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9 November 2020
Jamaican National Indicted for Conspiracy to Commit Mail and Wire FraudRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that ACDANE CAMPBELL, age 24, a resident of Jamaica, was charged by a grand jury on November 6, 2020, in a 1-count Indictment for Conspiracy to Commit Mail and Wire Fraud.
According to the Indictment, from in or around August 2016, CAMPBELL and others conspired to operate a scheme to obtain money unlawfully by falsely informing elderly victims that they had won a lottery, sweepstakes, or car. The unknown co-conspirators called the victims and promised that the victims receive their winnings if they first paid taxes and fees.
After being instructed by an unidentified co-conspirator that they needed to send payments to CAMPBELL, the victims would send their payments electronically through a money services business or in the mail via FedEx or the United States Postal Service. CAMPBELL either kept the money that he received from the victims or sent it to unknown persons in Jamaica.
If convicted, CAMPBELL faces a minimum of 5 years imprisonment, a fine of not more than $250,000, supervised release of at least 3 years, and a special assessment fee of $100.00.
The case was investigated by the United States Postal Inspection Service and Homeland Security Investigations.
U. S. Attorney Strasser reiterated that the Indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
The case is being prosecuted by Assistant U. S. Attorney Sharan E. Lieberman.
Elder fraud complaints may be filed with the Federal Trade Commission at www.ftccomplaintassistant.gov or at 1-877-FTC-HELP. The Department of Justice provides a variety of resources relating to elder fraud victimization through its Office of Victims of Crime at www.ovc.gov. Additional elder justice resources, training, and outreach materials can be found at the Elder Justice Website at www.elderjustice.gov.
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Inmate at Camden County jail charged with providing drugs resulting in fellow inmate's overdose deathRead the Press Release
BRUNSWICK, GA: An inmate at the Camden County Detention Facility has been charged with providing the drugs resulting in another inmate’s death by overdose.
Joshua Swing, 35, of Woodbine, Ga., is charged in a federal indictment with Distribution of a Controlled Substance Resulting in Death, said U.S. Attorney Bobby L. Christine. The charge carries a possible penalty of up to life in prison, and there is no parole in the federal system.
“Fentanyl is a deadly, highly unpredictable drug that increasingly fuels the nation’s opioid addiction,” said U.S. Attorney Christine. “It’s particularly disturbing to learn of this poison’s presence as contraband in a detention facility.”
The investigation began May 17, 2020, when an inmate at the Camden County Detention Facility identified as J.D. was found unresponsive in his cell. He later died, and a subsequent autopsy found that his cause of death was acute fentanyl toxicity. The indictment alleges that Swing provided the fentanyl to J.D.
“The death of any person is a tragedy, but a death caused as a result of illegal narcotic distribution is even more terrible for the families of victims, said Lowndes County Sheriff Ashley Paulk. “I was honored the Lowndes County Sheriff’s Office was able to work with our law enforcement partners to bring this case forward and help in providing closure for the affected families.”
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
The case is being investigated by the Lowndes County Sheriff’s Office at the request of the Camden County Sheriff’s Office, and is being prosecuted for the United States by Assistant U.S. Attorneys Matthew Josephson and E. Greg Gilluly Jr.
Illinois Man Sentenced to More Than 32 Years in PrisonRead the Press Release
BIRMINGHAM, Ala. – United States Attorney Prim F. Escalona and Drug Enforcement Administration Special Agent in Charge Brad L. Byerley, announce that NOLBERTO ORTEGA, 54, of Chicago, Illinois, was sentenced to 390 months in prison on October 28th for distribution of heroin, cocaine, methamphetamine, and fentanyl. U.S. District Judge Liles C. Burke imposed the sentence.
In August 2019, a federal grand jury charged ORTEGA in a multi-count indictment with leading a drug trafficking organization that transported heroin, cocaine, methamphetamine, and fentanyl from Mexico to Talladega, Alabama. The charges stemmed from an investigation led by the Drug Enforcement Administration and the Talladega County Drug Task Force in early 2019. Officers arrested ORTEGA in California after seizing a shipment of drugs in Talladega.
“This dealer went to extreme lengths to profit from this deadly poison with no regard to the devastation and destruction he left behind,” said U.S. Attorney Escalona. “The lengthy sentence sends the message that drug trafficking in our communities will not be tolerated and will be severely punished. The citizens of the Northern District of Alabama have one less drug dealer to worry about for years to come.”
“We will continue to attack the scourge of illegal and dangerous drug distribution in Alabama and beyond,” said Special Agent in Charge Byerley. “The lengthy sentencing of this individual should be taken as a message to those who want to sell drugs. We are going to catch you and put you in prison for a long time if you distribute this poison in our communities.”
DEA investigated the case, along with the Talladega County Drug Task Force. Assistant United States Attorneys Blake Milner and Austin Shutt prosecuted the case.
Houma Man Charged for Machine Gun and Drug TraffickingRead the Press Release
NEW ORLEANS – United States Attorney Peter G. Strasser announced that KENDALL PARKER, age 26, of Houma, Louisiana, was charged on November 6, 2020 in a three-count indictment by a Federal Grand Jury with possession of marijuana with intent to distribute, possession of a firearm during a drug trafficking crime, and possession of a machinegun in violation of Title 21, United States Code, Section 841 and Title 18, United States Code, Sections 922 and 924.
According to court documents, PARKER was found in possession of a quantity of marijuana for distribution purposes and a machine-gun within the Eastern District of Louisiana. If convicted of drug trafficking and the firearms offenses, PARKER face a maximum term of life imprisonment, a fine of $250,000, and five (5) years of supervised release following any term of imprisonment, and a $100.00 special assessment fee.
U.S. Attorney Strasser reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was investigated by the Terrebonne Parish Sheriff’s Office and Homeland Security Investigations. It is being prosecuted by Assistant U.S. Attorney Charles D. Strauss.
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High Ranking MS-13 Gang Member Facing Federal Firearms Charges After South Nashville ShootingRead the Press Release
NASHVILLE, Tenn. – November 9, 2020 – A criminal complaint was unsealed Friday charging the local leader of an MS-13 Gang clique with being a convicted felon in possession of a firearm, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Sergio Alvarado, aka Sergio Ochoa, 27, of Nashville, was initially arrested on October 31st by Metropolitan Nashville Police Department (MNPD) officers after fleeing from officers following a shootout at Club Miami. This incident began around 4:00 a.m. when a MNPD officer heard gunfire coming from the vicinity of the nightclub. The officer proceeded toward the nightclub and upon arrival, heard a volley of gunshots and saw two cars speeding out of the parking lot. The officer then found one individual in the parking lot suffering from a gunshot wound.
Additional officers arrived on the scene and approached a car believed to be involved in the shooting. As officers approached the car, they saw Alvarado running toward the back of the parking lot and toward several dumpsters. Officers continued to pursue Alvarado and eventually found him in a wooded area and arrested him. After tracing the flight path taken by Alvarado, officers recovered a 9mm pistol and a .380 caliber pistol near the dumpsters. Alvarado was later released on bond. On Thursday, Alvarado was arrested on the federal firearms charge.
A detention motion filed Friday by the government asserts that Alvarado is the leader of the local MS-13 clique – Thompson Place Locos Salvatrucha, and he has returned to distributing controlled substances. This gang is a violent, international street gang that operates in middle Tennessee and elsewhere. The motion also asserts that Alvarado has a substantial criminal history, including several drug trafficking and firearm offenses and is currently on supervised release from a 2017 case in which he received a 30-month sentence for drug trafficking and firearm offenses; and that he has further violated the terms of his release by associating with a known felon, Michael Mosely, at the Dogwood Bar in Nashville, moments before Mosely stabbed two individuals to death on December 21, 2019.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives; Homeland Security Investigations; the U.S. Marshals Service; the Drug Enforcement Administration; and the Metropolitan Nashville Police Department. Assistant U.S. Attorney Ahmed Safeeullah and Trial Attorney Matthew Hoff of the Criminal Division’s Organized Crime and Gang Section are prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
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High Ranking MS-13 Gang Member Facing Federal Firearms Charges After Nightclub ShootingRead the Press Release
A criminal complaint was unsealed Nov. 6 charging the local leader of an MS-13 Gang clique with being a convicted felon in possession of a firearm, announced Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney Don Cochran for the Middle District of Tennessee.
Sergio Alvarado, aka Sergio Ochoa, 27, of Nashville, Tennessee, was initially arrested on Oct. 31 by Metropolitan Nashville Police Department (MNPD) officers after fleeing from officers following a shootout at Club Miami. This incident began around 4:00 a.m. when a MNPD officer heard gunfire coming from the vicinity of the nightclub. The officer proceeded toward the nightclub and upon arrival, heard a volley of gunshots and saw two cars speeding out of the parking lot. The officer then found one individual in the parking lot suffering from a gunshot wound.
Additional officers arrived on the scene and approached a car believed to be involved in the shooting. As officers approached the car, they saw Alvarado running toward the back of the parking lot and toward several dumpsters. Officers continued to pursue Alvarado and eventually found him in a wooded area and arrested him. After tracing the flight path taken by Alvarado, officers recovered a 9mm pistol and a .380 caliber pistol near the dumpsters. Alvarado was later released on bond. On Nov. 5, Alvarado was arrested on the federal firearms charge.
A detention motion filed Friday by the government asserts that Alvarado is the leader of the local MS-13 clique – Thompson Place Locos Salvatrucha. This gang is a violent, international street gang that operates in middle Tennessee and elsewhere. The motion also asserts that Alvarado has a substantial criminal history, including several drug trafficking and firearm offenses; is currently on supervised release from a 2017 case in which he received a 30-month sentence for drug trafficking and firearm offenses; and that he has further violated the terms of his release by associating with a known felon, Michael Mosely, at Dogwood Bar in Nashville, moments before Mosely stabbed two individuals to death on Dec. 21, 2019.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms & Explosives; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; and MNPD. Trial Attorney Matthew Hoff of the Criminal Division’s Organized Crime and Gang Section and Assistant U.S. Attorney Ahmed Safeeullah are prosecuting the case.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty in a court of law.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Georgia Man Arrested Today for Defrauding a California Car DealershipRead the Press Release
SACRAMENTO, Calif. — A resident of Georgia was arrested today in Grayson, Georgia, for a scheme conducted online that defrauded a business owner in in California and a second business owner in New Jersey, U.S. Attorney McGregor W. Scott announced.
On Oct. 22, a federal grand jury returned a one-count indictment against Michael Uziewe, 61, of Grayson, Georgia, charging him with bank fraud. This indictment was unsealed today.
According to court documents, Uziewe owned a purported business named God’s Word Christian Book Store. In March 2020, the first victim, an owner of a classic car dealership in Irvine, began communicating with a purported seller of two transmissions. At the seller’s direction, the victim sent more than $13,000 to the God’s Word business account that Uziewe controlled at Ameris Bank. The victim never received the transmissions.
Also in April 2020, the second victim, an owner of a nail salon in Jersey City, New Jersey, sent more than $100,000 to Uziewe’s Ameris Bank account. She sent the funds to assist the return to the United States of an individual who claimed he was a surgeon working for the United Nations in Yemen and needed money to pay for costs associated with traveling to the United States.
When Uziewe attempted to withdraw the funds from the God’s Word account, he falsely claimed that they were proceeds of book sales.
This case is the product of an investigation by the Federal Bureau of Investigation and the U.S. Department of Defense Office of Inspector General. Assistant U.S. Attorney Matthew Thuesen is prosecuting the case.
If convicted, Uziewe faces a maximum statutory penalty of 30 years in prison and a $1 million fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
Georgia Correctional Officer Pleads Guilty to Civil Rights Offense for Assaulting InmateRead the Press Release
Brian Ford, 23, a correctional officer at the Valdosta State Prison (VSP) in Valdosta, Georgia, pleaded guilty today to one count of using excessive force against an inmate housed at the facility.
According to documents filed in connection with the guilty plea, on Dec. 29, 2018, Ford, while on duty as a correctional officer at VSP, struck an inmate with his fist multiple times while the inmate was handcuffed and lying on the ground. Specifically, Ford and other prison officials escorted the handcuffed inmate to an outdoor area on the grounds of the prison for the purpose of assaulting the inmate in retaliation for a previous altercation between the inmate and a female officer. Ford and another officer, carrying out a directive from a supervisor, took the inmate to the ground and struck him multiple times in the body. The inmate was handcuffed and compliant at the time of the assault.
“These acts are egregious for any person to commit, let alone a member of our law enforcement,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “It is the duty of law enforcement to uphold the law and protect others, not dole out punishment as they see fit. The Department of Justice takes these acts seriously and works tirelessly to ensure that officers who violate the civil rights of others are held accountable.”
“The overwhelming majority of law enforcement officers make daily sacrifices upholding their oath to serve and protect,” said Charlie Peeler, the U.S. Attorney for the Middle District of Georgia. “When one officer breaches that oath, it diminishes the good work of so many. By choosing to violate the civil rights of an inmate in his charge, this defendant has done a grave disservice to the many women and men who serve honorably as correctional officers in our prison system. I want to commend the Civil Rights Division for bringing justice in this case, and for their work protecting the rights of all Americans.”
“Every law enforcement officer who takes an oath knows it is never appropriate to take the law into his or her own hands,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “There are many legitimate ways to hand out punishment to inmates who misbehave, but assaulting a handcuffed inmate is not one of them. We will never accept criminal conduct on the part of our law enforcement officers.”
Ford faces a maximum statutory penalty of up to 10 years in prison and a fine of up to $250,000.
This case was investigated by the FBI, and was prosecuted by Trial Attorneys Katherine G. DeVar and Nicole Raspa of the Department of Justice’s Civil Rights Division, with assistance from Assistant U.S. Attorney Michael Solis of the Middle District of Georgia.
Four Indicted on Federal Firearms Charges in Burglary of Granny’s GunsRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today four Anchorage men were indicted on charges related to the June 6, 2019 burglary of Granny’s Guns, a federally licensed firearms dealer located in Anchorage.
In a recently unsealed indictment, Gian Carlo Clemente Pangilinan aka “G,” 24; Muna Junior Rhode, 21; Kao Chiang Saelee, aka “Robbie,” 38; and Hans Mikaele Wells, aka “Mika,” 24, have each been charged with conspiracy, theft of firearms, possession of stolen firearms, and tampering with evidence. Additionally, Rhode and Saelee were also charged with felon in possession of firearms.
