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Newest first across public DOJ and U.S. Attorney press releases.
Monday 7 December 2020
Detroit man with previous felony drug convictions charged with intent to distribute methRead the Press Release
A federal grand jury sitting in Toledo has returned a one-count indictment charging Eddie Lee Pope, age 47, of Detroit, Michigan, with intent to distribute methamphetamine. This charge carries an enhanced penalty specification due to the defendant’s history of previous felony drug offense convictions.
According to court documents, on October 14, 2020, the Ohio State Highway Patrol initiated a traffic stop of the vehicle that the defendant was operating. The criminal complaint states that as the patrol officer was questioning the defendant outside of his vehicle, the defendant took off running and was later apprehended. A plastic bag allegedly containing 446.8 grams of methamphetamine was later found near the area where the defendant was apprehended.
The defendant has a history of drug trafficking convictions, including delivery/manufacture of cocaine in the Third Judicial Circuit Court of Michigan.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation.
In all cases, the sentence will not exceed the statutory maximum, and in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Ohio State Highway Patrol and the United States Drug Enforcement Administration (DEA). The case is being prosecuted by Assistant U.S. Attorneys Robert N. Melching and Alissa M. Sterling.
Denham Springs Woman Sentenced to 15 Months in Federal Prison for Conspiracy to Commit Disaster FraudRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge John W. deGravelles sentenced Casondra Reagan, age 44, of Denham Springs, to 15 months in federal prison following her conviction for conspiracy to commit fraud connected to major disaster declaration emergency benefits. The Court further sentenced Reagan to serve three years of supervised release following her term of imprisonment and pay restitution in the amount of $50,000.
Following the 2016 flooding that affected 12 parishes in south Louisiana, the Small Business Administration (SBA) made low interest loans available to people who had sustained damage to their residences as a result of the flood. The loans came with caveat that the funds must be used to repair or replace property damaged by the flood.
According to admissions made as part of her guilty plea, Reagan and another agreed to apply for an SBA loan for their residence damaged by the 2016 flood and planned to use the loan to pay off other loans they already had. At no point did they intend to use the SBA loan to repair or replace things damaged by the flood.
Reagan and another applied for and were approved for a $92,500 SBA loan for their Denham Spring residence. SBA dispersed over half the loan funds to Reagan. The loan funds were spent on a trip for four to Disney World, fast food restaurants, gym membership fees, etc. No funds were used to repair or place flood damaged property, nor were any payments made on the loan itself.
U.S. Attorney Fremin stated, “Federal disaster assistance funds are funds dedicated to assist those affected by a disaster. When these funds are stolen, not only is the federal government victimized, but also the true disaster victims who rely on these funds to return their lives to pre-disaster normalcy. My office will continue to work effortlessly with our law enforcement partners to prosecute and hold accountable those who steal from the U.S. taxpayers for their own personal gain.”
“SBA’s Disaster Assistance Program is intended to aid recovery for individuals and businesses that are victims of disasters,” said SBA OIG’s Central Region Special Agent-in-Charge Sharon Johnson. “SBA OIG will relentlessly pursue evidence of misuse of those funds for personal gain. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.”
This matter was investigated by the U.S. Small Business Administration and Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Jessica Thornhill.
DISH Network to Pay $210 Million for Telemarketing ViolationsRead the Press Release
The Department of Justice today announced a settlement in which DISH Network LLC (DISH) will pay $126 million in civil penalties to the United States for placing millions of telemarketing calls in violation of the Federal Trade Commission's Telemarketing Sales Rule (TSR).
This settlement represents the largest civil penalty ever paid to resolve telemarketing violations under the FTC Act, and exceeds the total penalties paid to the government by all prior violators of the TSR. DISH will also pay a combined $84 million to four states for violations of the Telephone Consumer Protection Act, for a total settlement of $210 million.
“The settlement sends a strong message to would-be violators that telemarketing laws and regulations cannot be ignored,” said Acting Assistant Attorney General Jeffrey Bossert Clark for the Department of Justice’s Civil Division.
This case was filed in 2009 and went to trial in 2016. The United States — along with its co-plaintiffs, the States of California, Illinois, North Carolina, and Ohio — alleged that DISH made millions of unlawful telemarketing calls to consumers and was responsible for millions more made by retailers that marketed DISH products and services. In a 2017 opinion, the district court found DISH liable for more than 66 million telemarketing violations of the TSR and other federal and state statutes, imposing significant compliance measures on DISH and awarding the plaintiffs $280 million in civil penalties and damages, with $168 million going to the United States and $112 million to the state plaintiffs. In 2020, the U.S. Court of Appeals for the Seventh Circuit affirmed those liability findings, but vacated and remanded the civil penalties and damages awards for recalculation.
As reflected in the stipulated judgment entered by the court today, DISH will pay the United States $126 million in civil penalties to resolve the monetary portion of the case and has agreed not to contest the court’s factual findings or liability determination. DISH will continue to follow the robust compliance measures imposed by the court in 2017. The injunction strictly prohibits any future telemarketing violations and significantly restricts DISH’s future telemarketing activities. DISH also has been ordered to prepare and abide by a telemarketing plan, submit telemarketing compliance materials to the department and the FTC twice annually until 2027, and provide compliance reports requested by the department or the FTC.
This matter was handled by attorneys in the Civil Division’s Consumer Protection Branch, including Assistant Director Lisa K. Hsiao and Trial Attorneys Patrick R. Runkle, Daniel Crane-Hirsch, and Benjamin A. Cornfeld. Mark B. Stern and Lindsey Powell of the division’s Appellate Staff handled the Seventh Circuit appeal. Lois Greisman, Will Maxson, and Russell Deitch of the FTC’s Division of Marketing Practices represented the FTC.
For more information about 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 FTC, visit its website at https://www.FTC.gov.
Convicted Felon Sentenced to 81 Years in Federal Prison for Robbing Stores at GunpointRead the Press Release
SHREVEPORT, La. – Christopher M.K. Dumas, 29, of Shreveport, Louisiana, was sentenced today by United States District Judge S. Maurice Hicks, Jr. to 81 years in prison followed by 5 years of supervised release for his participation in five armed robberies in Shreveport and one in Marshall, Texas, announced Acting United States Attorney Alexander C. Van Hook.
“The sentence imposed today sends a crystal clear message that criminals who use guns and violence to terrorize the community will face severe consequences when they are prosecuted in federal court,” said Acting United States Attorney Van Hook. “The United States Attorney’s Office, the ATF, and the FBI will continue to work with the Shreveport Police Department and our other local law enforcement partners to make our communities safer by taking dangerous felons like Mr. Dumas off the street. Mr. Dumas’s long history of gun violence came to an end today.”
Dumas was convicted by a federal jury in March 2020 following a four-day trial in U.S. District Court. The evidence at trial established that between March 17, 2017 and April 15, 2017, Dumas robbed at gunpoint, a Metro PCS store, H&S Grocery and Liquor, Inc., Werner Park Grocery, and Rodeway Inn & Suites, all located in Shreveport, Louisiana, and a Boost Mobile store in Marshall, Texas.
On March 17, 2017 and March 20, 2017, Dumas entered a Metro PCS store waving a .38 Colt Army revolver, demanding the money from the register and safe. He told one employee to put the money in the bag or he would shoot him in the leg. On March 17, Dumas left with $2,568 and on March 20, with $400. Dumas held up an H&S Grocery and Liquor clerk at gunpoint on March 30, 3017, and told the clerk “give me all the money or I’ll shoot you.” The clerk gave Dumas all of the cash ($400) in the register.
On April 1, 2017, after having met with his parole officer earlier that morning, Dumas traveled to Marshall, Texas, where he robbed a Boost Mobile store. Dumas entered the store, leaped over the sales counter and pointed a.38 Colt revolver at the store clerk, demanding cash from the register. A neighboring business owner heard the store clerk scream and came to aid her. Dumas shot the business owner hitting him twice in the chest and then fled from the scene. A silver Nissan Versa with a dent on the driver’s side door was seen in the area before, during, and after the robbery and was captured on the surveillance cameras of the Greenwood Police Department traveling back to Shreveport.
On April 4, 2017, Dumas and his co-defendant Stafford King, robbed Werner Park Grocery at gunpoint. King put the revolver against the head of a store clerk and told the clerk to give him money. Dumas pointed his gun at another clerk’s head while also demanding money. Both defendants ran out of the store with an unknown amount of money and got into a silver car with a dent on the left side.
On April 15, 2017, Dumas pointed a gun at a Rodeway Inn employee and demanded the money from the register. The clerk complied with Dumas’ demands and Dumas got away with $554. On March 20 and April 15, Dumas was also seen getting into a silver car with damage on the left side. Each robbery was captured by video surveillance.
Later on April 25, 2017, a Shreveport police officer saw the silver Nissan Versa matching the description from the robberies and pulled it over after a traffic violation. King was driving and Dumas was in the passenger seat. Law enforcement officers recovered hoodies, bandanas, and gloves from the car that matched descriptions from the robberies. Police also located 9 millimeter ammunition, consistent with a TEC-9 semi-automatic pistol used in the Werner Park and Rodeway Inn robberies and three other weapons from the Nissan Versa.
Dumas, a previously convicted felon, was on state parole for simple burglary and possession of a firearm by a convicted felon at the time of the robberies. He was released on parole in January 2017 and started robbing just two months later, in March.
Dumas’ co-defendant, Stafford King, 39, of Shreveport, pleaded guilty on August 12, 2019, to one violation each of the Hobbs Act and using of a firearm during a crime of violence. King was sentenced by United States District Judge S. Maurice Hicks, Jr. to 11 years, 8 months in prison followed by 5 years of supervised release for his participation in the robberies.
The FBI, ATF, Shreveport Police Department, Marshall, Texas Police Department, and Greenwood Police Department investigated the case. Assistant U.S. Attorneys Cytheria D. Jernigan and Leon H. Whitten prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. 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.
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Connecticut Man Sentenced for Bank Fraud and Aggravated Identity TheftRead the Press Release
BOISE – Edward Fisher, 57, of Stamford, Connecticut, was sentenced to 42 months in federal prison for bank fraud and aggravated identity theft, U.S. Attorney Bart M. Davis announced today. U.S. District Judge B. Lynn Winmill also imposed a term of three years of supervised release to follow Fisher’s prison sentence. Fisher pleaded guilty to the charges on September 3, 2020.
According to court records, on April 22, 2020, Fisher visited a Wells Fargo in Boise, a federally insured financial institution. Fisher filled out a withdrawal slip for $3,500 and requested to withdraw funds from an account belonging to a Wells Fargo account holder. To withdraw the funds from the account, Fisher presented false identification bearing Fisher's photograph, but with the personal identification of the real account holder. Fisher did not know the real account holder and never obtained the account holder’s permission to withdraw the funds.
On April 21 and April 22, 2020, Fisher attempted the same fraudulent scheme at three different Wells Fargo branches in Idaho using the same false identification as well as false identification of another Wells Fargo account holder. In total, Fisher unsuccessfully attempted to fraudulently withdraw $18,000 from accounts at Wells Fargo.
This case was investigated by the Boise Police Department and United States Secret Service.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Cameroonian Operator Charged in Fraudulent Online "Puppy Scam" that Exploited the COVID-19 PandemicRead the Press Release
A criminal complaint unsealed Friday in federal court in Pittsburgh charges Desmond Fodje Bobga for his alleged involvement in a puppy fraud scheme perpetrated against American consumers. Fodje Bobga, 27, is a citizen of Cameroon who is in Romania on a visa to attend a university there.
He is charged with conspiracy to commit wire fraud, wire fraud, forging a seal of the U.S. Supreme Court, and aggravated identity theft. Fodje Bobga has been arrested. A website that was used in the online puppy fraud scheme, www.lovelyhappypuppy.com, is already deleted.
“The Department of Justice is committed to deterring and disrupting schemes, especially transnational ones, that take advantage of the COVID-19 pandemic for financial gain by victimizing consumers,” said Acting Assistant Attorney General Jeffery Bossert Clark for the Civil Division. “We are grateful to our partners at the U.S. Attorney’s Office in the Western District of Pennsylvania and the FBI for working hard to shut down this fraud scheme and to punish criminals who seek to exploit American’s fondness for animals.”
“The dog adoption market can be a breeding ground for catfish schemes. Fodje Bogda and his co-conspirators exploited a national pandemic — and the social isolation it engendered — to exploit victims with photos of cute puppies and to bilk extra costs under the pretense of COVID,” said U.S. Attorney Scott W. Brady for the Western District of Pennsylvania. “With the holiday season upon us, and the desire for companionship higher than ever, don’t fall prey to scammers selling pets online: do your research and verify.”
“Unfortunately, the pandemic has created the perfect condition for unscrupulous pet sellers to thrive,” said FBI Pittsburgh Special Agent in Charge Michael Christman. “This suspect exploited this website to sell puppies and capitalized on people looking for companion animals online during this difficult time. The FBI has a long arm and an even longer reach and no matter where these scammers are, we will stop at nothing to make sure they don't get away with victimizing American citizens.”
