromorphone vials was the cause. On June 27, 2018, seven hydromorphone vials were removed from the dispensing machines, which were involved in the defendant’s conduct. Four out of seven grew the waterborne bacteria and had approximately 80% of the hydromorphone removed and replaced. Roswell Park tested another set of vials and concluded that three out of four vials had a substantial percentage of hydromorphone removed and replaced and waterborne bacteria.
The plea is the culmination of an investigation by the Food and Drug Administration, Office of Criminal Investigations, under the direction of Special Agent in Charge Jeffrey Ebersole; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the New York State Department of Education, Office of Professional Discipline; and the New York State Attorney General’s Office, under the direction of Attorney General Letitia James.
Sentencing will be scheduled at a later date.
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Former LMPD Officer Sentenced for Civil Rights' Violation - Explorer ProgramRead the Press Release
LOUISVILLE, KY. – United States District Judge Rebecca Grady Jennings sentenced Brad Lee Schuhmann today to two years’ probation, six months home detention, sex offender registration, and a $2000 fine announced Acting United States Attorney Michael A. Bennett. Schuhmann, 32, originally of Louisville, Kentucky, previously pled guilty before Judge Jennings for deprivation of rights under the color of law. Under the terms of his Plea Agreement, Schuhmann will register as a sex offender.
“This sentencing concludes the third federal prosecution in connection with the LMPD Explorer Program,” stated Acting U.S. Attorney Bennett. “I commend AUSA Lawless and the men and women of the Louisville FBI and LMPD who conducted the investigations into criminal conduct associated with the program.”
According to the Plea Agreement, from May 2002 until April 2009, Schuhmann participated in the Louisville Metro Police Department Explorer Program as an Explorer. In April 2009, he applied for an LMPD sworn officer position. Several people associated with the Explorer Program, including the director of the program and other advisors, wrote letters of recommendation for Schuhmann. LMPD hired Schuhmann as a police officer. Upon completion of the training academy, he was sworn in and took the oath of office on January 29, 2010. Schuhmann remained involved in the Explorer Program during his training period and took on a more formal advisor role after being sworn in as a police officer with LMPD.
While working with the Explorer Program as an advisor, Schuhmann met Jane Doe, a minor participating in the program as an Explorer. The two communicated by cellular telephone, including texting. Schuhmann met Jane Doe outside of Explorer Program activities, including at her home and other locations in Louisville. During these meetings and communications, Schuhmann was in a position of authority or special trust, due to his role as an advisor with the Explorer Program, and he came into contact with Jane Doe as a result of that position. When the two met at her home and other locations, Schuhmann subjected Jane Doe to sexual contact.
Assistant United States Attorney Jo E. Lawless prosecuted the Explorer Program cases. The investigations were conducted by the Federal Bureau of Investigation (FBI) and the Louisville Metro Police Department’s Public Integrity Unit as part of the Louisville Public Corruption and Civil Rights Task Force.
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This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For more information about internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."
Former Employee of Veterans Affairs Medical Center Charged with Stealing More Than $8.2 Million Worth of HIV MedicationRead the Press Release
NEWARK, N.J. – A former pharmacy technician was arrested today for stealing prescription HIV medications from the pharmacy of the Veterans Affairs Medical Center (VAMC) in East Orange, New Jersey, Acting U.S. Attorney Rachael A. Honig announced.
Lisa M. Hoffman, 48, of Orange, New Jersey, is charged by complaint with theft of medical products, specifically HIV medication. Hoffman is scheduled to make her initial appearance by videoconference before U.S. Magistrate Judge Mark Falk this afternoon.
According to documents filed in this case and statements made in court:
Hoffman’s responsibilities at the VAMC included ordering the necessary drugs and supplies for the outpatient pharmacy, including determining when to place orders and for what products, as well as regularly maintaining inventory levels of needed drugs and supplies. From at least August 2017 through November 2019, Hoffman used her position to steal prescription HIV medication from the VAMC. She placed large orders for HIV medication, purportedly on behalf of VAMC, and then stole the medication after it was delivered. VAMC surveillance footage captured Hoffman regularly taking dozens of bottles of HIV medications from the shelves of the outpatient pharmacy, placing them in a white mail bin, and then transferring the medications from the mail bin to her bag and exiting with the stolen medication. Hoffman stole approximately $8.2 million worth of the VAMC’s HIV medication.
Once Hoffman had the medication, Hoffman met her associate, Wagner Checonolasco, aka “Wanny,” 33, of Lyndhurst, New Jersey, often at her residence, so that she could sell the stolen HIV medication to Checonolasco for cash. After obtaining the stolen HIV medication, Checonolasco resold it to others.
Checonolasco was previously charged with conspiracy to steal government property. Those charges remain pending.
The charge of theft of medical products is punishable by a potential penalty of 20 years in prison, and a fine of $1 million, or three times the economic loss attributable to the offense.
Acting U.S. Attorney Honig credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and the U.S. Department of Veterans Affairs, Office of Inspector General, Northeast Field Office, under the direction of Special Agent in Charge Christopher F. Algieri, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Nicole F. Mastropieri of the Health Care Fraud Unit.
The charges and allegations contained in the complaints are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Former City of Rochelle Employee Pleads Guilty to Fraudulently Obtaining at Least $150,000 from a Non-Profit Business AssociationRead the Press Release
ROCKFORD — A former employee of the City of Rochelle, Ill., pleaded guilty Tuesday to wire fraud for fraudulently obtaining at least $150,000 from a non-profit business association.
