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18 November 2020
Medina Man Going to Prison for 12 1/2 Years on Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Anthony Allee, 29, of Medina, NY, who was convicted of possessing with intent to distribute, and distributing, cocaine, and unlawful possession of a short-barreled shotgun in furtherance of drug trafficking, was sentenced to serve 150 months in prison by U.S. District Judge John J. Sinatra, Jr.
Assistant U.S. Attorneys Justin G. Bish and Jeremiah E. Lenihan, who handled the case, stated that between April 2019 and July 22, 2019, the defendant and his wife, Tashira, used their Ridge Road residence in Medina, to store, sell, and use marijuana, hydrocodone, and cocaine. Anthony Allee also possessed various firearms in furtherance of his drug trafficking in order to protect himself, his drugs, and his drug proceeds.
On July 22, 2019, a state search warrant was executed at the residence. Investigators seized multiple firearms, ammunition, numerous articles of stolen property, approximately 73 grams of marijuana, 247 hydrocodone pills, cocaine residue located on a working digital scale with a razor blade, two additional digital scales, a vacuum sealer with bags, and knotted baggies.
Tashira Allee was previously convicted and sentenced to three years probation and 100 community service.
The sentencing is the result of an investigation by the Orleans County Sheriff’s Office, under the direction of Sheriff Randy Bower; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Niagara County Drug Task Force, under the direction of Sheriff Michael Filicetti; the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge James B. Devito; the New York State Police, under the direction of Major James Hall; and the Orleans County District Attorney’s Office, under the direction of District Attorney Joseph Cardone.
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Marijuana smuggling trucker sentenced after recanting wife’s hostage hoaxRead the Press Release
LAREDO, Texas – A 33-year-old resident of Nuevo Laredo, Tamaulipas, Mexico, has been ordered to federal prison following his conviction of conspiracy to import and importing more than 1,000 kilograms of marijuana, announced U.S. Attorney Ryan K. Patrick.
Ruben Maldonado-Espino pleaded guilty July 7.
Today, U.S. District Judge Marina Garcia-Marmolejo handed Maldonado-Espino a 36-month term of imprisonment. Not a U.S. citizen, he is expected to face removal proceedings following the sentence. At the hearing, the court heard additional testimony about his false claims of coercion. In handing down the sentence, the court noted that falsely claiming your family is being threatened hurts others – those that actually do have that happen. More who falsely claim the cartel is threatening them could cause authorities to be less inclined to believe them.
“While some may mistakenly view smuggling controlled substances as a path to a quick profit, the sentencing of Maldonado-Espino demonstrates the serious consequences for those who engage in criminal activity,” said Special Agent in Charge Shane Folden of Immigration and Customs Enforcement's Homeland Security Investigations (HSI). “HSI will continue to work closely with our law enforcement partners to protect our communities and bring drug smugglers to justice.”
On May 7, Maldonado-Espino drove a semi-truck and trailer through the World Trade Bridge near Laredo. Authorities conducted an X-ray examination of the vehicle which revealed anomalies in the trailer.
Law enforcement began to open the doors, at which time Maldonado-Espino admitted he knew drugs were in the trailer. He claimed a Mexican drug cartel was holding his wife hostage and forced him to smuggle the narcotics.
However, authorities contacted his wife who appeared to be calm and not under distress. Maldonado-Espino eventually admitted the story was a lie he was told to give to law enforcement.
Law enforcement ultimately found 198 bundles of marijuana inside the trailer. They had an approximate weight of 4,601 pounds and an estimated street value of $875,000.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
HSI conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul Harrison prosecuted the case.
Manchester Man Pleads Guilty to Distributing Fentanyl and CrackRead the Press Release
CONCORD - Jared Woodman, 39, of Manchester, pleaded guilty in federal court to distributing controlled substances, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on two occasions in February of 2019, an individual working with law enforcement officers participated in controlled purchases of fentanyl and crack cocaine from Woodman.
Woodman is scheduled to be sentenced on March 2, 2021.
“Drug trafficking impacts the health and safety of the citizens of Manchester,” said U.S. Attorney Murray. “Through Operation SOS, we are partnering with the Manchester Police Department to target drug dealers in Manchester for federal prosecution in order to improve the quality of life in the Queen City.”
This matter was investigated by the Manchester Police Department. The case is being prosecuted by Assistant U.S. Attorney Joachim H. Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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Louisiana Man Sentenced to 15 Years in Prison for Trafficking MethamphetamineRead the Press Release
Jackson, Miss. – Shawn Louis Romero, 47 of Lafayette, Louisiana, was sentenced yesterday by Chief U.S. District Judge Daniel P. Jordan III, to 180 months in federal prison and 5 years of supervised release for conspiring to possess with intent to distribute 50 grams or more of methamphetamine, announced U.S. Attorney Mike Hurst and Special Agent in Charge Brad L. Byerley with the Drug Enforcement Administration. Romero was also ordered to pay a $1,500 fine.
In November 2017, during an extensive investigation targeting illegal methamphetamine distribution in central Mississippi, DEA agents learned that Romero was transporting large amounts of methamphetamine to the Jackson area. On November 20, 2017, federal agents and local law enforcement set up surveillance to intercept a suspected drug transaction involving Romero. Romero was pulled over while traveling on Interstate 20. Officers searched his vehicle and found approximately 5 pounds of methamphetamine with a purity level of 98%.
Romero was charged in a superceding indictment on September 10, 2019 and pled guilty before Judge Jordan on March 5, 2020.
The case was investigated by the Drug Enforcement Administration, Bureau of Alcohol Tobacco Firearms and Explosives, U.S. Marshals Service, Hinds County Sheriff’s Office, Jones County Sheriff’s Office, Jackson Police Department, Richland Police Department, Warren County Sheriff’s Office, Mississippi Bureau of Narcotics and the Internal Revenue Service. It was prosecuted by Assistant United States Attorneys Chris Wansley and Keesha Middleton.
Local Law School Graduate Who Twice Failed Bar Exam and Set up Two Fake Law Firms Sentenced to More Than Four Years in Federal PrisonRead the Press Release
Tampa, FL – Senior U.S. District Judge James Moody, Jr. today sentenced Roberta A. Guedes (41, Tampa) to four years and six months in federal prison for mail fraud and aggravated identity theft in connection with a fraudulent scheme wherein Guedes posed and practiced law as a licensed attorney. The court also ordered Guedes to pay $14,318 in restitution to her victims.
Guedes had pleaded guilty on December 17, 2019.
According to court documents, in 2014, Guedes graduated from Stetson University College of Law, but twice failed the Florida Bar exam. Guedes has never been licensed to practice law in Florida nor in any other state. Despite this, in the fall of 2014, Guedes incorporated two fake law firms—Ferguson and McKenzie LLC, and Immigration and Litigation Law Office, Inc. Guedes marketed her legal services and rented office space at the Rivergate Tower in downtown Tampa. She took on multiple client-victims, misrepresenting herself as an attorney. Guedes charged her client-victims fees for services, which ranged from representation in immigration proceedings to family law matters. At times, Guedes impersonated a law school classmate and licensed attorney who had no involvement in Guedes’s sham law firms. As part of her fraudulent scheme, Guedes filed court pleadings and immigration petitions using her former classmate’s name and Florida Bar number, and she also made several personal appearances in federal immigration court (Orlando) and in Hillsborough County court posing as a licensed attorney.
Following the initiation of a Florida Bar investigation into her conduct, Guedes falsified and filed a third party affidavit in an attempt to undermine and discredit that investigation.
Guedes furthered her fraudulent scheme by using other victims’ personal identity information. For example, Guedes used one victim’s Social Security number, birthdate, and other identifying information to form corporations and to open bank accounts, credit cards, and other lines of credit for personal expenses and business-related expenses for her sham law firms.
“For years, Guedes engaged in a brazen pattern of fraud and deceit upon our legal and financial institutions,” said HSI Tampa Assistant Special Agent in Charge Hector X. Colon. “Thanks to HSI and USCIS special agents and the Largo Police Department, she will be held accountable for her crimes.”
“The defendant’s illegal actions abused the trust placed in her by clients,” said USCIS Tampa District Director Michael Borgen. “USCIS is dedicated to identifying and exposing immigration fraud schemes, and we are proud to have partnered with ICE and the U.S. Attorney’s Office to shut down this illegal and deceptive practice.”
This case was investigated by Homeland Security Investigations and the United States Citizenship and Immigration Services, with assistance from the Largo Police Department. It was prosecuted by Assistant United States Attorney Frank Murray.
Leader of Rhode Island Latin Kings Chapter Pleads Guilty to Narcotics Conspiracy ChargesRead the Press Release
BOSTON – A leader of the Rhode Island Chapter of the Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to conspiracy charges.
Joel Francisco, a/k/a “King Casper,” 42, pleaded guilty today to conspiracy to distribute cocaine. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for March 3, 2021. Francisco was arrested and charged in December 2019, at which time he was identified as a leader of the Rhode Island Chapter of the Latin Kings.
During the plea proceedings, Francisco admitted that in August 2019, he conspired with others to purchase cocaine from members of the Latin Kings in New Bedford for resale. On Sept. 4, 2019, Francisco was captured in a video recording purchasing approximately 186 grams of cocaine from members of the New Bedford Chapter in a deal facilitated by a co-conspirator.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Joel Francisco is the 22nd defendant to plead guilty in the case.
The conspiracy charge provides for a sentence of up to 20 years in prison, supervised release for a minimum of three years, up to life, and a fine of up to $1,000,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Commissioner Carol Mici of the Massachusetts Department of Correction made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard and Mark Grady of Lelling’s Criminal Division are prosecuting the case.
This effort is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Leader of Baton Rouge-Based "FreeBandz" Drug Trafficking Organization Sentenced to 181 Months in Federal PrisonRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge Brian A. Jackson sentenced Shanard Zelron Banks, age 32, to 181 months in federal prison following his convictions for conspiracy to distribute and possess with the intent to distribute controlled substances, possession with intent to distribute 500 grams or more of methamphetamine, possession of firearms in furtherance of a drug-trafficking crime, unlawful use of a communication facility, and engaging in monetary transactions in property derived from specified unlawful activity. The Court further sentenced Banks to serve five years of supervised release following his term of imprisonment and ordered that the firearms involved be forfeited along with $20,000 and a 2011 Porsche Panamera that he purchased using drug trafficking proceeds.
Banks was charged along with twenty other individuals in connection with an extensive federal, state, and local investigation by the Middle District Organized Crime and Drug Enforcement Task Force (OCDETF) aimed at a drug trafficking organization – FreeBandz – based and operating in Baton Rouge, Louisiana. As a result of this investigation, 19 defendants have been convicted, 10 have been sentenced and one is scheduled for jury trial in February of 2021.
According to admissions made as part of his guilty plea, Banks controlled the organization’s illegal pill-pressing operation whereby he and his co-conspirators used pill press machines, punches, dies, and pill pressing chemicals to illegally manufacture tens of thousands of counterfeit controlled substance pills. The counterfeit pills were tainted with undisclosed amounts of heroin, methamphetamine, fentanyl analogues, clonazolam, and other controlled substances that Banks’ co-conspirator obtained from sources located in Houston, Texas, and Los Angeles, California. These pills were then imprinted with various marks, including several for controlled substance pharmaceuticals. Thereafter, Banks and his co-conspirators distributed the counterfeit pills to others for further distribution in Baton Rouge, Mississippi, the New Orleans metropolitan area, and elsewhere. The drug trafficking operation formed in or before 2016 and continued until it was disrupted by law enforcement intervention in 2018.
During their investigation, law enforcement agents recovered a .380 caliber Taurus revolver, a .556 caliber Smith & Wesson semi-automatic rifle, and five semi-automatic pistols of varying calibers from a number of residences and commercial premises that were used to store drugs and drug proceeds, and to conduct drug transactions. These firearms were possessed by Banks and a co-conspirator with the purpose of advancing Banks’ drug trafficking operation.
U.S. Attorney Fremin stated, “This defendant is one of the key leaders of a drug trafficking organization responsible for trafficking large amounts of counterfeit pills laced with heroin and other illegal drugs throughout our district. This sentencing has significantly advanced efforts to restore law and order in the community. The combined federal, state, and local efforts that culminated in this conviction once again reflect our unified front against crime in this district. I appreciate the tremendous dedication and hard work by the agents and prosecutors who worked tirelessly on this important matter.”
DEA Assistant Special Agent in Charge Michael R. Sader said, “Illegal dangerous drugs, including methamphetamine, destroy lives and have far-reaching negative effects in communities where they take hold. By targeting local distribution networks in the Baton Rouge area and beyond, DEA and our federal, state and local law enforcement partners are working to reduce overall crime and improve the quality of life for area residents. The numerous arrests and seizures in this investigation are the result of our close cooperation and part of our ongoing efforts to ensure that drug traffickers are held responsible for the harm they cause. This lengthy sentence sends a message of our unending resolve to pursue drug traffickers who wreak havoc in our communities.”
This investigation is another effort by the OCDETF Program, which was established in 1982 to mount a comprehensive attack against organized drug traffickers. Today, the OCDETF Program is the centerpiece of the United States Attorney General’s drug strategy to reduce the availability of drugs by disrupting and dismantling major drug trafficking organizations, money laundering organizations, and related criminal enterprises. The OCDETF Program operates nationwide and combines the resources and unique expertise of numerous federal, state, and local agencies in a coordinated attack against major drug trafficking and money laundering organizations.
This OCDETF operation is being handled by the U.S. Attorney’s Office for the Middle District of Louisiana; the Baton Rouge District Office of the Drug Enforcement Administration; and the Baton Rouge Field Office of the Bureau of Alcohol, Tobacco, Firearms, & Explosives. This matter is being prosecuted by Assistant United States Attorney Jennifer Kleinpeter, who also serves as a deputy criminal chief.