According to the unsealed affidavit filed with the criminal complaint, from around June 2018 to the present, Fodje Bobga knowingly conspired with others to offer puppies and other animals for sale on Internet websites, including lovelyhappypuppy.com. He and others communicated by text message and email with potential victims to induce pet purchases. Following each purchase, Fodje Bobga and the co-conspirators claimed that a transportation company would deliver the puppy or other animal and provided a false tracking number for the pet. Fodje Bobga and his co-conspirators, acting as the transportation company, then claimed the pet transport was delayed and that the victim needed to pay additional money for delivery of the pet.
More recently, Fodje Bobga and the co-conspirators told some victims that they needed to pay even more money for delivery because the pet had been exposed to the coronavirus. The perpetrators used false and fraudulent promises and documents regarding shipping fees and coronavirus exposure to extract successive payments from victims. Among the fake documents were a “refundable crate and vaccine guarantee document” that purported to have been issued by the “Supreme Court of the United States of America” and bore the seal of the court, along with the signature of a Clerk of the Court. After Fodje Bobga and the co-conspirators received money directly and indirectly through wire communications from the victims, Fodje Bobga and the co-conspirators never delivered the pets.
The affidavit and criminal complaint detail the alleged dealings of Fodje Bobga and his co-conspirators with six victims in Western Pennsylvania and elsewhere who were seeking to purchase a puppy. According to the affidavits and criminal complaint:
- Victim 1, of New Brighton, Pennsylvania, was seeking to purchase a mini-dachshund puppy for her mother in mid-March of 2020. Victim 1 was induced to lose $9,100 due to false claims that the puppy was being shipped, needed insurance, and was exposed to COVID-19;
- Victim 2 of Fruitland, Iowa, was seeking to purchase a mini dachshund puppy for herself in mid-March of 2020. False claims induced Victim 2 to lose $1,840;
- Victim 3 of Marion Center, Pennsylvania, was seeking to purchase a teacup Chihuahua and paid $600. Victim 3 became suspicious when asked for an additional $800 for shipping. Fodje Bobga allegedly provided a false Refundable Crate and Vaccine Guarantee Document, purported to have been issued by and containing the seal of the Supreme Court of the United States, in an attempt to induce Victim 3 to pay the additional charges. Victim 3 lost $600;
- Victim 4 is a Dallas, Texas, couple who were seeking to purchase a dog. Following the payment of $950 for the agreed upon dog named Snow White, the couple was contacted regarding issues with shipment and induced to pay $850 more by Zelle, an online payment service. The couple was contacted again with the claim that payment did not go through due to the wrong name being listed, but refused to resend $850. Victim 4 lost $1,800;
- Victim 5 of Cheswick, Pennsylvania, was seeking to purchase a Chihuahua named Bentley for $600. After sending a $600 MoneyGram to the alleged seller, Victim 5 was contacted repeatedly regarding problems with payments, transportation issues and the need to purchase a U.S. Department of Agriculture permit. Victim 5 lost $1,500; and
- Victim 6 of Pittsburgh, Pennsylvania, was searching for a puppy online but became suspicious and did not send any payments. According to the complaint, 55 text messages were exchanged with Victim 6’s phone number, between Jan. 23, 2020, and Jan. 24, 2020, that attempted to induce Victim 6 to pay for a puppy.
Fodje Bobga was arrested in Cluj, Romania, on Dec. 3, 2020, pursuant to a provisional arrest request from the United States.
The wire fraud conspiracy and wire fraud charges provide for a sentence of up to 20 years in prison. Forging of Seal provides for a maximum sentence of five years in prison. Aggravated identity theft provides for a mandatory two years in prison in addition to the other sentences. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The FBI Pittsburgh Field Office conducted the investigation leading to the domain seizures and criminal complaint in this case. The prosecution is being handled by Assistant U.S. Attorneys Shardul Desai and Ira M. Karoll of the Western District of Pennsylvania and Wei Xiang of the Civil Division’s Consumer Protection Branch.
The Justice Department’s Office of International Affairs provided substantial assistance. Law enforcement authorities in Romania including the Romanian National Police, Directorate for Combating Organized Crime and the Cluj Brigade for Combating Organized Crime provided significant cooperation.
The FBI urges vigilance during the COVID-19 pandemic. For resources on keeping yourself and your family safe from hackers and scammers visit: https://www.fbi.gov/coronavirus.
The details contained in the criminal complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
For more information about the Consumer Protection Branch, visit its website at www.justice.gov/civil/consumer-protection-branch.
California Man Sentenced to Federal Prison in Drug Trafficking Conspiracy Involving Louisiana State Penitentiary Inmates, Former Angola Guards, and OthersRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. Chief Judge Shelly D. Dick sentenced Ismael Ochoa, age 34, to 90 months in federal prison following his convictions for conspiracy to distribute and possess with intent to distribute cocaine, heroin, marijuana, and methamphetamine, and unlawful travel in aid of a racketeering enterprise.
The Court further sentenced Ochoa to serve three years of supervised release following his term of imprisonment and forfeit $5,735.
Ochoa was charged along with twenty-one other individuals in connection with an extensive federal, state, and local investigation by the Middle District Organized Crime and Drug Enforcement Task Force (OCDETF) aimed at a drug trafficking organization – Jellystone – a large-scale cocaine, heroin, marijuana, and methamphetamine trafficking network based in the Louisiana State Penitentiary at Angola, with suppliers in East Baton Rouge Parish, Louisiana, and Colton, California.
According to admissions made as part of his guilty plea, Ochoa agreed with others, to smuggle heroin, marijuana, and methamphetamine into Angola, which is located in West Feliciana Parish, Louisiana, in the Middle District of Louisiana.
On September 25, 2017, Ochoa traveled from San Bernardino, California, to Baton Rouge, Louisiana, to assist in smuggling marijuana and methamphetamine into Angola. Upon his arrival in Baton Rouge, Ochoa borrowed a Glock handgun to keep during his stay in Baton Rouge. On or about October 1, 2017, Ochoa helped Individual 1 package approximately 3 pounds of marijuana and 4 ounces of methamphetamine to be smuggled into Angola and traveled with Individual 1 to Angola to assist in the smuggling.
Between July 2017 and September 2017, Ochoa received over $5,735 as payment for illegal controlled substances, to include heroin, marijuana and methamphetamine that were distributed by two illegal drug dealers in California, and shipped to Louisiana for delivery to inmates in Angola, to include an Angola inmate. Ochoa then used these funds to distribute to members of the drug-trafficking conspiracy with which he was involved, and also to pay the California drug dealers, and others, for heroin, marijuana, and methamphetamine that had been shipped to Louisiana and then smuggled into Angola for further distribution by the Angola inmate.
U.S. Attorney Fremin stated, “This defendant is one of the key leaders of a drug distribution conspiracy which brought significant amounts of cocaine, heroin, marijuana, and methamphetamine into our district and penal system. Those involved include inmates at Angola serving either life or other significant terms of imprisonment, former Angola guards, and drug suppliers from California. This sentencing restores justice in order to protect our citizens and promote respect for the law. I want to thank our prosecutor, the FBI, the United States Postal Inspection Service, the West Feliciana Sheriff, and the Louisiana Department of Corrections who worked tirelessly, and in constant coordination, to advance the goal of eliminating opioids and other harmful drugs from our district.”
“The FBI’s goal is to identify and target criminal enterprises and other groups engaged in drug trafficking. Today, justice was served to Mr. Ochoa who chose to traffic and distribute illicit narcotics in Angola State Penitentiary. I want to thank the efforts and collaboration of the United States Attorney's Office, the United States Postal Inspection Service, the West Feliciana Sheriff, and the Louisiana Department of Corrections who worked tirelessly to dismantle this criminal enterprise,” stated the FBI Special Agent in Charge Bryan Vorndran. “I assure you, the FBI will continue to enforce the laws and intervene when drug traffickers distribute narcotics on the streets or in the prison system.”
This matter is being investigated by the Federal Bureau of Investigation and the United States Postal Inspection Service, with assistance from the Louisiana Department of Corrections and West Feliciana Parish Sheriff’s Office. This matter is being prosecuted by Assistant United States Attorney Paul L. Pugliese.
The investigation that led to this indictment is another effort by the Organized Crime Drug Enforcement Task Force (OCDETF) Program that was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations and money laundering organizations and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
Cameroonian Operator Charged in Fraudulent Online “Puppy Scam” That Exploited the COVID-19 PandemicRead the Press Release
WASHINGTON – A criminal complaint unsealed Friday in federal court in Pittsburgh charges Desmond Fodje Bobga for his alleged involvement in a puppy fraud scheme perpetrated against American consumers. Fodje Bobga, 27, is a citizen of Cameroon who is in Romania on a visa to attend a university there. He is charged with conspiracy to commit wire fraud, wire fraud, forging a seal of the U.S. Supreme Court, and aggravated identity theft. Fodje Bobga has been arrested. A website that was used in the online puppy fraud scheme, www.lovelyhappypuppy.com, is already deleted.
Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division, U.S. Attorney Scott W. Brady for the Western District of Pennsylvania and Special Agent in Charge Michael Christman of the FBI Pittsburgh Field Office, announced the arrest.
"The Department of Justice is committed to deterring and disrupting schemes, especially transnational ones, that take advantage of the COVID-19 pandemic for financial gain by victimizing consumers," said Acting Assistant Attorney General Clark. "We are grateful to our partners at the U.S. Attorney’s Office in the Western District of Pennsylvania and the FBI for working hard to shut down this fraud scheme and to punish criminals who seek to exploit American’s fondness for animals."
"The dog adoption market can be a breeding ground for catfish schemes. Fodje Bogda and his co-conspirators exploited a national pandemic — and the social isolation it engendered — to exploit victims with photos of cute puppies and to bilk extra costs under the pretense of COVID," said U.S. Attorney Brady. "With the holiday season upon us, and the desire for companionship higher than ever, don’t fall prey to scammers selling pets online: do your research and verify."
"Unfortunately, the pandemic has created the perfect condition for unscrupulous pet sellers to thrive," said FBI Pittsburgh Special Agent in Charge Michael Christman. "This suspect exploited this website to sell puppies and capitalized on people looking for companion animals online during this difficult time. The FBI has a long arm and an even longer reach and no matter where these scammers are, we will stop at nothing to make sure they don't get away with victimizing American citizens."
According to the unsealed affidavit filed with the criminal complaint, from around June 2018 to the present, Fodje Bobga knowingly conspired with others to offer puppies and other animals for sale on Internet websites, including lovelyhappypuppy.com. He and others communicated by text message and email with potential victims to induce pet purchases. Following each purchase, Fodje Bobga and the coconspirators claimed that a transportation company would deliver the puppy or other animal and provided a false tracking number for the pet. Fodje Bobga and his coconspirators, acting as the transportation company, then claimed the pet transport was delayed and that the victim needed to pay additional money for delivery of the pet. More recently, Fodje Bobga and the coconspirators told some victims that they needed to pay even more money for delivery because the pet had been exposed to the coronavirus. The perpetrators used false and fraudulent promises and documents regarding shipping fees and coronavirus exposure to extract successive payments from victims. Among the fake documents were a "Refundable Crate and Vaccine Guarantee Document" that purported to have been issued by the "Supreme Court of the United States of America" and bore the seal of the Court, along with the signature of a Clerk of the Court. After Fodje Bobga and the coconspirators received money directly and indirectly through wire communications from the victims, Fodje Bobga and the coconspirators never delivered the pets.
The affidavit and criminal complaint detail the alleged dealings of Fodje Bobga and his coconspirators with six victims in Western Pennsylvania and elsewhere who were seeking to purchase a puppy. According to the affidavits and criminal complaint:
• Victim 1, of New Brighton, Pennsylvania, was seeking to purchase a mini-dachshund puppy for her mother in mid-March of 2020. Victim 1 was induced to lose $9,100 due to false claims that the puppy was being shipped, needed insurance, and was exposed to COVID-19;
• Victim 2 of Fruitland, Iowa was seeking to purchase a mini dachshund puppy for herself in mid-March of 2020. False claims induced Victim 2 to lose $1,840;
• Victim 3 of Marion Center, Pennsylvania was seeking to purchase a teacup Chihuahua and paid $600. Victim 3 became suspicious when asked for an additional $800 for shipping. Fodje Bobga allegedly provided a false Refundable Crate and Vaccine Guarantee Document, purported to have been issued by and containing the seal of the Supreme Court of the United States, in an attempt to induce Victim 3 to pay the additional charges. Victim 3 lost $600;
• Victim 4 is a Dallas, Texas couple who were seeking to purchase a dog. Following the payment of $950 for the agreed upon dog named Snow White, the couple was contacted regarding issues with shipment and induced to pay $850 more by Zelle, an online payment service. The couple was contacted again with the claim that payment did not go through due to the wrong name being listed, but refused to resend $850. Victim 4 lost $1,800;
• Victim 5 of Cheswick, Pennsylvania, was seeking to purchase a Chihuahua named Bentley for $600. After sending a $600 MoneyGram to the alleged seller, Victim 5 was contacted repeatedly regarding problems with payments, transportation issues and the need to purchase a USDA permit. Victim 5 lost $1,500; and
• Victim 6 of Pittsburgh, Pennsylvania, was searching for a puppy online but became suspicious and did not send any payments. According to the complaint, 55 text messages were exchanged with Victim 6’s phone number, between January 23, 2020, and January 24, 2020, that attempted to induce Victim 6 to pay for a puppy.
