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Tuesday 10 November 2020
Local man sent to prison in two casesRead the Press Release
LAREDO, Texas – A 33-year-old Laredo man has been ordered to federal prison for conspiring to transport, and transporting, an undocumented alien in addition to conspiring and possessing with the intent to distribute cocaine, announced U.S. Attorney Ryan K. Patrick.
Alfredo Enrique Diaz pleaded guilty to the drug charges March 2, while he admitted his guilt for human smuggling Dec. 2, 2019.
Today, U.S. District Judge Diana Saldaña ordered Alfredo Enrique Diaz to serve a total of 120 months in federal prison to be followed by five years of supervised release.
On March 28, 2017, Diaz was caught while delivering luggage to a bus station in Laredo. The luggage had 14 bundles of cocaine weighing approximately 16 kilograms.
He was on bond in that case when drove to the Border Patrol (BP) Checkpoint north of Laredo Sept. 14. At that time, he had a woman who admitted to being in the United States illegally in his vehicle. Diaz expected to be paid $1500 for smuggling the woman to San Antonio.
Diaz will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Drug Enforcement Administration conducted the investigation with the assistance of BP. Assistant U.S. Attorney April Ayers-Perez prosecuted the case.
Leader of sex ring gets more than 33 years in prison for trafficking minorsRead the Press Release
GALVESTON, Texas - A 34-year-old resident of Sweeny has been ordered to federal prison after admitting he employed sexually-oriented websites advertising three minors as young as 15 for commercial sex, announced U.S. Attorney Ryan K. Patrick.
Joseph Church pleaded guilty Feb. 21 on the first day trial was set to begin.
Today, U.S. District Judge George C. Hanks Jr. handed Church a 400-month term of imprisonment. In handing down the sentence, the court noted Church’s conduct forever altered the lives of the women he victimized. Judge Hanks referenced how Church caused the victims to engage in commercial sex for his financial gain, mentioning he can’t prey on people in disadvantaged situations and then use those circumstances to make money. He further stated the court must make sure others do not follow in this ringleader’s footsteps.
After serving his sentence, he will be on supervised release for the rest of his life.
“Church exploited, manipulated and controlled multiple child victims in our community and directed his co-conspirators to do the same,” said FBI Special Agent in Charge Perrye K. Turner. “The individuals who choose to prey on the youth and innocent are some of the most egregious criminals in society. We will continue to work tirelessly with our law enforcement partners to disrupt human trafficking organizations and bring justice on behalf of the innocent victims they prey on.”
“Thanks to the investigative efforts of Department of Public Safety (DPS) special agents, our supporting crime analysts and our FBI and local partners, Church and his co-conspirators can no longer use high schools to recruit young girls into human trafficking,” said Texas DPS Regional Director Jason Taylor. “The collaborative efforts among investigating agencies helped to ensure the defendants won’t be a threat to our communities and gives the victims an opportunity to begin the healing process.”
Co-defendant Angela Marks, 26, also of Sweeny, who was Church’s girlfriend and pregnant with his child at the time of the sex trafficking conspiracy had pleaded guilty to conspiracy to commit sex trafficking of minors and three counts of sex trafficking of minors. She was previously sentenced to 132 months in prison.
The young girls were induced into posing for pictures used in online advertisements for sex and engaged in commercial sex acts for money. Church and others collected all of the money the girls earned. Church transported victims to commercial sex dates and used motels to harbor the minors. Cell phone applications were used to monitor the victims and post online advertisements featuring the minors. Church and his co-defendants were aware the victims were under the age of 18 when they caused them to engage in commercial sex.
Church, the leader of the group, is among 14 who have pleaded guilty for their respective roles in the sex trafficking conspiracy, gun charges, the posting of the commercial sex ads and attempt to cover-up their crimes.
Jamaal Crane, 28, Angleton, received a 180-month sentence, while Stephanie Walker, 38, Bay City; Eric Page, 22, Sherman; and Ronnie Beasley, 22, Rosharon, were sentenced to 135, 120 and 107 months, respectively. The court ordered Wharton residents Jamier Coleman, 23, and Lurkesha Baugh, 38, to serve respective terms of 105 and 27 months. Norris Moon, 26, Brazoria, and Tavius Whalon, 39, LaMarque, each will serve 60 months of imprisonment. Alisa Kimbler, 28, Freeport, was sentenced to serve 25 months, while Christopher Walton, 26, Brazoria, received a 21-month term of imprisonment.
The final defendant - William Franklin, 21, Wharton - pleaded guilty to conspiracy to commit sex trafficking of two minor females in a separate, but related case. He received a sentence of 140 months in federal prison.
Church has and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The FBI and DPS conducted the investigation with assistance of sheriff’s offices in Brazoria and Galveston Counties and police departments in Galveston, Sherman, Wharton, La Marque and the University of Texas Medical Branch. Assistant U.S. Attorneys Sherri Zack and Sebastian Edwards prosecuted the case.
Lauderdale County Man Indicted for Making Threats of Violence over InternetRead the Press Release
Jackson, Miss. – Christian Blake Bunyard, 18, of Lauderdale County, Mississippi, has been charged in a federal criminal indictment with two counts of making threats in interstate commerce and one count of making an interstate transmission of an extortionate communication, announced U.S. Attorney Mike Hurst and Special Agent in Charge Michelle A. Sutphin with the Federal Bureau of Investigation in Mississippi.
According to the indictment, in May and July 2020, Bunyard utilized Snapchat to threaten a school shooting, to kill and rape African Americans in Oxford, Mississippi, and to rape another Snapchat user if she did not provide nude photos.
Bunyard appeared for arraignment today before U.S. Magistrate Judge Linda R. Anderson. The case has been set for trial on December 17, 2020 before U.S. District Judge Henry T. Wingate in Jackson.
This case was investigated by the Federal Bureau of Investigation and the Lauderdale County Sheriff’s Department.
The public is reminded that an indictment is merely a charge and should not be considered as evidence of guilt. Every defendant is presumed innocent until proven guilty in a court of law.
Justice Department Settles with a Car Rental Services Company to Resolve Immigration-Related DiscriminationRead the Press Release
The Justice Department announced today that it signed a settlement agreement with Fleetlogix Inc. (Fleetlogix) resolving claims that the company discriminated against work-authorized non-U.S. citizens by requiring them to provide specific and unnecessary work authorization documentation because of their citizenship or immigration status. Fleetlogix, based in San Diego, California, operates offices nationwide that provide cleaning and transportation services to rental car companies.
“The Immigration and Nationality Act requires employers to verify workers’ authorization to work in the United States and makes it illegal for employers to demand more or different documents than necessary, request specific documents, or reject reasonably genuine-looking documents because of a worker’s citizenship, immigration status, or national origin,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “We are encouraged that Fleetlogix will work with the Department of Justice to ensure that any work-authorized individuals who unfairly missed work opportunities as a result of the practices at issue will receive appropriate back pay.”
The department’s underlying investigation that led to the settlement showed that Fleetlogix required specific documents from work‑authorized non-U.S. citizens in violation of the Immigration and Nationality Act (INA), such as I-94s (an “arrival-departure” record that the Department of Homeland Security issues to certain non-U.S. citizens and which can be used for the Form I-9 in some circumstances), Employment Authorization Documents (sometimes known as “work permits”) or Permanent Resident Cards (sometimes known as “green cards”), even though these individuals already presented other valid and legally sufficient documents to prove work authorization, such as a driver’s license and unrestricted Social Security card.
The INA’s anti-discrimination provision prohibits employers from requesting more or different documents than necessary to prove work authorization based on employees’ citizenship, immigration status or national origin. Instead, in the INA, Congress determined that all work-authorized individuals, regardless of citizenship status, may choose which valid, legally acceptable documents to present to demonstrate their ability to work in the United States. The INA does, however, permit employers to reject non-genuine looking documents.
As part of the settlement, Fleetlogix will pay civil penalties to the United States totaling $627,000, create a back pay fund for individuals who lost work due to the discrimination, train relevant employees on the requirements of the INA’s anti-discrimination provision, and change its policies and procedures.
The Civil Rights Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. The statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
Learn more about IER’s work and how to get assistance through this brief video. Applicants or employees who believe they were discriminated against based on their citizenship, immigration status, or national origin in hiring, firing, recruitment, or during the employment eligibility verification process (e.g., Form I-9 and E-Verify); or subjected to retaliation, can file a charge. The public also can contact IER’s worker hotline at 1-800-255-7688; call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; sign up for a free webinar; or visit IER’s English and Spanish websites. Subscribe to GovDelivery to receive updates from IER.
The Civil Rights Division wants to hear about civil rights violations. Members of the public can report possible civil rights violations through the Civil Rights Division’s reporting portal.
Applicants or employees who believe they were subjected to discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee; or discrimination in the employment eligibility verification process (Form I-9 and E-Verify) based on their citizenship, immigration status, or national origin; or retaliation can file a charge or contact IER’s worker hotline for assistance.
The Civil Rights Division’s Protecting U.S. Workers Initiative, started in 2017 in the Immigrant and Employee Rights Section (IER), targets, investigates, and (where appropriate) brings enforcement actions against employers that intentionally discriminate against U.S. workers due to citizenship-status discrimination based on a preference for temporary visa workers. IER has reached numerous settlements under the Protecting U.S. Workers Initiative, and employers have distributed or agreed to pay a combined total of more than $1.2 million in back pay to affected U.S. workers and civil penalties to the United States. These settlements involve employers that discriminated in their use of the H-1B, H-2A, and H-2B visa programs.
Justice Department Invests $2.6 Million to Mitigate Violent Crime and Support Public Safety in Disruption EffortsRead the Press Release
The Department of Justice announced awards from the Office of Justice Programs (OJP) totaling $2.6 million to four jurisdictions to disrupt and mitigate threats of violence. The funds support state and local prosecutors and investigators who seek expertise from mental health and threat assessment experts to identify these individuals and prevent violent acts.
“Disruption and early engagement programs are part of the Department of Justice’s national strategy to disrupt potential mass shootings and other rapidly mobilizing threats of targeted violence,” said Deputy Attorney General Jeffrey A. Rosen. “This program provides funding that enables state and local authorities to work with federal partners and to develop new tools and tactics to continue protecting the safety and well-being of our communities.”
Prioritized nationally by the Attorney General in October 2019, disruption and early engagement programs leverage relationships with law enforcement, community groups, and health professionals to help mitigate violent acts by developing individualized threat assessments and mitigation plans. These grants provide funds for state, local, and tribal governments to establish disruption and early engagement networks.
The funds are part of the Justice and Mental Health Collaboration Program administered by OJP’s Bureau of Justice Assistance (BJA), and are being awarded to the San Antonio, Texas, Police Department; Macon-Bibb County, Georgia; the Bear River, Utah, Health Department; and the County of Penobscot, Maine. The awards are part of more than $29 million in grants recently announced by the Department of Justice to address mental illness in the criminal justice system. This initiative supports teams that address rapidly evolving threats of targeted violence and encourages the building of multidisciplinary threat assessment and threat management teams.
“There’s no question that mental health issues are a growing threat to public safety, and they are straining law enforcement and correctional resources,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “Collaboration among justice system professionals and those trained in mental health is essential to addressing these issues.”
In coordination with the Council of State Governments, BJA recently launched the Law Enforcement-Mental Health Collaboration Support Center, which offers tailored assistance to criminal justice agencies and their community partners looking to improve responses for people with mental health or substance use issues.
OJP, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training and technical assistance, and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov/.
Jury convicts man of stealing firearm from Helena pawn shopRead the Press Release
GREAT FALLS – A federal jury on Tuesday convicted a man accused of stealing a firearm from a pawn shop in Helena, U.S. Attorney Kurt Alme said.
After a two-day trial that began on Monday, the jury found Jeffrey Robert Igoe, 60, a transient, guilty of possession of a stolen firearm and unlawful taking of firearm from licensed firearm dealer. Igoe faces a maximum 10 years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Chief Judge Morris set sentencing for March 10, 2021 and ordered Igoe detained.
“Stealing a handgun can lead to a dangerous situation. I want to thank Assistant U.S. Attorney Jennifer Clark, the Helena and Bozeman police departments and the Bureau of Alcohol, Tobacco, Firearms and Explosives for investigating and prosecuting the case,” U.S. Attorney Alme said.
In court documents and at trial, the prosecution said the evidence showed that on Jan. 6, Igoe entered Modern Pawn in Helena and spoke with the manager. Igoe asked the manager to look up information on the computer. While the manager was doing that, Igoe went out of the manager’s sight, opened a glass display case, removed a firearm and put it in his pocket. Igoe then closed the display case and left the store.