Las Vegas Man Pleads Guilty to Unlawful Possession of Firearms After Officers Respond to Domestic Violence CallRead the Press Release
LAS VEGAS, Nev. — A Las Vegas man with prior felony convictions pleaded guilty today to unlawful possession of firearms, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Patrick Gorman for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
“Domestic violence and firearms are too often a deadly combination,” said U.S. Attorney Trutanich. “One of our office’s top priorities in launching Project Veronica was to get guns out of the hands of domestic violence offenders.”
“ATF works diligently to prevent and reduce gun violence,” said Special Agent in Charge Gorman. “These collective efforts from ATF, the U.S. Attorney’s Office and our law enforcement partners are aimed at investigating crimes that significantly impact and harm members of the Las Vegas community. ATF will continue to work alongside our partners to ensure those who illegally possess firearms are held accountable.”
Akila Chappell-Hersh, 26, pleaded guilty to two counts of felon in possession of a firearm before U.S. District Judge Gloria M. Navarro, who scheduled a sentencing hearing on February 17, 2021. Chappell-Hersh was indicted by a grand jury in May 2020.
According to court documents, in November 2019, Las Vegas Metropolitan Police Department officers responded to a domestic violence incident at an apartment in Las Vegas. Officers learned that Chappell-Hersh had been arguing with his wife while holding a handgun. Law enforcement executed a search warrant and found a .40 caliber Sig Sauer P229 handgun under the mattress in a bedroom. Later, on May 7, 2020, Chappell-Hersh was found in possession of a .45 caliber Glock 30S handgun with a 26-round extended magazine.
Chappell-Hersh is prohibited from possessing a firearm due to prior felony convictions in Clark County, Nevada, for possession of a firearm by a prohibited person and possession of stolen property.
At sentencing, Chappell-Hersh faces a statutory maximum sentence of 10 years in prison and a $250,000 fine on each count of felon in possession of a firearm. The sentencing of a defendant is determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case was investigated by ATF. Assistant U.S. Attorney Brett Ruff is prosecuting the case.
This case was brought as part of Project Veronica, an initiative that the Department of Justice and the U.S. Attorney’s Office for the District of Nevada launched in August 2020. Project Veronica brings together law enforcement agencies, tribes, victims of domestic violence, and local and state government within Nevada to curb domestic violence and sexual violence. Project Veronica is named in honor of a local victim of domestic violence named Veronica Caldwell. In 2015, Veronica lost her life at the hands of her husband, who also shot and killed Veronica’s daughter Yvonne and her daughter’s boyfriend.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the U.S. Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
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Justice Department Signs Antitrust Memorandum of Understanding with Korean Prosecution ServiceRead the Press Release
Yesterday, the Department of Justice signed an antitrust Memorandum of Understanding (MOU) with the Korean Prosecution Service (KPS). The MOU is designed to promote increased cooperation and communication on criminal antitrust enforcement and policy in both countries.
Assistant Attorney General Makan Delrahim of the U.S. Department of Justice’s Antitrust Division signed the MOU in a virtual ceremony with Prosecutor General Yoon Seok-Youl of the KPS, who was in Seoul, South Korea. The MOU went into effect upon signature.
“This memorandum of understanding recognizes the increasing importance of criminal antitrust enforcement in South Korea, and the prioritization of both countries to detect and punish illegal cartel activity,” said Assistant Attorney General Delrahim. “The KPS has become a close enforcement partner in recent years, and this MOU provides a foundation for even greater cooperation and coordination.”
Highlights of the MOU include the following:
- a shared commitment to consider both parties’ enforcement objectives and important interests when conducting enforcement activities;
- a commitment of both parties to exchange experiences on the enforcement of their criminal cartel laws and engage in shared trainings and other technical assistance initiatives; and
- an obligation to maintain the confidentiality of any information provided by the other party and honor prohibitions on sharing information when not permitted by law.
The United States has a close trading and military partnership with South Korea. The KPS has taken on a more prominent role in criminal antitrust enforcement in South Korea, and the MOU is intended to further strengthen the relationship between the two law enforcement partners as they work together to root out harmful collusive conduct that affects consumers in both countries.
The MOU with the KPS closely resembles an earlier MOU the Department of Justice reached with the Korea Fair Trade Commission in 2015.
Assistant Attorney General Delrahim’s remarks at the signing ceremony of the MOU is available at https://www.justice.gov/opa/speech/assistant-attorney-general-makan-delrahim-delivers-remarks-virtual-mou-signing-ceremony.
Jury convicts Cuban national of transporting illegal aliens in phony delivery truckRead the Press Release
CORPUS CHRISTI, Texas – A Corpus Christi federal jury has convicted a legal permanent resident who resided in Houston for transporting illegal aliens in a vehicle disguised as a FedEx truck, announced U.S. Attorney Ryan K. Patrick
The jury deliberated for six hours before convicting Yoel Marrero-Goitizolo, 42, following a one-day trial.
On Feb. 3, Marrero-Goitizolo arrived at the Border Patrol Checkpoint near Sarita. He was driving a vehicle that appeared to be a FedEx Ground truck. However, authorities noticed the vehicle seemed to be unevenly painted. The jury also heard that a K-9 also had alerted to the vehicle. Law enforcement then referred Marrero-Goitizolo to the secondary area for further inspection.
Authorities subsequently discovered 12 aliens who were citizens and nationals of Honduras, Brazil, Mexico, El Salvador and People’s Republic of China – all illegally present in the United States. Testimony revealed they had been hiding in the truck’s cargo area.
The jury also heard that Marrero-Goitizolo was wearing a FedEx polo shirt. However, testimony revealed Marrero-Goitizolo had never worked for the company and that the truck did not belong to FedEx.
Marrero-Goitizolo attempted to convince the jury that he did not knowingly transport the aliens. They did not believe those claims and found him guilty as charged.
U.S. District Judge Drew B. Tipton presided over the trial and set sentencing for Feb. 9, 2021. At that time, he faces up to five-years imprisonment. The charge also carry a possible $250,000 maximum fine.
Previously released on bond, Marrero-Goitizolo was taken into custody following the conviction today where he will remain pending sentencing.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with assistance from Customs and Border Protection. Assistant U.S. Attorney Yifei Zheng is prosecuting the case.
Judge sentences St. Louis County man for drug and firearm offensesRead the Press Release
ST. LOUIS, MO – United States District Judge Catherine D. Perry sentenced Dajuan Hall, Jr. to 132 months in prison today. The 28-year-old Hazelwood, Missouri resident pleaded guilty to several drug and firearms offenses, along with being a felon in possession of a firearm.
On July 14, 2018, Hazelwood Police answered a call for ‘shots fired’ at Knollwood Apartments and learned someone left the area with an AK-47-type assault rifle. Police discovered a gunshot victim bleeding heavily from the chest. In searching the area for witnesses and other possible victims, police made contact with Hall, Jr., and another person who lived in one of the units.
Witnesses told police they heard an argument at the time of the shooting come from inside the unit. Hall was not cooperative, denied anyone else was in the unit and denied any knowledge of the shooting. Police detained Hall after confirming he had active warrants for his arrest. Lawful police searches of the unit revealed two people in a back room and various firearms, ammunition and drug evidence, including: two loaded pistols; three loaded assault rifles; a box of .48 caliber ammo; .38 caliber rounds; a .40 caliber 50-round capacity drum magazine; an extended magazine with 10 .45 caliber rounds and a box of .223 ammo (79 rounds); a revolver; a rifle; boxes of rifle ammunition; fentanyl; synthetic fentanyl; heroin; marijuana. Hall also possessed 264 capsules of Dormin, an ingredient used to “cut” controlled substances as well as other drug distribution paraphernalia and ten cellphones.
On August 23, 2018, investigators with St. Louis County Police Narcotics Unit and FBI agents executed another search warrant at Hall’s new residence in St. Louis County. Hall was present when police found a clear plastic bag containing an off-white powder, which Hall admitted was fentanyl that he was selling.
On September 6, 2018, an undercover detective bought fentanyl from a member of “Crew B.” The detective exchanged $60 with the drug seller in a vehicle driven by Hall. Police tried making an arrest, but Hall and the passenger ran. Police eventually took both into custody and searched the vehicle, which contained a pistol, drugs and phones.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, Hazelwood Police Department, Major Case Squad and St. Louis County Police Department investigated this case. Assistant United States Attorney Paul D’Agrosa is handling the case.
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Joint FBI-LAPD Investigation into South L.A. Street Gang Leads to 14 Arrests on Federal Charges of Distributing Crack Cocaine and MethRead the Press Release
LOS ANGELES – An investigation led by the FBI and the Los Angeles Police Department last night and this morning resulted in the arrest of 14 defendants linked to the Hoover Criminal Gang on federal charges alleging the distribution of narcotics, some of which were sold to customers out of two South Los Angeles storefronts.
The investigation – dubbed Operation Hoover Dam – resulted in three indictments being returned over the past few weeks by a federal grand jury. The indictments allege that the defendants – all members or associates of the street gang, or alleged drug dealers who operated in gang territory – sold methamphetamine, crack cocaine, cocaine and phencyclidine (PCP). One indictment also alleges weapons violations, including carrying a firearm in relation to a drug trafficking crime.
The main indictment charges 10 defendants, including two senior gang members who operated stores where narcotics allegedly were peddled. Bobby Lorenzo Reed, a.k.a. “Zo,” 56, the owner of the H&E Smoke and Snack Shop, and Andrew Tate, a.k.a. “Batman,” 52, the owner of the TNN Market, each sold methamphetamine, crack cocaine and powder cocaine from their respective South Los Angeles stores, referred customers to one another, supplied one another, and directed their employees to engage in drug sales and referrals, according to the indictment, which details dozens of narcotics transactions in 2017 and 2018.
The 32-count indictment further charges Tate and a second person with conspiring to distribute heroin inside Solano State Prison in Vacaville. In this conspiracy, Tate allegedly supplied heroin to Lashina Lacy, 33, of Fresno, who allegedly attempted to smuggle the contraband into the prison for an incarcerated gang member, who, in turn, intended to sell the heroin to other inmates. As a result of this part of the investigation, which included the California Department of Corrections and Rehabilitation, the heroin was intercepted before entering the prison.
The second indictment unsealed today charges three defendants with participating in a series of narcotics transactions in 2018, some involving sales of approximately one and two ounces of methamphetamine and crack cocaine.
The third indictment unsealed today charges two people with distributing street-level quantities of PCP and crack cocaine.
The three indictments charge a total of 15 defendants. After 14 arrests last night and this morning, authorities are continuing to search for one defendant, Ricky Blue, 51.
The defendants were taken into custody primarily in South Los Angeles, but arrests were also made in South Gate and Fresno.
The defendants arrested in the Los Angeles area are expected to be arraigned this afternoon in United States District Court.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of the charges alleged in the indictments, most of the defendants would face mandatory minimum sentences of five or 10 years in federal prison.
Operation Hoover Dam was conducted by the FBI, the Los Angeles Police Department, and the California Department of Corrections and Rehabilitation
The prosecutions resulting from the investigation are being handled by Assistant United States Attorney Scott D. Dubois of the International Narcotics, Money Laundering, and Racketeering Section.
Jefferson County Doctor Convicted of Health Care Fraud ViolationsRead the Press Release
BEAUMONT, Texas — A 43-year-old physician practicing in Beaumont has been found guilty of federal health care fraud violations in the Eastern District of Texas, announced U.S. Attorney Stephen J. Cox today.
Grigoriy T. Rodonaia, of Port Neches, Texas, was convicted by a jury this afternoon of 12 counts of health care fraud, three counts of aggravated identity theft, one count of making a false statement, and two counts of accepting kickbacks. The guilty verdict came following a four-day trial before U.S. District Judge Marcia Crone.
Rodonaia, a physician practicing in Beaumont with Rodonaia Family Medicine and Aesthetics, was indicted on March 18, 2020. According to information presented in court, beginning in January 2015, Rodonaia participated in a health care fraud scheme by issuing prescriptions for specially compounded scar creams using the names, dates of birth, and Health Insurance Claim Numbers of TRICARE beneficiaries, and caused the prescriptions to be forwarded directly to Memorial Compounding Pharmacy in Houston, Texas. These prescriptions were issued without consultation with the patient and without the patient’s knowledge. The prescriptions were billed to the military health care program, TRICARE, by the pharmacy at approximately $9,000 to $13,000 per prescription, with multiple refills authorized per prescription. Rodanaia issued over 600 prescriptions in the names of approximately 140 beneficiaries in furtherance of this scheme. Before the scheme could be detected, TRICARE paid approximately $6.7 million in TRICARE funds to Memorial Compounding Pharmacy. Further, to conceal his criminal activity, Rodonaia created fictitious patient files and records that falsely indicated that he had examined or consulted with those patients, and submitted those false records to the Defense Health Agency in response to an audit.
Rodonaia additionally violated the Anti-Kickback Statute by requiring Medicare and Medicaid beneficiaries seeking opioid treatment to pay cash for an office visit in excess of the amount which would have been reimbursed by the Medicare and Medicaid programs.
Rodonaia was taken into custody following his conviction. He faces up to 10 years in prison for each count of health care fraud and an additional two year consecutive term of imprisonment for each count of aggravated identity theft. A sentencing date has not been set.
This case was investigated by the Defense Criminal Investigative Service, the Drug Enforcement Administration, Health and Human Services – Office of Inspector General, and the Texas Medicaid Fraud Control Unit. Assistant U.S. Attorney Robert L. Rawls prosecuted this case.
Jacksonville Armed Drug Dealer Sentenced to Ten Years in PrisonRead the Press Release
Jacksonville, Florida – U.S. District Judge Marcia Morales Howard has sentenced Douglas Lanier Hogan (31, Jacksonville) to 10 years in federal prison for possessing a firearm in furtherance of a drug trafficking crime on two separate occasions. Hogan had pleaded guilty on August 12, 2020.