Fodje Bobga was arrested in Cluj, Romania, on December 3, 2020, pursuant to a provisional arrest request from the United States.
The wire fraud conspiracy and wire fraud charges provide for a sentence of up to 20 years in prison. Forging of Seal provides for a maximum sentence of five years in prison. Aggravated Identity Theft provides for a mandatory two years in prison in addition to the other sentences. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The FBI Pittsburgh Field Office conducted the investigation leading to the domain seizures and criminal complaint in this case. The prosecution is being handled by Assistant U.S. Attorneys Shardul Desai and Ira M. Karoll of the Western District of Pennsylvania and Wei Xiang of the Civil Division’s Consumer Protection Branch.
The Justice Department’s Office of International Affairs provided substantial assistance. Law enforcement authorities in Romania including the Romanian National Police, Directorate for Combating Organized Crime and the Cluj Brigade for Combating Organized Crime provided significant cooperation.
The FBI urges vigilance during the COVID-19 pandemic. For resources on keeping yourself and your family safe from hackers and scammers visit: https://www.fbi.gov/coronavirus.
The details contained in the criminal complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
For more information about the Consumer Protection Branch, visit its website at www.justice.gov/civil/consumer-protection-branch.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Criminal Complaint- Criminal Complaint
Bronx Man Charged with Harboring Fugitive and Making False Statements in Connection with Shooting of Two Deputy United States MarshalsRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, Ralph Sozio, the United States Marshal for the Southern District of New York, and Dermot Shea, the Commissioner of the New York City Police Department (“NYPD”), announced today the filing of a Complaint in Manhattan federal court charging GRANT GRANDISON with making false statements to federal agents and harboring or concealing a person from arrest. As alleged, GRANDISON allowed Andre K. Sterling, a fugitive wanted for the November 20, 2020, shooting of a state trooper in Massachusetts, to reside in his Bronx apartment. GRANDISON further allegedly lied to the Marshals who were seeking to arrest Sterling by telling the Marshals that no one was in the apartment, before Sterling fired multiple rounds at the Marshals, striking and injuring two Marshals. GRANDISON was arrested on December 4, 2020, and will be presented this afternoon before United States Magistrate Judge Sarah Netburn.
Acting U.S. Attorney Audrey Strauss said: “As alleged, Grant Grandison’s conduct led to the horrific shooting of two Deputy United States Marshals who were just doing their jobs in attempting to arrest Andre K. Sterling, a man wanted for a violent felony. We are lucky that more law enforcement officers were not injured during the shooting, and it appears that both injured Marshals will recover. Grandison is now charged in federal court for his serious crimes. Our Office remains committed to defending our brave law enforcement partners, who risk their lives every day to keep New Yorkers safe.”
United States Marshal Ralph Sozio said: “Unfortunately, and as alleged, the actions of Grandison dictated the events that led to the shooting of two Deputy United States Marshals on that morning in the Bronx. The heroic actions of the Deputy United States Marshals and Task Force Members that day are a true testament to the dangers of entering an unknown location in search of a violent fugitive. On behalf of the United States Marshals Service I want to extend my gratitude to the United States Attorney’s Office and the New York City Police Department for their tireless investigation and their pursuit of Federal charges. Our thoughts and prayers are with our Deputies as they recover from their injuries. The United States Marshals Service and the law enforcement community remain united in our continued pursuit of justice.”
NYPD Commissioner Dermot Shea said: “By misleading federal agents, as alleged, the defendant led them into a violent attack. The ensuing shooting not only injured two Deputy U.S. Marshals but is an assault on society. I commend the U.S. Attorney’s Office for the Southern District of New York for answering it with these federal charges.”
As alleged in the Complaint[1] filed in Manhattan federal court:
On or about November 20, 2020, Andre K. Sterling allegedly shot a Massachusetts State Trooper during a traffic stop in Hyannis, Massachusetts. Sterling fled from Massachusetts and was deemed a fugitive. On or about November 24, 2020, a federal warrant was issued for Sterling’s arrest.
On the morning of December 4, 2020, several Deputy United States Marshals (the “Marshals”), along with officers from the NYPD and state troopers from the Massachusetts State Police, traveled to an apartment in the Bronx (the “Apartment”), where they believed Sterling was located, in order to arrest Sterling. The Marshals announced themselves as “U.S. Marshals” and encountered GRANDISON at the door. The Marshals asked GRANDISON, in sum and substance, if anyone else was in the Apartment, and GRANDISON replied, in sum and substance, that no one else was in the Apartment. At the time of GRANDISON’s statements to the Marshals, he knew that Sterling was a fugitive. The Marshals proceeded into the Apartment, at which point Sterling began firing at the Marshals, striking and injuring two Marshals. The Marshals returned fire, and Sterling was killed in the exchange. Law enforcement agents recovered a firearm from near Sterling.
Law enforcement agents later interviewed GRANDISON, who admitted, in sum and substance and among other things, that he had allowed Sterling to live with him. GRANDISON further admitted that Sterling had told him, in sum and substance and among other things, that if anyone was looking for him, GRANDISON should tell them Sterling was not there.
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GRANDISON, 35, of the Bronx, New York, is charged with one count of making false statements to a federal agents and one count of harboring or concealing a person from arrest, each of which carries a maximum sentence of five years in prison.
The maximum potential sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Ms. Strauss praised the outstanding investigative work of the United States Marshals Service, the New York/New Jersey Regional Fugitive Task Force, the New York City Police Department’s 47th Precinct Detective Squad, the Massachusetts State Police, and the Special Agents of the United States Attorney’s Office for the Southern District of New York.
The case is being prosecuted by the Office’s Violent and Organized Crime Unit. Assistant United States Attorney Alexandra N. Rothman is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Berkeley County woman sentenced for drug chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Jazzlyn Rae Molloy, of Martinsburg, West Virginia, was sentenced today to 41 months of incarceration for a drug charge, U.S. Attorney Bill Powell announced.
Molloy, age 23, pled guilty to one count of “Possession with Intent to Distribute Cocaine” in March 2020. Molly admitted to having more than 500 grams of cocaine in April 2018 in Berkeley County in September 2018.
Assistant U.S. Attorney Kimberley D. Crockett prosecuted the case on behalf of the government. The Martinsburg Police Department investigated.
Chief U.S. District Judge Gina M. Groh presided.
Arkansas Project Manager Sentenced in Connection with COVID-Relief FraudRead the Press Release
A project manager employed by a major retailer was sentenced to 24 months in prison followed by five years of supervised release for fraudulently seeking more than $8 million in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act announced Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney R. Trent Shores of the Northern District of Oklahoma.
Benjamin Hayford, 32, of Centerton, Arkansas, was sentenced today by U.S. District Judge Claire V. Eagan. Hayford pleaded guilty in August to an indictment charging him with fraudulently seeking millions of dollars in forgivable loans guaranteed by the SBA from multiple banks by claiming fictitious payroll expenses. To support his applications, Hayford provided lenders with fraudulent payroll documentation purporting to establish payroll expenses that were, in fact, non-existent. In addition, Hayford admitted to making false representations to a financial institution concerning the date that a Limited Liability Partnership for which he applied for relief was established. The lenders at issue declined to fund the loans that Hayford sought.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the Paycheck Protection Program (PPP). In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set period and use a certain percentage of the loan towards payroll expenses.
Deputy Chief Brian R. Young of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Victor A.S. Régal for the Northern District of Oklahoma are prosecuting the case. The U.S. Attorney’s Office for the Western District of Arkansas provided valuable assistance in this matter.
The Justice Department acknowledges and thanks the Federal Housing Financial Agency Office of Inspector General, the SBA Office of Inspector General, and the Federal Deposit Insurance Corporation Office of Inspector General for their efforts investigating this matter.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Arkansas Project Manager Sentenced in Connection with COVID-Relief FraudRead the Press Release
A project manager employed by a major retailer was sentenced to 24 months in prison followed by five years of supervised release for fraudulently seeking more than $8 million in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act announced Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney R. Trent Shores of the Northern District of Oklahoma.
Benjamin Hayford, 32, of Centerton, Arkansas, was sentenced today by U.S. District Judge Claire V. Eagan. Hayford pleaded guilty in August to an indictment charging him with fraudulently seeking millions of dollars in forgivable loans guaranteed by the SBA from multiple banks by claiming fictitious payroll expenses. To support his applications, Hayford provided lenders with fraudulent payroll documentation purporting to establish payroll expenses that were, in fact, non-existent. In addition, Hayford admitted to making false representations to a financial institution concerning the date that a Limited Liability Partnership for which he applied for relief was established. The lenders at issue declined to fund the loans that Hayford sought.
“Small businesses are vital employers to 60 million Americans. Amid the COVID-19 pandemic, many small businesses are treading water, and the Paycheck Protection Program is a lifeline to help keep employees on their payrolls,” said U.S. Attorney Trent Shores. “Benjamin Hayford, and those like him, seek to enrich themselves at the expense of others in need during these uncertain times. Across the United States, these fraudsters are being brought to justice, including Hayford who will spend the next two years in federal prison.”
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the Paycheck Protection Program (PPP). In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set period and use a certain percentage of the loan towards payroll expenses.
Deputy Chief Brian R. Young of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Victor A.S. Régal for the Northern District of Oklahoma are prosecuting the case. The U.S. Attorney’s Office for the Western District of Arkansas provided valuable assistance in this matter.
The Justice Department acknowledges and thanks the Federal Housing Financial Agency Office of Inspector General, the SBA Office of Inspector General, and the Federal Deposit Insurance Corporation Office of Inspector General for their efforts investigating this matter.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Friday 4 December 2020
YouTube Video Leads to Prison Sentence for Convicted FelonRead the Press Release
ALEXANDRIA, Va. – A previously convicted felon was sentenced today to 18 months in prison and three years of supervised release after he appeared in a video posted to YouTube while in possession of a firearm.
According to court documents, Najee Lewis, 23, of Stafford, unlawfully possessed a stolen 9mm Ruger pistol while appearing in a music video. At the time, Lewis knew he was a convicted felon and was prohibited from possessing the firearm.
Lewis previously was convicted in Prince William Circuit Court of two separate felony robbery offenses that had occurred two days apart. He was subsequently sentenced at the same time for both offenses. In May 2018, Lewis was released from incarceration for these robbery convictions and began a 10-year term of supervised probation. Less than four months after his release from incarceration, while still on supervision in Virginia, the video showing Lewis with a firearm was posted to YouTube. In April 2018, the firearm was reported stolen, and it was later recovered in October 2019.
This case is 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. Click here for more information about Project Guardian.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after sentencing by Senior U.S. District Judge T.S. Ellis III.
Special Assistant U.S. Attorney Christian Levesque prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-128.
Westchester Man Arrested in Menands on Child Enticement ChargeRead the Press Release
ALBANY, NEW YORK – Dean Picariello, age 30, of Valhalla, New York, was arrested yesterday and charged with attempting to entice or coerce a child.
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 charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
The criminal complaint alleges that, on November 4, 2020, Picariello initiated a conversation with an undercover police officer posing as a 12-year-old girl in a teen chat group on a popular social media messaging application. Picariello engaged in sexually explicit conversation with the undercover officer, graphically describing the sex acts he would perform on the 12-year-old child when they met in person. In late November, Picariello began exchanging sexually explicit text messages with a second undercover officer posing as the 12-year-old girl’s younger cousin. On December 3, 2020, Picariello arranged to travel from Valhalla to Menands, to meet and have sex with the cousins. When Picariello arrived at the prearranged meeting location in Menands, he was encountered by law enforcement officers and arrested.
Picariello appeared today before United States Magistrate Judge Christian F. Hummel. Picariello will remain detained pending trial.
The charge against Picariello carries a sentence of at least 10 years and up to life in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. 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. If convicted, Picariello would also have to register as a sex offender.
This case is being investigated by the FBI and its Child Exploitation Task Force, and is being prosecuted by Assistant United States Attorney Rachel Williams.
Anyone with information about this defendant is encouraged to contact the FBI Albany Field Office at (518) 465-7551.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s offices, 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 identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc/.
Wayne County Man Pleads Guilty to Cocaine Distribution and Gun Possession ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Holsey Wedlow, 68, of Sodus, NY, pleaded guilty before U.S. District Judge David G. Larimer to possessing with intent to distribute 28 grams or more of crack cocaine and being a felon-in-possession of firearms. The charges carry a minimum penalty of five years in prison, a maximum of 50 years, and a $5,250,000 fine.
