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4 March 2021
Former USCIS Official Agrees to Pay Civil Penalties in Settlement of Conflict of Interest AllegationsRead the Press Release
ALEXANDRIA, Va. – A former U.S. government official agreed to pay $33,000 to resolve allegations that she had an improper conflict of interest with a company while she served as a division chief at U.S. Citizenship and Immigration Services (USCIS).
According to allegations of the United States, Sarah Fahden, of Fort Washington, Maryland, engaged in employment negotiations with eGlobaltech (“eGT”), a company that had a contract with USCIS, while Fahden was employed as the Division Chief of USCIS’s Identity, Records and National Security Division. While negotiating employment with eGT and after agreeing to an employment arrangement with eGT, Fahden is alleged to have participated personally and substantially on a modification to a contract between USCIS and eGT that added additional funding and positions for eGT on the contract. That contract modification allegedly was under Fahden’s official responsibility during her last year at USCIS.
After leaving her position at USCIS in July 2018 and becoming employed as a subcontractor to eGT, Fahden communicated with USCIS officials with the alleged intent of influencing those officials to approve Fahden and her colleague to fill contractor positions that were added through the modification of the USCIS contract.
The resolutions obtained in this matter were the result of a coordinated effort between the U.S. Attorney’s Office for the Eastern District of Virginia and the Office of Inspector General for the Department of Homeland Security’s Major Frauds & Corruption Unit.
Raj Parekh, Acting U.S. Attorney for the Eastern District of Virginia, and Joseph V. Cuffari, Inspector General for the Department of Homeland Security, made the announcement. The matter was investigated by Assistant U.S. Attorney Krista Anderson.
The civil penalty settled by this agreement are allegations only; there has been no determination of civil liability.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Former Oklahoma City Zoo Employee Sentenced After Pleading Guilty to Trafficking of Endangered Galapagos TortoisesRead the Press Release
OKLAHOMA CITY – Yesterday, JOSHUA TAYLOR LUCAS, of Austin, Texas, pleaded guilty to a single-count felony Information charging him with wildlife trafficking in violation of the Lacey Act, announced Robert J. Troester, Acting United States Attorney for the Western District of Oklahoma.
On April 14, 2020, Lucas was charged by Information with violating the Lacey Act. Among other offenses, the Lacey Act prohibits people from importing, exporting, transporting, selling, receiving, acquiring or purchasing any fish, wildlife, or plant that was taken, possessed, transported or sold in violation of any law, treaty or regulation of the United States or in violation of any tribal law.
Yesterday, Lucas pleaded guilty to taking an endangered species of wildlife and then selling and shipping the animals across state lines in violation of the Lacey Act. At the hearing, Lucas, a former assistant curator of herpetology at the Oklahoma City Zoo, admitted that he stole several Galapagos tortoise hatchlings during his tenure at the Zoo. Lucas further admitted that he sold and shipped 21 Galapagos tortoise hatchlings to a Nevada resident, Kenneth Warren Foose II (deceased), who was previously under Indictment in the Southern District of Texas for the illegal traffic of Galapagos tortoises.
At the combined plea and sentencing hearing, United States District Judge Bernard Jones accepted the guilty plea and then sentenced Lucas to serve three years of probation, perform 100 hours of community service, and pay $32,500 in restitution to the Oklahoma City Zoo.
"The exploitation and trafficking of endangered wildlife for personal profit is unacceptable," said Acting U.S. Attorney Troester. "I commend the steadfast efforts of the U.S. Fish and Wildlife Service, and the prosecutors in this case, who are committed to hold traffickers of endangered animals accountable."
Phillip Land, Special Agent in Charge for the U. S. Fish and Wildlife Service - Office of Law Enforcement for the Southwestern U.S., stated "This investigation involved the illegal traffic of endangered Galapagos tortoises for the exotic pet trade. This iconic species is the largest tortoise in the world, with hatchling sized juveniles carrying a black market value starting at $5,000 per animal. Our Special Agents and Wildlife Inspectors make it a priority to identify, investigate, and dismantle illegal trafficking networks, and refer individual violators for prosecution under U.S. Laws."
The case was prosecuted by Assistant U.S. Attorney Charles Brown and Trial Attorney RJ Powers from the Justice Department’s Environmental Crimes Section of the Environment and Natural Resources Division. The United States Fish and Wildlife Service conducted the investigation.
Former Executive Director of Maryland Center for Adult Training Sentence to Two Years in Federal Prison for Tax Related ChargesRead the Press Release
Baltimore, Maryland – U.S. District Judge Deborah K. Chasanow today sentenced Roslyn Wedington, age 50, of Rosedale, Maryland, to two years in federal prison, followed by three years of supervised release, on the federal charges of conspiracy to defraud the United States and for five counts of filing false tax returns. Judge Chasanow also ordered Wedington to pay restitution of $121,592.50.
The sentence 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 Kelly R. Jackson of the Internal Revenue Service - Criminal Investigation, Washington, D.C. Field Office.
“Roslyn Wedington went to great lengths to avoid paying the taxes she owed,” said Acting United States Attorney Jonathan F. Lenzner. “When criminals cheat the IRS, they are also stealing from all of us as taxpayers. As we head into tax season, let Ms. Wedington’s case and prison sentence be reminders to everyone about the consequences of tax fraud.”
“Roslyn Wedington tried to cheat the government and was caught,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore field office. “People who file fraudulent tax returns are committing a crime and, as the sentence today shows, risking serious jail time. The FBI and our law enforcement partners are committed to rooting out violations of the law."
“Wedington engaged in a scheme to receive a salary free of tax withholdings, yet that was not enough for her. Wedington continued her fraudulent behavior by submitting false income tax returns to the IRS, furthering her efforts to avoid paying taxes,” said Special Agent in Charge Kelly R. Jackson. “The prosecution of individuals, such as Wedington, is vital to maintaining confidence and compliance with our tax laws. Tax fraud investigations remain the core of our agency’s law enforcement efforts.”
According to Wedington’s plea agreement, she was a full-time salaried employee of the Maryland Center for Adult Training, Inc. (MCAT) from 2009 through 2019, initially serving as MCAT’s student coordinator and in 2012 becoming the organization’s Executive Director. MCAT was a non-profit entity that provided training and employment certifications for jobs in the healthcare field. MCAT represented itself to be a private career school accredited by the Maryland Higher Education Commission and the Maryland Board of Nursing. MCAT was an approved “Eligible Training Provider” (ETP) and its name appeared on the Maryland Department of Labor, Licensing, and Regulation’s Eligible Training Provider List. As a recognized ETP, MCAT received federal funds, as well as funding from private philanthropic organizations, such as the Abell Foundation and Associated Black Charities. In 2015, former Baltimore City employee Gary Brown, Jr. became Chairman of MCAT’s Board of Directors and obtained signatory authority on MCAT’s bank account.
Wedington admitted that she conspired with Gary Brown to avoid tax withholdings from her payroll checks while Wedington was the Executive Director of MCAT and Brown was the Chairman of the Board of Directors. Specifically, in 2013, Wedington’s salary was garnished due to outstanding student loan debt and medical bills. In order to avoid further garnishments, Wedington asked Brown to take her “off payroll,” which meant that MCAT would no longer submit her name to the payroll service provider for the purpose of calculating taxes to be withheld from her salary. Brown agreed to the arrangement and had MCAT make electronic deposits into his personal bank account in an amount that exceeded the annual salary owed to Wedington, creating the pretense that he was doing work for MCAT as an independent contractor. Brown then wrote checks to Wedington and/or gave her cash equal to or greater than her salary, which was more than $80,000 per year. No taxes were withheld from the funds Brown paid to Wedington, nor did Wedington’s salary go through her bank account, where it could be garnished.
In addition, Wedington admitted that she paid Brown a small fee to prepare fraudulent tax returns for her for tax years 2013 through 2017. The fraudulent tax returns did not report Wedington’s MCAT income and made a variety of false entries, resulting in refunds to which Wedington was not entitled and avoiding over $121,000 in total taxes due and owing.
Former Baltimore City employee Gary Brown, Jr., age 38, of Baltimore, was previously sentenced to 27 months in federal prison for conspiracy to commit wire fraud, two counts of conspiracy to defraud the United States, and for filing a false tax return. Judge Chasanow also ordered Brown to pay restitution of $14,000.
Acting United States Attorney Jonathan F. Lenzner commended the FBI and the IRS Criminal Investigation for their work in the investigation and thanked the U.S. Department of Labor - Office of Inspector General, Office of Investigations - Labor Racketeering and Fraud, the Maryland State Prosecutor’s Office, and the Baltimore City Office of Inspector General for their assistance. Mr. Lenzner thanked Assistant U.S. Attorneys Martin J. Clarke and Leo J. Wise, who are prosecuting the case.
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Former CFO of ETA Compute Sentenced for Wire FraudRead the Press Release
BOISE – Timothy Semones, 61, of Ketchum, Idaho, was sentenced to 36 months in federal prison, Acting U.S. Attorney Rafael M. Gonzalez, Jr. announced today. Chief U.S. District Judge David C. Nye also imposed a term of three years of supervised release to follow Semones’ prison sentence, a $5,000 fine, and entered a restitution order for $3 million payable to the victim, ETA Compute.
According to court records, Semones admitted that, in 2017 and 2018, he was the Chief Financial Officer (CFO) of ETA Compute, Inc. (ETA), a corporation with its principal place of business in Los Angeles, California. Semones worked remotely from Ketchum. As part of his duties as CFO, Semones had access to ETA’s Wells Fargo Bank business checking account and had the ability to make online transfers of funds from this account.
According to court records, in 2017 and 2018, Semones was in the process of designing and building an approximate 7,000 square foot personal residence located at 29 Lake Creek Drive in Ketchum. Between October 2017 and November 2018, Semones made nine online transfers of funds, totaling $3 million, from ETA’s Wells Fargo Bank business checking account to personal bank accounts over which he had access and control. Semones used the misappropriated funds to pay construction costs for the Lake Creek Drive residence, and to pay off the balance of a line of credit used to build the residence.
According to court records, in November 2018, when ETA’s Chief Executive Officer confronted Semones about the low balance of funds in ETA’s Wells Fargo Bank business checking account, Semones made false statements about the location and balance of funds. Additionally, Semones emailed falsified Wells Fargo Bank records – that made it appear that ETA’s bank account had $1.5 million more than it actually did – to ETA’s Chief Executive Officer.
In May 2020, the Lake Creek Drive property was sold. ETA was provided with $3 million, in full restitution for its loss, from the proceeds of the sale.
This case was investigated by the Federal Bureau of Investigation.
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Former Bay Springs City Administrator Sentenced to over 4 Years in Prison for Federal Crimes Related to Embezzlement of City FundsRead the Press Release
Hattiesburg, Miss. - Randy James, 56, the former City Clerk of Bay Springs in Jasper County, was sentenced yesterday by U.S. District Judge Taylor McNeel, for the federal crimes of money laundering and making false statements on a federal tax return, announced Acting U.S. Attorney Darren J. LaMarca, Special Agent in Charge James E. Dorsey of the Internal Revenue Service – Criminal Investigation Atlanta Field Office, and Mississippi State Auditor Shad White. James pled guilty to the charges on October 7, 2020, before Senior U.S. District Judge Keith Starrett.
James was sentenced to serve a total of 50 months in federal prison, followed by 3 years of supervised release. He was also ordered to pay restitution in the amount of $265,561.84 to the Office of the Mississippi State Auditor on behalf of the City of Bay Springs, as well as $95,000 in restitution to the IRS and $60,000 in restitution to RLI Surety, which was the bonding surety company for the City of Bay Springs. James was also ordered to pay $30,200 in fines and special assessments.
During 2017 and 2018, Randy James was employed by the City of Bay Springs, Mississippi, as City Clerk, and had control over certain financial aspects of the city. During this time, James embezzled just over $300,000 from Bay Springs between August 2017 and April 2018 by creating fraudulent invoices from fictitious companies for the costs of false services that were never approved or incurred by the city. James diverted city funds by obtaining checks from the City of Bay Springs, cashing the checks at a local bank, and wiring those funds overseas to international scammers in the hope of winning money in a lottery scheme. James also made false statements on his personal 2018 Federal Income Tax Return by under-reporting gross receipts by $193,331.00.
The State Auditor’s Office previously issued a demand letter to James for $325,562 which included the amount of his embezzlement, plus interest and investigative costs. In his publicly filed plea agreement with the U.S. Attorney’s Office, James agreed to pay a total of $420,562 in restitution.
Acting U.S. Attorney LaMarca commended the federal, state and local law enforcement cooperation displayed in this case. The case was investigated by the Mississippi State Auditor’s Office and Internal Revenue Service – Criminal Investigation. The case was prosecuted by Assistant U.S. Attorney Stan Harris.
Florida man admits to conspiring to transport stolen campers across state linesRead the Press Release
ELKINS, WEST VIRGINIA – Yankier Gaston Garcia, of Florida, has admitted to his involvement in the theft of campers from a business in Elkins, West Virginia, Acting United States Attorney Randolph J. Bernard announced.
Garcia, 32, pleaded guilty today to one count of “Conspiracy to Commit Offense against the United States.” Garcia admitted to driving a heavy-duty pickup truck into Elkins, West Virginia, and stealing a 2021 Grand Design Reflection camper, valued at $48,895.00, from Roy’s RV Supercenter in July 2020.
Garcia is facing up to five years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Jarod J. Douglas is prosecuting the case on behalf of the government. The FBI and the West Virginia State Police investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Fitchburg Man Charged with Money Laundering and Illegal Money Transmission for Converting Cash to BitcoinRead the Press Release
BOSTON – A Fitchburg man was indicted by a grand jury in connection with his alleged involvement in an unlicensed money transmission business that exchanged cash for Bitcoin for individuals represented to be involved in unlawful trafficking in counterfeit goods.
Alan Joseph, 32, was indicted today on one count of operating an unlicensed money transmitting business and four counts of money laundering. Joseph was initially charged by criminal complaint and arrested in February 2021.
According to charging documents, between August 2020 and February 2021, Joseph engaged in at least four financial transactions where he converted cash to Bitcoin in connection with what Joseph believed to be trafficking in counterfeit goods, which is illegal under federal law. Bitcoin is a form of virtual currency, or cryptocurrency, that has no physical form and is traded exclusively by electronic means.
