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Wednesday 18 November 2020
Waterbury Man Sentenced to More Than 7 Years in Prison for Role in Heroin and Fentanyl Trafficking RingRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that DARRY JOSE GUERRERO, also known as “Domi,” 29, of Waterbury, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 87 months of imprisonment, followed by three years of supervised release for his role in a heroin and fentanyl trafficking ring.
According to court documents and statements made in court, an investigation by the DEA New Haven Task Force and the Waterbury Police Department revealed that Nestor Sosa-Ortiz operated a Waterbury-based drug trafficking organization that received large quantities of heroin and fentanyl from suppliers in Connecticut and New York and distributed the narcotics throughout New Haven County. The organization used an apartment located at 330 Bishop Street in Waterbury to store kilogram-quantities of heroin and fentanyl, and to process and package the drugs for street sale. After Nestor Sosa-Ortiz was arrested in New York City on a separate federal heroin and fentanyl trafficking charge in May 2019, he continued to control his drug network while incarcerated by using smuggled cell phones to communicate with various co-conspirators.
The investigation revealed that Guerrero helped to maintain the Bishop Street apartment, and that he processed and packaged narcotics on behalf of the organization.
Guerrero and several co-defendants were arrested on October 29, 2019. On that date, investigators executed five search warrants and seized approximately six kilograms of suspected heroin/fentanyl, approximately 100,000 bags of suspected heroin/fentanyl packaged for street distribution, approximately 1,000 fentanyl pills disguised as Percocet pills, one firearm and approximately $50,000 in cash.
On June 18, 2020, Guerrero pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, one kilogram or more of heroin and 400 grams or more of fentanyl.
Sosa-Ortiz pleaded guilty and awaits sentencing.
Guerrero, who was released on a $50,000 bond, was remanded to the custody of the U.S. Marshals Service at the conclusion of today’s court proceeding.
This investigation is being conducted by the Drug Enforcement Administration New Haven Task Force and the Waterbury Police Department. The DEA New Haven Task Force includes participants from the U.S. Marshals Service, Internal Revenue Service – Criminal Investigation Division, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia, Meriden, Derby, Middletown, Naugatuck and Waterbury Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys Jocelyn Courtney Kaoutzanis and Lauren Clark.
Waterbury Man Sentenced to More Than 5 Years in Federal Prison for Trafficking HeroinRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that FRANCISCO LOPEZ, 34, of Waterbury, was sentenced today by U.S. District Judge Janet C. Hall to 66 months of imprisonment, followed by four years of supervised release, for trafficking heroin.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the sentencing occurred via videoconference.
According to the evidence disclosed during Lopez’s trial earlier this year, this matter stems from a joint investigation headed by the DEA New Haven Task Force and the Waterbury and Naugatuck Police Departments. The investigation, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of narcotics, revealed that a Waterbury-based drug trafficking organization was receiving large quantities of heroin and cocaine from various suppliers and distributing narcotics in and around Waterbury. Intercepted communications indicated that, on two occasions in December 2018, Lopez ordered 150 grams of heroin from two other members of the conspiracy.
Three hundred grams of heroin is enough to produce 12,000 individual bags of heroin that can be sold for approximately $5 each on the street.
On February 3, 2020, a jury found Lopez guilty of one count of conspiracy to distribute, and to possess with intent to distribute, 100 grams or more of heroin, and one count of using a telephone to facilitate a drug trafficking crime.
On March 13, 2019, a grand jury in Hartford returned an indictment charging Lopez and 28 other individuals with various offenses related to the distribution of heroin, cocaine and crack cocaine. Lopez has been detained since his arrest on March 20, 2019.
On March 21, 2019, in association with the arrests of several of Lopez’s codefendants, investigators seized approximately 3,000 bags of heroin, 400 grams of cocaine, 350 grams of fentanyl/heroin mixed, 400 grams of heroin, 10 grams of crack, 20 pounds of marijuana, fentanyl patches, a one-kilogram press, four handguns, approximately $120,000 in cash and four vehicles.
All 29 defendants in this case have been convicted.
This investigation has been conducted by the Drug Enforcement Administration New Haven Task Force, Waterbury Police Department and Naugatuck Police Department, with the critical assistance of the U.S. Secret Service, New York Field Office. The DEA New Haven Task Force includes participants from the U.S. Marshals Service, Internal Revenue Service – Criminal Investigation Division, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia, Meriden, Derby, Middletown, Naugatuck and Waterbury Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Nathaniel J. Gentile.
Wadena Insurance Agent Charged with Mail FraudRead the Press Release
United States Attorney Erica H. MacDonald today announced a federal indictment charging JOHN DAVID PAULSON, 56, with two counts of mail fraud. PAULSON will make his initial appearance in U.S. District Court before a Magistrate Judge at a later date.
According to the allegations in the indictment, PAULSON owned and operated the David Paulson Agency Inc., an independent insurance agency located in Wadena, Minnesota. Between 2011 and 2018, PAULSON engaged in a scheme to defraud by stealing money he collected from his clients for their insurance premiums. As part of the scheme, PAULSON provided fake invoices to his clients that fraudulently inflated the amount of money they owed to their insurance companies. Instead of paying over the premiums to the insurance companies, PAULSON used much of his clients’ money for his own purposes, including paying his home mortgage and personal credit card bills. PAULSON’s scheme left his clients owing large amounts to their insurance companies or without insurance policies. In total, PAULSON stole approximately $524,000 from his clients.
This case is the result of an investigation conducted by the Minnesota Commerce Fraud Bureau and the United States Postal Inspection Service. United States Attorney MacDonald also thanks the Wadena County Sheriff’s Office for their assistance with the investigation.
Assistant U.S. Attorney Joseph H. Thompson is prosecuting the case.
Defendant Information:
JOHN DAVID PAULSON, 56
Wadena, Minn.
Charges:
- Mail fraud, 2 counts
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The charges contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Utah Man and His Company Indicted for Wildlife TraffickingRead the Press Release
A Utah man and his company were charged in an indictment today with violating the Endangered Species Act and Lacey Act for their role in illegal wildlife trafficking, announced Principal Deputy Assistant Attorney General Jonathan D. Brightbill of the Justice Department’s Environment and Natural Resources Division and U.S. Attorney John W. Huber of the District of Utah.
Jean-Michel Arrigona, 58, and his company Natur, Inc. in Midvale, Utah, sell wildlife in the forms of art, taxidermy mounts, bones, and skeletons. The indictment alleges that Arrigona imported wildlife into the United States without declaring it to U.S. Fish and Wildlife Service or customs authorities. He later resold the wildlife from the Natur store and its website.
The Lacey Act is the nation’s oldest wildlife trafficking statute and prohibits, among other things, selling wildlife that had been illegally brought into the country. The Endangered Species Act and federal regulations require importers to declare wildlife when it enters the country. Between December 2015 and September 2020, Arrigona imported approximately 460 wildlife items without declaring them. The wildlife, primarily from Indonesia, included bats, lizards, turtles, insects, starfish, and mollusks. Arrigona did not import any live animals. Some of the wildlife, such as the flying fox (Pteropus sp.) and monitor lizard (Varanus sp.) are protected by the Convention on International Trade in Endangered Species of Wild Fauna and Flora (CITES), which regulates trade in endangered or threatened species through permit requirements. The United States and 182 other countries are signatories to the CITES treaty.
The U.S. Fish and Wildlife Service’s Office of Law Enforcement in Redmond, Washington, conducted the investigation as part of Operation Global Reach. The operation focused on the trafficking of wildlife from Indonesia to the United States. Trial Attorney Ryan Connors of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Melina Shiraldi for the District of Utah are prosecuting the case.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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.
United States Attorney Josh Minkler announces his resignation as United States AttorneyRead the Press Release
Indianapolis – United States Attorney Josh J. Minkler has announced his resignation as the U.S. Attorney for the Southern District of Indiana effective, November 21st, 2020. Starting November 23rd, 2020, Josh plans on joining a private law firm in the Indianapolis area.
“Josh Minkler is a devoted public servant who has served the country and the citizens of the Southern District of Indiana with distinction,” said Attorney General William P. Barr. “I thank him for his service, leadership and integrity and wish him the best in his future endeavors.”
"Josh Minkler has earned praise from people of all political persuasions who are working to keep our cities and our state safe,” said Indiana Senator Todd Young. “I congratulate Josh on his outstanding career in public service, and I wish him the best."
“Josh Minkler has served Indiana well for more than two decades — first as an Assistant United States Attorney, then as my First Assistant and, most recently, as the United States Attorney for the Southern District of Indiana,” said Mayor Joe Hogsett. “He is a man of integrity and ethics, proving time and time again that his commitment to our community was paramount in his decision-making and leadership. I want to thank him for his service and wish him well in this next chapter of his career.”
U.S. Attorney Minkler was appointed by President Trump as the United States Attorney for the Southern District of Indiana and unanimously confirmed by the United States Senate. Minkler was sworn in as the current United States Attorney on October 10, 2017.
Prior to the Presidential appointment, Minkler was appointed by former Attorney General Holder to serve as United States Attorney in February of 2015. Later, in June of 2015, Minkler was unanimously appointed to serve as United States Attorney by the District Judges of the United States District Court for the Southern District of Indiana.
Prior to his first appointment as United States Attorney, Minkler served as First Assistant United States Attorney for former United States Attorney Joseph H. Hogsett. Minkler also served as Drug and Violent Crimes Unit Chief, and as an Assistant United States Attorney in the Criminal Division since 1994.
Before joining the office, he was an Assistant Prosecuting Attorney in Kent County, Michigan. A native of Muncie, Indiana, Minkler graduated Wabash College in 1985 and Indiana University Mauer School of Law in 1988.
Effective November 22nd, 2020, First Assistant United States Attorney John Childress will succeed Minkler as Acting United States Attorney for the Southern District of Indiana.
Union County Man Sentenced to 88 Months in Prison for Possessing and Distributing Child PornographyRead the Press Release
NEWARK, N.J. – A Union County, New Jersey, man was sentenced today to 88 months in prison for distributing and possessing images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
Nicholas Pecil, 33, of Rahway, New Jersey, previously pleaded guilty before U.S. District Judge John Michael Vazquez in Newark federal court to a superseding indictment charging him with one count of distributing child pornography and one count of possessing child pornography. Judge Vazquez imposed the sentence by videoconference today.
According to documents filed in this case and statements made in court:
Pecil used a peer-to-peer file-sharing program to download and share videos and images of child sexual abuse. In February 2017, law enforcement downloaded 11 videos of child sexual abuse from Pecil’s computer. After executing a search warrant at Pecil’s home in May 2017, agents located more than 1,000 videos and over 6,000 images of child sexual abuse on Pecil’s computers. Pecil admitted that he used the peer-to-peer file-sharing program to make images and videos of child sexual abuse available for others to download from his computer.
In addition to the prison term, Judge Vazquez sentenced Pecil to 15 years of supervised release and ordered him to register as a sex offender.
U.S. Attorney Carpenito credited special agents with the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina in Newark with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Anthony P. Torntore of the U.S. Attorney’s Office’s Cybercrime Unit.
U.S. Attorney’s Office Receives Funding to Hire Prosecutor Dedicated to Pursuing Unemployment Insurance FraudRead the Press Release
ALBANY, NEW YORK – Acting United States Attorney Antoinette T. Bacon announced today that the U.S. Attorney’s Office for the Northern District of New York has been allocated funding to hire a prosecutor, for a one-year term, who will focus on cases involving fraudulent schemes to unlawfully obtain unemployment insurance (UI) benefits, and related offenses.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020 allocated $270 billion for supplemental federal UI benefits. Additionally, President Trump directed that $44 billion in federal Disaster Relief Funds be used to provide supplemental UI benefits to eligible claimants. The substantial increase in funding for UI benefits spurred a dramatic spike in UI fraud across the country, resulting in the theft of federal funds intended to help those struggling with unemployment during the current pandemic and economic crisis.
Acting U.S. Attorney Antoinette T. Bacon stated: “We are grateful for the creation of this additional Assistant U.S. Attorney position, which will add to our existing efforts to prosecute, prevent and deter the torrent of unemployment insurance fraud that we have seen since the pandemic started. These investigations are complex – in some instances, involving thousands of unemployment claims filed in the names of people whose identities have been stolen – and often involve organized fraud rings based overseas. The Department of Justice, along with its federal and state partners, is aggressively pursuing these pernicious frauds that target programs created for people struggling with the economic effects of the coronavirus pandemic.”
