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29 October 2020
Wellington Man Pleads Guilty to Illegal Firearm Following Shootout at Independence MotelRead the Press Release
KANSAS CITY, Mo. – A Wellington, Missouri, man pleaded guilty in federal court today to illegally possessing a firearm following a shootout at an Independence, Mo., motel.
Randy K. McGaugh, 54, pleaded guilty before U.S. Magistrate Judge Lajuana M. Counts to one count of being a felon in possession of a firearm.
By pleading guilty today, McGaugh admitted that he was in possession of a Canik TP9 9mm semi-automatic handgun on Aug. 25, 2020. Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. McGaugh has two prior felony convictions for resisting arrest, two prior felony convictions for tampering with a motor vehicle, and prior felony convictions for domestic assault, burglary, and possession of a controlled substance.
According to court documents, the investigation began on Aug. 8, 2020, when Independence police officers responded to a shooting at the Truman Inn, 4048 S. Lynn Court Drive in Independence. McGaugh had been involved in a shootout with another person at the motel, identified in court documents as “R.C.,” witnesses told police officers. McGaugh had fired nine shots through the door of R.C.’s motel room, and R.C. had fired three shots through the door at McGaugh. McGaugh was no longer at the scene of the shooting when officers arrived.
A confidential source provided information to law enforcement to locate McGaugh. On Aug. 25, 2020, police officers moved to apprehend McGaugh as he was getting out of a vehicle at an Independence residence. He ran toward a wooded area behind the house with officers in pursuit. After he ran into the wooded area, officers utilized a police service dog, which found McGaugh on the ledge of a creek bed under heavy, thick brush. Directly below the ledge where McGaugh was found, officers found the 9mm handgun, loaded with 18 rounds in the magazine and one round in the chamber.
Under federal statutes, McGaugh is subject to a sentence of up to 10 years in federal prison without parole. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes, as the sentencing of the defendant will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the United States Probation Office.
This case is being prosecuted by Special Assistant U.S. Attorney Caleb J. Aponte, who is a cross-designated prosecutor from the Missouri Attorney General’s office as part of the Safer Streets Initiative to combat violent crime. It was investigated by the Independence, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Operation LeGend
Operation LeGend is a federal partnership with local law enforcement to address the increase in homicides and violent crime in Kansas City, Mo., in 2020. The operation honors the memory of four-year-old LeGend Taliferro, one of the youngest fatalities during a record-breaking year of homicides and shootings. Additional federal agents were assigned to the operation from the FBI, Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the U.S. Marshals Service.Waterloo Felon Sentenced to Federal Prison for Using a Gun to Threaten Another Person During a DisputeRead the Press Release
A Waterloo felon who unlawfully possessed a gun was sentenced today to 30 months in prison.
Dreyon Damondre Grant, age 27, from Waterloo, Iowa, received the prison sentence today following a plea to possession of a firearm by a felon.
Information disclosed at sentencing and at his plea hearing showed that in July 2019, Grant got into a dispute with another man at an apartment complex in Waterloo. The other man accused Grant of stealing money from him and a friend. When the victim confronted Grant, Grant came out of his apartment unit holding a knife and pointing it at the victim. After the victim refused to leave, Grant called his friend to help scare the victim. A short time later, Grant’s friend came over with a gun. Grant tried to scare the victim away with the gun. The victim called 911. Police responded and located the gun Grant possessed. No one was injured in the dispute. Grant has a prior felony conviction for burglary. He has also prior convictions for assault, including one conviction for assaulting a peace officer.
Grant was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Grant was sentenced to 30 months’ imprisonment. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Ashley Corkery. This case was brought as part of Project Safe Neighborhoods (PSN) through a cooperative effort of the Waterloo Police Department, Black Hawk County Sheriff’s Office, Federal Bureau of Investigations Safe Streets Unit, and the Bureau of Alcohol, Tobacco, and Firearms. 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.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-2060.
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Washington Man Sentenced to 10 Years in Federal Prison for Assaulting His Brother on the Colville Indian ReservationRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington announced that Jesse McKay, age 45, an enrolled member of the Confederated Tribes of the Colville Reservation, was sentenced after having pleaded guilty on July 28, 2020, to Assault Resulting in Serious Bodily Injury in Indian Country. United States Senior District Judge Robert H. Whaley sentenced McKay to a 120-month term of imprisonment, to be followed by a 3-year term of court supervision after he is released from federal prison.
According to information disclosed during court proceedings, during the early morning hours of July 17, 2019, McKay assaulted his brother, striking him on the head with a 12-pound metallic weightlifting bar, while the victim was asleep in his home. The blow caused injuries to the victim’s face, and, as a result, the victim sustained a laceration to his right cheek, a broken nose, and loss of vision out of his right eye.
At sentencing, Senior Judge Whaley recognized the danger that McKay presents to the community, based on McKay’s history of violently attacking victims in their sleep. The Court also noted the statutory maximum sentence of 10 years, before sentencing McKay to the full statutory maximum penalty.
United States Attorney Hyslop said, “The sentence imposed by the Court removes from our streets a serial offender with a history of violent crime. The Court imposed the maximum penalty which is appropriate here to protect the public. This should also send a clear message and warning to others who may choose to engage in such criminal activity. I commend the outstanding work of out federal, state, local and Tribal law enforcement partners who investigated this case.”
FBI Special Agent in Charge Ray Duda said, “Violent crime on our state's reservations is something we've seen far too often and is the reason why the FBI is committed to combating it. The sentencing of Mr. McKay to the maximum penalty sends a message to other would-be offenders that we're not going to stand idly by when these crimes are committed."
This case was investigated by the Spokane Resident Office of the Federal Bureau of Investigation and the Tribal Law Enforcement Department of the Confederated Tribes of the Colville Reservation Police. This case was prosecuted by Richard R. Barker, Assistant United States Attorney, and Michael L. Vander Giessen, Special Assistant United States Attorney for the Eastern District of Washington.
Utah Resident Sentenced to Federal Prison for Absconding Supervision and Failing to Register as a Sex OffenderRead the Press Release
EUGENE, Ore.—A Washington County, Utah, resident was sentenced to federal prison today for failing to comply with sex offender supervision and registration requirements designed to protect the community from predatory acts, announced U.S. Attorney Billy J. Williams.
Robert John Golom, 27, was sentenced to five years in federal prison and ten years’ supervised release.
U.S. Attorney Billy J. Williams said “This case demonstrates the critical importance of law enforcement partnership and coordination and use of the National Sex Offender Registration and Notification Act (SORNA) as an important tool in protecting the public from those who repeatedly engage in predatory acts.”
According to court documents, on November 5, 2019, Eugene police officers found defendant Golom in a Eugene transient encampment, sharing a tent with a 16-year old minor. Record checks revealed Golom was required to register as a sex offender as a result of prior criminal convictions in Utah, and Golom had not registered in Oregon despite being present in the state for a month. Golom was also found in possession of a machete, a concealed hunting knife and other makeshift weapons. Eugene police coordinated with the United States Marshal’s Service and the Oregon State Police to conduct further investigation.
Golom told law enforcement he left Utah on a bus, traveled to Oregon, and did not register as required following his Utah state conviction for Sexual Exploitation of a Minor and Unlawful Sexual Contact with a 16 or 17-year old in 2019. Golom’s failure to register in Oregon follows a history of repeated sexual acts committed against minors and poor decisions, including sharing a tent with a minor in Eugene, while fleeing from court-ordered supervision and sex offender registration requirements in Utah.
On November 20, 2019, a federal grand jury in Eugene returned a single-count indictment charging Golom with failure to register as a sex offender. On July 28, 2020, he pleaded guilty.
The United States Marshals Service, the Eugene Police Department, and Oregon State Police investigated this case. It was prosecuted by William M. McLaren, Assistant U.S. Attorney for the District of Oregon in coordination with the Hurricane, Utah City Attorney and the Washington County Attorney’s office in St. George, Utah.
The United States Marshals Service is the federal government’s primary law enforcement agency for sex offender and fugitive investigations. The United States Marshals Service has implemented an aggressive strategy across the nation, including complex sex offender investigations and multiagency enforcement operations. Protecting children in our communities, including unhoused juveniles, is a critical part of the multiagency sex offender mission in Oregon.
The Sex Offender Registration and Notification Act (SORNA) is Title I of the Adam Walsh Child Protection and Safety Act of 2006. The act provides a comprehensive set of minimum standards for sex offender registration and notification in the United States. SORNA strengthens the nationwide network for the protection of the community.
United States Files Complaint to Forfeit Iranian Missiles and Sells Previously-Transferred Iranian PetroleumRead the Press Release
WASHINGTON - The Justice Department today announced the filing of a complaint to forfeit two shipments of Iranian missiles that the U.S. Navy seized in transit from Iran’s Islamic Revolutionary Guard Corps (IRGC) to militant groups in Yemen, as well as the sale of approximately 1.1 million barrels of Iranian petroleum that the United States previously obtained from four foreign-flagged oil tankers bound for Venezuela.
These actions represent the government’s largest-ever forfeitures actions for fuel and weapons shipments from Iran.