Assistant U.S. Attorney Katelyn M. Hartford, who is handling the case, stated that between September 2016 and September 2018, the defendant sold cocaine and crack cocaine in the Wayne County area. During that time, Wedlow possessed multiple firearms, which he was prohibited from possessing by virtue of the fact that he had three prior felony convictions.
The plea is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Wayne County Sheriff’s Office, under the direction of Sheriff Barry Virts; and the Ontario County Sheriff’s Office, under the direction of Sheriff Kevin Henderson.
Sentencing will be scheduled at a later date.
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Waterloo Man Pleads Guilty to Making Threatening Phone Call to Congressman’s OfficeRead the Press Release
A man who called the Washington D.C. office of Congressman Jerrold Nadler and threatened the Congressman pled guilty today in federal court in Cedar Rapids.
Kenneth Brown, from Waterloo, Iowa, was convicted of one count of transmitting a threatening communication.
At the plea hearing, Brown admitted that on December 18, 2019, he called the Washington D.C. office of Congress Nadler. Brown admitted that he spoke with a staff assistant working in the office and threatened the Congressman. Specifically, as charged in the indictment, Brown said “I will find someone to assassinate that piece of (expletive deleted) you work for. Jerry Nadler is going to be assassinated.”
Sentencing before United States District Court Judge C.J. Williams will be set after a presentence report is prepared. Brown remains in custody of the United States Marshal and will remain in custody pending sentencing. Brown faces a possible maximum sentence of five years’ imprisonment, a $250,000 fine, and three years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Anthony Morfitt and was investigated by the Federal Bureau of Investigation, the Waterloo Police Department, and the United States Capitol Police.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-2042.
Follow us on Twitter @USAO_NDIA.
Utah Pharmacy Accused of Unlawfully Dispensing Thousands of Opioids, Other Controlled Substances in Civil LawsuitRead the Press Release
SALT LAKE CITY – A Utah pharmacy is accused of dispensing thousands of highly addictive controlled substances in violation of the Controlled Substances Act (CSA) in a newly filed federal lawsuit, U.S. Attorney John W. Huber announced today. The complaint was filed Friday in U.S. District Court in Salt Lake City.
Ridley’s Family Markets, Inc., a corporate-owned supermarket and pharmacy chain, is accused of failing to recognize “red flags” of improper and illegitimate prescriptions. Ridley’s operates 31 grocery stores and two stand-alone pharmacies in Utah, Idaho, Wyoming, Colorado, and Nevada.
A pharmacy owned by Ridley’s in Morgan, Utah, became the subject of a DEA investigation after it was discovered that Ridley’s filled 160 forged and fraudulent prescriptions for two of its regular customers. The United States alleges in its complaint that the customers’ actions were so obviously fraudulent that any reasonable pharmacist would have prevented the illegal diversion of dangerous opioids and other controlled substances by properly following the provisions set forth by the CSA.
The Morgan location is the second pharmacy owned by Ridley’s to be accused of this conduct. A Ridley’s pharmacy located in Casper, Wyoming, is also alleged to have filled more than 200 illegitimate prescriptions written by a now convicted pill-pushing doctor.
The actions sought in this complaint are part of the ongoing efforts made by the U.S. Attorney’s Office in Utah and its federal law enforcement partners to combat the opioid crisis through criminal prosecutions and civil actions.
The lawsuit alleges Ridley’s shirked its responsibility as the “last line of defense between powerful controlled substances with high potential for abuse and the people seeking them.” In addition to overlooking obviously altered paper prescriptions, Ridley’s turned a blind eye to numerous “red flag” warnings of drug abuse and diversion, including: 1) filling prescriptions not within the scope of the prescriber’s practice; 2) unusual levels of cash sales; 3) prescriptions for the same drugs in multiple strengths; 4) prescriptions for daily doses higher than medically necessary; 5) similar or duplicate prescriptions written for more than one family member residing at the same address; and 6) prescriptions for drug combinations well-known in the medical and pharmacy community as carrying a high risk for drug abuse, the lawsuit alleges.
The lawsuit alleges that Ridley’s employees not only failed to comply with CSA protocol, they failed to follow their own minimal safeguards. Following this protocol would have prevented the diversion of thousands of dangerous opioids.
Dispensing drugs in violation of the CSA carries a civil penalty of up to $67,627 per violation. The complaint alleges “hundreds” of violations by Ridley’s with just these two customers. In addition to civil penalties, the United States seeks injunctive relief to restrain Ridley’s violations of the CSA.
The claims asserted against the defendants are allegations only and there has been no determination of liability.
Uniontown man indicted in murder-for-hire plotRead the Press Release
U.S. Attorney Justin Herdman announced today that a federal grand jury sitting in Toledo returned a one-count indictment charging Scott Allen Renninger, age 52, of Uniontown with use of interstate commerce facilities in the commission of murder-for-hire.
“This defendant allegedly went to great lengths to organize, pay for and attempt a murder-for-hire plot,” said U.S. Attorney Justin Herdman. “I am thankful for the hard work of the FBI and the investigators in this case who worked tirelessly to protect the victim and ensure that this defendant would not be able to enact this plot.”
"The FBI commends the individual(s) that came forward to report Mr. Renninger's desire to, in his words, make his wife disappear,” said FBI Special Agent in Charge Eric B. Smith. “Without this vital information, Mrs. Renninger may have very well lost her life. It is imperative that law enforcement and the public continue to work together to ensure the safety of our communities and its citizens."
According to the indictment, in October of 2020, the defendant is accused of offering a confidential source working for the FBI $20,000 in exchange for the killing of his wife, the victim in this case. In June of 2020, the victim filed a Petition for Domestic Violence Civil Protection Order (“DVCPO”) in Domestic Relations Court in Summit County, Ohio. In August of 2020, the victim filed for a divorce from the defendant.
Beginning in October of 2020, the defendant met with a confidential source working with the FBI and allegedly discussed offering money in exchange for the killing of the victim. The defendant is accused of providing the confidential source with a photograph, license plate information and other materials that disclosed the house number and street address of the victim. The indictment states that the defendant and the confidential source had regular contact and frequently discussed the plan to exchange money for the killing of the victim.
In November of 2020, the defendant, the confidential source (CS-1) and a second confidential source (CS-2) met to discuss the murder-for-hire plot, according to the indictment. CS-1 introduced the defendant to CS-2 in a parking lot and the defendant sat in CS-2’s car and stated that they needed to figure out a way to communicate, possibly using burner phones. Later on, the defendant allegedly confirmed his desire to make the victim “disappear” to CS-2.
During a subsequent meeting, CS-2 and the defendant allegedly discussed and agreed upon a price of $20,000 for the murder-for-hire plot. CS-2 and the defendant placed calls to each other using the burner phones. On November 17, 2020, federal authorities announced the arrest of the defendant at his residence without incident. The victim was unharmed.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense, and the characteristics of the violation.
In all cases, the sentence will not exceed the statutory maximum, and in most cases, it will be less than the maximum.
This case was investigated by the Cleveland Division of the Federal Bureau of Investigation and is being prosecuted by Assistant U.S. Attorneys Brian McDonough and Brad Beeson.
U.S. Attorney's Office Reaches Settlement Under the False Claims Act over Allegations That Defendants Collected Excess RentRead the Press Release
Mae Ava Carse Properties, LLC, PHP Property Managers, LLC, Claude E. Phillips Properties, LLC, and Deborah J. Payne (Defendants) have agreed to pay the United States $150,000 to resolve allegations that they violated the False Claims Act, 31 U.S.C. §§ 3729-3733, by knowingly and unlawfully collecting excess rent from certain tenants participating in the U.S. Department of Housing and Urban Development’s (HUD) federal Housing Choice Voucher Program, commonly referred to as “Section 8,” which is a program for assisting low-income families, the elderly and the disabled in securing decent, safe, and sanitary housing in the private market. Through this program, HUD provides funding through vouchers that are administered by local public housing agencies. HUD pays the housing subsidy, which may cover all or a portion of a tenant’s monthly rent, directly to the landlord. As a condition for receiving the housing subsidy, the landlord contractually agrees not to charge the Section 8 tenant rent in excess of the amount set by the public housing agency.
Defendants leased property to certain tenants participating in the Section 8 program. This settlement resolves allegations that from 2013 to 2018, Defendants violated the False Claims Act by knowingly requiring certain Section 8 tenants to pay rent that exceeded what was contractually allowed.
United States Attorney Matthew Schneider stated, “The Justice Department is committed to tracking down unscrupulous landlords who take advantage of low-income renters. We do this by protecting renters who benefit from the federal Housing Choice Voucher Program. We bring these cases to come to the defense of Michiganders who need affordable quality housing.”
The settlement resolves allegations contained in a lawsuit filed by a former tenant under the qui tam, or whistleblower, provisions of the False Claims Act. The whistleblower was represented by the University of Michigan Clinical Law Program. The False Claims Act permits private parties to file suit on behalf of the United States and to share in any recovery.
The matter was handled by Assistant United States Attorney John Postulka from the U.S. Attorney’s Office for the Eastern District of Michigan. The qui tam case is docketed as United States ex rel. Willis v. Mae Ava Carse Properties, LLC, et al. Case No. 19-cv-12486 (E.D. Mich.). The claims resolved by the settlement are allegations only; there has been no determination of liability.
U.S. Attorney Mike Stuart Issues Statement Regarding Fallen Hero Cassie JohnsonRead the Press Release
CHARLESTON, W.Va. -- United States Attorney Mike Stuart issued the following statement regarding Charleston Police Officer Cassie Johnson, a fallen hero who was shot and killed in the line of duty this week:
“Our heartfelt condolences and deepest sympathies go out to Officer Cassie Johnson's family, friends, the Charleston Police Department and the City of Charleston. Officer Johnson selflessly dedicated herself to protecting the residents of the City of Charleston, and her death is a tragic loss for the entire community. Officer Johnson’s service and sacrifice will not be forgotten. Together with our brothers and sisters in law enforcement, we mourn her loss. Cassie Johnson was a reflection of the best of law enforcement and the best of us. Her legacy will live on as we resolve to do all we can to support these public servants, our Guardians of Justice, who put their lives on the line every day to keep us safe.”
Follow us on Twitter: SDWVNews and USAttyStuart
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Two Unrelated Defendants Plead Guilty to Methamphetamine Trafficking on the Southern Ute Indian ReservationRead the Press Release
DURANGO – United States Attorney Jason R. Dunn announced that two unrelated individuals have pleaded guilty to methamphetamine trafficking on the Southern Ute Indian Reservation. Trisha Herrera, age 40, of Ignacio, Colorado, and Rita Clark, age 31, of Arboles, Colorado entered their guilty pleas before Magistrate Judge James Candelaria. These investigations were developed in part as a result of the Southern Ute Police Department’s hiring of a full time drug investigator. Southern Ute Police Chief Raymond Coriz joined in this announcement.
According to court documents, in March of 2020, Herrera arranged drug deals on four separate occasions with other individuals on the Southern Ute Indian Reservation. Over the course of those four deals, Herrera exchanged 38 grams of narcotics for $1,130 in cash.
In an unrelated case, court documents show that on July 17, 2020, Clark arranged a meeting with an individual on the Southern Ute Indian Reservation to exchange methamphetamine for money. Clark delivered 56.49 grams of narcotics in exchange for $1,200 in cash.
Both Herrera and Clark face up to forty years imprisonment. Herrera is scheduled to be sentenced on February 2, 2021, with Clark being scheduled to be sentenced on April 5, 2021. Both sentences will be pronounced by U.S. District Court Judge Robert E. Blackburn.
“Federal prosecutors have the important responsibility to work in tandem with our tribal partners to promote public safety on tribal land,” said U.S. Attorney Jason Dunn. “These prosecutions, and the continuing effort to combat narcotics on the Southern Ute Indian Reservation, show that endangering the community by profiting from dangerous narcotics does not pay.”
“The Southern Ute Police Department will not tolerate the continued destruction of lives caused by these unscrupulous drug dealers,” said Southern Ute Police Chief Raymond Coriz. “We will continue to aggressively investigate low to high level drug traffickers anywhere within the Boundaries of the Southern Ute Indian Reservation and beyond.”
These cases were cooperatively investigated by the Southern Ute Police Department and the Bureau of Indian Affairs – Division of Drug Enforcement. The defendants are being prosecuted by Assistant U.S. Attorney Jeff Graves.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Colorado. Related court documents can be found on PACER by searching for Case Numbers 20-cr-234 and 20-cr-235.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Two Tampa Men Indicted for Ten Armed Robberies and A ShootingRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of an indictment charging Jeffrey L. Davis (22, Tampa) and Tyee Spike II (18, Tampa) with participating in ten armed robberies that occurred in Tampa, Fishhawk, and Riverview between October 13 and October 19, 2020. Davis and Spike are jointly charged with nine counts of committing robbery, nine counts of using a firearm in furtherance of robbery, and one count of possessing a firearm and ammunition after being convicted of a felony. Spike is charged with an additional robbery, and with discharging his weapon during that robbery. If convicted on all counts, Davis faces a mandatory minimum penalty of 63 years, and up to life, in federal prison. Spike faces a mandatory minimum penalty of 88 years, and up to life, in federal prison.