Joseph allegedly sought to promote and conceal the nature of such illegal activity. For instance, on Aug. 12, 2020, Joseph converted approximately $12,000 in cash to Bitcoin for an undercover agent who Joseph believed to be a seller of counterfeit “Gucci” products sourced from China. The undercover agent further represented that his Chinese supplier required Bitcoin to purchase the product. Approximately two months later on Oct. 28, 2020, Joseph allegedly converted about $25,000 in cash to Bitcoin for the same undercover agent. During this meeting, the undercover agent represented to Joseph that the money Joseph was converting was from “rich housewives” who purchased “fake” items. It is further alleged that Joseph expressed an interest in purchasing counterfeit goods from the undercover agent.
Contrary to federal law and regulations, Joseph never registered his money transmission business with the Department of Treasury, nor did he ever request identification from the undercover agent during the meetings.
The charge of money laundering provides for a sentence of up to 20 years in prison, up to three years of supervised release and a fine of $250,000. The charge of operating an unlicensed money transmitting business provides for a sentence of up to five years in prison, up to three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
Acting United States Attorney Nathaniel R. Mendell; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation; William S. Walker, Special Agent in Charge of Homeland Security Investigations in Boston; Ramsey E. Covington, Acting Special Agent in Charge of the Internal Revenue Services-Criminal Investigation; and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service made the announcement. Assistant U.S. Attorney John T. Mulcahy of Mendell’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Filer Man Sentenced to 3 Years for Possessing Child PornographyRead the Press Release
BOISE – Scott Nice, 31, of Filer, was sentenced in U.S. District Court to 36 months in federal prison for possessing child pornography, Acting U.S. Attorney Rafael M. Gonzalez, Jr. announced today. U.S. Chief District Judge David C. Nye also ordered Nice to serve ten years of supervised release following his prison sentence. Nice pleaded guilty to the charge on March 6, 2020.
According to court records, between January 30, 2019 and February 5, 2019, law enforcement computers operated by the Federal Bureau of Investigation (FBI) and Idaho Internet Crimes Against Children (ICAC) Task Force downloaded several files of child pornography that were made available by Nice’s computer via a peer-to-peer network. A federal magistrate judge issued a search warrant for Nice’s Filer residence. FBI and ICAC members executed the search warrant and seized a laptop computer from Nice’s residence. A forensic examination of the computer revealed files of child pornography anime and internet history showing that the computer had been used to view child pornography videos. Nice admitted to downloading and viewing child pornography and child pornography anime.
At sentencing, Judge Nye also ordered Nice to forfeit the computer used in the commission of the offense. As a result of conviction, Nice will be required to register as a sex offender.
This case was investigated by the Federal Bureau of Investigation and Idaho Internet Crimes Against Children Task Force, with assistance from the Twin Falls County Sheriff’s Office.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. As part of Project Safe Childhood, the U.S. Attorney’s Office for the District of Idaho and the Idaho Attorney General’s Office partner to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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Federal Gun and Drug Charges Added to Indictment Accusing Suburban Chicago Man of Attempting to Support ISISRead the Press Release
CHICAGO — A newly filed federal indictment adds firearm and drug charges against a suburban Chicago man accused of attempting to provide material support to the Islamic State of Iraq and al-Sham, also known as ISIS.
JASON BROWN, also known as “Abdul Ja’ Me” and “Matthew Dobbs,” was originally charged in 2019 with attempting on three separate occasions to provide $500 in cash to ISIS, knowing that the group was engaging in terrorist activity. A superseding indictment filed in U.S. District Court in Chicago alleges that Brown illegally possessed four loaded handguns in furtherance of a drug trafficking crime that included distributing methamphetamines. The superseding indictment also accuses Brown of distributing fentanyl and conspiring to possess marijuana plants with the intent to distribute.
Brown, 38, of Lombard, Ill., has been in law enforcement custody since his arrest in 2019. He pleaded not guilty to the new charges during arraignment today before U.S. Magistrate Judge Sunil R. Harjani.
The superseding indictment was announced by John R. Lausch, United States Attorney for the Northern District of Illinois; John C. Demers, Assistant Attorney General for National Security at the U.S. Department of Justice; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; Tamera Cantu, Acting Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago; and David Brown, Superintendent of the Chicago Police Department. Substantial assistance was provided by the Illinois State Police, U.S. Postal Inspection Service, U.S. Customs and Border Protection, U.S. Homeland Security Investigations, Lombard (Ill.) Police Department, and Addison (Ill.) Police Department. The government is represented by Assistant U.S. Attorneys Shoba Pillay, Sean Driscoll and Nicholas Eichenseer of the Northern District of Illinois, with support from the National Security Division, Counterterrorism Section.
The public is reminded that charges contain only accusations and are not evidence of guilt. If convicted, the Court must impose a reasonable sentence under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
The charges in the superseding indictment and the maximum sentence for each count are as follows: Three counts of attempting to provide material support to a foreign terrorist organization (20 years); one count of drug conspiracy involving the possession of marijuana plants (life in prison, and a minimum sentence of ten years); one count of distribution of a controlled substance involving fentanyl (life in prison, and a minimum sentence of ten years); one count of distribution of a controlled substance involving marijuana (30 years); one count of possession of methamphetamines with intent to distribute (life in prison, and a minimum sentence of 15 years); one count of illegal possession of a firearm as a convicted felon (ten years); and one count of possession of a firearm in furtherance of a drug trafficking crime (life in prison, and a minimum sentence of five years).
Federal Court Orders New York Company and its Operators to Stop Distributing Adulterated Dietary SupplementsRead the Press Release
A federal court permanently enjoined a New York company and its operators from manufacturing or distributing dietary supplements unless and until they comply with the law.
A complaint filed May 23, 2019, alleged that Confidence USA Inc. company president Helen Chian, and company manager Jim Chao violated the Federal Food, Drug, and Cosmetic Act (FDCA) by distributing adulterated dietary supplements.
The complaint alleged that inspections conducted by the U.S. Food and Drug Administration (FDA) in 2016, 2017, and 2018 showed that the defendants repeatedly failed to verify that their finished dietary supplements met product specifications for identity, purity, strength, composition, and contamination limits, and failed to verify the identity of each dietary ingredient used in the manufacture of the supplements. The Justice Department filed the complaint in U.S. District Court for the Eastern District of New York at the request of the FDA.
“American consumers expect dietary supplements to contain the ingredients stated on the label, in the stated amounts,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The department will continue to work with the FDA to ensure that dietary supplement manufacturers follow the law.”
According to the complaint, the defendants made and distributed more than 50 dietary supplements under brand names that include Confidence USA, American Best, USA Natural and The Herbal Store.
“The millions of Americans who take dietary supplements trust that they are unadulterated and meet product specifications under good manufacturing practice regulations,” said Acting U.S. Attorney Seth D. DuCharme for the Eastern District of New York. “The injunctive relief obtained by the United States in this case protects consumers by requiring defendants to follow the law and adhere to the regulations in manufacturing and distributing dietary supplements.”
Dietary supplements not prepared, packed and held in conformance with current good manufacturing practices regulations are adulterated in violation of the FDCA. The FDA issued a warning letter to Confidence USA in 2011 regarding deficiencies with the company’s manufacturing practices, and U.S. Marshals previously seized certain Confidence USA products in connection with a 2012 complaint alleging the products were adulterated.
“Consumers deserve access to dietary supplements that are manufactured to assure their quality,” said Judy McMeekin, Pharm.D., FDA’s Associate Commissioner for Regulatory Affairs. “If a dietary supplement company repeatedly fails to comply with basic good manufacturing practice requirements, the public cannot trust that their products are what they say they are. The FDA will continue to protect American consumers by taking appropriate actions necessary when companies violate the law.”
Trial Attorney Raquel Toledo of the Department of Justice Civil Division's Consumer Protection Branch and Assistant U.S. Attorney Robert Schumacher from the U.S. Attorney’s Office for the Eastern District of New York handled the case, with assistance from Associate Chief Counsel for Enforcement Jennifer Argabright of the FDA’s Office of General Counsel.
For information on the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch. For more information about the U.S. Attorney’s Office for the Eastern District of New York, visit https://www.justice.gov/usao-edny.
Fairfield Woman Sentenced on Federal Drug ChargeRead the Press Release
BANGOR, Maine: A Fairfield woman was sentenced today in federal court for conspiring to distribute and to possess with intent to distribute controlled substances, Acting U.S. Attorney Donald E. Clark announced.
U.S. District Judge Lance E. Walker sentenced Stephanie Pelletier, 29, to 32 months in prison followed by three years of supervised release. Pelletier pleaded guilty in October 2020.
According to court records, between September 1, 2018, and March 3, 2019, Pelletier participated in a conspiracy to distribute fentanyl and cocaine base. She obtained the narcotics from out-of-state suppliers and distributed them for sale in central Maine.
The Waterville Police Department and the U.S. Drug Enforcement Administration investigated the case.
Employee of Middletown Used Car Dealership Sentenced to Prison for Role in Auto Loan Fraud SchemeRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that JUSTIN WILLIAMS, 42, of Rocky Hill, was sentenced today by U.S. District Judge Robert N. Chatigny to 21 months of imprisonment, followed by five years of supervised release, for his role in an auto loan fraud scheme. Judge Chatigny ordered Williams to serve the first three months of his supervised release in home confinement, and to perform 200 hours of community service.
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, Williams worked as a salesman and de facto general manager at a used car dealership located at 1075 Newfield Street in Middletown, known variously as Car Nation, LLC, Car Nation CT, LLC, and Middletown Motorcars, which was owned and operated by George Hajati. In connection with automobile loan applications for multiple borrowers, Williams, Hajati and others submitted documents and statements to victim lenders that falsely represented the borrower’s employment, salary, sources of income, and amount of a down payment. The false documents included fictitious or altered borrower pay stubs and income verification letters purportedly from the Social Security Administration. Williams submitted loan applications indicating that borrowers made salaries they did not make, worked at jobs they did not work, received income from the Social Security Administration they did not receive, and made down payments they did not make. In some instances, the borrower was not aware of, and did not authorize, Williams’ use of his or her personal identifying information to obtain automobile loans in these ways.
Between approximately November 2015 and June 2016, Williams defrauded lenders of $264,345.54 through this scheme. He was ordered to pay $251,267.08 in restitution.
Williams was previously convicted of federal fraud charges related to a Hartford-area scheme to defraud mortgage lenders, and he was on federal supervised release as the time of his participation in this auto loan fraud scheme.
Williams was arrested on a criminal complaint on January 16, 2020. On November 19, 2020, he pleaded guilty to one count of wire fraud.
Williams, who is released on a $100,000 bond, is required to report to prison on July 5, 2021.
Hajati pleaded guilty to one count of wire fraud stemming from this scheme. He also was previously convicted of federal fraud charges related to the Hartford-area mortgage fraud scheme and was serving a term of supervised release. In June 2020, he was sentenced to 27 months of imprisonment and ordered to pay $654,952.56 in restitution for his role in the auto loan fraud scheme, and was sentenced to an additional 21 months of imprisonment for violating the conditions of his supervised release.
This matter was investigated by the Federal Bureau of Investigation and the Social Security Administration Office of Inspector General. The case was prosecuted by Assistant U.S. Attorneys Conor M. Reardon and David T. Huang.
Drug Dealer Pleads Guilty to Distributing Fentanyl Resulting in Overdose DeathRead the Press Release
Assistant U. S. Attorneys Kareem A. Salem (619) 546-8904 and Larry Casper (619) 546-6734
NEWS RELEASE SUMMARY – March 4, 2021
SAN DIEGO – Arnold Ray Walters III of San Diego pleaded guilty today before U.S. Magistrate Judge Karen S. Crawford to distributing fentanyl that resulted in the overdose death of a 24-year-old male who resided in Poway on January 1, 2017. The charge to which Walters pleaded guilty carries a 20-year mandatory minimum sentence.
According to his plea agreement, Walters admitted that, on or about December 31, 2016, he knowingly provided a pressed-blue pill containing fentanyl to another individual and understood that it would, in turn, be provided to the victim. Walters also admitted he was aware of the potentially lethal impact of the fentanyl based on his knowledge of other individuals accidentally overdosing on fentanyl.
“We will continue to vigorously prosecute those selling deadly fentanyl for profit and who take lives and destroy families in the process,” said Acting U.S. Attorney Randy S. Grossman. “Fentanyl overdose deaths increased threefold in San Diego County from 2019 to 2020. Our office is working with law enforcement to pursue fentanyl suppliers and hold them accountable for the tragic results of their unlawful activities.”
Acting U.S. Attorney Grossman praised the San Diego County Sheriff’s Department, Homeland Security Investigations, and Assistant U.S. Attorneys Kareem Salem and Larry Casper for their efforts on this case. The U.S. Attorney’s Office also works closely on these matters with agents from Narcotics Task Force Team 10, a multi-agency team housed by DEA that was created in July 2018 to address drug overdose deaths in San Diego.
Sheriff Bill Gore said, “This case highlights the commitment of the San Diego County Sheriff's Department in following all available leads and working collaboratively with our justice partners to investigate and prosecute overdose deaths.”
Walters, who is also pending sentencing on an earlier guilty plea to federal firearms charges, is scheduled to be sentenced on both cases by U.S. District Judge Janis L. Sammartino on May 21, 2021 at 9 a.m.
For those who suffer from addiction, please know there is help. Call the Crisis line at 888-724-7240; it’s always open.
DEFENDANT Case Number 19-CR-4406-JLS
Arnold Ray Walters III Age: 33
SUMMARY OF CHARGES
Distribution of Fentanyl Resulting in Death – Title 21, U.S.C., Section 841(b)(1)(c)
Maximum penalty: Mandatory minimum 20 years in prison up to life
AGENCY
San Diego Sheriff’s Department
U.S. Homeland Security Investigations
Dominican National Pleads Guilty to Distributing FentanylRead the Press Release
BOSTON – A Dominican national previously residing in Dorchester pleaded guilty yesterday to distributing fentanyl.