The manager thought it was odd that Igoe left without the information he requested, so he reviewed the surveillance video. The video showed Igoe opening the glass case and taking the firearm, a 9mm Sig Sauer. The manager called law enforcement, which issued a notice to look out for Igoe. A Bozeman police officer located Igoe later the same day, detained him and found the firearm during a search.
Assistant U.S. Attorney Jennifer Clark prosecuted the case, which was investigated by the Helena Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
This case is part of Project Guardian, a Department of Justice initiative launched in the fall of 2019 to reduce gun violence and enforce federal firearms laws. Through Project Guardian, the U.S. Attorney’s Office in the District of Montana is working to enhance coordination of its federal, state, tribal and local law enforcement partners in investigating and prosecuting gun crimes. In addition, Project Guardian supports information sharing and taking action when individuals are denied a firearm purchase by the National Instant Criminal Background Check System for mental health reasons or because they are a prohibited person.
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Judge sentences St. Louis County woman for providing material support to terroristsRead the Press Release
WASHINGTON – Sedina Unkic Hodzic, 41, of St. Louis County, Missouri, appeared today before U.S. District Court Judge Catherine D. Perry. Hodzic was sentenced to 48 months in prison for conspiring to provide material support to terrorists and providing material support to terrorists. Based on the offenses for which Hodzic was convicted she is subject to deportation and removal from the United States.
According to court documents, between May 2013 and continuing to February 5, 2015, Sedina Hodzic and her husband Ramiz Zijad Hodzic conspired with others to support the activities of Abdullah Ramo Pazara and others, including a conspiracy to commit outside the United States an act that would constitute the offense of murder or maiming if committed in the special maritime and territorial jurisdiction of the United States. Ramiz and Sedina Hodzic intended to and did provide support and resources to Pazara, knowing that they and their co-conspirators would use the support and resources in furtherance of their combat against Syrian government forces and others. The support consisted of money, which was used by her co-conspirators to purchase supplies such as U.S. military uniforms, rifle scopes, combat boots, tactical gear, clothing, firearms accessories, range finders, and other supplies useful to fighters engaged in combat in Syria and elsewhere.
Co-defendants Ramiz Zijad Hodzic, Nihad Rosic, Mediha Medy Salkicevic, Armin Harcevic and Jasminka Ramic were sentenced to 96, 96, 78, 66 and 36 months in prison, respectively.
The St. Louis Federal Bureau of Investigation’s Joint Terrorism Task Force, U.S. Immigration and Customs Enforcement (ICE), Homeland Security Investigations (HSI), U.S. Postal Inspection Service, St. Louis Metropolitan and St. Louis County Police Departments investigated this case. The case is being prosecuted by Assistant U.S. Attorneys Matthew Drake and Kenneth Tihen of the Eastern District of Missouri and Trial Attorneys David Smith and Danielle Rosborough, of the Department of Justice’s Counterterrorism Section.
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Jacksonville Man Sentenced to More Than Five Years in Connection with Firearms Theft ConspiracyRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Jamarius Tillie (28, Jacksonville) to five years and eight months in federal prison for aiding and abetting the theft of firearms from federally licensed firearms dealers and conspiring to steal firearms from such dealers. Tillie had pleaded guilty on January 17, 2020.
According to court documents, from about June 2017 through on or about August 2017, members of Tillie’s theft ring stole more than 10 firearms from at least 4 licensed firearms dealers in Jacksonville. While Tillie and others distracted the sales staff in these stores, another member of the ring would sneak behind counters and steal firearms. Tillie kept some guns for himself, but sold the majority of them to a local drug dealer. In exchange for assisting Tillie, members of the theft ring were sometimes paid with crack cocaine.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jacksonville Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Michael J. Coolican.
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.
Irvin Mayfield and Ronald Markham Plead Guilty to Defrauding the New Orleans Public Library FoundationRead the Press Release
NEW ORLEANS – The U.S. Attorney’s Office, Eastern District of Louisiana (EDLA) announced that IRVIN MAYFIELD, age 43, a resident of New Orleans, and RONALD MARKHAM, age 42, also a resident of New Orleans, pleaded guilty today to one count of conspiracy to defraud the New Orleans Public Library Foundation out of approximately $1,316,232. Sentencing is currently set for February 9, 2020 before the Honorable Jay C. Zainey.
According to court documents, MAYFIELD founded the New Orleans Jazz Orchestra (NOJO) in 2002. MAYFIELD also acted as Artistic Director and featured performer. MARKHAM was a long-time friend of MAYFIELD and served as NOJO’s President and Chief Executive Officer. MAYFIELD and MARKHAM both received salaries of $100,000 from NOJO as well as compensation for compositions and performances through Mayfield Publishing Company. Throughout its existence, NOJO relied on donations to fund its operations and pay its expenses. Between December 16, 2008, until May 31, 2010, NOJO relied on grants from the Edward Wisner Donation, a charitable trust administered by the City of New Orleans. In February 2011, support for NOJO through the Edward Wisner Donation was terminated by the City of New Orleans, causing great financial distress to NOJO and its ability to pay expenses.
In October 1990, the New Orleans Public Library Foundation (NOPLF) was established to receive donations generated through private fund raising efforts; to oversee the prudent investment of said donations at an acceptable level of risk; and to authorize expenditures judiciously for the purpose of purchasing books, other information materials, and sponsoring New Orleans Public Library (NOPL) related programs. For these purposes, NOPLF maintained an investment account. Until approximately August 2011, the NOPLF used interest earned from its investment account to fund its mission at the direction of the board of directors. All board members were uncompensated volunteers.
In August 2006, MAYFIELD became a board member of NOPLF. He later became Chairman of the board in November 2010. During his time on the NOPLF board, MAYFIELD also maintained his position with NOJO. In December 2009, MARKHAM became a board member of NOPLF. He later became Chairman of the board in September 2013 upon MAYFIELD’s resignation as Chairman of NOPLF. During his time on the NOPLF board, MARKHAM also maintained his position with NOJO. Between August 23, 2011, and November 30, 2013, MAYFIELD and MARKHAM caused approximately $1,316,232 to be unlawfully transferred and paid directly from the NOPLF to NOJO and elsewhere.
Beginning in February 2011, and continuing until November 2017, the defendants committed mail and wire fraud by transferring $1,316,232 from the NOPLF investment account to NOJO and elsewhere without approval and while misleading the NOPLF and others with regard to the purpose of the transfers. The defendants sent materially false and misleading correspondence to NOPLF board members, investment account managers, and auditors regarding the purpose of the money transfers. They also prepared materially false and misleading records to make money transfers from NOPLF to NOJO appear legitimate when they were not. Examples of the unlawful money transfers include:
- The defendants used NOPLF money to support NOJO operating expenses and pay their NOJO salaries.
- The defendants caused tens of thousands of dollars to be transferred directly into the personal accounts of MAYFIELD and Mayfield Productions.
- The defendants used NOPLF money to pay for NOJO’s performance at Carnegie Hall and performance fees to MAYFIELD.
- The defendants used NOPLF money to pay for MAYFIELD’s stays at the Ritz Carlton and Park Central Hotel as well as the travel expenses of NOJO musicians for NOJO performances.
- MAYFIELD used NOPLF money to purchase a 24k gold-plated trumpet and spend money at Saks Fifth Avenue and Harrah’s Casino.
After receiving federal grand jury subpoenas in November 2013, MAYFIELD and MARKHAM gathered and fraudulently edited NOPLF board minutes by changing line items and dollar amounts with the intent to impede, obstruct, and influence the investigation by the FBI. They also used the fraudulently altered board minutes to convince the NOPLF board that the transfers were authorized.
Finally, MARKHAM falsely informed NOPLF board members, employees of NOPLF and NOPLF legal counsel that NOJO did not use NOPLF money to pay the NOJO salaries of MAYFIELD and MARKHAM and that NOJO was not dependent on NOPLF funding.
The defendants face up to 5 years imprisonment, a fine of $250,000, three years of supervised release, and a special assessment of $100.
“The New Orleans Public Library Foundation is a charitable organization with a mission to raise funds to support and strengthen the New Orleans Public Library system. As Foundation Board leaders, Grammy Award winning musician Irvin Mayfield and his business partner Ronald Markham siphoned over $1.3 million of the organization’s funds to support their already lavish lifestyles”, stated FBI New Orleans Special Agent in Charge Bryan Vorndran. “Many citizens who do not have access to computers depend on local libraries to utilize their free resources to apply for jobs and other assistance. As a result of Mr. Mayfield and Mr. Markham’s greed the New Orleans Public Library Foundation has had a difficult time raising funds to support the mission of the public libraries in New Orleans. I would like to thank the efforts put forth by our partners at the New Orleans Office of Inspector General and the Metropolitan Crime Commission and for helping the FBI disrupt corruption like this.”
"Ed Michel, City of New Orleans Interim Inspector General advised in these times of increasing threats and limited resources, it is incumbent now more than ever to combine our resources with our local and federal law enforcement partners to spot, assess and mitigate threats in an efficient and effective manner. The City of New Orleans OIG looks forward to continuing our productive partnerships which will ensure the integrity of our operations."
The U.S. Attorney’s Office, EDLA would like to acknowledge the assistance of the Federal Bureau of Investigation, the New Orleans Office of the Inspector General and the Metropolitan Crime Commission with this matter. Assistant U.S. Attorneys G. Dall Kammer, Theodore Carter, and Brandon Long are in charge of the prosecution.
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Indiana, PA Man Sentenced for Distributing Heroin/Fentanyl Mix that Caused an Overdose DeathRead the Press Release
PITTSBURGH, Pa - A resident of Indiana, PA, has been sentenced in federal court to 70 months in prison and five years of supervised release on his conviction of a violation of federal narcotics law, United States Attorney Scott W. Brady announced today.
United States District Judge Mark R. Hornak imposed the sentence on Justin Kromer, age 31.
According to information presented to the court, on March 30, 2016, Kromer possessed and distributed stamp bags marked with "Block Party" and containing a mixture of heroin and fentanyl to an individual with the initials J.W. On March 30, 2016, J.W. overdosed and died from using the controlled substances. As part of his guilty plea, Kromer accepted responsibility for causing J.W.’s death.
Assistant United States Attorney Lee J. Karl prosecuted this case on behalf of the government.
United States Attorney Brady commended the Drug Enforcement Administration, along with the Pennsylvania State Police, the Offices of the District Attorneys of Allegheny and Indiana Counties, the Indiana County Drug Task Force, and the Pittsburgh Bureau of Police for the investigation leading to the successful prosecution of Kromer.
Hammond Man Indicted for Selling Oxycodone and Firearm ChargeRead the Press Release
NEW ORLEANS – United States Attorney Peter G. Strasser announced that NAVORIOUS HILLS, age 41, of Hammond, Louisiana, was charged on November 6, 2020 in a two-count indictment by a Federal Grand Jury for drug trafficking in violation of Title 21, United States Code, Section 841 and possession of a firearm during a drug trafficking crime in violation of Title 18, United States Code, Section 924.
According to court documents, HILLS was selling prescription pain pills within the Eastern District of Louisiana. On May 15, 2020, he was in possession of a Glock handgun during a drug trafficking crime. If convicted of drug trafficking and the firearm offense, HILLS faces a maximum term of life imprisonment, a fine of $1,000,000.00, five (5) years of supervised release following any term of imprisonment and a $100.00 special assessment fine.
U.S. Attorney Strasser reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Tangipahoa Parish Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. It is being prosecuted by Assistant U.S. Attorney Charles D. Strauss.
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Guyanese National Extradited to Face Cocaine Importation ChargeRead the Press Release
Shaun Nebblett, also known as “Shaun Wyatt” and “Dapper,” will be arraigned this afternoon in federal court in Brooklyn before United States Magistrate Judge Sanket J. Bulsara on an indictment charging him with conspiracy to import cocaine and other narcotics offenses. Nebblett was extradited to the United States from Guyana on November 6, 2020, the first from Guyana facing federal charges in the United States since 1999.
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, Peter C. Fitzhugh, Special Agent-in-Charge, Homeland Security Investigations, New York (HSI), Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA), and Troy Miller, Director of Field Operations, U.S. Customs and Border Protection, New York Field Office (CBP), announced the extradition.
“As alleged, the defendant recruited multiple individuals to fly into the United States on cocaine smuggling trips and supplied them with illegal narcotics,” stated Acting United States Attorney DuCharme. “The United States is committed to working with our international partners to dismantle the drug-trafficking organizations responsible for flooding our communities with dangerous drugs and bringing the individuals who run these operations to justice. I thank the Republic of Guyana for assisting with this extradition.” Mr. DuCharme extended his grateful appreciation to the DEA offices in Georgetown, Guyana, the United States Marshals Service, the United States Department of State, the Department of Justice’s Office of International Affairs, and the Government of Guyana.