According to court documents, in July 2019, a cooperating defendant and a confidential informant, who were working at the direction of the Bureau of Alcohol, Tobacco, Firearms and Explosives, began purchasing crack cocaine from Hogan and his co-defendant, Terrence Eugene Watts, at a motel in Jacksonville. During at least one of these purchases, both Hogan and Watts were armed with pistols. In early August 2019, Hogan, a convicted felon, sold a .357 caliber pistol to the cooperating defendant. In late August 2019, Hogan again sold crack cocaine to the cooperating defendant and confidential informant from a residence in Jacksonville. In September 2019, Hogan sold crack cocaine to the confidential informant from another residence. During that transaction, Hogan possessed a pistol with an extended magazine, which he had offered to sell for $500. In October 2019, Hogan was arrested at one of the residences, inside of which were controlled substances and a drug scale. Hogan later admitted that he had sold drugs and that he had been to prison before and knew he could not possess firearms.
Terrence Eugene Watts previously pleaded guilty for his role in this case. His sentencing hearing is scheduled for January 11, 2021.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Laura Cofer Taylor.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Middle District of Florida, U.S. Attorney Maria Chapa Lopez coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
Jackson Man Sentenced under Project EJECT to over 10 Years in Federal Prison for Trafficking MethamphetamineRead the Press Release
Jackson, Miss – Cedrick Tillman, 35, of Jackson, was sentenced today by U.S. District Judge Henry T. Wingate to 121 months in prison, followed by 4 years of supervised release, for possessing with intent to distribute methamphetamine, announced U.S. Attorney Mike Hurst and Michelle A. Sutphin, Special Agent in Charge of the Federal Bureau of Investigation in Mississippi. Tillman was also ordered to pay a $1,500 fine, and will serve his federal sentence consecutively to the state sentence he is currently serving.
Between January and March 2019, Tillman sold methamphetamine to an individual on multiple occasions. He was indicted by a federal grand jury on August 6, 2019, and he pled guilty before Judge Wingate on June 24, 2020.
The case was investigated by the Federal Bureau of Investigation and prosecuted by Assistant United States Attorney Bert Carraway.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Indictment: Kansas Man’s Autopsy Business Was Based on Fraudulent ClaimsRead the Press Release
KANSAS CITY, KAN. – A Kansas man who ran an autopsies-for-hire business was indicted today on federal fraud charges, U.S. Attorney Stephen McAllister said.
In addition to criminal penalties, the indictment seeks to recover more than $1 million in fees paid by the defendant’s clients. Victims are encouraged to email [email protected] or call 316-660-6439.
Shawn Lynn Parcells, 41, Leawood, Kan., is charged with 10 counts of wire fraud.
The indictment alleges Parcells falsely led clients to believe they would receive an autopsy report prepared by a pathologist. In fact, in most of the cases, no pathologist was involved in the work on the autopsies. Parcells was not a physician and not a pathologist. He worked from 1996 to 2003 as a pathologist’s assistant with the Jackson County, Mo., Medical Examiner’s Office.
Parcells offered private autopsy services through his business, National Autopsy Services, based in Topeka. Clients generally paid a basic fee of $3,000 plus expenses up front for a full pathological study and diagnosis as the cause of a death of a family member.
The indictment alleges that from May 11, 2016, to May 5, 2019, Parcells obtained fees from at least 375 clients for a total amount of more than $1.1 million, but failed to provide a completed report in the majority of cases.
If convicted, Parcells could face a penalty of up to 20 years in federal prison and a fine of up to $250,000 on each count. The FBI and the Kansas Attorney General’s office investigated. Assistant U.S. Attorney Christine Kenney is prosecuting.
OTHER INDICTMENTS
Karilyn Primeau, 47, Smithville, Mo., is charged with one count of conspiracy to bribe a public official.
The indictment alleges that Primeau, who is the wife of an inmate, paid a guard at the U.S. Army Disciplinary Barracks in Leavenworth, Kan., to smuggle cell phones into the facility for use by inmates.
If convicted, she could face up to five years in federal prison and a fine up to $250,000. The FBI investigated. Assistant U.S. Attorney Tris Hunt is prosecuting.
Nicholas Newman, 19, Kansas City, Kan., is charged in a superseding indictment with three counts of distributing marijuana (counts 1, 3 and 5), two counts of distributing methamphetamine (counts 2 and 4), one count of possessing a firearm in furtherance of drug trafficking (count 6), two counts of unlawful possession of a firearm by a felon (counts 7 and 8), one count of robbery and theft of a firearm (count 9), one count of assault with a dangerous weapon (count 10) and one count of unlawful possession of a firearm in furtherance of a crime of violence (count 11). The crimes are alleged to have occurred in January and February 2020 in Wyandotte County, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1, 3 and 5: Up to five years in federal prison and a fine up to $250,000.
Counts 2 and 4: Up to 20 years and a fine up to $1 million.
Count 6: Not less than five years and a fine up to $250,000.
Counts 7 and 8: Up to 10 years and a fine up to $250,000.
Count 9: Up to 25 years and a fine up to $250,000.
Count 10: Up to 20 years and a fine up to $250,000.
Count 11: Not less than five years and a fine up to $250,000.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Dionta Washington, 29, Kansas City, Kan., is charged in a superseding indictment with five counts of distributing marijuana (counts 1, 2, 3, and 5), one count of distributing methamphetamine (court 4), two counts of possession of a firearm in furtherance of drug trafficking (counts 6 and 10), two counts of using a telephone in furtherance of drug trafficking (counts 7 and 9 ) and one count of possession with intent to distribute marijuana (count 8). The crimes are alleged to have occurred in 2019 and 2020 in Johnson County, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1, 2, 3, 5 and 8: Up to five years in federal prison and a fine up to $250,000.
Count 4: Up to 20 years in federal prison and a fine up to $1 million.
Counts 6 and 10: Not less than five years and a fine up to $250,000.
Counts 7 and 9: Up to four years and a fine up to $250,000.
The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Brandon Banister, 35, Kansas City, Kan., is charged with one count of possession with intent to distribute heroin (count 1), one count of distributing marijuana (count 2), one count of possessing a firearm in furtherance of drug trafficking (count 3) and one count of unlawful possession of a firearm by a felon (count 4). The crimes are alleged to have occurred Feb. 27, 2020, in Wyandotte County, Kan.
Upon conviction, the crimes carry the following penalties: Count 1: Not less than five years and not more than 40 years in federal prison and a fine up to $5 million.
Count 2: Up to five years and a fine up to $250,000.
Count 3: Not less than five years and a fine up to $250,000.
Count 4: Up to 10 years and a fine up to $250,000.
The FBI investigated. Assistant U.S. Attorney Sheri Catania is prosecuting.
This prosecution by the Kansas City Metro Strike Force is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) operation. OCDETF identifies, disrupts, and dismantles the highest-level criminal organizations that threaten the United States using a prosecutor-led, intelligence-driven, multi-agency approach. Additional information about the OCDETF Program can be found at https://www.justice.gov/OCDETF.
Allen E. Standish, 32, of Stafford County, Kan., is charged with one count of unlawful possession of a firearm by a user of controlled substances. The crime is alleged to have occurred Oct. 27, 2020, in Stafford County, Kan.
If convicted, he could face up to 10 years in federal prison and a fine up to $250,000. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated. Assistant U.S. Attorney Alan Metzger is prosecuting.
Joshua J. Suazo, 24, Garden City, Kan., and Alexis M. Valverde, 29, Garden City, Kan., are charged with one count of possession with intent to distribute methamphetamine (count 1), one count of possession with intent to distribute heroin (count 2) and one count of possession of a firearm in furtherance of drug trafficking (count 3). In addition, Valverde is charged with one count of unlawful possession of a firearm by a felon (count 4) and Suazo is charged with one count of unlawful possession of a firearm by a user of controlled substances (count 5). The crimes are alleged to have occurred Aug. 20, 2020, in Garden City, Kan.
Upon conviction, the crimes carry the following penalties:
Counts 1 and 2: Up to 20 years in federal prison and a fine up to $1 million.
Count 3: Not less than five years and a fine up to $250,000.
Counts 4 and 5: Up to 10 years and a fine up to $250,000.
The Garden City Police Department and the Drug Enforcement Administration investigated. Assistant U.S. Attorney Mona Furst is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Huntington Man Pleads Guilty to Drug ChargeRead the Press Release
HUNTINGTON, W.Va. – United States Attorney Mike Stuart today announced that Gregory Scott Broce, 49, of Huntington, pled guilty to one count of possession with intent to distribute heroin and crack cocaine.
“When stopped by the West Virginia State Police, Broce had baggies of crack and heroin he intended to sell,” said United States Attorney Mike Stuart. “Broce is just the latest drug dealer we’ve taken off the streets of Huntington.”
Broce admitted that on July 6, 2019, he was in a vehicle near 11th Avenue & 22nd Street in Huntington when a West Virginia State Police trooper pulled him over due to a report of the vehicle being stolen. Upon a search of the vehicle, the trooper found multiple baggies containing approximately 10.7 grams of crack cocaine and 3.4 grams of heroin. Digital scales and multiple empty baggies were located on Broce’s person.
Broce faces a maximum of 20 years in prison when sentenced on February 22, 2021.
The West Virginia State Police conducted the investigation. United States District Judge Robert C. Chambers presided over the hearing. Assistant United States Attorney Ryan A. Keefe is handling the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:20-cr-00020.
Follow us on Twitter: SDWVNews and USAttyStuart
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Hot Springs Man Sentenced to over 15 Years in Federal Prison for Drug TraffickingRead the Press Release
Hot Springs, Arkansas – David Clay Fowlkes, First Assistant United States Attorney for the Western District of Arkansas, announced today that OV Thomas, age 36, of Hot Springs, Arkansas, was sentenced to a total of 188 months in federal prison followed by five years of supervised release on one count of Distribution of a Controlled Substance that Contained Methamphetamine. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing in the United States District Court in Hot Springs.
In the spring of 2019, Detectives with the 18th East Judicial District Drug Task Force, Homeland Security Investigations and the Drug Enforcement Administration launched an investigation into Thomas for drug trafficking in the Western District of Arkansas. The investigation determined that Thomas was an upper level member of a drug distribution ring, which operated primarily in the Western District of Arkansas. In March, June and July of 2019, detectives conducted multiple controlled purchases of methamphetamine from Thomas.
Thomas was indicted by a federal grand jury in October of 2019, and entered a guilty plea in February of 2020.
This case was investigated by, the 18th East Judicial District Drug Task Force, Homeland Security Investigations Little Rock, the Drug Enforcement Administration, and the 18th East Judicial District Prosecuting Attorney’s Office. Assistant United States Attorney Bryan Achorn and Special Assistant United States Attorney Trent Daniels prosecuted the case for the Western District of Arkansas.
Hooksett Man Pleads Guilty to Computer Hacking OffensesRead the Press Release
CONCORD - Wayne Kenney, 31, of Hooksett, pleaded guilty in federal court to unauthorized access to a computer and damage to protected computers, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, in early 2015, Kenney was arrested by a police officer with the Auburn Police Department (hereafter referred to as “John Doe 1” to protect his identity) for possession of heroin, for which he received a suspended sentence and was required to attend drug counseling sessions at the Farnum Center, an addiction treatment center located in Manchester. Thereafter, Kenney engaged in a retributive course of action that involved hacking into various computers of the Auburn Police Department, the Town Offices of Auburn, and the Farnum Center.
From February 2015 through July 2015, Kenney hacked into Auburn Police Department and Town of Auburn computers and deployed malicious “keylogging” software that he created, and stole employees’ log-in credentials. He then hacked into, deleted files from, and defaced employees’ online accounts. In addition, Kenney deployed malicious software that caused pop up messages to appear that stated “I pray for the death of [John Doe 1].”
Also according to court documents, on or about July 1, 2015, Kenney hacked into the website for the Farnum Center and took control of the site. He disabled a link that would have provided website visitors access to information about alcohol and drug treatment assistance. He also changed their 24-hour emergency drug hotline phone number so that anyone calling for help would be re-routed to a number associated with adult entertainment services and would be unable to reach the Farnum Center’s emergency services.
Kenney is scheduled to be sentenced on March 2, 2021.
“The defendant’s vindictive scheme damaged the operations of the Town of Auburn and its Police Department and also impeded individuals from accessing emergency substance abuse treatment services,” said U.S. Attorney Murray. “Computer hacking schemes like this are serious offenses that have real victims and serious consequences. We will work closely with the FBI and our other law enforcement partners to identify and prosecute computer hackers whose actions target the residents of the Granite State.”
“With the stroke of a few keys, Wayne Kenney Jr. orchestrated a series of cyberattacks on the town of Auburn, New Hampshire, targeting, among others, a police officer who once arrested him. He also hacked into and defaced the website for the substance abuse center that treated him for his heroin addiction. By pleading guilty today, he has finally accepted responsibility for his vindictive crimes,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “But no matter how clever hackers like him think they are, they should know the FBI will stop at nothing to impose risks and consequences on the perpetrators behind these criminal acts.”
This case was investigated by the Federal Bureau of Investigation. The case is being prosecuted by Senior Trial Attorney Mona Sedky of the Computer Crime and Intellectual Property Section of the Justice Department’s Criminal Division and Assistant U.S. Attorney Georgiana L. MacDonald of the District of New Hampshire. Former Assistant U.S. Attorney Arnold H. Huftalen previously worked on this matter.
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Harrison County man admits to having more than 50 grams of methamphetamineRead the Press Release
CLARKSBURG, WEST VIRGINIA – David Christopher Monroe, of Clarksburg, West Virginia, has admitted today to a methamphetamine charge, U.S. Attorney Bill Powell announced.
Monroe, age 35, pled guilty to one count of “Possession with Intent to Distribute 50 grams or more of Methamphetamine.” Monroe admitted to having more than 50 grams of methamphetamine, also known as “crystal” and “ice,” in Harrison County in December 2019.