SCOTT KOTESKI, 58, of Rochelle, was selected by the city to sit on the board of directors of a non-profit business association that provided broadband internet technology to smaller municipalities in northern Illinois. According to a plea agreement, Koteski in 2011 began serving as the association's treasurer, handling the invoicing and billing of member municipalities. Koteski as of February 2012 had signatory authority on the association’s bank account. From September 2012 through April 2018, Koteski fraudulently obtained from the association at least $150,000, which he used for his own benefit without the association’s knowledge or consent. Koteski wrote numerous checks to himself from the association’s bank account, which he deposited into his personal bank account for his personal benefit. Koteski concealed his acts by writing false information on the memo line to make it appear the checks were for reimbursement of personal monies Koteski spent for the association, when, in fact, Koteski was not entitled to reimbursement.
Additionally, according to the plea agreement, Koteski in 2018 made online payments from the association’s bank account to a credit card company to pay balances on his personal credit card, and to an online loan financing company to pay balances on a loan.
Wire fraud is punishable by a maximum sentence of 20 years in federal prison. U.S. District Judge Iain D. Johnston set sentencing for June 29, 2021, at 10:00 a.m.
The guilty plea was 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 Illinois State Police assisted in the investigation. The government is represented by Assistant U.S. Attorney Scott R. Paccagnini.
Former Chief Operating Officer of Global Premier Soccer Pleads Guilty in Visa Fraud SchemeRead the Press Release
BOSTON – The former Chief Operating Officer of Global Premier Soccer (GPS), a now defunct youth soccer organization formerly based in Waltham, Mass., pleaded guilty today in connection with a wide-ranging visa fraud conspiracy.
Justin Capell, 39, of Southborough, Mass., pleaded guilty to conspiracy to commit visa fraud. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for June 23, 2021.
According to court documents, from at least 2016 to October 2019, Capell conspired with other GPS executives and employees, and with GPS’s outside counsel, to defraud several federal agencies by submitting fraudulent visa petitions in order to secure work visas for hundreds of GPS employees.
Specifically, it is alleged that Capell and his co-conspirators arranged to file fraudulent visa petitions on behalf of at least seven professional soccer teams in order to secure visas for GPS’s foreign coaching staff. The petitions falsely stated that the beneficiaries would be working as scouts or assistant coaches for the professional teams when in reality they were employed only as youth soccer coaches by GPS. As part of the conspiracy, Capell and, allegedly, others, submitted phony employment contracts between professional teams and the purported beneficiaries. It is also alleged that Capell and co-conspirators created fraudulent coaching licenses for the beneficiaries, which were included as part of the visa application packages. A second facet of the conspiracy involved the filing of fraudulent visa petitions for foreign workers who were scheduled to work for GPS affiliates in one part of the country, but who were sent to work in different parts of the United States.
In some instances, it is alleged that conspirators directed visa beneficiaries to mislead U.S. immigration officials – providing them with detailed instructions on how to answer questions during their visa interviews.
In May 2020, Gavin MacPhee, a former GPS employee, pleaded guilty to destroying records in connection with this investigation.
The charging statute 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 are based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; William S. Walker, Acting Special Agent in Charge, Homeland Security Investigations in Boston; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Labor Racketeering and Fraud Investigation, New York Regional Office; and Jonathan Davidson, Special Agent in Charge of the U.S. Department of State's Diplomatic Security Service (DSS), Boston Field Office made the announcement today. Valuable assistance was also provided by U.S. Citizenship and Immigration Services, Fraud Detection and National Security Unit in Vermont. HSI’s Document & Benefit Fraud Task Force, a specialized investigative group comprised of various local, state and federal agencies, conducted this investigation. Assistant U.S. Attorney Mackenzie A Queenin and Jordi de Llano, Deputy Chief of Mendell’s Securities, Financial & Cyber Fraud Unit, are prosecuting the case.
The details contained in the charging documents are allegations. The co-conspirators are presumed innocent unless and until charged and proven guilty beyond a reasonable doubt in a court of law.
Former Bristol Resident Sentenced to 51 Months in Prison for Dealing Fentanyl and CrackRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that ELKIE CRUMP, also known as “40,” 39, was sentenced today by U.S. District Judge Janet C. Hall to 51 months of imprisonment, followed by three years of supervised release, for fentanyl and crack cocaine distribution offenses.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the sentencing occurred via videoconference.
According to court documents and statements made in court, in December 2019, the DEA’s New Haven Tactical Diversion Squad and Bristol Police Department began an investigation into Crump after receiving information that Crump, who formerly resided on Davis Drive in Bristol, was distributing fentanyl. On three occasions in January and February 2020, investigators made controlled purchases of fentanyl from Crump.
On March 3, 2020, Crump was arrested in West Hartford where he was residing as a condition of his state parole. At the time of his arrest, Crump possessed approximately 14 grams of crack cocaine, and an additional quantity of fentanyl. On that date, a related search of a Davis Drive residence revealed a 9mm handgun that Crump had possessed.
Crump has been detained since his arrest. On September 10, 2020, he pleaded guilty to one count of possession with intent to distribute, and distribution of, fentanyl, and one count of possession with intent to distribute cocaine base (“crack”).
Crump’s criminal history includes five state convictions for drug-related offenses.
The DEA Tactical Diversion Squad includes officers from the Bristol, Hamden, Meriden, New Britain, West Haven and Watertown Police Departments.
This case was prosecuted by Assistant U.S. Attorney Conor M. Reardon.
Former Bookkeeper Admits to Stealing from San Diego BusinessRead the Press Release
Assistant U. S. Attorneys Eric Olah (619) 546-7540 and Seth Askins (619) 546-6692
NEWS RELEASE SUMMARY – March 9, 2021
SAN DIEGO – Arthur Jason “AJ” Morales of Pahrump, Nevada pleaded guilty in federal court today to a wire fraud charge, admitting that while employed as a bookkeeper for a San Diego lighting company, he abused his access to the company’s checkbook and issued himself 28 unauthorized checks totaling more than $183,000.