“Nebblett is a former police officer in Guyana, yet he operated a transnational criminal organization responsible for smuggling large quantities of cocaine into the United States. Protecting our homeland extends beyond our borders, and HSI worked tirelessly with our law enforcement partners to take out yet another threat to the security of our border and the welfare of our communities, and Neblett will have to confront the justice he was once sworn to uphold,” stated HSI Special Agent-in-Charge Fitzhugh.
“This investigation exposes another insidious way traffickers smuggle drugs into our country,” stated DEA Special Agent-in-Charge Donovan. “To circumnavigate law enforcement detection, Nebblett allegedly recruited and used couriers to transport cocaine ladened shoes.”
“This case serves as a great example of collaborative law enforcement efforts to combat international narcotics trafficking conspirators. U.S. Customs and Border Protection thanks our partners at USAO, HSI, and DEA for their continued cooperation, as well as our international partners in helping to bring this fugitive to justice,” said Troy Miller, Director Field Operations in New York.
As alleged in court filings, between August 2015 and September 2015, Nebblett and others conspired to import 500 grams or more of a substance containing cocaine into the United States from Guyana. Specifically, in August 2015, Nebblett, who was a former police officer in Guyana, recruited an individual (“Courier 1”) to smuggle drugs into the United States in exchange for $8,000 and provided Courier 1 with money to purchase a plane ticket from Guyana to John F. Kennedy International Airport in Queens, departing on August 28, 2015. Nebblett packed Courier 1’s suitcase with seven pairs of shoes that concealed cocaine and directed Courier 1 to rent a hotel room near JFK. On August 28, 2015, upon arrival at JFK, Courier 1 was stopped by law enforcement officers who examined his luggage and discovered the cocaine in the shoes. A subsequent DEA laboratory test revealed that the shoes contained approximately 1.436 kilograms of cocaine.
The extradition of Nebblett is the result of an ongoing Organized Crime Drug Enforcement Task Force (OCDETF) investigation led by the United States Attorney’s Office for the Eastern District of New York, HSI and the DEA. 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.
The charges in the indictment is are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, Nebblett faces a mandatory minimum sentence of five years’ imprisonment.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorney Alicia N. Washington is in charge of the prosecution. The Department of Justice’s Office of International Affairs handled the extradition in this matter.
The Defendant:
SHAUN NEBBLETT
Age: 40
Georgetown, GuyanaE.D.N.Y. Docket No. 16-CR-317 (PKC)
Grant and Hardy County residents indicted on fentanyl and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Three Hardy and Grant County residents are facing fentanyl and firearms charges after a grand jury in Wheeling indicted them in October, U.S. Attorney Bill Powell announced.
Joshua Allen Hinkle, 35, of Cabins, West Virginia, is charged with one count of “Conspiracy to Distribute at Least 40 Grams of Fentanyl” and one count of “Possession with Intent to Distribute Fentanyl.”
Cassie Leigh Kesner, 26, of Moorefield, West Virginia, is charged with one count of “Conspiracy to Distribute at Least 40 Grams of Fentanyl,” one count of “Possession with Intent to Distribute Fentanyl,” and one count of “Possession of a Firearm in Furtherance of a Drug Crime.”
Bryan Edward Summerton, 34, of Petersburg, West Virginia, is charged with one count of “Conspiracy to Distribute at Least 40 Grams of Fentanyl” and one count of “Possession of a Firearm in Furtherance of a Drug Crime.”
The three are accused of working together to distribute more than 40 grams of fentanyl in April 2020 in Grant County and elsewhere. Kesner and Sumerton are accused of having firearms during at least one drug trafficking crime.
Hinkle, Kesner, and Summerton each face at least five years and up to 40 years of incarceration and a fine of up to $5,000,000 for the conspiracy charge. Hinkle also faces up to 20 years of incarceration and a fine of up to $1,000,000 for the possession of fentanyl charge. Kesner also faces up to 20 years of incarceration and a fine of up to $1,000,000 for the possession of fentanyl charge and faces at least five years of incarceration and a fine of up to $250,000 for the firearms charge. Summerton also faces at least five years of incarceration and a fine of up to $250,000 for the firearms charge. 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative; the Bureau of Alcohol, Tobacco, Firearms & Explosives; and the Grant County Sheriff’s 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. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Grant County man indicted on methamphetamine and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Joshua Caleb Haggerty, of Petersburg, West Virginia, is facing drug and firearms charges, U.S. Attorney Bill Powell announced.
Haggerty, 36, was indicted by a grand jury sitting in Wheeling in October on six counts of “Distribution of Methamphetamine,” one count of “Unlawful Possession of a Firearm,” and “Possession of Unregistered Firearm.” Haggerty is accused of selling methamphetamine in January, February, and March 2020 in Grant County. Haggerty, a person prohibited from having a firearm because of prior convictions, is also accused of having an unregistered, modified 12-gauge shotgun in March 2020 in Grant County.
Haggerty faces up to 20 years of incarceration and a fine of up to $1,000,000 for each drug charge. He faces up to 10 years of incarceration for each of the firearms charges. 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, and the Bureau of Alcohol, Tobacco, Firearms & Explosives 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. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Grant County man indicted on firearms chargeRead the Press Release
ELKINS, WEST VIRGINIA – Joshua Aaron Roy, of Maysville, West Virginia, is facing a firearms charge, U.S. Attorney Bill Powell announced.
Roy, 35, is was indicted by a grand jury sitting in Wheeling in October on one count of “Unlawful Possession of a Firearm.” Roy, a person prohibited from having a firearm because of prior convictions, is also accused of having a .380 caliber pistol in January 2020 in Grant County.
Roy faces up to 10 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms & Explosives and the Grant County Sheriff’s 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. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Grant County man indicted on drug and firearms chargesRead the Press Release
ELKINS, WEST VIRGINIA – Jay Dean Hall, of Petersburg, West Virginia, is facing drug and firearms charges, U.S. Attorney Bill Powell announced.
Hall, 55, is was indicted by a grand jury sitting in Wheeling in October on one count of “Maintaining Drug-Involved Premises,” one count of “Possession with Intent to Distribute Methamphetamine,” one count of “Unlawful Possession of a Firearm,” and one count of “Possession of a Firearm in Furtherance of a Drug Crime.” Hall is accused of using his home on Spencer Drive in Petersburg as a drug distribution location and distributing methamphetamine in August 2019 in Grant County. Hall, a person prohibited from having a firearm because of a prior conviction, is also accused of having a 9mm rifle in his home.
Hall faces up to 20 years of incarceration and a fine of up to $1,000,000 for each drug charge. He faces up to 10 years of incarceration and a fine of up to $250,000 for the unlawful possession charge and faces at least five years of incarceration for the firearm during a drug crime charge. 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 Stephen D. Warner is prosecuting the case on behalf of the government. The Potomac Highlands Drug Task Force, a HIDTA-funded initiative, and the Bureau of Alcohol, Tobacco, Firearms & Explosives 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. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Georgia Man Sentenced to Prison for VA Benefits FraudRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of JEFFREY FRANK HORNER, 57, to 28 months in prison for wire fraud. HORNER, who pleaded guilty on July 7, 2020, was sentenced today before Senior Judge Paul A. Magnuson in U.S. District Court in St. Paul, Minnesota.
According to the defendant’s guilty plea and documents filed in court, HORNER, the owner and operator of HORNER PAYEE SERVICES and RENROH Enterprises LLC, served as a fiduciary for disabled veterans. In his capacity, HORNER was responsible for managing veterans’ benefits from the U.S. Department of Veterans Affairs (“VA”), the U.S. Social Security Administration (“SSA”), and the U.S. Office of Personnel Management (“OPM”). Between April 2010 and September 2018, HORNER devised and executed a scheme to defraud the VA, the SSA, and the OPM, and veterans entitled to these agencies’ benefits. HORNER established and used at least 12 bank accounts in his own name and in the names of his businesses to transfer and divert for his own use at least $365,374.69 victims’ government funds.
This case is the result of an investigation conducted by the Office of Inspector General for the U.S. Department of Veterans Affairs, the U.S. Office of Personnel Management, and the U.S. Social Security Administration.
Assistant United States Attorney Miranda E. Dugi prosecuted the case.
Defendant Information:
JEFFREY FRANK HORNER, 57
Mableton, Ga.
Convicted:
- Wire fraud, 1 count
Sentenced:
- 28 months in prison
- One year of supervised release
- $372,874.69 in restitution
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Fort Wayne Woman Sentenced to 78 Months in PrisonRead the Press Release
FORT WAYNE—Sierra O. Gill, age 34, of Fort Wayne, Indiana, was sentenced by United States District Judge Holly A. Brady after her plea of guilty to possession with intent to distribute heroin, announced U.S. Attorney Kirsch.
Gill was sentenced to 78 months in prison followed by 2 years of supervised release.
According to documents in this case, on or about October 8, 2019, Gill possessed with intent to distribute 100 grams or more of heroin.
This case was investigated by the Drug Enforcement Administration with the assistance of the Allen County Drug Task Force, the Allen County Sheriff’s Department, the Adams County Drug Task Force, the Huntington Police Department, the Montgomery County (Ohio) Sheriff’s Department, and the Dayton (Ohio) Police Department. This case was handled by Assistant United States Attorney Anthony Geller.
Former supervisor in DeKalb County’s Tax Commissioner’s Office sentenced to prison for bribery and blackmailRead the Press Release
ATLANTA - Gerald D. Harris, a former supervisor in DeKalb County’s Tax Commissioner’s Office, has been sentenced to two years in federal prison for accepting bribe payments from customers to unlawfully register vehicles and for attempting to blackmail a bribe payer by threatening to inform on her to the FBI.
“By accepting bribe payments, Harris sold his integrity for money – and, in doing so, betrayed the trust of the citizens of DeKalb County,” said U.S. Attorney Byung J. “BJay” Pak. “Then, in a truly bold display of audacity, Harris tried to blackmail one of the individuals who had previously paid him bribes.”
“Harris' flaunting of the law tarnished every government official and erodes the public's trust in their positions,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Now we must work even harder with our partners in law enforcement to regain that trust and hopefully this sentencing is a step in that direction.”
“Mr. Harris traded his integrity for money and, in doing so, dishonored the hard work and dedication exemplified by the vast majority of DeKalb County employees. Today, Mr. Harris is being held accountable for his crimes. The DeKalb County District Attorney’s Office, along with its law enforcement partners, will continue to seek and root out corruption, restoring the public’s trust in its government,” said DeKalb County District Attorney Sherry Boston.
“I am happy this matter is concluding. Our office will continue to be vigilant in guarding the public trust and serving the citizens of DeKalb County,” said Irvin Johnson, DeKalb Tax Commissioner.
According to U.S. Attorney Pak, the charges, and other information presented in court: the DeKalb County Tax Commissioner’s Office is an agency of DeKalb County, Georgia responsible for the billing and collection of property taxes, processing of homestead exemptions, and collecting delinquent taxes. In addition, the Motor Vehicle Division of the DeKalb County Tax Commissioner’s Office handled all aspects of motor vehicle registrations, including: (a) managing the collection of motor vehicle taxes, (b) issuing vehicle tags and titles, and (c) processing vehicle registration renewals for citizens and businesses located in DeKalb County.
From July 2017 to November 2019, Harris served as the Supervisor of Tax Tag Clerks for the DeKalb County Tax Commissioner’s Office. In that position, Harris oversaw the Tax Commissioner - North Office’s clerks who processed motor vehicle registrations and renewals for customers.
From approximately November 2018 to November 2019, Harris accepted bribe payments from customers to unlawfully register vehicles or renew vehicle registrations. For example, Harris accepted bribe payments:
- To register vehicles to individuals who did not have Georgia driver’s licenses or identification cards as required, typically in exchange for $200 per vehicle;
- To register vehicles that did not have the required accompanying documentation (such as: titles or Forms MV-1 title/tag application), typically in exchange for $500 to $1,000 per vehicle; and
- To renew vehicles that had not passed emissions tests by falsely entering that the vehicles had emissions exemptions, typically in exchange for $100 per vehicle.
In total, Harris accepted more than $35,000 in bribe payments.
In addition to accepting bribe payments, Harris also attempted to blackmail one of the individuals who had been paying him bribe money. On November 18, 2019, DeKalb County Tax Commissioner’s Office fired Harris for accepting bribe payments (as fully detailed above). On the same date, Harris admitted to the FBI that he had accepted thousands in bribe payments in exchange for illegally registering/renewing vehicles for several people, including a person identified as Individual-1.