The indictment alleges that on June 6, 2019, Pangilinan, Rhode, Saelee, and Wells drove a stolen Chevrolet Trailblazer to Wrightway Auto Carriers. The defendants burglarized Wrightway Auto Carriers and stole several items, including a GMC Sierra. The defendants then drove both stolen vehicles to Whaley School and abandoned the Chevrolet Trailblazer. Sometime later, the defendants obtained another stolen SUV and crashed it into the front windows of Granny’s Guns in order to gain access to the business. Defendants Pangilinan, Rhode, and Wells loaded 22 firearms into the bed of the stolen GMC Sierra, and all four defendants fled the scene, abandoning the stolen SUV. The defendants transferred the stolen guns into a black GMC Denali, and Wells and two others set the stolen GMC Sierra ablaze in an effort to destroy evidence.
Later that day, Anchorage Police Department (APD) officers tried to stop Rhode, who was driving the black GMC Denali, when multiple shots were fired from a nearby truck occupied by Pangilinan and Wells. APD officers discontinued pursuit, and both vehicles successfully eluded police. The indictment further alleges that between June 18, 2019 and June 20, 2019, Pangilinan, Rhode, and Wells attempted to recover an impounded vehicle which contained one of the stolen firearms from the Granny’s Guns burglary.
According to the indictment, Rhode and Saelee were previously convicted of felony offenses and were prohibited from possessing firearms.
If convicted, they each face a maximum sentence of 20 years’ imprisonment.
In January of this year, Pangilinan was found guilty in federal court of one count of possession with the intent to distribute more than 50 grams of methamphetamine after a three-day federal jury trial. Read the detailed press release here. The Anchorage Police Department (APD) and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation leading to the indictment in this case. This case is being prosecuted by Assistant U.S. Attorney Jennifer Ivers.
The charges in the indictments are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former employee sentenced to prison for embezzling from HondaRead the Press Release
COLUMBUS, Ohio – Charles Michael Stratton, 63, of Fairborn, Ohio, was sentenced in U.S. District Court to 42 months in prison for wire fraud and money laundering. Stratton was also ordered to pay more than $750,000 in restitution to his former employer, Honda, and $10,000 to Scioto Industrial Services.
“Stratton devised not just one, but multiple methods for defrauding Honda of more than three-quarters of a million dollars,” U.S. Attorney David M. DeVillers said. “The defendant skimmed from overages, arranged for double billing, and approved false invoices. Now, he will spend time in federal prison.”
Stratton served as the Facilities Manager for Honda of America Manufacturing, Inc. in Marysville, Ohio, from 2008 until March 2015. In his role, he oversaw various vendor contracts, including those for security services, janitorial services, food service and uniform/laundry on behalf of Honda.
Acrux Investigation Agency, located in Lakeview, provided physical and personal security services for Honda. Surmount, also located in Lakeview, was a subsidiary of Acrux and provided monitoring services to Honda.
Stratton executed a scheme to defraud Honda using Acrux and Surmount by creating multiple purchase orders for payments in amounts just under $100,000, a threshold in which additional oversight and approval is required.
Using these purchase orders, as well as the main labor contract, Stratton caused Acrux and Surmount to submit false invoices to Honda and instructed them to keep the money in a “future fund.” Money allocated to the future fund was then used, in part, to pay Stratton directly or through his organization, SAFE. Springfield Area Fastball Elites, Inc. (SAFE) was an Ohio non-profit created by Stratton to support local baseball teams; however, SAFE lost its classification as a 501(c)(3) in 2010.
Stratton was indicted by a grand jury in May 2018 and pleaded guilty to wire fraud and money laundering in October 2019.
David M. DeVillers, United States Attorney for the Southern District of Ohio, and Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division, announced the sentence imposed on Nov. 6 by Senior U.S. District Court Judge James L Graham. Assistant United States Attorneys Jessica W. Knight and Peter K. Glenn-Applegate represented the United States in this case.
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Former corrections officer pleads guilty providing drugs to prison inmatesRead the Press Release
ROME, Ga. – Former correctional officer Michael L. Jones pleaded guilty to accepting bribes to provide prison inmates with methamphetamine, marijuana, and tobacco, all of which were destined to be smuggled into Floyd County Correctional Institution (“FCCI”) in Rome, Georgia.
“Correctional officers across the state serve our citizens by faithfully executing their duties with integrity,” said U.S. Attorney Byung J. “BJay” Pak. “Jones, however, violated both the oath of his office and the law when he provided drugs to prison inmates. As a result, Jones must now account for his betrayal of trust.”
“Jones jeopardized the safety of staff and inmates by smuggling drugs into the Floyd County Correctional Institution and his actions also fostered criminal activity inside and outside the facility,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “By violating his sworn oath he betrayed every honest, hardworking corrections officer.”
“The GDC maintains a zero-tolerance policy for individuals who choose to disregard their oath and jeopardize our non-negotiable mission of public safety. We appreciate the support of our federal partners to see that justice is served on this former officer.”
According to U.S. Attorney Pak, the charges, and other information presented in court: the Floyd County Correctional Institution (“FCCI”) in Rome, Georgia is a medium-security prison that houses state and county offenders. FCCI also provides a general labor force that supports Floyd County Government, including employing inmates to work at the Rome/Floyd Recycling Center.
From approximately June 20, 2017 to September 26, 2019, Jones served as a Floyd County Corrections Officer. During his service, Jones supervised inmates detailed to work at the recycling center.
From that position, from approximately April to September 2019, Jones executed a conspiracy in which he collected contraband packages from the friends and families of prison inmates. For a price (usually $200 per package), Jones delivered the packages to inmates who were detailed to work at the Floyd County Recycling Center. Thereafter, the inmate/s smuggled the methamphetamine, marijuana, and tobacco contained in the packages into FCCI. Typically, the inmates or their associates paid Jones via Cash App, a mobile payment service based in San Francisco, California.
For example, on September 26, 2019, Jones was assigned to oversee a group of inmates who had been detailed to work at the Rome/Floyd Recycling Center. On that date, Jones intended to deliver several contraband packages to an inmate on the work detail; however, law enforcement thwarted Jones’s plan. In particular, law enforcement officers caught Jones with: (a) several packages containing marijuana and tobacco in his boots, and (b) three packages containing marijuana and more than 13 grams of methamphetamine in his truck. All of the contraband packages were tightly wrapped with black electrical tape. Based on that conduct, Jones was arrested.
The U.S. Attorney’s Office charged Michael L. Jones, 31, of Chattooga County, Georgia, with conspiratorial drug trafficking and extortion under the color of official right. Jones pleaded guilty to both charges.
Federal Bureau of Investigation and Georgia Department of Corrections are investigating this case.
Assistant U.S. Attorney Jeffrey W. Davis, Chief of the Public Integrity and Special Matters Section, is prosecuting the case. Former Assistant U.S. Attorney DeLana Jones previously prosecuted the case.
The U.S. Attorney’s Office in Atlanta recommends parents and children learn about the dangers of drugs at the following web site: www.justthinktwice.gov.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Former Sioux City Wastewater Treatment Plant Shift Supervisor Sentenced for Violating the Clean Water ActRead the Press Release
A Sioux City man who conspired to rig environmental testing at a large Iowa regional wastewater treatment plant was sentenced today.
Patrick James Schwarte, age 71, from Sioux City, Iowa, received the sentence after a January 23, 2019, guilty plea to one count of conspiracy and one count of knowingly falsifying, tampering with, and rendering inaccurate a monitoring device or method required to be maintained under the Clean Water Act.
The evidence at the guilty plea and sentencing hearings showed that Schwarte was employed at the Sioux City Wastewater Treatment Plant (WWTP) for over 30 years, most recently as shift supervisor. Schwarte maintained a wastewater treatment certification from the State of Iowa’s Department of Natural Resources (IDNR) and possessed extensive training and experience in municipal wastewater treatment.
The WWTP is a large regional sewage treatment plant for wastewater from industrial, commercial, and residential sources throughout Siouxland, including Sergeant Bluff, Iowa, South Sioux City, Nebraska, North Sioux City, South Dakota, and Dakota Dunes, South Dakota. The WWTP’s more than 20 industrial users produce a large volume of high-strength wastewater. Under a Clean Water Act (CWA) permit, the WWTP was required to treat wastewater before discharging it into the Missouri River, which has heavy local recreational use. Between March 15 and November 15 each year, when public use of the Missouri River was at its highest levels, the WWTP was also required to disinfect its wastewater to remove potentially dangerous human pathogens, including fecal coliform bacteria or E. coli.
The WWTP treated its wastewater with liquid chlorine, which kills bacteria but is potentially toxic to aquatic life. The WWTP’s permit required WWTP to periodically test its wastewater not only for the presence of fecal coliform bacteria or E. coli, but also total residual chlorine (TRC) levels, to ensure that the Missouri River was not polluted.
From July 2012 through June 2015, Schwarte and his direct supervisor, the WWTP Superintendent, tampered with the monitoring methods at the WWTP in order to ensure the WWTP would pass all of its tests. Specifically, early in the morning on testing days for bacteria, Schwarte and the Superintendent instructed first-shift operators at the WWTP to increase the rate of liquid chlorine supplied to the wastewater. After an hour or two passed, and an artificially high level of chlorine was fully mixed into wastewater, they ordered the WWTP’s first-shift operators to use hand-held colorimeters to gauge the levels of chlorine. Only when the colorimeter “maxed out” would the Superintendent take a sample for fecal coliform bacteria or E. coli. This fraudulent procedure allowed for the chlorine in the wastewater to reach sufficient concentrations to avoid showing elevated levels of fecal coliform bacteria or E. coli, which would violate the WWTP’s CWA permits. The WWTP never reported any exceedances of its CWA permit limits for bacteria or residual chlorine after July 2012.
The liquid chlorine rate was increased from about 2.5 gallons per hour, to somewhere between 70 to 120 gallons per hour, for up to two hours. On non-testing days, WWTP employees maintained the chlorine feed rate at minimal levels, well below the designed feed rate of the WWTP and at a rate clearly insufficient to ensure the WWTP consistently and adequately disinfected its wastewater, as the WWTP’s CWA permits required. The engineering firm that designed the liquid chlorine feed system at the WWTP estimated that approximately 16.7 gallons of chlorine would need to be fed per hour to properly kill bacteria.
Then, in the afternoon on fecal coliform bacteria or E. coli testing days, well after the high amounts of chlorine had dissipated from the WWTP’s chlorine contact basin, and when an insufficiently low rate of liquid chlorine was supplied to the basin, Schwarte and the Superintendent would test again for TRC. In the afternoon, they were certain the TRC would pass, because only a minimal rate of liquid chlorine was supplied to the chlorine contact basin at that time. Again, this minimal rate was clearly insufficient to ensure the WWTP consistently and adequately disinfected its wastewater, as required.
The WWTP was also not operated or maintained in good working order, which also violated the WWTP’s permit. For example, the WWTP’s computer system was not only insufficiently connected and inadequately programmed to work with the various parts of the WWTP, but also it worked only intermittently. Although the WWTP was designed to have two operational chlorine contact basins, for years the City operated the WWTP with only one operational chlorine contact basin. Because both chlorine contact basin gates were “old and very leaky,” as reflected in an engineering report provided to the City in April 2012, wastewater constantly poured into the “offline” chlorine contact basin and later, out of the “offline” chlorine contact basin and into the Missouri River.
Schwarte was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Schwarte was sentenced to two years of probation, including two months of home confinement, and fined $5,000.
“Patrick Schwarte intentionally cheated on environmental tests, knowing he was violating the Sioux City Wastewater Treatment Plant’s environmental permit and polluting the Missouri River,” said United States Attorney Peter E. Deegan, Jr. “By doing so, he put recreational users at risk and endangered the river’s aquatic life. This blatant disregard for the law and reprehensible treatment of one of our nation’s treasured waterways was nothing short of outrageous.”
The case was prosecuted by Assistant United States Attorneys Timothy L. Vavricek and Matthew J. Cole and investigated by the Environmental Protection Agency, Criminal Investigation Division, the Environmental Protection Agency, Office of Inspector General, and the Federal Bureau of Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-4001.
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Former Microsoft software engineer sentenced to nine years in prison for stealing more than $10 million in digital value such as gift cardsRead the Press Release
Seattle – A former Microsoft software engineer was sentenced today in U.S. District Court in Seattle to nine years in prison for 18 federal felonies related to his scheme to defraud Microsoft of more than $10 million, announced U.S. Attorney Brian T. Moran. VOLODYMYR KVASHUK, 26, a Ukrainian citizen residing in Renton, Washington, worked first as a contractor at Microsoft and then as an employee from August 2016 until he was fired in June 2018. In February 2020, KVASHUK was convicted by a jury of five counts of wire fraud, six counts of money laundering, two counts of aggravated identity theft, two counts of filing false tax returns, and one count each of mail fraud, access device fraud, and access to a protected computer in furtherance of fraud. At his sentencing hearing, U.S. District Judge James L. Robart said KVASHUK “didn’t have any respect for the law.”
“Stealing from your employer is bad enough, but stealing and making it appear that your colleagues are to blame widens the damage beyond dollars and cents,” said U.S. Attorney Moran. “This case required sophisticated, technological skills to investigate and prosecute, and I am pleased that our law enforcement partners and the U.S. Attorney’s Office have the skill sets needed to bring such offenders to justice.”
According to records filed in the case and testimony at trial, KVASHUK was involved in the testing of Microsoft’s online retail sales platform and used that testing access to steal “currency stored value” (CSV) such as digital gift cards. KVASHUK resold the value on the internet, using the proceeds to purchase a $1.6 million dollar lakefront home and a $160,000 Tesla vehicle. Initially, KVASHUK stole smaller amounts totaling about $12,000 in value using his own account access. As the thefts escalated into millions of dollars of value, KVASHUK used test email accounts associated with other employees. KVASHUK, a knowledgeable software developer, attempted to mask digital evidence that would trace the fraud and the internet sales back to him. He used a bitcoin “mixing” service in an attempt to hide the source of the funds ultimately passing into his bank account. In all, over the seven months of KVASHUK’s illegal activity, approximately $2.8 million in bitcoin were transferred to his bank and investment accounts. KVASHUK then filed fake tax return forms, claiming the bitcoin had been a gift from a relative.
In their sentencing memo, prosecutors noted that KVASHUK’s scheme cast other Microsoft employees under the glare of suspicion. “Kvashuk used the proceeds to live the life of a millionaire, driving a $160,000 car and living in a $1.6 million waterfront home. Kvashuk’s scheme involved lies and deception at every step. He put his colleagues in the line of fire by using their test accounts to steal CSV. Rather than taking responsibility, he testified and told a series of outrageous lies. There is no sign that Kvashuk feels any remorse or regret for his crimes,” prosecutors wrote to the Court.
KVASHUK testified at trial that he did not intend to defraud Microsoft. He claimed to be working on a special project to benefit the company. The jury deliberated about five hours following a five-day jury trial before returning the guilty verdicts.