Snolbert Ramirez-Sandoval, 23, pleaded guilty to two counts of distribution of fentanyl and two counts of employment or use of persons under 18 years of age in drug operations. U.S. District Court Judge Indira Talwani scheduled sentencing for July 9, 2021. Ramirez-Sandoval was charged in August 2018.
Sandoval sold fentanyl on July 26, 2018, by directing the buyer to go to an apartment in Roslindale. The sole occupants were two young boys (one between 10-and-14-years-old and the other between 2-and-6-years-old). The older boy led the buyer to the room in which Ramirez-Sandoval had left the fentanyl. The buyer paid the older child for the substance and left. On Aug. 2, 2018, the buyer returned to the Roslindale apartment to purchase additional fentanyl from Ramirez-Sandoval who told the buyer by phone that he was not yet there, but the kids were upstairs and instructed the buyer to ring the buzzer. The buyer was greeted by the same two children. Approximately 20 minutes later, Ramirez-Sandoval and another individual arrived at the apartment and sold the buyer the fentanyl
The charge of distribution of fentanyl carries a sentence of up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million. The charge of employment or use of persons under 18 years of age in drug operations carries a sentence of up to 45 years in prison, at least three years of supervised release and a fine of up to $300,000. Ramirez-Sandoval will be subject to deportation proceedings. 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 Division; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. Assistant U.S. Attorney Craig Estes of Mendell’s Narcotics and Money Laundering Unit is prosecuting the case.
Doctor Admits Illegally Prescribing OxycodoneRead the Press Release
Leonard C Boyle, Acting United States Attorney for the District of Connecticut, announced that JENNIFER FARRELL, 38, of Chapel Hill, North Carolina, pleaded guilty today to a narcotics distribution offense related to her illegally writing numerous prescriptions for oxycodone while she was a doctor in New Haven.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the court proceeding before U.S. District Judge Jeffrey A. Meyer occurred via videoconference.
According to court documents and statements made in court, Farrell was a medical resident at Yale New Haven Health (“YNHH”) in its Emergency Department from July 2017 until June 2019. From March 2018 to March 2019, Farrell wrote more than 50 prescriptions for oxycodone for non-legitimate medical purposes outside the scope of her professional practice in the name of at least five individuals. Farrell did not see any of the other individuals for any medical purpose at any YNHH facility during the entire period of her residency. In total, she wrote illegal prescriptions for nearly 4,000 oxycodone tablets during that approximately one-year period.
Farrell pleaded guilty to distribution of controlled substances outside the scope of her professional practice and without a legitimate medical purpose.
Judge Meyer scheduled sentencing for May 26, 2021, at which time Farrell faces a maximum term of imprisonment of 20 years.
Farrell was arrested on a federal criminal complaint on July 31, 2019. She is released on a $200,000 bond pending sentencing.
This investigation is being conducted by the Federal Bureau of Investigation and the Drug Enforcement Administration, Diversion Control Group. The case is being prosecuted by Assistant U.S. Attorney Heather Cherry.
District Court Orders Long Island Company and its Operators to Stop Distributing Adulterated Dietary SupplementsRead the Press Release
BROOKLYN, NY – The United States Court for the Eastern District of New York has permanently enjoined a New York company and its operators from manufacturing or distributing dietary supplements unless and until they comply with the law, the Department of Justice Civil Division’s Consumer Protection Branch and the United States Attorney’s Office for the Eastern District of New York announced today.
A complaint filed May 23, 2019, alleged that defendants Confidence USA Inc., of Port Washington, New York, the company’s president Helen Chian, and manager Jim Chao violated the Federal Food, Drug, and Cosmetic Act (FDCA) by distributing adulterated dietary supplements. The complaint alleged that inspections conducted by the U.S. Food and Drug Administration (FDA) in 2016, 2017, and 2018 showed that the defendants repeatedly failed to verify that their finished dietary supplements met product specifications for identity, purity, strength, composition, and contamination limits, and failed to verify the identity of each dietary ingredient used in the manufacture of the supplements. The United States filed the complaint in U.S. District Court for the Eastern District of New York at the request of the FDA.
“The millions of Americans who take dietary supplements trust that they are unadulterated and meet product specifications under good manufacturing practice regulations,” said Acting U.S. Attorney Seth D. DuCharme. “The injunctive relief obtained by the United States in this case protects consumers by requiring defendants to follow the law and adhere to the regulations in manufacturing and distributing dietary supplements.”
“American consumers expect dietary supplements to contain the ingredients stated on the label, in the stated amounts,” said Acting Assistant Attorney General Brian M. Boynton of the Justice Department’s Civil Division. “The department will continue to work with the FDA to ensure that dietary supplement manufacturers follow the law.”
“Consumers deserve access to dietary supplements that are manufactured to assure their quality. If a dietary supplement company repeatedly fails to comply with basic good manufacturing practice requirements, the public cannot trust that their products are what they say they are,” said Judy McMeekin, Pharm.D., FDA’s Associate Commissioner for Regulatory Affairs. “The FDA will continue to protect American consumers by taking appropriate actions necessary when companies violate the law.”
According to the complaint, the defendants made and distributed more than 50 dietary supplements under brand names that include Confidence USA, American Best, USA Natural and The Herbal Store.
Dietary supplements not prepared, packed and held in conformance with current good manufacturing practices (cGMP) regulations are adulterated in violation of the FDCA. The FDA issued a warning letter to Confidence USA in 2011 regarding deficiencies with the company’s manufacturing practices, and U.S. Marshals previously seized certain Confidence USA products in connection with a 2012 complaint alleging the products were adulterated.
Assistant United States Attorney Robert Schumacher from the U.S. Attorney’s Office for the Eastern District of New York and Trial Attorney Raquel Toledo of the Justice Department’s Consumer Protection Branch handled the case, with assistance from Associate Chief Counsel for Enforcement Jennifer Argabright of the FDA’s Office of General Counsel.
E.D.N.Y. Docket No: 19–CV–3073 (ERK)
Cryptocurrency Fraudster Pleads Guilty to Securities Fraud and Money Laundering Charges in Multi-Million Dollar Investment SchemeRead the Press Release
A citizen of Sweden pleaded guilty to securities fraud, wire fraud, and money laundering charges that defrauded more than 3,500 victims of more than $16 million.
Roger Nils-Jonas Karlsson, 47, and his company, Eastern Metal Securities (EMS), was charged in a criminal complaint filed March 4, 2019, with crimes involving a scheme to defraud victims of more than $16 million. Karlsson, also known by several aliases including Steve Heyden, Euclid Deodoris, Joshua Millard, Lars Georgsson, Paramon Larasoft, and Kenth Westerberg, was arrested on June 17, 2019, in Thailand and was extradited to the United States to face the charges. A federal grand jury indicted Karlsson and EMS on July 25, 2019. Karlsson pleaded guilty to all the charges pending against him. EMS has ceased to exist.
The indictment and a factual basis filed by the government describe a long-running scheme by which Karlsson and EMS used a website to commit wire fraud against thousands of victims. Specifically, the indictment explains that from Nov. 27, 2012, through June 19, 2019, Karlsson and EMS used www.easternmetalsecurities.com to make fraudulent representations and convince victims to send funds using a virtual currency exchange. During the same period, Karlsson and EMS used deceptive “devices and contrivances” to sell securities and then tried to conceal the proceeds of the wire fraud and securities fraud.
During the proceedings, Karlsson admitted that he used the website to invite potential investors to purchase shares of the plan for less than $100 per share, promising an eventual payout of 1.15 kilograms of gold per share, an amount of gold which as of Jan. 2, 2019, was worth more than $45,000. Karlsson advised investors that, in the unlikely event that the gold payout did not happen, he guaranteed to them 97% of the amount they invested. Karlsson admitted he had no way to pay off the investors. Instead, the funds provided by victims were transferred to Karlsson’s personal bank accounts and he then used proceeds to purchase expensive homes and a resort in Thailand.
As the government has alleged, Karlsson also used a second website, www.hci25.com, to make multiple false communications to potential investors. Karlsson brought the investors in HCI25 together with the investors in the “Pre Funded Reversed Pension Plan” (PFRPP) and posted multiple communications to delay the moment investors would realize there would be no payout. For example, on one occasion, Karlsson explained that a payout had not occurred because releasing so much money all at once could cause a negative effect on financial systems throughout the world. Karlsson also falsely represented that EMS was working with the U.S. Securities and Exchange Commission to prepare the way for a payout.
Karlsson directed his victims to make investments using virtual currencies, such as Bitcoin. Karlsson admitted he defrauded no less than 3,575 victims of more than $16 million.
Karlsson faces a maximum sentence of 20 years in prison and a maximum $250,000 fine for the wire fraud and securities fraud charges, and 20 years in prison and a $500,000 maximum fine for the money laundering charge. In addition, the court also may order an additional term of supervised release, fines or other assessments, and restitution, if appropriate. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence.
Acting Assistant Attorney General Nicholas L. McQuaid of the Justice Department’s Criminal Division; Acting U.S. Attorney Stephanie Hinds of the Northern District of California; and Special Agent in Charge Kelly R. Jackson of the IRS Criminal Investigation (IRS-CI) Washington, D.C. Field Office made the announcement.
Trial Attorney Catherine Alden Pelker of the Criminal Division’s Computer Crime and Intellectual Property Section and Assistant U.S. Attorney William Frentzen are prosecuting this case. Assistant U.S. Attorney Karen Beausey of the Asset Forfeiture Unit of the U.S. Attorney’s Office is prosecuting the forfeiture proceedings.
IRS-CI Washington, D.C. Cyber Crimes Unit investigated the case. The Justice Department’s Office of International Affairs, the FBI Legal Attaché Office in Thailand, the IRS-CI Attaché Office in Hong Kong and the Royal Thai Police Crime Suppression Division provided significant assistance.
Convicted Felon who Possessed a Firearm Sentenced to More than Three Years in PrisonRead the Press Release
A man who possessed a loaded gun was sentenced February 26, 2021, to more than three years in federal prison.
Joshua Jacobs, age 39, from LeMars, Iowa, received the prison term after a September 18, 2020, guilty plea to being a felon in possession of a firearm and ammunition. Jacobs was previously convicted of felony drug crimes which made it illegal for him to possess a gun.
Evidence at Jacob’s, detention, change of plea, and sentencing hearings revealed that on October 15, 2019, officers of the Sioux City Police Department conducting surveillance on a residence observed a vehicle not registered to Jacobs leaving the residence. Due to a malfunctioning license plate light, officers initiated a traffic stop of the vehicle. The vehicle did not immediately stop and “slow rolled” for a distance before coming to a stop. Immediately upon stopping the vehicle, Jacobs exited the driver’s seat. Due to this unusual behavior, Jacobs was placed in handcuffs. A female passenger in the vehicle, was observed to be bleeding from her hand and to have a white powder on her shirt. Officers also observed what appeared to be a broken methamphetamine pipe on the passenger’s side floor.
Due to those items, officers conducted a probable cause search of the vehicle. On the passenger’s side, officers located a digital scale, broken glass, and a baggie that was found to contain approximately four grams of methamphetamine. In the center console, officers found a black bag, which contained a number of small baggies of a white powder and crystalline substance that appeared to be methamphetamine. Jacobs stated that the substance in the black bag was not methamphetamine but was MSM. In a spare tire well in the trunk of the vehicle, officers located a loaded .40 caliber Springfield XD handgun, which was later found to have been stolen. The 12-round magazine contained 11 rounds of .40 caliber ammunition. The defendant initially denied having any knowledge of the firearm; however, in a subsequent interview, Jacobs admitted that he had possessed the firearm, which he knew to be stolen.
Jacobs was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Jacobs was sentenced to 41 months’ imprisonment. He must also serve a two-year term of supervised release after the prison term. There is no parole in the federal system.
Jacobs is being held in the United States Marshal’s custody until he can be transported to a federal prison.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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. The United States Attorney’s Office has prosecuted this case with support from our Project Guardian partners. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case was investigated by the Sioux City, Iowa Police Department and the U.S. Department of Justice’s Bureau of Alcohol, Tobacco, Firearms and Explosives. The case was prosecuted by Assistant United States Attorney Forde Fairchild.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-4008.
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Convicted Felon Sentenced to Five Years’ Imprisonment for Possessing A FirearmRead the Press Release
Tampa, Florida – U.S. District Judge Thomas Barber has sentenced Devon Cohen (33, Tampa) to five years in federal prison for possessing a firearm and ammunition as a convicted felon. The court also ordered Cohen to forfeit the firearm and ammunition.
Cohen was found guilty following a bench trial on December 8, 2020.
According to court documents, officers stopped a car that Cohen was driving after he had committed multiple traffic violations. Officers searched the vehicle and found a loaded pistol on the center console. Cohen admitted to the officers that he possessed the gun. Cohen had previously been committed of multiple felonies, including several narcotics offenses, and therefore is not permitted to possess a gun or ammunition under federal law.
This case was investigated by the Federal Bureau of Investigation and the Tampa Police Department. It was prosecuted by Assistant United States Attorney Callan Albritton.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, Acting U.S. Attorney Karin Hoppmann coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Colombian National Extradited from Panama to Face Drug Charges in the United StatesRead the Press Release
Tampa, Florida – Acting United States Attorney Karin Hoppmann announces the unsealing of an
indictment charging Gerardo Gomez-Lubo, a/k/a Francisco Niño (42, Colombia), with conspiracy to distribute large amounts of cocaine knowing and intending it to be imported into the United States. If convicted on all counts, Gerardo Gomez-Lubo faces a maximum penalty of life in federal prison.According to court documents, beginning in approximately September 2017 and continuing through 2019, Gomez-Lubo was part of a transnational criminal conspiracy that transported cocaine directly from Colombia to the United States, including Texas, California, Fort Lauderdale and Miami, Florida.
In April 2018, an indictment was returned in the Middle District of Florida charging Gerardo Gomez-Lubo and his co-conspirator, Piero Antonio Lubo-Barros,
with conspiracy to distribute cocaine. Gomez-Lubo was arrested on September 1, 2019 as he arrived at Tocumen International Airport in Panama at the request of the United States. The United States sought his extradition, which Panama granted on February 4, 2021, by Presidential Executive Order.