In a hearing before U.S. Magistrate Judge Mitchell D. Dembin, Morales admitted he issued the checks—sometimes forging the signatures of company management on them—to his personal business, “AJ’s Tax & Bookkeeping Service,” and deposited them into his personal bank account. He then concealed the payments by manipulating the company’s accounting records to make it appear that each check was issued for a legitimate business expense to a third-party vendor. The company realized Morales’ fraudulent activity in March 2016 when it discovered a check in the amount of $16,274 that Morales had issued to his personal business and cashed.
"The impact of fraud on small businesses can be devastation," said Acting U.S. Attorney Randy Grossman. "This defendant abused his position of trust to enrich himself, and he has been held to account for his crime." Grossman praised prosecutors Eric Olah and Seth Askins and FBI agents for their excellent work on this case.
“Accountants stealing money from an employer's coffers is the ultimate violation of fiduciary trust and can be a violation of federal law,” said FBI Special Agent in Charge Suzanne Turner. “In this case, the FBI investigation revealed Arthur Morales fraudulently wired money to his personal bank account in regular increments over seven months, totaling approximately $183,408.02. Today's conviction shows the FBI's commitment to investigating financial crimes that affect San Diego businesses.”
Morales is scheduled to be sentenced on June 7, 2021 before U.S. District Judge Larry Burns.
DEFENDANT Case Number 20-CR-2348-LAB
Arthur Jason Morales Age: 42 Pahrump, Nevada
SUMMARY OF CHARGES
Wire Fraud – Title 18, U.S.C., Section 1343
Maximum penalty: Twenty years in prison and $250,000 fine, or twice the gain/loss, whichever is greater.
AGENCY
Federal Bureau of Investigation
Former Ag. Commodities Business Employee Sentenced for Wire FraudRead the Press Release
Acting United States Attorney Jan Sharp announced that Omer Sagheer, 48, of Omaha, Nebraska, was sentenced today in federal court in Omaha by United States District Judge Brian C. Buescher to 12 months’ and one day imprisonment for wire fraud. After his release from prison, Sagheer will begin a three-year term of supervised release. There is no parole in the federal system. Restitution in the amount of $232,390.39 was paid in full.
An investigation conducted by the Federal Bureau of Investigation determined that Sagheer was employed as Treasurer with The Scoular Company located in Omaha. Scoular is engaged in the purchase, sale, and transportation of agriculture commodities. During his employment, Sagheer had access to the company’s bank accounts and other financial documents, including checks made payable to Scoular. From February 2017 through July 2019, Sagheer fraudulently endorsed and deposited into his personal bank account checks made payable to Scoular. Sagheer would typically deposit the checks through ATM machines into his personal bank account in order to avoid detection and to hide the fraud from his employer. Once the check was deposited into Sagheer 's bank account, he would electronically transfer funds from the bank account to financial accounts located in the United States and Canada.
The FBI determined that between February 2017 and July 2019 Sagheer endorsed and deposited into his personal bank account approximately 10 checks which totaled approximately $232,390.39. The fraudulently deposited funds were used by Sagheer to pay for his personal “lifestyle” spending, which included expenses incurred during trips to Las Vegas, Nevada, and Canada; the purchase of a 2019 Mercedes-Benz convertible; numerous withdrawals of cash; and personal credit card payments.
FBI Omaha Special Agent in Charge Eugene Kowel said, “Omer Sagheer violated the trust of his employer, who gave him a position of leadership. Instead of honoring that trust, he enriched himself at the expense of his employer. The FBI, with our partners, will always aggressively pursue those who commit financial fraud and make sure they are held accountable.”
This case was investigated by the Federal Bureau of Investigation.
Fayetteville Man Sentenced to More than 10 Years for Robbery of Convenience StoreRead the Press Release
RALEIGH, N.C. – A Fayetteville man was sentenced today to 130 months in prison for robbing an Exxon convenience store in Fayetteville.
According to court documents, on December 9, 2018, Tyler Kador, 23, and Morgan Ward, 22, robbed an Exxon convenience store. Kador, armed with a firearm, walked into the store and approached the clerk, who was behind the counter. Kador pointed the gun at her and demanded that she give him money. Ward entered the store behind Kador and looked down each isle for anyone else present in the store. Ward saw a second employee and held her against a counter during the robbery. The clerk behind the counter gave Kador approximately $50. Both clerks were ordered to lie on the floor and the men left the store. Surveillance videos showed the two robbers getting into a car and driving to a nearby apartment complex. Investigators with the Fayetteville Police Department located the car and determined it was registered to Kador. Investigators were also able to determine the apartment the men went into and obtained a search warrant for that apartment. In that apartment officers found clothing consistent with the clothing worn by the robbers, ammunition and a gun box. The original purchaser of the firearm told investigators Kador purchased the firearm from him a few days before the robbery. Ward was arrested during the execution of the search warrant and confessed that he and Kador were the two that went inside the Exxon and robbed the business.
Morgan Ward was sentenced on December 21, 2020 and received a sentence of 120 months followed by 60 months of supervised release.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Bureau of Alcohol, Tobacco, Firearm and Explosives and Fayetteville Police Department investigated the case and Assistant U.S. Attorney Charity Wilson prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-00351-D.
Fall River Man Pleads Guilty to Conspiracy to Distribute CocaineRead the Press Release
BOSTON – A Fall River man pleaded guilty yesterday in connection with a cocaine distribution conspiracy. A storage unit used by the defendant was found to contain a firearm and approximately 40 grams of a mixture and substance containing fentanyl.