Davis made his first appearance in federal court today. Spike is still in state custody.
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 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 and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Tampa Police Department, and the Hillsborough County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Natalie Hirt Adams.
Three Men Charged with Trafficking FentanylRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, David Sundberg, Special Agent in Charge of the New Haven Division of the Federal Bureau of Investigation, and Hartford Police Chief Jason Thody today announced that, on November 17, 2020, a federal grand jury in Hartford returned a 11-count indictment charging KYLE PITTS, also known as “Bark,” 37, of West Hartford; CURON JOHNSON, also known as “Buck,” 31, of East Hartford, and JABARI WALCOTT, also known as “Jabari Walcott-Greene,” 22, of Hartford, with narcotics distribution offenses related to the distribution of fentanyl in the Hartford area.
Pitts and Walcott appeared today via videoconference before U.S. Magistrate Judge Thomas O. Farrish and pleaded not guilty to the charges. Johnson’s arraignment has not been scheduled.
As alleged in court documents, in the summer of 2020, Hartford Police learned that Pitts and others were selling fentanyl, and that Pitts was using his West Hartford apartment to store fentanyl. Between August and October 2020, Hartford Police and the FBI’s Northern Connecticut Gang Task Force made multiple controlled purchases of fentanyl from Pitts, Johnson and Walcott.
Pitts and Johnson were arrested on federal criminal complaints on November 4, 2020. It is alleged that Pitts possessed a distribution quantity of fentanyl at the time of his arrest. Walcott was arrested on state charges on October 14, 2020. At the time of his arrest, it is alleged that he possessed distribution quantities of fentanyl and crack cocaine. The three defendants have been detained since their arrests.
The indictment charges Pitt, Johnson and Walcott each with one count of conspiracy to distribute, and to possess with intent to distribute, fentanyl. Each defendant is also charged with one or more counts of possession with intent to distribute, and distribution of, fentanyl. Pitts is charged with one count of possession with intent to distribute fentanyl, and Walcott is charged with one count of possession with intent to distribute cocaine base (“crack”).
Each charge in the indictment carries a maximum term of imprisonment of 20 years.
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations, and each defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, West Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Statement on the shooting death of Charleston Police Department’s Officer Cassie JohnsonRead the Press Release
WHEELING, WEST VIRGINIA – U.S. Attorney Bill Powell expressed sorrow and offers his heartfelt sympathy to family and friends of Officer Cassie Johnson, as well as the Charleston Police Department.
Johnson, 28, was shot during a routine response to a traffic complaint Wednesday afternoon in the city. She passed away Thursday, December 3.
“We are once again tragically reminded of the sacrifices our law enforcement officers make. Officer Johnson has made the ultimate sacrifice while serving to protect her community. I am profoundly saddened and can only offer prayers to her family at this difficult time. Nothing I can say will assuage the anguish the Johnson family and her brothers and sisters in uniform are feeling. I hope this tragedy once again reminds our citizens of the dangers our law enforcement face every day, and that we all take a moment to thank them for their continued willingness to put on their badges every day,” said Powell.
Statement from U.S. Attorney Andrew E. Lelling on the Shooting of Andre SterlingRead the Press Release
“Early this morning law enforcement officers, executing a fugitive warrant issued by this office, exchanged gunfire with suspect Andre Sterling, who was wanted for shooting a Massachusetts State Trooper last week. Two Deputy U.S. Marshals were shot and are now hospitalized. Sterling is dead.
At a time of constant, opportunistic, and absurd anti-police rhetoric, this is today's reminder of the sacrifices law enforcement officers make every day to keep us safe.”
Salamanca Man Arrested for Attempting to Have Sex with A 14 Year Old GirlRead 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 Richard Buffalo, 36, of Salamanca, NY, was arrested and charged by criminal complaint with enticement and attempted enticement of a minor and attempted transfer of obscene matter to an individual under the age of 16. The charges carry a minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
Special Assistant U.S. Attorney Jeffrey T. Fiut, who is handling the case, stated that according to the criminal complaint, in October 2020, the defendant began communicating with a minor female victim on the social media application Snapchat. Buffalo asked the minor victim if she wanted to have sex with him and offered to come pick her up. The minor victim advised the defendant that she was only 14 years old, but Buffalo persisted in his efforts to meet up with the minor victim. In November 2020, an undercover law enforcement officer, posing as the victim, began communicating with Buffalo on Snapchat and through text messaging. Believing the undercover officer to be the minor victim, the defendant asked if she wanted to have sex and requested that she send him nude images of herself. Buffalo also sent alleged nude images of himself to the undercover officer. The defendant later asked the undercover officer to meet in person, and the two agreed upon a time and place for the meeting. Buffalo arrived at the predetermined location and was taken into custody.
Buffalo made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and is being held pending a detention hearing on December 8, 2020.
The criminal complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly, and the Salamanca Police Department, under the direction of Chief Troy Westfall.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Rochester Man Sentenced on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Freedom Lee, 26, of Rochester, NY, who was convicted of possession with intent to distribute a controlled substance, and possession of a firearm in furtherance of drug trafficking, was sentenced to serve 69 months in prison by Chief U.S. District Judge Frank P. Geraci, Jr.
Assistant U.S. Attorney Cassie M. Kocher, who handled the case, stated that at approximately 2:50 a.m. on April 22, 2019, Rochester Police Department officers conducted a traffic stop of a vehicle in the area of 1210 North Clinton Avenue in Rochester. The defendant was identified as the passenger in the vehicle. During the stop, police officers recovered from Lee approximately 54 vials of cocaine; approximately 192 yellow glassine bags containing a mixture of heroin and fentanyl; approximately 15 white glassine bags containing a mixture of heroin and fentanyl; a plastic bag containing a mixture of heroin and cocaine; five yellow glassine bags containing fentanyl; a 9mm semiautomatic pistol loaded with 18 rounds of ammunition; and $1,632 in United States currency, which represented proceeds from his drug sales.
The case was brought by the U.S. Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The sentencing is the result of an investigation by the Rochester Police Department, under the direction of Chief Cynthia Herriott-Sullivan, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
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Rochester Man Arrested, Charged with Production of Child Pornography and Enticement of A MinorRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Michael Regan, 38, of Williamsville, NY, was arrested and charged by criminal complaint with production of child pornography and enticement of a minor. The charges carry a mandatory minimum penalty of 15 years in prison and a maximum of life.
Assistant U.S. Attorney Jonathan P. Cantil, who is handling the case, stated that on December 2, 2020, the FBI’s Child Exploitation Task Force was contacted by the Buffalo Police Department, which believed that the defendant was engaged in a sexual conversation with a 13 year-old-girl (Victim) through social media. According to the complaint, Regan, who identified himself as “Jason,” and the Victim met over Snapchat in late July and continued to chat over the next several weeks on social media. The chats were often sexual in nature with the defendant requesting that the victim send him naked photographs. In August, there was sexual contact between Regan and the Victim. At one point, the defendant claimed to be a Cheektowaga Police Officer.
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and was held pending a detention hearing on December 8, 2020.The complaint is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Byron Lockwood, and the Federal Bureau of Investigation Child Exploitation Task Force, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Robeson County Man Sentenced to More Than 16 Years in Federal Prison for Conspiracy to Distribute CocaineRead the Press Release
RALEIGH, N.C. – A Robeson County man was sentenced today to 195 months in prison for Conspiracy to Distribute 5 Kilograms or More of Cocaine and 280 Grams or More of Cocaine Base (Crack) and Possession of Firearms in Furtherance of a Drug Trafficking Crime.
According to court documents, Michael Anthony Locklear, 39, was charged at the conclusion of an investigation which revealed that he was a significant drug distributor in the Rowland, North Carolina area. After receiving numerous complaints from members of the community regarding suspected drug sales at Locklear’s residence, the Robeson County Sheriff’s Office conducted multiple search warrants at that location to recover cocaine, cocaine base, items used to package drugs for sale, and numerous firearms. Further investigation revealed that Locklear had been involved in dealing kilograms of cocaine and cocaine base (crack) between 2016 and August of 2019.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Robeson County Sheriff’s Office and the Federal Bureau of Investigation investigated the case and Assistant U.S. Attorney Caroline L. Webb prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:19-cr-00196-D.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Rhode Island Man Sentenced to Prison for Conspiring to Launder Funds from Email Compromise SchemeRead the Press Release
BOSTON – A Rhode Island man was sentenced today in connection with a conspiracy to launder funds derived from business email compromise (BEC) schemes, including one that targeted a Dorchester, Mass. real estate attorney.
Sayon Balogun a/k/a “Oshine,” 32, a dual citizen of the United States and Nigeria, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to 42 months in prison and three years of supervised release. He was also ordered to pay $434,832 in restitution. Balogun was initially charged by criminal complaint on May 31, 2019, and arrested in Florida on June 10, 2019.
In January 2018, Balogun’s co-conspirators gained access to email accounts belonging to a Massachusetts attorney engaged in real estate closings. The co-conspirators then mimicked (spoofed) the real estate attorney’s email account and sent emails to a Massachusetts resident who was the purchaser in a legitimate real estate transaction. The spoofed emails directed the Massachusetts real estate purchaser to wire transfer $531,981 (which the purchaser believed was for a legitimate real estate transaction) to the Wells Fargo account of a California woman, who in turn sent $60,000 to an account in the name of “David Tecum,” a fraudulent identity used by one of Balogun’s co-conspirators, Oghenetchouwe Adegor Ederaine, Jr. This account, and others, were opened by Ederaine to receive fraudulent proceeds at Balogun’s direction.
Ederaine pleaded guilty to aggravated identity theft and money laundering conspiracy and was sentenced to 40 months in prison.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The United States Attorney’s Office and the FBI in the Southern District of Florida provided valuable assistance. Assistant U.S. Attorney Mackenzie A. Queenin of Lelling’s Securities, Financial & Cyber Fraud Unit prosecuted the case.
Regional Drug Distributor and His Assistant Sentenced to Federal Prison for Conspiring to Distribute DrugsRead the Press Release
Tampa, Florida – United States District Judge Susan C. Bucklew has sentenced Adan Barajas Maldonado (35, Mexico) to 25 years in prison for conspiring to distribute controlled substances and for possessing a gun to further his drug trafficking enterprise. Maldonado had pleaded guilty on October 30, 2019.
United States District Judge Charlene E. Honeywell has sentenced Edwar Rodriguez (32, New York), one of Maldonado’s assistants, to 11 years and 3 months in prison for his role in the same drug distribution conspiracy. Rodriguez had pleaded guilty on August 27, 2020.
According to information presented in court, Maldonado and his co-defendant, Juan Carlos Arias Castillo, who are affiliated with a Mexican drug cartel, operated a regional drug trafficking organization (DTO) based in Spring Hill, Florida. Each week, over multiple years, they distributed more than 20 kilograms of highly pure methamphetamine, as well as smaller amounts of other drugs, to their network of kilogram-level dealers. The dealers, in turn, sold the drugs to lower-level suppliers.
Maldonado and Castillo lived together and operated their DTO from a non-descript suburban home and employed several couriers/assistants, including Rodriguez, who picked up drugs in Texas, after they had been smuggled into the country from Mexico. They then drove the drugs to Florida, delivered them to Maldonado and Castillo’s biggest customers, collected payments, wired drug profits to Mexico, and recruited others to wire money as well to evade law enforcement.
On April 23, 2019, law enforcement officers surveilling Maldonado and Castillo’s residence observed them appearing to receive a drug delivery. They then executed a search warrant on the home. Inside they found, among other items, 29.5 pounds (over 13 kilograms) of liquid pure methamphetamine, 380 grams of powdered methamphetamine, 145 grams of cocaine, two guns, ammunition, a drug ledger, and evidence revealing how the drugs were smuggled over the border in car tires.
Castillo has pleaded guilty for his role in the conspiracy and is scheduled to be sentenced on December 8, 2020. Two other defendants, Christian and Victor Santiago Rondon, have pleaded guilty and are scheduled to be sentenced in January 2021. One of Maldonado and Castillo’s biggest customers, Jorge Ramirez, has pleaded guilty and is due to be sentenced in February 2021.
This case was investigated by the Drug Enforcement Administration, the Hernando County Sheriff’s Office, and the Pasco Sheriff’s Office. This case is being prosecuted by Assistant United States Attorney Michael M. Gordon.
Rapid City Man Sentenced to 12.5 Years for Conspiracy to Distribute MethamphetamineRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man who pled guilty to Conspiracy to Distribute a Controlled Substance was sentenced on November 16, 2020, by U.S. District Court Judge Jeffrey L. Viken.
Christopher Bell, age 26, was sentenced to a total of 12.5 years in federal prison, followed by five years of supervised release, and a $100 special assessment to the Federal Crime Victims Fund.