In January 2021, Piero Antonio Lubo-Barros was arrested in Costa Rica at the request of the United States, living under an assumed identity. He is currently pending extradition to the United States.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the United States Drug Enforcement Administration. The Justice Department’s Office of International Affairs of the Department’s Criminal Division provided significant support with the defendant’s extradition. This case will be prosecuted by Assistant United States Attorney Diego F. Novaes.
Catoosa Woman Charged with Defrauding 7 Banks of $735,396Read the Press Release
A Catoosa woman has been indicted for defrauding seven Oklahoma banks when she falsified and submitted documents to apply for $735,396 in loans, announced Acting U.S. Attorney Clint Johnson.
Pamela Kathryn Conley, 58, is charged with 16 counts of bank fraud and 3 counts of aggravated identity theft.
“Pamela Conley allegedly lied when she applied for more than $735,000 worth of loans, claiming, in part, to make six figures on falsified earning statements,” said Acting U.S. Attorney Clint Johnson. “White-collar criminals don’t get a pass for the offenses they commit. Agents with the U.S. Secret Service and IRS-Criminal Investigation follow the money and expose their crimes. The U.S. Attorney’s Office is now prepared to hold this alleged white-collar criminal accountable in federal court.”
From September 2016 to Feb. 23, 2021, Conley allegedly executed a scheme to enrich herself by knowingly submitting loan applications containing false income and employment information at seven banks and credit unions. According to the indictment, Conley forged earning statements which she provided to the financial institutions as proof of income. Conley falsified the statements to reflect that she held positions such as manager and chief financial officer, earning a salary of $200,000 or more annually or $18,000 a month.
The indictment alleges that on occasion, when loans were secured with collateral, Conley created fictitious lien releases for the collateral, using the notarized signature of unwitting financial institution employees. Conley then caused the bogus lien releases to be filed with the Oklahoma Tax Commission, which in turn provided Conley with titles to the collateral, free and clear of any liens. Conley would then approach new lenders to obtain loans secured by collateral she did not own free and clear.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
IRS-Criminal Investigation and the U.S. Secret Service are the investigative agencies. Assistant U.S. Attorney Richard M. Cella is prosecuting the case
Canton man sentenced to 22 and a half years for possession with intent to distribute 16 pounds of meth, marijuana, heroin, LSD and possession of a semi-automatic pistolRead the Press Release
Elmer Curtis Jones, 31, of Canton, Ohio, was sentenced to 270 months imprisonment by U.S. District Court Judge John R. Adams after a jury found him guilty of four counts of possession with intent to distribute controlled substances and one count of possession of a firearm in furtherance of a drug trafficking crime.
According to court records, on February 4, 2020, the Stark County Sheriff’s Office received a complaint about a man, later identified as Jones, who appeared to be sleeping at the wheel of a vehicle in the 2900 block of Maple Avenue Northeast, Canton, Ohio. A law enforcement officer approached the vehicle to check on the driver and, upon arrival, identified Jones as unconscious in the driver’s seat with the vehicle still running. Jones was subsequently arrested after failing a field sobriety test.
Law enforcement officers conducted a search of the vehicle and recovered approximately 7,093 grams (16 pounds) of methamphetamine, 108 grams of a heroin and fentanyl mixture, 7 kilos of marijuana and 29 hits of LSD. In addition, on the front passenger seat of Jones’s vehicle, officers recovered a loaded, semi-automatic pistol.
Jones was found guilty after a trial by jury convicted him of four counts of possession with intent to distribute controlled substances and one count of possession of a firearm in furtherance of a drug trafficking crime in November of 2020.
This case was investigated by the Stark County Metro Narcotics Unit, FBI, Stark County Sheriff’s Office, Jackson Township Police Department and Canton Police Department. This case was prosecuted by Assistant United States Attorney Toni Beth Schnellinger Feisthamel.
Burke County man admits operating illegal pill factoryRead the Press Release
AUGUSTA, GA: A Burke County man has admitted taking part in an operation that distributed methamphetamine after investigators discovered the scheme through delivery of a commercial pill press.
Telly Savalas Carswell, 47, of Midville, Ga., pled guilty in U.S. District Court to Conspiracy to Possess with Intent to Distribute and To Distribute Methamphetamine, said David H. Estes, Acting U.S. Attorney for the Southern District of Georgia. The charge carries a possible penalty of up to 20 years in federal prison, followed by up to three years of supervised release.
There is no parole in the federal system.
“Our law enforcement partners, particularly the investigators from the Drug Enforcement administration, did an outstanding job in discovering and shutting down this meth-trafficking operation,” said Acting U.S. Attorney Estes. “Whether it’s in the larger cities or smaller towns of the Southern District, we are determined to eradicate this poison from our communities.”
The U.S. Drug Enforcement Administration (DEA) began the investigation in January 2020 while investigating the delivery of a commercial pill press to the home Savalas shared with a co-defendant. In conjunction with the Burke County Sheriff’s Office, DEA agents conducted a search on May 7, 2020 of the residence and found a pill press, along with methamphetamine, heroin and other drugs; nearly $9,000 in cash; and paraphernalia related to drug trafficking.
“Criminals like Mr. Carswell rely on pill presses to create dangerous counterfeit medications which contain toxic substances such as methamphetamine, as was the case in this investigation,” said the Special Agent in Charge of the DEA Atlanta Field Division Robert J. Murphy. “DEA and its law enforcement partners are committed to keeping our neighborhoods safe from dangerous drugs.”
The case is being investigated by the DEA and the Burke County Sheriff’s Office, and prosecuted for the United States by Assistant U.S. Attorney Matthew Josephson.
Brooklyn, New York Man Sentenced to 48 Months’ Imprisonment for Fentanyl, Cocaine Base, and Cocaine Distribution in Rutland AreaRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that Quadeim Mack (a.k.a. “Matt”), 20, of Brooklyn, New York, was sentenced by U.S. District Court Judge William K. Sessions III to 48 months of imprisonment to be followed by a three-year term of supervised release.
Mack had previously pled guilty to possession with intent to distribute fentanyl, cocaine base, and cocaine. In the plea agreement, the government and Mack agreed to a term of imprisonment between 48 and 60 months. In sentencing Mack to 48 months, Judge Sessions relied, in part, on Mack’s young age at the time he committed the offense and Mack’s lack of any prior criminal record.
According to court records, on January 29, 2020, law enforcement executed a search warrant at 8 Sheldon Place in Rutland, Vermont. In an upstairs bedroom where Mack was arrested, law enforcement seized 9 grams of fentanyl, 57 grams of cocaine base, and 50 grams of cocaine. Law enforcement also seized a loaded .22 caliber revolver and $13,050 of drug proceeds.
The government alleged that Mack was part of a conspiracy responsible for distributing over two kilograms of heroin and over five kilograms of cocaine base in the Rutland area over an 18-month period. The government stated in its sentencing memorandum that the presence of a firearm in a drug trafficking offense is “a potentially lethal combination which exponentially increases the risk of violence and harm to the community.” Moreover, the government stated that Mack’s criminal offense “involved a large volume of dangerous drugs, including fentanyl, which surely facilitated the destruction of many lives and contributed to tearing apart many families.”
Mack’s arrest was part of a multi-agency, multi-jurisdictional law enforcement surge conducted in early 2020 which focused on drug trafficking and firearm violations. See https://www.justice.gov/usao-vt/pr/27-individuals-charged-or-arrested-part-joint-law-enforcement-effort. The law enforcement surge was conducted as part of the Organized Crime Drug Enforcement Task Force (OCDETF) Program. OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.Acting United States Attorney Jonathan Ophardt commended the investigative efforts of the Vermont State Police Drug Task Force, the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF), the Federal Bureau of Investigation (FBI), the Drug Enforcement Administration (DEA), and the Rutland City Police Department.
This case was prosecuted on behalf of the government by Assistant U.S. Attorney Joseph Perella. Mack was represented by Assistant Federal Public Defender Steven Barth.
Brooklyn Man Charged with Enticing a 15-Year-Old Girl to Travel to Engage in Sexual ActivityRead the Press Release
Earlier today, in federal court in Brooklyn, a three-count indictment was unsealed charging Jacob Daskal with coercing a minor to engage in illicit sexual conduct, transportation of a minor with intent to engage in criminal sexual activity and travelling with intent to engage in illicit sexual conduct. Daskal was arrested today and is scheduled to be arraigned this afternoon before United States Magistrate Judge Peggy Kuo.
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the arrest and charges.
“As alleged, Daskal, who was almost 60 years old when these crimes were committed, exploited the vulnerability of a young teenager by grooming her for sex and enticing her into having sexual relations with him,” stated Acting United States Attorney DuCharme. “Protecting underage minors from flagrant sexual abuse and predators like the defendant will always be a high priority of this Office and the Department of Justice.” Mr. DuCharme expressed his grateful appreciation to the Kings County District Attorney’s Office and the New York City Police Department for their assistance with the case.
“A man who founded an organization aimed at creating a safer community should know the difference between right and wrong. As we allege, Mr. Daskal’s position of influence may have helped him attempt to silence his victim, but it won’t stop the FBI from holding him accountable. Sexually exploiting a teenaged girl is a crime that carries severe consequences, and we hope Mr. Daskal’s arrest will demonstrate to other victims that they can come forward. We are asking anyone with information about this investigation or the identities of additional victims to call us at 212-384-1000,” stated FBI Assistant Director-in-Charge Sweeney.
As set forth in court filings, between August and November 2017, Daskal, then age 59, allegedly engaged in a sexual relationship with a 15-year-old girl whom he took into his home in Brooklyn, where he groomed her for sex. During the summer of 2017, Daskal is alleged to have engaged in sexual relations with the victim primarily at his residence and at his summer home in South Fallsburg, New York. In October 2017, the victim moved to Chicago to attend a new school and live with another family. While the victim was in Chicago, Daskal communicated with her via text message and over Skype video chat. He requested that she pose nude for him during their video chats and send him nude photographs as well. On November 5, 2017, Daskal traveled by plane to Chicago to visit the victim and brought her to a hotel room he had booked. There, he engaged in sexual intercourse and oral sex with the victim.
Throughout the abuse, Daskal was the founder and chief of the Borough Park Shomrim Society, a private anti-crime patrol group, a position in the community which led the victim to feel threatened when he told her not to tell anyone about their sexual relationship.
The charges in the indictment are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted of the charges, Daskal faces a mandatory minimum of 10 years’ imprisonment and a maximum of life in prison.
The government’s case is being prosecuted by the office’s Civil Rights Section. Assistant United States Attorneys Erin Reid and Jonathan Algor are in charge of the prosecution.
The Defendant:
JACOB DASKAL
Age: 62
Brooklyn, New YorkE.D.N.Y. Docket No. 21-110 (NGG)
Broken Bow Guiding Business Co-Owner Sentenced for Lacey Act ViolationRead the Press Release
Acting United States Attorney Jan Sharp announced that Nolan Hueftle, age 60, of Broken Bow, Nebraska, was sentenced today in federal court in Omaha by United States Magistrate Judge Michael D. Nelson for violating the Lacey Act. The Lacey Act prohibits the trafficking in interstate commerce "tainted" (i.e., taken in violation of a law or regulation) wildlife, fish, or indigenous plants. Hueftle was convicted of one count of the illegal taking of wildlife in interstate commerce and sentenced to five years’ probation. Magistrate Judge Nelson ordered Hueftle to pay a $30,000 fine. As part of his probation terms, Hueftle shall not hunt, trap, guide, outfit, or otherwise assist or be present in the field with anyone engaging in those activities. Hueftle is also prohibited from being involved in the manufacturing, selling, distributing, or marketing of “PrimeTine” or any other deer or wildlife supplement while on probation.
An investigation determined that in October, 2015, Hueftle, a Hidden Hills Outfitters (HHO) co-owner, provided guiding and outfitting services to a Louisiana resident upon property located in Blaine County, Nebraska. During the course of the hunt, Hueftle, HHO owner Jacob Hueftle, and the hunting client located a white-tailed deer wounded by the client the previous day. Hueftle was present and observed HHO owner Jacob Hueftle unlawfully shoot and kill the client’s deer with an AR-style rifle, a weapon prohibited from use during the Nebraska archery deer season. In addition, Hueftle knew Jacob Hueftle was prohibited from hunting or possessing a firearm at the time. Hueftle later assisted recovering the deer from the kill site and transported the unlawfully taken deer back to the HHO Lodge. Parts of the deer were later transported in interstate commerce back to the hunting client’s out-of-state residence.
Pursuant to the terms of a plea agreement, Hueftle also admitted to his co-ownership and involvement with HHO, including his knowledge and involvement with various ongoing wildlife violations conducted or authorized by HHO and its guides and employees between 2013 and 2018. Hueftle admitted that HHO acquired at least 115,378 pounds of deer feed products used for the establishment and maintenance of at least 68 baited hunting locations, that Hueftle personally assisted maintaining the bait sites at or near HHO client hunting locations, and that Hueftle knew HHO clients routinely killed white-tailed deer within baited areas. Nebraska state law prohibits the establishment of baited areas for the purpose of hunting big game or turkeys and prohibits hunting or taking big game or turkeys within a baited area.
Hueftle admitted knowing firearms were routinely and unlawfully used for the taking of white-tailed deer and mule deer during archery and muzzleloader seasons. Nebraska state law prohibits the possession and use of firearms while hunting deer under the authority of an archery permit. Hueftle also admitted routinely assisting with the butchering, processing, and disposal of client deer at the HHO Lodge, and needlessly and wantonly wasting edible meat of HHO client deer including negligently allowing carcasses to spoil, and dumping and disposing the carcasses (including edible meat) near the HHO Lodge and on family property near Cozad, Nebraska.
Hueftle admitted that between 2013 and 2018, he and other HHO owners, guides, and associates provided hunting and guiding services to at least 118 clients from 21 states resulting in the unlawful taking of at least 97 white-tailed deer, mule deer, pronghorn, and wild turkey, and that parts of that wildlife were subsequently transported into other states. Hueftle provided hunting and guiding services to HHO clients, had knowledge and assisted in various unlawful hunts, and received a 25% share of all HHO profits annually.