“The two forfeiture complaints allege sophisticated schemes by the IRGC to secretly ship weapons to Yemen and fuel to Venezuela, countries that pose grave threats to the security and stability of their respective regions,” said John Demers, Assistant Attorney General for National Security. “Iran continues to be a leading state sponsor of terrorism and a worldwide destabilizing force. It is with great satisfaction that I can announce that our intentions are to take the funds successfully forfeited from the fuel sales and provide them to the United States Victims of State Sponsored Terrorism Fund after the conclusion of the case.”
“These actions demonstrate our commitment to working with all of our law enforcement partners to stem the flow of illicit weapons, oil, and money from Iran’s Islamic Revolutionary Guard Corps and other organizations that would do harm to the United States,” said U.S. Attorney Michael R. Sherwin for the District of Columbia. “The U.S. Attorney’s Office for the District of Columbia will use all available tools, including our jurisdiction to seize and forfeit assets located abroad, to counter terrorist funding and weapons proliferation.”
“This case exemplifies the remarkable collaboration across government toward our shared goal of protecting the homeland from regimes that threaten our national security. This investigation sends a message that the attempted circumvention of U.S. sanctions and the avoidance of export conventions will not be tolerated,” said Derek Benner, Executive Associate Director for Homeland Security Investigations (HSI). “HSI will continue to use the full scope of its authorities and stand besides its partners in the U.S. and around the world keep weapons and assets out of the hands of adversarial regimes.”
“The FBI places a high priority on national security investigations targeting state sponsored foreign terrorist organizations like the IRGC,” said FBI Minneapolis Special Agent in Charge Michael Paul. “We recognize and appreciate the hard work and dedication of the agents and prosecutors who secured forfeiture of the petroleum and prevented its proceeds from funding Iran’s campaign of violence and unrest throughout the Middle East.”
“The illegal exportation of sensitive technology to prohibited countries poses a significant threat to our national security,” said Dermot F. O'Reilly, Director, Defense Criminal Investigative Service (DCIS). “The complaint announced today is the direct result of joint investigative and analytical efforts with close partners in law enforcement and the Department of Defense. DCIS will continue to identify, disrupt, and bring to justice those who threaten U.S. military technology.”
U.S. Navy Central Command (NAVCENT) seized the weapons from two flagless vessels in the Arabian Sea on Nov. 25, 2019 and Feb. 9, 2020, respectively. The weapons included 171 guided anti-tank missiles, eight surface-to-air missiles, land attack cruise missile components, anti-ship cruise missile components, thermal weapons optics, and other components for missiles and unmanned aerial vehicles.
On Aug. 20, 2020, the Justice Department filed a complaint seeking to forfeit the seized weapons in U.S. District Court for the District of Columbia. The forfeiture action is part of a larger investigation of an Iranian weapons smuggling network responsible for the arms shipments. The network was involved in the illicit trafficking of advanced conventional weapons systems and components, including systems that contain U.S.-origin components, by sanctioned Iranian entities that directly support military action by the Houthis movement in Yemen and the Iranian regime’s campaign of terrorist activities throughout the region.
On Feb. 9, 2020, U.S. authorities seized three type “358” surface-to-air missiles (above) and 150 “Dhelaveih” anti-tank guided missiles (below).
On July 2, 2020, the United States also filed a complaint in U.S. District Court for the District of Columbia seeking to forfeit all petroleum-product cargo aboard four foreign-flagged oil tankers. The petroleum originated in Iran, and the sale of that petroleum benefitted the IRGC, a sanctioned Iranian entity. In August 2020, the district court issued a warrant for arrest in rem and the United States subsequently transferred approximately 1.1 million barrels of refined petroleum from the four vessels. The United States has now sold and delivered that petroleum.
The two forfeiture complaints allege sophisticated schemes by the IRGC to clandestinely ship weapons and fuel to sanctioned entities that pose grave threats to U.S. national security. Forfeiture complaints are merely allegations. The burden to prove forfeitability in both civil forfeiture proceedings is upon the government.
Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the United States Victims of State Sponsored Terrorism Fund (http://www.usvsst.com/) after the conclusion of the case.
These seizures and forfeiture actions are a product of the U.S. government’s coordinated efforts to enforce U.S. sanctions against the IRGC and the Iranian regime. HSI’s Washington Field Office and DCIS’s Mid-Atlantic Field Office are leading the investigation of the Iranian weapons smuggling network, with substantial assistance from NAVCENT in conducting the seizures. The weapons case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia. Assistant U.S. Attorneys Michael P. Grady and Stuart D. Allen are handing the case on behalf of the U.S. Attorney’s Office, with support from Paralegal Specialist Elizabeth Swienc and Legal Assistant Jessica McCormick.
HSI Denver and FBI’s Minneapolis Field Office are investigating the shipments of Iranian petroleum, again with substantial assistance from NAVCENT during the seizure. The petroleum case is being prosecuted by the National Security Division and the U.S. Attorney’s Office for the District of Columbia. Assistant U.S. Attorneys Brian P. Hudak, Michael P. Grady, and Stuart D. Allen and National Security Division Trial Attorney David Lim are litigating the case, with support from Paralegal Specialist Elizabeth Swienc and Legal Assistant Jessica McCormick. The Money Laundering and Asset Recovery Section of the Criminal Division of the U.S. Department of Justice provided extensive assistance in the forfeiture and sale of the seized petroleum.
United States Files Complaint to Forfeit Iranian Missiles and Sells Previously-Transferred Iranian PetroleumRead the Press Release
The Justice Department today announced the filing of a complaint to forfeit two shipments of Iranian missiles that the U.S. Navy seized in transit from Iran’s Islamic Revolutionary Guard Corps (IRGC) to militant groups in Yemen, as well as the sale of approximately 1.1 million barrels of Iranian petroleum that the United States previously obtained from four foreign-flagged oil tankers bound for Venezuela.
These actions represent the government’s largest-ever forfeitures actions for fuel and weapons shipments from Iran.
“The two forfeiture complaints allege sophisticated schemes by the IRGC to secretly ship weapons to Yemen and fuel to Venezuela, countries that pose grave threats to the security and stability of their respective regions,” said John Demers, Assistant Attorney General for National Security. “Iran continues to be a leading state sponsor of terrorism and a worldwide destabilizing force. It is with great satisfaction that I can announce that our intentions are to take the funds successfully forfeited from the fuel sales and provide them to the United States Victims of State Sponsored Terrorism Fund after the conclusion of the case.”
“These actions demonstrate our commitment to working with all of our law enforcement partners to stem the flow of illicit weapons, oil, and money from Iran’s Islamic Revolutionary Guard Corps and other organizations that would do harm to the United States,” said U.S. Attorney Michael Sherwin for the District of Columbia. “The U.S. Attorney’s Office for the District of Columbia will use all available tools, including our jurisdiction to seize and forfeit assets located abroad, to counter terrorist funding and weapons proliferation.”
“This case exemplifies the remarkable collaboration across government toward our shared goal of protecting the homeland from regimes that threaten our national security. This investigation sends a message that the attempted circumvention of U.S. sanctions and the avoidance of export conventions will not be tolerated,” said Derek Benner, Executive Associate Director for Homeland Security Investigations (HSI). “HSI will continue to use the full scope of its authorities and stand besides its partners in the U.S. and around the world keep weapons and assets out of the hands of adversarial regimes.”
“The FBI places a high priority on national security investigations targeting state sponsored foreign terrorist organizations like the IRGC,” said FBI Minneapolis Special Agent in Charge Michael Paul. “We recognize and appreciate the hard work and dedication of the agents and prosecutors who secured forfeiture of the petroleum and prevented its proceeds from funding Iran’s campaign of violence and unrest throughout the Middle East.”
“The illegal exportation of sensitive technology to prohibited countries poses a significant threat to our national security,” said Dermot F. O'Reilly, Director, Defense Criminal Investigative Service (DCIS). “The complaint announced today is the direct result of joint investigative and analytical efforts with close partners in law enforcement and the Department of Defense. DCIS will continue to identify, disrupt, and bring to justice those who threaten U.S. military technology.”
U.S. Navy Central Command (NAVCENT) seized the weapons from two flagless vessels in the Arabian Sea on Nov. 25, 2019 and Feb. 9, 2020, respectively. The weapons included 171 guided anti-tank missiles, eight surface-to-air missiles, land attack cruise missile components, anti-ship cruise missile components, thermal weapons optics, and other components for missiles and unmanned aerial vehicles.
On Aug. 20, 2020, the Justice Department filed a complaint seeking to forfeit the seized weapons in U.S. District Court for the District of Columbia. The forfeiture action is part of a larger investigation of an Iranian weapons smuggling network responsible for the arms shipments. The network was involved in the illicit trafficking of advanced conventional weapons systems and components, including systems that contain U.S.-origin components, by sanctioned Iranian entities that directly support military action by the Houthis movement in Yemen and the Iranian regime’s campaign of terrorist activities throughout the region.
On Feb. 9, 2020, U.S. authorities seized three type “358” surface-to-air missiles (above) and 150 “Dhelaveih” anti-tank guided missiles (below).
On July 2, 2020, the United States also filed a complaint in U.S. District Court for the District of Columbia seeking to forfeit all petroleum-product cargo aboard four foreign-flagged oil tankers. The petroleum originated in Iran, and the sale of that petroleum benefitted the IRGC, a sanctioned Iranian entity. In August 2020, the district court issued a warrant for arrest in rem and the United States subsequently transferred approximately 1.1 million barrels of refined petroleum from the four vessels. The United States has now sold and delivered that petroleum.