Monroe at least 10 years and up to life incarceration and a fine of up to $10,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Brandon S. Flower is prosecuting the case on behalf of the government. The Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the Bureau of Alcohol, Tobacco, Firearms & Explosives investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Grand jury indicts Northeast Missouri City Clerk for her role in stealing city moneyRead the Press Release
ST. LOUIS, MO – A federal grand jury indicted Tracey Ray, on November 5, 2020. The 48-year-old Center, Missouri resident is charged with wire fraud and federal program theft. Ray was arrested on November 17, 2020 and had her initial appearance before United States Magistrate Judge David D. Noce on November 18, 2020.
According to the indictment, Center is a city located in Ralls County, in northeast Missouri. Ray was the City Clerk of Center, Missouri. In her position, Ray was responsible for collecting and receipting all monies received by the city, paying the bills for the city and had full access to the city’s several bank accounts. Ray was authorized to sign checks on the city’s bank accounts. She received and reconciled the monthly bank statements on those accounts. She was also responsible for posting the city’s financial transactions to its computerized accounting system and preparing financial reports for the Board of Aldermen.
Beginning in or about January, 2015 and continuing through on or about July 3, 2019, Ray engaged in a scheme to defraud and obtain money from Center, Missouri in an approximate amount of $317,325.59, by means of materially false and fraudulent pretenses, representations and promises.
As part of her fraudulent scheme, on approximately 30 occasions, Ray used Center bank funds to pay for charges on her personal GM credit card. Center funds used to pay for personal charges on Ray’s GM credit card totaled approximately $206,342.53, and were for such personal expenses as retail vendor charges, entertainment, lodging and travel, hair salons, restaurants and grocery store charges. These personal credit card payments were made either by Ray’s issuance of Center bank checks, or by Ray’s wire transfer of Center bank funds. Further, through these unauthorized credit card charges and payments, Ray earned and spent an additional approximately $1,911.00 in reward funds. On approximately 39 occasions, defendant Ray issued Center bank account checks in the approximate total amount of $62,537.76 to Anthem Blue Cross and Blue Shield to pay for the premiums on a family health insurance policy, as well as on life and disability policies for her and her family members.
As a further part of her scheme, Ray issued five additional Center payroll checks to herself in the total amount of approximately $3,580.00, depositing each of those checks into her own personal bank account. On 49 occasions, Ray issued checks on one or more City bank accounts, in the total approximate amount of $35,546.85, to directly pay for the purchases of personal items and services unrelated to the legitimate business and operations of Center. Ray issued these Center checks to make personal purchases at a number of retailers, such as Kohl’s, Lowe’s, Walmart, and Hobby Lobby, as well as to pay for her personal residential mortgage and personal insurance policies. She also issued one or more of these Center checks to her family members, unrelated to the legitimate business and operations of Center. Further, Ray, as Center’s City Clerk, received cash payments from Center residents for various city charges, but Ray failed to deposit those cash receipts into the appropriate Center bank account. Instead, Ray used those cash proceeds, in the total amount of approximately $7,407.45, for her own personal use, unrelated to the legitimate business and operations of Center without the knowledge and authority of Center and its Board of Aldermen.
In order to conceal her scheme from Center and its Board of Aldermen, Ray falsified the cash balances of one or more Center bank accounts on financial reports she prepared for monthly Board of Aldermen meetings. Ray also prepared false and incomplete lists of bills to be paid which she submitted for monthly Board of Aldermen meetings. Further, Ray falsified internal Center financial accounting records to make it appear that the unauthorized checks and wires she issued from Center bank accounts were made to legitimate third party vendors who had purportedly provided actual services or materials to Center.
Charges set forth in the indictment are merely accusations and do not constitute proof of guilt. Every defendant is presumed to be innocent unless and until proven guilty.
The charge of wire fraud carries a maximum prison term of 20 years and a maximum fine of $250,000. The charge of federal program theft carries a maximum prison term of 10 years and a maximum fine of $250,000.
The Federal Bureau of Investigation, with the assistance of the Missouri State Auditor’s Office and Ralls County Sheriff’s Office, investigated the case. Assistant United States Attorney Hal Goldsmith is handling the case.
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Grand Jury Returns IndictmentsRead the Press Release
MADISON, WIS. -- A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Wausau Man Charged with Fraud Scheme Involving Illegal Distribution of Prescription Drugs
Kenneth Zipperer, 54, Wausau, Wisconsin, is charged with mail fraud, wire fraud, dispensing prescription drugs without a license, and money laundering as part of a scheme involving an unlicensed pharmacy and the distribution of misbranded prescription drugs. The 26-count indictment alleges that Zipperer, who worked as an insurance broker selling Medicare supplement health insurance policies to individuals age 65 or older, imported prescription drugs from India that were not approved by the Food and Drug Administration for use in the United States and sold them to his health insurance clients.
The indictment alleges that Zipperer was not licensed to dispense or prescribe prescription drugs, and that he used his company staff, computers, and office space to order prescription drugs from India, break down bulk shipments into quantities for individual clients, store the drug inventory, issue invoices for payment, and deposit drug customer checks into the company’s business bank account. The indictment further alleges that Zipperer requested his prescription drug customers to pay him in cash to avoid creating a paper trail of the financial transactions associated with his underground pharmacy’s operations and that he conducted financial transactions knowing they represented the proceeds of unlawful activity. Finally, the indictment seeks the forfeiture of $231,315 representing the proceeds of the alleged mail and wire fraud, and $227,116 representing the amount of money involved in the money laundering offenses.
If convicted, Zipperer faces a maximum penalty of 20 years in federal prison on each of the 5 mail fraud charges, 10 wire fraud charges, and the 9 money laundering charges. The charge of dispensing prescription drugs without a license has a maximum penalty of 3 years in federal prison.
The charges against Zipperer are the result of an investigation by the Food and Drug Administration, Office of Criminal Investigations; U.S. Postal Inspection Service; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and IRS Criminal Investigation. Assistant U.S. Attorney Daniel J. Graber is handling the prosecution.
Man Charged with Interfering with Railroad Conductor
Timothy Thomas, 31, Portland, Oregon, is charged with interfering with a railroad conductor. The indictment alleges that on November 7, 2020, Thomas interfered with an Amtrak railroad conductor while the conductor was employed in dispatching, operating, controlling, and maintaining on-track equipment, and that Thomas did so with a reckless disregard for the safety of human life.
If convicted, Thomas faces a maximum penalty of 20 years in federal prison. The charge against him is the result of an investigation by the Monroe County Sheriff’s Office, Wisconsin State Patrol, Amtrak Police Department, Canadian Pacific Police Service, and the Federal Bureau of Investigation. Assistant U.S. Attorney Chadwick M. Elgersma is handling the prosecution.
La Crosse Man Charged with Drug Crimes Involving Fentanyl & Cocaine
Jesse J. Stringer, 33, La Crosse, Wisconsin, is charged with 2 counts of distributing fentanyl, 1 count of possessing fentanyl with intent to distribute, and 1 count of possessing cocaine with intent to distribute. The indictment alleges that Stringer distributed fentanyl on September 23 and September 24, 2020. It further alleges that on October 13, 2020, he possessed cocaine and 400 grams or more of fentanyl for distribution.
If convicted, Stringer faces a maximum penalty of 20 years in federal prison on each of the distribution charges and the cocaine charge. The charge alleging the possession of 400 grams or more of fentanyl for distribution has a mandatory minimum penalty of 10 years and a maximum of life in prison.
The charges against Stringer are the result of an investigation by the La Crosse and Campbell Police Departments and the Federal Bureau of Investigation. Assistant U.S. Attorney Steven P. Anderson is handling the prosecution.
Hudson Man Charged with Distributing Methamphetamine
Jacob A. Willox, 27, Hudson, Wisconsin, is charged with distributing 50 grams or more of methamphetamine. The indictment alleges that he distributed the methamphetamine on May 5, 2020.
If convicted, Willox faces a mandatory minimum penalty of 5 years and a maximum of 40 years in federal prison. The charge against him is the result of an investigation by the Central Wisconsin Narcotics Task Force. Assistant U.S. Attorney Robert A. Anderson is handling the prosecution.
Franklin County Man Sentenced to 90 Months for Role in Drug Trafficking ConspiracyRead the Press Release
SYRACUSE, NEW YORK – Troy Lyons, age 33, of Hogansburg, New York, was sentenced today to serve 90 months in prison, to be followed by four years of supervised release, based on his conviction for membership in a federal drug trafficking conspiracy, announced Acting United States Attorney Antoinette T. Bacon, Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI), Chief Kenton Buckner, City of Syracuse Police Department, and Investigator C.J. Tonkin, Coordinator for the Oswego County Drug Task Force.
As part of his guilty plea, Lyons admitted to conspiring with two other individuals to transport approximately fifty (50) kilograms of cocaine from California to Canada. Lyons arranged for a courier to transport the cocaine from California to Syracuse, New York, and for another courier to transport the cocaine from Syracuse to Canada. Law enforcement officers seized the drugs on February 10, 2018, when one of the couriers was stopped in Syracuse
This case was investigated by Homeland Security Investigations, U.S. Internal Revenue Service- Criminal Investigation (IRS-CI), United States Border Patrol, the Oswego County Drug Task Force, the Oswego County Sheriff’s Department, the City of Oswego Police Department, the Oneida Reservation Police and the Syracuse Police Department, and was prosecuted by Assistant U.S. Attorney Nicolas Commandeur.
Four Members of Los Angeles-Based Fraud Ring Indicted for COVID-Relief FraudRead the Press Release
Four individuals were charged in an indictment for their alleged participation in a scheme to submit at least 35 fraudulent loan applications seeking over $5.6 million in COVID-19 relief guaranteed by the Small Business Administration (SBA) through the Economic Injury Disaster Loan (EIDL) and the Paycheck Protection Program (PPP) under the Coronavirus Aid, Relief and Economic Security (CARES) Act.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, and U.S. Attorney Nicola T. Hanna of the U.S. Attorney’s Office for the Central District of California made the announcement.
Richard Ayvazyan, 42, Marietta Terabelian, 36, Artur Ayvazyan, 40, and Tamara Dadyan, 39, all of Encino, California, were charged in an indictment filed in the Central District of California with one count of conspiracy to commit bank and wire fraud, four counts of bank fraud, and six counts of wire fraud. Richard Ayvazyan was also charged with one count of aggravated identity theft.
According to the indictment, the defendants conspired together, and with others, as part of a disaster relief loan fraud ring based in and around Los Angeles, California. The defendants used fake, stolen, or synthetic identities, including “Iuliia Zhadko” and “Viktoria Kauichko,” to submit fraudulent EIDL and PPP loan applications to the SBA and federally-insured financial institutions. The defendants also submitted fraudulent EIDL and PPP loan applications in their own names, using fake or fictitious businesses. The defendants also submitted false and fictitious documents in support of some of the EIDL and PPP loan applications, including fake identity documents, tax documents and payroll records.
The indictment further alleges that once the SBA and federally-insured financial institutions approved the fraudulent EIDL and PPP loans, the defendants directed them to deposit the loan proceeds into bank accounts that the defendants controlled. The defendants then used the fraudulently obtained loan proceeds for their own personal benefit, including to purchase luxury homes. Among other things, the defendants used disaster relief loan funds as down payments on two residential properties purchased for $1,000,000 and $3,250,000, respectively. Use of disaster relief loan proceeds for such purposes is expressly prohibited under the PPP and EIDL program.
The CARES Act is a federal law enacted March 29. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.
The EIDL program is designed to provide economic relief to small businesses that are currently experiencing a temporary loss of revenue. EIDL proceeds can be used to cover a wide array of working capital and normal operating expenses, such as continuation of health care benefits, rent, utilities and fixed debt payments. If an applicant also obtains a loan under the PPP, the EIDL funds cannot be used for the same purpose as the PPP funds.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FBI, IRS – Criminal Investigation, and SBA – Office of Inspector General. Trial Attorney Christopher Fenton of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Julian L. André of the Central District of California are prosecuting the case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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.
Four Harrisburg Men Charged with Firearms OffensesRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that Taashaun Mansfield, age 22, Johnny Quinones, age 27, Michael Windham, age 20, and Antonio Godbolt, age 34, all of Harrisburg, Pennsylvania, were indicted on November 4, 2020, by a federal grand jury on firearms charges. The case was unsealed following the arrest of the defendants.
According to United States Attorney David J. Freed, the indictment alleges that Mansfield, Quinones, Windham, and Godbolt engaged in a conspiracy between July 2020 and August 2020, where Mansfield purchased firearms by falsifying records that he was the true purchaser of such firearm. It is further alleged that after false statements were made to federally licensed firearms dealers, the guns were then transferred to convicted felons, Quinones and Godbolt, or those with charges pending, Windham.
“At this precise moment of increased gun violence in the city of Harrisburg, our strong partnerships between federal, state and local law enforcement have never been more important,” said U.S. Attorney Freed. “Collectively, we will not waver from our mission of taking illegal guns off the streets and prosecuting those who involved in their purchase and trafficking.”
“ATF has a zero-tolerance policy for straw purchasers who acquire firearms from a federal firearms licensee for someone who is either ineligible to purchase a firearm or wishes to conceal his/her identity,” said Matthew Varisco, Special Agent in Charge of ATF’s Philadelphia Field Division. “ATF remains committed to removing those offenders who put these guns in the hands of criminals. We will continue to work with our partners at all levels to make our communities safer.”
The case was investigated by the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives and the Harrisburg Police Department. Assistant U.S. Attorney Michael Consiglio is prosecuting 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.
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.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
The maximum penalty under federal law for this offense is ten years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Fort Myers Man Sentenced to More Than Six Years for Possessing Child Sex Abuse Images and VideosRead the Press Release
Fort Myers, Florida – U.S. District Judge John L. Badalamenti has sentenced Jeffrey Alan Dinkel (73, Fort Myers) to six years and six months in federal prison for possessing images and videos depicting the sexual abuse of children.
Dinkel had pleaded guilty on May 20, 2019.