The sentencing hearing today is part of the ongoing prosecution of numerous defendants related to violations committed by owners, guides, and clients of Hidden Hills Outfitters. To date, 36 defendants have pleaded guilty and have been sentenced and ordered to pay a total of $627,732 in fines and restitution, serve 30 months of incarceration, 38 years of probation, and 63 years of hunting and guiding restrictions for underlying violations related to at least 97 unlawfully-taken big game animals or wild turkey including deer taken within baited areas; deer, pronghorn, and wild turkeys taken with weapons or firearms prohibited during their respective hunting seasons; deer taken during closed season hours, from the road, or without a valid permit; and mule deer taken within the Mule Deer Conservation Area.
The operation was a joint investigation conducted by the United States Fish and Wildlife Service, Office of Law Enforcement and the Nebraska Game and Parks Commission, Law Enforcement Division.
Brazilian Citizen Who Ran Smuggling Organization Pleads Guilty to Alien SmugglingRead 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 Tiago Mello-Lima, 34, a Brazilian citizen living in Canada, pleaded guilty before U.S. Magistrate Judge Jeremiah J. McCarthy to bringing aliens to the United States for commercial advantage or private financial gain. The charge carries a mandatory minimum penalty of three years in prison, a maximum of 10 years, and a $250,000 fine.
Assistant U.S. Attorney Charles Kruly, who handled the case, stated that the defendant managed and supervised a smuggling organization. Specifically, on April 28, 2019, while in Ontario, Canada, Mello-Lima and two other individuals, including co-defendant Renan Portela Bandeira De Souza, launched a boat, containing four alien passengers who were not citizens or nationals of the United States, into the Niagara River. In prior negotiations with two of the aliens, the defendant agreed to charge each alien approximately $6,000 to bring them to the United States. Mello-Lima drove the boat from Canada to the United States landing on Grand Island, NY. The four aliens disembarked, and the defendant returned the boat to a dock in Canada. Mello-Lima planned the April 28, 2019, smuggling and arranged for a U.S.-based individual to pick up the aliens on Grand Island and drive them to their final destinations in the United States. Between March 17 and July 2019, Mello-Lima smuggled or aided and abetted the smuggling of six more aliens into the United States.
Co-defendant Renan Portela Bandeira De Souza also pleaded guilty to bringing aliens to the United States for commercial advantage or private financial gain and was sentenced to serve 21 months in prison by U.S. District Judge Richard J. Arcara.
The plea is the result of an investigation by U.S. Border Patrol Buffalo Sector, under the direction of Acting Chief Patrol Agent Andrew Scharnweber, and Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly. The Justice Department’s Office of International Affairs provided substantial assistance.
Sentencing for Mello-Lima will be scheduled at a later date.
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Boca Raton Man Used Messenger Applications to Produce Child Pornography of Toddler and Other MinorsRead the Press Release
Miami, Florida – A Boca Raton man pleaded guilty today in West Palm Beach federal court to producing, distributing, and possessing child sexual abuse material.
As part of his guilty plea before U.S. District Judge Donald Middlebrooks, Robert Solove, 29, admitted to using social networking applications on his phone to communicate with children and to solicit and distribute child sexual abuse material. Solove admitted during the hearing that he created illegal photos and videos of an 18-month-old child in his care and shared them in his smartphone social networking application’s chat rooms and with other individuals. Solove also developed an online relationship with a middle school-aged girl in a different state. He directed the middle schooler to take pornographic photographs and videos of herself and send them to Solove through a second smartphone application. In addition, Solove admitted during the hearing that he acquired sexual abuse material of other children from several internet platforms and stored them on his cellular telephone.
Solove’s sentencing hearing is scheduled for May 20, 2021 at 10am before U.S. District Judge Donald Middlebrooks. Solove faces up to 120 years in federal prison, plus payment of restitution to his victims.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and Anthony Salisbury, Special Agent in Charge, Department of Homeland Security, Homeland Security Investigations (HSI), Miami Field Office, made the announcement.
HSI Miami investigated the case, with assistance from Palm Beach County Sheriff’s Office. Assistant U.S. Attorney Gregory Schiller is prosecuting it.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (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 or https://www.justice.gov/usao-sdfl/project-safe-childhood.
You may find related court documents on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov under case number 20-cr-80025.
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Bergen County Man Charged with Tax EvasionRead the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, man was charged today with tax evasion for calendar years 2014 to 2016, Acting U.S. Attorney Rachael A. Honig announced.
David Kushner, 55, of Cresskill, New Jersey, was indicted by a federal grand jury on three counts of tax evasion. He will be arraigned at a later date.
According to the indictment:
Kushner served as a partner of a real estate investment business and as a partner and president of a property management business. Based on his roles, Kushner received management fee income and additional payments from the businesses.
Kushner controlled four bank accounts. Kushner deposited payments and income from the businesses and elsewhere into the accounts and then used most of the funds for personal expenses. Kushner failed to file any income tax returns, failed to make any estimated payments for the accounts, and failed to declare most of the funds in the accounts as income on his individual income tax returns. As a result, Kushner evaded hundreds of thousands of dollars in personal income taxes.
Each count of tax evasion carries a maximum potential penalty of five years in prison and a maximum fine of $250,000.
Acting U.S. Attorney Honig credited special agents of IRS-Criminal Investigation Division, under the direction of Special Agent in Charge Michael Montanez in Newark, with the investigation leading to today’s indictment.
The government is represented by Assistant U.S. Attorney Alexandra Saker of the U.S. Attorney’s Office’s Narcotics/OCDETF Unit in Newark.
The charges and allegations contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Armed Career Criminal Sentenced to Fifteen Years in Federal PrisonRead the Press Release
OWENSBORO, Ky. – Senior United States District Court Judge Joseph H. McKinley, Jr. sentenced David Miller, 40 years old, of Morganfield, Kentucky to fifteen years’ imprisonment, to be followed by three years of supervised release, for being a felon in possession of a firearm and four separate instances of possessing cocaine with the intent to distribute it, announced Acting U.S. Attorney Michael A. Bennett. Miller was convicted of drug trafficking and firearm offenses in Henderson and Union Counties. There is no parole in the federal system.
This case demonstrates the value of the strong working relationships that exist among federal, state, and local law enforcement agencies in the Western District,” said Acting U.S. Attorney Bennett. “The sustained effort of the Henderson Police Department, Kentucky State Police, and ATF – working alongside AUSA Sewell in our Bowling Green office - make Western Kentucky communities safer for all of our citizens.”
This is Miller’s third federal prosecution. In case number 4:07-CR-21-01-JHM, he was sentenced to 70 months for Conspiracy to Possess with Intent to Distribute Cocaine Base, Aiding and Abetting Possession with Intent to Distribute Cocaine Base, and Possession of a Firearm by a Convicted Felon; in case number 4:13-CR-32-3-JHM, he was sentenced to 33 months for Conspiracy to Distribute Methamphetamine.
Assistant United States Attorney Madison Sewell, Branch Chief of the Bowling Green United States Attorney’s Office, prosecuted the case. It was investigated by the Henderson Police Department, Kentucky State Police, and the Bureau of Alcohol, Tobacco, and Firearms.
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Albany Felon Arrested for Possessing a FirearmRead the Press Release
ALBANY, NEW YORK – Kevin Weems, age 61, of Albany, was charged by complaint today with unlawfully possessing a firearm as a felon.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
The complaint alleges that law enforcement agents, while executing a search warrant on Weems’s residence today, located a loaded .38 caliber handgun in a boot. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
Weems appeared today in Albany before United States Magistrate Judge Daniel J. Stewart, and was ordered detained pending a hearing scheduled for March 8, 2021.
The charge filed against Weems carries a maximum sentence of 10 years in prison, a fine of up to $250,000, and a maximum 3-year term 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 with assistance from the Drug Enforcement Administration, Albany Police Department, Colonie Police Department and Bethlehem Police Department. It is being prosecuted by Assistant U.S. Attorney Katherine Kopita.
Acting U.S. Attorney Puts Focus on Scams Targeting Older Americans During National Consumer Protection WeekRead the Press Release
ALBANY, NEW YORK - Acting United States Attorney Antoinette T. Bacon hosted a virtual news conference today with Deputy Chief Robert Wemyss of the United States Postal Inspection Service (USPIS) and Erin Mitchell, Director of Engagement for AARP NY, to draw attention to the proliferation of scams targeting older Americans.
Acting United States Attorney Antoinette T. Bacon stated: “Fraudsters are making a fortune by targeting Americans, particularly older Americans. They seek out seniors. The scammers tell elaborate lies, often become demanding and threatening, and take advantage of the physical isolation that many seniors have experienced during the pandemic. Protecting seniors will always be one of my top priorities. By joining forces and publicizing this important information during National Consumer Protection Week, we will strengthen our defenses against these pernicious scams.”
Postal Inspector in Charge Joseph W. Cronin, of the USPIS Boston Division, stated: “Almost anyone under the right circumstances can fall for a phony offer or promotion, however, older Americans are usually more susceptible than others. Scammers use promises of large financial gains or sometimes even romantic relationships to lure victims in, only to manipulate them into giving their life savings away. They prey on our older citizens who are trusting, vulnerable and can sometimes unknowingly fall for a scam. The U.S. Postal Inspection Service is committed to protecting our citizens and working hard to prevent more people from becoming further victimized by fraud schemes.”
Erin Mitchell, Director of Engagement for AARP New York, stated: “We know scammers often take advantage of current events, which we’re seeing today with the pandemic. Criminals are using the uncertainty and worry about COVID-19 in their scams. And now, with the COVID-19 vaccine in high demand, scammers are offering opportunities to skip the line for quicker access—for a fee. AARP urges all older New Yorkers to remain vigilant and always report suspected fraud.”
Acting Director Greg Olsen stated, “Older New Yorkers are often the targets of scams and financial exploitation. Scammers have become very sophisticated and given the increase in social isolation as a result of the pandemic, there has been an increase in scams and scams associated with the pandemic such as stimulus check scams, community donation scams and more. Consumer protections week is critically important to educate all people on the prevalence of scams and simple tools that can prevent you from becoming a victim.”
Common Scams Include:
- COVID-19 Scams - These come in several forms. Fraudsters pretend that a grandchild or relative is in the hospital with COVID-19 and needs payment immediately or they will be denied medical care; fraudsters pretend to have quicker access to a vaccine; or fraudsters offer fake cures.
- Government Imposter Scams - Fraudsters posing as government officials, such as the Internal Revenue Service (IRS) or Social Security Administration, threaten to arrest the victim for failing to pay taxes or claim there is a problem with their account that could be fixed by paying a fee.
- Lottery Scams – Fraudsters send a notice congratulating the victim for winning a prize or a foreign lottery, but to receive the prize, they must first pay a fee or tax.
- Romance Scams - Usually started on a dating platform, the fraudster pretends to be interested in pursuing a relationship and then uses that trust to take the victim’s money.
Many of these scams are run by Transnational Criminal Organizations located overseas. In order to funnel the money from American victims to the fraudsters in the foreign country, scammers often ask victims to pay with gift cards or to send money through money mules.
Money Mules
- Money mules are individuals who receive money from victims of fraud, deposit it into their bank account, and then forward it on to either another money mule or to the overseas fraudsters.
- Many money mules know they are helping fraudsters, but others have no idea that their actions allow fraudsters to swindle money from seniors. Some money mules are actually victims of fraud themselves, especially of Romance Scams.
- Money mules are often recruited through work-at-home jobs.
Awareness and prevention are key. Please keep these warnings and tips in mind:
- Spot Imposters. Don’t send money in response to an unexpected request – whether it comes as a text, a phone call, or an email.
- Scammers want you to decide quickly. Slow down, check out the story, tell a friend, consult an expert, or call the local police.
- Gift cards are for presents, not payments. If someone asks you to buy a gift card, stop and ask, is this a present for someone I know or a payment for a fee or fine? If it’s a payment, chances are, it’s a scam.
- Don’t trust your caller-ID. Scammers disguise their real phone numbers and may call from “spoofed” numbers that make it seem as though they are calling from your area code.
- Hang up on robocalls. These calls are illegal and often the products are bogus. Don’t press 1 to speak to a person or to be taken off the list. That could lead to more calls.
- Don’t be a Money Mule. Look for red flags that a potential work-at-home job might not be legitimate:
- The job involves collecting money and sending it out but the job posting didn’t require financial experience or education.
- There are no specific job duties.
- The company is located abroad.
- The company uses web-based email (such as Gmail or Yahoo) instead of an organization-based domain.
If you think you might be a Money Mule or the victim of an Elder Fraud Scam, you can report it to the FBI’s Internet Crime Complaint Center (IC3) at ic3.gov or call your local FBI Field Office.
Help is also available by calling the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 7 days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.
2 get combined 197 years in federal prisonRead the Press Release
McALLEN, Texas – Two men have been ordered to federal prison for decades following their more than a dozen convictions of drug crimes, carjacking, robbery and firearms offenses, announced Acting U.S. Attorney Jennifer B. Lowery along with Special Agent in Charge Christopher Combs of the FBI - San Antonio Division and Special Agent in Charge Daniel C. Comeaux of the Drug Enforcement Administration (DEA).
A McAllen jury deliberated for five hours before convicting Mexican citizen Marin Macrin Cerda aka Filtro, 34, and Jose Miguel Montemayor aka El Mickey, 30, Mission, Sept. 6, 2019, following a seven-day trial.
Today, U.S. District Judge Micaela Alvarez handed Montemayor and Cerda a total of 84 and 113 years in prison, respectively.
At the hearing, the court learned the two men victimized over 35 people – through 13 carjackings, three home invasions and the corrupt actions of two former law enforcement officers. The victims included 11 children as young as 5 and with one with disabilities. Additional evidence also detailed how the men were directly involved in the attempted or successful theft of approximately 100 kilograms of cocaine valued at approximately $2 million. They were also involved in the theft of over $100,000 in suspected drug proceeds and 300 kilograms of marijuana worth approximately $200,000.
While imposing the sentences, Judge Alvarez noted that while she does not remember every single case before her, this one was memorable in the way the rip crew indiscriminately targeted drug traffickers and innocent civilians. The court heard details of their violent crimes which included several discharges of firearms on highways and neighborhoods. Judge Alvarez further mentioned that when first sworn as a federal judge, these kind of violent actions were more often seen in Mexico, but have become more common on the border.