The Department of Justice, in close coordination with the U.S. Department of Labor and other federal agencies, created the U.S. Department of Justice National Unemployment Insurance Fraud Task Force. This task force is charged with investigating numerous CARES Act fraud schemes targeting the unemployment insurance programs of state workforce agencies and will work closely with United States Attorney’s’ offices to prosecute those individuals who have fraudulently diverted these funds from those struggling with unemployment.
The Department encourages the public to report suspected fraud schemes related to COVID-19 to the National Center for Disaster Fraud (NCDF) hotline by phone (1-866-720-5721) or via an online reporting form available at https://www.justice.gov/disaster-fraud/webform/ncdf-disaster-complaint-form
Two Separate and Unrelated Indictments Charge Individuals in Connection with Business Email Compromise Fraud SchemesRead the Press Release
BIRMINGHAM, Ala. – Prim F. Escalona, the United States Attorney for the Northern District of Alabama, and Johnnie Sharp, Jr. the Special Agent in Charge of the Birmingham Field Office of the Federal Bureau of Investigation (“FBI”), announced two indictments against four defendants charged for their roles in separate and unrelated business email compromise fraud schemes.
On November 17, 2020 a federal grand jury indicted Oyedele Aro Benjamin, 26, of Chicago, Illinois, and Adetona Lala, 37, of Country Club Hills, Illinois, with conspiracy to commit wire and bank fraud, wire fraud, bank fraud, aggravated identity theft, and conspiracy to commit money laundering. The indictment alleges that from September 2018 to May 2019, Benjamin and Lala were part of an international criminal conspiracy that targeted companies throughout the United States of America with business email compromise schemes. Members of the conspiracy tricked and deceived victims into sending payments for legitimate business services to bank accounts that were controlled by the defendants and used for money laundering. The defendants executed this fraudulent scheme by, among other things, using fake names, false identity documents, and shell companies to open bank accounts used to receive fraud proceeds and then to launder those funds. The charges of conspiracy to commit bank fraud and bank fraud each carry a maximum penalty of 30 years in prison. The charges of conspiracy to commit wire fraud, wire fraud and conspiracy to commit money laundering each carry a maximum penalty of 20 years in prison. Benjamin and Lala are also charged with one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
The FBI investigated the case, with assistance from the U.S. Attorney’s Office for the Northern District of Illinois and former Assistant United States Attorney Jonathan Keim. Assistant United States Attorneys Edward J. Canter and Catherine L. Crosby are prosecuting the case.
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On November 17, 2020, a federal grand jury indicted Ohimai Asikhia, 36, of Glassboro, New Jersey, and Paulinus Ebhodaghe, 39, of Clementon, New Jersey with conspiracy to commit money laundering. The indictment alleges that from June 2018 through November 2018, Asikhia and Ebhodaghe conspired to launder the proceeds of various fraud schemes, including business email compromise fraud schemes and online romance scams. If convicted Asikhia and Ebhodage face a maximum penalty 20 years in prison and a fine of $500,000 or both for conspiracy to commit money laundering.
The FBI investigated the case, with assistance from the U.S. Attorney’s Office for the District of New Jersey and former Assistant United States Attorney Jonathan Keim. Assistant United States Attorney Edward J. Canter is prosecuting the case.
The charges contained in the indictments are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
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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.
Two Separate and Unrelated Indictments Charge Individuals in Connection with Business Email Compromise Fraud SchemesRead the Press Release
BIRMINGHAM, Ala. – Prim F. Escalona, the United States Attorney for the Northern District of Alabama, and Johnnie Sharp, Jr. the Special Agent in Charge of the Birmingham Field Office of the Federal Bureau of Investigation (“FBI”), announced two indictments against four defendants charged for their roles in separate and unrelated business email compromise fraud schemes.
On November 17, 2020 a federal grand jury indicted Oyedele Aro Benjamin, 26, of Chicago, Illinois, and Adetona Lala, 37, of Country Club Hills, Illinois, with conspiracy to commit wire and bank fraud, wire fraud, bank fraud, aggravated identity theft, and conspiracy to commit money laundering. The indictment alleges that from September 2018 to May 2019, Benjamin and Lala were part of an international criminal conspiracy that targeted companies throughout the United States of America with business email compromise schemes. Members of the conspiracy tricked and deceived victims into sending payments for legitimate business services to bank accounts that were controlled by the defendants and used for money laundering. The defendants executed this fraudulent scheme by, among other things, using fake names, false identity documents, and shell companies to open bank accounts used to receive fraud proceeds and then to launder those funds. The charges of conspiracy to commit bank fraud and bank fraud each carry a maximum penalty of 30 years in prison. The charges of conspiracy to commit wire fraud, wire fraud and conspiracy to commit money laundering each carry a maximum penalty of 20 years in prison. Benjamin and Lala are also charged with one count of aggravated identity theft, which carries a mandatory sentence of two years in prison.
The FBI investigated the case, with assistance from the U.S. Attorney’s Office for the Northern District of Illinois and former Assistant United States Attorney Jonathan Keim. Assistant United States Attorneys Edward J. Canter and Catherine L. Crosby are prosecuting the case.
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On November 17, 2020, a federal grand jury indicted Ohimai Asikhia, 36, of Glassboro, New Jersey, and Paulinus Ebhodaghe, 39, of Clementon, New Jersey with conspiracy to commit money laundering. The indictment alleges that from June 2018 through November 2018, Asikhia and Ebhodaghe conspired to launder the proceeds of various fraud schemes, including business email compromise fraud schemes and online romance scams. If convicted Asikhia and Ebhodage face a maximum penalty 20 years in prison and a fine of $500,000 or both for conspiracy to commit money laundering.
The FBI investigated the case, with assistance from the U.S. Attorney’s Office for the District of New Jersey and former Assistant United States Attorney Jonathan Keim. Assistant United States Attorney Edward J. Canter is prosecuting the case.
The charges contained in the indictments are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
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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.
Tulsa Woman Sentenced for Destruction of Federal PropertyRead the Press Release
A Tulsa woman was sentenced today for destroying post office boxes at a U.S. Post Office station located in south Tulsa, announced U.S. Attorney Trent Shores.
Hillary Ginn was sentenced to 5 years probation this morning before U.S. Magistrate Judge Jodi F. Jayne. Ginn will also be responsible for paying $281.20 in restitution to the U.S. Postal Service.
“As Americans, we rely on the U.S. postal system for so many things. From personal finance to personal correspondence, we regard the mail as sacred,” said U.S. Attorney Trent Shores. “It is our job as prosecutors and law enforcement to stop criminals like Hillary Ginn who would raid mailboxes and destroy receptacles all for her personal gain.”
On Aug. 26, 2020, Ginn pleaded guilty to destruction of federal property. Ginn admitted that from Aug. 18, 2019 through Sept. 22, 2019, she damaged letter boxes, mailboxes, and other receptacles located in the Tulsa, Oklahoma, Sheridan Station.
The Tulsa Police Department and U.S. Postal Inspection Service conducted the investigation. Assistant U.S. Attorney Kevin Leitch prosecuted the case.
Tulsa Man Pleads Guilty to Sexually Abusing a Child in Indian CountryRead the Press Release
A Tulsa man who sexually abused a child for more than two years pleaded guilty Wednesday in federal court, announced U.S. Attorney Trent Shores.
Joshua Dale Armstrong, 33, pleaded guilty to aggravated sexual abuse of a minor under 12 years old in Indian Country and abusive sexual contact of a minor under 12 years old in Indian Country. At the plea hearing, Armstrong admitted that from January 2018 to April 2020, he knowingly engaged in sex acts with a child, including rape.
“There are forces for good in this world who are ever vigilant against the threat of child sex predators. I’m so thankful the FBI and Tulsa Police Department teamed up to investigate Joshua Dale Armstrong. The criminally perverse acts that Armstrong inflicted upon a helpless child were sickening,” said U.S. Attorney Trent Shores. “Make no mistake, we will bring the full weight of federal law against every pedophile who harms Oklahoma’s children in our jurisdiction.”
At the time of sentencing, set for Feb. 25, 2021, Armstrong faces a minimum sentence of 30 years imprisonment and a maximum sentence of life imprisonment. He also faces a maximum fine of $250,000.
The FBI and Tulsa Police Department conducted the investigation. Assistant U.S. Attorneys Edward Snow, Christopher Nassar and Devon Lash are prosecuting the case. AUSA Lash is a prosecutor from the Eastern District of New York. She volunteered to assist prosecution efforts here in the Northern District of Oklahoma due to the increased volume of cases since the Supreme Court’s ruling which stated the Creek Nation Reservation had never been officially disestablished by Congress. The United States and the Muscogee (Creek) Nation have jurisdiction of all cases that occur on the reservation involving Native American victims or defendants.
Three Felons Appear in Federal Court for Gun and Drug CrimesRead the Press Release
HUNTINGTON, W.Va. – United States Attorney Mike Stuart announced that three felons appeared before United States District Judge Robert C. Chambers for gun and drug crimes.
Justin J. Monroe, 34, of Beckley, was sentenced to 30 months in federal prison for being a felon in possession of a firearm. Monroe previously admitted that on September 20, 2019, a vehicle in which he was a passenger was stopped by the West Virginia State Police for speeding along Interstate 64 near Hurricane. Troopers later searched the vehicle, which was being driven by an inebriated driver, and recovered a Glock model 23 .40 caliber pistol. Monroe claimed ownership of the firearm on the scene, and later admitted to law enforcement that he knew he was a convicted felon which barred him from possessing the firearm, but he chose to keep it for protection. Monroe has two prior felony convictions in Raleigh County Circuit Court. The West Virginia State Police conducted the investigation. Assistant United States Attorney Negar M. Kordestani handled the prosecution.
Desean Briscoe, 30, of Huntington, entered a guilty plea to an indictment charging him with possession with the intent to distribute heroin and being a felon in possession of a firearm. Briscoe admitted that on January 23, 2020, officers executed a search warrant at his residence at 850 Bronson Court in Huntington, finding two firearms. After he was arrested and taken to the Huntington Police Department, Briscoe told officers he had heroin hidden on his person. Officers retrieved approximately 16 grams of heroin from Briscoe. Briscoe was prohibited from possessing firearms due to a 2015 felony conviction in Wayne County Circuit Court for attempt to deliver a controlled substance. Briscoe faces up to thirty years in federal prison when he is sentenced on February 16, 2021. The Huntington Police Department conducted the investigation. Assistant United States Attorney Stephanie S. Taylor is handling the prosecution. The case was prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), an enforcement surge that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
Joshua Ellis Paholsky, 47, of Ironton, Ohio, pled guilty to one count of being a felon in possession of a firearm. On March 11, 2019, FBI task force officers and deputies with the Cabell County Sheriff’s Office were coordinating drug interdiction on vehicles leaving a residence near 17th Street in Huntington. A deputy pulled over one such vehicle driven by Paholsky, and a canine unit responded to the scene soon thereafter. The drug canine alerted on the vehicle, and a search of the vehicle revealed approximately 1 gram of heroin and a loaded .380 caliber Smith and Wesson pistol. In a Mirandized interview, Paholsky admitted to possessing the firearm. Paholsky has a prior felony conviction for first degree robbery out of Cabell County. Paholsky faces a maximum of 10 years in prison when sentenced on February 16, 2021. The FBI Southern Transnational Organized Crime (TOC) West Task Force and the Cabell County Sheriff’s Office conducted the investigation. Assistant United States Attorney Ryan A. Keefe is handling the prosecution.
These cases are part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case Nos. 3:20-cr-00047 (Monroe) 3:20-cr-00040 (Briscoe) and 3:19-cr-00199 (Paholsky).
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Texas Physician Sentenced for Multi-Million Medicare Fraud SchemeRead the Press Release
A Texas physician was sentenced to five years in prison today for her role in a multi-million Medicare fraud scheme.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Ryan K. Patrick of the Southern District of Texas, Special Agent in Charge Perrye K. Turner of the FBI’s Houston Field Office, Special Agent in Charge Miranda Bennett of the U.S. Department of Health and Human Services Office of the Inspector General’s (HHS-OIG) Dallas Regional Office, and the Texas Attorney General’s Medicaid Fraud Control Unit (MFCU) made the announcement.
Yolanda Hamilton, M.D., 57, of Harris County, Texas, the physician-owner and operator of HMS Health and Wellness Center, PLLC, was sentenced by U.S. District Judge Keith P. Ellison of the Southern District of Texas. Judge Ellison also ordered the defendant to pay $9.5 million in restitution.
Hamilton was convicted by a federal jury of one count of conspiracy to commit health care fraud, one count of conspiracy to solicit and receive health care kickbacks, and two counts of false statements relating to health care matters in October 2019. According to the evidence presented at trial, from January 2012 to August 2016, Hamilton conspired with others to defraud Medicare by signing false and fraudulent home healthcare paperwork that was used to submit fraudulent claims to Medicare.