“The Volodymyr Kvashuk trial marked a big win for IRS-CI and the federal cybercrimes team. Kvashuk’s criminal acts of stealing from Microsoft, and subsequent filing false tax returns, is the nation’s first Bitcoin case that has a tax component to it,” said IRS-CI Special Agent in Charge Ryan L. Korner. “Simply put, today’s sentencing proves you cannot steal money via the Internet and think that Bitcoin is going to hide your criminal behaviors. Our complex team of cybercrimes experts with the assistance of IRS-CI’s Cyber Crimes Unit will hunt you down and hold you accountable for your wrongdoings.”
KVASHUK was ordered to pay $8,344,586 in restitution. He may be deported following his prison term.
The case was investigated by the Internal Revenue Service Criminal Investigation, Western Cyber Crimes Unit and the U.S. Secret Service.
The case was prosecuted by Assistant United States Attorneys Michael Dion and Siddharth Velamoor.
Former Elkhart, Indiana Resident Sentenced to over Six Years in Prison for Financing of TerrorismRead the Press Release
Samantha Marie Elhassani, aka Samantha Sally, 35, formerly of Elkhart, Indiana, was sentenced by U.S. District Court Judge Philip P. Simon to 78 months in prison and three years of supervised release after pleading guilty to Financing Terrorism, announced Assistant Attorney General for National Security John C. Demers, U.S. Attorney for the Northern District of Indiana Thomas L. Kirsch II, FBI Assistant Director of the Counterterrorism Division Jill Sanborn, and FBI Special Agent in Charge of the Indianapolis field office Paul Keenan.
“Once again, the Justice Department has held accountable an individual who turned her back on her country to support a terrorist organization,” said Assistant Attorney General for National Security John C. Demers. “As Elhassani admitted, she made multiple trips to Hong Kong to smuggle tens of thousands in cash and gold, knowing that the funds would be used to support ISIS in Syria. We repatriated Elhassani from Syria because every nation is responsible for holding its citizens accountable and addressing the future threat they may pose. We will not stop.”
"Today's sentencing of Ms. Elhassani should serve as a stark reminder that ISIS and other terrorist organizations have no limits when it comes to recruiting people to join their violent agenda,” said Jill Sanborn, Assistant Director of the FBI’s Counterterrorism Division. “But it also demonstrates our resolve to diligently go after anyone who makes the fateful choice to provide material support to any terrorist organization, especially those who not only betray their country but who would also put their own children in harm’s way during the process.”
“Samantha Elhassani was sentenced today for providing financial support to individuals who desired to support ISIS, a terrorist organization that has committed acts of violence against Americans,” said U.S. Attorney Thomas L. Kirsch II for the Northern District of Indiana. “She traveled with her husband and brother-in-law to Syria, both of whom became ISIS fighters, putting the lives of her children at risk. My Office and our law enforcement partners are committed to prosecuting those like Elhassani who provide support to terrorist organizations. ”
“Today's sentence serves as a strong reminder that the FBI will never relent in ensuring those who abandon their country to support a violent terrorist organization, such as Ms. Elhassani did, will be held accountable and justice will be served,” said FBI Indianapolis Special Agent in Charge Paul Keenan. “Adding to her betrayal, Ms. Elhassani willfully chose to put her young children's lives at risk through her selfish actions, exposing them to an atmosphere of violence and hatred. She knew exactly what she was doing and why. She was an active participant in this heinous activity and is now facing the consequences.”
According to documents in this case, in November 2014, Elhassani was informed by her husband that he and his brother wanted to travel to Syria to join ISIS, which she knew at the time was a terrorist organization that engaged in terrorist activities. Between November 2014 and April 1015, Elhassani helped the two men join ISIS by making multiple trips to Hong Kong and transporting more than $30,000 in cash and gold from the United States and depositing it in a safe deposit box in Hong Kong. Elhassani melted down the gold to look like jewelry and did not disclose the cash and gold on customs declaration forms. At the time Elhassani transported the money and gold, she knew that her husband and brother-in-law had expressed an interest in joining ISIS and that they intended to use these resources to support ISIS.
During her last trip to Hong Kong, in late March 2015, Elhassani procured tactical gear, including rifle scopes and image-stabilized binoculars. From there, Elhassani and her family, including her seven year old son and two year old daughter, departed for Istanbul, Turkey, and entered ISIS-controlled territory in Syria sometime in or around June 2015. In the months leading up to the move to Syria, Elhassani helped conceal the plans by lying to family, friends and federal agents about her travel.
In July of 2018, Elhassani and her children were transferred from the custody of the Syrian Democratic Forces (SDF) to U.S. law enforcement custody.
This case was investigated by the FBI’s Indianapolis Division and Joint Terrorism Task Force. This case was prosecuted by the Assistant United States Attorneys Abizer Zanzi, Jennifer Chang and Nathaniel Whalen and the National Security Divisions Counterterrorism Section.
Former Elkhart, Indiana Resident Sentenced to over Six Years in PrisonRead the Press Release
WASHINGTON - Samantha Marie Elhassani, aka Samantha Sally, 35, formerly of Elkhart, Indiana, was sentenced by U.S. District Court Judge Philip P. Simon to 78 months in prison and three years of supervised release after pleading guilty to Financing Terrorism, announced Assistant Attorney General for National Security John C. Demers, U.S. Attorney for the Northern District of Indiana Thomas L. Kirsch II, FBI Assistant Director of the Counterterrorism Division Jill Sanborn and FBI Special Agent in Charge of the Indianapolis field office Paul Keenan.
“Once again, the Justice Department has held accountable an individual who turned her back on her country to support a terrorist organization,” said Assistant Attorney General for National Security John C. Demers. “As Elhassani admitted, she made multiple trips to Hong Kong to smuggle tens of thousands in cash and gold, knowing that the funds would be used to support ISIS in Syria. We repatriated Elhassani from Syria because every nation is responsible for holding its citizens accountable and addressing the future threat they may pose. We will not stop.”
“Samantha Elhassani was sentenced today for providing financial support to individuals who desired to support ISIS, a terrorist organization that has committed acts of violence against Americans,” said U.S. Attorney Thomas L. Kirsch II for the Northern District of Indiana. “She traveled with her husband and brother-in-law to Syria, both of whom became ISIS fighters, putting the lives of her children at risk. My Office and our law enforcement partners are committed to prosecuting those like Elhassani who provide support to terrorist organizations. ”
“Today's sentence serves as a strong reminder that the FBI will never relent in ensuring those who abandon their country to support a violent terrorist organization, such as Ms. Elhassani did, will be held accountable and justice will be served,” said FBI Indianapolis Special Agent in Charge Paul Keenan. “Adding to her betrayal, Ms. Elhassani willfully chose to put her young children's lives at risk through her selfish actions, exposing them to an atmosphere of violence and hatred. She knew exactly what she was doing and why. She was an active participant in this heinous activity and is now facing the consequences.”
According to documents in this case, in November 2014, Elhassani was informed by her husband that he and his brother wanted to travel to Syria to join ISIS, which she knew at the time was a terrorist organization that engaged in terrorist activities. Between November 2014 and April 1015, Elhassani helped the two men join ISIS by making multiple trips to Hong Kong and transporting more than $30,000 in cash and gold from the United States and depositing it in a safe deposit box in Hong Kong. Elhassani melted down the gold to look like jewelry and did not disclose the cash and gold on customs declaration forms. At the time Elhassani transported the money and gold, she knew that her husband and brother-in-law had expressed an interest in joining ISIS and that they intended to use these resources to support ISIS.
During her last trip to Hong Kong, in late March 2015, Elhassani procured tactical gear, including rifle scopes and image-stabilized binoculars. From there, Elhassani and her family, including her seven year old son and two year old daughter, departed for Istanbul, Turkey, and entered ISIS-controlled territory in Syria sometime in or around June 2015. In the months leading up to the move to Syria, Elhassani helped conceal the plans by lying to family, friends and federal agents about her travel.
In July of 2018, Elhassani and her children were transferred from the custody of the Syrian Democratic Forces (SDF) to U.S. law enforcement custody.
This case was investigated by the FBI’s Indianapolis Division and Joint Terrorism Task Force. This case was prosecuted by the Assistant United States Attorneys Abizer Zanzi, Jennifer Chang and Nathaniel Whalen and the National Security Divisions Counterterrorism Section.
Former CFO of Long Island Pharmaceutical Company Pleads Guilty to Insider TradingRead the Press Release
Earlier today, at the federal courthouse in Central Islip, Douglas Roth, the former Chief Financial Officer (CFO) of Aceto Corporation (Aceto), a pharmaceutical company based in Port Washington, New York, pleaded guilty to securities fraud for insider trading. Roth obtained material non-public information about Aceto’s financial condition while serving as the company’s CFO, then sold shares of Aceto ahead of a public announcement detailing negative information about the company’s finances and avoided more than $145,000 in losses. Today’s proceeding took place before United States District Judge Joan M. Azrack. When sentenced, Roth faces up to 20 years in prison, as well as forfeiture and a fine of up to $5 million.
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, and William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI), announced the guilty plea.
“Corporate officers cannot use their positions of trust for personal benefit at the expense of shareholders,” stated Acting United States Attorney Seth D. DuCharme. “As demonstrated by today’s guilty plea, this Office will vigorously prosecute those who abuse their positions to defraud the financial markets.” Mr. DuCharme thanked the New York Regional Office of the Securities and Exchange Commission (SEC) for their cooperation and assistance during the investigation.
According to court filings and facts presented during the plea proceeding, Roth was CFO of Aceto from approximately May 2001 to March 31, 2018. During the relevant time period, shares of Aceto traded on the NASDAQ exchange under the ticker ACETQ. Between January and March 2018, Roth was aware of non-public information that Aceto’s financial performance had worsened substantially as compared to its most-recent publicly-released financial statements, including that Aceto was likely to breach certain financial covenants it owed to its bank lenders, and that Aceto might need to write down more than $100 million in goodwill assets. While in possession of that non-public information, Roth sold approximately 69,549 shares of Aceto stock. Shortly thereafter, Aceto issued a press release publicly announcing that its financial condition had worsened, that it had breached certain financial covenants and that it would need to write down significant goodwill assets, after which Aceto’s share price dropped significantly. By selling his shares before the press release was issued, Roth avoided more than $145,000 in losses.
The government’s case is being handled by the Office’s Business and Securities Fraud Section. Assistant United States Attorneys Alixandra E. Smith and Mathew S. Miller are in charge of the prosecution.
The Defendant:
DOUGLAS ROTH
Age: 63
East Northport, New YorkE.D.N.Y. Docket No. 20-481 (JMA)
Federal Grand Jury Indicts New Orleans Man for Narcotics and Firearm ViolationsRead the Press Release
NEW ORLEANS, LOUISIANA – U.S. Attorney Peter G. Strasser announced on Friday, November 6, 2020, that DEREK NOLAN, a/k/a “Pop,” age 25, a resident of New Orleans, Louisiana was charged in a ten-count indictment by a federal grand jury. In Count 1, NOLAN is charged with a conspiracy to distribute and possess with the intent to distribute 100 grams or more of a mixture or substance containing a detectable amount of heroin; 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine; and a quantity of a mixture or substance containing a detectable amount of N-phenyl-N-[1-(2-phenylethyl)-4-piperidinyl] propanamide, that is fentanyl in violation of Title 21 U.S.C. §§ 841(a)(1), (b)(1)(B), (b)(1)(C) and § 846. If convicted for the heroin and methamphetamine violations, NOLAN faces a term of imprisonment with mandatory minimum sentence of 5 years and a maximum sentence of 40 years, a fine of up to $5,000,000, a period of supervised release of at least 4 years, and a mandatory special assessment fee of $100. For the fentanyl offense, if convicted, NOLAN faces a maximum term of imprisonment of 20 years, a fine up to $1,000,000.00, a period of supervised release of at least 3 years, and a mandatory special assessment fee of $100.
In Counts 2 and 3, NOLAN is charged with distribution of a quantity of a mixture or substance containing a detectable amount of N-phenyl-N-[1-(2-phenylethyl)-4-piperidinyl] propanamide, that is fentanyl, in violation of 21 U.S.C. §§ 841(a)(1) and (b)(1)(C). If convicted, NOLAN faces a maximum term of imprisonment of 20 years, a fine of up to $1,000,000.00, a period of supervised release of at least 3 years, and a mandatory special assessment fee of $100.
In Counts 4 and 5, NOLAN is charged with distribution of a quantity of a mixture or substance containing a detectable amount of heroin, in violation of Title 21 U.S.C. §§ 841(a)(1) and (b)(1)(C). If convicted, NOLAN faces a maximum term of imprisonment of 20 years, a fine of up to $1,000,000.00, a period of supervised release of at least 3 years, and a mandatory special assessment fee of $100.
In Counts 6 and 8, NOLAN is charged with distribution of a quantity of a mixture or substance containing a detectable amount of heroin and a quantity of a mixture or substance containing a detectable amount of methamphetamine, in violation of Title 21 U.S.C. §§ 841(a)(1) and (b)(1)(C). If convicted, NOLAN faces a maximum term of imprisonment of 20 years, a fine of up to $1,000,000.00, a period of supervised release of at least 3 years, and a mandatory special assessment fee of $100.
In Counts 7 and 11, NOLAN is charged with possession of a firearm in furtherance of drug trafficking crimes, in violation of Title 18, United States Code, Sections 924(c)(1)(A) and 924(c)(1)(A)(i). If convicted, NOLAN faces a consecutive mandatory minimum sentence of 5 years of imprisonment, a fine of up to $250,000.00, a period of supervised release up to 5 years and a mandatory special assessment fee of $100.
In Count 9, NOLAN is charged with distribution of 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine and a quantity of a mixture or substance containing a detectable amount of heroin, in violation of Title 21 U.S.C. §§ 841(a)(1), (b)(1)(B), and (b)(1)(C). If convicted for the methamphetamine violation, NOLAN faces a term of imprisonment with a mandatory minimum sentence of 5 years and a maximum sentence of 40 years, a fine of up to $5,000,000 fine, a period of supervised release of at least 4 years, and a mandatory special assessment fee of $100. For the heroin offense, if convicted, NOLAN faces a maximum term of imprisonment of 20 years, a fine up to $1,000,000.00, a period of supervised release of at least 3 years supervised release, and a mandatory special assessment fee of $100.
In Count 10, NOLAN is charged with being a felon in possession of firearms and ammunition in violation of 18 U.S.C. §§ 922(g)(1) and 924(a)(2). If convicted, NOLAN faces a maximum sentence of 10 years imprisonment, a fine up to $250,000.00, a period of supervised release up to 3 years, and a mandatory special assessment fee of $100.00 for each charge.