On December 12, 2019, Harris met with Individual-1 at an Atlanta gas station. During the meeting, Individual-1 (who did not know that Harris had been fired) gave Harris registration documentation so that Harris could register four vehicles. Indvidual-1 gave Harris checks and cash to cover the costs of the required fees and taxes for each vehicle. Given that Harris no longer worked for the DeKalb County Tax Commissioner’s Office, Harris obviously could not register the four vehicles for Individual-1. Nevertheless, Harris accepted and kept the money from Individual-1.
Then on December 17, 2019, Individual-1 sent a series of text messages to Harris requesting that Harris return the registration documentation and money. On December 17 and 18, 2019, Harris sent a series of text messages to Individual-1 where Harris stated that: (a) he was under investigation by the FBI, (b) the FBI has a video of Harris and Individual-1 meeting, (c) “[a]ll of us can be in trouble,” (d) Harris needed to know “how much” money will he be paid not to give information to the FBI, and (e) Harris is “not going to prison empty handed. It’s that simple.”
On July 14, 2020, Gerald D. Harris, 51, of Fulton County, Georgia, pleaded guilty to federal program bribery and blackmail. Based on that conduct, the Court sentenced Harris to two years in prison, and three years of supervised release.
The FBI, DeKalb County District Attorney’s Office, Georgia Department of Revenue, and DeKalb County Tax Commissioner’s Office investigated this case.
Assistant U.S. Attorney Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, and Assistant U.S. Attorney Nicholas Hartigan prosecuted the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Torrance Police Officer Agrees to Plead Guilty to Illegally Acting as Firearms Dealer and Being ‘Straw Buyer’ of ‘Off Roster’ GunRead the Press Release
LOS ANGELES – A former officer with the Torrance Police Department (TPD) has been charged with being an unlicensed firearms dealer who sold dozens of guns, as well as certifying he was the actual purchaser of a handgun, when, in fact, he was buying the gun for another person, the Justice Department announced today.
Lindley Alan Hupp, 32, of Long Beach, was named in a two-count information filed Friday in United States District Court. In conjunction with the charging document, federal prosecutors also filed a plea agreement in which Hupp agreed to plead guilty to the two felony offenses – engaging in the business of dealing in firearms without a license, and making a false statement in a federal firearm licensee’s records during purchase of a firearm.
According to the court documents, Hupp sold at least 48 firearms during an 8½-year period while employed by the TPD. Hupp sold another two guns in 2011 while serving as an auxiliary police officer with the Pasadena Police Department.
“In violation of federal law, Hupp sold firearms without a federal firearms license,” Hupp admitted in his plea agreement. “Hupp made a business of dealing firearms, in part, by abusing exemptions made available to him under California law as a sworn peace officer. Of the forty-eight (48) firearms defendant sold while employed at the TPD, thirty-six (36) firearms were ‘off roster’ firearms; that is, firearms that Hupp’s non-law enforcement customers could not have purchased directly from a licensed firearms dealer.”
While off roster firearms – which also are described in California statutes as “non-roster” or “unsafe” handguns – may be purchased by sworn law enforcement officers, who then may sell the firearms on the secondary market, Hupp admitted “repeatedly exploiting the privilege” by reselling off roster weapons soon after acquiring them. Hupp resold nearly half of the 36 off roster guns within 30 days of having initially purchased them.
In relation to the false statement count, Hupp admitted making a material false statement on a Bureau of Alcohol, Tobacco, Firearms and Explosives recertification form (Form 4473) when he purchased a Glock 9mm handgun in November 2015. After offering to sell two Glocks for sale on an online marketplace, Hupp purchased one Glock handgun from a Brea firearms dealer. When Hupp went to pick up the gun after the 10-day waiting period, he signed a Form 4473 in which he falsely certified he was “the actual transferee/buyer of the firearm” knowing that he was the “straw buyer” of the firearm on behalf on another individual who purchased the handgun from Hupp a few days later.
In exchange for Hupp’s acceptance of responsibility, cooperation with the investigation, and agreement to abandon to local law enforcement 42 firearms currently in his possession, the government has agreed to recommend a prison sentence of not more than 18 months. This recommendation, however, will not be binding on the sentencing judge, who could impose a sentence of up to 15 years in prison after Hupp pleads guilty to the two charges.
Hupp has agreed to make his initial appearance in United States District Court on December 3.
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the FBI.
This case is being prosecuted by Assistant United States Attorney Elisa Fernandez of the Public Corruption and Civil Rights Section.
Former Pelham, Georgia Resident Sentenced to 15+ Years Federal Prison for Distributing Child PornographyRead the Press Release
ALBANY, Ga. – A former Pelham, Georgia resident, caught by Homeland Security Investigations distributing large amounts of child pornography on social media while he was attempting to foster a child, was sentenced to 188 months in federal prison for his crimes today, said Charlie Peeler, the U.S. Attorney for the Middle District of Georgia.
Michael King, 42, of Little Falls, New York, formerly of Pelham, was sentenced by U.S. District Judge Leslie Gardner to 188 months in prison, the top of the federal guideline sentencing recommendations, to be followed by ten years of supervised release after pleading guilty to distribution of child pornography. King will have to register as a sex offender upon release from federal prison. There is no parole in the federal system.
HSI agents determined that Kik app user “Silent Dream 78” had posted images of child pornography to a Kik messenger chat group from July to August 2018, and the user was likely King. A search warrant was executed at King’s Pelham home on January 17, 2019, where agents found seven computer media items that contained child pornography. King admitted that his Kik user names were “Silent Dream 78” and “SilentDream1977” and that he had been downloading and viewing child pornography “for forever.” On five occasions, King used the Kik chat messenger app to share child pornography, including images involving very young children. During sentencing, the Court noted that King engaged in highly detailed ideation in the form of online text messages with another online collector of child pornography about having sex with a foster or adopted child and allowing another sex offender to have sex with the child when the child arrived. King claimed that the text messages were fantasy. However, the Court noted that the defendant and his wife were well along in the foster/adoption process. The defendant has been in custody since the execution of the search warrant at his home in January 2019.
“It is deeply disturbing that King was attempting to foster a child, while at the same time fantasizing about sexually harming a foster child and allowing another sexual predator to do the same. HSI agents stopped a child predator from doing irreparable harm to an innocent child. We must continue to bring the full force of the law against child sexual predators. Those individuals caught distributing child pornography will be prosecuted and will face federal prison, without parole,” and said U.S. Attorney Charlie Peeler. “We will not stop working alongside our federal, state and local partners to protect Georgia’s children and bring child predators to justice.”
“No sentence will ever bring back the innocence that this monster has stolen from countless helpless children,” said Special Agent in Charge Katrina W. Berger, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI will continue to aggressively pursue those who seek to victimize our most vulnerable members of society and prosecute those predators to the fullest extent of the law.”
The case was investigated by the Pelham Police Department and Homeland Security Investigations. Assistant U.S. Attorney Jim Crane prosecuted the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Former Financial Advisor Sentenced to 6 Years in Federal Prison for His Role in Scheme to Defraud Investors Out of $3.5 MillionRead the Press Release
SHREVEPORT, La. - Acting United States Attorney Alexander C. Van Hook announced that Gregory Alan Smith, 58, of Shreveport, Louisiana, was sentenced today by United States District Judge S. Maurice Hicks, Jr. to 72 months (6 years) in prison followed by 3 years of supervised release for conspiracy to commit wire fraud. Smith was ordered to pay restitution in the amount of $3,588,500, as well as a fine of $100,000.
Smith, formerly a financial investment advisor in Shreveport, persuaded multiple victims to invest approximately $3.5 million with his co-defendant, Kirbyjon H. Caldwell (“Caldwell”). According to evidence presented to the court, Smith began approaching existing clients, friends, and acquaintances in the spring of 2013 about an investment opportunity in historical chinese bonds. Smith told these potential investors that they would be obtaining a partial ownership interest in the bonds and that they would receive exponential returns on their investments in a short period of time. Smith neglected to tell these individuals that historical chinese bonds, bonds issued by the former Republic of China prior to losing power to the communist government in 1949, held no value. In fact, the bonds were considered by the Securities and Exchange Commission to be mere collectables with no value outside of the memorabilia market.
After Smith made the fraudulent pitch, victim-investors who believed and trusted Smith agreed to invest in these bonds. These victims were provided with a “participation agreement” indicating that if the sale of the bonds failed to occur within a certain number of days, the invested funds would be returned within a defined period of time. They were instructed to wire funds to various bank accounts held by or controlled by Caldwell or his representative. The funds were then divided between Smith, Caldwell, and others. Smith received $1.08 million of the total $3.5 million and used it to pay down loans, purchase two luxury sport utility vehicles, place a down payment on a vacation property, and maintain his lifestyle. The victims never received the promised returns from these chinese bonds.
“This case proves that even those you trust to have your best interest at heart sometimes may not. The victims in this case thought their trusted advisor and friend would never lead them astray but sadly, he was merely a con man who led them down an unwanted path,” stated Acting United States Attorney Alexander C. Van Hook. “Our office will continue to be vigilant in holding defendants such as this accountable for their fraudulent actions.”
Sentencing for Smith’s co-defendant, Kirbyjon H. Caldwell, is scheduled for December 3, 2020 at 2:00 p.m.
The FBI conducted the investigation and Assistant U.S. Attorneys Seth D. Reeg and C. Mignonne Griffing prosecuted the case.
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Former Bank Executive Sentenced to Prison for $15 Million Construction Loan FraudRead the Press Release
A former Kansas bank executive was sentenced to 60 months in prison today for his role in carrying out a bank fraud scheme to obtain a $15 million construction loan from 26 Kansas banks.
Acting Assistant Attorney General Brian Rabbitt of the Justice Department’s Criminal Division, Special Agent in Charge Justin Bundy of the Federal Deposit Insurance Corporation Office of Inspector General’s (FDIC-OIG) Kansas City Regional Office, Special Agent in Charge Adam B. Steiner of the IRS Criminal Investigation’s (IRS-CI) St. Louis Field Office, Special Agent in Charge Timothy Langan of the FBI’s Kansas City Field Office, and Special Agent in Charge Catherine Huber of the Federal Housing Finance Agency Office of Inspector General’s (FHFA-OIG) Central Region Office made the announcement.
Troy A. Gregory, 53, of Lawrence, Kansas, was sentenced by Chief U.S. District Judge Julie A. Robinson of the District of Kansas to 60 months in prison followed by three years of supervised release, and ordered to pay $4,731,208.16 in restitution.
Following a two-week trial in August 2019, Gregory was found guilty of four counts of bank fraud and two counts of false statements. According to the evidence presented at trial and at the sentencing hearing, Gregory was a bank executive and loan officer who had made millions of dollars in loans to a group of borrowers who were struggling to make payments on the loans. Beginning in late 2007, Gregory initiated the process of making a $15.2 million construction loan to build an apartment complex to that same group of borrowers so they could pay back the other outstanding loans. Gregory’s bank shared this loan with 25 other Kansas banks. To convince the other banks to participate, Gregory made and caused others to make false statements about the strength of the borrowers, the debt status of the apartment property and the existence of approximately $1.7 million in certificates of deposit for collateral on the loan, all to get the loan approved.
Instead of using the loan funds promised for building the apartments, Gregory immediately diverted over $1 million of the loan to pay for part of the certificates of deposit pledged as collateral, pay off debt on the apartment property and make payments on unrelated loans. Other Kansas banks that shared in this loan would not have participated in the loan without Gregory’s false representations and promises. The victimized banks collectively lost approximately $5 million on this fraudulent loan.
The case was investigated by FDIC-OIG, IRS-CI, the FBI, and FHFA-OIG. Senior Litigation Counsel David A. Bybee and Trial Attorney Andrew R. Tyler of the Criminal Division’s Fraud Section prosecuted the case.
The Criminal Division’s Fraud Section plays a pivotal role in the Department of Justice’s fight against white collar crime around the country.
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.
Felon Sentenced for Unlawful Firearms PossessionRead the Press Release
ALBANY, NEW YORK – Todd P. Donohue, age 44, formerly of Wallkill, Ulster County, New York, was sentenced today to 27 months in prison for unlawfully possessing firearms as a felon.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Field Division.
Donohue, who has a 2003 felony drug conviction, admitted that he possessed a shotgun and a rifle when law enforcement searched his home on December 28, 2019. He also admitted to engaging in the trafficking of firearms, by selling at least 5 firearms to individuals living in Orange County, Putnam County and Ulster County, New York, in 2019.