Alexander Santiago Medina, a/k/a “Flaco,” 33, pleaded guilty to one count of conspiring to distribute and to possess with intent to distribute 500 grams or more of cocaine. U.S. Senior District Court Judge Douglas L. Woodlock scheduled sentencing for July 15, 2021. Santiago Medina was charged in December 2019, along with 12 co-defendants.
From at least February 2019 through December 2019, Santiago Medina was involved in a cocaine distribution conspiracy. Investigators intercepted a number of communications between Santiago Medina and co-conspirators in furtherance of the conspiracy, including communications on June 17, 2019, in which Santiago Medina and various co-conspirators agreed to distribute two kilograms of cocaine or more. Later that day, investigators seized approximately two kilograms of cocaine from one of Santiago Medina’s co-conspirators. After Santiago Medina was arrested on Dec. 5, 2019, investigators searched a storage unit used by Santiago Medina and found a firearm and approximately 40 grams of a mixture and substance containing fentanyl.
The charge of conspiracy to distribute and to possess with intent to distribute 500 grams or more of cocaine provides for a mandatory minimum sentence five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Joseph W. Cronin, Inspector in Charge of the United States Postal Inspector Service, Boston Division; and New Bedford Police Chief Joseph C. Cordeiro made the announcement. Assistant U.S. Attorney Craig Estes of Mendell’s Narcotics and Money Laundering Unit is prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Fairmont man sentenced to 10 years for child pornography chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – James Keener, of Fairmont, West Virginia, was sentenced today to 120 months of incarceration for a child pornography charge, Acting United States Attorney Randolph J. Bernard announced.
Keener, age 48, pled guilty to one count of “Possession of Child Pornography” in July 2020. Keener admitted to having child pornography in March 2019 in Marion County.Assistant U.S. Attorney David J. Perri prosecuted the case on behalf of the government. The West Virginia State Police investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Detroit Heroin Dealer Sentenced to More Than 24 Years in Federal PrisonRead the Press Release
CHARLESTON, W.Va. – Acting United States Attorney Lisa G. Johnston announced today that Curtis Watson, 52, of Detroit, Michigan, was sentenced to a total of 295 months in prison and five years of supervised release. He was previously convicted by a federal jury of conspiracy to distribute heroin, using and carrying a firearm during the heroin conspiracy, and tampering with a witness. Watson, also known as “LOW,” conspired with other drug traffickers from Detroit, Michigan and Charleston, West Virginia, to distribute in excess of 700 grams of heroin in the Southern District of West Virginia.
“This case is a testament to the hard work our law enforcement partners do every day to combat these deadly drugs from making it into our communities,” said Acting United States Attorney Lisa G. Johnston. “I applaud the tremendous work of everyone in this case, including Assistant U.S. Attorney Nowles Heinrich, who tried this case with former Assistant U.S. Attorney Ryan Saunders, and handled the sentencing hearing today.”
Watson supplied a residence in the Hernshaw area with a substantial amount of heroin, which would then be sold to drug addicts and dealers. Shortly after the conspiracy began, Watson was losing money and he enlisted other Detroit drug traffickers to travel to West Virginia and sell more heroin. Watson would provide these Detroit drug dealers with firearms to protect the heroin. Upwards of $40,000 was being made in a given day at this residence. One witness described the house similar to a fast-food restaurant. Another witness described selling drugs out of the house from sun up to sunset.
Watson’s conspiracy ended on November 17, 2017, when the Kanawha County Sheriff’s Department responded to the Hernshaw residence because a person fatally overdosed from drugs purchased at the location. Prior to law enforcement arriving, Watson dropped off more heroin and a Hi-Point firearm, and left the area.
After a federal grand jury indicted Watson on November 27, 2018, his first jury trial was scheduled on August 12, 2019. On the day the trial was set to begin, a cooperating witness was threatened by Watson because the witness was cooperating with the government. When Watson saw the witness at the federal courthouse, he yelled at the witness, “I got you! I got you!” After the encounter with Watson, the witness became concerned for their safety and was afraid to testify. Subsequently, the federal grand jury returned a superseding indictment against Watson on September 18, 2019, adding a charge for tampering with a witness.
The Federal Bureau of Investigation (FBI), the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), the United States Marshals Service (USMS), the Drug Enforcement Administration (DEA), the U.S. 119 Drug and Violent Crime Task Force, the West Virginia State Police, the Kanawha County Sheriff’s Department and the Marmet Police Department conducted the investigation. United States District Judge Irene C. Berger imposed the sentence.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:18-cr-00279.
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Des Moines Man Convicted of Distributing Methamphetamine and Two Firearm ChargesRead the Press Release
A Des Moines man and convicted felon who distributed nearly a pound of methamphetamine and possessed a gun was convicted by a jury today after a three-day jury trial in federal court in Cedar Rapids.
Patrick Miller Webb, Jr., also known as “P.J.,” age 32, from Des Moines, Iowa, was convicted of distribution of methamphetamine near a protected location, possession of a firearm in furtherance of a drug trafficking crime, and possession of a firearm by a prohibited person. The verdict was returned this afternoon following about one hour of jury deliberations.
The evidence at trial showed that Webb drove from Des Moines to Dubuque to sell nearly one pound of methamphetamine during a controlled buy for $6,000. Following the drug sale, officers found a loaded firearm underneath the driver’s seat of Webb’s car, where he had been sitting. The drug distribution occurred inside a carwash that was located within 1,000 feet of a public playground located at Cleveland Park, Dubuque. Webb has a previous felony conviction for possession with intent to deliver meth and was also a user of meth and marijuana.
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Webb remains in custody of the United States Marshal pending sentencing. Webb faces a mandatory minimum sentence of 20 years’ imprisonment and a possible maximum sentence of life imprisonment, a $40 million fine, and 20 years of supervised release following any imprisonment.