U. S. Attorney Strasser reiterated that the indictment is merely a charge and that the guilt of the defendant must be proven beyond a reasonable doubt.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: Bureau of Alcohol, Tobacco, Firearms and Explosives. For more information about Project Guardian, please see https://www.justice.gov/usao-edla/project-guardian.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Jefferson Parish Sheriff’s Office. The case is being prosecuted by Assistant United States Attorney Brittany Reed of the Violent Crime/Strike Force Unit of the U.S. Attorney’s Office.
Essex County Man Sentenced to 80 Months in Prison for Three Felon in Possession Charges, One in Connection with A ShootingRead the Press Release
NEWARK, N.J. – An Essex County, New Jersey, man was sentenced today to 80 months in prison for three felony charges in connection with his possession of firearms and ammunition on three different days in April and May of 2019, U.S. Attorney Craig Carpenito announced.
Samaad Kelly, a/k/a “Spud,” 33, previously pleaded guilty before U.S. District Judge Esther Salas in Newark federal court to an information charging him with two counts of being a felon in possession of a firearm and one count of being a felon in possession of ammunition. U.S. District Judge Brian R. Martinotti imposed the sentence today by videoconference.
According to documents filed in this case and statements made in court:
On April 24, 2019, officers from the Essex County Sheriff’s Office received information that Kelly was driving in Newark in a silver BMW with a temporary registration and was in possession of a firearm. The officers observed the BMW, which had a fictitious registration, and conducted a stop. Kelly, who was driving the BMW, could not provide the officers with any identification, registration, or proof of insurance. After conducting a search of the BMW, the officers located a Taurus semi-automatic 9 millimeter handgun in the glove box. The officers arrested Kelly, and Kelly remained in custody until May 2, 2019, when he was released on bail.
On May 7, 2019, officers from the Newark Police Department responded to a report of gun shots near Astor Street in Newark. Upon their arrival, they found one 9 millimeter discharged shell casing and one 9 millimeter round of live ammunition. The officers obtained video footage from surveillance cameras located nearby, which showed Kelly point and fire a black handgun in the direction of another individual.
On May 10, 2019, detectives from the Newark Police Department were patrolling a section of Newark in the vicinity of Astor and Brunswick streets. One of the detectives observed Kelly wearing a fanny pack that appeared to be heavily weighed down. When the detectives approached Kelly, he fled on foot. While running away from the detectives, Kelly unclipped the fanny pack and attempted to throw it over a fence. As he was throwing the fanny pack, he slipped and fell to the ground. The detectives apprehended Kelly, recovered the fanny pack, and found inside of it a Ruger 9 millimeter semi-automatic pistol, loaded with 10 rounds of ammunition. The detectives arrested Kelly.
In addition to the prison term, Judge Martinotti sentenced Kelly to 3 years of supervised release.
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 NCIS for mental health reasons; and ensured that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/projectguardian .
U.S. Attorney Carpenito credited special agents of the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent in Charge Charlie J. Patterson, Newark Field Division, with the investigation leading to today’s sentencing. He also thanked the Essex County Prosecutor’s Office, under the direction of Acting Prosecutor Theodore N. Stephens II, police officers and detectives of the Newark Police Department, under the direction of Public Safety Director Anthony F. Ambrose, and the Essex County Sheriff’s Office, under the direction of Sheriff Armando B. Fontoura, for their work on the case.
The government is represented by Assistant U.S. Attorney Christopher D. Amore of the Government Fraud Unit in Newark.
Defense counsel: Lisa M. Mack Esq., Assistant Federal Public Defender, Newark
El Dorado Man Sentenced to 10 Years in Federal Prison for Drug Trafficking and Firearms PossessionRead the Press Release
El Dorado, Arkansas – David Clay Fowlkes, First Assistant United States Attorney for the Western District of Arkansas, announced that Marcus Damon Howard, 42, of El Dorado, Arkansas, was sentenced on November 6, 2020, to 120 months in federal prison, followed by three years of supervised release, for one count of Possession with Intent to Distribute Methamphetamine and one count of Possession of a Firearm in Furtherance of a Drug Trafficking Crime. The Honorable Chief Judge Susan O. Hickey presided over the sentencing hearing, in the United States District Court’s El Dorado Division.
According to court records, on July 1, 2018, Investigators with the Criminal Apprehension Division (CAD), observed a vehicle fail to stop at a stop sign. As the vehicle continued travelling, Investigators observed the driver throw a cigarette pack wrapper out of the driver’s window. Based upon the observed violations, Investigators conducted a traffic stop. When the vehicle stopped, Investigators made contact with its driver and sole occupant Howard. Investigators were advised that Howard was on active state parole and had a search wavier on file. A search of the vehicle resulted in Investigators locating a clear plastic bag that contained 18 smaller plastic baggies of suspected marijuana and 2 baggies of suspected methamphetamine. CAD Investigators also conducted a search of Howard’s residence. That search resulted in Investigators locating three firearms, miscellaneous drug paraphernalia, fentanyl, additional marijuana and additional methamphetamine.
The suspected fentanyl and methamphetamine were sent to the DEA Crime laboratory for analysis. The laboratory was able to confirm positive test results for fentanyl and methamphetamine.
Howard was indicted by a federal grand jury in November of 2019, and entered a guilty plea in June of 2020.
This case was prosecuted as a part of the Department of Justice=s Project Safe Neighborhoods Initiative, which is aimed at reducing gun and gang violence, deterring illegal possession of firearms and improving the safety of residents in the Western District of Arkansas. Participants in the initiative include federal, state and local law enforcement agencies.
This case was investigated by the Federal Bureau of Investigation, 13th Judicial District Drug Task Force, El Dorado Police Department, and Union County Sheriff’s Department. Assistant United States Attorney Graham Jones prosecuted the case for the Western District of Arkansas.
East Hartford Man Charged with Illegally Possessing Gun in HartfordRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that a federal grand jury in Hartford has returned an indictment charging GREGORY CRAWFORD, 36, of East Hartford, with unlawful possession of a firearm by a convicted felon.
The indictment was returned on October 20, 2020. Crawford appeared today via videoconference before U.S. Magistrate Judge William I. Garfinkel and entered a plea of not guilty to the offense.
The indictment alleges that, on June 29, 2020, Crawford possessed a Haskell Hi-Point .45 pistol in Hartford. Prior to that date, Crawford was convicted in state court of felony assault, robbery and narcotics charges.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Crawford has been detained in state custody since his arrest by Hartford Police on June 29, 2020.
The charge of possession of firearm by a convicted felon carries a maximum term of imprisonment of 10 years.
U.S. Attorney Durham stressed that an indictment is not evidence of guilt. Charges are only allegations, and the defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the FBI’s Connecticut Violent Crime Task Force and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney David T. Huang.
This prosecution has been brought through Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Crystal Lake Man Pleads Guilty to Federal Income Tax EvasionRead the Press Release
ROCKFORD — A Crystal Lake resident pleaded guilty today before U.S. District Judge Iain D. Johnston to federal income tax evasion.
GARY T. PETERSEN, 55, was president and sole shareholder of Petersen Sealcoating and Paving, Inc., a business located in Crystal Lake. According to a written plea agreement, Petersen in 2016 deposited checks received by PSPI as payment for its services and products into bank accounts Petersen held with family members and other accounts held by his family members that he controlled. Petersen also cashed checks PSPI received and personally retained the cash, with the intention of excluding the money from income reported by PSPI to the IRS.
For the calendar year 2016, Petersen provided PSPI income information to his tax preparer, but concealed checks that he deposited into his joint and controlled accounts, and the checks he cashed. On March 23, 2017, Petersen caused a false U.S. Individual Income Tax Return Form 1040 to be filed, stating the he and a co-filer had taxable income of $75,028 and that the amount of tax due was $10,919, when Petersen knew he and his co-filer had taxable income of approximately $1,174,261, and the additional amount of income tax due was approximately $402,431.
Petersen also admitted that during the calendar years 2012, 2013, 2014, and 2015, he engaged in the same acts, underreporting PSPI’s income and his personal income on tax forms that would have resulted in additional tax due of $33,216 in 2012, $82,388 in 2013, $146,853 in 2014, and $356,230 in 2015.
Petersen faces a maximum sentence of five years’ imprisonment, and a fine of up to $250,000 or twice the gross gain or gross loss resulting from the offense, whichever is greater. The actual sentence will be determined by the U.S. District Court, guided by the Sentencing Guidelines. Sentencing is set for Feb. 17, 2021, at 10:30 a.m.
The guilty plea was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois, and Todd Martin, Acting Special Agent-In-Charge of the IRS Criminal Investigation Division in Chicago. The government is represented by Assistant U.S. Attorney Michael D. Love.
Conway Woman Sentenced to over 11 Years in Federal Prison after Distributing FentanylRead the Press Release
Florence, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Amy Marie Mishoe, 33, of Conway, was sentenced to over 11 years in federal prison after pleading guilty to possession with intent to distribute and distribution of Fentanyl and possession of a firearm in furtherance of a drug trafficking crime.
Evidence presented to the court showed that on April 11, 2018, the Horry County Drug Enforcement Unit (DEU) executed a state search warrant at Mishoe’s house in Conway. During the search, DEU found firearms, ammunition, and 132 tablets of Oxycodone.
On March 26, 2019, Loris Police Department responded to a store in Loris in reference to a possible overdose of an individual. The individual’s girlfriend told the officers she and her boyfriend went to a woman’s house, who the individual later identified as Mishoe, to get the individual’s prescribed medication that had been picked up. However, Mishoe would not give the individual his medication because he owed Mishoe money. Instead, Mishoe gave the individual three small blue pills for $30.00. The individual took one of the pills and thereafter had to be transported to the Loris Emergency Department for treatment. The Loris Police Department retrieved one of the three pills the individual had purchased from Mishoe, and an analysis by the Horry County Police Department Drug Laboratory confirmed the pill contained Fentanyl.
Chief United States District Judge R. Bryan Harwell sentenced Mishoe to 138 months in federal prison, to be followed by a five-year term of court-ordered supervision. There is no parole in the federal system.
The case was investigated by the DEA Tactical Diversion Squad, DEU, South Carolina Department of Health and Environmental Control (SCDHEC), Loris Police Department, and Horry County Police Department.
This case was prosecuted as part of the joint federal, state, and local Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Assistant United States Attorney Lauren Hummel of the Florence office prosecuted the case.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Convicted Felon Sentenced to Federal Prison for Firearms PossessionRead the Press Release
Jackson, TN – Reginald Dontae Williamson, Jr., 26, has been sentenced to 77 months in federal prison for being a felon in possession of firearms. D. Michael Dunavant, U.S. Attorney announced the sentence today.
According to information presented in court, on August 20, 2019, investigators with the Jackson Police Department Gang Unit were assisting the U.S. Marshals Service while serving an arrest warrant at the defendant’s residence in Jackson. As agents with the USMS were inside the residence securing Williamson, JPD officers saw two partially smoked marijuana cigarettes in an ashtray in the living room. Investigators obtained a search warrant for the home, which revealed a black 12-gauge shotgun and a Mac-10 pistol in a bedroom closet. The shotgun had been stolen in 2017 during an automobile burglary in Jackson. Both guns were loaded.
As a result of his prior felony convictions, including aggravated burglary, theft of property, aggravated riot and vandalism, Williamson is prohibited by federal law from possessing firearms or ammunition.
On July 21, 2020, Williamson pled guilty to being a convicted felon in possession of the 12-gauge shotgun and the Mac-10 pistol.
On November 6, 2020, U.S. Chief District Judge S. Thomas Anderson sentenced Williamson to 77 months in federal prison followed by three years supervised release. There is no parole in the federal system.
U.S. Attorney D. Michael Dunavant said: "Gun crime remains a pervasive problem in too many communities across West Tennessee, including Jackson. Congress enacted the statutory prohibitions of federal firearms laws to keep guns out of the hands of presumptively risky people, and the government has a strong interest in preventing people who already have disrespected the law, including felons, from possessing guns. This sentence removes two dangerous threats from the streets: a risky recidivist felon, and stolen firearms."
The Jackson Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) investigated this case.
Assistant U.S. Attorney Josh Morrow prosecuted this case on behalf of the government.
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Co-Owner of Puerto Rican Online Aquarium Business Pleads Guilty to Two Lacey Act Felonies and Export Smuggling for Illicit Trafficking of Protected Reef CreaturesRead the Press Release
A resident of San Sebastian, Puerto Rico, pleaded guilty today to export smuggling and two felony violations of the Lacey Act for collecting, purchasing, falsely labeling, and shipping protected marine invertebrate species as part of an effort to subvert Puerto Rican law designed to protect corals and other reef species, the Department of Justice announced.
During 2014 through 2016, Luis Joel Vargas Martell (Vargas) was the co-owner of a home-based saltwater aquarium business, Carebbean Reefers (spelling error intentional) that also operated online through the EBay store “Redragon1975”. A large part of the business was devoted to the sale of native Puerto Rican marine species that are popular in the saltwater aquarium trade.
Vargas sent illegally collected live specimens to customers in the mainland United States and foreign countries by commercial courier services. One of the most popular items that Vargas and his business sent off-island was an organism from the genus Ricordea. These animals are known as “rics,” “polyps,” or “mushrooms” in the aquarium industry. Members of the genus form part of the reef structure and spend their adult lives fastened in place to the reef. These animals are colorful in natural light, but what makes them particularly interesting to aquarium owners is that they “glow” under the UV lights that are typically used in high-end saltwater aquariums.
It is illegal to harvest Ricordea, zoanthids, and anemones in Puerto Rico if the specimens are going to be sent off-island or otherwise sold commercially, nor is there a permit available to do so. Vargas personally collected much of the Ricordea and other reef creatures that he sold off-island. On multiple occasions, he would accompany his business partner, Raymond Torres, and they would snorkel from the shoreline in search of Ricordea. Because Ricordea are attached to the reef substrate, the pair would utilize a chisel to break off the animals, and in doing so, take chunks of the reef with them.
In order to cover up the nature of his shipments and to avoid detection from governmental inspection authorities, the scheme included falsely labelling many of the live shipments as inanimate objects. From January 2014 to March 2016, Vargas sent or caused to be sent at least 40 shipments of marine species that were illegally harvested in the waters of Puerto Rico. While there is some variation in the price of Ricordea depending on coloration, size, and other factors, the aggregate retail value of illegal Ricordea shipped by Vargas was worth at least $90,000.
Vargas will be sentence at a future date designated by the court. Torres pleaded guilty to similar charges on June 9, 2020. He is scheduled to be sentenced on Dec. 8, 2020.
This case was investigated as part of Operation Rock Bottom and Operation Borinquen Chisel by Special Agents of the U.S. Fish and Wildlife Service and the National Oceanic and Atmospheric Administration with support from the USFWS Inspectors. The case is being prosecuted by Christopher L. Hale of the Justice Department’s Environmental Crimes Section along with Assistant U.S. Attorney Carmen Marquez of the U.S. Attorney’s Office for the District of Puerto Rico.