Hamilton and her co-conspirators made it appear that the patients qualified and received home healthcare services, when they often did not. In fact, members of the conspiracy paid the patients to receive the home healthcare services, which were often medically unnecessary, not provided, or both. The evidence also showed that Hamilton required home healthcare agencies to pay an illegal kickback, which Hamilton disguised as a “co-pay,” in exchange for Hamilton certifying and recertifying patients for home healthcare services.
Hamilton typically would not release the home healthcare paperwork until the home healthcare companies or their marketers paid her the kickback, the evidence showed. The scheme resulted in approximately millions in false and fraudulent claims for home-health services to Medicare and in Hamilton receiving over $300,000 in kickbacks.
All defendants are presumed innocent until convicted beyond a reasonable doubt in a court of law.
To date, several co-conspirators including marketers, patient recruiters along with doctors, and nurses who purchased plans of care and other signed medical documents from Hamilton have been charged, found guilty, or pleaded guilty to conspiracy to commit health care fraud and/or paying or receiving kickbacks.
The FBI, HHS-OIG, and MFCU investigated the case, which was brought as part of the Medicare Fraud Strike Force, under the supervision of the Criminal Division’s Fraud Section and the U.S. Attorney’s Office for the Southern District of Texas. Trial Attorneys Catherine Wagner, Thomas Tynan, and Carlos Lopez of the Fraud Section prosecuted the case. Trial Attorney Scott Armstrong indicted the case.
The Fraud Section leads the Medicare Fraud Strike Force. Since its inception in March 2007, the Medicare Fraud Strike Force, which maintains 15 strike forces operating in 24 districts, has charged more than 4,200 defendants who have collectively billed the Medicare program for nearly $19 billion. In addition, the HHS Centers for Medicare & Medicaid Services, working in conjunction with the HHS-OIG, are taking steps to increase accountability and decrease the presence of fraudulent providers.
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.
Staten Island Man Sentenced to 96 Months in Prison for Robbery, Identity Theft, and Defrauding Numerous Women and BusinessesRead the Press Release
NEWARK, N.J. – A Staten Island, New York, man was sentenced today to 96 months in prison for robbing a New Jersey business owner in February 2019, defrauding eight New Jersey businesses from July 2016 through January 2019, and defrauding and stealing the identities of three women, U.S. Attorney Craig Carpenito announced.
Raymond Scura, 31, previously pleaded guilty before U.S. District Judge Claire C. Cecchi in Newark federal court to an information charging him with wire fraud affecting a financial institution, aggravated identity theft, and Hobbs Act robbery. Judge Cecchi imposed the sentence by videoconference today.
According to the documents filed in this case and statements made in court:
Scura used bad checks and stolen credit cards to obtain luxurious goods and services, such as a country club membership, limousine services, luxury hotel expenses, exotic car rentals, and a Rolex watch, in order to appear wealthy and obtain the confidence of his victims, who were usually women. Once he convinced his victims of his purported wealth, he would then steal their identities and credit cards to make additional purchases. As a result of his fraud and aggravated identity theft offenses, Scura caused losses to individuals and businesses in excess of $250,000
In February 2019, Scura was a customer of an internet-based business owned and operated by a New Jersey man. To pay for the services of the business, Scura wrote at least one fraudulent check to the victim. When the victim insisted on cash payment, Scura drove with the business owner to a bank, where Scura brandished a gun, threatened to kill the victim, and demanded that the victim deposit a fraudulent check for $10,000 into the victim’s bank account and then withdraw $10,000. The victim did as Scura directed and then gave Scura the $10,000.
In addition to the prison term, Judge Cecchi sentenced Scura to three years of supervised release and ordered him to pay restitution to the numerous victims totaling $166,505.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and members of the Belleville Police Department, under the direction of Chief of Police Mark Minichini, with the investigation leading to today’s sentencing. He also thanked the Summit Police Department, the Union County Prosecutor’s Office, the Burlington County Prosecutor’s Office, and the Evesham Police Department for their assistance.
The government is represented by Assistant U.S. Attorney Christopher Amore of the Government Fraud Unit and Assistant U.S. Attorney Elaine Lou of the U.S. Attorney’s Office in Newark.
Sioux City Man Sentenced to 54 Months for Sexual Abuse of a MinorRead the Press Release
United States Attorney Joe Kelly announced that Marquel Grant, age 20, of Sioux City, Iowa, was sentenced today in federal court in Omaha, Nebraska, for sexual abuse of a minor on the Omaha Nation Indian Reservation. United States District Judge Brian C. Buescher sentenced Grant to 54 months in prison. After Grant’s release from prison, he will begin a five-year term of supervised release. There is no parole in the federal system. As a result of this conviction, Grant will be required to register as a sex offender.
On November 15, 2018, Grant, then 18, interacted with the minor via SnapChat. Grant and the minor met up in Walthill, Nebraska, and walked to an abandoned residence. Outside of the residence, Grant put the minor on the ground. Grant started kissing the minor. The minor said no to Grant and tried pushing him away. Grant pinned the minor’s arms to the ground, unbuckled her pants, and pulled her pants and underwear down to her ankles. He attempted sexual intercourse with the minor before she was finally able to force Grant away.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The case was investigated by the Federal Bureau of Investigation and the Omaha Nation Law Enforcement Services.
Several area residents arrested in ongoing drug trafficking and money laundering conspiraciesRead the Press Release
HOUSTON – A total of eight people have been taken into custody on charges involving a five-year drug trafficking and money laundering conspiracies, announced U.S. Attorney Ryan K. Patrick.
Federal authorities arrested Houston residents Brenda Natalie Alanis Duran, 36, Maria Isabel Lara Alanis, 52, Ramiro Alanis Espitia aka “Pelon,” 41, Luis Ricardo Rocha, 36, Oraldo Lozano Zamarripa, 35, Xavier Duran, 49, Manuel Desiderio Nandin, 22, and Domingo Daniel Nandin, 27. They made their initial appearances today. They are scheduled for detention hearings Nov. 23 at 10 a.m. before U.S. Magistrate Sam S. Sheldon. The indictment remains sealed as to those charged but not as yet in custody.
During the arrests, authorities also seized $600,155 and one firearm at Xavier Duran’s residence. They also found and seized another firearm as well as a stolen trailer from the residence of Maria Isabel Alanis.
A federal grand jury in Houston returned the eight-count indictment Oct. 29. According to the charges, the drug trafficking and money laundering organization distributed more than 13 kilograms of cocaine, over one kilogram of heroin and over 100 kilograms of marijuana. The group also allegedly laundered more than $133,000 in drug proceeds.
All are charged in varying counts. Those convicted for conspiracy to possess with intent to distribute at least five kilograms of cocaine face a mandatory minimum of 10 years and up to life in federal prison. The other varying drug charges carry a minimum of five and up to 40 years in prison, while conspiracy to commit money laundering carries a potential 20-year-sentence.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation along with the Drug Enforcement Administration, IRS-Criminal Investigation and the Houston Police Department.
The Organized Crime Drug Enforcement Task Force (OCDETF) investigation is dubbed “Walking Eagle.”
This Operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) Strike Force Initiative, which provides for the establishment of permanent multi-agency task force teams that work side-by-side in the same location. This co-located model enables agents from different agencies to collaborate on intelligence-driven, multi-jurisdictional operations to disrupt and dismantle the most significant drug traffickers, money launderers, gangs and transnational criminal organizations.
The specific mission of the Houston Strike Force is to disrupt and dismantle the drug trafficking organizations that designated Consolidated Priority Organization or Regional Priority Organization Targets head with their affiliates and that impact Houston and south Texas.
Assistant U.S. Attorneys Anibal J. Alaniz and Casey N. MacDonald are prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Savannah felon sentenced to nearly 10 years in prison for illegal possession of firearmRead the Press Release
SAVANNAH, GA: A Chatham County man who threatened a woman with a sawed-off shotgun has been sentenced to nearly a decade in federal prison.
Anthony Polk, 32, of Savannah, was sentenced to 115 months in prison by U.S. District Court Judge R. Stan Baker after pleading guilty to Possession of a Firearm by a Convicted Felon, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. After completion of his sentence, Polk will be required to serve three years of supervised release. There is no parole in the federal system.
“Anthony Polk’s long history as a criminal on our streets ends with this prison sentence,” said U.S. Attorney Christine. “In federal courts, gun crimes earn hard time.”
Polk was arrested by Savannah Police officers in October 2018 after a woman reported Polk pointed a firearm at her. She had agreed to give him a ride in exchange for $10, and when she later asked for the money he instead brandished a gun. She was able to contact police, who found Polk in her vehicle with a loaded, sawed-off shotgun in his backpack.
“The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) considers Savannah Police Department a critical partner in its long-term mission of removing criminals from our communities,” said Beau Kolodka, Assistant Special Agent in Charge of the Atlanta Field Division of the ATF.
This investigation took place under the umbrella of the U.S. Department of Justice’s Project Safe Neighborhoods (PSN), a program that has been successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer, and was coordinated by the Bureau of Alcohol, Firearms, Tobacco and Explosives (ATF) and the Savannah Police Department. The case was prosecuted for the United States by Assistant U.S. Attorney and PSN Coordinator Tania D. Groover.
San Francisco Trash Company Executive Charged with Bribing Company’s Chief San Francisco Government RegulatorRead the Press Release
SAN FRANCISCO - Paul Fredrick Giusti, the former Group Government & Community Relations Manager for Recology’s San Francisco Group, has been charged in a federal criminal complaint with bribery and money laundering, announced United States Attorney David L. Anderson, IRS Criminal Investigation Special Agent in Charge Kareem Carter, and Federal Bureau of Investigation Special Agent in Charge Craig D. Fair.
The complaint alleges that Giusti, 64, of San Francisco, engaged in a long-term scheme to defraud the public of its rights to honest services and laundered money in the process. The complaint alleges that Giusti was a central actor in Recology providing Mohammed Nuru, then San Francisco’s Director of Public Works, with a continuous stream of money and benefits, ultimately worth over $1 million, to influence Nuru to act in Recology’s favor. According to the complaint, among other payments, Giusti agreed to give $20,000 to Nuru to secure his support for Recology’s efforts to implement a price increase on the “tipping fees” it charged the City to dump materials at a Recology facility. As part of the scheme, Giusti concealed the bribe as a “holiday donation” from Recology to the Lefty O’Doul’s Foundation for Kids, a non-profit organization for underprivileged children in San Francisco. Nick Bovis, the head of the Foundation, used the money to pay for an annual holiday party organized by Nuru for select DPW employees and other invited guests. The payment was one of several over the years intended to influence Nuru with respect to official actions important to Recology.
“Today's complaint alleges that Paul Giusti bribed Mohammed Nuru with more than $1 million of party funds and other benefits,” said U.S. Attorney David L. Anderson. “These bribes were laundered through non-profit organizations to disguise their source and to create the false appearance of a legitimate charitable intent. In return for these bribes, Nuru helped Recology obtain garbage fee increases approved by the City but paid by an unsuspecting public. As our investigation continues, each charge sheds new light on the ways and means of City Hall corruption.”
“Following the money is key in a case like this,” said Kareem Carter, Special Agent in Charge IRS Criminal Investigation. “The defendant used non-profit organizations to layer complex financial transactions in an attempt to conceal the payments to a city official. IRS CI will continue to work with our law enforcement partners to ensure that any individual or company involved in this scheme shall be held accountable for their actions and not go unpunished.”
“The FBI takes seriously any actions of individuals who seek to improperly influence public officials at the expense of the rate-paying public, and will hold accountable those who attempt to gain an unfair advantage in the public contracting process,” said Craig D. Fair, FBI Special Agent in Charge.
According to the complaint, Giusti disguised several Recology payments as charitable donations. Part of the alleged scheme involved Giusti arranging for Recology to “donate” to the Lefty O’Doul’s Foundation for Kids from 2016 to 2019, money which was used at Nuru’s direction to pay for DPW holiday parties. Another part of the scheme involved Giusti, also at Nuru’s direction, arranging for Recology to provide approximately $1 million in regular payments over several years to a local non-profit organization. This non-profit immediately funneled the payments to a second non-profit organization, and those funds were then controlled and used by Nuru. In yet another part of the scheme, Giusti arranged a job for Nuru’s son at Recology and, once that benefit was discovered, terminated him and promptly secured for him a Recology-funded internship at yet another non-profit, paid for by a grant for a summer youth internship program. Finally, the complaint alleges Giusti arranged for Recology to secretly pay for the funeral of a DPW employee by having a non-profit pay the mortuary bill and creating a fake donation invoice. The complaint outlines that Giusti timed several “donations” and other benefits to coordinate with key decision points in Recology’s requests for assistance and approvals from DPW, particularly Recology’s successful 2017 application to increase rates to San Francisco residents for garbage service.