The case is being prosecuted by Special Assistant United States Attorney Alexander Geocaris and Assistant United States Attorney Tony Morfitt and was investigated by the Dubuque Drug Task Force, comprised of the Dubuque Police Department and the Dubuque County Sheriff’s Office, the Iowa Division of Narcotics Enforcement, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 20-CR-1018.
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Decatur Man Sentenced to 27 Years in Prison for Child Pornography CrimesRead the Press Release
URBANA, Ill. – A Decatur, Ill., man, Christopher Bailey, 40, of the 500 block of West Center St., has been ordered to serve 27 years (324 months) in federal prison for distribution and possession of child pornography. Bailey was ordered to remain on federal supervised release for 15 years following his release from prison and will be required to register as a sex offender. Bailey has remained in the custody of the U.S. Marshals since his arrest on July 7, 2020.
As part of its sentence, the court found that Bailey has engaged in a pattern of sexual abuse based on his prior conviction in 2008, in California, for sexually abusing two children, aged five and six, and continuing child sexual abuse of children aged eight and five.
On Oct. 16, 2020, Bailey entered a plea of guilty to the indictment that charged him with two counts of distribution of child pornography and one count of possession of child pornography.
Assistant U.S. Attorney Elly M. Peirson prosecuted the case. The charges were investigated by Department of Homeland Security, Immigration and Customs Enforcement; the Decatur Police Department; and, the Internet Crimes Against Children Task Force led by the Illinois Attorney General’s Office.
The case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Correctional Sergeant and Correctional Officer Indicted for Inmate Abuse, Obstruction of JusticeRead the Press Release
A federal grand jury in Alabama returned a five-count indictment today charging two Alabama men, an Alabama Department of Corrections (ADOC) sergeant and corrections officer with assaulting an inmate at ADOC’s Staton Correctional Facility and making false statements following the assault.
According to court documents, Sergeant Devlon Williams, 35 and Correctional Officer Larry Managan Jr. 39, of Montgomery assaulted the inmate by striking him with their feet and with a collapsible baton, and charges Managan with assaulting the inmate by walking on the inmate. Both Williams and Managan also were charged with making false statements about the assault to a state investigator, and Williams was charged with making a false statement about the assault in an official report.
Williams faces a statutory maximum sentence of 50 years in prison. Managan faces a statutory maximum of 40 years in prison.
This case is being investigated by the FBI’s Mobile Division and ADOC’s Law Enforcement Services Division.
It is being prosecuted by Assistant U.S. Attorney Eric Counts of the Middle District of Alabama, Special Legal Counsel Mark Blumberg and Trial Attorney David Reese of the Civil Rights Division.
The charges contained in the indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty in court.
Convicted Sex Offender Pleads Guilty to Possession of Child Pornography While Serving Prison SentenceRead the Press Release
Greenbelt, Maryland – Christopher Lee Dubry, age 25, of La Plata, Maryland, pleaded guilty on March 9, 2021, to possession of child pornography.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge James R. Mancuso of Homeland Security Investigations (HSI) Baltimore; and Colonel Woodrow W. Jones III, Superintendent of the Maryland State Police.
Dubry was convicted for four counts of attempted sex offense fourth degree and five counts of possession of child pornography in November 2018. He was sentenced to a total of three years in prison, followed by five years of supervised probation. Dubry was registered as a Tier I registered sex offender in the State of Maryland.
According to his guilty plea, while serving his prison sentence at the Charles County Detention Center, Dubry was granted work release beginning in December 2018. Dubry typically left the detention center each evening at 8:00 p.m. and drove his personal vehicle to his place of employment in Landover, Maryland, where he worked overnight, then returned to the detention center at approximately 5:00 a.m.
As detailed in his plea agreement, on August 26, 2019, an online file storage application sent a cybertipline report to the National Center for Missing and Exploited Children. The report stated that the user account associated with Dubry’s email address uploaded eleven files to the account, including two video files depicting sexual abuse of prepubescent children. The IP address used to access the user account four times on February 14, 2019 between 9:08 p.m. and 9:10 p.m. related back to a cell phone registered to Dubry. Dubry’s account contained approximately 33 images and 33 videos of child pornography. Dubry admitted that from April 2019 to September 12, 2019, he accessed child pornography on his cell phone on multiple occasions while on work release. Dubry’s work release privileges were revoked on September 12, 2019, after violating the terms of his release by taking too long to travel between the detention center and his workplace.
On February 27, 2020, law enforcement seized Dubry’s cell phone. A subsequent forensic analysis of the cell phone revealed approximately 250 images and 3 videos of child pornography, including the sexual abuse of prepubescent children. At least one video depicts sadistic or masochistic conduct. In total, Dubry received and possessed the equivalent of 600 images of child pornography on his cell phone.
Dubry and the government have agreed that, if the Court accepts the plea agreement, Dubry will be sentenced to 10 years in federal prison. Upon his release from prison, Dubry will also be required to register as a sex offender in the places where he resides, where he is an employee, and where he is a student, under the Sex Offender Registration and Notification Act (SORNA). U.S. District Judge George J. Hazel has scheduled sentencing for June 8, 2021 at 2:00 p.m.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
Acting United States Attorney Jonathan F. Lenzner commended HSI and Maryland State Police for their work in the investigation. Mr. Lenzner thanked Assistant U.S. Attorney Kelly O. Hayes who is prosecuting the federal case.
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Convicted Felon Sentenced to Four Years in Prison for Selling Semi-Automatic Rifle in TrentonRead the Press Release
TRENTON, N.J. – A Trenton man was sentenced today to 48 months in prison for unlawfully possessing a semi-automatic rifle while attempting to sell it to another individual, Acting U.S. Attorney Rachael A. Honig announced.