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.
Ricordea polyps illegally harvested by the defendant for use in the aquarium trade. Notice that the polyps are still attached to reef substrate. Ricordea polyps illegally harvested by the defendant. Photo shows other specimens in one of the business’ saltwater tanks. Ricordea polyps illegally harvested by the defendant for use in the aquarium trade. Notice that the polyps are still attached to reef substrate.Carroll Man to Federal Prison for Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine while also illegally possessing a firearm was sentenced November 3, 2020, to 10 years in federal prison.
John Sanchez, 40, from Carroll, Iowa, received the prison term after a June 19, 2020, guilty plea to conspiracy to distribute methamphetamine and possession of firearm by a prohibited person.
At the plea hearing, evidence showed that Sanchez was involved in a conspiracy that distributed methamphetamine from May 2019 through August 2019 in the Carroll, Iowa area. On two occasions in July 2019, Sanchez distributed over 25 grams of pure methamphetamine to another individual. Further, in August 2019, law enforcement seized over 50 grams of pure methamphetamine from Sanchez. Sanchez later admitted he illegally owned a 9mm pistol. Sanchez was not legally permitted to own a gun for three reasons: he had been convicted of a felony; he was a user of illegal drugs at the time he possessed the gun; and he was previously convicted of a misdemeanor crime domestic violence.
Sanchez was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Sanchez was sentenced to 120 months’ imprisonment. He must also serve a 5-year term of supervised release after the prison term. There is no parole in the federal system. Sanchez is being held in the United States Marshal’s custody until he can be transported to a federal prison.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case was prosecuted by Special Assistant United States Attorney Patrick T. Greenwood and investigated by Iowa Division of Narcotics Enforcement, Carroll County Sheriff’s Office, Carroll Police Department, United States Postal Inspection Service, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Iowa Division of Criminalistics Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-3005. Follow us on Twitter @USAO_NDIA.
Campaign Consultant Ravneet Singh Re-Sentenced for Conspiring with Mexican Billionaire to Buy the San Diego MayorRead the Press Release
Assistant U.S. Attorney Mark W. Pletcher (619) 546-9714
NEWS RELEASE SUMMARY – November 9, 2020
SAN DIEGO – Self-christened campaign guru Ravneet (“Ravi”) Singh was re-sentenced in federal court today to one year in prison for conspiring with Mexican billionaire Susumo Azano to make almost $600,000 in illegal political contributions to candidates Bonnie Dumanis and Bob Filner in the 2012 San Diego mayoral campaign in an effort to buy “a friend in the Mayor’s office.”
U.S. District Judge Michael M. Anello also ordered Singh to pay a $10,000 fine. Singh’s re-sentencing brings to a successful end this long-running investigation into corruption in local San Diego politics.
“Today’s sentence once again stands testament to the resolve of the FBI, the IRS, and the U.S. Attorney’s Office to safeguard San Diego politics against those who attempt to illegally undermine the fundamental principles of American democracy,” said Executive U.S. Attorney Linda Frakes. “Today, more than ever, the integrity of our election system matters and attempts to illegally manipulate it will be punished.”
“Public corruption and campaign finance fraud undermines the strength and confidence in our system of government which is why these cases have always been a top criminal priority for the FBI,” said Special Agent in Charge Suzanne Turner. “The American people can count on the FBI to continue to expose those, like Azano and Singh, who attempt to illegally influence American political processes and bring them to justice.”
In September 2016, after six weeks of trial and five days of deliberations, a federal jury in San Diego returned guilty verdicts against Azano and Singh as well as Azano’s son, Edward Susumo Azano Hester.
According to evidence presented at trial, Azano, Singh, and others conspired to inject hundreds of thousands of dollars in cash and in-kind consulting services to the Dumanis and Filner campaigns, despite the fact that Azano’s foreign national status made such contributions illegal. To conceal his connection to these contributions, Azano arranged with Singh, his son Edward Hester, and others to funnel this illegal foreign money through corporate and third person “straw donor” contributions.
In return for his money, Azano sought to buy political influence and support for his vision: “Miami West” – a San Diego waterfront development project with a yacht marina, a branded five-star hotel and luxury bayside condominiums, a development project that promised Azano hundreds of millions in profit. Azano also demanded access, like the ability to summon influential political figures to his home on a moment’s notice or to obtain letters of reference to secure his son’s admission to the University of San Diego.
According to testimony at trial, Azano’s illegal money harnessed by Singh in an effective Internet fusillade made the difference in electing Bob Filner as Mayor. Within weeks after the election, with the Mayor squarely in his pocket, Azano met in London with renowned, Middle East-based master developers to refine his plans for “Miami West.” A month after the election, Azano invited the developers to fly halfway around the globe to meet with him and Mayor Filner about the Miami West project, and just four days after Filner’s inauguration, that meeting occurred, catered by Nobu, at Azano’s Coronado Cays mansion.
Filner resigned six months later amid allegations of sexual misconduct.
Azano and Singh were initially sentenced in 2017 to incarceration periods of 36 months and 15 months. After multiple lengthy appeals to the Ninth Circuit Court of Appeals and a petition for review at the Supreme Court, which invalidated their convictions on one of the 36 counts charged in the indictment, Judge Anello re-sentenced Azano in 2019 to the same sentence of 36-months in prison. Today, Judge Anello sentenced Singh to a 12-month sentence. Singh was ordered to report to prison on January 11, 2021.
In addition to Azano, Singh, and Hester, local car dealer Marc Chase, his company South Beach Acquisitions, consultant Marco Polo Cortes, and former police detective Ernesto Encinas were also convicted of various campaign fraud-related offenses as part of this long-running investigation.
Executive U.S. Attorney Linda Frakes specially commended all the law enforcement agents and agencies who rigorously pursued this matter since its inception through its conclusion.
DEFENDANT Case Number: 14CR0388-MMA
Ravneet Singh Age: 48 Coral Springs, FLA
SUMMARY OF CONVICTIONS
Count 1: Conspiracy to Commit Offenses Against the United States – Title 18, U.S.C., Sec. 371.
Maximum Penalties: Up to five years in prison and $250,000 fine
Count 3: Donation and Contribution by a Foreign National Aggregating $25,000 or more – Title 2, U.S.C., Secs. 437g (d) (1) (A) (i) and 441e (A) (1).
Maximum Penalties: Up to five years in prison and $250,000 fine
Counts 32: Falsification of Records – Title 18, U.S.C., Sec. 1519.
Maximum Penalties: Up to 20 years in prison per count and $250,000 fine per count.
AGENCIES
Federal Bureau of Investigation
Internal Revenue Service, Criminal Investigation
San Diego Police Department
California EDD Fraudster Sentenced for Disability Benefits Fraud and Identity TheftRead the Press Release
SACRAMENTO, Calif. — Angela Stubblefield, 49, of Tacoma, Washington, was sentenced today by U.S. District Judge Kimberly J. Mueller to two years and six months in prison and ordered to pay $219,871 in restitution for a disability benefits fraud and identity theft scheme, U.S. Attorney McGregor W. Scott announced.
According to court documents, between June 14, 2013, and May 1, 2017, Stubblefield and co‑defendant Katherine Decker participated in a scheme to defraud the State of California by filing fraudulent claims for disability insurance benefits with the California Employment Development Department (EDD). In furtherance of the scheme, Decker and Stubblefield used Decker’s position as an employee with the EDD to file fraudulent claims for disability benefits and to fraudulently extend existing disability claims, using the names and identities of real persons with and without their knowledge. In total, the conspiracy resulted in 15 fraudulent disability claims, resulting in a loss to the EDD of approximately $373,566.
“EDD employees rigorously work to protect the confidentiality of our claimant’s information and the integrity of the Disability Insurance program for Californians in need,” said EDD Director Sharon Hilliard. “We are grateful for the partnership of our federal and state partners in prosecuting any violator of that policy to the fullest extent of the law.”
This case was the product of an investigation by EDD’s Investigation Division and the Federal Bureau of Investigation. Assistant U.S. Attorneys Shea J. Kenny and Amy S. Hitchcock prosecuted the case.
Stubblefield was ordered to report to begin service of her sentence by Feb. 1, 2021. On Sept. 14, Stubblefield’s co-defendant Katherine Decker was sentenced by Judge Mueller to three years and seven months in prison for the disability benefits fraud and identity theft scheme.
Calera Man Pleads Guilty to Illegally Possessing a FirearmRead the Press Release
A Calera man pleaded guilty this morning to being a prohibited person in possession of a firearm, announced U.S. Attorney Trent Shores. The defendant supplied the gun allegedly used in the murder of Tulsa Police Sergeant Craig Johnson.
Jakob Gerald Garland, 28, pleaded guilty this morning in front of U.S. District Judge Claire V. Eagan. Garland’s sentencing is set for Feb. 9, 2021.
“Experience tells me that bad things happen when a gun makes it into the hands of felons and drug dealers. Today, Jakob Garland pleaded guilty to providing a gun to a felon in exchange for heroin. As a result of this exchange, Tulsa Police Sergeant Craig Johnson died in the line of duty when that same gun was allegedly used by that felon to shoot him,” said U.S. Attorney Trent Shores. “Our 2150 Initiative, named in honor of Sgt. Johnson, focuses on protecting our community from those who illegally possess guns or illegally provide them to others. From felons to domestic abusers to drug abusers, if they possess firearms then they will be brought to justice.”
In his plea agreement, Garland admitted that on June 19, 2020, he gave an individual a Glock Model 23, .40 caliber semiautomatic handgun with serial number WKG380 in exchange for heroin. He admitted to driving to Tulsa and meeting the individual to give him the gun at his apartment located within the Northern District of Oklahoma. Prior to June 19, 2020 Garland admitted he had been convicted of several offenses that carried a penalty in excess of one year and was aware he was a convicted felon.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Tulsa Police Department conducted the investigation. Assistant U.S. Attorney Edward Snow is prosecuting the case.
The 2150 Initiative is a collaborative effort between the U.S. Attorney’s Office for the Northern District of Oklahoma, Tulsa Police Department, ATF, and all other local, state, tribal and federal law enforcement partners to combat violent crime by focusing efforts on prohibited persons in possession of firearms as well as those responsible as the “source” of the firearms to prohibited persons.
Burke County men indicted for operation of illegal pill factoryRead the Press Release
AUGUSTA, GA: Two Burke County men have been indicted on federal drug trafficking charges for operating an illegal pill factory.
Cedrick Gabriel Brown, a/k/a “Pop,” 47, and Telly Savalas Carswell, 46, both of Midville, Ga., are charged with Conspiracy to Possess with Intent to Distribute and To Distribute More than 500 Grams of Methamphetamine and a Quantity of Heroin; Possession of More than 500 Grams of Methamphetamine and a Quantity of Heroin with Intent to Distribute; and Maintaining or Using a Drug Involved Premises, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. The charges carry a possible penalty upon conviction of up to life in prison and substantial financial penalties, followed by up to five years of supervised release.
There is no parole in the federal system.
“Deadly, addictive and illegal drugs – especially opioids and methamphetamine – are ripping asunder small towns and rural communities throughout our country,” said U.S. Attorney Christine. “With our law enforcement partners, we are determined to eradicate these poisons from our streets.”
The U.S. Drug Enforcement Administration began an investigation in January 2020, and with the Burke County Sheriff’s Office, DEA agents conducted a search of the home on May 7, 2020, and found a pill press, along with methamphetamine, heroin and other drugs; nearly $9,000 in cash; and paraphernalia related to drug trafficking.
“Criminals rely on pill presses to create dangerous counterfeit medications which contain toxic substances such as methamphetamine, heroin and other dangerous and potentially deadly drugs,” said the Special Agent in Charge of the DEA Atlanta Field Division Robert J. Murphy. “DEA and its law enforcement partners are committed to keeping our neighborhoods safe from dangerous drugs.”
Criminal indictments contain only charges; defendants are presumed innocent unless and until proven guilty.
The case is being investigated by the DEA and the Burke County Sheriff’s Office, and prosecuted for the United States by Assistant U.S. Attorney Matthew Josephson.
Buffalo Man Going to Prison for Lying to Grand Jury About A Murder InvestigationRead 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 Demetrius Lowry, a/k/a Little D, 25, of Buffalo, NY, who was convicted of obstructing an official proceeding, was sentenced to serve 60 months in prison by U.S. District Judge Lawrence J. Vilardo.
Assistant U.S. Attorneys Paul C. Parisi and Seth T. Molisani, who handled the case, stated that Jaquan Sullivan was shot and killed on December 5, 2015, in the vicinity of Parkdale Avenue in Buffalo. On December 8, 2015, Lowry was interviewed by Buffalo Police Homicide detectives and provided two written statements detailing the shooting, including the identity of the person who shot Sullivan.
On December 17, 2015, Lowry sent a text message to the Buffalo Police Confidential Tip Line stating that this prior information was “totally wrong” and that he did not know who was involved in the shooting. On February 18, 2016, detectives interviewed the defendant about the tip-line message, and Lowry signed a written statement indicating that the tip-line message was not true.
On July 12, 2018, law enforcement officers assigned to the FBI interviewed the defendant once again about the shooting death of Jaquan Sullivan. Lowry gave information about the identity of the shooter which was different from that which he provided on December 8, 2015.
On July 31, 2018, while under oath and testifying in a proceeding before a Federal Grand Jury, the defendant denied writing and signing both his December 8, 2015, and February 18, 2016, statements, claiming, inter alia, that he was never interviewed by a detective on February 18. Lowry testified that he did speak with the FBI in July of 2018, but he stated he was not asked about the murder of Jaquan Sullivan.
The sentencing is the result of an investigation by the Buffalo Police Department, under the direction of Commissioner Byron Lockwood, the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia, and the Erie County Sheriff’s Office, under the direction of Sheriff Timothy Howard.
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Boulder Man Sentenced to 5 Years in Federal Prison for Nearly $32 Million Bank Fraud SchemeRead the Press Release
DENVER – United States Attorney Jason R. Dunn announced that Michael Scott Leslie, age 57, of Boulder, Colorado, was sentenced to serve 5 years (60 months) in federal prison for bank fraud and aggravated identity theft, followed by 5 years of supervised release. Leslie was ordered to report to a Bureau of Prisons facility on January 4, 2021. The Denver office of the FBI, and the Offices of the Inspector General for both the Department of Housing and Urban Development (HUD) and the Federal Deposit Insurance Corporation (FDIC) joined in announcement.
According to the stipulated facts contained in Leslie’s plea agreement, Leslie owned, operated, or otherwise had an interest in several business entities, some of which were operated out of Colorado. These entities were involved in or affiliated with financing or originating residential mortgage loans. Through these business entities, Leslie sold residential mortgage loans to investors, including an FDIC-insured bank in Texas (“the victim bank”).