The charges contained in the criminal complaint are mere allegations. As in any criminal case, the defendant is presumed innocent unless and until proven guilty in a court of law.
Giusti is charged with one count of bribery, in violation of 18 U.S.C. § 666(a)(2), and one count of laundering the proceeds of honest services fraud, in violation of 18 U.S.C. § 1956(a)(1)(B)(i). If convicted of bribery, he faces a maximum penalty of 10 years in prison and a fine of $250,000. If convicted of concealment money laundering, he faces a maximum penalty of 20 years in prison, a fine of $500,000 or twice the value of the property involved in the transaction, or both. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing imposition of a sentence, 18 U.S.C. § 3553.
Giusti is expected to be scheduled to make his initial appearance in federal court in San Francisco on November 23, 2020 before U.S. Magistrate Judge Jacqueline Scott Corley.
The case is being prosecuted by the Corporate Fraud Strike Force of the U.S. Attorney’s Office. The case is being investigated by IRS Criminal Investigation and the FBI.
Rochester Man Pleads Guilty to Conspiracy to Distribute FentanylRead the Press Release
CONCORD - Thomas Fall, 44, of Rochester, pleaded guilty in federal court to participating in a conspiracy to distribute fentanyl, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Fall conspired with others to distribute fentanyl in 2018 and 2019. In July and August of 2019, an individual who was cooperating with the DEA participated in four controlled drug purchases from Fall and another individual at their Rochester, New Hampshire residence. In total, the transactions involved approximately 100 grams of fentanyl.
On January 14, 2020, the DEA and other law enforcement agencies arrested Fall. In his post-arrest interview, Fall admitted to participating in the drug conspiracy and stated that for a period of three to six months in 2018 and 2019, he and another individual purchased fentanyl from a Massachusetts-based source and then distributed some of the fentanyl to New Hampshire-based drug customers.
Fall is scheduled to be sentenced on February 25, 2021.
“Massachusetts fentanyl distributors continue to reach into New Hampshire in search of profits” said U.S. Attorney Murray. “In this case, the potentially lethal drugs were sold in Rochester. In order to disrupt the interstate drug pipeline, it is essential to arrest and prosecute those who make the sales and secure the profits. Drug dealers should be aware that the U.S. Attorney’s Office, the DEA, the Strafford County Task Force and a wide variety of federal, state and local law enforcement agencies are working every day to put them out of business.”
This case was investigated by the DEA’s Tactical Diversion Squad, the New Hampshire State Police, the United States Postal Inspection Service, and the Strafford County Drug Task Force. The case is being prosecuted by Assistant U.S. Attorney Jennifer Cole Davis.
This operation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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President of Commercial Flooring Company Pleads Guilty to Rigging Bids in Violation of Federal Antitrust LawsRead the Press Release
Delmar E. Church Jr., the president and one of the principal owners of a Chicago-area commercial flooring company, pleaded guilty for his role in a conspiracy to rig bids and fix prices for commercial flooring services and products sold in the United States, the Department of Justice announced. The defendant is cooperating with the department’s ongoing investigation.
According to the plea agreement filed in the U.S. District Court in Chicago, Illinois, from at least as early as 2009 until at least June 22, 2017, Church engaged in a conspiracy to suppress and eliminate competition in the commercial flooring market by agreeing with other individuals and companies to submit complementary bids so the designated company would win the bid. Church’s plea is the sixth plea in the investigation.
“American businesses and institutions deserve the benefits of competition when soliciting bids for commercial construction services and products,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “The recent guilty plea — a plea from the highest-ranking executive to date — marks the continued progress of and latest milestone in this investigation. The Antitrust Division and its law enforcement partners are committed to holding responsible the most-senior culpable individuals that engage in and direct harmful bid rigging conspiracies.”
“Competition in the marketplace helps level the playing field for both businesses and consumers,” said Special Agent in Charge Emmerson Buie Jr. of the Federal Bureau of Investigation’s Chicago Field Office. “This guilty plea serves as a warning to bid riggers and price fixers that the FBI and its partners will hold them accountable for their crimes.”
Violations of the Sherman Act carry a maximum penalty of 10 years in prison and a $1 million criminal fine for individuals. The maximum fine may be increased to twice the gain derived from or twice the loss suffered by the victims of the crime, if either of those amounts is greater than the statutory maximum fine.
The guilty plea is the result of an ongoing federal antitrust investigation into bid rigging, price fixing, and other anticompetitive conduct in the commercial flooring industry being conducted by the Antitrust Division’s Chicago Office and the FBI’s Chicago Field Office. Anyone with information on bid rigging, price fixing, or other anticompetitive conduct related to the commercial flooring industry should contact the Antitrust Division’s Chicago Office at 312-984-7200 or Citizen Complaint Center at 888-647-3258, or visit http://www.justice.gov/atr/report-violations.
Pittsburgh Water and Sewer Authority to Plead Guilty to Clean Water Act Violations; Former Treatment Plant Supervisor IndictedRead the Press Release
PITTSBURGH – The Pittsburgh Water and Sewer Authority (PWSA), headquartered in downtown Pittsburgh, has been charged by criminal information in federal court and a former supervisor has been indicted for violating the Clean Water Act, United States Attorney Scott W. Brady announced today.
The Pittsburgh Water and Sewer Authority has been charged and will plead guilty to one count of violating its National Pollutant Discharge Elimination System Permit (the NPDES Permit) by discharging sludge into the Allegheny River. The Authority will also plead guilty to seven counts of making false statements in written reports about the amount of sludge it was sending the ALCOSAN’s waste treatment facility. Under the terms of the plea agreement, PWSA will agree to adhere to the terms of a comprehensive Environmental Compliance Program to correct the violations of federal law and to prevent further unlawful pollution of the Allegheny River.
In a related matter, former Aspinwall Drinking Water Treatment Plant supervisor Glenn Lijewski, 69, of Pittsburgh, was indicted on November 12, 2020, and charged with one count of conspiracy to violate the Clean Water Act and two counts of violating the PWSA’s Clean Water Act Industrial User Permit. The indictment alleges that Lijewski was directly responsible for the unauthorized discharge of clarifier sludge into the Allegheny River in violation of the PWSA’s NPDES Permit. It further alleges Lijewski directed other plant employees to discharge sludge into the river. Finally, the indictment alleges Lijewski directed employees to use estimated sludge flow numbers instead of actual numbers, and that the use of these estimated numbers violated PWSA’s Industrial User Permit.
"For seven years, the Pittsburgh Water and Sewer Authority has failed to meet its public trust obligations in complying with the Clean Water Act during the production of drinking water for the citizens of Pittsburgh," said U.S. Attorney Brady. "Today’s criminal charges shed light on years of mismanagement and malfeasance. The Department of Justice and the Environmental Protection Agency are committed to protecting you and your families by ensuring that the water you drink is produced safely and that the area’s rivers are not polluted with waste."
"The people of Pittsburgh deserve and expect local utilities to obey environmental requirements that protect natural resources," said EPA Special Agent in Charge Jennifer Lynn. "The defendants in this case are accused of dumping sludge into the Allegheny River. Today’s charges show that EPA and our law enforcement partners are committed to enforcing regulations that help protect our communities from environmental and health hazards."
The Criminal Information filed today alleges that PWSA violated its NPDES Permit when its employees at the Aspinwall Drinking Water Treatment Plant discharged sludge generated during the drinking water treatment process into the Allegheny River. During this process various chemicals are added to water drawn from the Allegheny River. These chemicals cause small particles suspended in the water to clump together. Afterwards, the partially treated water is transferred to two large sedimentation basins where solids and debris settle out. The water is then transferred back to the Aspinwall Plant where it was subjected to a clarification process. This took place in a facility known as the Clarifier Building, which contains four large concrete basins known as clarifiers. The addition of chemicals to the water promoted the generation of additional clumps of solids which settled on the bottom of each clarifier and were pumped to a large concrete structure located near the banks of the Allegheny River. The solids were referred to as sludge and the large concrete pit was referred to as "the sludge pit," "the ALCOSAN pit," or "FM-5." FM-5 had pipes that led to the Allegheny River and sewer line.
Under the terms of its NPDES Permit, PWSA was only permitted to discharge storm runoff water and partially treated drinking water that needed to be emptied out of a clarifier prior to cleaning and repairs. That water was referred to as "clarifier blowdown." PWSA was not permitted to discharge clarifier sludge into the Allegheny River.
Instead, between 2010 and May 2017, PWSA employees and supervisors at the Aspinwall Plant diverted and discharged sludge into the Allegheny River. By using electronic or manual controls at FM- 5, the employees caused the sludge to flow from FM-5 to a discharge point known as Outfall 012 and then into the Allegheny River.
At various points, plumes of discolored water, some of which were several hundred feet long, and solids were visible in the river. Over time, the sludge discharge resulted in a buildup of solids. Employees at the Aspinwall Plant referred to the buildup as an island. Birds were also observed walking on the island when the river levels were low. The river’s currents dissipated the island over time, but the island would reappear when new discharges occurred.
PWSA had also been issued a Clean Water Act Industrial User Permit by ALCOSAN. Under the terms of this permit, PWSA was permitted to ship one million gallons of sludge per day to ALCOSAN’s waste treatment facility. The permit required PWSA to determine the daily amount of sludge through the use of a meter. PWSA installed flow meters at FM-5 and at the clarifier basins. The readings from the meters had to be included in bi-annual reports PWSA was required to submit under the penalties of perjury to ALCOSAN.
The flow meters at two of the clarifier basins broke in or around late December 2014 or early January 2015. The meter at FM-5 also broke and was inactive by early 2015. As a result, PWSA supervisors at the plant instructed the plant’s operators to estimate the amount of sludge flowing from the clarifier basins to FM-5 and from there to the ALCOSAN facility. These estimates were also included in the reports PWSA sent to ALCOSAN. These reports also represented that PWSA’s employees periodically checked the calibration of the sludge flow meters to ensure they were within factory limits.
Each report was signed by a PWSA representative as being "true, accurate, and complete."
In July 2019, PWSA’s management obtained approval from PWSA’s Board of Directors for funds in "the amount of $47,852,71 to furnish and install four new flow meters for the sludge valves associated with each of the four clarifiers at the Aspinwall Water Treatment Plant." On January 15, 2020, investigators from the EPA, an attorney from the United States Attorney’s Office, and an attorney from EPA, Criminal Enforcement visited the Aspinwall Plant to interview employees and tour the facility. Part of the tour included a walk through the Clarifier Building and past the meters. No mention as to the inoperability of the meters was made. The following day, two of PWSA’s employees informed the investigators and the prosecutors that two of the meters were broken and had been for years. In February 2020, PWSA replaced the sludge flow meters, more than five years after they had broken.
Under the terms of the plea agreement PWSA will be placed on probation for a period of three years. In lieu of a fine, PWSA will be required to pay $500,000 into a self-funded Compliance Fund. Under the terms of the plea agreement, PWSA is not permitted to use the fund’s cost as a justification for any rate increase proposal it may submit to the Pennsylvania Public Utility Commission. The fund will be used to pay for comprehensive environmental compliance program to which PWSA must adhere. This program will be subject to the approval of the United States Attorney’s Office and will focus on the production of drinking water; PWSA’s compliance with it NPDES and Industrial User Permits; and the proper storage of chemicals at the plant. The United States Attorney’s Office and the EPA will monitor implementation of the plan during PWSA’s period of probation. PWSA will also be required to provide annual environmental audits to the United States Attorney’s Office and the EPA. These audits will also be available on the Authority’s website for the public’s benefit. PWSA will also be required to install an Environmental Compliance Manager at the Aspinwall Plant. This individual will be authorized to receive complaints and conduct investigations concerning environmental issues occurring at the plant.
For Lijewski, the law provides for a maximum term of imprisonment of five years as to the Conspiracy count and three years for a violation of a Clean Water Act Industrial User Permit. There are also potential fines associated with these crimes. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
Assistant United States Attorney Michael Leo Ivory and Martin Harrell, a criminal enforcement attorney with EPA Region 3 Office of Regional Counsel, are prosecuting this case on behalf of the government.
The Environmental Protection Agency conducted the investigation that led to the prosecution of the Pittsburgh Water and Sewer Authority.