Edwin Gaines, 59, previously pleaded guilty by videoconference before U.S. District Judge Peter G. Sheridan to an information charging him with one count of possession of a firearm by a convicted felon. Judge Sheridan imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
On Feb. 15, 2019, Gaines, who previously had been convicted of murder in New Jersey Superior Court and who has other felony convictions, arranged to sell to another individual a Ruger .22 semi-automatic rifle as well as an extended magazine. The purchaser, however, was acting at the direction and supervision of law enforcement. In a video- and audio-recorded transaction in the basement of a Trenton residence, the individual purchased the rifle and magazine from Gaines using money that law enforcement had provided.
In addition to the prison term, Judge Sheridan sentenced Gaines to three years of supervised release.
Acting U.S. Attorney Honig credited special agents of the Bureau of Alcohol, Tobacco, Firearms, and Explosives, Newark Division, Trenton Field Office, under the direction of Special Agent in Charge Charlie J. Patterson; detectives from the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan; and officers of the Trenton Police Department, under the direction of Police Director Sheilah Coley, with the investigation leading to today’s sentencing.
The government is represented by Special Assistant U.S. Attorney Katie Lee of the U.S. Attorney’s Office’s Criminal Division in Trenton.
Colorado Springs Man Charged with Production of Child PornographyRead the Press Release
DENVER – The United States Attorney’s Office for the District of Colorado announced that Brandon Gandy of Colorado Springs has been charged with the production of child pornography. Gandy was ordered detained today pending trial by United States Magistrate Judge Michael Hegarty. Gandy was arrested and charged by criminal complaint on March 4, 2021.
According to the facts contained in the affidavit supporting the allegations in the criminal complaint, a search warrant was executed at Gandy’s home based on CyberTipline Reports sent by an Internet Service Provider to the National Center for Missing and Exploited Children (NCMEC). The reports indicated that an individual using particular IP addresses uploaded suspected child pornography. It was determined that certain IP addresses resolved to an account associated with Gandy’s home. Gandy was arrested after a search of his cell phone identified child pornography. Specifically, twenty images were located on his cell phone of a minor who has been identified by law enforcement. Several of the images pictured sexually explicit conduct. The investigators observed a distinctive ring on the adult male hand pictured in one of the sexually explicit images. Gandy was wearing the distinctive ring when the search warrant was executed at his home.
The charges in the complaint are allegations and the defendant is presumed innocent until proven guilty.
Homeland Security Investigations (HSI) and Colorado’s Internet Crimes Against Children (ICAC) Task Force are investigating this matter. The Colorado Springs Police Department is the lead agency for this task force. Assistant United States Attorney Alecia L. Riewerts is handling the prosecution.
Case number: 21-mj-00035
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Chiropractor charged with falsely billing for procedure learned via YouTubeRead the Press Release
HOUSTON – A 46-year-old local chiropractor and her medical group have been named in a civil suit under the False Claims Act alleging fraudulent billing, announced Acting U.S. Attorney Jennifer B. Lowery.
Suhyun An owns and manages Campbell Medical Group PLLC and Johnson Medical Group PLLC dba Campbell Medical Clinic in the Spring Valley area of Houston.
The civil complaint, filed today, alleges An fraudulently obtained over $3.9 million from the Medicare and TRICARE programs by billing for the implantation of neurostimulator electrodes. These are surgical procedures usually requiring use of an operating room, and Medicare pays thousands of dollars for this procedure, according to the complaint.
The complaint alleges that neither An nor her clinic’s employees performed surgery. Instead, they allegedly applied inexpensive devices used for electro-acupuncture. This procedure involves inserting needles into patients’ ears with a neurostimulator taped behind the ears with an adhesive, according to the complaint.
The lawsuit alleges nurse practitioners working for An learned how to apply the devices by watching YouTube videos and participating in trainings with sales representatives.
The complaint alleges An knew the devices were not billable or recklessly disregarded that fact. She allegedly read specific guidance from a Medicare contractor stating Medicare did not cover the devices because they only provided acupuncture. The suit further claims she ignored emailed warnings from employees and outside billing companies including warnings that the devices were being labeled as “possible fraud.”
The Department of Health and Human Services – Office of Inspector General and Defense Criminal Investigative Services assisted with the investigation. Assistant U.S. Attorney Brad Gray is handling the matter.
The claims are allegations only, and there has been no determination of liability.
California Man Pleads Guilty to Threatening Tampa Bay Rays PlayersRead the Press Release
Tampa, Florida – Benjamin Tucker Patz, a/k/a “Parlay Patz,” (24, Napa, CA) today pleaded guilty to transmitting threats in interstate or foreign commerce. He faces a maximum penalty of five years in federal prison. A sentencing date has not yet been set.
According to the plea agreement, on July 20, 2019, the Tampa Bay Rays baseball team lost a home game to the Chicago White Sox. That same day, four Rays’ players, as well as a player for the Chicago White Sox, received direct messages on Instagram from Patz in which he threatened to carry out acts of violence against them. The messages included the following string of text sent to one Tampa Bay Rays players:
- “I will sever your neck open you pathetic c**tbag”
- “I will enter your home while you sleep”
- “And sever your neck open”
- “I will kill your entire family”
- “Everyone you love will soon cease”
- “I will cut up your family” and “Dismember the[m] alive.”
Patz sent the messages knowing that they would be viewed by the player and his family members as a true threat to injure the person of another.
This case was investigated by the Federal Bureau of Investigation and is part of the Bureau’s Integrity in Sport and Gaming Initiative, which is designed to tackle illegal sports gambling and combat threats of influence from criminal enterprises. It is being prosecuted by Assistant United States Attorney Patrick Scruggs.