According to court documents, Dinkel had purchased a membership to several child pornography websites. During the execution of a search warrant at his residence, agents recovered his computer and floppy disks containing images and videos depicting children being sexually abused. Dinkel admitted to the agents that he had joined numerous websites that hosted images and videos of children being forced to perform sexual acts.
This case was investigated by Homeland Security Investigations. It was prosecuted by Assistant United States Attorney Yolande G. Viacava.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Former felon imprisoned again for failing to report as sex offender in TexasRead the Press Release
BROWNSVILLE – A 60-year-old resident of Brownsville has been ordered to federal prison following his conviction of failure to register as a sex offender as required under the Sex Offender Registration and Notification Act (SORNA), announced U.S. Attorney Ryan K. Patrick.
Albert Frank Garza pleaded guilty Sept. 2.
Today, U.S. District Judge Rolando Olvera ordered Garza to serve 24 months in federal prison. He was further ordered to serve two years on supervised released following completion of his prison term, during which he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also again have to register as a sex offender.
Garza is a twice-convicted sex offender. He was convicted of first degree sexual abuse with a child under the age of 12 in 1980 and again just three years later for indecent liberties with a child under the age of 14. He received respective sentences of 48 months and 10 years in prison.
As a sex offender, he is required under SORNA to register as a sex offender every year. If he relocates, he is required to register in the new jurisdiction within three days after arrival.
Previously residing in Colorado, he had registered as a sex offender until May 30, 2014. At that time, he signed and dated an annual form acknowledging a follow-up date of June 1, 2015. However, he failed to register in 2015 as required.
In fact, he never registered as a sex offender again, and his whereabouts were unknown until 2019.
On Sep. 24, 2019, local authorities arrested Garza for failure to identify and possession of a controlled substance. At the time of his arrest, Garza used the fictitious name of Martin Infante Garcia and indicated he was homeless. A street outreach advocate at a local homeless shelter recognized his photo and identified him as someone who visited the shelter daily for breakfast from April 2019 through June 2019.
Although Garza resided in Texas from at least April 2019 until the date of his arrest in September, he failed to register within the required three days of his arrival.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The U.S. Marshals Service conducted the investigation. Assistant U.S. Attorney Nikki Piquette prosecuted the case.
Former Sailor Sentenced to Prison for Child Exploitation CrimeRead the Press Release
ALEXANDRIA, Va. – A former U.S. Navy Seabee was sentenced today to 109 months in prison for transporting images of child sexual abuse.
According to court documents, Martin Nieves Huizar, 37, of Arlington, was previously assigned to the U.S. Secretary of State's overseas travel communications detail. In January, upon returning from official government travel from Germany to Washington Dulles International Airport, Huizar was caught by Customs and Border Patrol Officers transporting images of child sexual abuse on his phones and tablet computer. Special Agents from Homeland Security Investigations then interviewed Huizar, who confessed to knowingly downloading and transporting images of child sexual abuse internationally.
Subsequent investigation revealed that Huizar had also engaged in online grooming of a 15-year-old girl in North Carolina via the social media platform, Instagram. While overseas on official government travel, Huizar made plans to meet up with the minor girl for sex shortly after his arrival back to the United States. Due to this investigation and prosecution, that meeting did not occur. Court records also revealed that Huizar previously had targeted other minor girls.
In addition to Huizar’s prison sentence, he will also be required to pay $40,100 in fines, pay $10,000 in restitution to the victims of the offense, serve a 10-year term of supervised release, and register as a sex offender upon release from the Bureau of Prisons.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ambassador Matthew Klimow, Acting Inspector General for the Department of State; and Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge Rossie D. Alston, Jr.
The Naval Criminal Investigative Service assisted in the investigation.
Special Assistant U.S. Attorney Russell L. Carlberg prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-152.
Former Resident of Canastota Pleads Guilty to Sexual Exploitation of a ChildRead the Press Release
SYRACUSE, NEW YORK – John Flinn, age 26, formerly of Canastota, New York, pled guilty yesterday to one count of sexual exploitation of a child, announced Acting United States Attorney Antoinette T. Bacon, Special Agent in Charge Kevin Kelly, Homeland Security Investigations (HSI), Buffalo, New York, Special Agent in Charge Kevin D. Sibley, Homeland Security Investigations (HSI) Tampa, Florida, and New York State Police Superintendent Keith Corlett.
Sentencing is scheduled for March 16, 2021, at which time Flinn faces a minimum of 15 years and up to 30 years in prison, a fine of up to $250,000, and a term of supervised release of at least 5 years and up to life. Flinn also will be required to register as a sex offender. A defendant’s sentence is imposed by a judge based on the statute the defendant violated, the U.S. Sentencing Guidelines, and other factors.
As part of his guilty plea, Flinn admitted that he took sexually explicit images of an approximately six-year-old victim on three different occasions. Flinn also admitted that he possessed other images of child pornography, including images of toddlers, and images depicting the sadistic and masochistic sexual abuse of children.
This case was investigated by the U.S. Department of Homeland Security, Homeland Security Investigations (Syracuse, New York and Tampa, Florida), and the New York State Police, and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
This case is being prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ Offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Former Raytheon Engineer Sentenced for Exporting Sensitive Military Related Technology to ChinaRead the Press Release
Today, Wei Sun, 49, a Chinese national and naturalized citizen of the United States, was sentenced to 38 months in prison by District Court Judge Rosemary Marquez. Sun previously pleaded guilty to one felony count of violating the Arms Export Control Act (AECA).
Sun was employed in Tucson for 10 years as an electrical engineer with Raytheon Missiles and Defense. Raytheon Missiles and Defense develops and produces missile systems for use by the United States military. During his employment with the company, Sun had access to information directly related to defense-related technology. Some of this defense technical information constituted what is defined as “defense articles,” which are controlled and prohibited from export without a license under the AECA and the International Traffic in Arms Regulations (the ITAR).
From December 2018 to January 2019, Sun traveled from the United States to China on a personal trip. On that trip, Sun brought along unclassified technical information in his company-issued computer, including data associated with an advanced missile guidance system that was controlled and regulated under the AECA and the ITAR. Despite having been trained to handle these materials correctly, Sun knowingly transported the information to China without an export license in violation of the AECA and the ITAR.
“Sun was a highly skilled engineer entrusted with sensitive missile technology that he knew he could not legally transfer to hostile hands,” said Assistant Attorney General John C. Demers. “Nevertheless, he delivered that controlled technology to China. Today’s sentence should stand as a warning to others who might be tempted similarly to put the nation’s security at risk.”
“The United States relies on private contractors to help build our unparalleled defense technology,” said United States Attorney Michael Bailey. “People who try to expose that technology to hostile foreign powers should know that prison awaits them. The close cooperation of the victim defense contractor and the dedication of the FBI made this case a success.”
“This isn’t about a laptop mistakenly taken on a trip, this was the illegal export of U.S. missile technology to China,” said Assistant Director Alan E. Kohler, Jr. of the FBI's Counterintelligence Division. “The FBI will continue to partner with companies to protect their information and our national security while bringing criminals such as Wei Sun to justice.”
The Federal Bureau of Investigation, investigated this matter with the assistance of Raytheon Missiles and Defense. Beverly K. Anderson and Nicole P. Savel, Assistant United States Attorneys, and William Mackie from the National Security Division, Counterintelligence and Export Control Section, handled the prosecution.
Former Pharmacy and Marketing Company Sales Representative Admits Role in Compounded Prescription Drug SchemeRead the Press Release
NEWARK, N.J. – A former pharmaceutical and marketing company sales representative today admitted his role in a conspiracy to defraud a New Jersey state health benefits program, U.S. Attorney Craig Carpenito announced.
Joshua Darstek, 38, of Freehold, New Jersey, pleaded guilty by videoconference before U.S. District Judge John Michael Vazquez to a superseding information charging him with conspiracy to commit health care fraud.
According to documents filed in this case and statements made in court:
Compounding is a practice in which a pharmacist or physician combines, mixes, or alters ingredients of a drug to create a medication tailored to the needs of an individual patient. The Food and Drug Administration does not approve compounded drugs and thus does not verify the safety, potency, effectiveness, or manufacturing quality of compounded drugs. Generally, a physician may prescribe compounded drugs when an FDA-approved drug does not meet the health needs of a particular patient.
Between May 2014 and January 2016, Darstek worked as a sales representative on behalf of two compounding pharmacies and a marketing company – referred to in the superseding information as the “Compounding Companies.” He marketed and sold compounded drugs to physicians, including pain, scar, and wound creams and certain supplements and vitamins. The Compounding Companies paid Darstek based on a percentage of the reimbursement payments they received from health care benefit programs for each prescription that he referred to the compounding pharmacies. Darstek participated in a conspiracy that recruited patients, many of whom had prescription drug coverage under the New Jersey School Employee’s Health Benefits Program, to submit medically unnecessary prescriptions for compounded drugs to the pharmacies. Darstek caused physicians to write prescriptions for individuals with whom they did not have any interaction for purposes of determining that a prescription for a compounded drug was medically necessary.
The conspiracy to commit health care fraud count carries a maximum penalty of 10 years in prison and a $250,000 fine, or twice the gain or loss from the offense. As part of his plea agreement, Darstek must forfeit $148,500 in criminal proceeds and pay restitution of at least $594,639. Sentencing is scheduled for March 23.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark, and the Defense Criminal Investigative Service, under the direction of Acting Special Agent in Charge Patrick J. Hegarty, with the investigation leading to today’s plea.
The government is represented by Assistant U.S. Attorney Bernard J. Cooney, Acting Chief of the Opioid Abuse Prevention & Enforcement Unit.
Former Office Manager of Boston Dental Practice Sentenced for Bank Fraud, Identity Theft and Tax FraudRead the Press Release
BOSTON – The former office manager of a Boston-based dental practice was sentenced yesterday in federal court in Boston for bank fraud and tax fraud stemming from her embezzlement of funds from her former employer.
Yuliya Vaysglus, a/k/a Julia Vaysglus, 36, formerly of Hopkinton and now residing in Campbell, Calif., was sentenced by U.S. Senior District Court Judge Mark L. Wolf to 41 months in prison and three years of supervised release. In June 2020, Vaysglus pleaded guilty to eight counts of bank fraud, one count of aggravated identity theft and three counts of filing false tax returns.
From 2009 until she was terminated in February 2015, Vaysglus was the office manager of a Boston-area dental practice where her duties included tracking client invoices, depositing insurance payments into the practice’s bank account, and recording those deposits for accounting purposes. Between 2009 and December 2014, Vaysglus embezzled more than $348,000 from the dental practice by diverting to herself at least 276 checks from various insurance companies for services rendered to patients. As part of the scheme, Vaysglus made the checks payable to herself, forged the signature of the dental firm’s owner on the checks, and deposited them into her bank account. Vaysglus failed to report the embezzled funds on her federal tax returns.
United States Attorney Andrew E. Lelling; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service in Boston; and Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement. Assistant U.S. Attorneys Sara M. Bloom and Victor A. Wild of Lelling’s Securities, Financial & Cyber Fraud Unit prosecuted the case.
Former Oconee HR Director, Guilty of Aggravated Identity Theft in Public Corruption Scheme, is Sentenced to PrisonRead the Press Release
ATHENS, Ga. – The former Oconee County human resources director, who admitted to stealing taxpayer money in a complicated paycheck scheme, has been sentenced to prison for her crime and will have to pay restitution, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia.
Sherry Turner-Seila, 52, of Panama City Beach, Florida, formerly of Watkinsville, Georgia, was sentenced by U.S. District Judge C. Ashley Royal to 24 months in prison after she previously pleaded guilty to one count of aggravated identity theft. In addition, Turner-Seila was ordered to pay $118,451.80 in restitution to Oconee County. There is no parole in the federal system.
“Turner-Selia is paying a serious penalty for abusing the public’s trust by stealing taxpayer money,” said U.S. Attorney Charlie Peeler. “Investigating and prosecuting public corruption is a top priority for the U.S. Attorney’s Office. Public officials found abusing their power will be held accountable. I want to thank the Oconee County Sheriff’s Office and the FBI for investigating this case.”
"Turner-Seila's choice to abuse her position of trust not only hurt taxpayers and co-workers, it eroded the public's trust in government," said Chris Hacker, Special Agent in Charge of FBI Atlanta. "Now she must pay a serious penalty, which hopefully sends a message to the public that her actions will not be tolerated or go unpunished."
“Our partnership with the FBI and federal prosecutors brought this case to a quick resolution. We are very pleased with their hard work and resolve to bring this felon to justice,” said Oconee County Sheriff Scott Berry.
Turner-Seila was employed as the Human Resources Director for Oconee County. As such, she was one of the few employees with access to the County’s payroll system, which transferred funds directly from the county bank account to the bank accounts of county employees. From July 6, 2016 to July 5, 2019, Turner-Seila concocted a scheme where she would use that access to temporarily change a former employee’s direct deposit information to her own personal bank account’s direct deposit information. In all, Turner-Seila stole $118,451.80 from Oconee County taxpayers.
The case was investigated by the FBI and the Oconee County Sheriff’s Office. First Assistant U.S. Attorney Peter Leary 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 O.C. Physician Assistant Admits to Knowingly Writing Opioid Prescriptions to Dealers Who Later Sold the Drugs on the StreetRead the Press Release
SANTA ANA, California – A former physician assistant at a Fountain Valley medical clinic pleaded guilty today to a federal charge that he conspired to issue and sell prescriptions for oxycodone, a highly addictive opioid painkiller, without a medical purpose, to drug dealers, knowing the drugs would be sold on the street.
Raif Wadie Iskander, 54, formerly of Ladera Ranch, but who now resides in Ennis, Montana, pleaded guilty via videoconference to one count of conspiracy to distribute oxycodone.