Chief United States District Judge Glenn T. Suddaby also imposed a 3-year term of post-imprisonment supervised release.
This case was investigated by the DEA and the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF), and was prosecuted by Assistant U.S. Attorney Michael Barnett.
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. For more information about Project Guardian, please see https://www.justice.gov/ag/project-guardian-memo-2019/download
Federal Grand Jury Indicts Five in Connection with a Factoring Scheme that Defrauded Banks in San Antonio of Millions of DollarsRead the Press Release
Today, federal authorities arrested three individuals charged in connection with a scheme to defraud several San Antonio financial institutions of more than $13 million, announced U.S. Attorney Gregg N. Sofer and FBI Special Agent in Charge Christopher Combs, San Antonio Division.
Agents arrested the three San Antonio residents without incident—48-year-old Ronald Wayne Schroeder, 58-year-old Jill Martin Alvarado, and 78-year-old Phyllis Jo Martinez. Authorities in Del Rio, TX, arrested Alvarado’s 55-year-old husband, Rigo Alvarado, over the weekend. Martinez’s 56-year-old son, Ryan Martinez, is currently in state prison on unrelated charges.
A six-count federal indictment unsealed today charges all five named above with one count of conspiracy to commit bank fraud. In addition, Schroeder, Jill Alvarado, Ryan Martinez and Phyllis Martinez are charged with one count of conspiracy to commit money laundering. The indictment also charges Schroeder, Ryan Martinez and Phyllis Martinez with one count of conspiracy to launder monetary instruments. Schroeder is also charged with three counts of bank fraud.
Factoring—when a company sells specific accounts receivable to a third party at a discounted price in order to accelerate its cash flow—is the focus of the defendants’ fraudulent scheme. The indictment alleges that the defendants conspired to defraud various financial institutions of money through the factoring of false and fraudulent invoices. Beginning with Southwest Bank, then Bank of San Antonio (BOSA), and finally, TransPecos Bank, Schroeder sent false and fraudulent invoices of companies owned or controlled by the other defendants to be factored by the financial institutions. Schroeder and other co-conspirators would then use that money for their own personal enrichment or to pay off old invoices owed to the financial institutions much like a Ponzi scheme where money from new investors is used to pay old investors. The indictment identifies three companies that are involved in the scheme including: Nerd Factory, which was owned by Ryan Martinez and later, Phyllis Martinez; Alvy’s Logistics, which is owned by Jill and Rigo Alvarado; and, Republic Logistics, a fake company created and used by Schroeder to steal money for himself. According to the indictment, false and fraudulent invoices from Nerd Factory were factored by Southwest Bank and then BOSA. That money would then be used by the owners of Nerd Factory, Ryan Martinez and later, Phyllis Martinez, for legal fees in a pending criminal federal case or as unearned profit. Alvy’s Logistics and Nerd Factory also kicked back some of the money obtained to Schroeder.
In addition to using false and fraudulent invoices for actual companies, the indictment alleges that Schroeder submitted false and fraudulent invoices on behalf of Republic Logistics to BOSA which were then paid by BOSA. Schroeder used this money to, among other things, purchase high dollar goods such as cars, RVs, an airplane, boat, and beach house.
The indictment further alleges that Schroeder initially began this practice while being funded by Southwest Bank (FDIC insured). Schroeder fraudulently grew that portfolio until he was able to sell it all to BOSA (FDIC insured). The scheme continued and expanded while BOSA funded Schroeder. Schroeder also attempted to broker a subsequent deal whereby Trans Pecos Bank (FDIC insured) would purchase the fraudulent factored invoices.
Upon conviction, each bank fraud related charge is punishable for up to 30 years in federal prison; conspiracy to commit money laundering, up to 20 years in federal prison; and, conspiracy to launder monetary instruments, up to ten years in federal prison.
The FBI is conducting this ongoing investigation. Assistant U.S. Attorney Joseph Blackwell is prosecuting this case on behalf of the government.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendants are presumed innocent until proven guilty in a court of law.
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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.
Federal Grand Jury Charges Schertz Firearms Dealer in Wire Fraud SchemeRead the Press Release
In San Antonio, William Badberg, 44-year-old owner of Bullit Proof Arms in Schertz, TX, stands charged with a fraudulent scheme involving the sale of firearms on the internet, announced U.S. Attorney Gregg N. Sofer; Homeland Security Investigations (HSI) Special Agent in Charge Shane Folden, San Antonio; and, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Special Agent in Charge Fred Milanowski, Houston Division.
A federal grand jury indictment unsealed today charges the Cibolo, TX, resident with twelve counts of wire fraud. According to the indictment, since January 2019, Badberg engaged in a scheme to defraud in which he advertised firearms for sale on the internet, including on a website he controlled, BullitProofArms.com. The indictment alleges that Badberg failed to deliver the firearms to the buyers despite receiving payment for the advertised firearms.
HSI agents arrested Badberg yesterday at his residence without incident. Upon conviction, wire fraud carries a maximum possible term of 20 years in federal prison.
HSI, ATF, and the Schertz Police Department are conducting this ongoing investigation with support and assistance from the Texas Attorney General’s Office.
It is important to note that an indictment is merely a charge and should not be considered as evidence of guilt. The defendant is presumed innocent until proven guilty in a court of law.
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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.
Federal Air Marshal Employee Admits Fraudulently Receiving Disability PaymentsRead the Press Release
PROVIDENCE – A former Federal Air Marshal employee admitted in federal court in Providence today that he concealed his self-employment and then his role in a Middletown-based martial arts business from the United States Department of Labor (DOL), Office of Workers’ Compensation Programs, in order to collect nearly a quarter of a million dollars in OWCP disability benefits based on his employment with the government.
Joseph Patrick Watterson, 52, of Newport, admitted that he initially concealed on OWCP forms the fact that he owned and was engaging in physical activities at his martial arts business, Two Swords Brazilian Jiu Jitsu. Later, after admitting that he was self-employed, he concealed on OWCP forms the true scope of his employment activities at his martial arts studios, because he did not want his OWCP benefits to be reduced or terminated.
Watterson admitted that he concealed the fact that he was instructing and engaging in jiu jitsu. Rather than disclose his physical activities at his martial arts studio, Watterson falsely represented that his role was merely administrative. In a letter to DOL, Watterson described his duties as involving "cleaning and maintaining school, share the bookkeeping.”
According to the government’s evidence, from May 31, 2016 to March 3, 2019, Watterson collected disability benefits totaling approximately $241,118.52 he was not entitled to collect.
Appearing today before U.S. District Court William E. Smith, Watterson pleaded guilty to false statements to obtain federal workers’ compensation benefits, announced United States Attorney Aaron L. Weisman; Michael A. Ondocin, Executive Assistant to the Administrator of the Transportation Security Administration (Federal Air Marshal Service); and Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service, Boston Division.
Watterson is scheduled to be sentenced on January 28, 2021. False statements to obtain federal workers’ compensation benefits is punishable by statutory penalties of up to 5 years imprisonment; a fine of $250,000; a term of supervised release of 3 years.
The case is being prosecuted by Assistant U.S. Attorney Ly T. Chin.
The matter was investigated by the Transportation Security Administration and the U.S. Postal Inspection Service.
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Father, Son, and Daughter Sentenced to Prison in Firearms Straw Purchasing SchemeRead the Press Release
Fort Myers, Florida – U.S. District Judge John L. Badalamenti has sentenced Jesus Robin Suarez (48, Naples), Kevin Robin Suarez (25, Naples), and Andrea Joselin Suarez (28, Naples) to federal prison for their roles in a firearms straw purchasing conspiracy. Jesus Suarez was sentenced to six years and six months in prison. His son, Kevin Suarez, was sentenced to three years and one month imprisonment. Jesus Suarez’s daughter, Andrea Suarez, was sentenced to four years and three months’ in federal prison. All three had pleaded guilty earlier this year to conspiring to falsify records relating to firearms purchases.
According to court documents, Jesus Suarez directed his adult children to recruit their friends and acquaintances to make straw purchases of AK-47 rifles from Naples and Fort Myers-area licensed gun stores. In exchange for cash from the Suarez family, the straw purchasers fraudulently certified to the gun stores that they were buying the firearms for themselves, when in truth they were actually buying the guns for Jesus Suarez and his children. According to evidence presented at the sentencing hearings, these straw-purchased firearms were thereafter unlawfully exported by Jesus Suarez to his native Bolivia.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, Homeland Security Investigations, the Collier County Sheriff’s Office, and U.S. Customs and Border Protection. It was prosecuted by Assistant United States Attorney Simon R. Eth.
Fairfield Man Sentenced to More Than 12 Years in Prison for Being a Felon in Possession of a FirearmRead the Press Release
SACRAMENTO, Calif. — Kenny Losito, 31, of Fairfield, was sentenced to 12 years and six months in prison on Monday for two counts of being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court records, Losito was arrested by the Vacaville Police Department on March 14, 2019, following a traffic stop. Officers found a loaded 9 mm handgun under Losito’s seat that officers later determined had been reported stolen in Nevada. After being released on bail, Losito was again arrested by the Vacaville Police Department on April 19, 2019, following a traffic stop, and was found with a loaded Tanfoglio GT32 firearm under his seat. Losito has several prior felony convictions that prohibit him from possessing firearms.
This case was the product of an investigation by the Vacaville Police Department and the Bureau of Alcohol, Tobacco, Firearms & Explosives. Assistant U.S. Attorney Colleen Kennedy prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see www.justice.gov/projectguardian.
Essex County Man Charged with Producing Child PornographyRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey man appeared before a federal judge today on charges that he produced and possessed images of child sexual abuse, U.S. Attorney Craig Carpenito announced.
Antonio Del Prado, 59, of Millburn, New Jersey, is charged by complaint with one count of production of child pornography and two counts of possession of child pornography. He appeared by videoconference before U.S. Magistrate Judge Edward S. Kiel and was detained without bail.
According to documents filed in this case and statements made in court:
In October 2020, law enforcement learned that Del Prado had uploaded 56 images and 18 videos of suspected child sexual abuse to an internet-based cloud storage system. Del Prado had actively participated in the production of child sexual abuse by giving instructions to another individual who was live-streaming a video of themselves sexually assaulting a child. Law enforcement arrested Del Prado at his residence in Millburn this morning.
The charge of production of child pornography carries a mandatory minimum penalty of 15 years in prison, a maximum penalty of 30 years in prison, and fine of $250,000. The charge of possession of child pornography carries a maximum penalty of 10 years in prison, and fine of $250,000.
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, with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Organized Crime/Drug Enforcement Task Force Unit in Newark.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
El Departamento de Justicia Llega a un Acuerdo con una Compañía de Alquiler de Vehículos que Resuelve un Caso de Discriminación Relacionada con la InmigraciónRead the Press Release
El Departamento de Justicia anunció hoy que ha firmado un acuerdo conciliatorio con Fleetlogix, Inc. (Fleetlogix), lo que resuelve las acusaciones de que la compañía había disciminado a individuos no ciudadanos de los EE. UU que contaban con autorización para trabajar al requerir que proporcionaran documentos específicos e innecesarios de autorización para trabajar debido a su estauts migratorio o de ciudadanía. Fleetlogix, con sede en San Diego, California, opera oficinas por todo el país que prestan servicios de limpieza y transporte a companías de alquiler de vehiculos.
«La ley de Inmigración y Nacionalidad requiere que los empleadores verifiquen que sus trabajadores disponen de autorización para trabajar en los Estados Unidos y prohíbe que los empleadores pidan documentos adicionales o diferentes a los que sean necesarios, que pidan documentos específicos o que rechacen documentos que parecen ser genuinos por motivos de la ciudadanía, estatus migratorio o nacionalidad de origen del trabajador», declaró Eric Dreiband, el Fiscal General Auxiliar de la División de Derechos Civiles. «Nos anima ver que Fleetlogix trabajará con el Departamento de Justicia para garantizar que cualquier individuo que cuente con autorización para trabajar que, de una forma injusta, se haya perdido una oportunidad laboral como resultado de las prácticas en cuestión recibirá los pagos retroactivos apropiados».
La investigación subyacente del Departamento que llevó al acuerdo reveló que Fleetlogix requirió documentos específicos a individuos no ciudadanos de los EE. UU. que contaban con autorización para trabajar –lo cual vulnera la ley de Inmigración y Nacionalidad («INA», por sus siglas en inglés)– tales como Formularios I-94 (un registro de «llegadas y salidas» que el Departamento de Seguridad Nacional emite a ciertas personas no ciudadanas de los EE. UU. que puede ser utilizado, en ciertas circunstancias, para el Formulario I-9), Documentos de Autorización para Trabajar (a veces conocidos como «permisos de trabajo») o Tarjetas de Residencia Permanente (a veces conocidas como «tarjetas verdes») aunque estos individuos ya habían presentado otros documentos válidos para demostrar que tienen permiso para trabajar, como licencias de manejar y tarjetas de seguro social sin restricciones.