Box Elder Woman Sentenced on Robbery ChargeRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Box Elder, South Dakota, woman convicted of Interference with Commerce by Robbery was sentenced by Jeffrey L. Viken, U.S. District Judge.
Karmen Englert, age 37, was sentenced on March 3, 2021, to 8 years in federal prison, followed by 3 years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund and $1,579.49 in restitution to Rushmore Casino and $800.00 in restitution to Market Square Casino.
The conviction stems from Englert driving two men to and from Rushmore Casino and Market Square Casino, where the males robbed the casinos at gunpoint in March 2020. The three also drove to Jokers Casino with the intent of committing a robbery but were unsuccessful. All three casinos are located in Rapid City, South Dakota.
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.
The investigation was conducted by the Bureau of Alcohol, Firearms, Tobacco, and Explosives, and the Rapid City Police Department. Assistant U.S. Attorney Benjamin Patterson prosecuted the case.
Englert was immediately remanded to the custody of the U.S. Marshals Service.
Boston Man Pleads Guilty to Being a Felon in Possession of a Firearm and Failing to Register as a Sex OffenderRead the Press Release
BOSTON – A Boston man pleaded guilty today in federal court in Boston to illegally possessing a firearm and ammunition and failing to register as a sex offender.
Shane Brown, 35, pleaded guilty to one count of being a felon in possession of a firearm and one count of failing to register as a sex offender in violation of the Sex Offender Notification and Registration Act (SORNA). U.S. District Court Judge William G. Young scheduled sentencing for June 17, 2021. Brown was arrested on Sept. 11, 2020 and has been in custody since.
Brown, who was convicted of a sex offense in Virginia in 2013, moved from Virginia to Boston in or around May 2020. In May and June 2020, Brown was employed in security work around Greater Boston. Brown failed to register as a sex offender in Massachusetts prior to his arrest on state charges on July 2, 2020. At the time of his state arrest, an SCCY Industries, model CPX-2, 9mm caliber pistol loaded with seven 9mm Luger cartridges was found in Brown’s waistband. Due to a previous conviction for a crime punishable by more than one year in prison, Brown is prohibited from possessing firearms and ammunition.
The charge of being a felon in possession of a firearm and ammunition provides for a sentence of up to 10 years in prison, up to three years of supervised release and a fine of up to $250,000. The charge of failing to register as a sex offender provides for a sentence of up to 10 years in prison, a minimum of five years and up to lifetime supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; U.S. Marshal John Gibbons of the District of Massachusetts; U.S. Marshal Thomas L. Foster of the Western District of Virginia; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; and Boston Police Acting Commissioner Gregory Long made the announcement today. Assistant U.S. Attorney Elianna Nuzum of Mendell’s Major Crimes Unit is prosecuting the case.
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Belle Fourche Man Sentenced to Five Years Imprisonment for Attempted Receipt of Child PornographyRead the Press Release
Acting United States Attorney Dennis R. Holmes announced that a Belle Fourche, South Dakota, man convicted of Attempted Receipt of Child Pornography was sentenced on February 26, 2021, by Jeffrey L. Viken, U.S. District Court Judge.
Tyler Wayne Deel, age 33, was sentenced to five years in federal prison, followed by five years of supervised release, and was ordered to pay a $100 special assessment to the Federal Crime Victims Fund.
Between August 2018 and November 2018, Deel resided in St. Onge, South Dakota, and had a computer with internet access. Using his computer to connect and access websites and applications for “Tumblr,” Deel received and distributed digital files containing images of child pornography. Many of the images of child pornography depicted young children.
The investigation was conducted by the South Dakota Division of Criminal Investigation, the Department of Homeland Security, the Rapid City Police Department, and the Pennington County Sheriff’s Office. Assistant U.S. Attorney Sarah B. Collins prosecuted the case.
Deel was immediately remanded to the custody of the U.S. Marshals Service.
Baltimore Member of “Boogaloo” Extremist Movement Pleads Guilty to Illegal Possession of FirearmRead the Press Release
Baltimore, Maryland – Frank William Robertson Perry, age 39, of Dundalk, Maryland, pleaded guilty on March 9, 2021, to illegal possession of a firearm by a previously convicted felon. Perry admitted that he is an adherent of the Boogaloo Movement. “Boogaloo” is a term referencing a violent uprising or impending civil war and is sometimes used by militia extremists and others. Militia extremists have adopted it to reference an impending politically-motivated civil war or uprising against the government following perceived incursions on Constitutional rights—including the Second Amendment—or other perceived government overreach. The Boogaloo is not a single cohesive group, but rather a loose concept arising from internet platforms which has become a rallying point for some extremists.
The guilty plea was announced by Acting United States Attorney for the District of Maryland Jonathan F. Lenzner; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; and Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division.
According to his plea agreement, Perry was previously convicted for second degree burglary on November 19, 2012 in Baltimore County Circuit Court. As a result of that conviction, Perry is prohibited from possessing a firearm or ammunition under federal law.
As detailed in his plea agreement, in April 2020 Perry caused his girlfriend to purchase the lower receiver of an Anderson Manufacturing AM-15 rifle, from a firearms dealer in Eastern Baltimore County for his own use. The lower receiver of a firearm, while not a completed and functioning weapon, is legally defined as a firearm. Purchasers are required to go through a background check and complete an ATF form truthfully and under penalty of perjury, which the seller of the firearm is required to maintain. The form, as completed, indicated that Perry’s girlfriend was the purchaser of the AM-15 lower receiver and that the receiver was “multi-cal,” denoting a firearm that could be assembled into a variety of calibers. The AM-15 lower receiver, once assembled, is nearly identical to the AR-15 assault rifle.