According to his plea agreement, from 2018 to April 2019, Iskander, who was a licensed physician assistant in California, wrote prescriptions for “patients” he had never met or examined, including an undercover law enforcement officer. Iskander provided to drug dealers multiple paper prescriptions that he had signed, but with the patient names left blank, to be filled in by drug dealers later.
In exchange for cash, Iskander wrote fraudulent oxycodone prescriptions for co-defendants Johnny Gilbert Alvarez, 40, a.k.a. “M.J.,” of Santa Ana, and Adam Anton Roggero, 37, of Costa Mesa, who sold the prescribed drugs on the street as well as to an undercover officer, according to the plea agreement.
Iskander admitted he knew that the oxycodone filled from the prescriptions would be sold to drug customers who were not using the oxycodone for legitimate medical purposes and whom defendant had never met or examined.
United States District Judge James V. Selna has scheduled an April 26, 2021 sentencing hearing, at which time Iskander will face a statutory maximum sentence of 20 years in federal prison.
Roggero pleaded guilty on October 20 to one count of conspiracy to distribute oxycodone. Alvarez is scheduled to go to trial on March 9, 2021.
This matter was investigated by the Drug Enforcement Administration, the Costa Mesa Police Department, and the California Department of Health Care Services.
This case is being prosecuted by Assistant United States Attorney Rosalind Wang of the Santa Ana Branch Office.
Former Lawyer and CPA Charged with Tax Crimes in Addition to Defrauding Elderly InvestorsRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the return of a superseding indictment charging Phillip Roy Wasserman (63, Sarasota) and Kenneth Murray Rossman (62, Bradenton) with filing false income tax returns, in addition to conspiracy to commit wire fraud and mail fraud, and substantive counts of wire fraud and mail fraud. The superseding indictment also charges Wasserman with tax evasion. If convicted, Wasserman and Rossman each face a maximum penalty of 20 years on each of the conspiracy, mail fraud, and wire fraud counts, and up to 3 years’ imprisonment on each count of filing a false income tax return. In addition, Wasserman faces a maximum of 5 years’ imprisonment for the tax evasion count. The superseding indictment also notifies the defendants that the United States is seeking a money judgment of at least $6.3 million, the proceeds of the charged criminal conduct.
According to the
superseding indictment , Wasserman, a former lawyer and licensed insurance agent, and Rossman, a Florida certified public accountant and licensed insurance agent, made false and fraudulent misrepresentations and concealed material information in order to convince elderly victim-investors to put their money into Wasserman’s new insurance venture, “FastLife.” Some victims were persuaded to liquidate traditional investments, such as annuities, and/or to borrow funds against existing life insurance policies to generate cash to invest in the venture. These victims were not told about surrender fees and other costs associated with the liquidations, and Rossman prepared income tax returns for victim-investors in a manner designed to conceal negative personal tax consequences that resulted from the liquidations from both the victim-investors and the Internal Revenue Service. Wasserman paid Rossman a percentage of the victim-investors’ money as compensation for his role in the conspiracy. Wasserman also used the victim-investors’ funds to make payments both to earlier victim-investors in the FastLife venture and to victim-investors in his earlier hedge fund and real estate fund ventures. Wasserman spent a significant amount of the victim-investors’ money to finance a lavish lifestyle that included luxury residences, high-end vehicles, jet skis, jewelry, entertainment, gambling, retail shopping, home improvements, personal insurance, and many other expenses, for his personal benefit and the benefit of his family members.The superseding indictment also alleges that Wasserman took numerous steps to evade payment of more than $900,000 in taxes and filed false individual and corporate income tax returns. It also alleges that Rossman filed false income tax returns for himself and for victim-investors.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the Internal Revenue Service - Criminal Investigation and the Florida Office of Financial Regulation. It will be prosecuted by Assistant United States Attorneys Rachelle DesVaux Bedke and Colin P. McDonell.
Former Commonwealth Edison Executives and Consultants Charged with Conspiring to Corruptly Influence and Reward State of Illinois OfficialRead the Press Release
CHICAGO — Former Commonwealth Edison executives, including the former Chief Executive Officer, conspired with outside consultants to corruptly influence and reward a high-level elected official for the State of Illinois to assist with the passage of legislation favorable to the electric utility company, according to an indictment returned today in U.S. District Court in Chicago.
The indictment charges four individuals with bribery conspiracy, bribery, and willfully falsifying ComEd books and records:
- MICHAEL McCLAIN, 73, of Quincy, Ill. McClain worked as a lobbyist and/or consultant for ComEd after serving in the Illinois House of Representatives in the 1970s and early 1980s.
- ANNE PRAMAGGIORE, 62, of Barrington, Ill. Pramaggiore was CEO of ComEd from 2012 to 2018, and later served as a senior executive at an affiliate of Exelon Corp., of which ComEd was a subsidiary.
- JOHN HOOKER, 71, of Chicago, Ill. Hooker served as ComEd’s executive vice president of legislative and external affairs from 2009 to 2012, after which he worked as an external lobbyist for ComEd.
- JAY DOHERTY, 67, of Chicago, Ill. Doherty owned Jay D. Doherty & Associates, which performed consulting services for ComEd from approximately 2011 to 2019.
Arraignments in federal court in Chicago have not yet been scheduled.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI; and Tamera Cantu, Acting Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago. The government is represented by Assistant U.S. Attorneys Amarjeet S. Bhachu, Diane MacArthur, Timothy J. Chapman, Sarah E. Streicker, Matthew L. Kutcher, and Michelle Kramer.
According to the charges, the defendants’ efforts to influence and reward the high-level elected official – identified in the indictment as “Public Official A” – began in or around 2011 and continued through in or around 2019. During that time, Public Official A controlled what measures were called for a vote in the Illinois House of Representatives and exerted substantial influence over fellow lawmakers concerning legislation affecting ComEd, the indictment states. The charges allege that the defendants conspired to corruptly influence and reward Public Official A by arranging for jobs and contracts for Public Official A’s political allies and workers, even in instances where those people performed little or no work that ComEd purportedly hired them to perform. The defendants allegedly created and caused the creation of false contracts, invoices, and other books and records to disguise the true nature of some of the payments and to circumvent internal controls at ComEd.
In addition to the jobs and contracts, the indictment alleges that the defendants undertook other efforts to influence and reward Public Official A, including causing ComEd to retain a particular outside law firm favored by Public Official A and to accept into ComEd’s internship program a certain amount of students who resided in the Chicago ward associated with Public Official A. Pramaggiore and McClain also allegedly took steps to have an individual appointed to ComEd’s Board of Directors at the request of Public Official A and McClain, the indictment states.
The public is reminded that an indictment 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. If convicted, the Court must impose reasonable sentences under federal statutes and the advisory U.S. Sentencing Guidelines.
Former Chattanooga-Area Public Claims Adjuster Pleads Guilty to Mail Fraud SchemeRead the Press Release
CHATTANOOGA, Tenn. – On November 10, 2020, Benjamin Reichel, 54, formerly of Ringgold, Georgia, entered a guilty plea to one count of mail fraud before United States Magistrate Judge Susan K. Lee in the United States District Court for the Eastern District of Tennessee at Chattanooga.
Reichel admitted to engaging in a scheme to defraud through his business, Loss Recovery Specialists (“LRS”), which held itself out to be a public claims adjuster licensed through the Tennessee Department of Commerce and Insurance. Through LRS, Reichel identified homeowners and businesses who had suffered property damage and were seeking reimbursement through their insurance policies. Reichel then solicited payments for repairs and other services, misusing his victims’ funds for personal and private gains, and improper professional expenses. Reichel agreed that the United States could present proof of losses totaling between $550,000 and $1,500,000.
The charges resulted from an investigation conducted by the Federal Bureau of Investigation, the United States Postal Inspection Service, the Cleveland Police Department, and other local law enforcement agencies. In connection with his plea agreement, the defendant agreed to forfeit certain funds and accounts to the United States, including a home in Ringgold.
Sentencing is set for April 7, 2021, at 2:00 p.m., in United States District Court in Chattanooga. The defendant faces a term of up to 20 years in prison, potential fines of up to $250,000, and the obligation of paying restitution to his victims. Individuals and businesses who believe they may be victims of this scheme or entitled to restitution are encouraged to contact the FBI via e-mail at [email protected].
Assistant U.S. Attorney Kyle J. Wilson represented the United States.
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Former Big Sandy Prison Employee and Inmate Indicted for Methamphetamine Trafficking and Other ChargesRead the Press Release
LEXINGTON, Ky.- A former Cook Supervisor at United States Penitentiary Big Sandy, Hank Williams, 56, of Weeksbury, Kentucky, was indicted on Thursday in federal court for one count of conspiracy to distribute 50 grams or more of methamphetamine, one count of money laundering, two counts of attempting to possess with intent to distribute 50 grams or more of methamphetamine, one count of accepting a bribe by a public official, one count each of attempting to provide and providing contraband, and three counts of using a communication device to facilitate a felony offense.
A former Big Sandy inmate, Librado Navarette, 34, was also charged with one count of bribery of a public official and one count of possession of contraband.
The indictment alleges that, beginning in March 2016 and continuing through September 27, 2019, Williams conspired with others to distribute 50 grams or more of methamphetamine and conspired with others to money launder. The indictment further alleges that Williams, a public official, accepted a bribe from Navarette. Williams was also indicted for aiding and abetting the use of the U.S. mail to possess with intent to distribute controlled substances.
The investigation preceding the indictment was conducted jointly by the Department of Justice’s Office of the Inspector General, FBI, the United States Postal Service, and the Georgetown Police Department.
William’s appearance before the United States District Court has not been scheduled. If convicted, Williams faces a maximum prison sentence of 20 years. However, any sentence following conviction would be imposed by the court after consideration of the United States Sentencing Guidelines and the federal statutes governing the imposition of sentences.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which government must prove guilt beyond a reasonable doubt.
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Former Army Green Beret Pleads Guilty to Russian Espionage ConspiracyRead the Press Release
A former Army Green Beret pleaded guilty today to conspiring with Russian intelligence operatives to provide them with United States national defense information.
According to court documents, from December 1996 to January 2011, Peter Rafael Dzibinski Debbins, 45, of Gainesville, a former member of the U.S. Army, conspired with agents of a Russian intelligence service. During that time, Debbins periodically visited Russia and met with Russian intelligence agents. In 1997, Debbins was assigned a code name by Russian intelligence agents and signed a statement attesting that he wanted to serve Russia.
“Debbins today acknowledged that he violated this country’s highest trust by passing sensitive national security information to the Russians,” said John C. Demers, Assistant Attorney General for National Security. “Debbins betrayed his oath, his country, and his Special Forces team members with the intent to harm the United States and help Russia. Debbins’s guilty plea represents another success in the Department’s continuing effort to counter the national security threat posed by our nation’s adversaries, including Russia.”
“Our country entrusted Debbins with the responsibility and training to protect it from its adversaries,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Debbins betrayed that trust and betrayed his fellow service members by conspiring to provide national defense information to Russian intelligence operatives. I would like to commend our investigative partners for their steadfast and dogged dedication to bringing Debbins to justice and holding him accountable for his crimes.”
From 1998 to 2005, Debbins served on active duty as an officer in the U.S. Army, serving in chemical units before being selected for the U.S. Army Special Forces. The Russian intelligence agents encouraged him to join and pursue a career in the Special Forces, which he did, where he served at the rank of Captain.
Over the course of the conspiracy, Debbins provided the Russian intelligence agents with information that he obtained as a member of the U.S. Army, including information about his chemical and Special Forces units. In 2008, after leaving active duty service, Debbins disclosed to the Russian intelligence agents classified information about his previous activities while deployed with the Special Forces. Debbins also provided the Russian intelligence agents with the names of, and information about, a number of his former Special Forces team members so that the agents could evaluate whether to approach the team members to see if they would cooperate with the Russian intelligence service.
“Debbins betrayed this nation and his fellow serviceman, putting Americans and our national security at risk by providing national defense information to Russia’s Intelligence Service,” said Steven M. D’Antuono, Assistant Director in Charge of the FBI Washington Field Office. “Despite being entrusted to protect his colleagues and U.S. national security, he chose to abuse this trust by knowingly providing classified information to one of our most aggressive adversaries. Today’s plea is an example of the zealous pursuit of justice that the FBI and our partners stand for and work tirelessly to achieve every day.”
“President Kennedy called the Green Berets ‘a symbol of excellence, a badge of courage, a mark of distinction.’ Mr. Debbins’ actions were a symbol of betrayal, a badge of cowardice, and a mark of treachery,” said Alan E. Kohler, Jr., Assistant Director of the FBI's Counterintelligence Division. “He pledged his allegiance to Russia, and in doing so, sold-out his country and fellow Green Berets. This case should serve as a reminder that the FBI and its investigative partners will stop at nothing to hold an individual accountable for their actions.”
Debbins is scheduled to be sentenced on Feb. 26, 2021. He faces a maximum penalty of life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Thomas W. Traxler and James L. Trump, and Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section, are prosecuting the case.
U.S. Attorney Terwilliger and Assistant Attorney General Demers greatly appreciate the assistance of Army Counterintelligence, the FBI’s Minneapolis Field Office, the United Kingdom’s Metropolitan Police Service, and MI5.
Former Army Green Beret Pleads Guilty to Russian Espionage ConspiracyRead the Press Release
ALEXANDRIA, Va. – A former Army Green Beret pleaded guilty today to conspiring with Russian intelligence operatives to provide them with United States national defense information.
According to court documents, from December 1996 to January 2011, Peter Rafael Dzibinski Debbins, 45, of Gainesville, a former member of the U.S. Army, conspired with agents of a Russian intelligence service. During that time, Debbins periodically visited Russia and met with Russian intelligence agents. In 1997, Debbins was assigned a code name by Russian intelligence agents and signed a statement attesting that he wanted to serve Russia.
“Our country entrusted Debbins with the responsibility and training to protect it from its adversaries,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Debbins betrayed that trust and betrayed his fellow service members by conspiring to provide national defense information to Russian intelligence operatives. I would like to commend our investigative partners for their steadfast and dogged dedication to bringing Debbins to justice and holding him accountable for his crimes.”