La disposición antidiscriminatoria de la INA prohíbe que los empleadores pidan documentos adicionales o diferentes a los que sean necesarios para demostrar la autorización para trabajar con base en el estatus migratorio o de ciudadanía del empleado o bien por su nacionalidad de origen. A su vez, en la INA, el Congreso determinó que todo individuo con autorización para trabajar, independientemente de su estatus de ciudadanía, puede elegir los documentos válidos y legalmente aceptables que desea presentar para demostrar su elegibilidad para trabajar en los Estados Unidos. No obstante, la INA sí permite que los empleadores rechacen documentos que no parecen ser genuinos.
Como parte del acuerdo, Fleetlogix pagará sanciones civiles a los Estados Unidos que ascienden a 627.000 $, creará un fondo de pagos retroactivos para compensar a aquellos individuos que perdieron trabajo a causa de la discriminación, capacitará a los empleados relevantes acerca de los requisitos de la disposición antidiscriminatoria de la INA y cambiará sus políticas y procedimientos.
La Sección de Derechos de Inmigrantes y Empleados («IER», por sus siglas en inglés) de la División de Derechos Civiles es responsable de hacer cumplir la disposición antidiscriminatoria de la INA. La ley prohíbe la discriminación por motivos de estatus de ciudadanía y nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; prácticas documentales injustas; y represalias o la intimidación.
Aquellos aspirantes o empleados que creen haber sido discriminados por motivos de su estatus migratorio o de ciudadanía, o bien por su nacionalidad de origen, en los procesos de contratación, despido, reclutamiento o verificación de la elegibilidad para trabajar (p. ej. el Formulario I-9 e E-Verify) o sometidos a represalias pueden presentar una denuncia. El público también puede llamar a la línea directa de la IER para trabajadores al 1-800-255-7688; llamar a la línea directa de la IER para empleadores al 1-800-255-8155 (1-800-237-2515, TTY para personas con discapacidades auditivas); enviar un correo electrónico a [email protected]; inscribirse a un seminario en línea gratuito; o visitar la página web de la IER en inglés o español. Para recibir las últimas noticias de la IER, inscríbase a GovDelivery .
La División de Derechos Civiles quiere enterarse de más vulneraciones de derechos civiles. Miembros del público pueden informarnos de posibles vulneraciones de derechos civiles mediante el portal de declaraciones de la División de Derechos Civiles.
Aquellos aspirantes o empleados que creen haber sido sometidos a: discriminación por motivos de su ciudadanía, estatus migratorio o nacionalidad de origen en los procesos de contratación, despido o reclutamiento o recomendación por comisión; discriminación en el proceso de la verificación de la elegibilidad para trabajar (Formulario I-9 e E-Verify) con base en su ciudadanía, estatus migratorio o nacionalidad de origen; o represalias pueden presentar una denuncia o llamar a la línea directa de la IER para trabajadores para pedir ayuda.
La Iniciativa para la Protección de Trabajadores en Este País, de la División de Derechos Civiles, se lanzó en el 2017 en la Sección de Derechos de Inmigrantes y Empleados y señala, investiga y (donde proceda) aplica medidas de cumplimiento a empleadores que intencionalmente discriminen a trabajadores en este país por motivos de su estatus de ciudadanía para dar preferencia a trabajadores temporales de visa. La IER ha llegado a numerosos acuerdos bajo la Iniciativa para la Protección de Trabajadores en Este País y empleadores han distribuido o acordado distribuir un total combinado de más de 1,2 millónes de dólares por concepto de pagos retroactivos a trabajadores afectadso en este país y sanciones civiles a los Estados Unidos. Estos acuerdos implican empleadores que fueron discriminatorios en su uso de los programas de visa de H-1B, H-2A y H-2B.
Eastern Iowa Podiatrist Sentenced in Opioid Diversion SchemeRead the Press Release
A podiatrist who wrote fraudulent hydrocodone prescriptions to acquaintances so that they would fill the prescriptions and give him pills was sentenced on November 6, 2020. Steven Walter Beevers, age 58, from Cedar Rapids, Iowa, was sentenced after pleading guilty to one count of acquiring a controlled substance by misrepresentation, fraud, deception, and subterfuge.
Beevers was a Doctor of Podiatric Medicine who owned Podiatry Associates PC, which had locations in Delaware, Jones, and Linn Counties, Iowa. In a plea agreement, Beevers admitted he wrote over 100 false, fictitious, and fraudulent prescriptions for hydrocodone between January 2016 and December 2018 to four acquaintances, including an employee and a neighbor. Beevers used his State of Iowa Board of Podiatry license to write the phony prescriptions on the false pretense that the hydrocodone was necessary for his acquaintances’ medical conditions. The acquaintances then filled the prescriptions, with health insurance paying for the costs except for co-pays that Beevers offered to cover, and then gave some or all of the hydrocodone to Beevers. Beevers made false statements about his conduct to the Iowa Board of Podiatry investigators after his scheme was discovered.
Beevers was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Beevers was sentenced to five years of probation, including six months of home confinement, and 100 hours of community service. He must also pay a $20,000 fine.
The case was prosecuted by Assistant United States Attorney Tim Vavricek and investigated by the Drug Enforcement Administration and the Manchester Police Department. Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl. The case file number is 20-CR-36. Follow us on Twitter @USAO_NDIA.
Eagle Butte Woman Sentenced on Assaulting Federal Officers and Firearm ChargesRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, woman convicted of Assaulting Federal Officers and Felon in Possession of a Firearm, was sentenced on November 5, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Justin Twite, age 23, was sentenced to 68 months in federal prison, followed by three years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $200.
Twite was indicted by a federal grand jury on April 9, 2019. She pled guilty on August 18, 2020.
On December 21, 2018, Twite engaged Cheyenne River Sioux Tribe Police Officers in a high speed chase that ended when her vehicle broke down in an open field. Law enforcement surrounded Twite’s vehicle. Twite assaulted the officers by discharging a pistol round from the vehicle, in the direction of law enforcement. Twite discharged the firearm a second time straight into the air. Realizing the firearm malfunctioned after the second shot, officers rushed to subdue Twite and place her under arrest. Twite was also prohibited from possessing a firearm after being convicted of a felony level offense in January 2018.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
This case was investigated by the Cheyenne River Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Michael Elmore prosecuted the case.
Twite was immediately turned over to the custody of the U.S. Marshals Service.
Eagle Butte Man Indicted on Meth Trafficking ChargeRead the Press Release
United States Attorney Ron Parsons announced that an Eagle Butte, South Dakota, man has been indicted by a federal grand jury for Possession with Intent to Distribute a Controlled Substance.
Anthony Story, age 42, was indicted on August 11, 2020. He appeared before U.S. Magistrate Judge Mark A. Moreno on November 9, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in prison and/or a $1,000,000 fine, at least three years up to a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on or about August 14, 2019, Story did knowingly and intentionally possess with intent to distribute a mixture or substance containing a detectible amount of methamphetamine in Eagle Butte.
The charge is merely an accusation and Story is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Story was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Doctor’s Employee Admits Role in Genetic Testing Kickback and Bribery SchemeRead the Press Release
TRENTON, N.J. – A Pennsylvania woman today admitted participating in a conspiracy to receive bribes and kickbacks in exchange for ordering genetic tests, U.S. Attorney Craig Carpenito announced.
Kimberly Schmidt, 46, of Moscow, Pennsylvania, pleaded guilty by videoconference before U.S. District Judge Anne E. Thompson to an information charging her with one count of conspiring to violate the anti-kickback statute.
According to documents filed in this case and statements made in court:
Schmidt worked for Lee Besen, a primary care physician with a medical office in Peckville, Pennsylvania. From December 2018, Besen and Schmidt accepted monthly cash kickbacks and bribes in exchange for collecting DNA samples from Medicare patients and sending them for genetic tests to clinical laboratories in New Jersey and Pennsylvania. The cash kickbacks typically ranged from $500 to $1,500, and Besen typically accepted the cash inside his medical office.
When Besen did not receive his kickback and bribe payments, the volume of genetic tests he ordered dipped. But when those payments flowed to Besen, he increased that volume because, as Besen said in a recorded conversation, “Greenbacks speak.” Besen enlisted Schmidt to help him with the scheme by preparing paperwork for the genetic tests. In turn, Schmidt received kickbacks and bribes that were calculated based on the volume of genetic tests that Besen generated.
Even as the ongoing COVID-19 pandemic substantially reduced in-patient visits, Besen continued participating in the scheme because, as he was recorded saying, he wanted “greenbacks” to pay for his “pool house.”
As a result of the scheme, Medicare paid approximately $350,374 for genetic tests generated from Besen’s medical practice.
Conspiracy to violate the federal anti-kickback statute is punishable by a maximum of five years in prison and a fine of $250,000, or twice the gross gain or loss derived from the offense, whichever is greater. Sentencing is scheduled for March 16, 2021.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark; and U.S. Department of Health and Human Services, Office of Inspector General, Philadelphia Regional Office, under the direction of Special Agent in Charge Maureen Dixon, with the investigation leading to the charges. He also thanked the FBI Scranton Field Office, FBI Philadelphia Division, and the Pennsylvania Attorney General’s Office for their assistance.
The government is represented by Assistant U.S. Attorney Joshua L. Haber of the Health Care Fraud Unit and Executive Assistant U.S. Attorney Rahul Agarwal.
The charges against and allegations in the information pertaining to Besen are merely accusations, and he is presumed innocent unless and until proven guilty.
Des Moines Man Sentenced to Prison for Possession of Child PornographyRead the Press Release
DES MOINES, IA – On November 9, 2020, United States District Court Chief Judge John A. Jarvey sentenced Phillip Christopher Lytton, age 43, formerly of Des Moines, to 48 months in prison for Possession of Child Pornography, announced United States Attorney Marc Krickbaum. Lytton was ordered to serve five years of supervised release to follow his prison term and comply with sex offender registry requirements upon release.
The investigation began in early 2019 after law enforcement received an investigative lead from the National Center for Missing and Exploited Children that images of child pornography had been uploaded on a social media account associated with Lytton. The investigation showed that Lytton posted multiple videos and images of child pornography on his Tumblr account from about September 28, 2018 to about November 12, 2018. Lytton was employed as a Transportation Security Officer and worked screening passengers at the Des Moines International Airport from August 2018 until mid-2019. The Transportation Security Administration (TSA) is an agency of the U.S. Department of Homeland Security.
This case was investigated by the U.S. Department of Homeland Security Office of Inspector General (OIG) and Homeland Security Investigations (HSI). This case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa as part of the United States Department of Justice’s “Project Safe Childhood” initiative, which was started in 2006 as a nationwide effort to combine law enforcement investigations and prosecutions, community action, and public awareness in order to reduce the incidence of sexual exploitation of children.
Any persons having knowledge of a child being sexually abused are encouraged to call the Iowa Sexual Abuse Hotline at 1-800-284-7821.Congolese Man Pleads Guilty to Mail Fraud ConspiracyRead the Press Release
PORTLAND, Maine: A Congolese man pleaded guilty today in federal court in Portland to conspiring to commit mail fraud, U.S. Attorney Halsey B. Frank announced.
According to court documents, from March 2015 to November 2016, Mukonkole Huge Kifwa, 35, participated in a conspiracy to obtain money through a fraudulent credit card scheme using an international mail carrier. Kifwa and his co-conspirators obtained unauthorized access to bank accounts belonging to unwitting individuals in the United Kingdom, with cash advances using fraudulent credit cards.
Kifwa faces up to 30 years in prison, five years of supervised release and a $1,000,000 fine. He will be sentenced after the completion of a presentence investigation report by the U.S. Probation Office.
The Scarborough Police Department; the U.S. Department of State, Diplomatic Security Service; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and the City of London (U.K.) Police Department investigated the case.