Perry admitted that from March 31, 2020 to September 6, 2020, he purchased a number of firearm-related items online, including a gun cleaning mat with a diagram of the parts of an AR-15 style rifle; grease for lubricating firearms; a sling and sling assembly for a rifle; a weapon mounted light commonly found on AR-15 style weapons; a weapons mounted sight; and a device to calibrate a weapons sight. Perry caused the items to be delivered to his girlfriend’s residence in her name and used the items to build an operational AM-15 weapon.
As detailed in the plea agreement, on October 7, 2020, law enforcement executed a search warrant at Perry’s residence in Dundalk, Maryland and seized an Anderson Manufacturing rifle model AM-15; a black tactical vest containing two ballistic plates; three loaded rifle magazines; eight rounds of .223 caliber ammunition and other firearm related accessories. During an interview with law enforcement, Perry insisted that the rifle was purchased and owned by his girlfriend for self-defense purposes. He also claimed to have built the rifle and conceded that the FBI would find his fingerprints on the weapon. Perry also admitted he would have used the weapon himself for self-defense if the situation required it.
Perry faces a maximum sentence of 10 years in prison for being a felon in possession of a firearm. U.S. District Judge Catherine C. Blake has not yet scheduled sentencing.
Acting United States Attorney Jonathan F. Lenzner commended the FBI’s Joint Terrorism Task Force, which includes the ATF, for their work in the investigation and thanked the Baltimore County Police Department for its assistance. Mr. Lenzner thanked Assistant U.S. Attorneys Kathleen O. Gavin and P. Michael Cunningham, who are prosecuting the case.
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Allentown Woman Sentenced to 75 Months’ Imprisonment and Must Pay over $857,000 for Defrauding the GovernmentRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on March 9, 2021, Marien Torres-Acevedo, age 38, of Allentown, Pennsylvania, was sentenced to 75 months’ imprisonment by United States District Court Judge Robert D. Mariani, for conspiring to defraud the government and for committing aggravated identity theft.
According to Acting United States Attorney Bruce D. Brandler, Torres-Acevedo pleaded guilty to conspiring to defraud the government between January 2015 to July 2016. Torres-Acevedo and her conspirators obtained fraudulent U.S. Treasury checks by stealing victims’ identities and using those stolen identities to file false tax returns that generated significant refunds. Torres-Acevedo and her conspirators then secured the fraudulent U.S. Treasury checks and cashed them at various check cashing businesses, including several in Pennsylvania. Torres-Acevedo admitted that between $550, 000 and $1.5 million in losses occurred as a result of the criminal activity.
During the sentencing hearing, Judge Mariani highlighted the losses caused to the United States government by the scheme, and the number of victims whose identities were stolen to file false tax returns. Acevedo also was held accountable for fabricating social media communications that threatened her and her family and providing them to investigators, who were able to trace the communications back to Acevedo.
Judge Mariani also ordered Torres-Acevedo to pay $857,729.65 in restitution. Torres-Acevedo is a citizen of the Dominican Republic and faces deportation at the conclusion of her sentence of imprisonment.
Torres-Acevedo codefendant, Francisco Rodriguez-Polanco, and another coconspirator, Julio Polanco Suarez, both pleaded guilty to similar offenses. Rodriguez-Polanco was sentenced to 54 months of imprisonment, while Suarez awaits sentencing. Another third coconspirator, Alfred LiPuma, age 81, was previously sentenced to three years of probation and paid $2.1 million in restitution and fines.
The matter was investigated by the Department of the Treasury’s Office of the Inspector General, the Internal Revenue Service, Homeland Security Investigations, United States Postal Inspectors, and other federal and state law enforcement agencies. Assistant United States Attorney Phillip J. Caraballo prosecuted the case.
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Alleged Romance Scammer from Orange County Arrested on Federal Charges of Defrauding at Least 10 Victims Out of over $1 MillionRead the Press Release
LOS ANGELES – Federal authorities have arrested an Irvine resident on fraud charges that were unsealed today to reveal allegations he stole more than $1 million from at least 10 victims in Southern California – some of whom he developed romantic relationships with – and used the personal information of some to obtain credit.
Ze’Shawn Stanley Campbell, 33, who in recent years has lived in several cities in Los Angeles and Orange counties, was taken into custody March 6 at Dallas Fort Worth International Airport after arriving on an international flight. During his first court appearance Monday in federal court in Fort Worth, Campbell was ordered detained, and the United States Marshals Service was ordered to transport him to Los Angeles. Once he arrives in Southern California, Campbell will be arraigned and will be afforded a detention hearing.
Over the course of six years, Campbell allegedly defrauded his victims by lying about his wealth, his ownership of various business, his success in investing money, and his service in the military. After convincing the victims he was wealthy, reliable and successful, Campbell asked for money, including for loans that he claimed he would use to support his businesses and to pay his medical bills, according to the indictment. In some cases, Campbell obtained money from victims with false claims he would invest their funds.
Notwithstanding his various claims, the indictment alleges Campbell used the funds to support his lifestyle, which included the purchase of luxury items. When some of his victims refused to give or stopped giving him money, he applied for loans and credit cards in their names without their knowledge and then failed to pay off those loans and credit card balances, according to the indictment.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The indictment filed on March 5 and unsealed today charges Campbell with five counts of wire fraud, one count of money laundering, two counts of bank fraud, and one count of aggravated identity theft.
The wire fraud and bank fraud charges in the indictment each carry a 30-year statutory maximum sentence, the money laundering charge carries a potential 10-year federal prison sentence, and the aggravated identity theft charge carries a mandatory, consecutive sentence of two years of imprisonment.
This matter is being investigated by the FBI.
This case is being prosecuted by Assistant United States Attorney Poonam G. Kumar of the Major Frauds Section.