From approximately September 2019 to April 2020, Bell obtained and distributed methamphetamine in the Rapid City area.
This case was investigated by the Unified Narcotics Enforcement Team (UNET), Drug Enforcement Agency, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. UNET is comprised of law enforcement from the Pennington County Sheriff’s Office, the Rapid City Police Department, South Dakota Division of Criminal Investigation, and the South Dakota National Guard. Assistant U.S. Attorney Kathryn N. Rich prosecuted the case.
Bell was immediately returned to the custody of the U.S. Marshals Service.
Raleigh Man Sentenced for Firearm OffenseRead the Press Release
NEW BERN, N.C. – A Raleigh man was sentenced today to 88 months in prison for being a felon in possession of a firearm.
According to court documents, Antoine Joseph Harris, 29, possessed two firearms on January 23, 2019, in Johnston County, North Carolina. Both firearms were loaded. Harris had multiple prior felony convictions. At the time of this offense, he was on supervised release for a 2014 federal conviction for being a felon in possession of a firearm, possessing a stolen firearm, and possession with intent to distribute a quantity of cocaine base (crack). Harris received a 72 months sentence on the new charge and a 16 months consecutive sentence in prison for the revocation of the supervised release.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge Louise W. Flanagan. The North Carolina State Highway Patrol and Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case and Assistant U.S. Attorney Lucy Brown prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-CR-204.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
One arrested after 2 dozen illegal aliens found in SW HoustonRead the Press Release
HOUSTON – A 36-year-old Honduran national who was illegally residing in Houston has been charged with harboring 29 individuals, announced U.S. Attorney Ryan K. Patrick.
Immigration authorities arrested Mauro Dominguez-Maldonado late Thursday, Dec. 3. He is expected to make his initial appearance Monday, Dec. 7, before U.S. Magistrate Judge Frances Stacy.
The criminal complaint, filed in federal court just moments ago, alleges Dominguez-Maldonado was in charge of watching over the aliens and performing multiple tasks in furtherance of a human smuggling operation.
According to the allegations, one of the illegal aliens had fled the Southwest Houston residence and contacted authorities. Law enforcement responded and approached the location, at which time they observed a vehicle attempting to leave, but quickly return to the house. One individual exited and allegedly went inside the residence.
Ultimately, authorities found Dominguez-Maldonado and 29 others - 28 males and one female, according to the complaint. All are allegedly from the countries of Mexico, Honduras, Guatemala, El Salvador and Cuba.
The charges further allege the residence had boarded-up windows and deadbolt locks on the inside doors.
If convicted, Dominguez-Maldonado faces up to 10 years in federal prison and a possible $250,000 maximum fine.
Immigration and Customs Enforcement’s Homeland Security Investigations and Houston Police Department conducted the investigation. Assistant U.S. Attorney Richard Bennett is prosecuting the case.
A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
New Jersey Attorney Sentenced to 18 Years in Prison for Money Laundering as Part of Embezzlement SchemeRead the Press Release
CAMDEN, N.J. – A New Jersey attorney was sentenced today to 216 months in prison for money laundering as part of a multi-year scheme to embezzle money from his clients, U.S. Attorney Craig Carpenito announced.
Michael W. Kwasnik, 51, previously pleaded guilty before U.S. District Judge Robert B. Kugler in Camden federal court to an information charging him with money laundering. Judge Kugler imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
Kwasnik was an attorney licensed in New Jersey and Pennsylvania who specialized in providing estate and financial planning services to his clients. He used his position as an attorney in estate planning to convince clients to open irrevocable family trusts to hold the client’s money and provide the client an opportunity to earn interest on their funds. Kwasnik advised potential clients that estate planning was necessary to protect assets from federal and state taxes. As part of the estate planning, Kwasnik established various trusts, typically irrevocable family trusts for clients with Kwasnik named as the trustee. For each trust, an Employer Identification Number (EIN) was obtained and a bank account in the name of the trust was opened at TD Bank. As trustee, Kwasnik had signature authority on the bank accounts.
The underlying scheme ran from late 2008 to November 2011. Kwasnik advised clients to transfer money and assets into the trusts for financial protection. In some cases, Kwasnik advised clients that he would remain as the trustee until the estates were settled, at which time the assets would be turned over to the appropriate beneficiaries.
Dozens of his clients turned over approximately $13.2 million to Kwasnik for safeguarding of their beneficiaries’ trusts. After the clients transferred funds into the trust bank accounts under Kwasnik’s control, Kwasnik immediately began transferring the money out of the trust accounts and into the bank accounts of entities that he controlled until the money was entirely depleted from the trust accounts, usually in just a matter of days. Kwasnik then used that money to conduct thousands of intermingled financial transactions and pay personal expenses for himself and others and for the operations of the entities he controlled.
In addition to the prison term, Judge Kugler sentenced Kwasnik to three years of supervised release and ordered him to pay $11.7 million in restitution.
U.S. Attorney Carpenito credited special agents with the FBI, under the direction of Special Agent in Charge Michael J. Driscoll, Philadelphia Division, and special agents of IRS- Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez, with the investigation leading to today’s sentencing. He also thanked Assistant U.S. Attorney Sarah Wolfe of the Eastern District of Pennsylvania for her assistance.
The government is represented by Assistant U.S. Attorney Norman Gross and Senior Trial Counsel Jason Richardson of the Camden office.
Muskogee Man Pleads Guilty to Sexual Abuse in Indian CountryRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Joshua Townsley, age 29, of Muskogee, Oklahoma entered a guilty plea to Sexual Abuse in Indian Country, in violation of Title 18, United States Code, Sections 1151, 1152, 2242(2) and 2246(2)(A), punishable by up to life imprisonment, a fine up to $250,000.00, or both.
The Information alleged that in or about August 2020, within the Eastern District of Oklahoma, in Indian Country, the defendant, did knowingly cause and attempt to cause the victim to engage in a sexual act when the defendant well knew, at that time the victim was incapable of appraising the nature of the conduct, physically incapable of declining participation in the aforementioned sexual act, and was physically incapable of communicating unwillingness to engage in the sexual act.
The charges arose from an investigation by the Muskogee Police Department and the Federal Bureau of Investigation.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Sarah McAmis represented the United States.
Mount Pleasant Armed Career Criminal Sentenced to More Than 15 Years for Gun PossessionRead the Press Release
Charleston, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Eric Martin Scott, Jr., 25, of Mount Pleasant, was sentenced to more than 15 years in federal prison after pleading guilty to being a felon in possession of a firearm.
On March 21, 2017, Scott was pulled over for a traffic offense, and a 9mm pistol was located in his car. At the time, Scott was a convicted felon and prohibited from possessing firearms. It was also established that Scott was an Armed Career Criminal because he had at least three prior serious drug felonies. This subjected him to a sentence of at least 15 years of imprisonment, and up to life.
“Keeping our communities safe is a top priority of our office,” said U.S. Attorney McCoy. “Mount Pleasant, the Lowcountry, and our State are safer knowing that this career armed criminal will remain behind bars for the foreseeable future. Our office will continue to seek harsh punishments for those with a blatant disregard for the law and who consistently put our law enforcement officers and neighbors in danger.”
United States District Court Judge David C. Norton sentenced Scott to 188 months in federal prison, to be followed by a five-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Mount Pleasant Police Department, and Charleston County Sheriff’s Office. This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorney Nathan Williams of the Charleston office prosecuted the case.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Minnesota Woman Sentenced for Meth Trafficking ConspiracyRead the Press Release
United States Attorney Ron Parsons announced that a St. Cloud, Minnesota, woman convicted of Conspiracy to Distribute a Controlled Substance was sentenced on November 23, 2020, by U.S. District Judge Charles B. Kornmann.
Sybil Maria Rogers, age 46, was sentenced to 151 months in federal prison, followed by 5 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Rogers was indicted by a federal grand jury on April 4, 2018. She pled guilty on August 17, 2020.
The conviction stemmed from incidents beginning at an unknown date and continuing until about July 30, 2016, when Rogers knowingly and intentionally conspired and agreed with others to distribute 500 grams or more of methamphetamine. During her involvement in the conspiracy, Rogers obtained the methamphetamine from a co-conspirator and sold it to others in South Dakota. Methamphetamine is a Schedule II controlled substance.
This case was investigated by the South Dakota Division of Criminal Investigation, the Federal Bureau of Investigation, and the Minnesota Bureau of Criminal Apprehension. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
Rogers was immediately turned over to the custody of the U.S. Marshals Service.
Michigan Woman Sentenced for Defrauding U.S. Department of Veterans Affairs of over $1.7 Million in BenefitsRead the Press Release
LAS VEGAS, Nev. – A Michigan woman was sentenced today to three years and five months in prison after pleading guilty to carrying out a scheme to defraud the U.S. Department of Veterans Affairs (VA) of more than $1.7 million in veterans benefits, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
“The defendant orchestrated a million dollar scheme to defraud the VA and to deceive the elderly veterans and surviving spouses whose names she used,” said U.S. Attorney Trutanich. “As part of the Department of Justice’s Elder Justice Initiative, our office and our partners are committed to safeguarding our seniors and prosecuting those who take advantage of them.”
Claudia Ann Merrill, 62, of Farmington Hills, MI, pleaded guilty in January 2020 to one count of mail fraud. In addition to the prison term, U.S. District Judge James C. Mahan sentenced Merrill to three years of supervised release. Merrill agreed to pay a criminal forfeiture money judgment of $1,775,271.61 and was ordered to pay $1,755,412.79 in restitution to the U.S. Department of Veterans Affairs.
According to court documents, from January 1, 2014, through October 1, 2019, Merrill carried out a scheme to defraud the VA. Merrill approached elderly veterans and surviving spouses, and falsely told them they were eligible for VA benefits. Merrill offered to fill out applications for them, and she also convinced them to sign blank application forms and provide identification documents. Merrill then submitted false applications for Veteran’s Pension and Aid and Attendance benefits in the names of these beneficiaries. As part of the scheme, Merrill altered medical records so that the beneficiaries would appear to be eligible for the benefits.
Merrill fraudulently directed benefit payments into bank accounts she controlled, without informing the beneficiaries. When veterans or their surviving spouses reached out to the VA to inquire about their benefits, Merrill often ceased contact with them, leaving the elderly veteran or surviving spouse to unravel Merrill’s fraud. In one case, Merrill sued a veteran, demanding that he pay Merrill the proceeds of her fraudulent scheme. Through the scheme, Merrill defrauded the VA of $1,755,412 in benefit payments.
This case was a joint investigation by the U.S. Department of Veterans Affairs Office of Inspector General and the FBI. Assistant U.S. Attorney Jessica Oliva prosecuted the case.
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Maryland Man Pleads Guilty to Submitting False Claim to Steal Funds Intended for Afghanistan ReconstructionRead the Press Release
A Maryland man pleaded guilty today to filing a false claim for his role in a scheme to divert hundreds of thousands of dollars in State Department funds to his own use.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, Special Inspector General for Afghanistan Reconstruction John F. Sopko, and the Department of State’s Assistant Inspector General for Investigations Michael Ryan made the announcement.
Oyetayo Fagbenro, 62, of Ellicott City, Maryland, pleaded guilty to one count of filing a false claim before U.S. District Chief Judge Beryl A. Howell of the U.S. District Court for the District of Columbia. Sentencing has been scheduled for Feb. 12, 2021, before Chief Judge Howell.
As part of his guilty plea, Fagbenro admitted that he was awarded three grants to build media centers at Afghan universities, as part of the United States’ continuing efforts in Afghan reconstruction. He admitted that between September 2010 and August 2012 he received approximately $6.9 million in advances for part of the work on the projects. He further admitted that in that same period he sent approximately $1.38 million from Afghan accounts funded by the State Department to persons he knew and entities he controlled in the United States and other countries, all outside of Afghanistan.
Fagbenro admitted that about $775,000 of the funds he sent outside Afghanistan went to relatives, friends, and corporate entities he controlled with no connection to the purposes of the grants. Fagbenro further admitted that in December 2012 he filed a document with the State Department for one of the grants certifying that he had spent all the State Department funds properly and that he needed more funds to complete the project. He has admitted that those statements were both false. Fagbenro has admitted that the State Department lost about $775,000 as a result of his fraud.
The Criminal Division’s Fraud Section is the nation’s leading prosecuting authority for complex procurement fraud and corruption matters.
This case was investigated by the State Department Office of Inspector General and the Special Inspector General for Afghan Reconstruction. Trial Attorney James Gelber of the Criminal Division’s Fraud Section is prosecuting the case.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Lynn Man Sentenced in Romance Fraud ScamRead the Press Release
BOSTON – A Lynn man was sentenced yesterday for his role in an online romance scam that robbed elder victims of more than $180,000.