Between October 2015 and October 2017, Leslie devised and executed a scheme to defraud the victim bank by selling it 144 fraudulent residential mortgage loans valued at $31,908,806.88. These loans were purportedly originated by one of Leslie’s companies, Montage Mortgage, and “closed” by Snowberry, which earned fees for the closing. The loans were then presented and sold to the victim bank until Montage identified a final investor. For these 144 fraudulent loans, that final investor was Mortgage Capital Management (MCM).
Leslie never disclosed to the victim bank that he operated MCM and Snowberry, or the fact that sales to investor MCM, even if they had been real, were not arms-length transactions.
The 144 residential mortgage loans sold to the victim bank were not, in fact, real loans. The borrowers listed on these 144 fraudulent loans were real individuals, but they had no idea that their identities had been used as part of the sale of the fraudulent loans. The defendant had access to their personal identifying information in one of two primary ways: (1) the borrowers had used Montage for legitimate residential real estate transactions which were properly executed and closed, or (2) the borrowers had been solicited by Montage about refinancing their existing loans. In the case of refinance transactions, Montage secured permission from the borrowers to request credit scores and history from the major credit agencies. After receipt of those credit scores, Montage often told these would-be refinance borrowers that they did not qualify for a refinance. Leslie then recycled the borrowers’ information, obtained through prior legitimate transactions or attempted refinances, to create and sell nearly $32 million of fraudulent loan packages.
To execute this scheme, Leslie forged signatures on closing documents and fabricated and altered credit reports as well as title documents, often by using the names of legitimate companies. The fraudulent real estate transactions were never filed with the respective counties in which the properties were located, there were no closings, and no liens were ever recorded. Through numerous bank accounts for the various business entities and his personal accounts, the defendant used money in a Ponzi-like fashion from prior fraudulent loans sold to the victim bank to fund future fraudulent loans. This complex flow of money continued until the defendant’s fraud was detected. When the fraud was discovered, the victim bank still had 12 fraudulent loans, valued at $3,887,505.93, on its books that it could not, given that the loans did not exist, sell to any other legitimate third-party investor.
“Five years in federal prison is an appropriate sentence for a fraudster that stole personal identities and used them to steal millions of dollars from a legitimate business,” said U.S. Attorney Jason Dunn. “Thanks to the hard work of the investigating agencies and the prosecution team in my office, not only will Mr. Leslie have several years in prison to contemplate his actions, but other such criminals are on notice that we take economic crime seriously and will prosecute them to the full extent of the law.”
“This sentencing of Michael Scott Leslie sends a clear message the FBI and our partners will relentlessly pursue those who defraud financial institutions for personal gain,” said FBI Denver Special Agent in Charge Michael Schneider. “FBI Denver extends its appreciation to OIG-HUD, FDIC, and the U.S. Attorney's Office- District of Colorado for their invaluable assistance in this investigation and prosecution.”
“HUD-OIG is committed to pursuing those who would abuse HUD programs,” said Scott Tanchak, Special Agent in Charge with the Department of Housing and Urban Development, Office of Inspector General. “HUD-OIG will aggressively pursue mortgage fraud, especially when facilitated by persons in the mortgage industry. In partnership with other law enforcement and federal agencies, we are deeply committed to ensuring that corrupt individuals do not use HUD programs to enrich themselves.”
“The FDIC OIG, along with its law enforcement partners, is dedicated to pursuing those who commit schemes to defraud the nation’s federally insured financial institutions,” stated FDIC OIG Special Agent in Charge Younger.
Chief U.S. District Court Judge Philip A. Brimmer pronounced the sentence on November 6, 2020. Leslie pleaded guilty on July 31, 2020, and was first charged by information on June 5, 2020. This case was investigated by the Denver office of the FBI, and the Offices of the Inspector General for both the Housing and Urban Development and the Federal Deposit Insurance Corporation. The defendant was prosecuted by Assistant U.S. Attorneys Hetal J. Doshi and Jeremy Sibert.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Colorado. Related court documents can be found on PACER by searching for Case Number 20-cr-171.
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.
Boston Man Sentenced for Being a Felon in Possession of a FirearmRead the Press Release
BOSTON – A Boston man was sentenced today in federal court in Boston for being a felon in possession of a firearm.
Khyeme Johnson, 33, was sentenced by U.S. Senior District Court Judge George A. O’Toole Jr, to five years in prison and two years of supervised release. In August 2020, Johnson pleaded guilty to one count of being a felon in possession of a firearm and ammunition. Johnson was indicted in April 2019.
On Aug. 24, 2018, Johnson was found in possession of an Arcadia Machine & Tool .380 semiautomatic pistol with two rounds of ammunition. Johnson is prohibited from possessing a firearm due to multiple prior felony convictions.
United States Attorney Andrew E. Lelling and Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division made the announcement today. Valuable assistance was provided by the Suffolk County District Attorney’s Office and the Boston Police Department. Assistant U.S. Attorney Chris Looney of Lelling’s Criminal Division prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN is part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
Billings man who sexually assaulted a minor through coercion sentenced to 10 years in prisonRead the Press Release
BILLINGS – A Billings man who admitted sexually assaulting a minor girl after he lied about his age was sentenced today to 10 years in prison and to 15 years of supervised release, U.S. Attorney Kurt Alme said.
James Robert Patterson, 22, pleaded guilty to coercion and enticement on July 7.
U.S. District Judge Dana L. Christensen presided and ordered Patterson detained.
The prosecution said in court documents filed in the case that Patterson began communicating in April 2018 with the victim, a minor under the age of 16, using SnapChat and other social media applications. Patterson falsely led the victim to believe he was 16 and sent her sexually explicit pictures of himself. The on-line communications continued, and in June 2018 in Park City, the victim met Patterson in his car. Patterson sexually assaulted the victim and told her not to tell anyone.
Patterson later acknowledged he had sexual intercourse with the victim multiple times and told the victim not to tell anyone because he knew she was a minor and he was 20 years old at the time. Patterson admitted meeting the victim online and acknowledged having an interest in younger girls.
Assistant U.S. Attorney Zeno Baucus prosecuted the case, which was investigated by the FBI.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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Bergen County Man Sentenced to 84 Months in Prison for Role in Cross-Country Drug Distribution SchemeRead the Press Release
NEWARK, N.J. –A Bergen County, New Jersey, man was sentenced today to 84 months in prison for his role in a scheme to transport more than 20 kilograms of cocaine from California to New Jersey, U.S. Attorney Craig Carpenito announced.
Irving Olivero-Pena, 48, a/k/a “Fausto Molina,” of Edgewater, New Jersey, previously pleaded guilty before U.S. District Judge Kevin McNulty to Count One of an indictment charging him with conspiracy to possess with the intent to distribute five kilograms or more of cocaine. Judge McNulty imposed the sentence by videoconference today.
According to the documents filed in this case and statements made in court:
Olivero-Pena and co-defendants Melvin Feliz, 54, of Englewood Cliffs, New Jersey, and Robert Crawford, 45, of Long Island City, New York, each previously pleaded guilty to their roles in the scheme. They admitted that from January 2011 through March 2014, they conspired to purchase narcotics for distribution in New Jersey. On Oct. 22, 2012, they met a courier in Bergen County. They admitted that they gave the courier $549,950 in currency to transport to California via tractor trailer, where it would be used to purchase approximately 20 kilograms of cocaine. Afterwards, the courier would transport the cocaine to New Jersey for distribution. The currency was ultimately seized by law enforcement officers in California.
In addition to the prison term, Judge McNulty sentenced Olivero-Pena to 5 years of supervised release. Feliz was sentenced on Nov. 6, 2020, to 14 years in prison. Crawford was sentenced in July 2015 to 10 years in prison.
U.S. Attorney Carpenito credited special agents from the U.S. Drug Enforcement Administration (DEA), Newark Division, under direction of Special Agent in Charge Susan A. Gibson; and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark, with the investigation leading to today’s sentencing.
The government is represented by Assistant U.S. Attorney Andrew Kogan of the U.S. Attorney’s Office Cybercrime Unit in Newark.
Defense counsel: Olivero-Pena: David Touger Esq., New York
Feliz: Patrick Joyce Esq., New York
Crawford: Rubin Sinins Esq., Springfield, New JerseyBenton County Career Criminal Sentenced to 18 Years for Possession with Intent to Distribute over 50 Grams of Actual MethamphetamineRead the Press Release
Jackson, TN – Walter Griffin, 43, of Benton County, TN., has been sentenced to 220 months in federal prison for possession with intent to distribute over 50 grams of actual methamphetamine. D. Michael Dunavant, United States Attorney announced the sentence today.
According to information presented in court, on June 15, 2018, a Benton County Sheriff’s deputy observed Griffin traveling northbound on Highway 69A in Benton County. The deputy had prior knowledge that Griffin had an active warrant in Dickson County for failing to appear and an active Tennessee state parole violation warrant. As the deputy turned his vehicle around to conduct a traffic stop, he observed Griffin flee. After a short pursuit, Griffin made a hard turn in his vehicle and spun into a ditch and became stuck. Griffin was then taken into custody without incident.
A search of Griffin’s vehicle revealed 75 grams of crystal methamphetamine (ice), five oxycodone pills, eight hydrocodone pills, digital scales, and a pipe commonly used to smoke methamphetamine. The crystal methamphetamine was packaged for resale in 13 separate bags. It was later tested at a DEA laboratory and confirmed to have a purity level of 98%.
On May 3, 2019, Griffin pled guilty to possessing over 50 grams of actual methamphetamine with the intent to distribute. Griffin has an extensive criminal history with prior felony convictions for selling methamphetamine and possessing methamphetamine with intent to sell. As a result of these prior felony drug convictions, Griffin is classified as a career drug offender under federal law for purposes of sentencing.
On October 30, 2020, U.S. District Court Chief Judge S. Thomas Anderson sentenced Griffin to 220 months in federal prison, followed by five years of supervised release. Evidence at sentencing also revealed that one month prior to his present offense, Griffin was detained on I-40 in Dickson County and found to be in possession of one-half pound of methamphetamine. Chief Judge Anderson noted that Griffin presented a significant risk to public safety due his recidivist nature and his inability to conform to the law and cease his criminal activity. There is no parole in the federal system.
U.S. Attorney D. Michael Dunavant said, "Deadly, addictive, and illegal drugs – especially pure methamphetamine – are ripping asunder small towns and rural communities in West Tennessee. Recidivist drug dealers who profit from the pain, addiction, violence and death caused by these dangerous substances deserve proper punishment, and this sentence does just that."
The Benton County Sheriff’s Office and the Drug Enforcement Administration (DEA) investigated this case.
Assistant U.S. Attorneys Jerry Kitchen and Josh Morrow prosecuted this case on behalf of the government.
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Auto-Parts Manufacturing Company Sentenced in Worker Death CaseRead the Press Release
JOON LLC, d/b/a AJIN USA (Ajin), an auto-parts manufacturing company, was sentenced in federal court today in Montgomery, Alabama, after pleading guilty to a charge related to the death of a machinery operator.
Regina Elsea, who was 20 years old, worked at Ajin’s Cusseta, Alabama, facility. On June 18, 2016, she entered an enclosure — called a “cell” — containing several robots and other pieces of machinery. While she was inside the cell, troubleshooting a sensor fault, one of the machines started up and Elsea was struck by a robotic arm. She died of her injuries.
The Occupational Safety and Health Act (OSH Act) requires employers to develop and utilize procedures to de-energize machinery during maintenance and servicing activities to prevent the kind of unplanned startup that killed Elsea. These procedures are often referred to as “lockout/tagout.” Ajin knew these procedures were required and had developed them, but Ajin also knew that — over a period of at least two years — supervisors did not effectively enforce them.
In the 15 minutes prior to Elsea’s fatal injury — in the presence of their supervisors — workers entered cells to troubleshoot machinery without following lockout/tagout no less than five times, and the supervisors did not take any action to stop or reprimand them. In two other instances, the supervisors themselves entered a cell without following lockout/tagout. At the time of Elsea’s fatal injury, several individuals were inside the cell, none of whom had followed lockout/tagout procedures to de-energize the machinery within the cell.
Ajin pleaded guilty to a willful violation of the OSH Act standard requiring the use of lockout/tagout procedures. U.S. Magistrate Judge Stephen Michael Doyle sentenced Ajin to pay a $500,000 fine — the statutory maximum — $1,000,000 in restitution to Elsea’s estate, and a three-year term of probation, during which Ajin must comply with a safety compliance plan, overseen by a third-party auditor. Among other things, the safety compliance plan requires a full review of Ajin’s lockout/tagout procedures, weekly inspections to ensure compliance, and creation of a mechanism for employees to report any safety concerns about the facility anonymously.
“Regina’s tragic death was preventable,” said Principal Deputy Assistant Attorney General Jonathan D. Brightbill of the Justice Department’s Environment and Natural Resources Division. “OSH Act standards exist to protect American workers, but employers must actually implement them. When safety policies exist only on paper, tragedies like this occur. Ajin knew its supervisors and managers were turning a blind eye to the company’s safety procedures. Now, Ajin must take responsibility for its conduct. It will implement the safety compliance plan, and work to make its facility safer for its employees. Employers should be aware that they must follow workplace safety laws.”
“Every worker expects to return home safely at the end of his or her shift,” said U.S. Attorney Louis V. Franklin Sr. of the Middle District of Alabama. “The OSH Act was passed to ensure that workers could trust that their employers create and maintain a safe work environment. While most companies abide by the OSH Act, the unfortunate reality is that some of them do not. Ajin failed to comply with the OSH Act and, as a direct result of their failure, Regina Elsea did not return home safely at the end of her shift. Her death was preventable and Ajin’s failure to keep her out of harm’s way is inexcusable. I hope this prosecution sends a message to companies that people are their most valuable resource and complying with the OSH Act is a must in protecting its employees.”
“Employers are responsible for worker safety and health, and the failure in this situation was tragic,” said Principal Deputy Assistant Secretary of Labor for Occupational Safety and Health Loren Sweatt. “Well-known safety procedures were repeatedly ignored that could have prevented this tragedy. While nothing can ever replace the loss of life, the court has sent a clear message that such disregard for worker safety is unacceptable.”
The case was prosecuted by Assistant U.S. Attorney Stephanie Billingslea and former Assistant U.S. Attorney Ben M. Baxley of the Middle District of Alabama and Trial Attorney Erica H. Pencak of the Environment and Natural Resources Division’s Environmental Crimes Section. The case was investigated by the U.S. Department of Labor Office of Investigations.
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.
Attorney Who Stole $1.4 Million from Charity Founded to Help Veterans and Their Families is SentencedRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that KEVIN E. CREED, 69, of Litchfield, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to 42 months of imprisonment, followed by three years of supervised release, for stealing approximately $1.4 million from a charity he organized.