From 1998 to 2005, Debbins served on active duty as an officer in the U.S. Army, serving in chemical units before being selected for the U.S. Army Special Forces. The Russian intelligence agents encouraged him to join and pursue a career in the Special Forces, which he did, where he served at the rank of Captain.
“Debbins today acknowledged that he violated this country’s highest trust by passing sensitive national security information to the Russians,” said John C. Demers, Assistant Attorney General for National Security. “Debbins betrayed his oath, his country, and his Special Forces team members with the intent to harm the United States and help Russia. Debbins’s guilty plea represents another success in the Department’s continuing effort to counter the national security threat posed by our nation’s adversaries, including Russia.”
Over the course of the conspiracy, Debbins provided the Russian intelligence agents with information that he obtained as a member of the U.S. Army, including information about his chemical and Special Forces units. In 2008, after leaving active duty service, Debbins disclosed to the Russian intelligence agents classified information about his previous activities while deployed with the Special Forces. Debbins also provided the Russian intelligence agents with the names of, and information about, a number of his former Special Forces team members so that the agents could evaluate whether to approach the team members to see if they would cooperate with the Russian intelligence service.
“Debbins betrayed this nation and his fellow serviceman, putting Americans and our national security at risk by providing national defense information to Russia’s Intelligence Service,” said Steven M. D’Antuono, Assistant Director in Charge of the FBI Washington Field Office. “Despite being entrusted to protect his colleagues and U.S. national security, he chose to abuse this trust by knowingly providing classified information to one of our most aggressive adversaries. Today’s plea is an example of the zealous pursuit of justice that the FBI and our partners stand for and work tirelessly to achieve every day.”
“President Kennedy called the Green Berets ‘a symbol of excellence, a badge of courage, a mark of distinction.’ Mr. Debbins’ actions were a symbol of betrayal, a badge of cowardice, and a mark of treachery,” said Alan E. Kohler, Jr., Assistant Director of the FBI's Counterintelligence Division. “He pledged his allegiance to Russia, and in doing so, sold-out his country and fellow Green Berets. This case should serve as a reminder that the FBI and its investigative partners will stop at nothing to hold an individual accountable for their actions.”
Debbins is scheduled to be sentenced on Feb. 26, 2021. He faces a maximum penalty of life in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Thomas W. Traxler and James L. Trump, and Trial Attorney David Aaron of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
U.S. Attorney Terwilliger and Assistant Attorney General Demers greatly appreciate the assistance of Army Counterintelligence, the FBI’s Minneapolis Field Office, the United Kingdom’s Metropolitan Police Service, and MI5.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-193.
Felon Convicted of Possessing Firearm and Ammunition Used in a Shooting in QueensRead the Press Release
Earlier today in the first federal criminal trial in the Eastern District of New York since the COVID-19 pandemic, a federal jury in Brooklyn returned a guilty verdict against Alonzo Shipp for being a felon in possession of a firearm and ammunition in connection with a 2018 shooting in South Jamaica, Queens. The verdict followed a six-day trial before United States District Judge Rachel P. Kovner. When sentenced, Shipp faces up to 10 years’ imprisonment on each count.
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, John B. DeVito, Special Agent-in-Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives, New York Field Division (ATF), and Dermot F. Shea, Commissioner, New York City Police Department (NYPD), announced the verdict.
“A convicted felon armed with a gun is a fraught combination that oftentimes results in someone getting shot and that is precisely what happened in this case,” stated Acting United States Attorney DuCharme. “Today’s verdict is yet another reminder as to why this Office remains focused on prosecuting violent armed offenders who seem to think that they can shoot victims on our streets with impunity.”
“ATF’s message to violent criminals has always been and remains clear to this day. If you terrorize our communities, we will stop you, and you will serve time in federal prison. ATF is committed to working with our partners to ensure that all New Yorkers can safely walk their streets,” stated ATF Special Agent-in-Charge DeVito.
The evidence at trial established that in the early morning hours of July 20, 2018, Shipp, also known as “Pump,” shot the victim in the abdomen. The victim collapsed two blocks away and called 911. Shipp followed the victim and stood over him, holding his gun as the victim begged for his life. While on the line with the 911 operator, the victim spoke directly to Shipp, stating: ‘I don't want to die, Pump. Please, I don't want to die, Pump.” Shipp’s gun jammed, and he fled tossing the gun in a dumpster. Later that morning, a civilian found the gun and contacted the NYPD. Police officers recovered the gun, and NYPD ballistics examiners determined that a shell casing found where the victim was shot was consistent with being fired from the gun found in the dumpster. A search of Shipp’s Facebook account and revealed a message in which he admitted to a friend that he was on the run because of the shooting at the location where the victim was found. The victim survived the shooting.
This case was brought as 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. Attorneys’ 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.
The government’s case is being prosecuted by Assistant United States Attorneys Philip Pilmar and Michael W. Gibaldi.
The Defendant:
ALONZO SHIPP
Age: 33
Richmond, VA.E.D.N.Y. Docket No. 19-CR-029 (RPK)
Federal Search Warrants ExecutedRead the Press Release
DES MOINES, Iowa -- On Wednesday, November 18, 2020, federal search warrants were executed at the following locations in the Des Moines metropolitan area:
- 2000 block of Lay Street, Des Moines
- 1100 block of 21st Street, Des Moines
- 3000 block of Woodland Avenue, Des Moines
- 2400 block of Prospect Road, Des Moines
- 2200 block of Forest Avenue, Des Moines
- 1800 block of Glenbrook Drive, Des Moines
- 900 block of East Ovid Avenue, Des Moines
- 2300 block of East 39th Street, Des Moines
- 1100 block of 19th Street, Des Moines
- 100 block of Loomis Avenue, Des Moines
- 800 block of Payton Avenue, Des Moines
- 1600 block of Des Moines Street, Des Moines
- 1600 block of Hull Avenue, Des Moines
- 900 block of East Lacona Avenue, Des Moines
- 2100 block of East 13th Street, Des Moines
- 1500 block of University Avenue, Des Moines
- 2800 block of Fleur Drive, Des Moines
- 2200 block of 68th Street, Windsor Heights
- 500 block of Grandview Avenue, Des Moines
- 700 block of 13th Street, West Des Moines
- 1900 block of Martin Luther King, Jr. Parkway, Des Moines
- 2900 block of East 36th Street, Des Moines
- 4600 block of Hubbell Avenue, Des Moines
- 6500 block of Chaffee Road, Des Moines
- 2600 block of Northwest 165th Lane, Clive
- 500 block of Pleasant View Drive, Des Moines
- 2600 block of East Sheridan Avenue, Des Moines
- 2000 block of 63rd Street, Windsor Heights
- 1500 block of 20th Place, Des Moines
- 700 block of 27th Street, Des Moines
- 3000 block of Southeast 19th Street, Des Moines
- 6200 block of Southeast 5th Street, Des Moines
- 1500 block of 13th Street, Des Moines
- 1400 block of Merle Hay Road, Des Moines
- 3200 block of Cornell Street, Des Moines
- 1100 block of Clark Street, Des Moines
- 1000 block of 13th Street, Des Moines
- 2400 block of Hickman Road, Des Moines
- 1900 block of King Avenue, Des Moines
- 1400 block of Richmond Avenue, Des Moines
- 200 block of East Edison Avenue, Des Moines
- 600 block of 2nd Street, Waukee
- 1500 block of Greene Street, Adel
The searches at these locations were an official law enforcement action involving officers, agents, and investigators from the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF); Des Moines Police Department (DMPD); Iowa Division of Narcotics Enforcement (DNE); Iowa State Patrol (ISP); Mid-Iowa Narcotics Enforcement Task Force (MINE); Tri-County Task Force; Central Iowa Drug Task Force (CIDTF); Mid-Iowa Drug Task Force (MIDTF); Iowa Department of Criminal Investigation (DCI); Federal Bureau of Investigation (FBI); Internal Revenue Service – Criminal Investigations (IRS-CI); Homeland Security Investigations (HIS); Altoona Police Department; West Des Moines Police Department; Urbandale Police Department; Marshalltown Police Department; Dallas County Sheriff’s Office; and Iowa State Fire Marshal.
Federal Grand Jury in San Antonio Indicts Self-Proclaimed Boogaloo Bois Member for Illegally Possessing a Firearm after Previously Being Committed to a Mental InstitutionRead the Press Release
In San Antonio today, a federal grand jury indicted 21-year-old Cameron Emerson Casey Rankin, a self-proclaimed Boogaloo Bois member residing in San Antonio, on a charge of illegally possessing a firearm after previously being judicially committed to a mental institution, announced U.S. Attorney Gregg N. Sofer and FBI Special Agent in Charge Christopher Combs, San Antonio Division.
On October 28, 2020, FBI agents arrested Rankin at his residence where they recovered a black semi-automatic rifle during the execution of a search warrant. He remains in federal custody at this time.
“Firearms in the hands of prohibited persons present a real danger to the law abiding residents of our community. When illegal firearms possession is combined with mental illness and violent, extremist ideologies, we have a prescription for disaster,” stated U.S. Attorney Sofer.
“Today’s indictment sends a message to those who would seek to bring violent chaos and mayhem to our communities, regardless of the ideology that motivates them,” said FBI Special Agent in Charge Combs. “The FBI and our partners are committed to protecting the public from all violent criminals.”
According to court records, Rankin illegally possessed a firearm with the capability and means to affect violence in furtherance of his beliefs. Rankin has also expressed a desire to overthrow the government, specifically, the “three letter agencies” such as ATF, FBI and IRS. Rankin attempted to purchase two long guns from a San Antonio retail outlet on March 23, 2018, but was denied the firearms transactions under the “Prohibited Category” for previously being judicially committed to a mental institution.
Court records also allege that after being warned by agents with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) that he was a prohibited person, Rankin posted pictures of himself with a firearm on social media. On May 30, 2020, Rankin and others, carrying long guns and pistols, appeared at the Alamo in downtown San Antonio to attend a protest in reaction to the death of George Floyd. The next day, Rankin posted on his Facebook account photos of himself and others carrying firearms at the protest as well as comments about his disdain for police including, “…hope they burn the precinct down” and “I’m BOOGALOO we hate police.”
Court records also reflect that on August 4, 2020, Rankin posted a “selfie” photo on his Facebook timeline showing him holding a black, semi-automatic rifle in a vertical position against his shoulder with his finger on the trigger. Rankin posted other photos which included a quote, stating, “Diligently Plotting to Take Over the World in order to Leave You Alone.”
Furthermore, on August 11, 2020, ATF agents served Rankin written notice at the Manchester, NH airport that he was prohibited from possessing firearms. The agents also provided him with copies of his mental health records. On that same day, agents seized a handgun and ammunition from inside Rankin’s luggage. Rankin threw the notice letter and mental health records in the trash before leaving the airport terminal.
Upon conviction, Rankin faces up to ten years in federal prison.
U.S. Attorney Sofer commended the San Antonio FBI’s Joint Terrorism Task Force and the ATF for bringing Rankin to justice. Assistant U.S. Attorneys William R. Harris and Mark Roomberg are prosecuting this case on behalf of the government.
This case falls within the purview of the Attorney General’s Task Force to Combat Violent Anti-Government Extremism. Launched in June 2020, the Task Force is dedicated to supporting the investigation and prosecution of any person or group who commits violence in the name of an anti-government ideology.
This case is also a part of Project Guardian, which is 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 ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and, ensures that federal resources are directed at the criminals posing the greatest threat to our communities. Click here for more information about Project Guardian.
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 Grand Jury Charges Gordonsville Man in Series of Summertime Armed Robberies of Local BusinessesRead the Press Release
CHARLOTTESVILLE, Va. - A federal grand jury sitting in U.S. District Court in Charlottesville has indicted a Gordonsville man and charged him with federal Hobbs Act robbery charges in connection to a series of armed robberies that took place at commercial businesses in Charlottesville, Albemarle County, and Stafford County in the summer of 2020. Acting United States Attorney Daniel P. Bubar, ATF Special Agent in Charge Ashan M. Benedict, Chief Ron L. Lantz of the Albemarle County Police, and RaShall M. Brackney, Police Chief for the City of Charlottesville made the announcement today.
The grand jury has charged Dominique Dejone Thurston, 22, of Gordonsville, with seven counts of Hobbs Act robbery, seven counts of using a firearm in commission of a Hobbs Act robbery, and one count of being a felon in possession of a firearm.
The indictment alleges that between June 2020 and September 2020, Thurston committed a series of armed, Hobbs Act robberies at commercial business in Albemarle County, the City of Charlottesville and Stafford County. These robberies included the Oak Hill Market in Albemarle County, 7-Eleven on Ivy Road in the City of Charlottesville, a BP gas station convenience store in the City of Charlottesville, 7-Eleven on Greenbrier Drive in Albemarle County, Kangaroo Gas in Albemarle County, 7-Day Junior Store in the City of Charlottesville, and 7-Eleven on Boulderview Road in Albemarle County.
During each robbery, the indictment alleges Thurston brandished a firearm, pointed it at a store employee and demanded cash.
The investigation of the case was conducted by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Albemarle County Police Department, the City of Charlottesville Police Department, and the Stafford County Police Department. Managing Assistant United States Attorney Ronald M. Huber and Special Assistant United States Attorney Nina-Alice Antony are prosecuting the case for the United States
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
Eustis Man Sentenced to Probation for Lacey Act ViolationRead the Press Release
United States Attorney Joe Kelly announced that Kevan Hueftle, age 35, of Eustis, Nebraska, was sentenced today in federal court in Omaha, Nebraska, by United States Magistrate Judge Michael D. Nelson for violating the Lacey Act. The Lacey Act prohibits the trafficking in interstate commerce "tainted" (i.e., taken in violation of a law or regulation) wildlife, fish, or indigenous plants. Hueftle was convicted of one count of the illegal taking of wildlife in interstate commerce and sentenced to three years’ probation. Magistrate Judge Nelson ordered Hueftle to pay $10,000 in restitution and a $5,000 fine. As part of his probation terms, Hueftle shall not hunt, trap, guide, outfit, or otherwise assist or be present in the field with anyone engaging in those activities.