CoConspirator Sentenced to 10 Years’ Imprisonment in Multi-Million Dollar Investment Fraud Scheme that Victimized Professional Hockey Players and Long Island InvestorsRead the Press Release
Earlier today, in federal court in Central Islip, Tommy Constantine was sentenced by United States Circuit Judge Joseph F. Bianco to 10 years’ imprisonment for stealing millions of dollars raised from Long Island residents and professional athletes that were intended for investment in land developments in Hawaii and a start-up credit card business based in Arizona, among other purposes. Constantine and coconspirator Phillip Kenner were convicted at trial in July 2015. Constantine was convicted of one count of conspiracy to commit wire fraud, five substantive counts of wire fraud, and one count of conspiracy to commit money laundering. The Court entered a forfeiture money judgment in the amount of approximately $8.5 million and ordered that Constantine forfeit all his right, title and interest in specific assets, including an oceanfront resort in Mexico, real property in Hawaii and a Falcon 10 jet airplane, and ordered restitution in the amount of $5.2 million. On October 5, 2020, Judge Bianco sentenced Kenner to 17 years’ imprisonment. The Court has scheduled a restitution proceeding for Kenner on November 18, 2020.
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), and Jonathan D. Larsen, Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation (IRS-CI), announced the sentence.
“For years, Constantine and his coconspirator abused the trust that these victims placed in them, stealing their hard-won earnings and diverting millions of dollars for their own use. When the investors started asking questions, rather than come clean, Constantine doubled down, re-victimizing the victims by convincing them to put even more good money in their bad hands. The jury’s verdict, and the Court’s sentences, reaffirm that greed-fueled crime will not pay off for fraudsters in the end,” stated Acting United States Attorney DuCharme. Mr. DuCharme expressed his grateful appreciation to the FBI and IRS, the agencies responsible for leading the government’s investigation.
“Constantine convinced investors to trust him with their money, on more than one occasion, for the sole purpose of diverting their funds into entities that benefited him. He’s the next in line in this case to receive his sentence today and face the consequences of his actions,” stated FBI Assistant Director-in-Charge Sweeney.
“Tommy Constantine and co-conspirator, Phillip Kenner, created a multi-million dollar criminal enterprise based on other people’s money,” stated IRS Special Agent-in-Charge Larsen. “Constantine went to great lengths in cultivating relationships based on trust and promises of future earnings. Constantine then breached that trust of several victims who have reached the pinnacle of success all for his personal gain. IRS-CI will continue to unravel these criminal enterprises where fraud is perpetuated and victims harmed.”
As early as 2004, Constantine and Kenner siphoned millions of investor dollars into a labyrinth of holding companies, diverting those dollars from their approved uses into companies, real estate and other ventures – such as Constantine’s car racing endeavors – that solely benefited the defendants.
Constantine gained access to these investor funds via his relationship with Kenner. Kenner was a collegiate hockey player in upstate New York, and his teammate, Joe Juneau, a future Olympian and National Hockey League star, introduced Kenner to a number of other NHL players in the 1990’s as Kenner began his career as a Boston-based financial advisor. Through those early contacts, Kenner developed a roster of clients, including former New York Islander Michael Peca; former New York Islander and New York Ranger Brian Berard; Darryl Sydor and Bill Ranford, both two-time Stanley Cup champions; and other NHL players whose careers and playing earnings blossomed just as they placed more and more trust in Kenner to invest and manage their finances and wealth. Instead, Kenner and Constantine diverted these earnings for their own uses.
The Hawaii Real Estate Investment Scheme
Beginning in 2003, Kenner convinced Peca, Berard and several others to invest $100,000 each for the development of land in Hawaii into luxury estates and to open personal lines of credit at a bank, collateralized by their personal stock, bond and savings accounts worth at least $10 million. Kenner assured the investors that the lines of credit would be used only to pay for initial development costs associated with the Hawaii project and would be fully replenished after Lehman Brothers Holdings, Inc. agreed to loan the project up to $105 million in August 2006. In fact, Kenner borrowed nearly all of investors’ lines of credit to acquire his personal interest in unrelated real estate projects in Hawaii and Mexico and to cover his own and Constantine’s personal expenses.
In an offshoot of the scheme, Constantine brokered a $3.5 million loan from an Arizona businessman ostensibly to close on a Hawaii parcel of land. Constantine put up no money of his own, but walked away from the transaction – funded with assets diverted from Peca, Berard and others – with approximately $2 million.
The Eufora LLC Scheme
In 2002, Constantine founded Eufora LLC, a prepaid debit card business. Between February 2008 and May 2009, Eufora was operating in the red, and as Constantine testified in civil depositions, the company was nearly worthless. Notwithstanding, Kenner persuaded clients to invest in Eufora. While representing that he was investing his clients’ funds in Eufora, Kenner instead wired $725,000 of his clients’ funds to Constantine’s personal account. Kenner also directed the wiring of an additional $700,000 of his clients’ funds to Eufora’s account, and promptly re-wired those funds to a coconspirator’s personal account. The diverted funds were used to cover the costs of Kenner’s and Constantine’s home mortgages, credit card bills and other debts.
The Global Settlement Fund Scheme
In early 2009, Kenner’s clients who had opened lines of credit for the Hawaii venture received notices that their credit lines were in default. For years, Kenner concealed that he had wiped out most of his clients’ funds by borrowing against one line of credit to pay monthly interest charges for other another account. By late 2008, the concealment scheme collapsed. Notwithstanding, Kenner and Constantine persuaded their clients to invest additional funds to a Global Settlement Fund. The clients contributed more than $2.9 million toward the fund, but the vast majority of the money was diverted to the defendants’ personal use, which included Constantine buying his personal home out of foreclosure, Kenner and Constantine paying legal bills related to Kenner’s personal investment in a tequila company in Mexico, defending Constantine in Florida litigation over his race car sponsorship activities, and an exploratory and unsuccessful effort by Constantine to buy Playboy Enterprises.
The government’s case is being handled by the Office’s Long Island Criminal Division. Assistant United States Attorneys Saritha Komatireddy and J. Matthew Haggans are in charge of the prosecution. Assistant United States Attorneys Diane Leonardo and Madeline O’Connor are responsible for the forfeiture of assets.
The Defendants:
PHILLIP A. KENNER
Age: 51
Scottsdale, ArizonaTOMMY CONSTANTINE
Age: 54
Scottsdale, ArizonaE.D.N.Y. Docket No. 13-CR-607 (JFB)
Cincinnati City Council Member and his business partner charged with accepting bribesRead the Press Release
CINCINNATI – A federal grand jury has charged a Cincinnati city councilman and his business partner in a conspiracy involving honest services wire fraud, bribery, attempted extortion by a government official and money laundering.
Jeffrey Pastor, 36, of Cincinnati, allegedly solicited and received $55,000 in bribes between August 2018 and February 2019 in exchange for promised official action related to projects before the City of Cincinnati.
Pastor’s business partner, Tyran Marshall, 35, of Cincinnati, allegedly acted as a middleman in receiving bribes payments.
For example, according to the 10-count indictment that was returned on Nov. 4 and unsealed today, in September 2018, Pastor and Marshall flew to Miami, Fla. on a private plane to meet with investors regarding a real estate development project. Pastor never paid for or disclosed the trip. During the trip, Pastor allegedly explained he would ensure favorable action on behalf of the city for the project and could receive money through Marshall’s non-profit entity Ummah Strength, LLC (which had been incorporated two weeks prior). Pastor discussed “compensation” and agreed to accept $15,000 for helping with the project. He said the purpose of Marshall’s entity was to “sanitize” the money. Pastor accepted $15,000 in cash about a week later.
Pastor and Marshall allegedly solicited and received another $20,000 in October and November 2018. They allegedly received two $10,000 payments in exchange for Pastor’s official city action benefitting a second project.
From January 2019 through early March 2019, Pastor allegedly continued to attempt to secure more bribe money for help on a city project.
Pastor and Marshall each appeared in federal court before U.S. Magistrate Judge Stephanie K. Bowman.
Pastor is charged with each of the 10 counts in the indictment: one count of conspiring to commit honest services wire fraud (up to 20 years in prison), two counts of honest services wire fraud (up to 20 years), three counts of bribery (up to 10 years), three counts of attempted extortion by a government official (up to 20 years) and one count of money laundering (up to 20 years).
Marshall is charged with four crimes: one count of conspiring to commit honest services wire fraud (up to 20 years in prison), one count of bribery (up to 10 years), one count of attempted extortion (up to 20 years) and one count of money laundering (up to 20 years).
David M. DeVillers, United States Attorney for the Southern District of Ohio, and Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the charges. Deputy Criminal Chief Emily N. Glatfelter and Assistant United States Attorney Matthew C. Singer are representing the United States in this case.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
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Chico Man Sentenced to over 3 Years in Prison for 10 Burglaries of Post Offices in Butte, Glenn, Shasta, Sutter and Tehama CountiesRead the Press Release
SACRAMENTO, Calif. — A Chico man was sentenced to three years and six months in prison for burglaries of post offices in Butte, Glenn, Shasta, Sutter and Tehama counties, U.S. Attorney McGregor W. Scott announced.
On Aug. 4, Jeremy Elguez, 32, pleaded guilty to two counts of burglary and admitted to burglarizing 10 U.S. Postal Service post offices. According to court documents, between Aug. 23, 2019 and March 1, 2020, Elguez burglarized the Butte City Post Office twice, the Glenn Post Office twice, the Vina Post Office, the Bangor Post Office, the Stirling City Post Office, the Meridian Post Office, the Artois Post Office, and the Cassel Post Office. Items reported stolen during these burglaries included mail, postal money orders, cameras, and a check for $80,000. On Aug. 1, 2019, Elguez also attempted to cash a $350,000 check stolen from the mail.
This case was the product of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorney Tanya B. Syed prosecuted the case.
Charleston Felon Pleads Guilty to Gun CrimeRead the Press Release
CHARLESTON, W.Va. – United States Attorney Mike Stuart announced today that Ronald Sayles, 43, of Charleston, pled guilty to being a felon in possession of a firearm.
Sayles admitted that on September 18, 2020, he was a passenger in a vehicle that crashed on Washington Street, East in Charleston. When responding officers conducted a pat down of Sayles, they located a Ruger LC9, 9mm pistol in his jacket pocket. Sayles admitted to police officers that he knew he was prohibited from possessing the gun because of two prior felony convictions. In 2016, Sayles was convicted of being a felon in possession of a firearm in the U.S. District Court for the Southern District of West Virginia and, in 2002, he was convicted in Kanawha County Circuit Court of possession with intent to deliver a controlled substance. Sayles was still serving a term of federal supervised release in connection with the 2016 conviction.
Sayles faces up to 12 years in federal prison when sentenced on February 4, 2021.
The Charleston Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) conducted the investigation. United States District Judge Joseph R. Goodwin presided over the hearing. Assistant United States Attorney Negar Kordestani is handling the prosecution.
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. 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 No. 2:20-cr-00181.
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Bus Rider Pleads Guilty to Topeka Bank RobberyRead the Press Release
TOPEKA, KAN. – A man who was arrested on a city bus pleaded guilty today to robbing a Topeka bank, U.S. Attorney Stephen McAllister said.
Clinton Adam Richards, 38, Topeka, Kan., pleaded guilty to one count of bank robbery. Police responded to a robbery at U.S. Bank, 3600 SW Topeka Boulevard. A tall, bald man carrying a backpack approached a teller, demanded money and left the bank with the cash. A witness reported seeing the robber board a Topeka Metro bus at a bus stop near the bank. Police stopped the bus and arrested Richards.
Sentencing is set for Feb. 16, 2021. He could face up to 20 years in federal prison and a fine up to $250,000. McAllister commended the Topeka Police Department, the FBI and Assistant U.S. Attorney Stephen Hunting for their work on the case.
Bergen County Man Sentenced to 10 Years in Prison for Conspiring to Launder over $850,000Read the Press Release
NEWARK, N.J. – A Bergen County, New Jersey, man was sentenced today to 120 months in prison for conspiring to launder more than $850,000, which he believed was derived from the sale of narcotics, U.S. Attorney Craig Carpenito announced.
Bobbie L. Henderson III, 36, previously pleaded guilty before U.S. District Judge Stanley R. Chesler in Newark federal court to an information charging him with one count of conspiracy to launder monetary instruments. Judge Chesler imposed the sentence today by videoconference.
According to the documents filed in this case, and statements made in court:
From 2017 through May 23, 2019, Henderson conspired with others to launder the proceeds of narcotics distribution, with the intent to promote the distribution of narcotics. Henderson further admitted to possessing more than $850,000 in furtherance of this conspiracy. These funds were seized by law enforcement during the course of the investigation.
In addition to the prison term, Judge Chesler sentenced Henderson to three years of supervised release, fined him $20,000 and ordered forfeiture of $853,120.
U.S. Attorney Carpenito credited special agents and task force officers with the Drug Enforcement Administration, under the direction of Special Agent in Charge Raymond Donovan in New York, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Francesca Liquori of the Organized Crimes and Gang Unit.