According to court documents and statements made in court, Creed was an attorney who operated the Creed Law Firm in Bristol. The Fisher House Foundation is a national organization that builds comfort homes on the grounds of military and Veteran Affairs medical centers where military veterans and their families can stay for no cost while undergoing treatment at Veteran Affairs hospitals. In 2010, Creed established a charity called the Friends of Fisher House Connecticut, the purported purpose of which was to raise funds to support the building and maintenance of a Fisher House comfort home in West Haven.
Creed solicited donations for the Friends of Fisher House from corporations and individuals. He solicited funds at fairs, carnivals and supermarkets, and also held fundraising events, including the Bristol half-marathon and a 10-kilometer foot race, based on the representation that the money raised would support the construction and operation of the West Haven Fisher House. While Friends of Fisher House Connecticut made a $1 million donation in 2015 to assist with the financing of the construction of the Fisher House West Haven, Creed used his position to take approximately $1.4 million that had been raised for the organization and use it for both personal and law firm expenses.
Judge Hall ordered Creed to make full restitution.
On August 28, 2019, Creed pleaded guilty to one count of wire fraud.
Creed, who is released on a $100,000 bond, is required to report to prison on February 10, 2021.
This matter was investigated by the Federal Bureau of Investigation and prosecuted by Assistant U.S. Attorney Michael S. McGarry.
U.S. Attorney Durham thanked the Office of the Chief State’s Attorney for its assistance in this matter.
Armed St. Louis dealer pleads guilty to several drug chargesRead the Press Release
ST. LOUIS, MO – United States District Judge E. Richard Webber accepted a plea from Alonzo Williams. The 26-year-old St. Louis, Missouri resident pleaded guilty to one count of possession with intent to distribute hydrocodone, one count of possession with intent to distribute oxycodone, and two counts of possession with intent to distribute marijuana.
According to a plea agreement, on September 18, 2019, the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and St. Louis County Police worked with a confidential source (CS) to buy narcotics from Williams. The CS and Williams arranged to meet at the Dellwood Market and Willams’ home. The CS exchanged $100 with Williams for 15.25 grams of marijuana. Williams, who possessed an assault rifle, as well as another armed individual, were in the home during the deal.
On October 2, 2019, Williams sold the CS 2.95 grams of marijuana and .20 grams of oxycodone. Guns were again present inside the home.
On October 8, 2019, another individual directed the CS to meet at Williams’ home. The CS contacted Williams, who was waiting in a vehicle, and bought .20 grams of hydrocodone pills for $20.
Each of the charges to which Williams pleaded guilty carries a maximum penalty of 20 years in prison and a fine of $250,000.
Judge Webber has set sentencing for February 8, 2021.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and St. Louis County Police Department investigated this case. Assistant United States Attorney Paul D’Agrosa is handling the case.
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Arizona Man to Federal Prison for Involvement in Iowa Meth ConspiracyRead the Press Release
A man who conspired to distribute methamphetamine was sentenced November 5, 2020, to 20 years in federal prison.
Michael Allison, 54, from Phoenix, Arizona, received the prison term after a May 18, 2020, guilty plea to conspiracy to distribute methamphetamine. Allison was previously convicted of importation of marijuana in 1997 and 2005, both in the United States District Court, Southern District of California
Evidence at the plea and sentencing hearings showed Allison was involved in a conspiracy from 2009 through about April 2010 that distributed more than 500 grams of pure methamphetamine. Evidence further showed that Allison along with several others were involved in a scheme that transported methamphetamine from Mexico to California to Iowa for further distribution.
Allison was sentenced in Sioux City by United States District Court Judge Linda Reade. Allison was sentenced to 240 months’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Allison is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and investigated by Iowa Division of Narcotics Enforcement, Clear Lake Police Department, North Central Iowa Drug Task Force, and the Iowa Laboratory of Criminalistics Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 11-3017. Follow us on Twitter @USAO_NDIA.
Alien Sentenced for Illegal Reentry of a FelonRead the Press Release
GREENVILLE, N.C. – Calixto Rodriguez-Betancourt, 26, of Mexico, illegally present in the United States and residing in Wilson County, North Carolina, was sentenced to 30 months in federal prison.
On August 3, 2020, Rodriguez-Betancourt pled guilty to one count of illegal reentry subsequent to a felony conviction. Rodriguez-Betancourt was previously deported from the United States on November 27, 2013 at Laredo, Texas, after being convicted of a felony, larceny of a firearm. He was deported again on November 13, 2015 at Del Rio, Texas.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge Malcolm J. Howard. ICE’s Homeland Security Investigations and the Wilson Police Department investigated the case and Assistant U.S. Attorney Gabriel Diaz prosecuted the case.
A copy of this press release is located on our website. Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-00181-H.
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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.
4 Cincinnati individuals charged in human trafficking conspiracyRead the Press Release
CINCINNATI – Four individuals facing human trafficking conspiracy and attempt charges made their initial appearances in U.S. District Court today. Each of the defendants is charged with a crime punishable by a mandatory minimum of 10 years up to life in prison.
According to the criminal complaint, Doyenn J. Clayborne, 34; ChaKirah Ala Shae Stephens, 22; Kionte Hashiem Anderson, 19; and Joleen Marie Smith, 44; were arrested on Oct. 29. as part of a FBI and Blue Ash Police Department operation targeting human trafficking.
Blue Ash police officers and FBI agents encountered the defendants as part of the operation at a Blue Ash hotel.
It is alleged the four defendants conspired to sell 16-year-old minor females for sex.
In addition to audio recordings of the defendants discussing logistics for providing underage females for sex, law enforcement officials discovered condoms (both used an unused), sexual devices, bottles of lubricant and a firearm in the defendants’ hotel room.
Officers and agents also encountered a 16-year-old female victim who had allegedly been brought to the hotel to perform sex acts for money, a portion of which would be given to the defendants.
Conspiring to sex traffic a minor is punishable by up to life in prison and attempting to sex traffic a minor is punishable by 10 years up to life in prison. Congress sets the minimum and maximum statutory sentence.
David M. DeVillers, United States Attorney for the Southern District of Ohio; Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; and Blue Ash Police Chief Scott Noel announced the charges. Assistant United States Attorney Kyle J. Healey is representing the United States in this case.
A criminal complaint merely contains allegations, and defendants presumed innocent unless proven guilty in a court of law.
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6 November 2020
Two Florida men charged with running “Grandparent scam” in Northern OhioRead the Press Release
U.S. Attorney Justin Herdman announced today that a federal grand jury sitting in Toledo has returned a nine-count indictment charging John Tyler Pla, 25, and Johnny Lee Palmer, 25, both of Tampa, Florida, with conspiracy to commit wire fraud and wire fraud.
“Protecting our district’s elderly and vulnerable populations from scammers and fraudsters is an important part of the work we do every day at the Justice Department,” said U.S. Attorney Justin Herdman. “Manipulating and exploiting our district’s elderly in any way, for any reason, will be met with swift prosecution.”
"These scammers demonstrate the ever-increasing need to watch over and protect our elderly population,” said FBI Special Agent in Charge Eric B. Smith. “The FBI encourages everyone to educate their elderly family and friends on financial scams such as this. These two fraudsters played on the heart-strings of grandparents. Discussions prior to receiving a possible phone call from scammers can prevent your loved one from being a victim."
According to the indictment, from July 20, 2020, to August 28, 2020, the defendants are accused of conspiring together to orchestrate a “Grandparent scam” on elderly victims in Brecksville, Parma, Gates Mills, Lorain, Mansfield, Fairview Park, Westlake and Mentor. To conduct their alleged scheme, the defendants are accused of calling elderly victims in these areas claiming to be a relative, such as a grandson, granddaughter, or an attorney for the relative, and informing the victim that he or she had been arrested and needed money for bail.
The indictment states that the conspirators would then arrange for a purported courier to pick up the money in person. The defendants would then rent a U-Haul vehicle and travel to the victims’ residence to collect the money in person. In total, the victims suffered a combined loss of $383,932.00.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation.
In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigation preceding the indictment was conducted by the Cleveland Division of the FBI and Westlake Police Department. This case is being prosecuted by Assistant U.S. Attorney Brian McDonough.
Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. In particular, in March 2020, the department announced the largest elder fraud enforcement action in American history, charging more than 400 defendants in a nationwide elder fraud sweep. The department has likewise conducted hundreds of trainings and outreach sessions across the country since the passage of the Act. For more information about the Elder Justice Initiative, please visit https://www.justice.gov/elderjustice.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed seven days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.
This case is part of the Justice Department’s 2020 national Money Mule initiative. The Money Mule initiative seeks to stop the financial exploitation of the nation’s elderly and vulnerable populations.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at https://www.justice.gov/history.
Tilton Man Convicted of Methamphetamine TraffickingRead the Press Release
CONCORD, N.H. – United States Attorney Scott W. Murray announced that a federal jury found Stefan Gauthier, 34, of Tilton, guilty of two counts of possession of methamphetamine with intent to distribute after a three-day trial.
According to evidence presented during the trial, on November 1, 2018, Tilton police arrested Gauthier for driving after suspension of his license. During a search of his person, police located a baggie containing a small amount of methamphetamine and $1375 in cash. Police executed a search warrant for Gauthier’s vehicle. Inside the vehicle, they found a handgun and a backpack that contained more than 350 grams of crystal methamphetamine, $1,500 in cash, a digital scale, ledgers, and other drug paraphernalia.
On December 2, 2018, while a warrant was pending for Gauthier’s arrest, Franklin police responded to a report of a man unconscious at the wheel of a vehicle. After determining that the man was Gauthier, the police arrested him and transported him to a hospital. Police then obtained a search warrant for the vehicle and found four clear plastic baggies containing more than 100 grams of crystal methamphetamine. Police also found a scale, baggies, needles, and three mobile phones.
The jury also acquitted Gauthier of firearms charges related to the November 1, 2018, incident.
Gauthier is scheduled to be sentenced on March 3, 2021.
“Methamphetamine is an extremely dangerous drug that poses a serious threat to public safety,” said U.S. Attorney Murray. “I am grateful for the hard work of the Tilton and Franklin Police Departments and our other law enforcement partners. Their efforts have brought a dangerous drug trafficker to justice.”
This matter was investigated by the Tilton Police Department, the Franklin Police Department, the Alexandria Police Department, the New Hampshire State Police, and the Drug Enforcement Administration. The case is being prosecuted by Assistant U.S. Attorney John S. Davis and Assistant U.S. Attorney Cam Le.
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Three Men Who Illegally Scuttled Abandoned Vessels in Long Island Sound Plead GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that JOHN MAGNESS, 71, of Southbury; PETER ALBRECHT, 70, of Norwalk; and CARLOS SANTOS, 60, of Westbrook, have each pleaded guilty to a federal charge related to the scuttling of several sailboats and motor boats between the Black Rock Harbor and the Pennfield Reef Lighthouse in Long Island Sound.
Magness pleaded guilty on November 2, and Albrecht and Santos each pleaded guilty today.
According to court documents and statements made in court, Magness was the owner of Bluefish Cove Marina in Bridgeport. While preparing to sell the property in 2018, Magness and Albrecht, who worked at the marina, engaged Santos to sink several abandoned vessels in the Long Island Sound without a permit. Magness agreed to forgive Santos’ unpaid dockage fees in exchange for his help sinking the vessels. Investigators identified as least five vessels as having been scuttled at Magness’ request between October 2018 and April 2019.
The three defendants each pleaded guilty to one count of obstruction of navigable waters by sinking a vessel, an offense that carries a maximum term of imprisonment of one year and a fine of up to $100,000. They are released pending sentencing.
This matter is being investigated by the U.S. Coast Guard Investigative Service and prosecuted by Assistant U.S. Attorney Lauren C. Clark.
Superseding Indictment Charges “Boogaloo Bois” with Conspiracy, Material Support to Hamas, Firearms ViolationsRead the Press Release
United States Attorney Erica H. MacDonald today announced a four-count superseding indictment charging MICHAEL ROBERT SOLOMON, 30, and BENJAMIN RYAN TEETER, 22, with conspiring and attempting to provide material support to a designated foreign terrorist organization (Hamas) and firearms violations. SOLOMON and TEETER, who were initially charged via federal criminal complaint on September 3, 2020, will be arraigned before a Magistrate Judge in U.S. District Court at a later date. SOLOMON and TEETER have been ordered to remain in detention pending further proceedings.
According to the superseding indictment and documents filed with the court, in late May of 2020, the FBI initiated an investigation into SOLOMON and TEETER, two members of the “Boogaloo Bois,” and a sub-group called the “Boojahideen.” The Boogaloo Bois are a loosely- connected group of individuals who espouse violent anti-government sentiments. The term “Boogaloo” itself references an impending second civil war in the United States and is associated with violent uprisings against the government.
According to the superseding indictment and documents filed with the court, during the civil unrest in the Twin Cities following the death of George Floyd, according to a witness, SOLOMON was openly carrying a firearm in a residential neighborhood in Minneapolis. SOLOMON and TEETER interacted with the witness over the course of several days. The witness told FBI agents that SOLOMON and TEETER possessed firearms and substantial quantities of ammunition and that SOLOMON, TEETER, and other members of the Boogaloo Bois and Boojahideen discussed committing acts of violence against police officers and other targets in furtherance of the Boojahideen’s stated goal of overthrowing the government and replacing its police forces.
According to the superseding indictment and documents filed with the court, in early June, the FBI received information about SOLOMON, TEETER, and other members of the Boogaloo Bois and the Boojahideen through a confidential human source (“CHS”), whom the defendants believed to be a member of Hamas. In audio-recorded conversations, SOLOMON and TEETER expressed that Hamas shares anti-U.S. government views that align with their own views. SOLOMON and TEETER also expressed their desire to employ themselves as “mercenaries” for Hamas as a means to generate cash for the Boogaloo Bois/Boojahideen movement, including funding for recruitment and purchasing land for a training compound.
According to the superseding indictment and documents filed with the court, SOLOMON and TEETER shared with the CHS, and another individual whom they believed to be a more senior member of Hamas (and who was actually an undercover employee of the FBI), their ideas about destroying government monuments, raiding the headquarters of a white supremacist organization in North Carolina, and targeting politicians and members of the media.
According to the superseding indictment and documents filed with the court, SOLOMON and TEETER also expressed their ability to manufacture unmarked parts for guns and create unregistered and untraceable weapons, including suppressors. On July 30, SOLOMON and TEETER delivered to the individual they believed to be a senior member of Hamas five suppressors and expressed their desire to manufacture additional suppressors and fully-automatic weapons for Hamas. SOLOMON and TEETER later negotiated with the individual a price of $1,800 for five additional suppressors. SOLOMON and TEETER also delivered to the individual a “drop in auto sear” (“DIAS”), a part designed and intended for use in converting a weapon to shoot automatically. SOLOMON and TEETER believed the suppressors and the DIAS would be used by Hamas overseas to attack Israeli and U.S soldiers. Under federal law, suppressors must be registered in the National Firearms Registration and Transfer Record. On August 29, 2020. SOLOLMON and TEETER knowingly possessed a device which converts a semi-automatic rifle into an illegal machine gun.