Fortune Aikorogie, a/k/a Imuetinyan Aikorogie, a/k/a Fortune Aikoriogie, a/k/a Imuetinyan Aikoriogie, 33, was sentenced by U.S. Senior District Court Judge Rya W. Zobel to one year and one day in prison and three years of supervised release. He was also ordered to pay $66,767 in restitution to two victims and to forfeit $75,500. Aikorogie pleaded guilty to one count of making a false statement to a bank, five counts of money laundering and one count of visa and passport fraud. In March 2019, Aikorogie was charged by indictment.
Aikorogie, a naturalized citizen from Nigeria, served as a “catcher” in an online romance scam that robbed elder victims of more than $180,000. A catcher opens bank accounts using fake identity documents, quickly withdraws funds deposited by unwitting victims and transfers the money to co-conspirators. Aikorogie used counterfeit foreign passports to open bank accounts in fake identities, quickly withdrew funds wired into those accounts by duped victims, and transferred the money to others, including a Nigerian man he did not know whom he met at a mall, with the understanding that the money was going to Nigeria. At least some of Aikorogie’s victims were led to believe that their money was going to men who had wooed them online, professing their love and even going so far as to propose marriage.
The victim, now 72 years of age, was a widow with advanced Parkinson’s disease. A fraudster contacted her over Facebook and began wooing her online and over the phone. He repeatedly told the victim that he loved her and said he had a son, whom he put on the phone to chat with the victim. The fraudster claimed to be a building engineer living in Florida and that he had been awarded a construction contract in Malaysia. After allegedly arriving in Malaysia, he began asking the victim for money for various reasons, including to pay foreign taxes, help with equipment repair, and to cover his hospital bills when he fell ill. This fraudster asked the victim to wire money to a bank account that Aikorogie had opened in the fake name of “Tinashi Chipo” using a counterfeit Zimbabwean passport sent to him by a man in Nigeria. From October to November 2016, the victim wired $55,000 into this account. Aikorogie promptly withdrew the money in cash and gave it to co-conspirators.
A second victim, now 79 years of age, was a divorced retiree who lived alone. Her only income was Social Security and a small pension. A fraudster contacted her over Facebook and began wooing her online and over the phone. He claimed to be a widower in Pennsylvania with a college-age daughter. He told the victim that he was traveling to Malaysia for work. After allegedly arriving in Malaysia, he began asking the victim for money for various reasons, including to help pay medical bills and taxes. The victim sent money using Western Union and MoneyGram. The fraudster told the victim that he needed additional money and persuaded her to sell her house, saying he would also sell his home and they would marry and buy a house together when he returned to the United States. The victim sold her house and, in December 2016, wired $20,500 of the proceeds to the “Tinashi Chipo” account opened by Aikorogie. Aikorogie promptly withdrew the money in cash and gave it to co-conspirators.
Aikorogie used counterfeit foreign passports in fictitious names to open three additional bank accounts. Altogether, seven victims wired a total of $188,600 into Aikorogie’s accounts in just six months. Federal agents found five additional counterfeit passports in different names at Aikorogie’s apartment and the address where he received his mail.
United States Attorney Andrew E. Lelling; William B. Gannon, Special Agent in Charge of the U.S. State Department’s Diplomatic Security Service, Boston Field Office; and Lawrence Police Chief Roy P. Vasque made the announcement. Assistant U.S. Attorney Christine Wichers of Lelling’s Criminal Division prosecuted the case.
The Justice Department’s extensive and broad-based efforts to combat elder fraud seek to halt the billions of dollars senior lose to fraud schemes. The best method for prevention, however, is by sharing information about the various types of elder fraud schemes with relatives, friends, neighbors, and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is available at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This hotline, managed by the Justice Department’s 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 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 daily from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.
Lockport Man Convicted by Federal Jury of Narcotics Conspiracy Tied to the El Chapo Mexican Drug Cartel Going to Prison for 25 YearsRead 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 Troy R. Gillon, 46, of Lockport, NY, who was convicted of narcotics conspiracy following an eight week jury trial, was sentenced to serve 25 years in prison by U.S. District Judge Lawrence J. Vilardo.
“Make no mistake, though their operations were centered over 2,500 miles away, the reach of the harm done by the Sinaloa Cartel extended all of the way here to Western New York,” noted U.S. Attorney Kennedy. “They poured poison into our community and made millions of dollars at the expense of the health, well-being—and in some instances the lives—of those who ingested them. Those individuals, such as the defendant, who sought to profit from the Cartel’s business model as established by its leader, El Chapo, deserve a similar return on their investment as he got—a sentence which will result in him spending the rest of his life in federal prison.”
Assistant U.S. Attorney Meghan A. Tokash, who handled the prosecution of the case, stated that Gillon was a member of a transnational drug trafficking organization, led by co-defendant Herman E. Aguirre, that utilized contacts and a source of supply whose territory included Mexico, Arizona, California, and elsewhere. The source of supply was the Sinaloa Cartel, led by Joaquín “El Chapo” Guzmán and Ismael “El Mayo” Zambada.
The local organization trafficked thousands of kilograms of illegal narcotics, including heroin, fentanyl, and cocaine throughout the United States, including Lockport, Niagara Falls, and Buffalo, via the mail, individual vehicles outfitted with “trap” compartments, and on pallets loaded on tractor trailers. Members of the organization created fictitious “front” companies to launder drug proceeds including Triton Foods, Inc., Kamora Investment Enterprises, Inc. and Fresh Choice Produce, all of which were incorporated in the State of California. Another fictitious company, Corral Seafoods, LLC, registered in the State of New York, was allegedly located in Cheektowaga, NY, but proved to be completely fake.
Using these companies, Gillon and his co-defendants disguised kilogram quantities of heroin, fentanyl, and cocaine on pallets described on inventory and other documents as containing “Sea Cucumbers.” Evidence presented by the Government at trial showed that sea cucumbers are commonly found in Southeast Asia and Europe but rarely, if ever, in Western New York State. The pallets bearing the illegal narcotics were secreted in containers sealed with foam or spray insulation to avoid detection by law enforcement.
Members of the organization also utilized numerous bank accounts at local Bank of America branches to deposit illegal drug proceeds. Local members of the drug trafficking organization deposited over $19,000,000 of illegal drug proceeds into these fake seafood accounts, while California conspirators created false invoices to make it look like Western New Yorkers were buying sea cucumbers at astounding rates and quantities. The Western New York Asset Protection Manager of Wegman’s Food Markets, Inc. testified at the trial that none of its 13 Western New York stores have ever carried sea cucumbers because there is no demand for the product in Buffalo and the surrounding areas.
During the course of the investigation, law enforcement officers seized over $5,000,000 worth of illegal narcotics, including:
• 52.5 kilograms of cocaine;
• 17.5 kilograms of heroin; and
• 8.5 kilograms of fentanylUsing standard dosage amounts, the seized drugs potentially represented over 1,500,000 “hits” of cocaine, and 2,700,000 “hits” of heroin and considering that two milligrams of fentanyl can be a lethal dose, enough fentanyl potentially to kill over four million people. Further evidence presented by the Government at trial revealed that after a December 2014 meeting in Buffalo, defendant Aguirre shipped 10 kilograms of fentanyl to Buffalo and defendant Gillon took possession of the 10 kilograms. Gillon sold two kilograms of the fentanyl before residents of the Lockport area started overdosing on the drug shortly after New Year’s Day, 2015. A DEA representative testified that Gillon told police that he returned the remaining eight kilograms to a co-conspirator in early March 2015 because, “People are dying off this (expletive).” The co-conspirator moved the remaining fentanyl, along with two kilograms of cocaine, and 22 kilograms of heroin, to a house on Folger Street in the City of Buffalo. On March 23, 2015, Buffalo Police seized 32 kilograms of drugs from the Folger Street location—including Gillon’s eight kilograms of fentanyl.
The investigation further determined that between June 2013 and September 2015, members of the organization additionally distributed over 5,000 pounds of cocaine, heroin, fentanyl and marijuana in the Western New York area. Approximately $20,000,000 was sent from Western New York banks to California in a two year period of time.
Herman Aguirre was also convicted at trial of narcotics conspiracy, as well as operating a continuing criminal enterprise and money laundering conspiracy, and is scheduled to be sentenced on February 23, 2021. A total of 18 defendants were charged and convicted in this case.
The sentencing is the result of an investigation by the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; Homeland Security Investigations, under the direction of Special-Agent-in Charge Kevin Kelly; the Internal Revenue Service, Criminal Investigation Division, under the direction of Jonathan D. Larsen, Special Agent-in-Charge, New York Field Office; the Niagara County Drug Task Force, under the direction of Sheriff Michael Filicetti; the Buffalo Police Department, under the direction of Commissioner Byron Lockwood; the Lockport Police Department, under the direction of Chief Steven Abbott; the Montebello, California Police Department; the Nebraska State Patrol; and the DEA, Los Angeles.
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Justice Department Honors Nonprofit Better Block for “Outstanding Community Involvement” in PSNRead the Press Release
The U.S. Department of Justice has recognized Dallas-based nonprofit Better Block for its support of the U.S. Attorney’s Project Safe Neighborhoods (PSN) Initiative, announced U.S. Attorney Erin Nealy Cox. The Better Block Foundation, launched in 2015 by Jason Roberts, was the sole recipient of DOJ’s “Outstanding Community Involvement” PSN award, which recognizes outstanding efforts to restore safety and security to communities across the nation.
“I’m incredibly proud of my office’s partnership with Better Block. Project Safe Neighborhoods relies on innovative solutions to reduce violent crime – a philosophy Better Block embraces as well, ” said U.S. Attorney Erin Nealy Cox. “I congratulate Jason, Krista, and the Better Block staff on this honor. We look forward to continuing our important work with them to protect and enrich this neighborhood.”
Project Safe Neighborhoods, DOJ’s signature violent crime reduction initiative, brings together state, local, and federal law enforcement, nonprofits, and community stakeholders to surge resources to cities’ most violent communities. Using sophisticated data analysis, the U.S. Attorney’s Office for the Northern District of Texas zeroed in on a hotspot in Northeast Dallas, near the intersection of Route 75 and LBJ Freeway, then convened a PSN Taskforce to address it. The Task Force combines traditional law enforcement activities -- patrolling struggling neighborhoods, apprehending violent offenders, and bringing them to justice through the courts – with innovative approaches like recidivism reduction and community engagement to make a difference in hard-hit areas.
In fall 2019, the PSN Task Force partnered with Better Block to transform a blighted intersection inside the PSN hotspot into a vibrant community plaza with updated lighting, container gardens, playground equipment, and a popup lending library. The colorful plaza – funded through PSN grants and donations from TBK Bank – quickly became a gathering place for families from the community and nearby Tasby Middle School.
A prime example of Crime Prevention Through Environmental Design (CPTED), the project has had an outsized impact: The intersection, once riddled with criminal activity, has not seen a single violent crime since the plaza was erected over a year ago.
The plaza is located at the Five Points Intersection in Dallas’ Vickery Meadow. Photos of the plaza are available here. More information on the Northern District of Texas’ PSN initiative can be found here.
Justice Department Files Complaint to Stop Distribution of Unapproved, Misbranded, and Adulterated "Poly-MVA" ProductsRead the Press Release
The United States filed a civil complaint to stop a California company from distributing unapproved and misbranded drugs and adulterated animal drugs, the Department of Justice announced today.
In a complaint for permanent injunction filed Dec. 2, 2020, the United States alleged that AMARC Enterprises Inc.; Albert Lee Sanchez Jr.; and Gary L. Matson Sr. sold and distributed “Poly-MVA” and “Poly-MVA for Pets,” which the defendants claim can cure, mitigate, treat, or prevent disease, including cancer. According to the complaint, defendants’ Poly-MVA products are not generally recognized as safe and effective by qualified experts for the uses intended by the defendants in the products’ labeling. The complaint also alleges that the defendants intend for Poly-MVA to be administered intravenously. The U.S. Food and Drug Administration has previously warned defendants to cease making such claims.
“Marketing purported dietary supplements with unproven disease claims jeopardizes the public health,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “We will continue working with the FDA to stop the illegal sale of such products.”
“Patients suffering from cancer or any other disease should not be deceived into relying on unproven treatments. The sale of such unapproved products has the potential to cause delays in getting proper diagnosis and treatment,” said FDA Chief Counsel Stacy Amin. “Patients need to have confidence that the available drug products have been shown to be safe and effective for their intended use. The FDA is committed to taking decisive action against those who disregard the law and risk the public’s health by distributing unapproved drugs for their personal financial gain.”
The complaint alleges that that the disease claims defendants make for Poly-MVA and Poly-MVA for Pets lack support from published, adequate, and well-controlled clinical studies. The complaint also asserts that, because Poly-MVA’s labeling does not have adequate directions for lay users, the product is misbranded. Additionally, the complaint alleges that Poly-MVA for Pets is an adulterated new animal drug because it lacks an approved application. The Department of Justice filed the complaint in the U.S. District Court for the Southern District of California at the request of FDA.
A complaint is merely a set of allegations that, if the case were to proceed to trial, the government would need to prove by a preponderance of the evidence.