Baltimore Man Pleads Guilty to Federal Charge for Selling Heroin and Cocaine in Southwest BaltimoreRead the Press Release
Greenbelt, Maryland – Calvin Claxton, a/k/a Cal, age 41, of Baltimore, pleaded guilty today to his participation in a drug distribution conspiracy operating in the Edmondson Village neighborhood in southwest Baltimore. The drug trafficking organization (“DTO”) of which Claxton was a member sold heroin and cocaine on a daily basis in street-level quantities.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division; and Commissioner Michael Harrison of the Baltimore Police Department.
According to his guilty plea, from at least September 2018 through June 2019, Claxton participated in a DTO and conspired to distribute heroin, powder cocaine, and crack cocaine to drug users and redistributors in and around the Edmondson Village neighborhood of southwest Baltimore. During the course of the investigation, law enforcement learned that Claxton engaged in communications regarding the DTO’s distribution of narcotics, the whereabouts of co-conspirators, the presence of law enforcement, and the availability of narcotics. The investigation also revealed that Claxton owned and maintained a stash house in Baltimore, where the DTO stored and processed heroin and crack cocaine.
On April 10, 2019, law enforcement executed a search warrant at the stash house and recovered over 200 grams of crack cocaine, which Claxton admitted that he intended to distribute. Claxton agreed that over the course of the conspiracy he distributed over 280 grams of crack cocaine.
Claxton and the government have agreed that 150 months in prison is the appropriate sentence in this case. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge Paul W. Grimm has scheduled sentencing for February 18, 2021, at 3:30 p.m.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
United States Attorney Robert K. Hur commended the FBI, the ATF, and the Baltimore Police Department for their work in the investigation and thanked the Anne Arundel County Police Department for its assistance. Mr. Hur thanked Assistant U.S. Attorneys Matthew DellaBetta and Michael Goldsticker, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
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Albuquerque man arraigned for unregistered firearmRead the Press Release
ALBUQUERQUE, N.M. – Wayne Velasquez, 30, of Albuquerque, was arraigned in federal court on Oct. 28 for possession of an unregistered firearm. Velasquez will remain in custody pending trial.
According to a criminal complaint, on Sept. 7, Albuquerque Police officers responding to a shooting incident encountered Velasquez sitting outside his residence with a gunshot wound to his foot. The officers allegedly observed a firearm lying on the floor of the residence. The firearm allegedly discharged when it fell to the floor, striking Velasquez in the foot.
The National Firearms Act mandates the registration of a firearm with the dimensions and characteristics of the firearm allegedly possessed by Velasquez in the National Firearm Registration and Transfer Record. A search of the Record yielded no results for the firearm.
A complaint is only an allegation. A defendant is presumed innocent unless and until proven guilty. If convicted, Velasquez faces up to 10 years in prison.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Albuquerque Police Department investigated this case. Assistant U.S. Attorney Rumaldo Armijo is prosecuting the case.
Monday 9 November 2020
U.S. Attorney’s Office remembers former U.S. Attorney, Honorable Judge James R. WilliamsRead the Press Release
The U.S. Attorney’s Office for the Northern District of Ohio joins the Northeast Ohio community in remembering the life and legacy of former United States Attorney, Judge, and civil rights leader, the Honorable Judge James R. Williams. Judge Williams passed away on Friday, November 6, 2020, at the age of 88.
“On behalf of all the men and women in the U.S. Attorney’s Office for the Northern District, we offer our most sincere condolences and prayers to the family and friends of Judge Williams,” said U.S. Attorney Justin Herdman. “Judge Williams was a pioneer in the legal community, a civil rights hero and part of the exceptional history of men and women who have had the honor to serve as United States Attorney in this district. Judge Williams will be dearly missed by the many that knew him, but his achievements and legacy will live on in this community and beyond.”
Judge James R. Williams was appointed by President Carter to serve as United States Attorney for the Northern District of Ohio from 1978-1982. He was appointed to the Akron Municipal Court in 1983 and elected to the Court in 1985 and again in 1987. In 1989, Judge Williams was appointed to serve on the Summit County Common Pleas Court and became the county’s first African-American Common Pleas Court judge. He was later elected to the Court in 1990 and re-elected in 1992 and 1998. Judge Williams retired in January of 2005 after 15 years of service as a common pleas judge.
U.S. Attorney Announces Office Collects over $8.4 MillionRead the Press Release
BOISE – United States Attorney Bart M. Davis announced today that his office’s Financial Litigation Unit collected more than $5.7 million in criminal restitution, fines, and assessments and in civil debts for the fiscal year that ended September 30, 2020. In some cases, the U.S. Attorney’s Office worked in conjunction with litigating components of the U.S. Department of Justice. Of the total collected, approximately $2.9 million were criminal restitution, fines, and/or assessments, and approximately $2.8 million were civil debts. In addition, the Asset Forfeiture Unit deposited to the Asset Forfeiture Fund approximately $2,784,824 in proceeds and instruments of crime in criminal and civil forfeiture actions.
“Our office’s collection and asset forfeiture attorneys, paralegals, analysts, and fiscal agents work hard every day to recover money from those who cause loss to victims and attempt to profit by committing crimes,” said Davis. “I am proud of the outstanding work all of these dedicated individuals have done over the past year. These results show they served this office, the taxpayers, and Idaho well.”
Victims of crime receive funds collected in criminal restitution cases. In fiscal year 2020, the U.S. Attorney’s Office, through the Financial Litigation Unit, collected over $2.789 million in criminal restitution that was or will be distributed to victims of crime. Other criminal collections such as fines go into the Crime Victims Fund. From there, funds are distributed to the Idaho Crime Victims Compensation Program, the Idaho Council on Domestic Violence and Victim Assistance, and similar programs across the country. Money recovered from the illegal proceeds of criminal activity through forfeiture is returned to victims, used to offset the costs of operating federal prisons, and shared with local, state, and federal law enforcement agencies to help fight crime. Other recoveries go back to agency creditors.
During the fiscal year, some notable criminal restitution collections include approximately over $1 million from a defendant that embezzled from her employer, over $250,000 from a defendant that made a false claim to the United States, almost $250,000 from a defendant that committed health care fraud many years ago, approximately $173,000 from a defendant that committed fraud, and many other collections recovered from real estate sales and refinances to pay restitution.
Forfeitures valued at approximately $2,784,824, included currency, vehicles, and real property related to trafficking in controlled substances, fraud, child exploitation, and other serious crimes. Forfeitures also included approximately 91 firearms used or possessed during criminal activities. Forfeited firearms typically are destroyed, to prevent their use in future crimes. In some cases, the United States shared, or will share, seized money and property with local investigating agencies. In victim cases, the U.S. Attorney’s Office works to direct proceeds of forfeiture to crime victims.
As for civil debts and penalties, the Financial Litigation Unit collects civil penalties for violations of regulations involving, among other things, controlled substances, environmental protection, damage to federal property, and procurement fraud. It also collects civil debts for defaulted loans.
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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 Men Indicted on Federal Firearm Charges for Allegedly Trafficking Handguns from Indiana to ChicagoRead the Press Release
CHICAGO — Two men have been indicted on federal firearm offenses for allegedly trafficking multiple handguns from Indiana to Chicago.
BENJAMIN CORTEZ-GOMEZ, also known as “Bennie Blanco,” is charged with one count of dealing firearms without a license and one count of illegally possessing firearms as a convicted felon. GUSTAVO URIEL GOMEZ-HIPOLITO, also known as “Uriel Gomez,” is charged with one count of aiding and abetting Cortez-Gomez in the illegal possession of the firearms.
An indictment unsealed on Nov. 4, 2020, in U.S. District Court in Chicago accuses Cortez-Gomez of trafficking firearms over a four-month period earlier this year. The indictment further alleges that Cortez-Gomez illegally possessed seven handguns on July 27, 2020, with Gomez-Hipolito’s assistance. Cortez-Gomez purchased the seven guns in Indiana and transported them to Chicago, according to a criminal complaint filed against Cortez-Gomez earlier in the investigation.
Cortez-Gomez, 28, is currently detained in federal custody. A date for his arraignment has not yet been scheduled. Gomez-Hipolito, 24, pleaded not guilty and has been released on bond while awaiting trial.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Kristen deTineo, Special Agent-in-Charge of the Chicago Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; and David Brown, Superintendent of the Chicago Police Department. Valuable assistance was provided by the Cook County Sheriff’s Office and U.S. Customs and Border Protection’s Air and Marine Operations. Assistant U.S. Attorney Charles W. Mulaney represents the government.
The case was brought under Operation Legend, a Department of Justice initiative in which federal law enforcement agencies work in conjunction with state and local law enforcement to fight violent crime. As part of Operation Legend, the Department of Justice significantly increased resources in Chicago to help state and local officials investigate and prosecute violent crime, particularly firearm-related offenses.
The public is reminded that an indictment contains only charges and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. Dealing firearms without a license is punishable by up to five years in federal prison, while the illegal possession count is punishable by up to ten years. If convicted, the Court must impose reasonable sentences under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
Tulsa Woman Charged with Felony MurderRead the Press Release
A Tulsa woman made an initial appearance in federal court today for first degree felony murder and robbery in Indian Country, announced U.S. Attorney Trent Shores
Nicole Deonn Williams, 36, of Tulsa, is charged with murdering Curtiss Gaines on June 18, 2019.
“Time and again, guns and drugs prove to be a volatile combination. In this case, the defendant and her boyfriend allegedly shot and killed Curtiss Gaines when they tried to rob him during a drug deal,” said U.S. Attorney Trent Shores. “This case comes to our office because of the McGirt decision, and our victim coordinators will work with the victim’s family to ensure they understand we will aggressively pursue justice.”
According to a criminal complaint filed in U.S. District Court, responding officers at first suspected that Gaines died from a self-inflicted gunshot wound because a shotgun was found underneath his body, but detectives later determined Gaines sustained a gunshot wound to his upper torso from a pistol caliber bullet. Upon investigating Gaines’ death, detectives found that Gaines allegedly received a call from a female, believed to be Williams, at 3 am, the day of the murder. The call came from a phone number associated with William’s boyfriend, Barton Roy Vann. Shortly after the call, Gaines told a friend he had to leave and indicated he was returning to his residence.
A second individual indicated that he picked up Williams and Vann and drove them to Gaines’ residence at approximately 3:30 am and waited for them in his vehicle until they returned. He assumed the couple were going to purchase drugs from the victim, as they had in the past. Later, Vann allegedly told the individual that he had produced a handgun and attempted to rob the victim. At some point during the robbery, Gaines obtained a shotgun and was subsequently shot by Vann. Vann is currently scheduled for trial in January 2020 with the Tulsa County District Attorney’s Office.
If convicted, Williams faces a maximum sentence of life in federal prison.
This matter will proceed in United States District Court in Tulsa, where the complaint is currently pending. A complaint is a temporary charge alleging a violation of law. For the case to proceed to trial, the United States must present the charge to a federal Grand Jury within 30 days. Once a Grand Jury returns an indictment, a defendant has a right to a jury trial at which the United States would have the burden of proving the defendant’s guilt beyond a reasonable doubt. All defendants are presumed innocent until proven guilty in a court of law.
The FBI and Tulsa Police Department are the investigative agencies. Assistant U.S. Attorney Justin G. Bish is prosecuting the case. Mr. Bish is a prosecutor from the Western District of New York. He 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.
Tigard Man Pleads Guilty to Social Security FraudRead the Press Release
PORTLAND, Ore.—A Tigard, Oregon man pleaded guilty today to stealing Social Security Administration (SSA) benefits announced U.S. Attorney Billy J. Williams.
Steven Clayton Stark, 67, knowingly kept ten years’ worth of benefits intended for his father that should have terminated at the time of his father’s death.
According to court records, Mr. Stark’s father received SSA Retirement Insurance Benefits (RIB) prior to his death in May, 2009. Rather than informing the SSA of his father’s death, Stark knowingly continued to accept the RIB money that was deposited into a joint account controlled by Stark. Stark transferred the funds into other accounts he owned and then spent it on himself and his family. The total loss amount to SSA is $221,960.00.
On August 25, 2020, Stark was charged by criminal Information with Theft of Government Funds in violation of Title 18, United States Code, Section 641. He will be sentenced on February 8, 2021 before U.S. District Court Judge Karin Immergut.
“Social Security benefits theft is a crime that threatens this very important program meant to support the most vulnerable in our nation.” said United States Attorney Williams. “Anyone who knowingly steals the retirement benefits of others must be held accountable for their conduct.”
The Social Security Administration, Office of Inspector General investigated this case. It is being prosecuted by Rachel Sowray, Special Assistant U.S. Attorney for the District of Oregon.