Pennsylvania Man Sentenced to 25 Years in Prison for His Sexual Enticement of A Sullivan County Minor and A Pennsylvania MinorRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, and Peter C. Fitzhugh, Special Agent-in-Charge of the New York Field Office of Homeland Security Investigations (“HSI”), announced today that JAMES EARLY was sentenced by U.S. District Judge Kenneth M. Karas to 25 years in prison for enticing two different minors to engage in illegal sexual activity. The sentencing today followed EARLY’s guilty plea on November 13, 2019.
Acting U.S. Attorney Audrey Strauss said: “This case underlines the urgent need for law enforcement to continue its efforts to protect children from those who prey on them. As today’s sentencing underscores, we will continue to use every tool available to law enforcement to prosecute and punish those who sexually exploit children.”
HSI Special Agent-in-Charge Peter C. Fitzhugh said: “The sexual exploitation of children is a despicable crime and today’s sentencing sends a strong message that those who victimize the most vulnerable amongst us will be held accountable for their actions. The identification and rescue of child victims of sexual exploitation is one of Homeland Security Investigations top priorities. HSI and our law enforcement partners will continue to vigorously investigate those who prey on children.”
According to documents filed in this case and statements made in related court proceedings:
From in or about July 2015 to March 2017, EARLY engaged in sexually explicit communications by text with a female minor (“Victim-1”) in Sullivan County, New York. In connection with these sexually explicit communications, EARLY persuaded Victim-1 to engage in sexually explicit activity, photograph and video it, and transmit it to him via text. Victim-1 was 15 when they began their online communications. Victim-1 sent EARLY numerous sexually explicit photos in direct response to directions she received from EARLY, instructing her exactly what he wanted to see her do. In addition, on numerous occasions, EARLY sent images of his erect penis to Victim-1 and also images of him masturbating.
From in or about the fall of 2014 to the spring of 2017, EARLY persuaded, induced, and enticed a female minor (“Victim-2”) to engage in illegal sexual activity in the Middle District of Pennsylvania. EARLY’s sexual abuse of Victim-2 began when Victim-2 was entering 8th grade and was 14 years old.
In October 2017, a search warrant of EARLY’s residence was executed in connection with the investigation. Sexually explicit images and videos of Victim-2 were recovered during the search, as well as hundreds of other images of child pornography.
In addition to the prison term, EARLY, 40, of Selinsgrove, Pennyslvania, was sentenced to a lifetime term of supervised release.
Ms. Strauss praised the efforts of Homeland Security Investigations and the New York State Police in this investigation.
The prosecution is being handled by the Office’s White Plains Division. Assistant United States Attorney Marcia S. Cohen is in charge of the prosecution.
Onondaga County Man Arrested on Child Pornography ChargesRead the Press Release
SYRACUSE, NEW YORK – Ryan Maher, age 34, of Cicero, New York, was arrested yesterday and charged with receiving child pornography, announced Acting United States Attorney Antoinette T. Bacon, Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), and New York State Police Superintendent Keith Corlett.
According to the criminal complaint filed yesterday, Maher, a registered sex offender who was convicted in 2012 of sexual abuse in the second degree – sexual contact with a person less than 14 years old – acquired approximately 4000 images of child pornography on the internet and saved that material to a thumb drive.
The charge against Maher carries a mandatory minimum sentence of 15 years and a maximum of 40 years in prison, a post-release term of supervision of between five years and life, and a fine of up to $250,000. A defendant’s sentence is imposed by a judge based on the statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
Maher made his initial appearance yesterday before Magistrate Judge Thérèse Wiley Dancks and was detained pending further proceedings.
The charge in the complaint is merely an accusation. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the FBI Syracuse Mid-State Child Exploitation Task Force. This task force is comprised of FBI Special Agents and Investigators of the New York State Police, Bureau of Criminal Investigation (BCI), and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian as a part of Project Safe Childhood.
Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS). Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
North Idaho Woman Sentenced for Defrauding Employer and Filing False Tax ReturnRead the Press Release
COEUR D’ALENE - Jamie Gillette, 53, of Bonners Ferry, Idaho, was sentenced to 37 months in federal prison for wire fraud and making and subscribing a false tax return U.S. Attorney Bart M. Davis announced today. Chief U.S. District Judge David C. Nye also imposed a term of three years of supervised release to follow Gillette’s prison sentence and ordered her to pay $305,185 in restitution to the victims of the embezzlement and $108,287 in restitution to the IRS. Gillette will remain in local custody pending her designation to a U.S. Bureau of Prisons facility.
According to court records, from in or about 2011 through in or about 2015, Gillette devised a scheme to defraud, and to misappropriate without authority money and property belonging to her employer, Bendable Bright Light, Inc. (BBL). Specifically, Gillette had access to BBL’s business bank account both as signor on the account and through the online payment portal. Using this access, Gillette issued checks from BBL’s account to her personal bank account and made online payments from BBL’s account for personal expenses associated with her accounts, without the knowledge or authorization of BBL. At the sentencing hearing, Judge Nye determined that Gillette had embezzled a total of $305,185 from BBL.
According to court records, on or about April 7, 2014, Gillette electronically signed and caused to be filed a 2013 federal income tax return that she knew contained false information. Specifically, Gillette reported that her taxable income for the calendar year 2013 was $8,003, whereas she knew that her taxable income was much greater. At the sentencing hearing, it was determined that Gillette owed a total of $108,287 in back taxes to the IRS for the tax years of 2011 through 2015.
This case was investigated by the Federal Bureau of Investigation and Internal Revenue Service – Criminal Investigation.
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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.
North Carolina Return Preparer Indicted for Tax Fraud SchemeRead the Press Release
A federal grand jury sitting in Greenville, North Carolina, returned an indictment charging a North Carolina tax preparer with conspiracy to defraud the United States and with preparing false returns for clients, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Robert J. Higdon, Jr. for the Eastern District of North Carolina.
According to the indictment, from at least January 2016 through March 2016, Hildares Kinkesha Parker-Greene managed a tax return preparation business located in Kinston, North Carolina. Parker-Greene allegedly conspired with another tax preparer to fraudulently inflate clients’ tax refunds by claiming false wages, federal income tax withholdings, and dependents. This conduct allegedly caused clients to receive refunds to which they were not entitled. The indictment also charges that from 2017 through at least 2018, Parker-Greene operated a tax preparation business out of her home where she allegedly continued to assist in the preparation of clients’ false tax returns.
If convicted, Parker-Greene faces a statutory maximum sentence of five years in prison and a statutory maximum sentence of three years in prison for each filing false returns charge. She also faces a period of supervised release, restitution, and monetary penalties.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Higdon, Jr. commended special agents of IRS-Criminal Investigation, who investigated the case, and Trial Attorneys Michael L. Jones and Terri-Lei O’Malley of the Tax Division, who are prosecuting this case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Niagara Falls Man Faces Lengthy Federal Prison Term After Pleading Guilty to Trafficking CocaineRead 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 Dante Dolson, 51, of Niagara Falls, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to conspiring to possess with intent to distribute, and distributing, five kilograms or more of cocaine. The charge carries a mandatory minimum penalty of 15 years in prison, a maximum penalty of life, and a $20,000,000 fine.
Assistant U.S. Attorney Misha A. Coulson, who is handling the case, stated that between December 2016, and August 24, 2017, the defendant conspired with others to sell cocaine. On at least four separate occasions, Dolson coordinated the transportation of 10 kilograms of cocaine for distribution in the Niagara Falls/Buffalo, NY area. On each occasion, the defendant worked with co-conspirators to conceal the cocaine within a “trap” hidden under the hood of the vehicle in order to avoid detection by law enforcement.
On August 24, 2017, members of the Niagara Falls Police Department executed a New York State search warrant at a residence on Independence Avenue in Niagara Falls, the associated detached garage, and a vehicle registered to Dolson. The location was the residence of a relative of Dolson. When investigators entered the detached garage, the defendant was observed rolling beneath the opening garage door to flee from the area. Investigators also noticed that the hood of a minivan in the garage was ajar and a socket wrench was attached to a bolt securing one of the windshield wipers. The “trap” was contained in the engine compartment of the vehicle, and concealed behind a plastic shield underneath the wiper area.
Investigators recovered five full bricks and two half-sized bricks of suspected cocaine wrapped in black plastic sitting on top of the seat cushions of a couch positioned along one of the walls within the garage. $5,000 in cash was also found in another vehicle on the property.
The plea is the result of an investigation by the Niagara Falls Police Department, under the direction of Chief Thomas Licata, and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division.
Sentencing is scheduled for March 1, 2021, at 12:30 before Judge Arcara.# # # #
New York Man Sentenced to Two Years in Prison for Wire Fraud SchemeRead the Press Release
NEWARK, N.J. – An Orange County, New York, man was sentenced today to 24 months in prison for allegedly orchestrating a wire fraud scheme that involved manipulating a business’ payroll service, U.S. Attorney Craig Carpenito announced.
Patrick Snoop, 35, of Monroe, New York, previously pleaded guilty before U.S. District Judge Esther Salas to an information charging him with one count of wire fraud. U.S. District Judge Brian Martinotti imposed the sentence today in Newark federal court.
According to documents filed in this case and statements made in court:
From November 2015 through July 2019, Snoop served as an office manager and bookkeeper for a company based in Union, New Jersey. Beginning in March of 2016, Snoop used his position to fraudulently inflate his salary on several occasions by providing falsified information to a payroll company used by his employer. The unauthorized changes resulted in $494,373 in losses to the company.
In addition to the prison term, Judge Martinotti sentenced Snoop to three years of supervised release and ordered restitution of $494,373.
U.S. Attorney Carpenito credited agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Jamel Semper, Chief of the Organized Crime and Gangs Unit, in Newark.
Nazi-Obsessed Felon Sentenced to Prison for Illegally Possessing Guns and AmmunitionRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 32 months in prison to be followed by three years of supervised release on his conviction of possession of a firearm and ammunition by a convicted felon, United States Attorney Scott W. Brady announced today.
United States District Judge Robert J. Colville imposed the sentence on Dennis Alan Riggs, 51.
Prior to imposing sentence, Judge Colville stated that Riggs, a prohibited felon, possessed seven firearms and over 1000 rounds of ammunition, including an AR-15, a semi-automatic weapon capable of accepting a large capacity magazine.
The search of Riggs’ residence and cellular phone revealed Riggs’ obsession with Nazi ideology, Adolf Hitler and mass shooters. His cellular phone displayed photographs and videos of Riggs posing with the AR-15 wearing a Nazi Swastika shirt. The video specifically depicts Riggs cocking the illegal AR-15 and performing the Nazi "Heil Hitler salute", which Judge Colville indicated "exceeds the bounds of mere political expression".
Assistant United States Attorney Jessica Lieber Smolar prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation for the investigation leading to the successful prosecution of Riggs.
Nashua Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
CONCORD - Spencer Katsohis, 28, of Nashua, pleaded guilty in federal court on Tuesday to possession of fentanyl with intent to distribute, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on June 17, 2020, Nashua Police officers responded to a motor vehicle accident precipitated by Katsohis suffering an apparent opiate overdose while driving. During a subsequent search of his person and vehicle, officers discovered approximately 130 grams of fentanyl. Evidence discovered on Katsohis’ phone showed that he was distributing the drugs.
Katsohis is scheduled to be sentenced on March 3, 2021.
“Fentanyl traffickers are causing tremendous damage in Nashua and communities throughout New Hampshire,” said U.S. Attorney Murray. “In order to protect public health and safety, we work closely with the Nashua Police Department and all of our law enforcement partners to identify and prosecute the drug dealers who are responsible for distributing fentanyl and other deadly drugs in the Granite State.”
This matter was investigated by the Nashua Police Department. The case is being prosecuted by Assistant U.S. Attorney Joachim Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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Monongalia County man admits to firearms chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Marquise Hicks, of Morgantown, West Virginia, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Hicks, 26, pled guilty today to one count of “Possession of a Firearm in Furtherance of a Drug Offense.” Hicks admitted to having a 9mm pistol while in possession of marijuana in August 2019 in Monongalia County.
Hicks faces up to five years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the cases on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Monongalia County Probation Office investigated.
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.
U.S. Magistrate Judge Michael John Aloi presided.
Milwaukee Man Sentenced to 33 Months for Possessing Crack Cocaine for DistributionRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Derek Evans, 32, Milwaukee, Wisconsin was sentenced today by Chief U.S. District Judge James D. Peterson to 33 months in federal prison for possessing 28 grams or more of crack cocaine with the intent to distribute. This prison term will be followed by 3 years of supervised release.
On February 7, 2020, officers with the Dane County Narcotics Task Force arrested Evans after he sold crack cocaine to an undercover agent and a confidential informant. At the time of his arrest, the defendant had approximately 60 grams of crack cocaine in his pants.