The two forfeiture complaints allege sophisticated schemes by the IRGC to clandestinely ship weapons and fuel to sanctioned entities that pose grave threats to U.S. national security. Forfeiture complaints are merely allegations. The burden to prove forfeitability in both civil forfeiture proceedings is upon the government.
Funds successfully forfeited with a connection to a state sponsor of terrorism may in whole or in part be directed to the United States Victims of State Sponsored Terrorism Fund (http://www.usvsst.com/) after the conclusion of the case.
These seizures and forfeiture actions are a product of the U.S. government’s coordinated efforts to enforce U.S. sanctions against the IRGC and the Iranian regime. HSI’s Washington Field Office and DCIS’s Mid-Atlantic Field Office are leading the investigation of the Iranian weapons smuggling network, with substantial assistance from NAVCENT in conducting the seizures. The weapons case is being prosecuted by the U.S. Attorney’s Office for the District of Columbia. Assistant U.S. Attorneys Michael P. Grady and Stuart D. Allen are handing the case on behalf of the U.S. Attorney’s Office, with support from Paralegal Specialist Elizabeth Swienc and Legal Assistant Jessica McCormick.
HSI Denver and FBI’s Minneapolis Field Office are investigating the shipments of Iranian petroleum, again with substantial assistance from NAVCENT during the seizure. The petroleum case is being prosecuted by the National Security Division and the U.S. Attorney’s Office for the District of Columbia. Assistant U.S. Attorneys Brian P. Hudak, Michael P. Grady, and Stuart D. Allen and National Security Division Trial Attorney David Lim are litigating the case, with support from Paralegal Specialist Elizabeth Swienc and Legal Assistant Jessica McCormick. The Money Laundering and Asset Recovery Section of the Criminal Division of the U.S. Department of Justice provided extensive assistance in the forfeiture and sale of the seized petroleum.
United States Attorney's Office Prepared for ElectionRead 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 his Office, working with the Federal Bureau of Investigation and their federal, State, and local partners, has put in place additional security awareness and monitoring measures in order to ensure the most secure settings for our elections. Kennedy has specifically assigned several Assistant United States Attorneys within his Office’s Criminal Division, led by Criminal Chief Timothy C. Lynch, to assist him in protecting the integrity of the election process and citizens’ right to vote and to oversee the District’s handling of complaints of election fraud and voting rights concerns in consultation with Justice Department Headquarters in Washington.
“Every citizen must be able to vote without interference or discrimination and to have that vote counted without it being stolen because of fraud,” stated U.S. Attorney Kennedy. “The Department of Justice will always act appropriately to protect the integrity of the election process.”
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open through election day.
Federal law protects against such crimes as intimidating or bribing voters, buying and selling votes, impersonating voters, altering vote tallies, stuffing ballot boxes, and marking ballots for voters against their wishes or without their input. It also contains special protections for the rights of voters, and provides that they can vote free from acts that intimidate or harass them. For example, actions of persons designed to interrupt or intimidate voters at polling places by questioning or challenging them, or by photographing or videotaping them, under the pretext that these are actions to uncover illegal voting may violate federal voting rights law. Further, federal law protects the right of voters to mark their own ballot or to be assisted by a person of their choice (where voters need assistance because of disability).
The franchise is the cornerstone of American democracy. We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice. In order to respond to complaints of election fraud or voting rights concerns during the voting period that ends on November 3, 2020, and to ensure that such complaints are directed to the appropriate authorities, U.S. Attorney Kennedy stated that the public may contact his office at (716) 843-5700.
In addition, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day. The local FBI field office can be reached by the public at (716) 856-7800.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .
Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
U.S. Attorney Kennedy further stated, “Ensuring free and fair elections depends in large part on the cooperation of the American electorate. It is imperative that those who have specific information about discrimination or election fraud make that information available to my Office, the FBI, or the Civil Rights Division.”
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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U.S. Attorney’s Office Honors Law Enforcement and Community Leaders in Second Annual “Excellence in the Pursuit of Justice” Award CeremonyRead the Press Release
United States Attorney Erica H. MacDonald today announced the 2020 recipients of the second annual U.S. Attorney’s Office “Excellence in the Pursuit of Justice” Awards. Sixty-seven law enforcement officials and community leaders are being honored for their outstanding work and selfless contributions in the pursuit of truth and justice.
“I am honored to present the “Excellence in the Pursuit of Justice” award to 67 law enforcement and community leaders in recognition of their exceptional work, courage, and character. Even through the unprecedented challenges of this past year, these professionals are unwavering in their commitment to public safety,” said United States Attorney Erica H. MacDonald. “The U.S. Attorney’s Office’s mission of pursuing justice is not one we can achieve on our own. We do it together, as partners. On behalf of the entire office, I extend my sincere gratitude and commendation on a job well done.”
The honorees at today’s virtual ceremony are members of the following agencies and organizations:
- United States Marshals Service
- Jewish Community Relations Council of Minnesota and the Dakotas
- Anoka County Sheriff’s Office
- Homeland Security Investigations
- Face to Face Health and Counseling Service
- International Institute of Minnesota
- St. Louis County Attorney's Office
- Federal Bureau of Investigation
- Duluth Police Department
- Money Laundering and Asset Recovery Section, DOJ
- Internal Revenue Service, Criminal Investigation
- St. Paul Police Department
- Bureau of Alcohol, Tobacco, Firearms and Explosives
- Eden Prairie Police Department
- Beltrami County Sheriff's Office
- Bureau of Indian Affairs
- Drug Enforcement Administration
- Minnesota Department of Corrections
- Minnesota Bureau of Criminal Apprehension
- Ramsey County Sheriff’s Office
- Minnesota State Patrol
- Dakota County Sheriff’s Office
- Apple Valley Police Department
- Dakota County Drug Task Force
- Ramsey County VCET
- Carver County Sheriff’s Office
- Orono Police Department
- U.S. Department of Commerce
- National Security Division, DOJ
- United States Postal Inspection Service
- Minnesota Commerce Fraud Bureau
- U.S. Postal Service Office of Inspector General
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
U.S. Attorneys in California Join District Attorneys to Help Victims of Domestic Violence During the COVID-19 PandemicRead the Press Release
LOS ANGELES – Three of the California United States Attorneys today joined the District Attorneys for four California counties to launch an online outreach campaign to help victims of domestic violence during the COVID-19 pandemic.
“Domestic violence can be solved only by continuing to work effectively with our local partners,” said United States Attorney Nick Hanna, who is a member of the Justice Department’s Domestic Violence Working Group. “We owe victims and their families our best efforts; we owe it to their children and to the broader community as well.”
The outreach campaign was announced this afternoon in a virtual press conference by U.S. Attorney Hanna, Ventura County District Attorney Gregory Totten, U.S. Attorney McGregor Scott in Sacramento, U.S. Attorney Robert Brewer in San Diego, San Diego County District Attorney Summer Stephan, Sacramento County District Attorney Anne Marie Schubert, Alameda County District Attorney Nancy O’Malley. These law enforcement officials were joined by Daphne Young, the Chief Communications Officer for Childhelp, a national nonprofit organization aiding victims of child abuse.
The outreach campaign was created to combat an unintended consequence of COVID-19 public health measures – an alarming rise in domestic violence with victims trapped at home with their abusers under increasing stress. The National Domestic Violence Hotline has reported an increase in contacts to the hotline during COVID-19. Reports show that physicians are treating more domestic violence injuries and that these injuries are more severe. According to the CDC, roughly 1 in 6 homicide victims are killed by an intimate partner. Research further shows that abusers with a gun in the home are five times more likely to kill their partners than abusers who don’t have access to a firearm.
Under federal law, individuals with domestic violence misdemeanor and felony convictions, as well as individuals subject to domestic violence protective orders, are prohibited from possessing firearms. Earlier this month, the Department of Justice announced it has charged more than 500 domestic violence cases involving firearms during the 2020 Fiscal Year.
The campaign includes a video public service announcement and public awareness messages posted on Facebook, Twitter and other social media platforms with a new post made each day for one week. The posts provide information for victims with resources – such as 24-hour hotlines – vital to reporting abuse. The posts also provide tips for concerned friends, relatives and educators on how they can help victims of abuse.
U.S. Attorneys across California Join District Attorneys to Help Victims of Domestic Violence During the COVID-19 PandemicRead the Press Release
NEWS RELEASE SUMMARY – October 29, 2020
SAN DIEGO— The United States Attorneys for the Southern District of California, Eastern District of California, Northern District of California and Central District of California and the District Attorneys of San Diego, Sacramento, Alameda and Ventura counties launched an online outreach campaign today to help victims of domestic violence during the COVID-19 pandemic. The United States Attorneys and District Attorneys are joined by Childhelp, a national nonprofit organization aiding victims of child abuse.
The outreach campaign was created to combat an unintended consequence of COVID-19 public health measures— an alarming rise in domestic violence with victims trapped at home with their abusers under increasing stress. The National Domestic Violence Hotline has reported an increase in contacts to the hotline during COVID-19. Reports show that physicians are treating more domestic violence injuries and that these injuries are more severe. According to the CDC, roughly one in six homicide victims are killed by an intimate partner. Research further shows that abusers with a gun in the home are five times more likely to kill their partners than abusers who don’t have access to a firearm. Under federal law, it is illegal to possess a firearm if you are a felon, and the United States Attorney’s Offices prioritize prosecuting individuals with domestic violence felony convictions who possess a firearm.