“These defendants were the leaders of Los Mickies, a violent criminal organization that supported drug trafficking activities by engaging in multiple carjackings, home invasions and a neighborhood shootout,” said Combs. “The significant sentences imposed today send a strong message to anyone who thinks they can conduct violent acts in our neighborhoods. We will not tolerate those who violate the peace and safety of our communities and recklessly endanger the public.”
“This investigation highlights the positive impact of multiple agencies joining together to target a violent drug trafficking organization,” said Comeaux. “These criminals routinely resorted to lethal violence in furtherance of their drug trafficking ambitions. DEA will continue to join forces with our federal, state and local law enforcement partners to target and remove those violent organizations who prey on our communities.”
Cerda and Montemayor were convicted of conspiracy to possess with intent to distribute more than five kilograms of cocaine, conspiracy to possess a firearm in furtherance of a drug trafficking offense and a crime of violence, two counts of carjacking, four counts of Hobbs Act robberies, two counts of brandishing a firearm in furtherance of a crime of violence and/or a drug trafficking offense and three counts of discharging a firearm in furtherance of a crime of violence and/or a drug trafficking offense. Cerda was also convicted of conspiracy to possess with intent to distribute more than 100 kilograms of marijuana, an additional count of carjacking, an additional count of Hobbs Act robbery, two additional counts of brandishing a firearm in furtherance of a crime of violence or drug trafficking offense and one additional count of discharging a firearm in furtherance of a drug trafficking offense or crime of violence in relation to events he participated in without Montemayor.
The investigation began after discovering a local rip crew was responsible for multiple carjackings and home invasions in Hidalgo County in order to steal controlled substances or drug proceeds.
During trial, testimony revealed Cerda and other crew members utilized law enforcement officials to further their drug trafficking activities. Two of those included former Donna Independent School District police officer Juan F. Mata and former Hidalgo County Court at Law No. 6 Bailiff Oscar De La Cruz. Jurors heard Mata conducted fraudulent traffic stops in order to allow members of the organization to steal cocaine and marijuana hidden in load vehicles. De La Cruz produced fictitious federal search warrants forging former U.S. Magistrate Judge Dorina Ramos’ signature and queried sensitive law enforcement and judicial databases the organization would provide to sources of supply in order to retain and steal controlled substances in their possession.
Also during trial, the jury heard about multiple crimes involving Cerda, Montemayor or both between 2016-2017. Three of those crimes were carjackings in McAllen and Pharr involving both men in an attempt to steal cocaine. In the second and third instances, rip crew members discharged firearms at the vehicles in order to obtain the controlled substances. Testimony further revealed Cerda and Montemayor were involved in a robbery which resulted in a shoot-out in a McAllen neighborhood. Another crime involved a home invasion, during which the criminals entered the wrong residence seeking drugs and terrorizing a family, including a female who was eight months pregnant. Cerda and Montemayor also served as scouts for a drug transaction involving more than 20 kilograms of cocaine Feb. 1, 2017, in McAllen.
Jurors heard the rip crew continued their activities when they also attempted to rob multiple kilograms of cocaine from a vehicle traveling through Mission and McAllen on Feb. 27, 2017. Cerda and Montemayor discharged firearms at the targeted load vehicle in an attempt to steal the cocaine. Testimony revealed a bullet struck an occupant of the vehicle who required significant medical attention. Cerda was further involved in the carjacking of a tractor trailer in rural Mission July 7, 2016, and a car chase and shootout Jan. 6, 2017. In the first instance, the rip crew threatened a family, including several juveniles, in order to steal a tractor trailer believed to conceal drug proceeds. During the car chase incident, the crew discharged firearms and rammed their vehicles into a vehicle before it ultimately crashed.
Jurors also heard testimony relating to a home invasion conducted in Mission April 3, 2017, when rip crew members, including Cerda, entered the residence of a suspected drug trafficker armed with firearms and successfully stole more than $100,000 in drug proceeds. Casings recovered from three of the crimes were fired from firearms found in Cerda’s vehicle.
The defense attempted to convince the jury that although the crimes had been committed, co-conspirators fabricated Cerda’s and Montemayor’s involvement. They did not believe those claims and convicted both men as charged.
Both Cerda and Montemayor have been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
To date, more than 30 co-conspirators have been convicted in connection with the investigation. Mata and De La Cruz also pleaded guilty and have been sentenced to 130 and 60 months, respectively. Others to date have received sentences up to 240 months with nine receiving sentences in excess of 10 years.
The FBI and DEA conducted the investigation with assistance from Border Patrol, U.S. Marshals Gulf Coast Regional Fugitive Task Force, Immigration and Custom’s Enforcement’s Homeland Security Investigations, Texas Department of Public Safety’s Highway Patrol and Regional Crime Laboratories, Hidalgo County Sheriff’s Office, Hidalgo County District Attorney’s Office and Police Departments in McAllen, Mission, Pharr and San Juan.
Assistant U.S. Attorneys Roberto Lopez Jr. and K. Alejandra Andrade are prosecuting the case.
3 March 2021
WDLA News Round-Up for March 3, 2021Read the Press Release
SHREVEPORT/MONROE, La. - Acting United States Attorney Alexander C. Van Hook announced the resolution of numerous cases today in U.S. District Court in the Western District of Louisiana, all of which are listed below.
SENTENCING HEARINGS – SHREVEPORT, LA
Alexander Baker, 24, and Brandon Brown, 29, both of Shreveport, were sentenced by Chief U.S. District Judge S. Maurice Hicks, Jr. for their role in two robberies that took place in Shreveport in November 2018. Alexander Baker pleaded guilty on August 11, 2020 to robbery and using and carrying a firearm during and in relation to a crime of violence and was sentenced today to 114 months in prison, followed by 5 years of supervised release. Brandon Brown pleaded guilty on July 14, 2020 to conspiracy to use, carry, brandish and discharge firearms during and in relation to a crime of violence and was sentenced to 84 months in prison, followed by 5 years of supervised release.
- The first robbery occurred on November 21, 2018 when Brandon Brown and his co-defendants entered the Top Dollar Pawn on St. Vincent Avenue in Shreveport, dressed in black hoodies, gloves, wearing clown masks, and armed with handguns. They ordered the store clerks to the floor, opened the register and took cash out. One of the clerks was then forced at gunpoint to open the counter where they also stole 18 pistols, a revolver, and a shotgun, as well as jewelry.
- The second robbery occurred on November 27, 2018, when Alexander Baker and another co-defendant entered the Petro Gas Station on West Bert Kouns in Shreveport with the intent to rob the store using firearms. The two men entered the store wearing all dark clothing, covered faces and both were armed with semi-automatic handguns, and demanded money from the cashier. They told the cashier to open the vault, but she did not have access to it. Baker and his co-defendant then ran out the side door and got into a parked vehicle driven by Brandon Brown and drove away.
The ATF and Shreveport Police Department conducted the investigations and Assistant U.S. Attorney J. Aaron Crawford prosecuted the case.
Deangilo Dillard, 34, of Shreveport, was sentenced to 36 months in prison, followed by 3 years of supervised release, for possession of a firearm by a convicted felon. On May 2, 2018, Shreveport Police Department officers encountered Dillard who was seated in the driver’s seat of a vehicle in a parking lot on East 70th Street in Shreveport. During the encounter, officers saw in plain view a firearm tucked under Dillard’s leg. After further investigation, officers learned that Dillard was a convicted felon and therefore, it was unlawful for him to possess a firearm. A federal grand jury indicted Dillard in July 2018 and he subsequently pleaded guilty to the charge. Dillard’s prior felony convictions are for: attempted possession of a firearm by a convicted felon (2016 and 2008); and possession with intent to distribute hydrocodone (2006). The ATF and Shreveport Police Department conducted the investigation and Assistant U.S. Attorney Brian C. Flanagan prosecuted the case. U.S. District Judge Elizabeth E. Foote presided at the sentencing hearing.
SENTENCING HEARINGS – MONROE
United States District Judge Terry A. Doughty sentenced the following individuals:
Lawrence Edward Holzer, III, 39, of West Monroe, was sentenced to 24 months in prison, followed by 3 years of supervised release, for possession of firearms by a convicted felon. On August 15, 2019, Louisiana state parole agents conducted a routine residence check at Holzer’s home. As the agents stood outside Holzer’s front door, the observed a rifle inside a glass gun cabinet. When the agents went to retrieve the rifle, they found a pistol inside the same gun cabinet. After the agents advised Holzer of his rights, he admitted that he had placed a third gun, another rifle, underneath his bed. At the time of this offense, Holzer knew he was prohibited from possessing firearms as a parolee for a pair of felony burglary convictions in 2011 and 2014. The ATF and Louisiana Department of Probation and Parole conducted the investigation and Assistant U.S. Attorney Mike Shannon prosecuted the case.
Patrick H. Anderson, 37, of West Monroe, was sentenced to 14 months in prison, followed by 3 years of supervised release, for making a false statement in the record of a firearms dealer. Anderson visited Murphy’s Ammo and Firearms in West Monroe on June 28, 2018 and completed ATF Form 4473, to purchase a firearm. The form asked whether Anderson was subject to a court order restraining him from harassing or threatening an intimate partner. Anderson answered “no” to this question, knowing that to be false, as he had a restraining order pending against him in Ouachita Parish. The ATF conducted the investigation and Assistant U.S. Attorney Leon H. Whitten prosecuted the case.
The cases listed above are 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. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
Meshach Demontez Conley, 30, of Winnfield, Louisiana, was sentenced to 38 months in prison, followed by 5 years of supervised release, for distribution of methamphetamine. Law enforcement agents received information from a confidential source that Conley was selling methamphetamine. On February 25, 2019, the confidential source arranged a meeting with Conley to purchase methamphetamine. Agents conducted physical surveillance of the meeting and the transaction was recorded. The methamphetamine purchased from Conley was taken to a lab for chemical analysis and was determined to be pure methamphetamine. The FBI, Winn Parish Sheriff’s Office, Rapides Parish Sheriff’s Office and Jackson Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorneys Cytheria D. Jernigan and Jessica D. Cassidy prosecuted the case.
This case is part of an Organized Crime Drug Enforcement Task Force (OCDETF) operation. 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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Victoria man sentenced for receiving sexually-explicit images of young childrenRead the Press Release
CORPUS CHRISTI – A 40-year-old Texan has been ordered to federal prison following receipt of more than 5,000 images of child pornography, announced Acting U.S. Attorney Jennifer B. Lowery.
Paul Thomas Rosales pleaded guilty Sept. 8, 2020, to receipt of child pornography.
Today, U.S. District Judge David S. Morales ordered Rosales to serve a 176-month sentence. At the hearing, the court also heard about the 5,84 confirmed images on his digital devices which included child victims approximately 2-3 years old and younger. One involved an infant child. Rosales also had admitted he possessed approximately 50,000 child pornographic images, many involving children between 5-16 years of age.
In handing down the sentence, the court noted the need for punishment. Rosales will also serve 15 years on supervised release during which time the court can impose a number of special conditions designed to protect children and prohibit the use of the internet. He is also required to register as a sex offender.
“Today we are reminded of how heinous crimes against children are, as some of Rosales' youngest victims were infants,” said Special Agent in Charge Perrye K. Turner of FBI. “The FBI will continue to work tirelessly to protect children from sexual exploitation and bring these reprehensible predators to justice.”
Authorities had linked Rosales to explicit materials found on a peer-to-peer network. The area task force investigation soon led them to his residence in Victoria.
They conducted a search and seized numerous digital devices. Forensic analysis ultimately revealed over 5,000 images of children engaged in sexually explicit conduct, some of which included children under the age of 5.
At the time of his plea, Rosales admitted to receiving the pornographic images.
Previously released on bond, he was taken into custody following the sentencing today where he will remain pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI – Corpus Christi Resident Agency and Victoria Police Department conducted the investigation along with the Houston Metro Internet Crimes Against Children Task Force.
Assistant U.S. Attorney Reid Manning prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
Vicksburg Man Pleads Guilty to Possessing a Firearm as a Convicted FelonRead the Press Release
Jackson, Miss – Darren Antonyo Mazie, 35, of Vicksburg, pled guilty today before U.S. District Judge Kristi H. Johnson to being a convicted felon in possession of a firearm, announced Acting U.S. Attorney Darren J. LaMarca and Michelle Sutphin, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi.
On March 28, 2020, at 3:30 a.m., Mazie was driving during a city-wide curfew when he encountered a Vicksburg Police officer at an intersection. Mazie motioned for the officer’s assistance. The officer approached Mazie’s car and observed a firearm on the front passenger seat. For safety purposes, the officer secured the firearm with Mazie’s permission. Mazie told the officer that just moments earlier someone shot at his house and that he was out looking for that person. However, 911 received no reports of a shooting. The officer followed Mazie to his home to investigate and there the officer learned Mazie was a convicted felon.
Mazie was indicted by a federal grand jury on September 9, 2020, for being a previously convicted felon in possession of a firearm. Mazie is currently in custody and will be sentenced on by Judge Johnson on June 9, 2021. He faces a maximum penalty of ten years in prison and up to $250,000 in fines.
This case was investigated by the Vicksburg Police Department and the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Bert Carraway.
Three Men Indicted for Armed Robberies of Delaware County WawasRead the Press Release
PHILADELPHIA – Acting United States Attorney Jennifer Arbittier Williams announced that Quintel Martins, 27, of Drexel Hill, PA; DeAndre Jackson, 23, of Newark, DE; and Christopher Winfield, 22, of Wilmington, DE; were charged by Indictment with multiple counts of robbery and firearms offenses in connection with two separate robberies of Wawa convenience stores in Delaware County in 2019. Martins and Winfield were also charged by a criminal complaint in January 2021 and taken into federal custody at that time; Jackson was arrested yesterday and will make his initial appearance in federal court this week.
In the Indictment, Martins, Jackson and Winfield are each charged with one count of conspiracy to interfere with interstate commerce by robbery, two counts of interference with interstate commerce by robbery (commonly known as “Hobbs Act robbery”), and two counts of using, carrying, and brandishing a firearm during and in relation to a crime of violence.