In sentencing Evans, Chief Judge Peterson noted that the amount of crack cocaine found in the defendant’s possession was not consistent with one-time distribution, and instead reflected that he was exploiting the addiction of others.
The charge against Evans was the result of an investigation conducted by the Dane County Narcotics Task Force and Madison Police Department. The prosecution of the case has been handled by Assistant U.S. Attorney Taylor L. Kraus.
Member of Boston Latin Kings Chapter Pleads Guilty to Racketeering Conspiracy ChargesRead the Press Release
BOSTON – A former member of the Boston-based Devon Street Kings Chapter of the Massachusetts Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to racketeering charges.
Angel Ortiz, a/k/a “King Ortiz,” 26, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Feb. 25, 2021. Ortiz was arrested and charged in December 2019, at which time he was a member of the Devon Street Kings, a Boston-based Chapter of the Latin Kings.
Named for its origin on Devon Street in Boston, the Devon Street Kings or D5K Chapter of the Latin Kings, included approximately a dozen members. The Devon Street Kings, in turn, reported to the Massachusetts State Leadership of the Latin Kings, providing information, structure, funds and other resources to further the Latin Kings goals and directives in the state. During court proceedings today, Ortiz admitted to conspiring with the gang members to further the operations of the Latin Kings, by attending meetings and discussing crimes of violence and witness retaliation with his fellow gang members.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Ortiz is the 21st defendant to plead guilty in the case.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Boston Police Commissioner William Gross made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorneys Philip A. Mallard and Lauren Graber of Lelling’s Criminal Division are prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Medina Man Going to Prison for 12 1/2 Years on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Anthony Allee, 29, of Medina, NY, who was convicted of possessing with intent to distribute, and distributing, cocaine, and unlawful possession of a short-barreled shotgun in furtherance of drug trafficking, was sentenced to serve 150 months in prison by U.S. District Judge John J. Sinatra, Jr.
Assistant U.S. Attorneys Justin G. Bish and Jeremiah E. Lenihan, who handled the case, stated that between April 2019 and July 22, 2019, the defendant and his wife, Tashira, used their Ridge Road residence in Medina, to store, sell, and use marijuana, hydrocodone, and cocaine. Anthony Allee also possessed various firearms in furtherance of his drug trafficking in order to protect himself, his drugs, and his drug proceeds.
On July 22, 2019, a state search warrant was executed at the residence. Investigators seized multiple firearms, ammunition, numerous articles of stolen property, approximately 73 grams of marijuana, 247 hydrocodone pills, cocaine residue located on a working digital scale with a razor blade, two additional digital scales, a vacuum sealer with bags, and knotted baggies.
Tashira Allee was previously convicted and sentenced to three years probation and 100 community service.
The sentencing is the result of an investigation by the Orleans County Sheriff’s Office, under the direction of Sheriff Randy Bower; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Niagara County Drug Task Force, under the direction of Sheriff Michael Filicetti; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge James B. Devito; the New York State Police, under the direction of Major James Hall; and the Orleans County District Attorney’s Office, under the direction of District Attorney Joseph Cardone.
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Marijuana smuggling trucker sentenced after recanting wife’s hostage hoaxRead the Press Release
LAREDO, Texas – A 33-year-old resident of Nuevo Laredo, Tamaulipas, Mexico, has been ordered to federal prison following his conviction of conspiracy to import and importing more than 1,000 kilograms of marijuana, announced U.S. Attorney Ryan K. Patrick.
Ruben Maldonado-Espino pleaded guilty July 7.
Today, U.S. District Judge Marina Garcia-Marmolejo handed Maldonado-Espino a 36-month term of imprisonment. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. At the hearing, the court heard additional testimony about his false claims of coercion. In handing down the sentence, the court noted that falsely claiming your family is being threatened hurts others – those that actually do have that happen. More who falsely claim the cartel is threatening them could cause authorities to be less inclined to believe them.
“While some may mistakenly view smuggling controlled substances as a path to a quick profit, the sentencing of Maldonado-Espino demonstrates the serious consequences for those who engage in criminal activity,” said Special Agent in Charge Shane Folden of Immigration and Customs Enforcement's Homeland Security Investigations (HSI). “HSI will continue to work closely with our law enforcement partners to protect our communities and bring drug smugglers to justice.”
On May 7, Maldonado-Espino drove a semi-truck and trailer through the World Trade Bridge near Laredo. Authorities conducted an X-ray examination of the vehicle which revealed anomalies in the trailer.
Law enforcement began to open the doors, at which time Maldonado-Espino admitted he knew drugs were in the trailer. He claimed a Mexican drug cartel was holding his wife hostage and forced him to smuggle the narcotics.
However, authorities contacted his wife who appeared to be calm and not under distress. Maldonado-Espino eventually admitted the story was a lie he was told to give to law enforcement.
Law enforcement ultimately found 198 bundles of marijuana inside the trailer. They had an approximate weight of 4,601 pounds and an estimated street value of $875,000.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.
Manchester Man Pleads Guilty to Distributing Fentanyl and CrackRead the Press Release
CONCORD - Jared Woodman, 39, of Manchester, pleaded guilty in federal court to distributing controlled substances, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on two occasions in February of 2019, an individual working with law enforcement officers participated in controlled purchases of fentanyl and crack cocaine from Woodman.
Woodman is scheduled to be sentenced on March 2, 2021.
“Drug trafficking impacts the health and safety of the citizens of Manchester,” said U.S. Attorney Murray. “Through Operation SOS, we are partnering with the Manchester Police Department to target drug dealers in Manchester for federal prosecution in order to improve the quality of life in the Queen City.”
This matter was investigated by the Manchester Police Department. The case is being prosecuted by Assistant U.S. Attorney Joachim H. Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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Louisiana Man Sentenced to 15 Years in Prison for Trafficking MethamphetamineRead the Press Release
Jackson, Miss. – Shawn Louis Romero, 47 of Lafayette, Louisiana, was sentenced yesterday by Chief U.S. District Judge Daniel P. Jordan III, to 180 months in federal prison and 5 years of supervised release for conspiring to possess with intent to distribute 50 grams or more of methamphetamine, announced U.S. Attorney Mike Hurst and Special Agent in Charge Brad L. Byerley with the Drug Enforcement Administration. Romero was also ordered to pay a $1,500 fine.
In November 2017, during an extensive investigation targeting illegal methamphetamine distribution in central Mississippi, DEA agents learned that Romero was transporting large amounts of methamphetamine to the Jackson area. On November 20, 2017, federal agents and local law enforcement set up surveillance to intercept a suspected drug transaction involving Romero. Romero was pulled over while traveling on Interstate 20. Officers searched his vehicle and found approximately 5 pounds of methamphetamine with a purity level of 98%.
Romero was charged in a superceding indictment on September 10, 2019 and pled guilty before Judge Jordan on March 5, 2020.
The case was investigated by the Drug Enforcement Administration, Bureau of Alcohol Tobacco Firearms and Explosives, U.S. Marshals Service, Hinds County Sheriff’s Office, Jones County Sheriff’s Office, Jackson Police Department, Richland Police Department, Warren County Sheriff’s Office, Mississippi Bureau of Narcotics and the Internal Revenue Service. It was prosecuted by Assistant United States Attorneys Chris Wansley and Keesha Middleton.
Local Law School Graduate Who Twice Failed Bar Exam and Set up Two Fake Law Firms Sentenced to More Than Four Years in Federal PrisonRead the Press Release
Tampa, FL – Senior U.S. District Judge James Moody, Jr. today sentenced Roberta A. Guedes (41, Tampa) to four years and six months in federal prison for mail fraud and aggravated identity theft in connection with a fraudulent scheme wherein Guedes posed and practiced law as a licensed attorney. The court also ordered Guedes to pay $14,318 in restitution to her victims.
Guedes had pleaded guilty on December 17, 2019.
According to court documents, in 2014, Guedes graduated from Stetson University College of Law, but twice failed the Florida Bar exam. Guedes has never been licensed to practice law in Florida nor in any other state. Despite this, in the fall of 2014, Guedes incorporated two fake law firms—Ferguson and McKenzie LLC, and Immigration and Litigation Law Office, Inc. Guedes marketed her legal services and rented office space at the Rivergate Tower in downtown Tampa. She took on multiple client-victims, misrepresenting herself as an attorney. Guedes charged her client-victims fees for services, which ranged from representation in immigration proceedings to family law matters. At times, Guedes impersonated a law school classmate and licensed attorney who had no involvement in Guedes’s sham law firms. As part of her fraudulent scheme, Guedes filed court pleadings and immigration petitions using her former classmate’s name and Florida Bar number, and she also made several personal appearances in federal immigration court (Orlando) and in Hillsborough County court posing as a licensed attorney.
Following the initiation of a Florida Bar investigation into her conduct, Guedes falsified and filed a third party affidavit in an attempt to undermine and discredit that investigation.
Guedes furthered her fraudulent scheme by using other victims’ personal identity information. For example, Guedes used one victim’s Social Security number, birthdate, and other identifying information to form corporations and to open bank accounts, credit cards, and other lines of credit for personal expenses and business-related expenses for her sham law firms.
“For years, Guedes engaged in a brazen pattern of fraud and deceit upon our legal and financial institutions,” said HSI Tampa Assistant Special Agent in Charge Hector X. Colon. “Thanks to HSI and USCIS special agents and the Largo Police Department, she will be held accountable for her crimes.”
“The defendant’s illegal actions abused the trust placed in her by clients,” said USCIS Tampa District Director Michael Borgen. “USCIS is dedicated to identifying and exposing immigration fraud schemes, and we are proud to have partnered with ICE and the U.S. Attorney’s Office to shut down this illegal and deceptive practice.”
This case was investigated by Homeland Security Investigations and the United States Citizenship and Immigration Services, with assistance from the Largo Police Department. It was prosecuted by Assistant United States Attorney Frank Murray.
Leader of Rhode Island Latin Kings Chapter Pleads Guilty to Narcotics Conspiracy ChargesRead the Press Release
BOSTON – A leader of the Rhode Island Chapter of the Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to conspiracy charges.
Joel Francisco, a/k/a “King Casper,” 42, pleaded guilty today to conspiracy to distribute cocaine. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for March 3, 2021. Francisco was arrested and charged in December 2019, at which time he was identified as a leader of the Rhode Island Chapter of the Latin Kings.
During the plea proceedings, Francisco admitted that in August 2019, he conspired with others to purchase cocaine from members of the Latin Kings in New Bedford for resale. On Sept. 4, 2019, Francisco was captured in a video recording purchasing approximately 186 grams of cocaine from members of the New Bedford Chapter in a deal facilitated by a co-conspirator.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Joel Francisco is the 22nd defendant to plead guilty in the case.
The conspiracy charge provides for a sentence of up to 20 years in prison, supervised release for a minimum of three years, up to life, and a fine of up to $1,000,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Commissioner Carol Mici of the Massachusetts Department of Correction made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard and Mark Grady of Lelling’s Criminal Division are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leader of Baton Rouge-Based "FreeBandz" Drug Trafficking Organization Sentenced to 181 Months in Federal PrisonRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge Brian A. Jackson sentenced Shanard Zelron Banks, age 32, to 181 months in federal prison following his convictions for conspiracy to distribute and possess with the intent to distribute controlled substances, possession with intent to distribute 500 grams or more of methamphetamine, possession of firearms in furtherance of a drug-trafficking crime, unlawful use of a communication facility, and engaging in monetary transactions in property derived from specified unlawful activity. The Court further sentenced Banks to serve five years of supervised release following his term of imprisonment and ordered that the firearms involved be forfeited along with $20,000 and a 2011 Porsche Panamera that he purchased using drug trafficking proceeds.
Banks was charged along with twenty 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 – FreeBandz – based and operating in Baton Rouge, Louisiana. As a result of this investigation, 19 defendants have been convicted, 10 have been sentenced and one is scheduled for jury trial in February of 2021.
According to admissions made as part of his guilty plea, Banks controlled the organization’s illegal pill-pressing operation whereby he and his co-conspirators used pill press machines, punches, dies, and pill pressing chemicals to illegally manufacture tens of thousands of counterfeit controlled substance pills. The counterfeit pills were tainted with undisclosed amounts of heroin, methamphetamine, fentanyl analogues, clonazolam, and other controlled substances that Banks’ co-conspirator obtained from sources located in Houston, Texas, and Los Angeles, California. These pills were then imprinted with various marks, including several for controlled substance pharmaceuticals. Thereafter, Banks and his co-conspirators distributed the counterfeit pills to others for further distribution in Baton Rouge, Mississippi, the New Orleans metropolitan area, and elsewhere. The drug trafficking operation formed in or before 2016 and continued until it was disrupted by law enforcement intervention in 2018.