The Southern District of California U.S. Attorney’s Office has made significant efforts to prosecute individuals who possessed firearms in violation of a domestic violence restraining order. For example, in October 2019, a San Diego Superior Court judge imposed a domestic violence restraining order upon Daniel Anthony Fischbeck. According to the criminal complaint, the restraining order explicitly prohibited Fischbeck from possessing firearms. On January 1, 2020, Fischbeck was arrested after violating the restraining order a second time. At the time of Fischbeck’s arrest, a Springfield XD .45 caliber handgun was found in his car. He was then charged federally for several federal firearms offenses. Fischbeck recently pleaded guilty in federal court to being a methamphetamine addict while in possession of the Springfield handgun, in violation of Title 18, United States Code, Section 922(g)(3). Fischbeck is set to be sentenced in federal court on November 2, 2020. U.S. v. Fischbeck, 20-CR-479-LAB.
The focus on domestic violence and firearms is rendered even more critical in light of recent crime data. In September, a report by the San Diego Association of Governments, also known as SANDAG, revealed that the San Diego region saw a 3 percent increase in domestic violence in the first half of 2020 over the same period last year. SANDAG’s data shows more notable increases in domestic violence in certain local communities: Santee (18 percent); El Cajon (18 percent); and National City (74 percent). Meanwhile, statistics cited by the National Coalition Against Domestic Violence indicate that one in three female murder victims are killed by intimate partners and that an abuser’s access to a firearm increases the risk of femicide significantly.
"Domestic violence plays a significant role in how we prioritize federal prosecutions," said U.S. Attorney Robert Brewer of the Southern District of California. "We frequently consider past domestic violence arrests and convictions in both firearms and immigration prosecutions. That type of criminal history serves as a possible indication of anger and impulse control issues, which makes a defendant a larger threat to public safety, especially when a firearm is present. As a result, the Department of Justice has urged all U.S. Attorneys to aggressively prosecute firearms violations in order to disrupt the escalating cycle of violence."
According to Childhelp Founder & CEO, Sara O’Meara, "The partnership of California’s safety leaders with Childhelp to secure children during COVID-19 is a model for child welfare across the country. All these huge hearts coming together to find children trapped in the shadows of abuse will not only save lives, but create a culture of compassion that will exist long after this virus is behind us."
The campaign includes a video public service announcement (see https://youtu.be/QwWHxAFTRK8) and public awareness messages posted on Facebook, Twitter, and other social media platforms with a new post made each day for one week. The posts provide information for victims with resources, such as 24-hour hotlines and other services vital to reporting abuse. The posts also provide tips for concerned friends, relatives, and educators on how they can help victims of abuse. This outreach campaign follows a July campaign addressing domestic violence and child abuse and exploitation by U.S. Attorney Scott, Childhelp, and the District Attorneys of Alameda, Sacramento, and San Diego counties.
U.S. Attorney, Toledo Police and ATF announce return of Operation Red-Zone for Halloween weekendRead the Press Release
U.S. Attorney Justin Herdman, Toledo Police Chief George Kral and ATF Special Agent in Charge Roland Herndon announced today that Operation Red-Zone will be active in the city of Toledo over the Halloween weekend beginning Friday, October 30, and running through Monday morning, November 2, 2020.
“Operation Red-Zone will return to the city of Toledo in an effort to deter violent crime over the holiday weekend and prosecute illegal firearms offenders on a federal level,” said U.S. Attorney Justin Herdman. “If you are prohibited from possessing a firearm under federal law, either because you have a prior felony conviction, a prior misdemeanor conviction, or some other disqualifying condition, then you are in the Red-Zone. If you possess a firearm this weekend while in the Red-Zone, expect to be caught and prosecuted in federal court.”
“During Labor Day Weekend of this year, Toledo Police participated in the highly publicized “Operation Red-Zone” with the U.S. Attorney’s Office and ATF,” said Toledo Police Chief George Kral. “During that weekend, six firearms were seized, the number of persons shot in the City of Toledo decreased by 83% compared to the same time last year, and there were no homicides reported. I am looking forward to this weekend’s partnership to detect and arrest those who are illegally carrying firearms in our city. Our overarching goal in this team effort is to prevent offenders from disrupting the peace our residents deserve while continuing to make Toledo a safe and secure community for people to thrive in.”
“As we approach this Halloween weekend, I would like to remind everyone to be safe and take a step back from the violence,” stated Roland Herndon, ATF’s Special Agent in Charge for the Columbus Field Division. “But be aware, if you choose to use firearms to commit crimes, ATF and our law enforcement partners will be there as always, working to hold you accountable for those acts.”
Operation Red-Zone is a collaborative initiative between local, state and federal law enforcement to pursue federal charges, where applicable, against individuals who are prohibited under federal law from possessing firearms, or who otherwise use a firearm in a violent crime or drug trafficking offense. Law enforcement agents with the Toledo Police, ATF, DEA, FBI and U.S. Marshals will be out in force and working cooperatively to deter, arrest and prosecute offenders.
Operation Red-Zone was initially launched in the city of Toledo earlier this year ahead of the Labor Day holiday weekend. On September 9, U.S. Attorney Justin Herdman and Police Chief George Kral announced the results of that operation.
U.S. Attorney Terwilliger Appoints Election Officers for EDVARead the Press Release
ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger announced today that a team of Assistant U.S. Attorneys across the Eastern District will lead efforts in connection with the Justice Department’s nationwide Election Day Program for the upcoming general election.
“The franchise is the cornerstone of American democracy,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “We all must ensure that those who are entitled to the franchise exercise it if they choose, and that those who seek to corrupt it are brought to justice.”
District Election Officer(s)
Division
Assistant U.S. Attorney Heidi Gesch
Assistant U.S. Attorney Matt Burke
Assistant U.S. Attorney Seth Schlessinger
Alexandria
Assistant U.S. Attorney Kevin Elliker
Richmond
Managing Assistant U.S. Attorney Randy Stoker
Norfolk and Newport News
DEOs are responsible for overseeing the District’s handling of complaints of election fraud and voting rights concerns in consultation with Justice Department Headquarters in Washington.
The Department of Justice has an important role in deterring election fraud and discrimination at the polls, and combating these violations whenever and wherever they occur. The Department’s long-standing Election Day Program furthers these goals, and also seeks to ensure public confidence in the integrity of the election process by providing local points of contact within the Department for the public to report possible election fraud and voting rights violations while the polls are open through election day.
Additionally, the FBI will have special agents available in each field office and resident agency throughout the country to receive allegations of election fraud and other election abuses on election day.
Complaints about possible violations of the federal voting rights laws can be made directly to the Civil Rights Division in Washington, DC by phone at 800-253-3931 or by complaint form at https://civilrights.justice.gov/ .
Please note, however, in the case of a crime of violence or intimidation, please call 911 immediately and before contacting federal authorities. State and local police have primary jurisdiction over polling places, and almost always have faster reaction capacity in an emergency.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
U.S. Attorney McSwain Announces Charges Against Four Men for Arson of Philadelphia Police and Pennsylvania State Police Vehicles During Violent Civil UnrestRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Carlos Matchett, 30, of Atlantic City, NJ; Khalif Miller, 25, of Philadelphia, PA; and Anthony David Ale Smith, 29, of Philadelphia, PA, have been charged by Indictment for the arson of a Philadelphia Police Department (PPD) vehicle, and in a separate case, that Ayoub Tabri, 24, of Arlington, VA, has been charged by Indictment for the arson of a Pennsylvania State Police (PSP) vehicle. Both incidents occurred during violent civil unrest in Philadelphia on May 30, 2020.
Following peaceful protests in Philadelphia in the early afternoon of May 30, 2020 in response to the killing of George Floyd in Minneapolis, MN, civil unrest began to unfold later that afternoon that resulted in widespread looting, burglary, arson, destruction of property, and other violent acts.
On that day, PPD Civil Affairs Car C-109 was parked on the north side of City Hall near Broad and Market Streets. During the violent episodes that began in the vicinity of City Hall that afternoon, defendants Matchett, Miller, and Smith allegedly placed combustible materials into the vehicle, after a road flare placed in the vehicle started a fire. As a result of these acts, the PPD vehicle was destroyed. A grand jury charged each of the defendants with two counts of arson, and one count of obstructing law enforcement in the commission of their duties during a civil disorder.
On the same day and at roughly the same time, PSP troopers responded to the intersection of Broad and Vine Streets, a few blocks north of City Hall. PSP placed two patrol sport utility vehicles – marked as K1-7 and K1-17 – at the on-ramp for I-676 in an effort to prevent protestors from gaining access to the highway. Soon thereafter, a group of individuals began attacking the two vehicles. The windows of the vehicles were shattered and PSP equipment stored inside was stolen, including road flares, fire extinguishers, and “riot bags” containing additional PSP-issued equipment. Tabri allegedly threw a lit road flare into K1-17, igniting a fire that engulfed the SUV. A grand jury charged the defendant with two counts of arson, and one count of obstructing law enforcement in the commission of their duties during a civil disorder.