In a separate, related case, IVAN HUNTER, 26, was indicted by a grand jury on November 4, 2020, on one count of riot. HUNTER, who was initially charged via federal criminal complaint on October 23, 2020, will be arraigned before a Magistrate Judge in U.S. District Court at a later date. HUNTER has been ordered to remain in detention pending further proceedings.
These cases are the result of an investigation conducted by the FBI’s Joint Terrorism Task Force, with assistance from the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Assistant U.S. Attorney Andrew R. Winter, and Trial Attorneys George Kraehe and Phil Viti of the National Security Division's Counterterrorism Section are prosecuting the cases.
These cases fall with 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 anarchist ideology.
The charges contained in the indictments are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defendant Information:
MICHAEL ROBERT SOLOMON, 30
New Brighton, Minn.
Charges:
- Conspiracy to provide material support to a designated foreign terrorist organization (Hamas), 1 count
- Attempt provide material support to a designated foreign terrorist organization (Hamas), 1 count
- Possession of unregistered firearms – silencers, 1 count
- Unlawful possession of a machine gun, 1 count
BENJAMIN RYAN TEETER, 22
Hampstead, N.C.
Charges:
- Conspiracy to provide material support to a designated foreign terrorist organization (Hamas), 1 count
- Attempt provide material support to a designated foreign terrorist organization (Hamas), 1 count
- Possession of unregistered firearms – silencers, 1 count
- Unlawful possession of a machine gun, 1 count
IVAN HARRISON HUNTER, 26
Boerne, Texas
Charges:
- Riot, 1 count
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Stacey Pomrenke, Kurt Pomrenke Plead Guilty to Conspiracy to Defraud the United StatesRead the Press Release
ABINGDON, Va. – Stacey Pomrenke and her husband Kurt Pomrenke pleaded guilty today in U.S. District Court in Abingdon to conspiring to defraud the United States while Stacey Pomrenke was on pre-trial release. Acting United States Attorney Daniel P. Bubar, David W. Archey, Special Agent in Charge of the FBI’s Richmond Division, and Kelly R. Jackson, Special Agent in Charge of Internal Revenue Service-Criminal Investigations, made the announcement today.
Stacey Pomrenke, 48, of Abingdon, Va., waived her right to be indicted and pleaded guilty today to a one-count Information charging her with conspiring to defraud the United States while on pre-trial release. Kurt Pomrenke, 67, of Abingdon, Va., waived his right to be indicted and pleaded guilty to a one-count Information charging him with conspiring to defraud the United States.
“Residential Drug Abuse Programs are impactful programs designed to aid inmates dealing with actual, documented addiction disorders. These programs are not a means to simply shorten the sentences of defendants looking to get out of jail early,” Acting United States Attorney Bubar said today. “I am thankful to the FBI and IRS-CI for bringing these defendants to justice and working to maintain the important mission of the RDAP programs in our federal penitentiaries.”
“The defendant's actions undermine the purpose of an important program intended for people who need help. We will investigate and refer for prosecution any abuses of these federal programs,” Special Agent in Charge Archey said today. “We are grateful for the partnership of the United States Attorney's Office (WDVA) and the Internal Revenue Service's Criminal Investigations Division on this investigation.”
“Pomrenke continued her pattern of fraudulent behavior. Rather than serving her time sentenced, she and her husband schemed to shorten her incarceration by defrauding programs meant for the betterment of inmates battling addictions,” said IRS-CI Special Agent in Charge Kelly R. Jackson. “Further, they encouraged others to engage in the same scheme which deteriorates the effectiveness of these programs from those who truly need it.”
According to court documents, on October 27, 2015, Stacey Pomrenke was arrested based upon the return of an indictment alleging multiple violations of federal law resulting from the federal investigation of Bristol Virginia Utilities Authority. When interviewed by a probation officer for the United States District Court for the Western District of Virginia, Stacey Pomrenke denied any history of substance abuse. Following her conviction for multiple federal offenses, Stacey Pomrenke was again interviewed by probation officers for the United States District Court. During this interview, Stacey Pomrenke again denied any history of substance abuse and stated she was a “social drinker.” Stacey Pomrenke remained on release until September 26, 2016.
On August 11, 2016, Stacey Pomrenke was sentenced to 34 months in federal prison and ordered to self-report to the Bureau of Prisons facility at Alderson, West Virginia. The Bureau of Prisons operates an intensive drug and alcohol abuse treatment program known as the Residential Drug Abuse Program (RDAP). In order to gain entry to RDAP, a federal inmate must meet certain criteria, including having a diagnosable and verifiable drug or alcohol abuse disorder. By successfully completing RDAP, an inmate can qualify for early release from custody.
Beginning on or about August 19, 2016, Stacey and Kurt Pomrenke were solicited by and began corresponding with Tony Pham a.k.a. Anh Nguyen, the operator of RDAP Law Consultants LLC, a business that solicited prospective and current federal inmates through telephone calls and emails offering assistance in applying for, and qualifying for, RDAP. For a fee, RDAP Law Consultants coached and advised prospective and current inmates on how to gain admission to RDAP by lying to the Bureau of Prisons about the existence, duration, and extent of a qualifying substance abuse disorder.
On August 22, 2016, Stacey Pomrenke entered into a consulting agreement with RDAP Law Consultants, agreeing to pay $7,500. The agreement was revised by Kurt Pomrenke and signed by Stacey Pomrenke and Anh Nguyen. Shortly after entering into the agreement, Nguyen began coaching Stacey and Kurt Pomrenke regarding the steps they would need to take to defraud the Bureau of Prisons to secure Stacey Pomrenke’s admission to RDAP.
In one of the first discussions with Nguyen, Stacey and Kurt Pomrenke made it clear that Stacey Pomrenke only drank a glass or two of wine a week and did not have an alcohol abuse problem or addiction.
Based on the advice of Nguyen, on August 31, 2016, Stacey Pomrenke made an appointment with her physician and falsely stated that over the last three years she had been drinking more and going from one glass of wine up to three glasses of wine at night. As a result of the false statements, Stacey Pomrenke’s physician prescribed her Ativan to prevent physical complications from alcohol withdrawal when she reported to prison.
On September 18, 2016, Nguyen sent an email to Stacey Pomrenke with the subject line “Show Withdrawal Symptoms.” In the email, Nguyen detailed a series of withdrawal symptoms Stacey Pomrenke should show within the first 24 hours of reporting to prison.
Between August 31, 2016 and September 25, 2016, Nguyen continued to work with Stacey Pomrenke and Kurt Pomrenke through telephone calls and emails to develop a false, but plausible story of alcohol abuse and the need for treatment.
On September 26, 2016, Stacey and Kurt Pomrenke traveled to the Bureau of Prisons facility at Alderson, West Virginia. When Stacey Pomrenke reported to the facility, she was intoxicated and under the influence of alcohol. During her initial health screen, Stacey Pomrenke told officials she “had been drinking at least a bottle of wine daily since 2008.” At the time she made the statement, Stacey Pomrenke knew that statement to be false.
As a result of her false statements and fraudulent claims of alcohol abuse and addiction, Stacey Pomrenke was admitted to RDAP on November 2, 2016 and began the program on December 2, 2016.
As a result of Stacey Pomrenke successfully being admitted to the RDAP program, Kurt Pomrenke agreed to discuss Nguyen’s assistance with other “high profile potential clients” of RDAP Law Consultants, LLC.
Stacey Pomrenke completed RDAP on or about September 22, 2017. Because she completed RDAP, Stacey Pomrenke’s term of imprisonment was reduced by seven months and one day.
The investigation of the case was conducted by the Federal Bureau of Investigation and Internal Revenue Service-Criminal Investigations. Assistant United States Attorneys Zachary T. Lee and Lena L. Busscher are prosecuting the case for the United States.
St. Thomas Man Arrested for Stealing over $300,000 from His FatherRead the Press Release
St. Thomas, USVI – United States Attorney Gretchen C.F. Shappert for the District of the Virgin Islands announced today that Lenroy Ravalier, Jr. was arrested for bank fraud, aggravated identity theft, money laundering, and related charges.
According to the Indictment filed in the case, Ravalier forged checks in his father’s name totaling over $300,000, in order to obtain those funds for himself. Ravalier then moved much of the money through various bank accounts in order to conceal the unlawful activity.
This case is being investigated by the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorney Nathan Brooks.
An indictment is merely a formal charging document, and it is not evidence of guilt. Every defendant is presumed innocent until and unless found guilty beyond a reasonable doubt in a court of law.
Sexually exploiting minor girl sends Big Arm man to prison for 20 yearsRead the Press Release
MISSOULA — A Big Arm man who admitted making child pornography videos and sending an image to an undercover agent was sentenced today to 20 years in prison and 10 years of supervised release and was ordered to pay $43,307 restitution to the victim, U.S. Attorney Kurt Alme said.
Billy Dean Smith, 56, pleaded guilty on July 23 to sexual exploitation of a child.
U.S. District Judge Donald W. Molloy presided.
In court documents filed in the case, the prosecution said that in January, an undercover FBI agent was investigating a KIK chat group known to exchange child pornography. KIK is a mobile phone app that allows users to exchange instant messages over the internet. In messages exchanged with the undercover agent, Smith described sexually abusing a girl, who was under the age of 18. Smith sent a sexually explicit image of the victim to the undercover agent. Agents obtained a search warrant for Smith's cell phone, seized it and analyzed its contents. A forensic examiner located the sexually explicit image that Smith had sent the agent. The examiner also located other videos and images of the victim. The images were created in January and February using the cell phone. Smith admitted he had filmed the sexually explicit videos of the victim.
Assistant U.S. Attorney Cyndee Peterson prosecuted the case, which was investigated by the FBI, the Internet Crimes Against Children Task Force, the Flathead County Sheriff’s Office and Homeland Security Investigations.
This case was initiated under the Department of Justice’s Project Safe Childhood initiative, which was launched in 2006 to combat the proliferation of technology-facilitated crimes involving the sexual exploitation of children. Through a network of federal, state and local law enforcement agencies and advocacy organizations, Project Safe Childhood attempts to protect children by investigating and prosecuting offenders involved in child sexual exploitation. It is implemented through partnerships including the Montana Internet Crimes Against Children Task Force. The ICAC Task Force Program was created to assist state and local law enforcement agencies by enhancing their investigative response to technology facilitated crimes against children.
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San Fernando Valley Man Charged by Federal Grand Jury with Cyberstalking in Case that Targeted Women with Death ThreatsRead the Press Release
LOS ANGELES – A federal grand jury today returned an indictment that charges a Chatsworth man with cyberstalking two sisters by sending them text messages that threatened them with rape and murder.
Alex Scott Roberts, 25, was named in a six-count indictment that outlines a harassment and threat campaign that spanned a three-week period this summer. The indictment charges Roberts with two counts of stalking and four counts of making threats by interstate communications, specifically text messages.
Roberts is currently in state custody serving a sentence resulting from a parole violation. A Los Angeles Superior Court judge ordered Roberts back into custody in September after the FBI executed a federal search warrant related to the cyberstalking case at his residence. Roberts is expect to finish the sentence in the parole violation matter later this month, at which time FBI agents expect to take him into federal custody.
The indictment filed today in United States District Court alleges that Roberts, starting in late July and continuing until August 18, used text messages and internet communications to place the two victims “in reasonable fear of death and serious bodily injury,” and that he intended to cause “substantial emotional distress.”
After being told by Victim 1 and her family that the woman did not want to communicate with Roberts, on July 31 he allegedly created a listing on Craigslist that offered a room for rent at Victim 1’s home and invited prospective renters to “Stop by anytime,” according to the indictment.
On August 2, Roberts allegedly sent anonymous text messages to a friend of Victim 1 that demanded Victim 1’s phone number, threatened to publish nude photographs of Victim 1, and threatened to send someone to rape Victim 1.
The indictment states that, between August 11 and August 18, Roberts sent numerous anonymous text messages to Victim 1 and Victim 2 that include a series of threats, such as, “[S]o I’m outside…I see you guys…payback is a bitch and she gets what she deserves hope you all survive there will be blood.”
Later messages included threats such as, “have either of u been raped I guess you will experience that soon,” and “I have a gun aimed right at both your mom and dad . . . If u don[’]t respond someone will die.”
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 he was convicted in this case, Roberts would face a statutory maximum sentence of five years in federal prison for each count in the indictment.
This matter is being investigated by the FBI.
This case is being prosecuted by Assistant United States Attorney Lauren Restrepo of the Cyber and Intellectual Property Crimes Section.
San Bruno Man Sentenced to 12 Years in Prison for Distribution and Receipt of Child PornographyRead the Press Release
SAN FRANCISCO – James Calvert was sentenced today to 12 years in prison followed by a lifetime of supervised release for distribution and receipt of child pornography, announced United States Attorney David L. Anderson and FBI Special Agent in Charge Craig D. Fair. The sentence was handed down by the Honorable Susan Illston, U.S. District Judge.
Calvert, 27, of San Bruno, California, pleaded guilty to the charges on August 14, 2020. According to the plea agreement, Calvert admitted that in May of 2019, he posted a video that depicted a prepubescent minor female performing oral sex on an adult male and a video of a prepubescent minor being raped by an adult male in the “Babyprn” group chat-room of Kik, an instant messaging application used on mobile telephones.
Calvert also admitted in the plea agreement that in December 2019, he encouraged a fifteen-year-old female victim to perform a sex act on camera and to send him a video of her performing that sex act to his Kik account. Calvert admitted that he knew the victim was a minor when he encouraged her to send him the video. The government pointed out in additional filed papers that Calvert engaged in the December 2019 conduct after he had been charged with the May 2019 offense and had been released under supervision.
Calvert was arraigned on August 13, 2020, on a Superseding Information charging him with one count of distribution of child pornography, in violation of 18 U.S.C. §§ 2252(a)(2) and (b)(2), and one count of receipt of child pornography, in violation of 18 U.S.C. §§ 2252(a)(2) and (b)(2).
In addition to the 12 year prison term, Judge Illston ordered Calvert to serve a lifetime term of supervised release, to begin after the prison term ends. The defendant, who has been in custody since February of 2020, is presently serving his sentence.
Ajay Krishnamurthy and Barbara J. Valliere are the Assistant U.S. Attorneys who prosecuted the case with the assistance of Margoth Turcios. The prosecution is the result of an investigation by the Federal Bureau of Investigation and the Pottawatomie County Sheriff’s Office in Oklahoma.