The Indictment alleges that on June 17, 2019, the defendants committed an armed robbery of a Wawa in Wayne, PA, and that on September 14, 2019, the three also committed an armed robbery of a Wawa in Drexel Hill, PA. During these two robberies, the defendants are charged with stealing a total of more than $7,800 and other items. Then, in the early morning of October 2, 2019, law enforcement stopped a car traveling in Collingdale, PA, in which Martins, Jackson, and Winfield were all passengers, allegedly containing items like those used in the robberies, including masks, firearms and gloves.
“The conduct alleged in the Indictment displays an appalling disregard for the safety of others,” said Acting U.S. Attorney Williams. “The employees of these stores were just going about their daily business when they were allegedly terrorized at gunpoint. No one should have to go through that. This Indictment is an example of how our Office is working to keep Philadelphia and its neighboring communities safe.”
If convicted, each defendant faces a maximum possible sentence of lifetime imprisonment.
The case was investigated by Collingdale Police Department, Philadelphia Police Department, Radnor Police Department, Upper Darby Police Department, and the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorney Kevin Jayne.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Three Charged with Murder of A Federal WitnessRead the Press Release
LOUISVILLE, KY – Three people have been charged with the murder of a witness aiding a federal investigation, announced Acting United States Attorney Michael A. Bennett.
Bobby Lee Smith, 48, of Louisville, Kentucky, and Cynthia Allen, 32, of Louisville, Kentucky, were both previously charged in a three count Indictment. The Superseding Indictment, returned by a federal grand jury sitting in Paducah, Kentucky on Tuesday February 23, 2021, added defendant, Lesa Andrade, 60, of Tampa, Florida.
According to the Superseding Indictment, on or about May 8, 2016, in Jefferson County, Kentucky, the defendants, Smith and Allen, aided and abetted each other, and did kill A.P. in front of her eight-year old child, with the intent to retaliate for the attendance and testimony given by A.P. in a grand jury proceeding on or about October 8, 2014, in the Western District of Kentucky.
Smith and Allen are also charged with tampering with a witness by killing. According to the Superseding Indictment, Smith and Allen, aided and abetted by each other, did kill A.P. in front of her eight-year old child with the intent to prevent the attendance and testimony of A.P. in an official proceeding, the trial of case number 3:15-CR-00058, scheduled for Nov. 28, 2016, with the intent to prevent the communication by A.P. to a law enforcement officer or judge of the United States relating to the commission of a federal offense.
The Grand Jury also charged the defendants, Smith and Allen, with tampering with a witness by killing. According to the Superseding Indictment, on or about May 8, 2016, Smith and Allen aided and abetted by each other, did kill A.P., in front of her eight-year-old child, a person assisting a federal criminal investigation.
The Superseding Indictment alleges in separate counts that both Andrade and Allen, aided and abetted by others, solicited, commanded, induced and endeavored to engage in conduct that involved the use, attempted use and threatened use of physical force against the person of another by soliciting, commanding, inducing and persuading Smith and/or Allen to engage in conduct, that is to murder A.P., a witness in an official federal proceeding.
If convicted by a jury, Smith and Allen face no less than life imprisonment or the death penalty for Counts 1 through 3. The maximum penalty for Counts 4 and 5 is no more than 20 years, a $250,000 fine and not more than 5 years of supervised release. The defendants will be arraigned in U.S. District Court in Louisville. At present, no arraignment date is scheduled.
The case is being prosecuted by Assistant United States Attorneys Joseph Ansari, Robert Bonar, and Lettricea Jefferson-Webb. The case is being investigated by the Federal Bureau of Investigation (FBI) and the Louisville Metro Police Department (LMPD).
The indictment of a person by a Grand Jury is an accusation only and that person is presumed innocent until and unless proven guilty.
Ten Defendants Indicted for Allegedly Trafficking more than 500 Grams of MethamphetamineRead the Press Release
Ten defendants have been charged in a superseding indictment with manufacturing and trafficking methamphetamine throughout the Tulsa Metro area, announced Acting U.S. Attorney Clint Johnson.
During an early morning law enforcement operation targeting members of the drug trafficking organization, ten individuals were arrested. Eight of the ten arrested were named in the indictment.
“Today our partners at the DEA, Tulsa Police Department, Tulsa County Sheriff’s Office, Broken Arrow Police Department and Oklahoma Bureau of Narcotics executed arrest and search warrants at eight locations in the Tulsa area, resulting in the arrest of ten suspects. During the take down, shots were fired at law enforcement, who then returned fire. Neither suspects nor law enforcement were injured,” said Acting U.S. Attorney Clint Johnson. “As evidenced by today’s operation and indictment, the U.S. Attorney’s Office and law enforcement remain intent on disrupting the flow of illicit drugs into our neighborhoods and holding accountable those responsible.”
“This Organized Crime Drug Enforcement Task Force (OCDETF) case originated from the discovery of large methamphetamine conversion labs located within Oklahoma. The DEA, Tulsa Police Department and various other state and local counterparts which comprise the DEA Tulsa High Intensity Drug Trafficking Area (HIDTA) Metro Task Force, won’t tolerate drug trafficking organizations seeking sanctuary in Oklahoma to perform their illegal operations,” said Eduardo A. Chavez, Special Agent in Charge of the DEA Dallas Field Division, which covers all Oklahoma operations. “The DEA will utilize all of its resources to ensure drug traffickers are arrested and face prosecution, and this investigation is a clear example of the resolute determination of the agents, investigators, and analysts working to keep Oklahoma a safer place.”
The 16-count indictment, unsealed today, alleges the defendants conspired to manufacture, to possess with intent to distribute and to distribute 500 grams or more of methamphetamine. The defendants have been charged with drug conspiracy; possession with intent to distribute and distribution of methamphetamine; maintaining a drug involved premises; and use of a communication facility in committing, causing, and facilitating the commission of a drug trafficking felony.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Those arrested as part of the indictment include:
Arrested today
Desiree Loraine Castaneda, 33,
Ernesto Cerda, age unknown
Jorge Guerrero Perez, 41
Luis Rodriguez, 32
Gabriel Vidales-Moreno 41
Carlos Yepez, 41
Gerardo Yepez, 35
Jorge Yepez, 25
Previously arrested
Pedro Santiago Cabrerra, 36
Rolando Reyna Reyes, 34
Two other individuals not named in the indictment were also arrested today during the operation and will be charged later this week.
The Drug Enforcement Administration, Tulsa Police Department, Oklahoma Bureau of Narcotics and Dangerous Drugs, Tulsa County Sheriff’s Office, and Broken Arrow Police Department are the investigative agencies. Assistant U.S. Attorneys Ben Tonkin and David Nasar are prosecuting the case.
Tax preparer pleads guilty to filing false income tax returnsRead the Press Release
COLUMBUS, Ohio – A Georgia woman who used to live in Columbus, Ohio, pleaded guilty in U.S. District Court today to filing at least 51 false or fraudulent tax returns for 19 clients in Ohio and Georgia between 2013 and 2019.
Tiffany Gravely, 47, of Powder Springs, Georgia, pleaded guilty to one count of assisting in the preparation and filing of a false or fraudulent income tax return. She faces up to three years in prison, fines and must pay $257,609 in restitution. Court documents say she prepared and filed income tax returns containing deductions for businesses that did not exist, claimed false business expenses that did not occur and claimed fictitious expenses including charitable deductions.
“This case reminds taxpayers that, during this tax filing season, they should be careful when choosing a tax preparer,” said Vipal J. Patel, Acting U.S. Attorney for the Southern District of Ohio. “Tax fraud costs U.S. taxpayers millions of dollars each year, and my office will continue to hold accountable those found to be behind these fraudulent claims.”
“Each year, IRS-CI special agents and the U.S. Attorney’s Office investigate and prosecute return preparer fraud, which includes adding false deductions and credits in order to inflate refunds,” said Bryant Jackson, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
As of tax year 2018, 55 percent of taxpayers used a paid preparer. Although most preparers provide honest and professional services, there is a small number of dishonest preparers who set up shop during filing season to steal money, or personal and financial information from clients, or who improperly inflate tax credits or deductions with false return information. Taxpayers can avoid falling victim to unscrupulous preparers by following important steps:
- Look for a preparer who is available year-round in case questions arise after the filing season.
- Ask if the preparer has an IRS Preparer Tax Identification Number (PTIN), which is required for paid preparers.
- Inquire about the preparer’s credentials and check their qualifications.
- Ask about service fees. Avoid preparers who base fees on a percentage of their client’s refund, claim to offer a bigger refund than their competition, or guarantee a refund.
- Never sign a blank or incomplete return and review it before signing. Refunds should go directly to the taxpayer, not the preparer.
For more tips on choosing a tax professional or to file a complaint against one, visit IRS.gov.
Acting U.S. Attorney Patel commended the IRS-CI Special Agents who investigated Gravely’s case and Assistant Deputy Criminal Chief Jessica W. Knight and Assistant United States Attorney David J. Twombly, who are representing the United States. Chief U.S. District Judge Algenon L. Marbley accepted Gravely’s plea.
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Suburban Chicago Man Sentenced to 12 Years in Federal Prison for Conspiring to Provide Material Support to ISISRead the Press Release
CHICAGO — A man from a north suburb of Chicago was sentenced today to 12 years in federal prison for conspiring to provide material support to the Islamic State of Iraq and al Sham, a foreign terrorist organization also known as ISIS.
U.S. District Judge Andrea R. Wood imposed the sentence on JOSEPH D. JONES, 38, of Zion, Ill. A jury in 2019 convicted Jones on one count of conspiring to provide material support and resources to ISIS.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; John C. Demers, Assistant Attorney General for National Security; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The Zion, Ill., Police Department provided valuable assistance. The case was investigated by the Chicago Joint Terrorism Task Force, which is comprised of numerous federal, state, and local law enforcement agencies. The government was represented by Assistant U.S. Attorneys Barry Jonas and David Rojas of the Northern District of Illinois, and Trial Attorney Alexandra S. Hughes of the National Security Division’s Counterterrorism Section.
Evidence at trial revealed that Jones advocated on social media for violent extremism in support of the terrorist group. In 2015, Jones began meeting with undercover FBI employees and individuals who, unbeknownst to Jones, were cooperating with law enforcement. During the meetings, Jones discussed his devotion to ISIS and his commitment to ISIS principles.
In 2017, Jones furnished cellular phones to one of the cooperating individuals, believing the phones would be used to detonate explosive devices in ISIS attacks overseas. On April 7, 2017, Jones drove with the cooperating individual to O’Hare International Airport in Chicago, with the understanding that the cooperating individual would be traveling to Syria to fight with ISIS.
A co-defendant, EDWARD SCHIMENTI, 39, of Zion, Ill., was also convicted of the conspiracy charge, as well as a charge of making false statements to the FBI. Judge Wood set sentencing for Schimenti for April 9, 2021, at 12:30 p.m.
Suburban Chicago Man Sentenced to 12 Years in Federal Prison for Conspiring to Provide Material Support to ISISRead the Press Release
WASHINGTON – An Illinois man was sentenced today to 12 years in prison for conspiring to provide material support to the Islamic State of Iraq and al Sham, a foreign terrorist organization (aka ISIS).
Joseph D. Jones, 38, of Zion, Illinois, was convicted by a federal jury on one count of conspiring to provide material support and resources to ISIS in 2019. According to court documents, Jones advocated on social media for violent extremism in support of the terrorist group. In 2015, Jones began meeting with undercover FBI employees and individuals who, unbeknownst to Jones, were cooperating with law enforcement. During the meetings, Jones discussed his devotion to ISIS and his commitment to ISIS principles.
In 2017, Jones furnished cellular phones to one of the cooperating individuals, believing the phones would be used to detonate explosive devices in ISIS attacks overseas. On April 7, 2017, Jones drove with the cooperating individual to O’Hare International Airport in Chicago, with the understanding that the cooperating individual would be traveling to Syria to fight with ISIS.
A co-defendant, Edward Schimenti, 39, of Zion, Illinois, was also convicted of the conspiracy charge, as well as a charge of making false statements to the FBI. U.S. District Judge Andrea R. Wood set sentencing for Schimenti for April 9, 2021 at 12:30 p.m.
U.S. Attorney John R. Lausch Jr. for the Northern District of Illinois; Assistant Attorney General John C. Demers of the Justice Department’s National Security Division; and Special Agent-in-Charge Emmerson Buie Jr. of the FBI Chicago Field Office made the announcement.
The Chicago Joint Terrorism Task Force comprised of numerous federal, state and local law enforcement agencies investigated the case.
Trial Attorney Alexandra S. Hughes of the Justice Department’s National Security Division’s Counterterrorism Section and Assistant U.S. Attorneys Barry Jonas and David Rojas of the Northern District of Illinois prosecuted the case.
St. Louis Man Convicted of Possessing Firearms while Being a User of Controlled SubstancesRead the Press Release
Acting United States Attorney Jan Sharp announced that a federal jury in Lincoln, Nebraska, returned a guilty verdict today against Drake L. Banks, Sr., age 30, of St. Louis, Missouri, for possessing firearms while being an unlawful user of controlled substances. Today’s verdict subjects Banks to a potential prison term of up to ten years. Chief United States District Judge John M. Gerrard presided over the trial and set sentencing for June 4, 2021.
The evidence at trial established that Banks and Zachary R. Macomber, age 29, of Annapolis, Missouri, were traveling eastbound on Interstate 80 a few miles west of Lincoln on September 19, 2019. They passed a Lincoln Police Department officer, who proceeded to stop them for following another vehicle too closely and cutting off a semi-truck. The officer soon discovered that there was marijuana inside the vehicle. Banks and Macomber were seated in the back of patrol vehicle while the officer conducted a search of the vehicle. Methamphetamine, marijuana, and evidence of marijuana use were found in the front seats of the rental vehicle. In the trunk of the vehicle, the officer found the seven firearms listed below, numerous magazines for the firearms, and ammunition. Two of the Glock handguns were found to be loaded at the time of the traffic stop. The firearms included:
- a Palmetto State Armory PA-15, multi caliber pistol,
- a Kel-Tec PLR-16, 5.56 mm caliber pistol,
- a AA Arms AP9, 9 mm caliber pistol,
- a Glock 19, 9 mm caliber pistol,
- a Glock 22, .40 caliber pistol,
- a Glock 17, 9 mm caliber pistol, and
- a Glock 21, .45 caliber pistol.