“I want to be clear that we at the U.S. Attorney’s Office support peaceful protest – indeed, it is part of our job to protect First Amendment freedoms. We take that responsibility very seriously. But violence is not speech. There is no right to riot, loot, rob, destroy or commit arson. If you engage in violent civil unrest and commit a federal crime in this District, we will come after you as hard as we can because residents deserve safe and secure neighborhoods, not mayhem.”
“The FBI remains committed to protecting the rights of individuals to peacefully exercise their First Amendment freedoms,” said Philadelphia Division Special Agent in Charge Michael J. Driscoll. “Violence and destruction of property jeopardize the rights and safety of all citizens, including peaceful demonstrators. Today’s indictments send the message that if you seek to hijack peaceful protests to pursue violent and extremist agendas, the FBI and its law enforcement partners will bring you to justice.”
“These individuals were not in the City to participate in a peaceful protest: instead, it appears they posed as protestors and allegedly set fire to a Pennsylvania State Police vehicle and a Philadelphia Police vehicle,” said Matthew Varisco, Special Agent in Charge of ATF’s Philadelphia Field Division. “Arson is an extremely violent act which presents a tremendous threat to public safety. We will continue to work with our local, state and federal partners to seek justice during these tumultuous times.”
“Thousands peacefully assembled and protested throughout Philadelphia following the killing of George Floyd in May of 2020,” said Brian A. Michael, Special Agent in Charge for HSI Philadelphia. “Today’s indictments demonstrate how law enforcement successfully works together to pursue violent opportunists who commit criminal acts that undermine the peaceful protestors’ message. HSI works closely with federal, state, and local law enforcement partners to investigate, identify and hold accountable individuals who commit malicious, destructive, unlawful acts.”
“The Pennsylvania State Police thanks all of the partnering local, state, and federal agencies that assisted with this investigation,” said Captain James Kemm, commander of the Pennsylvania State Police Troop K. “We respect the public’s right to peacefully protest, but violence and destruction of property will not be tolerated.”
If convicted, all four defendants face a mandatory minimum of seven years in prison, and a maximum possible sentence of 65 years in prison, followed by three years of supervised release, and a fine of up to $750,000.
The Matchett, Miller, and Smith case was investigated by the Federal Bureau of Investigation, Homeland Security Investigations; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Philadelphia Police Department; and the Philadelphia Fire Marshal’s Office; with assistance from the New Jersey Office of Homeland Security and Preparedness. The Tabri case was investigated by the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; and the Pennsylvania State Police. Both cases are being prosecuted by the United States Attorney’s Office for the Eastern District of Pennsylvania.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
Two Former eBay Employees Plead Guilty to Aggressive Cyberstalking Campaign Targeting Natick CoupleRead the Press Release
BOSTON – Two former employees of eBay, Inc. pleaded guilty today to their roles in a cyberstalking campaign targeting the editor and publisher of a newsletter that eBay executives viewed as critical of the company.
Brian Gilbert, 52, of San Jose, Calif., a former Senior Manager of Special Operations for eBay’s Global Security Team, and Stephanie Stockwell, 26, of Redwood City, Calif., the former manager of eBay’s Global Intelligence Center, pleaded guilty to conspiracy to commit cyberstalking and conspiracy to tamper with witnesses. U.S. District Court Judge William G. Young scheduled sentencing for Stockwell on March 11, 2021, and for Gilbert on May 6, 2021.
On Oct. 8, 2020, co-defendants Stephanie Popp, 32, and Veronica Zea, 26, pleaded guilty to the same charges and are scheduled to be sentenced on Feb. 25, 2021. On Oct. 27, 2020, co-conspirator Philip Cooke, 55, pleaded guilty and is scheduled to be sentenced on Feb. 24, 2021.
Former eBay executives, James Baugh, 45, and David Harville, 48, were arrested and charged on June 15, 2020.
According to the charging documents, the victims of the cyberstalking campaign were a Natick couple who are the editor and publisher of an online newsletter that covers ecommerce companies, including eBay. Members of eBay’s executive leadership team followed the newsletter’s posts, often taking issue with its content and the anonymous comments underneath the editor’s stories.
It is alleged that in August 2019, the defendants executed a three-part harassment campaign against the Natick couple, which included the defendants sending anonymous and disturbing deliveries to the victims’ home; sending private Twitter messages and public tweets criticizing the newsletter’s content and threatening to visit the victims in Natick; and traveling to Natick to surveil the victims and install a GPS tracking device on their car.
In connection with his plea today, Gilbert admitted to drafting threatening Twitter messages for Popp to send and planning the surveillance trip with various co-defendants. Gilbert also proposed bringing a dossier of documents to the Natick Police Department (NPD) – whom the victims had involved – that would make the victims “look crazy” and contacting the victims to offer help with the threatening messages that the defendants had sent. Lastly, Gilbert made false statements to the NPD about Zea and Harville’s reason for being in Boston.
Stockwell admitted to, at Baugh’s direction, purchasing a laptop for use in harassing the victims, and using an anonymous email account to order online live spiders and a prepaid debit card to purchase a late-night pizza delivery to the victims’ home. Stockwell also prepared an eBay “Person of Interest” report for the Bay Area—a fictions list of potential suspects to provide to the NPD to deflect the police from suspecting that eBay employees were actually harassing the victims.
The charges of conspiracy to commit cyberstalking and conspiracy to tamper with witnesses each carry a sentence of up to five years in prison, three years of supervised release, a fine of up to $250,000 and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Natick Chief of Police James G. Hicks made the announcement today. eBay provided valuable assistance and cooperation with the federal investigation. Assistant U.S. Attorney Seth B. Kosto, Deputy Chief of Lelling’s Securities, Financial & Cyber Fraud Unit is prosecuting the case.
The details contained in charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Two Butte County Women Separately Indicted for FEMA Benefits Fraud in Connection with Paradise Camp FireRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned two indictments today separately charging Cynthia Seeley, 66, of Magalia, and Kristen Canapary, 53, of Butte County, with making false statements in an application for FEMA benefits in connection with the 2018 Camp Fire, U.S. Attorney McGregor W. Scott announced.
“These indictments are the result of ongoing efforts to investigate and prosecute a variety of disaster related frauds, including fraudulent claims for disaster assistance,” U.S. Attorney Scott said. “In 2018, in the aftermath of the Carr and Camp Fires, we encouraged the public to report any suspected fraudulent activity and promised to aggressively pursue and prosecute fraud and abuse. As California continues to be affected by wildfires, we stand by that commitment, and want to remind those who would try to fraudulently profit from the situation, that the U.S. Attorney’s Office together with the federal law enforcement will continue to aggressively pursue and prosecute disaster fraud.”
Following the 2018 Camp and Carr Fires, FEMA assistance was available to individuals who, as a result of the fires, had emergency needs for food, shelter, and personal items. To qualify for certain benefits, an individual’s primary residence—the place where the individual resided at the time of the fire—had to have been destroyed or damaged by the fire, among other eligibility criteria.
According to court documents, Seeley and Canapary each filed a fraudulent claim with FEMA seeking disaster assistance. They falsely claimed a primary residence that was not their true residence at the time of the fire. Seeley falsely claimed she rented a residence located at 13756 Eureka Road in Magalia and received $11,604.79 in cash benefits from FEMA. Canapary falsely claimed that she rented a home located at 1555 Sylvan Way in Paradise, and received $8,973.05 in cash benefits as well as temporary housing provided by FEMA. Seeley and Canapary are each charged with one count of fraud in connection with a major disaster or emergency benefits.
These indictments are the result of ongoing investigations into disaster fraud related to the California wildfires. In December 2019, six defendants were indicted for making a false statement about their primary residence in an application for FEMA assistance in connection with the Camp Fire: Patrick Prigmore, 2:19-cr-226; Daniel Connelly, 2:19-cr-223; Evan Palmer, 19-cr-225; Deborah Laughlin, 2:19-cr-229; Kristy Marie Tapp, 19-cr-227; and Andrew Keffer, 19-cr-228. Prigmore and Connelly have pleaded guilty and are awaiting sentencing. The whereabouts of Kristy Marie Tapp, 34, and Andrew Keffer, 44, are unknown. If anyone has information about Keffer’s or Tapp’s whereabouts, they can call DHS-OIG’s duty line at (619) 235-2514. The charges against Tapp, Keffer, Palmer, and Laughlin are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
These cases are the result of investigations by the Department of Homeland Security, Office of the Inspector General with assistance from the Federal Bureau of Investigation. Assistant U.S. Attorney Shelley Weger is prosecuting the cases.
If convicted, Seeley and Canapary, each face a maximum statutory penalty of 30 years in prison and a $250,000 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 defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
The U.S. Department of Justice established the National Center for Disaster Fraud (NCDF) to investigate, prosecute, and deter fraud in the wake of Hurricane Katrina, when billions of dollars in federal disaster relief poured into the Gulf Coast region. Its mission has expanded to include suspected fraud from any natural or manmade disaster. More than 20 federal, state, and local agencies participate in the NCDF, which allows the center to act as a centralized clearinghouse of information related to disaster relief fraud.
California residents are encouraged to watch for and report any suspicious activity or potential fraud from scam artists, identity thieves, and other criminals who may try to prey on vulnerable survivors of the California fires or the various programs assisting survivors. Anyone with knowledge of fraud, waste, or abuse may call the Federal Emergency Management Agency’s (FEMA) Disaster Fraud Hotline at (866) 720-5721. You may also send an email to [email protected].