An investigation determined that Hueftle, a Hidden Hills Outfitters (HHO) employee, provided guiding and outfitting services to a New York resident upon property located west of Eustis in Frontier County, Nebraska. Hueftle previously identified a particular target white-tailed deer named “Holyfield” with the aid of electronic game cameras over-watching various bait sites upon the property. Throughout the first several days of the hunt, Hueftle placed and assisted the client hunt “Holyfield” from locations Hueftle and the client knew were within baited areas. Nebraska law prohibits hunting or taking deer within a baited area, defined as within 200 yards of any location where bait is placed for the purpose of hunting or that may serve as an attractant for big game.
The client observed “Holyfield” on several occasions during the hunt, but outside of archery shooting range. On November 11, 2016, the final day of the hunt, Hueftle provided the client with a Remington 700 .243 caliber rifle, placed the client in an elevated tree stand, and authorized the client to shoot a deer with the rifle. The client later killed the target deer with the rifle, both knowing Nebraska law prohibited hunting deer with a rifle under the authority of an archery permit. Hueftle assisted the client transporting the deer from the field, arranging to have the trophy parts converted into a taxidermy mount from a local taxidermist, and coordinating for the finished mount to be later shipped to the client’s New York residence.
The sentencing hearing today is part of the ongoing prosecution of numerous defendants related to violations committed by owners, guides, and clients of Hidden Hills Outfitters. To date, 34 defendants have pleaded guilty and have been sentenced and ordered to pay a total of $595,202 in fines and restitution for underlying violations related to deer taken within baited areas; deer, pronghorn, and wild turkeys taken with weapons or firearms prohibited during their respective hunting seasons; deer taken during closed season hours, from the road, or without a valid permit; and mule deer taken within the Mule Deer Conservation Area.
The operation was a joint investigation conducted by the United States Fish and Wildlife Service, Office of Law Enforcement and the Nebraska Game and Parks Commission, Law Enforcement Division.
Eastern District of California Receives Funding to Hire Dedicated Prosecutor to Combat Cares Act Unemployment Insurance FraudRead the Press Release
SACRAMENTO, Calif. – The Eastern District of California has been allocated funding to hire an Assistant U.S. Attorney for a one-year term, who will focus on prosecuting cases involving schemes to unlawfully obtain unemployment insurance benefits and related offenses through the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020, U.S. Attorney McGregor W. Scott announced today.
The CARES Act allocated $270 billion for supplemental federal unemployment insurance benefits. Additionally, President Donald J. Trump directed that $44 billion in federal disaster relief funds be used to provide supplemental unemployment insurance benefits to eligible claimants. The substantial increase in funding for unemployment insurance benefits unfortunately spurred a dramatic spike in unemployment insurance fraud across the country, resulting in the theft of federal funds intended to help those struggling with unemployment during the current pandemic and economic crisis.
“Initial indications are that the level of fraud in California will involve thousands of thieves and hundreds of millions of dollars of stolen taxpayer money,” U.S. Attorney Scott said. “These funds are intended to help workers struggling in the wake of the Coronavirus pandemic, but the fraud schemes deplete the fund and cheat the very workers the funds are intended to protect. With our law enforcement partners, we will continue to investigate and stop fraud schemes like this that harm California workers.”
The U.S. Department of Justice, in close coordination with the U.S. Department of Labor and other federal agencies, created the U.S. Department of Justice National Unemployment Insurance Fraud Task Force. This task force is charged with investigating numerous CARES Act fraud schemes targeting the unemployment insurance programs of state workforce agencies and will work closely with United States Attorneys’ Offices to prosecute those individuals who have fraudulently diverted these funds from those struggling with unemployment.
Dominican National Sentenced to over 21 Years in Prison for Fentanyl Distribution, Firearm Possession and Social Security FraudRead the Press Release
BOSTON – A Dominican national previously residing in Haverhill was sentenced today for fentanyl distribution and illegal firearm possession, among other charges.
Domingo Garcia Suero, 55, was sentenced by U.S. Senior District Court Judge George A. O’Toole Jr. to 262 months in prison, eight years of supervised release and ordered to pay restitution in the amount of $14,923. In May 2020, Garcia Suero pleaded guilty to five counts of possession with intent to distribute and distribution of a controlled substance, specifically fentanyl, unlawful possession of a firearm with an obliterated serial number, two counts of Social Security fraud and one count of aggravated identity theft. Garcia Suero was arrested and charged in December 2017.
Garcia Suero filed applications with the Massachusetts Registry of Motor Vehicles to renew his driver’s license and with MassHealth to receive benefits. In both applications, Garcia Suero provided a name and Social Security number belonging to a United States citizen from Puerto Rico.
On five occasions in 2017, Garcia Suero sold and possessed fentanyl for sale. During a search of Garcia Suero’s apartment following his arrest, law enforcement recovered a Colt, model Police Positive .38 caliber revolver with an obliterated serial number and six rounds of .38 caliber ammunition. Garcia Suero has two prior drug trafficking convictions and is therefore prohibited from possessing a firearm and ammunition.
United States Attorney Andrew E. Lelling; David Magdycz, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Phillip Coyne, Special Agent in Charge of the U.S. Department of Health and Human Services, Office of Inspector General, Office of Investigations; Brian Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Tonya Perkins, Acting Special Agent in Charge of the U.S. Social Security Administration, Office of Inspector General, Office of Investigations, Boston Field Office; Christina Scaringi, Special Agent in Charge of the U.S. Department of Housing and Urban Development, Office of Inspector General, Northeast Regional Office; Michael Mikulka, Special Agent in Charge of the U.S. Department of Labor, Office of Inspector General, Office of Investigations; Jonathan Davidson, Special Agent in Charge of the U.S. Department of State, Diplomatic Security Service, Boston Field Office; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Massachusetts State Auditor Suzanne M. Bump made the announcement today. Valuable assistance was provided by the U.S. Marshals Service and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Rachel Hemani of Lelling’s Health Care Fraud Unit prosecuted the case.
Dominican Man Pleads Guilty to Participation in Fentanyl Trafficking ConspiracyRead the Press Release
CONCORD - Frailin Manuel Gomez-Gil, 29, a citizen of the Dominican Republic most recently residing in Lawrence, Massachusetts, pleaded guilty in federal court to participating in a fentanyl trafficking conspiracy, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Gomez-Gil participated in a drug trafficking organization that was led by Sergio Martinez. Martinez employed numerous individuals to sell fentanyl to customers from various New England states, including New Hampshire. Gomez-Gil assisted Martinez with testing, diluting, and packaging the drugs for sale.
Gomez-Gil is scheduled to be sentenced on February 25, 2021.
“Interstate fentanyl traffickers seek to profit by selling a deadly drug to the citizens of New Hampshire,” said U.S. Attorney Murray. “The successful investigation and prosecution of the Martinez organization was made possible by close cooperation between the U.S. Attorney’s Office, the DEA, and many other law enforcement partners in New Hampshire, Maine, and Massachusetts. Working together, we were able to disrupt and dismantle a major drug trafficking organization that endangered the health and safety of thousands of Granite Staters.”
The case was a collaborative investigation that involved the DEA; the New Hampshire State Police; the Hillsborough County Sheriff’s Office; the Nashua Police Department; the Massachusetts State Police; the Massachusetts Attorney General’s Office; the New Hampshire Attorney General’s Office; the Essex County District Attorney’s Office; the Internal Revenue Service; Homeland Security Investigations; United States Customs and Border Protection Boston Field Office; the United States Marshals Service; the United States Department of State’s Diplomatic Security Service; the Manchester Police Department; the Lisbon Police Department; the Littleton Police Department; the Seabrook Police Department; the Haverhill (MA) Police Department; the Methuen (MA) Police Department; the Lowell (MA) Police Department; and the Maine State Police.
The case is being prosecuted by Assistant United States Attorneys Georgiana L. MacDonald and Seth R. Aframe.
This investigation is part of an Organized Crime Drug Enforcement Task Forces (OCDETF) investigation. OCDETF identifies, disrupts, and dismantles the highest-level drug traffickers, money launderers, gangs, and transnational criminal organizations that threaten the United States by using a prosecutor-led, intelligence-driven, multi-agency approach that leverages the strengths of federal, state, and local law enforcement agencies against criminal networks.
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Department of Justice to Fund Rhode Island CARES Act Unemployment Fraud ProsecutorRead the Press Release
PROVIDENCE – United States Attorney Aaron L. Weisman announced today that the U.S. Attorney’s Office has been allocated funding to hire an Assistant United States Attorney, for a one-year term, who will focus on prosecuting cases involving fraudulent schemes to unlawfully obtain unemployment insurance (UI) benefits and related offenses through the Coronavirus Aid, Relief, and Economic Security (CARES) Act of 2020.
The CARES Act allocated $270 billion for supplemental federal UI benefits. Additionally, President Trump directed that $44 billion in federal Disaster Relief Funds be used to provide supplemental UI benefits to eligible claimants. The substantial increase in funding for UI benefits, spurred a dramatic spike in UI fraud across the country, resulting in the theft of federal funds intended to help those struggling with unemployment during the current pandemic and economic crisis.
“CARES Act unemployment benefits are a lifeline for tens of thousands of hard-working Rhode Islanders sidelined because of the pandemic,” noted United States Attorney Aaron L. Weisman. “The federal government, with its many dedicated components, and with the invaluable assistance of our state and local law enforcement partners, is committed to and will spare no effort in ensuring that unemployment insurance funds not be fraudulently misdirected by scammers. The addition of a federal prosecutor to bolster our team of federal and state attorneys focused on CARES Act fraud is yet another indication of the Department of Justice’s commitment to holding accountable those who would use fraudulent means to obtain the unemployment insurance benefits intended for Rhode Islanders sidelined by the pandemic.”
In October, the United States Attorney’s Office for the District of Rhode Island charged five individuals in a wide-ranging, ongoing joint federal and state investigation into a significant number of fraudulent unemployment insurance claims submitted to the Rhode Island Department of Labor and Training ,and elsewhere, for benefits funded in part by the CARES Act.
In May, two businessmen were charged in the District of Rhode Island with allegedly filing bank loan applications fraudulently seeking more than a half-million dollars in forgivable loans guaranteed by the Small Business Administration under CARES Act.
The U.S. Department of Justice, in close coordination with the U.S. Department of Labor and other federal agencies, created the U.S. Department of Justice National Unemployment Insurance Fraud Task Force. This task force is charged with investigating numerous CARES Act fraud schemes targeting the unemployment insurance programs of state workforce agencies and will work closely with United States Attorneys’ Offices to prosecute those individuals who have fraudulently diverted these funds from those struggling with unemployment.
The Department encourages the public to report suspected fraud schemes related to COVID-19 (the Coronavirus) to the National Center for Disaster Fraud (NCDF) hotline by phone at (1-866-720-5721) or via an online reporting form available at www.justice.gov/disaster-fraud/webform/ncdf-disaster- complaint-form.
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
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Convicted Child Sex Trafficker Sentenced to 10 Years in PrisonRead the Press Release
OAKLAND – Kevin Fuqua was sentenced to 120 months in prison after pleading guilty to sex trafficking of children, announced United States Attorney David L. Anderson and Homeland Security Investigations (NorCal) Special Agent in Charge Tatum King. The sentence was handed down by the Honorable James Donato, U.S. District Judge.
In pleading guilty, Fuqua, 33, of Oakland, admitted that between August 8, 2018, and January 1, 2019, he caused a minor to engage in sex in exchange for money.
“No girl’s teenage years should be spent on the streets of Oakland turning tricks to satisfy her pimp,” said U.S. Attorney Anderson. “Fuqua’s case demonstrates how important it is for us all to be on the lookout for child sex trafficking. Sadly, this case demonstrates that there will always be those in our community who will take advantage of minors to profit from the commercial sex trade.”
“Human trafficking, especially of minors, is a reprehensible crime and the facts of this case are truly alarming,” said Special Agent in Charge King. “Homeland Security Investigations and our dedicated law enforcement partners, including the Alameda County Sheriff’s Office, will never stop our determined pursuit of anyone who thinks they can abuse and force a child into prostitution here in America or in any corner of the world. Justice was brought to bear through the vigorous prosecution by the U.S. Attorney’s Northern District of California Office, which led to this important sentencing. Now the victim can begin the process of recovery.”
Fuqua admitted that he prostituted the minor victim by driving her to an area in Oakland known for prostitution and dropping her off. Fuqua then monitored the minor’s location by requiring her to share cell phone location data with him. Fuqua admitted that he required the minor victim to earn $500 a night before allowing her to come in. Fuqua admitted that he knew that the victim was under 18 at the time. The government submitted documents in connection with Fuqua’s sentencing that described how Fuqua and his minor victim exchanged text messages describing his physical abuse of her. For example, the messages describe how Fuqua justified hitting and choking her to demonstrate he had control of her.
Fuqua was charged by Information on August 27, 2020, with one count of sex trafficking of children, in violation of 18 U.S.C. §§ 1591(a)(1) and (b)(2). Fuqua pleaded guilty to the charge.
At the time of the offense, Fuqua was on supervised release for a 2014 conviction for illegally possessing a firearm in violation of 18 U.S.C. § 922(g)(1).
In addition to the prison term, Judge Donato also ordered Fuqua to a 5-year term of supervised release. A hearing to determine the amount of restitution owed to the minor victim is set for February 17, 2020.
Assistant U.S. Attorney Maya Karwande is prosecuting the case with the assistance of Ralph Banchstubbs. The prosecution is the result of an investigation by the HSI and the Alameda County Sheriff’s Office.