During their investigation, law enforcement agents recovered a .380 caliber Taurus revolver, a .556 caliber Smith & Wesson semi-automatic rifle, and five semi-automatic pistols of varying calibers from a number of residences and commercial premises that were used to store drugs and drug proceeds, and to conduct drug transactions. These firearms were possessed by Banks and a co-conspirator with the purpose of advancing Banks’ drug trafficking operation.
U.S. Attorney Fremin stated, “This defendant is one of the key leaders of a drug trafficking organization responsible for trafficking large amounts of counterfeit pills laced with heroin and other illegal drugs throughout our district. This sentencing has significantly advanced efforts to restore law and order in the community. The combined federal, state, and local efforts that culminated in this conviction once again reflect our unified front against crime in this district. I appreciate the tremendous dedication and hard work by the agents and prosecutors who worked tirelessly on this important matter.”
DEA Assistant Special Agent in Charge Michael R. Sader said, “Illegal dangerous drugs, including methamphetamine, destroy lives and have far-reaching negative effects in communities where they take hold. By targeting local distribution networks in the Baton Rouge area and beyond, DEA and our federal, state and local law enforcement partners are working to reduce overall crime and improve the quality of life for area residents. The numerous arrests and seizures in this investigation are the result of our close cooperation and part of our ongoing efforts to ensure that drug traffickers are held responsible for the harm they cause. This lengthy sentence sends a message of our unending resolve to pursue drug traffickers who wreak havoc in our communities.”
This investigation is another effort by the OCDETF Program, which 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, 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.
This OCDETF operation is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana; the Baton Rouge District Office of the Drug Enforcement Administration; and the Baton Rouge Field Office of the Bureau of Alcohol, Tobacco, Firearms, & Explosives. This matter is being prosecuted by Assistant United States Attorney Jennifer Kleinpeter, who also serves as a deputy criminal chief.
Las Vegas Man Pleads Guilty to Unlawful Possession of Firearms After Officers Respond to Domestic Violence CallRead the Press Release
LAS VEGAS, Nev. — A Las Vegas man with prior felony convictions pleaded guilty today to unlawful possession of firearms, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Patrick Gorman for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
“Domestic violence and firearms are too often a deadly combination,” said U.S. Attorney Trutanich. “One of our office’s top priorities in launching Project Veronica was to get guns out of the hands of domestic violence offenders.”
“ATF works diligently to prevent and reduce gun violence,” said Special Agent in Charge Gorman. “These collective efforts from ATF, the U.S. Attorney’s Office and our law enforcement partners are aimed at investigating crimes that significantly impact and harm members of the Las Vegas community. ATF will continue to work alongside our partners to ensure those who illegally possess firearms are held accountable.”
Akila Chappell-Hersh, 26, pleaded guilty to two counts of felon in possession of a firearm before U.S. District Judge Gloria M. Navarro, who scheduled a sentencing hearing on February 17, 2021. Chappell-Hersh was indicted by a grand jury in May 2020.
According to court documents, in November 2019, Las Vegas Metropolitan Police Department officers responded to a domestic violence incident at an apartment in Las Vegas. Officers learned that Chappell-Hersh had been arguing with his wife while holding a handgun. Law enforcement executed a search warrant and found a .40 caliber Sig Sauer P229 handgun under the mattress in a bedroom. Later, on May 7, 2020, Chappell-Hersh was found in possession of a .45 caliber Glock 30S handgun with a 26-round extended magazine.
Chappell-Hersh is prohibited from possessing a firearm due to prior felony convictions in Clark County, Nevada, for possession of a firearm by a prohibited person and possession of stolen property.
At sentencing, Chappell-Hersh faces a statutory maximum sentence of 10 years in prison and a $250,000 fine on each count of felon in possession of a firearm. The sentencing of a defendant is determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case was investigated by ATF. Assistant U.S. Attorney Brett Ruff is prosecuting the case.
This case was brought as part of Project Veronica, an initiative that the Department of Justice and the U.S. Attorney’s Office for the District of Nevada launched in August 2020. Project Veronica brings together law enforcement agencies, tribes, victims of domestic violence, and local and state government within Nevada to curb domestic violence and sexual violence. Project Veronica is named in honor of a local victim of domestic violence named Veronica Caldwell. In 2015, Veronica lost her life at the hands of her husband, who also shot and killed Veronica’s daughter Yvonne and her daughter’s boyfriend.
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 U.S. 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 ATF 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.
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Justice Department Signs Antitrust Memorandum of Understanding with Korean Prosecution ServiceRead the Press Release
Yesterday, the Department of Justice signed an antitrust Memorandum of Understanding (MOU) with the Korean Prosecution Service (KPS). The MOU is designed to promote increased cooperation and communication on criminal antitrust enforcement and policy in both countries.
Assistant Attorney General Makan Delrahim of the U.S. Department of Justice’s Antitrust Division signed the MOU in a virtual ceremony with Prosecutor General Yoon Seok-Youl of the KPS, who was in Seoul, South Korea. The MOU went into effect upon signature.
“This memorandum of understanding recognizes the increasing importance of criminal antitrust enforcement in South Korea, and the prioritization of both countries to detect and punish illegal cartel activity,” said Assistant Attorney General Delrahim. “The KPS has become a close enforcement partner in recent years, and this MOU provides a foundation for even greater cooperation and coordination.”
Highlights of the MOU include the following:
- a shared commitment to consider both parties’ enforcement objectives and important interests when conducting enforcement activities;
- a commitment of both parties to exchange experiences on the enforcement of their criminal cartel laws and engage in shared trainings and other technical assistance initiatives; and
- an obligation to maintain the confidentiality of any information provided by the other party and honor prohibitions on sharing information when not permitted by law.
The United States has a close trading and military partnership with South Korea. The KPS has taken on a more prominent role in criminal antitrust enforcement in South Korea, and the MOU is intended to further strengthen the relationship between the two law enforcement partners as they work together to root out harmful collusive conduct that affects consumers in both countries.
The MOU with the KPS closely resembles an earlier MOU the Department of Justice reached with the Korea Fair Trade Commission in 2015.
Assistant Attorney General Delrahim’s remarks at the signing ceremony of the MOU is available at https://www.justice.gov/opa/speech/assistant-attorney-general-makan-delrahim-delivers-remarks-virtual-mou-signing-ceremony.
Jury convicts Cuban national of transporting illegal aliens in phony delivery truckRead the Press Release
CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a legal permanent resident who resided in Houston for transporting illegal aliens in a vehicle disguised as a FedEx truck, announced U.S. Attorney Ryan K. Patrick
The jury deliberated for six hours before convicting Yoel Marrero-Goitizolo, 42, following a one-day trial.
On Feb. 3, Marrero-Goitizolo arrived at the Border Patrol Checkpoint near Sarita. He was driving a vehicle that appeared to be a FedEx Ground truck. However, authorities noticed the vehicle seemed to be unevenly painted. The jury also heard that a K-9 also had alerted to the vehicle. Law enforcement then referred Marrero-Goitizolo to the secondary area for further inspection.
Authorities subsequently discovered 12 aliens who were citizens and nationals of Honduras, Brazil, Mexico, El Salvador and People’s Republic of China – all illegally present in the United States. Testimony revealed they had been hiding in the truck’s cargo area.
The jury also heard that Marrero-Goitizolo was wearing a FedEx polo shirt. However, testimony revealed Marrero-Goitizolo had never worked for the company and that the truck did not belong to FedEx.
Marrero-Goitizolo attempted to convince the jury that he did not knowingly transport the aliens. They did not believe those claims and found him guilty as charged.
U.S. District Judge Drew B. Tipton presided over the trial and set sentencing for Feb. 9, 2021. At that time, he faces up to five-years imprisonment. The charge also carry a possible $250,000 maximum fine.
Previously released on bond, Marrero-Goitizolo was taken into custody following the conviction today where he will remain pending sentencing.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Assistant U.S. Attorney Yifei Zheng is prosecuting the case.
Judge sentences St. Louis County man for drug and firearm offensesRead the Press Release
ST. LOUIS, MO – United States District Judge Catherine D. Perry sentenced Dajuan Hall, Jr. to 132 months in prison today. The 28-year-old Hazelwood, Missouri resident pleaded guilty to several drug and firearms offenses, along with being a felon in possession of a firearm.
On July 14, 2018, Hazelwood Police answered a call for ‘shots fired’ at Knollwood Apartments and learned someone left the area with an AK-47-type assault rifle. Police discovered a gunshot victim bleeding heavily from the chest. In searching the area for witnesses and other possible victims, police made contact with Hall, Jr., and another person who lived in one of the units.
Witnesses told police they heard an argument at the time of the shooting come from inside the unit. Hall was not cooperative, denied anyone else was in the unit and denied any knowledge of the shooting. Police detained Hall after confirming he had active warrants for his arrest. Lawful police searches of the unit revealed two people in a back room and various firearms, ammunition and drug evidence, including: two loaded pistols; three loaded assault rifles; a box of .48 caliber ammo; .38 caliber rounds; a .40 caliber 50-round capacity drum magazine; an extended magazine with 10 .45 caliber rounds and a box of .223 ammo (79 rounds); a revolver; a rifle; boxes of rifle ammunition; fentanyl; synthetic fentanyl; heroin; marijuana. Hall also possessed 264 capsules of Dormin, an ingredient used to “cut” controlled substances as well as other drug distribution paraphernalia and ten cellphones.
On August 23, 2018, investigators with St. Louis County Police Narcotics Unit and FBI agents executed another search warrant at Hall’s new residence in St. Louis County. Hall was present when police found a clear plastic bag containing an off-white powder, which Hall admitted was fentanyl that he was selling.
On September 6, 2018, an undercover detective bought fentanyl from a member of “Crew B.” The detective exchanged $60 with the drug seller in a vehicle driven by Hall. Police tried making an arrest, but Hall and the passenger ran. Police eventually took both into custody and searched the vehicle, which contained a pistol, drugs and phones.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, Hazelwood Police Department, Major Case Squad and St. Louis County Police Department investigated this case. Assistant United States Attorney Paul D’Agrosa is handling the case.
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Joint FBI-LAPD Investigation into South L.A. Street Gang Leads to 14 Arrests on Federal Charges of Distributing Crack Cocaine and MethRead the Press Release
LOS ANGELES – An investigation led by the FBI and the Los Angeles Police Department last night and this morning resulted in the arrest of 14 defendants linked to the Hoover Criminal Gang on federal charges alleging the distribution of narcotics, some of which were sold to customers out of two South Los Angeles storefronts.
The investigation – dubbed Operation Hoover Dam – resulted in three indictments being returned over the past few weeks by a federal grand jury. The indictments allege that the defendants – all members or associates of the street gang, or alleged drug dealers who operated in gang territory – sold methamphetamine, crack cocaine, cocaine and phencyclidine (PCP). One indictment also alleges weapons violations, including carrying a firearm in relation to a drug trafficking crime.
The main indictment charges 10 defendants, including two senior gang members who operated stores where narcotics allegedly were peddled. Bobby Lorenzo Reed, a.k.a. “Zo,” 56, the owner of the H&E Smoke and Snack Shop, and Andrew Tate, a.k.a. “Batman,” 52, the owner of the TNN Market, each sold methamphetamine, crack cocaine and powder cocaine from their respective South Los Angeles stores, referred customers to one another, supplied one another, and directed their employees to engage in drug sales and referrals, according to the indictment, which details dozens of narcotics transactions in 2017 and 2018.
The 32-count indictment further charges Tate and a second person with conspiring to distribute heroin inside Solano State Prison in Vacaville. In this conspiracy, Tate allegedly supplied heroin to Lashina Lacy, 33, of Fresno, who allegedly attempted to smuggle the contraband into the prison for an incarcerated gang member, who, in turn, intended to sell the heroin to other inmates. As a result of this part of the investigation, which included the California Department of Corrections and Rehabilitation, the heroin was intercepted before entering the prison.
The second indictment unsealed today charges three defendants with participating in a series of narcotics transactions in 2018, some involving sales of approximately one and two ounces of methamphetamine and crack cocaine.
The third indictment unsealed today charges two people with distributing street-level quantities of PCP and crack cocaine.
The three indictments charge a total of 15 defendants. After 14 arrests last night and this morning, authorities are continuing to search for one defendant, Ricky Blue, 51.
The defendants were taken into custody primarily in South Los Angeles, but arrests were also made in South Gate and Fresno.
The defendants arrested in the Los Angeles area are expected to be arraigned this afternoon in United States District Court.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of the charges alleged in the indictments, most of the defendants would face mandatory minimum sentences of five or 10 years in federal prison.