Traffickers Charged with Buying and Selling a 19-Year-Old 'Sex Slave'Read the Press Release
The men who bought and sold a 19-year-old woman as a “sex slave” have been charged with human trafficking, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Following an intensive investigation, Alfonso Orozco Juarez, 35, and Robert Hubert, 66, were charged via criminal complaint with conspiracy to commit sex trafficking. Mr. Juarez was arrested at his home in Dallas and made his initial appearance in court in Dallas on Wednesday; Mr. Hubert was arrested at his home in Roebuck, SC, and made his initial appearance in court in Greenville, SC last week.
“This victim endured horrific abuse at the hands of these defendants. It’s unthinkable and frankly, difficult to learn that this type of thing is happening in our District,” said U.S. Attorney Erin Nealy Cox. “I am grateful that our North Texas Human Trafficking Task Force was able to act swiftly and aggressively. The Northern District of Texas and its partners in the District of New Mexico are committed to ending the scourge of human trafficking, one brutal case at a time.”
“Anyone that is involved in human trafficking activities – either as a member of a transnational criminal organization, a business owner exploiting his/her employees, or a street level pimp – should be viewed as a vicious predator. These despicable people who enrich themselves by exploiting the innocent have no place amongst law-abiding citizens and HSI will always combat it with every resource at our disposal. We will continue to collaborate with any law enforcement agency at any level of government in our shared efforts to bring human traffickers to justice,” said Ryan L. Spradlin, Special Agent in Charge of Homeland Security Investigations Dallas.
According to a criminal complaint unsealed yesterday afternoon, Mr. Juarez contacted the Santa Fe-based victim via a dating app in 2019. In September 2019, they met in person inside a Dallas motel room, where Mr. Juarez pistol whipped the victim, bruising her hand and jaw. He later gave her a “slave name” and threatened to kill her and her family if she did not consent to being sold for sex. At one point, Mr. Juarez pointed an unloaded gun at her head and pulled the trigger.
After repeatedly selling the victim for commercial sex, Mr. Juarez advertised her as a “slave” on a fetishism website, where he offered to sell her to the highest bidder. Mr. Hubert, screen name “The Darkest Lord,” offered $5,000.
In text messages with Mr. Hubert, Mr. Juarez referred to the victim as “the property” and bragged that she “submitted fully” after he “pistol whip[ped]” her.
“She’s totally dependent on me,” he wrote.
“SWEET,” Mr. Hubert responded. “I will take the slave.”
The men met up at a gas station in Dallas, where Mr. Hubert put the victim in his car to drive her to his home in South Carolina. After Mr. Hubert clamped a metal collar around her neck, threatened to brand her, and provided her with a list of “fetishes he likes,” the victim texted Mr. Juarez, pleading for help:
“I’m afraid if I don’t do something, he’s going to hurt me,” she said.
“Endure what you have to,” he responded. “He’ll punish you whip you . . . but not kill you.”
When they reached Mr. Hubert’s residence — where there was a room he described as a “dungeon”—Mr. Hubert required the victim to remove her clothes and “be naked all the time.” Terrified, the victim persuaded Mr. Hubert to let her call her parents.
The victim’s father begged Mr. Hubert to let his daughter go, but Mr. Hubert informed him that he had purchased the victim for $5,000 and demanded $5,000 back in exchange for her safe return. He even sent the victim’s father a “contract,” signed by both Mr. Juarez and Mr. Hubert, as proof of the “sale.” Eventually, Mr. Hubert relented, and the victim was able to escape by bus.
A criminal complaint is merely an allegation of wrongdoing, not evidence. Like all defendants, Mr. Juarez and Mr. Hubert are presumed innocent until proven guilty.
If convicted, both face up to life in federal prison.
Homeland Security Investigations and the North Texas Trafficking Task Force conducted the investigation with substantial support from the Crime Strategies Unit with the 2nd Judicial District Attorney's Office in Albuquerque, NM. Assistant U.S. Attorneys Andrew Briggs and Rebekah Ricketts of the Northern District of Texas are prosecuting the case, with significant assistance from Assistant U.S. Attorney Letitia Simms of the District of New Mexico.
Thirty-Five Defendants, Including Ring Leader, Prosecuted in Major Take Down of International Drug Trafficking Organization Based in Lane CountyRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that members of a major international drug trafficking organization, including one of its ringleaders and sources of supply from Mexico, have been charged with distributing methamphetamine, heroin, and fentanyl into Oregon between 2018 and 2020.
A federal grand jury in Eugene has returned a one-count indictment charging Victor Diaz-Ramirez, 30, who was residing in Mexico, with Conspiracy to Distribute Methamphetamine. This Indictment is part of a much larger investigation into the large-scale distribution of drugs into Oregon from Mexico by the drug trafficking organization led by Diaz-Ramirez (“the Diaz DTO”). According to court documents, the Diaz DTO has been operating at least since 2018. The Diaz DTO imported drugs into the United States from Mexico, transported them from California to Oregon hidden inside vehicles, then distributed them throughout Oregon from its distribution cell located in Lane County.
The government’s investigation has resulted in the prosecution of 35 individuals (listed below) who are members or associates of the Diaz DTO. The scheme involved shipment of drugs from Mexico into Southern California by Diaz-Ramirez and others, where they were subsequently transported in large wooden boxes by couriers to Oregon and delivered to co-conspirators operating a distribution cell. There, the drugs were divided and prepared for distribution in large pound quantities for delivery to local distributors in Eugene, Springfield, and Salem, for eventual redistribution to their local customer base. During its investigation, law enforcement seized from the Diaz DTO over 260 pounds of methamphetamine, 16 pounds of heroin, 6 pounds of fentanyl in the form of 4000 fentanyl pills, 76 firearms, 1 grenade, multiple vehicles, and more than $760,000 in cash used to facilitate drug transactions.
The following people have been arrested as members and associates of the Diaz DTO and prosecuted with drug related charges: Victor Diaz-Ramirez, 30; Rodolfo Arroyo-Segoviano, 34; Jose Manuel Cabadas, 36; Nicholas A. Norton-Guerra, 30; Arturo Gonzalez Jr., 22; Jose Cruz Granados Munoz, 33; Robert Harrington, 40; Gregory Todd Daily, 57; Austin Wayne Reinke, 34; Shelby Lynn Mathews, 30; Javin Michael Loomis, 42; William Joseph Hawkins, 42; Randy Allen Hendricks, 59; Vernon Eli Reece, 58; Alejandro Augustin Cardenas, 43; Spencer Arthur Crawford, 36; Anthony Robert Andreotti, 43; Isidro Mateo-Olivera, 32; Andres Santacruz, 40; Yasmani Diaz Iturbe, 35; Artemio Lorea Carrillo, 47; Alejandro Lara, 27; Karine Garabedian, 36; Tamara Gonzalez-Valdivia, 24; Andres Avila Gamboa, 29; Israel Salvador Mercado-Mendoza, 33; Rigoberto Morfin-Pedroza, 36; Delfino Angel Davila-Tamayo, 27; Cristina Maria Elizabeth Fregoso, 36; Jose Leonidas Gonzalez-Castillo, 52; Felipe Antonio Rapalo, 31; Eddy Eduardo Rapalo, 24; Gustavo Arango-Moreno, 29; and Victor Ramos-Vergara, 32.
“For years, the Diaz DTO brought poison from Mexico to the streets of Oregon in the form of methamphetamine, fentanyl and heroin” said United States Attorney Billy J Williams. “This takedown represents a major disruption of that pipeline of drugs into our community. This investigation shows that large scale drug distribution is not limited to Portland. This organization used Lane County as its base and from there sent drugs across the entire state. This prosecution is especially important as the entire organization was targeted; from the source of supply in Mexico, to the couriers bringing the drugs north, and to those involved in the statewide distribution network. The prosecution of those involved is a major step in law enforcement’s efforts to stop the river of drugs flowing from Mexico to Oregon. I want to thank our federal and state partners for their work in investigating, interdicting, and arresting those involved and especially effecting the arrest of the alleged ringleader, Victor Ramirez-Diaz.”
“The dismantlement of this international drug trafficking organization centered in Eugene, Oregon, demonstrates how effective law enforcement efforts are when we work together,” said DEA Assistant Special Agent in Charge Cam Strahm. “The organization targeted and brought to justice through this case will not prey on the citizens of Lane County and residents of Oregon for a long time.”
The Drug Enforcement Administration, Federal Bureau of Investigation, Internal Revenue Service, U.S. Marshals, Springfield Police Department, Eugene Police Department Street Crimes Unit, Lane County Sherriff’s Office, Oregon State Police, Line Task Force in Linn County, and DINT Task Force in Douglas County investigated this case. It is being prosecuted by Joseph Huynh and Judi Harper, Assistant U.S. Attorneys for the District of Oregon.
An indictment and complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
The investigation that led to this prosecution, as described above, fall under the auspices of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
Victor Diaz, organization leader, and organization, along with drugs, firearms, weapons, and currency seized.Taylor County Woman Sentenced to 42 Months for Methamphetamine ConspiracyRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Ashley Speicher, 33, Lublin, Wisconsin was sentenced yesterday by U.S. District Judge William M. Conley to 42 months in federal prison for conspiracy to distribute methamphetamine and heroin. This prison term will be followed by three years of supervised release.