While seated in the back of the patrol car, and while the officer was conducting a search of the rental car, the two defendants made considerable efforts to escape, including kicking the center divider and opening a sliding door on the center divider.
Macomber pleaded guilty on August 6, 2020, to being a felon in possession of firearms. On November 6, 2020, he was sentenced by Chief Judge Gerrard to serve a 52-month term of imprisonment, to be followed by 3 years of supervised release. (There is no parole in the federal system.)
Acting U.S. Attorney Sharp expressed his appreciation for the efforts of the Lincoln Police Department, the Lancaster County Sheriff’s Department, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives for their outstanding efforts in the investigation and assistance during trial.
St. Louis County woman pleads guilty for her role in Nigerian romance scamRead the Press Release
ST. LOUIS –Trenice Hassel, 28, of St. Louis, Missouri, pleaded guilty to one count of making false statements to a federal agency. Hassel appeared, today, before United States District Court Judge Sarah E. Pitlyk.
On April 8, 2020, the United States Postal Inspection Service learned of a Romance Scam operating through the use of Post Office Box 34096 in Berkley, Missouri. The post office box account had been opened fraudulently by Hassel and B.M. using B.M’s name and identification number. Through subsequent investigation, inspectors learned the scam had been operating since early 2019.
Hassel admitted that a co-defendant offered her $100 if she could find someone who would open a post office box for him in that person’s name. Consequently, Hassel asked B.M. to open the post office box using B.M.’s name and identification because she knew B.M. would not question why she was being asked to open a post office box.
On January 8, 2020, Hassel and B.M. entered the Berkeley post office where they completed PS Form 1093, titled “Application for Post Office Box Service.” Hassel and B.M. made a material misrepresentation to the United States Postal Service by falsely claiming the post office box was being sought for B.M.’s residential and personal use, and that B.M. and Hassel were the only people authorized to pick up mail delivered to the rented post office box.
At the time B.M. and Hassel submitted the false and fraudulent application, Hassel knew neither she nor B.M. would use the post office box for their use, but instead the co-defendant would possess and control access to the rented post office box in connection with some type of illegal activity, the exact nature of which Hassel was unaware.
Hassell further admitted that after the representative for the United States Postal Service accepted B.M.’s application, B.M. was assigned Post Office Box 34096 and was provided with two keys for the post office box. When Hassel and B.M. exited the post office, they gave both keys to the co-defendant who paid the two women for fraudulently opening the post office box.
Between January 8, 2020 and June 4, 2020, the co-defendant collected, and attempted to collect, express mail delivered through the United States Postal Service to dozens of women who were deceived into mailing the proceeds of a Nigerian romance scam to fraudulently opened Post Office Box 34096 because they believed the money was being sent to B.M. who was employed as either a diplomat’s secretary or as a realtor.
The United States Postal Inspection Service and the Federal Bureau of Investigation investigated the case. Assistant United States Attorney Tracy Berry is handling the case.
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South Bay Doctor Settles Federal Lawsuit Alleging He Accepted Illegal Kickbacks for Patient Referrals to Gardena HospitalRead the Press Release
LOS ANGELES – A Hawthorne-based physician has settled allegations that he violated the False Claims Act by receiving kickbacks and other improper payments in exchange for referring patients to Memorial Hospital of Gardena, the Justice Department announced today.
Dr. Ashok Kumar paid $215,228 on March 1 to settle the allegations brought against him in a whistleblower lawsuit that Memorial Hospital of Gardena provided compensation to Kumar, whom they hired as a medical director, that both exceeded the fair market value of his services and was an attempt to incentivize him to refer patients to their hospital.
The lawsuit alleged that Kumar violated the federal Anti-Kickback Statute as well as the Physician Self-Referral Law. The Anti-Kickback Statute imposes civil liability on those who willingly offer, solicit, receive or pay any sort of compensation in exchange for the referral of services provided by a federal health care program, including Medicare. The Physician Self-Referral Law, commonly known as the Stark Law, bans doctors from referring patients to receive designated health care services payable by Medicare or Medicaid from entities with which the doctor or an immediate family member has a financial relationship.
The settlement resolves allegations originally brought in a lawsuit by Dr. Joshua Luke, the former chief executive officer of Memorial Hospital of Gardena, against Kumar and other defendants under the whistleblower provisions of both the federal and California False Claims acts. Both statutes permit private parties to sue on behalf of the state and federal governments for false claims for government funds, and to receive a share of any recovery.
Dr. Luke will receive $42,529 from the federal government as his share of the recovery announced today. His allegations against the other defendants were resolved in 2018 when they agreed to pay the federal government an $8.1 million settlement. The allegations brought on behalf of the State of California have been resolved pursuant to a separate agreement.
This case was handled by Assistant United States Attorney Frank D. Kortum of the Civil Fraud Section, who worked closely with the U.S. Department of Health and Human Services – Office of Inspector General. Tips and complaints from all sources about potential fraud, waste, abuse and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
The case is United States of America ex rel. Luke, State of California ex rel. Luke v. Gardena Hospital, L.P. DBA Memorial Hospital of Gardena, Avanti Hospitals, LLC, et al., CV 15-8732-MCS. The claims resolved by the settlement are allegations only; there has been no determination of liability.
Shooting in Henderson Lands Convicted Felon in Federal PrisonRead the Press Release
WILMINGTON, N.C. –A Henderson man was sentenced yesterday to 96 months in prison for Possession of a Firearm by a Felon.
According to court documents and other evidence, Jerome Cozart, 31, engaged in a shootout with another individual at a convenience store on East Andrews Avenue in Henderson. Video surveillance shows the two men in a verbal altercation, when Cozart retrieves a handgun and shoots toward the other man who returned fire. A Henderson Police Department officer was nearby on routine patrol and immediately responded to the scene, placing Cozart into custody. No one was injured.
Cozart had prior convictions for Common Law Robbery, Breaking or Entering and Terrorizing or Injuring, and Possession of a Firearm by a Felon.
G. Norman Acker, III, Acting U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Richard E. Myers II. The Henderson Police Department investigated the case and Assistant U.S. Attorney Robert J. Dodson 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. 5:20-CR-293-M.
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Shelby County man pleads guilty to sending money to Filipino mothers in exchange for child pornographyRead the Press Release
DAYTON – A Sidney, Ohio, man pleaded guilty in U.S. District Court today to attempting to produce child pornography. He faces a minimum of 25 years and up to 50 years in prison.
Charles Lee Frazier, 41, admitted that he solicited child pornography from impoverished mothers in the Philippines.
According to court documents, Frazier used Filipino dating sites to connect with women in poverty. In subsequent Skype chats with the women, he would ask them for sexually explicit pictures of their children in exchange for money. Specifically, Frazier’s conversations included requests for pornography of naked minor children engaging in sexual conduct with other children or with their mothers. Frazier distributed child pornography to several women, as examples of what images he wanted them to create with their children, or with instructions to show the images to their children to convince them to engage in that behavior. The defendant also had discussions about committing violent acts against children. For example, he discussed killing infants during sexual assaults.
From April through July 2019, Frazier sent money via MoneyGram from a Sidney, Ohio, store to women in the Philippines in exchange for child pornography. Frazier sent approximately $800 to one individual in exchange for nude images of a seven-year-old girl. One of the women in the online chats stated she needed the money from Frazier for food.
Frazier was a registered sex offender at the time of the offense. He was convicted in a 2011 federal case for receiving child pornography. He was sentenced to 84 months in prison for that conviction.
Frazier’s prior offense makes the new conduct punishable by at least 25 years and up to 50 years in prison. Congress sets the minimum and maximum statutory sentence. Sentencing of the defendant will be determined by the Court based on the advisory sentencing guidelines and other statutory factors.
Vipal J. Patel, Acting United States Attorney for the Southern District of Ohio, Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Sidney Police Chief William Balling announced the plea entered into today before U.S. District Judge Walter H. Rice. The FBI’s Child Exploitation and Human Trafficking Task Force investigated and Assistant United States Attorney Christina E. Mahy is representing the United States in this case.
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Seasonal employee admits sexually assaulting another employee while working in Glacier National ParkRead the Press Release
UPDATED March 5, 2021: For clarification, neither the defendant nor the victim was an employee of or affiliated with the National Park Service.
MISSOULA — A seasonal employee accused of sexually assaulting another seasonal worker in Glacier National Park admitted charges today, Acting U.S. Attorney Leif Johnson said.
Eduardo Luis Diaz, 26, of Chicago, Illinois, pleaded guilty to sexual abuse during a hearing. Diaz faces a maximum life in prison, a $250,000 fine, and five years of supervised release.
U.S. District Judge Donald W. Molloy presided. Judge Molloy set sentencing for June 24. Diaz was released pending further proceedings.
The government alleged in court documents filed in the case that in July 2020, Diaz and the victim, identified as Jane Doe, were both seasonal employees working in Glacier National Park for a private contractor and living in employee housing. Doe became intoxicated at a party. After Doe had passed out, Diaz sexually assaulted Doe. Another resident of the dorm assisted Doe after the assault.
When interviewed by a National Park Service ranger, Diaz told the ranger that he had engaged in sex with Doe.
Assistant U.S. Attorney Kalah Paisley is prosecuting the case, which was investigated by the National Park Service.
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Savannah man sentenced to federal prison for violent armed robbery that left Samaritan soldier woundedRead the Press Release
SAVANNAH, GA: A Savannah man who participated in the March 2019 robbery of a bar during which a U.S. Army serviceman was wounded has been sentenced to more than 10 years in federal prison.
Justin Alexander Campbell, 21, was sentenced to 121 months in prison by U.S. District Court Judge Lisa Godbey Wood after pleading guilty to Interference with Commerce by Robbery, said David H. Estes, Acting U.S. Attorney for the Southern District of Georgia. Campbell also must serve three years of supervised release after completion of his prison term. There is no parole in the federal system.
Campbell’s co-defendant in the robbery, Anthony Curtis Raife, 24, of Savannah, is serving a 120-month prison sentence after pleading guilty to Possessing a Short-Barreled Shotgun in Furtherance of a Violent Crime. The two also are required to pay $35,523.83 in restitution to the victims in the case.
“This violent robbery by two criminals forever changed the lives of several victims, including the badly wounded soldier and the innocent business owners, and patrons,” said Acting U.S. Attorney Estes. “Justin Campbell and Anthony Raife are justly locked away for their well-deserved punishment, and for our community’s protection.”
According to court documents and testimony, Campbell and Raife entered the rear door of Brewer’s Sports Pub and Grill on Ogeechee Road on March 24, 2019. Both carried firearms and pointed the weapons at patrons and threatened them during the robbery. One of the customers, an active-duty U.S. Army serviceman, witnessed the robbery and helped other patrons escape. The soldier then went unarmed to the rear of the bar and was shot after he punched Raife in the face. Both robbers then fled. The soldier was treated for a bullet wound to the chest and has since recovered.
Raife was located and arrested in Savannah in September 2019, while Campbell was taken into custody in Virginia and returned to Georgia for prosecution in March 2020.
“This sentence completes the judicial process for two men who left permanent scars, both physical and mental, on several innocent victims, including a heroic soldier,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “The victims will never fully overcome the trauma those scars remind them of, but hopefully the fact that these two criminals can’t harm them or any others for a long time, brings them some sort of comfort.”
“This is a powerful example of the determination and professionalism that our officers and detectives bring to every crime investigation,” said Chatham County Police Chief Jeffrey M. Hadley. “They followed every lead and did not rest until the two perpetrators were behind bars, and the victims and community had some resolution in this case.”
The case was investigated by the FBI and the Chatham County Police Department, with assistance from the U.S. Marshals Service and the Petersburg (VA) Police Department, and prosecuted for the United States by the U.S. Attorney’s Office for the Southern District of Georgia.
Sacramento County Man Sentenced to 25 Years in Prison for Sexual Exploitation of a ChildRead the Press Release
SACRAMENTO, Calif. — Johnathan David Sprague, 33, of Orangevale, was sentenced Monday by U.S. District Judge Kimberly J. Mueller to 25 years in prison for sexual exploitation of a minor, Acting U.S. Attorney Phillip A. Talbert announced.
According to court documents, starting in January 2019, Sprague joined a Kik chat group for persons interested in sex with children and sent members of the group messages that contained screenshots of his texting activity with minors. Sprague sent screenshots of the victim engaged in sexual conduct to one group member, an undercover officer, stating that he was “grooming” the victim. Sprague sent another user the images of the victim. He also expressed interest in the 11‑year-old stepdaughter of a chat group member who was actually an undercover officer. On Feb. 24, 2019, Sprague offered to buy a plane ticket for the Kik group member and the stepdaughter to fly from Newark, New Jersey to Sacramento. On March 8, 2019, Sprague went to the airport to pick them up and was arrested.
Agents seized Sprague’s phone, and found child pornography files stored in his cloud storage accounts, as well as screenshots of chats showing the production and distribution of the images of the minor.
“The U.S. Attorney’s Office is committed to continuing to locate offenders like Sprague and ensure that they are prosecuted to the fullest extent of the law,” said Acting U.S. Attorney Talbert. “We will do everything we can to keep our children safe from predators.”
“This investigation demonstrates Homeland Security Investigations’ (HSI) unwavering commitment to rid our community of child predators who seek to harm our most innocent population,” said HSI NorCal Special Agent in Charge Tatum King. “HSI operates worldwide to ensure child predators have no safe hiding place and are brought to justice. HSI Newark initiated this investigation and coordinated with HSI NorCal to ensure this individual was held accountable. HSI and our partners in the Internet Crimes Against Children Task Force (ICAC), the U.S. Attorney’s Office, and the National Center for Missing and Exploited Children (NCMEC), will never relent when it comes to protecting children and prosecuting predators whose perverse behavior has no place in our society.”
This case was the product of an investigation by the New Jersey Internet Crimes Against Children task force, HIS, the New Jersey State Police, and the police departments of Bayonne, New Jersey, Newark and Sacramento. Assistant U.S. Attorney Roger Yang prosecuted the case.
Sprague will remain in custody pending sentencing in New Jersey on state charges before transfer to a Bureau of Prisons facility.
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 those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet-safety education.