Operation Hoover Dam was conducted by the FBI, the Los Angeles Police Department, and the California Department of Corrections and Rehabilitation
The prosecutions resulting from the investigation are being handled by Assistant United States Attorney Scott D. Dubois of the International Narcotics, Money Laundering, and Racketeering Section.
Jefferson County Doctor Convicted of Health Care Fraud ViolationsRead the Press Release
BEAUMONT, Texas — A 43-year-old physician practicing in Beaumont has been found guilty of federal health care fraud violations in the Eastern District of Texas, announced U.S. Attorney Stephen J. Cox today.
Grigoriy T. Rodonaia, of Port Neches, Texas, was convicted by a jury this afternoon of 12 counts of health care fraud, three counts of aggravated identity theft, one count of making a false statement, and two counts of accepting kickbacks. The guilty verdict came following a four-day trial before U.S. District Judge Marcia Crone.
Rodonaia, a physician practicing in Beaumont with Rodonaia Family Medicine and Aesthetics, was indicted on March 18, 2020. According to information presented in court, beginning in January 2015, Rodonaia participated in a health care fraud scheme by issuing prescriptions for specially compounded scar creams using the names, dates of birth, and Health Insurance Claim Numbers of TRICARE beneficiaries, and caused the prescriptions to be forwarded directly to Memorial Compounding Pharmacy in Houston, Texas. These prescriptions were issued without consultation with the patient and without the patient’s knowledge. The prescriptions were billed to the military health care program, TRICARE, by the pharmacy at approximately $9,000 to $13,000 per prescription, with multiple refills authorized per prescription. Rodanaia issued over 600 prescriptions in the names of approximately 140 beneficiaries in furtherance of this scheme. Before the scheme could be detected, TRICARE paid approximately $6.7 million in TRICARE funds to Memorial Compounding Pharmacy. Further, to conceal his criminal activity, Rodonaia created fictitious patient files and records that falsely indicated that he had examined or consulted with those patients, and submitted those false records to the Defense Health Agency in response to an audit.
Rodonaia additionally violated the Anti-Kickback Statute by requiring Medicare and Medicaid beneficiaries seeking opioid treatment to pay cash for an office visit in excess of the amount which would have been reimbursed by the Medicare and Medicaid programs.
Rodonaia was taken into custody following his conviction. He faces up to 10 years in prison for each count of health care fraud and an additional two year consecutive term of imprisonment for each count of aggravated identity theft. A sentencing date has not been set.
This case was investigated by the Defense Criminal Investigative Service, the Drug Enforcement Administration, Health and Human Services – Office of Inspector General, and the Texas Medicaid Fraud Control Unit. Assistant U.S. Attorney Robert L. Rawls prosecuted this case.
Jacksonville Armed Drug Dealer Sentenced to Ten Years in PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Douglas Lanier Hogan (31, Jacksonville) to 10 years in federal prison for possessing a firearm in furtherance of a drug trafficking crime on two separate occasions. Hogan had pleaded guilty on August 12, 2020.
According to court documents, in July 2019, a cooperating defendant and a confidential informant, who were working at the direction of the Bureau of Alcohol, Tobacco, Firearms and Explosives, began purchasing crack cocaine from Hogan and his co-defendant, Terrence Eugene Watts, at a motel in Jacksonville. During at least one of these purchases, both Hogan and Watts were armed with pistols. In early August 2019, Hogan, a convicted felon, sold a .357 caliber pistol to the cooperating defendant. In late August 2019, Hogan again sold crack cocaine to the cooperating defendant and confidential informant from a residence in Jacksonville. In September 2019, Hogan sold crack cocaine to the confidential informant from another residence. During that transaction, Hogan possessed a pistol with an extended magazine, which he had offered to sell for $500. In October 2019, Hogan was arrested at one of the residences, inside of which were controlled substances and a drug scale. Hogan later admitted that he had sold drugs and that he had been to prison before and knew he could not possess firearms.
Terrence Eugene Watts previously pleaded guilty for his role in this case. His sentencing hearing is scheduled for January 11, 2021.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Laura Cofer Taylor.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Jackson Man Sentenced under Project EJECT to over 10 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
Jackson, Miss – Cedrick Tillman, 35, of Jackson, was sentenced today by U.S. District Judge Henry T. Wingate to 121 months in prison, followed by 4 years of supervised release, for possessing with intent to distribute methamphetamine, announced U.S. Attorney Mike Hurst and Michelle A. Sutphin, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi. Tillman was also ordered to pay a $1,500 fine, and will serve his federal sentence consecutively to the state sentence he is currently serving.
Between January and March 2019, Tillman sold methamphetamine to an individual on multiple occasions. He was indicted by a federal grand jury on August 6, 2019, and he pled guilty before Judge Wingate on June 24, 2020.
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Bert Carraway.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. 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.
Indictment: Kansas Man’s Autopsy Business Was Based on Fraudulent ClaimsRead the Press Release
KANSAS CITY, KAN. – A Kansas man who ran an autopsies-for-hire business was indicted today on federal fraud charges, U.S. Attorney Stephen McAllister said.
In addition to criminal penalties, the indictment seeks to recover more than $1 million in fees paid by the defendant’s clients. Victims are encouraged to email [email protected] or call 316-660-6439.
Shawn Lynn Parcells, 41, Leawood, Kan., is charged with 10 counts of wire fraud.
The indictment alleges Parcells falsely led clients to believe they would receive an autopsy report prepared by a pathologist. In fact, in most of the cases, no pathologist was involved in the work on the autopsies. Parcells was not a physician and not a pathologist. He worked from 1996 to 2003 as a pathologist’s assistant with the Jackson County, Mo., Medical Examiner’s Office.
Parcells offered private autopsy services through his business, National Autopsy Services, based in Topeka. Clients generally paid a basic fee of $3,000 plus expenses up front for a full pathological study and diagnosis as the cause of a death of a family member.
The indictment alleges that from May 11, 2016, to May 5, 2019, Parcells obtained fees from at least 375 clients for a total amount of more than $1.1 million, but failed to provide a completed report in the majority of cases.
If convicted, Parcells could face a penalty of up to 20 years in federal prison and a fine of up to $250,000 on each count. The FBI and the Kansas Attorney General’s office investigated. Assistant U.S. Attorney Christine Kenney is prosecuting.
OTHER INDICTMENTS
Karilyn Primeau, 47, Smithville, Mo., is charged with one count of conspiracy to bribe a public official.
The indictment alleges that Primeau, who is the wife of an inmate, paid a guard at the U.S. Army Disciplinary Barracks in Leavenworth, Kan., to smuggle cell phones into the facility for use by inmates.
If convicted, she could face up to five years in federal prison and a fine up to $250,000. The FBI investigated. Assistant U.S. Attorney Tris Hunt is prosecuting.
Nicholas Newman, 19, Kansas City, Kan., is charged in a superseding indictment with three counts of distributing marijuana (counts 1, 3 and 5), two counts of distributing methamphetamine (counts 2 and 4), one count of possessing a firearm in furtherance of drug trafficking (count 6), two counts of unlawful possession of a firearm by a felon (counts 7 and 8), one count of robbery and theft of a firearm (count 9), one count of assault with a dangerous weapon (count 10) and one count of unlawful possession of a firearm in furtherance of a crime of violence (count 11). The crimes are alleged to have occurred in January and February 2020 in Wyandotte County, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1, 3 and 5: Up to five years in federal prison and a fine up to $250,000.
Counts 2 and 4: Up to 20 years and a fine up to $1 million.
Count 6: Not less than five years and a fine up to $250,000.
Counts 7 and 8: Up to 10 years and a fine up to $250,000.
Count 9: Up to 25 years and a fine up to $250,000.
Count 10: Up to 20 years and a fine up to $250,000.
Count 11: Not less than five years and a fine up to $250,000.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Dionta Washington, 29, Kansas City, Kan., is charged in a superseding indictment with five counts of distributing marijuana (counts 1, 2, 3, and 5), one count of distributing methamphetamine (court 4), two counts of possession of a firearm in furtherance of drug trafficking (counts 6 and 10), two counts of using a telephone in furtherance of drug trafficking (counts 7 and 9 ) and one count of possession with intent to distribute marijuana (count 8). The crimes are alleged to have occurred in 2019 and 2020 in Johnson County, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1, 2, 3, 5 and 8: Up to five years in federal prison and a fine up to $250,000.
Count 4: Up to 20 years in federal prison and a fine up to $1 million.
Counts 6 and 10: Not less than five years and a fine up to $250,000.
Counts 7 and 9: Up to four years and a fine up to $250,000.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Brandon Banister, 35, Kansas City, Kan., is charged with one count of possession with intent to distribute heroin (count 1), one count of distributing marijuana (count 2), one count of possessing a firearm in furtherance of drug trafficking (count 3) and one count of unlawful possession of a firearm by a felon (count 4). The crimes are alleged to have occurred Feb. 27, 2020, in Wyandotte County, Kan.
Upon conviction, the crimes carry the following penalties:
Count 1: Not less than five years and not more than 40 years in federal prison and a fine up to $5 million.Count 2: Up to five years and a fine up to $250,000.
Count 3: Not less than five years and a fine up to $250,000.
Count 4: Up to 10 years and a fine up to $250,000.
The FBI investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Allen E. Standish, 32, of Stafford County, Kan., is charged with one count of unlawful possession of a firearm by a user of controlled substances. The crime is alleged to have occurred Oct. 27, 2020, in Stafford County, Kan.
If convicted, he could face up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Joshua J. Suazo, 24, Garden City, Kan., and Alexis M. Valverde, 29, Garden City, Kan., are charged with one count of possession with intent to distribute methamphetamine (count 1), one count of possession with intent to distribute heroin (count 2) and one count of possession of a firearm in furtherance of drug trafficking (count 3). In addition, Valverde is charged with one count of unlawful possession of a firearm by a felon (count 4) and Suazo is charged with one count of unlawful possession of a firearm by a user of controlled substances (count 5). The crimes are alleged to have occurred Aug. 20, 2020, in Garden City, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1 and 2: Up to 20 years in federal prison and a fine up to $1 million.
Count 3: Not less than five years and a fine up to $250,000.
Counts 4 and 5: Up to 10 years and a fine up to $250,000.
The Garden City Police Department and the Drug Enforcement Administration investigated. Assistant U.S. Attorney Mona Furst is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Huntington Man Pleads Guilty to Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – United States Attorney Mike Stuart today announced that Gregory Scott Broce, 49, of Huntington, pled guilty to one count of possession with intent to distribute heroin and crack cocaine.
“When stopped by the West Virginia State Police, Broce had baggies of crack and heroin he intended to sell,” said United States Attorney Mike Stuart. “Broce is just the latest drug dealer we’ve taken off the streets of Huntington.”
Broce admitted that on July 6, 2019, he was in a vehicle near 11th Avenue & 22nd Street in Huntington when a West Virginia State Police trooper pulled him over due to a report of the vehicle being stolen. Upon a search of the vehicle, the trooper found multiple baggies containing approximately 10.7 grams of crack cocaine and 3.4 grams of heroin. Digital scales and multiple empty baggies were located on Broce’s person.
Broce faces a maximum of 20 years in prison when sentenced on February 22, 2021.
The West Virginia State Police conducted the investigation. United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Ryan A. Keefe is handling the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:20-cr-00020.
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Hot Springs Man Sentenced to over 15 Years in Federal Prison for Drug TraffickingRead the Press Release
Hot Springs, Arkansas – David Clay Fowlkes, First Assistant United States Attorney for the Western District of Arkansas, announced today that OV Thomas, age 36, of Hot Springs, Arkansas, was sentenced to a total of 188 months in federal prison followed by five years of supervised release on one count of Distribution of a Controlled Substance that Contained Methamphetamine. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
In the spring of 2019, Detectives with the 18th East Judicial District Drug Task Force, Homeland Security Investigations and the Drug Enforcement Administration launched an investigation into Thomas for drug trafficking in the Western District of Arkansas. The investigation determined that Thomas was an upper level member of a drug distribution ring, which operated primarily in the Western District of Arkansas. In March, June and July of 2019, detectives conducted multiple controlled purchases of methamphetamine from Thomas.
Thomas was indicted by a federal grand jury in October of 2019, and entered a guilty plea in February of 2020.
This case was investigated by, the 18th East Judicial District Drug Task Force, Homeland Security Investigations Little Rock, the Drug Enforcement Administration, and the 18th East Judicial District Prosecuting Attorney’s Office. Assistant United States Attorney Bryan Achorn and Special Assistant United States Attorney Trent Daniels prosecuted the case for the Western District of Arkansas.