On February 6 and 20, 2020, Speicher’s boyfriend, Travis Hanson, sold heroin to a confidential informant. On February 25, 2020, law enforcement officers conducted surveillance on Hanson and observed him driving with Speicher from their hotel in Menomonie, Wisconsin to meet his drug source, Jermaine Stapleton, in St. Paul, Minnesota. Hanson and Speicher returned to Menomonie with Stapleton following in a separate vehicle. They were all taken into custody upon arrival back in Menomonie. In Stapleton’s car, officers located 236 grams of methamphetamine, 11.5 grams of heroin, small amounts of crack cocaine and marijuana, as well as a digital scale and baggies. Officers located a drug ledger in Speicher’s purse.
In an interview with law enforcement, Hanson admitted to being involved in drug trafficking and selling large quantities of methamphetamine. He further admitted to travelling to St. Paul on February 25, 2020 to meet Stapleton to pick up methamphetamine and heroin. He was supposed to help Stapleton sell the methamphetamine and heroin in Wisconsin. Hanson said Speicher was with him for almost all of his drug dealings and she helped him find lower-level drug customers. In a separate interview, Speicher admitted to travelling with Hanson to pick up methamphetamine.
Hanson pleaded guilty to his role in this methamphetamine conspiracy and was sentenced to 10 years in federal prison by Judge Conley on September 25, 2020. Stapleton pleaded guilty on September 3 to possessing with intent to distribute 50 grams or more of methamphetamine and is scheduled for a sentencing hearing before Judge Conley on November 24, 2020. Stapleton faces a mandatory minimum term of imprisonment of five years and a maximum term of 40 years.
The charge against Speicher was the result of an investigation conducted by the West Central Drug Task Force; Chippewa County, Dunn County, and Eau Claire County Sheriffs’ Departments; Chippewa Falls, Eau Claire, and Menomonie Police Departments; Drug Enforcement Administration; and Dunn County District Attorney’s Office. The prosecution of the case has been handled by Assistant U.S. Attorney Steven P. Anderson.
T&A Crips member sentenced to 30 years in prisonRead the Press Release
COLUMBUS, Ohio – A Columbus man was sentenced in U.S. District Court today to 30 years in prison for participating in a local gang’s racketeering conspiracy.
Michael Watson, 27, is one of 19 defendants who were charged in October 2018 as members and associates of the Trevitt and Atcheson Crips gang (T&A) in a violent conspiracy involving murders, attempted murders, drug trafficking, firearms trafficking, witness tampering, robbery, assault and other crimes.
The gang derived its name from Trevitt and Atcheson streets in the King-Lincoln District of Columbus, where its members predominantly reside. T&A controlled the neighborhood through intimidation, fear and violence. Gang members were expected to retaliate with acts of violence when their members and associates were disrespected, threatened, intimidated or subjected to acts of violence.
Specifically, the co-conspirators in this case are charged with five murders:
the murder of Franky Tention on July 1, 2012, in the area of 431 Ellison Street;
the murder of William Moore on March 15, 2013;
the murder of Marvin Ector on December 23, 2013, on East 5th Avenue;
the murder of Quincy Story on January 24, 2015; and
the murder of Deaonte Fisher on March 4, 2016.
Watson pleaded guilty in March 2020 to shooting Marvin Ector, a member of the rival Milo Bloods gang. Ector’s murder was a retribution killing; he was targeted for assassination for previously disrespecting a T&A member who had been killed. Watson shot Ector in December 2013 while Ector was in his car at a Sunoco gas station on the near-east side of Columbus.
“These revenge murders – killing one another over ‘disrespect’ – have got to stop,” U.S. Attorney David M. DeVillers said. “The only results are being killed yourself or spending much of, if not all of, the rest of your life in federal prison.”
David M. DeVillers, United States Attorney for the Southern District of Ohio; Roland Herndon, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); Chris Hoffman, Special Agent in Charge, Federal Bureau of Investigation (FBI), Cincinnati Division; Columbus Police Chief Tom Quinlan; United States Marshal Pete Tobin and Franklin County Prosecutor Ron O’Brien announced the sentence imposed today by U.S. District Judge Michael H. Watson. Assistant United States Attorneys Kevin W. Kelley and Noah R. Litton are representing the United States in this case.
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Sheep Springs man pleads guilty to second degree murder in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Garrett Neal, 27, of Sheep Springs, New Mexico, and an enrolled member of the Navajo Nation, pleaded guilty today to an indictment charging him with second degree murder in Indian Country.
According to his plea agreement, on July 12, 2015, Neal and an accomplice engaged in a fight with a man in Sheep Springs on the Navajo Nation. During the fight, Neal punched and kicked the man while he was on the ground. Neal also hit the victim with rocks and brass knuckles to his head and throat, causing fatal injuries. Neal admitted that he was aware the victim was trying to breathe, had attempted to run away and did not fight back. The victim died at the scene as a result of the beating.
Neal remains in custody awaiting sentencing. By the terms of the plea agreement, he faces five to 15 years in federal prison, followed by a term of supervised release to be determined by the court.
The FBI and the Navajo Division of Public Safety investigated this case. Assistant United States Attorney Novaline D. Wilson is prosecuting the case.
Second Arrest in Newport in Three Days on Child Pornography ChargesRead the Press Release
PROVIDENCE – For the second time in three days, agents from Homeland Security Investigations, members of the Rhode Island State Police Internet Crimes Against Children Task Force (ICAC), and Newport Police executed a court-authorized search of a Newport residence and arrested a Newport resident on federal child pornography charges.
Agents and officers today arrested William H. Normandin, 43, on charges of distributing and possessing child pornography. On Tuesday, members of the same the law enforcement agencies arrested Craig A Mulvey, 39, on the same charges, in an unrelated case.
According to court documents, in January 2020, HSI agents in Providence received information from HSI agents in Ottawa that they had been notified that on August 11, 2019, an individual, with a user name later determined to allegedly belong to Normandin, had uploaded a video of child pornography into a chat room on a social media platform used by some to view and distribute child pornography. It was later determined by investigators in Rhode Island that the child pornography had allegedly been uploaded from an IP address at Normandin’s residence. Subsequently, the ICAC Task Force received additional information that child pornography was allegedly shared on the same social media platform on multiple occasions in February 2020 by a user determined to allegedly be Normandin while utilizing a different account.
Agents and officers executed a court-authorized search at Normandin’s residence today. A preliminary review of Normandin’s smartphone conducted by a Computer Forensic Analyst who is a member of the ICAC Task Force revealed screen shots/video stills of videos that are alleged to be child pornography.
Normandin appeared this afternoon before U.S. District Court Magistrate Judge Lincoln D. Almond on a criminal complaint charging him with distribution of child pornography and possessing and accessing child pornography, announced United States Attorney Aaron L. Weisman, Homeland Security Investigations Acting Special Agent in Charge David Magdycz, Superintendent of the Rhode Island State Police Colonel James M. Manni, and Newport Police Chief Gary T. Silva.
Normandin was released on unsecured bond and electronic monitoring.
A federal criminal complaint is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
The cases are being prosecuted by Assistant U.S. Attorney John P. McAdams.
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San Gabriel Valley Man Admits Role in Conspiracy to Kidnap Chinese National Whose Remains Were Buried in Mojave DesertRead the Press Release
LOS ANGELES – A Pasadena man pleaded guilty today to a federal charge of conspiring to kidnap a Chinese national who was violently abducted from a San Gabriel parking lot, and whose parents were extorted for $2 million in ransom before the victim died from his injuries.
Anthony Valladares, 28, pleaded guilty to a single-count information charging him with conspiracy to kidnap. He has been in federal custody since July 14, when he was arrested on a criminal complaint in this case.
According to his plea agreement, Valladares admitted to conspiring with others, including Chinese nationals Guangyao Yang, 27, and Peicheng Shen, 34, to kidnap Ruochen “Tony” Liao, of Santa Ana. Valladares was the “muscle” hired to intimidate, beat, and subdue Liao during the kidnapping. Valladares agreed to accept cash for the job, court papers state.
During the summer of 2018, Shen, using an alias, met the victim several times under the pretense that Shen would help the victim collect a debt from another individual, the plea agreement states. During their third meeting, at a San Gabriel shopping center on July 16, 2018, Shen lured the victim to a minivan, where Valladares was hiding, and whose driver was Alexis Ivan Romero Velez, 24, of Azusa, whom Valladares recruited for the conspiracy.
Liao entered the minivan and spoke in Chinese with Shen, who used a specific word to signal Valladares to begin attacking the victim. Once Shen uttered the word, Valladares and Shen violently assaulted Liao, used a taser to subdue him, and ultimately bound and restrained him with a black hood and ties. Valladares admitted to helping Yang acquire the taser used in the kidnapping, and also admitted to acquiring a revolver and bullets for the kidnapping. Romero then drove the minivan to a location in Rosemead, where Liao was moved into a different car, the plea agreement states.
Shen and Yang then took the victim to a house in Corona, where they confined him by binding his legs together, taping his eyes shut, restraining his arms behind him, and confining him in a closet, court papers state.
The day after the kidnapping, the victim’s father received a demand for a $2 million ransom in exchange for the victim’s life, with the money to be deposited into three Chinese bank accounts within three hours, court documents allege. The victim’s father also received photographs of the victim, who was physically restrained in a closet, according to court documents.
Valladares was not physically present for Liao’s death, which occurred when Shen and Yang held him captive, the plea agreement states.