The case is being handled by Trial Attorney Shannon Pedersen of the Justice Department Civil Division’s Consumer Protection Branch, with the assistance of Associate Chief Counsel Seth I. Heller of the FDA’s Office of Chief Counse
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at https://www.justice.gov/civil/consumer-protection-branch.
Juneau Man Sentenced to Federal Prison for Drug TraffickingRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced that Dillinger Jay Graham, 39, was sentenced by U.S. District Judge Timothy M. Burgess to 87 months in federal prison and four years of supervised release for a drug trafficking conspiracy.
On or about April 6, 2018, Graham and another person boarded flight 67, traveling from Seattle, Washington to Juneau, Alaska. When the two passengers exited the plane in Juneau, they were immediately detained and searched by the Juneau Police Department (JPD) drug investigators who had received drug trafficking information on Graham from the Port of Seattle Police Department.
Graham was carrying approximately 75.5 grams of heroin and 75.4 actual grams of meth, which were purchased in Seattle and intended to distribute to others for subsequent distribution in Juneau, Alaska. In May of 2019, Graham pled guilty to the allegations in Count 1 of the indictment, a drug trafficking conspiracy to import and sell significant quantities of meth, heroin, and other drugs to the community.
Graham has two felony convictions for drugs in 2009 and a felony conviction for theft. Graham did not have any other criminal convictions between his supervision release in 2014 and this current conviction.
The South East Alaska Cities Against Drugs (SEACAD) Drug Taskforce conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Jack Schmidt.
Jamestown Woman Arrested, Charged with Sex Trafficking of Two MinorsRead 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 Jasmin Osteen, 23, of Jamestown, NY, was arrested and charged by criminal complaint with two counts of sex trafficking of a minor. The charge carries a mandatory minimum penalty of 10 years in prison, and a maximum of life in prison.
“As alleged in the criminal complaint, this woman exploited two vulnerable young girls for her own financial benefit,” stated U.S. Attorney Kennedy. “The depravity of the defendant’s conduct and the harm she caused to these two minors are the stuff of which parental nightmares are made. I want to commend the members of federal, state, and local law enforcement, who, working with the tremendous child advocates serving our community, took swift and certain action to rescue these victims and to protect others from this predatory defendant.”
“The egregious acts identified as part of this investigation demonstrated a lack of regard for human life,” said Kevin Kelly, HSI Special Agent-in-Charge. “Homeland Security Investigations is committed to investigating these victim based crimes and bringing to justice those who prey on the most vulnerable in our communities.”
“This investigation and arrest are a result of interagency cooperation,” stated Chautauqua County Sheriff James B. Quattrone. “Human Trafficking is all too real and continues to victimize too many people. These investigations will continue with the help of our federal, state, and local partners. And we continue to ask for the public to report any suspicious activity as this form of slavery cannot continue.”
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated according to the complaint, on September 23, 2020, the mother and grandmother of Minor Victim 1 reached out to the Chautauqua County Sheriff’s Office and expressed concern because Minor Victim 1 was involved in prostitution and using drugs. They also expressed concern that the defendant may have been trafficking Minor Victim 1 for sexual exploitation. The mother and grandmother provided screen shots of messages between Osteen and Minor Victim 1 talking about having sex for money. According to the complaint, Minor Victim 1 moved in with the defendant in August 2020.
On October 30, 2020, Minor Victim 1 obtained housing and services at the Safe House in Jamestown, NY, and advised staff that she was forced to have sex with multiple unknown adults in exchange for money that was given to Osteen. Staff advised the New York State Police. According to the complaint, during an interview at the Jamestown Child Advocacy Program, Minor Victim 1 stated that the defendant took her to Buffalo and other cities and rented hotel rooms for the purpose of having sex buyers engage in sexual acts with Minor Victim 1. She also stated that during one these trips to Buffalo, a second minor victim was also forced to engage in sexual activity. According to Minor Victim 1, Osteen threatened that she would be harmed if she talked about anything. During an interview with investigators, Minor Victim 2 also stated that the defendant drove her and Minor Victim 1 to a Buffalo hotel, gave them alcohol, and forced them to have sex for money.
The defendant made an initial appearance this afternoon before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and was detained.
The complaint is the result of an investigation by Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Chautauqua County Sheriff’s Office, under the direction of Sheriff James B. Quattrone; the New York State Police, under the direction of Major James Hall; the Jamestown Police Department, under the direction of Acting Chief Timothy Jackson; and the Ellicott Police Department, under the direction of Chief William Ohnmeiss Jr.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Jackson Man Pleads Guilty to Narcotics TraffickingRead the Press Release
Jackson, Miss. – Gregory Wayne Haygood a/k/a “Big”, 48, of Jackson, pled guilty today before U.S. District Judge Henry T. Wingate to conspiracy to possess with intent to distribute 500 grams or more of cocaine, announced U.S. Attorney Mike Hurst and Acting Special Agent in Charge Gilbert Trill of U.S. Immigration and Customs Enforcement's Homeland Security Investigations in New Orleans.
On February 8, 2017, Haygood was charged in a multi-count indictment with conspiracy to possess with intent to distribute 500 grams or more of cocaine, possession with intent to distribute cocaine, and maintaining a place for distributing or using controlled substances. Haygood conspired to distribute cocaine by receiving the cocaine and selling it to others in Jackson and in Biloxi, Mississippi. Haygood remained at large until he was arrested in September 2019.
Haygood is scheduled for sentencing on March 4, 2021 at 9:30 a.m. and faces a maximum penalty of 40 years in prison and up to a $5,000,000 fine.
This OCDETF operation is the result of an extensive investigation targeting illegal narcotics distribution in central Mississippi involving the distribution of cocaine and marijuana. The distribution network encompassed the states of California, Texas and Mississippi.
The OCDETF program 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.
The case was a joint investigation by Homeland Security Investigations and the Mississippi Bureau of Narcotics, with assistance from the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, Mississippi Highway Patrol, Jackson Police Department, and the Hinds County Sheriff’s Department. It is being prosecuted by Assistant United States Attorney Erin Chalk.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Billings before U.S. Magistrate Judge Timothy J. Cavan and pleading not guilty on Dec. 1 was:
Hunter Quinn Braden, 21, of Billings, on charges of prohibited person in possession of a firearm. If convicted of the most serious crime, Braden faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Braden was detained pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 20-122.
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto and pleading not guilty on Dec. 3 was:
Robert Brandon Callison, 31, of Hamilton, on charges of sexual exploitation of a child, distribution of meth to a person under 21 and felon in possession of a firearm. If convicted of the most crime, Callison faces a minimum 15 years to 30 years in prison, a $250,000 fine and five years to life of supervised release. Callison was detained pending further proceedings. The Missoula Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 20-50.
Appearing on Dec. 2 and pleading not guilty was:
Luis Alberto Rocha, 38, of Bozeman, on charges of conspiracy to distribute cocaine and possession with intent to distribute cocaine. If convicted of the most serious crime, Rocha faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Rocha was detained pending further proceedings. The FBI and Missouri River Drug Task Force investigated the case. PACER case reference. 20-31.
Appearing and pleading not guilty on Dec. 1 was:
Robert John Barker, 49, of Gatesville, Texas, on charges of wire fraud and money laundering. If convicted of the most serious crime, Barker faces a maximum 20 years in prison, a $250,000 fine and three years of supervised release. Barker was released pending further proceedings. The FBI investigated the case. PACER case reference. 20-25.
John Gary Yorgason, 48, of Corvallis, on charges of false statement during a firearms transaction. If convicted of the most serious crime, Yorgason faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release. Yorgason was released pending further proceedings. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. PACER case reference. 20-45.
Appearing in Great Falls before U.S. Magistrate Judge John T. Johnston and pleading not guilty on Dec. 1 was:
Kristina Dawn Russette, 30, of Spokane, Washington, on charges of conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute meth. If convicted of the most serious crime, Russette faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Russette was detained pending further proceedings. The FBI, Chippewa Cree Law Enforcement Service and Tri-Agency Drug Task Force investigated the case. PACER case reference. 20-85.
Jeffrey Blaine Dolphay, 40, of Havre, on charges of conspiracy to possess with intent to distribute meth and possession with intent to distribute meth. If convicted of the most serious crime, Dolphay faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Homeland Security Investigations investigated the case. PACER case reference. 20-85.
The progress of cases may be monitored through the U.S. District Court Calendar and the PACER system. To establish a PACER account, which provides electronic access to review documents filed in a case, please visit http://www.pacer.gov/register.html. To access the District Court’s calendar, please visit https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Indian Trail Man Pleads Guilty to Wire Fraud for Investment SchemeRead the Press Release
CHARLOTTE, N.C. – U.S. Attorney Andrew Murray announced today that Bryan John Cohen, 45, of Indian Trail, N.C. pleaded guilty to wire fraud, for operating an investment scheme that defrauded investors of more than $385,000. U.S. Magistrate Judge David C. Keesler presided over today’s plea hearing.
Robert R. Wells, Special Agent in Charge of the Federal Bureau of Investigation (FBI), in North Carolina, joins U.S. Attorney Murray in making today’s announcement.
According to filed court documents and today’s plea hearing, from 2015 to 2020, Cohen defrauded at least 10 victims of more than $385,000, by inducing them to invest money in his purported investment businesses, OTC Bully, Ascension Trading, and Recharge Investments, and in other business ventures. Court records show that Cohen falsely represented to victim investors, most of whom were Cohen’s friends and acquaintances, that he was a financially savvy investor with a successful track record in the financial industry, and that he would invest their funds using a computer algorithm called the “Dewey System.”
As Cohen admitted today in court, to convince victims their investments were legitimate, Cohen provided them with bogus Investment Agreements that purported, among other things, that Cohen would not charge any investment fees, and that the money would be invested in a manner “expected of a reputable, experienced and competent professional investment manager.” To further lull victims-investors into thinking their investments were safe, Cohen supplied them with fake profit and loss sheets on a monthly basis, which falsely indicated the victims’ investments were growing.
Contrary to claims Cohen made to his victims, court documents show that Cohen did not invest their money as promised. Rather, Cohen used the money to pay for personal expenses and to make Ponzi-style payments to older investors using new investors’ money.
Cohen pleaded guilty to wire fraud, which carries a maximum prison term of 20 years, and a $250,000 fine. A sentencing date has not been set.
In making today’s announcement, U.S. Attorney Murray thanked the FBI in Charlotte, and the North Carolina Department of Public Safety, Special Operations and Intelligence Unit, for their investigation, which led to today’s guilty plea.
Assistant U.S. Attorney Maria Vento, of the U.S. Attorney’s Office in Charlotte, is prosecuting the case.
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Husband, Wife Sentenced in $15 Million Embezzlement SchemeRead the Press Release
A Red Oak, Texas couple has been sentenced to a combined 18+ years in federal prison for their roles in a $15 million retirement plan embezzlement scheme, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Vantage Benefits Administrators co-owner Wendy Richie, 59, pleaded guilty in June to two counts of theft from an employee benefit plan and one count of aggravated identity theft. She was sentenced Thursday by U.S. District Judge Sam Lindsay to 132 months in federal prison and ordered to pay $12.6 million in restitution.
Her husband, Vantage co-owner Jeffrey Richie, 55, pleaded guilty to two counts of aiding and abetting theft from an employee benefit plan. He was sentenced to 87 months and ordered to pay $7.4 million in restitution.
“These defendants lined their pockets at the expense of hardworking Americans saving for retirement,” said U.S. Attorney Erin Nealy Cox. “The Northern District of Texas is committed to seeking justice on behalf of vulnerable retirees and workers setting money aside for their golden years and beyond. We are proud to hold the Richies accountable for this brazen misconduct.”
“An important mission of the Office of Inspector General is to investigate allegations of fraud related to Department of Labor. We will continue to work with EBSA and our law enforcement partners to safeguard retirement benefits intended for American workers,” stated Steven Grell, Special Agent-in-Charge of the Dallas Region for the U.S. Department of Labor – Office of Inspector General.
The Richie’s company served as third party administrator for dozens of pension and retirement funds.
According to plea papers, Ms. Richie admitted to using fund beneficiaries’ personal information to submit $15.2 million in fraudulent distribution requests to Matrix Trust, the funds’ custodian. Instead of depositing the money into beneficiaries’ accounts, however, she transferred it into Vantage’s operating account, then into personal bank accounts.
Even after a Vantage employee confronted Mr. Richie about Ms. Richie’s conduct, Ms. Richie continued to embezzle money from the funds. At least $6.2 million of the $15.2 million Ms. Richie embezzled was taken with Mr. Richie’s knowledge, he admitted.
In total, the pair admitted to submitting more than 90 unauthorized distribution requests from 13 pension plans and 7 retirement plans from 2014 and 2017.
The Department of Labor – Office of Inspector General, the Federal Bureau of Investigation, the Department of Labor’s Employee Benefits Security Administration, and the Texas State Auditor’s Office conducted the investigation. Assistant U.S. Attorneys Nick Bunch and Christopher Stokes prosecuted the case.