Shen and Yang allegedly drove to the area of Mojave, California, to bury or otherwise dispose of the victim’s body and other physical evidence involved in the crime. Further, Shen allegedly had the closet of the Corona house re-carpeted. Yang also performed internet searches to determine, in effect, how fast a corpse decomposes in soil, court papers state. Liao’s remains were discovered in Mojave late last year.
United States District Judge Fernando M. Olguin has scheduled a February 18, 2021 sentencing hearing, at which time Valladares will face a statutory maximum sentence of life in federal prison. The parties have agreed that a prison sentence of at least 12 years but no more than 25 years represents a reasonable and appropriate sentence in this case. Judge Olguin will make the final determination as to the sentence.
Yang and Shen, whose last known U.S. residences were in West Covina, are currently in custody in China on charges filed there related to the kidnapping. Last month, Romero pleaded guilty to one count of conspiracy to kidnap. His sentencing hearing is scheduled for February 4, 2021.
The FBI conducted this investigation, with significant assistance provided by members of the FBI’s Safe Street Task Force, which includes the Pasadena Police Department.
This case is being prosecuted by Assistant United States Attorneys Julia Choe of the Cyber and Intellectual Property Crimes Section and Frances Lewis of the Public Corruption and Civil Rights Section.
Statement of US Attorney’s Office on Domestic Violence Awareness MonthRead the Press Release
Physical violence, sexual violence, stalking, and other forms of emotional abuse by a current or former intimate partner or spouse is a serious problem that affects millions of Americans.
It is estimated that on average nearly 20 people are abused by an intimate partner in the United States every minute. This translates into more than 10 million instances of domestic violence each year. According to the Centers for Disease Control, domestic violence is connected with more than half of female homicide victims.
Unfortunately, the pandemic has made matters even worse. Americans are being asked to stay at home and avoid large gatherings, and in some places, in-person school instruction has been suspended in favor of remote learning from home.
While these measures are well meaning, and may help slow the spread of COVID-19 in the short term, they also place many vulnerable adults and children at risk. These victims are left socially isolated and trapped in the home with their abusers, often without access to resources or networks of family, friends, and school personnel they can turn to for help and support.
Meanwhile, abusers whose violence is often triggered by or associated with substance abuse may be experiencing increased financial pressures and stress related to the pandemic-induced economic slowdown or job loss. These emotions often lead to further abuse of alcohol or drugs that may aggravate cycles of substance-induced violence.
In these trying circumstances, it is essential that victims understand where and how to get help. Calls to law enforcement are always an option to address immediate threats, but there are other community resources available to help meet practical needs of those who suffer, including housing and financial assistance.
Domestic violence advocacy programs are located in all 23 counties in Wyoming. These programs are committed to serving victims by providing valuable resources such as crisis intervention and support services to adult victims of domestic violence and their children free of charge and at any time day or night.
Services may include emergency shelter, 24-hour crisis and information hotline, safety planning, counseling, case management, child assessments, information and referrals, education for community awareness, and training for law enforcement and other professionals. Many programs also provide legal and court advocacy, transportation, relocation assistance, economic empowerment classes, transitional housing, daycare, outreach services, and rape crisis intervention.
All of us in law enforcement are committed to maintaining public safety, preventing future violence, and upholding the rule of law, but our efforts may come too late for some victims. We understand and support the important role community social services and other resources play in addressing and helping prevent domestic violence.
As we approach the end of October, designated as National Domestic Violence Awareness Month, please take a moment to familiarize yourself with resources in your community that are available to you or others you may know who need practical assistance to escape abusive situations. You can find your local domestic violence/sexual assault advocacy program by calling the Wyoming Coalition Against Domestic Violence and Sexual Assault toll-free at 1-844-264-8080 or visiting their website at www.wyomingdvsa.org. Help is also available by calling the National Domestic Violence Hotline at 1-800-799-7233.
We can make a difference together to help stop the abuse.
Rochester, New York Man Sentenced to over Ten Years in Prison on Federal Drug and Gun ChargesRead the Press Release
BANGOR, Maine: A Rochester, New York man was sentenced in federal court in Bangor for conspiring to distribute heroin and cocaine base (commonly known as “crack”), distributing heroin and crack, and conspiring to violate federal firearms laws, U.S. Attorney Halsey B. Frank announced.
U.S. District Judge John A. Woodcock, Jr. sentenced Deondray Warren, a/k/a “Mane,” a/k/a “Main,” a/k/a “Maine,” a/k/a “Manny,” 35, to 10 years and 11 months in prison and three years of supervised release for the drug trafficking offenses. Warren also received a concurrent sentence of five years in prison and three years of supervised release on the firearm conspiracy charge.
According to court records, between November 2016 and September 2017, Warren conspired with others from Rochester and Maine to distribute heroin and crack. Warren worked with others to sell drugs in central Maine that had been transported from Rochester. In addition, some of the people to whom Warren and other conspirators sold drugs also conspired with him to illegally obtain 12 firearms from Augusta-area firearms dealers. Warren and others recruited straw purchasers, gave them instructions on which firearms to purchase, and then paid them in cash or drugs to make the purchases using money that he provided. The firearms were then transported to Rochester. Warren used one of the firearms during a domestic violence incident involving his wife in Rochester when he fired several rounds at her.
The Bureau of Alcohol, Tobacco, Firearms, and Explosives; the U.S. Drug Enforcement Administration and the Maine Drug Enforcement Agency investigated the case. The case was prosecuted as part of the Department of Justice’s program to combat the opioid epidemic.
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Roanoke Woman Pleads Guilty to Failing to Disclose Ownership of Show Ponies as Part of Bankruptcy ProceedingsRead the Press Release
ROANOKE, Va. – A Roanoke woman, who failed to disclose her family’s ownership stakes in a series of show ponies as part a bankruptcy proceeding, pleaded guilty earlier this week in U.S. District Court. Acting United States Attorney Daniel P. Bubar made the announcement today.
Laura Wright, 52, pleaded guilty Tuesday to concealing property in relation to a bankruptcy proceeding. At sentencing, Wright faces a possible sentence of up to five years in prison and/or a fine of up to $250,000.
According to court documents, on September 2, 2014, Laura Wright, and her husband Stacey Wright, filed a voluntary bankruptcy petition in the United States Bankruptcy Court for the Western District of Virginia in the Roanoke Division. At the time of the filing, Laura Wright was an attorney with prior bankruptcy experience and a member of the Virginia State Bar.
Prior to filing bankruptcy, and continuing throughout the bankruptcy proceedings, the Wrights incurred substantial expenses associated with the sport of pony jumping, an activity their then-minor child was participating in, and they bought, sold, and maintained ownership interests in several show ponies.
For example, approximately six weeks before filing bankruptcy, and after retaining bankruptcy counsel and completing a credit counseling course in anticipation of their bankruptcy filing, Laura Wright sold two show ponies for approximately $15,000. In August 2014, Laura Wright and others traveled to Maryland where Laura Wright purchased a show pony for $18,000. Laura Wright later bought and sold additional show ponies while the bankruptcy proceeding was pending. Although required to do so, the Wrights failed to disclose to the bankruptcy court any ownership interest in or costs associated with show ponies.
In the course of the bankruptcy proceeding, Laura Wright falsely testified under oath concerning her ownership interest in various show ponies, as well as the source of funds used to purchase the $18,000 show pony in August 2014, just prior to the Wrights’ bankruptcy filing. She further provided a notarized affidavit to the bankruptcy trustee, knowing the affidavit to be materially false.
The matter was referred to the United States Attorney by the United States Trustee. The investigation of the case was conducted by the Federal Bureau of Investigation with substantial assistance from the Roanoke Office of the United States Trustee Program. Assistant United States Attorney Kristin B. Johnson and Anthony P. Giorno are prosecuting the case for the United States.
Remarks of U.S. Attorney McSwain Regarding Violent Civil Unrest in Philadelphia and the Announcement of Criminal ChargesRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain convened a press conference today to announce federal charges against four individuals for allegedly committing arson of police vehicles during riots that occurred in Philadelphia on May 30, 2020. U.S. Attorney McSwain also addressed concerns about current civil unrest in the City.
Remarks as Prepared for DeliveryGood afternoon and thank you for joining us. I am here today to announce criminal charges against several defendants for torching police cars during the violent civil unrest that occurred in Philadelphia in late May and early June. My law enforcement colleagues and I are also here to address the current situation in the City. Before I get into more details, I want to acknowledge and thank all the law enforcement partners standing with me here today:
- Michael J. Driscoll, Special Agent in Charge from the Philadelphia Field Office of Federal Bureau of Investigation;
- Matthew Varisco, Special Agent in Charge of Philadelphia Field Division of the Division of Alcohol, Tobacco, Firearms, and Explosives;
- Brian Michael, Special Agent in Charge from the United States Department of Homeland Security, Homeland Security Investigations;
- Major Richard Ambrosio, of the Pennsylvania State Police; and
- Jared Maples, Director of the New Jersey Office of Homeland Security and Preparedness
Your presence here today is a testament to our collective resolve to protect and promote two fundamental principles of our American democracy – freedom of expression and the rule of law.
This nation is grounded in freedom of speech. At its core is every American’s right to join with fellow citizens in protest or peaceful assembly. Just as importantly, this nation is also grounded in the rule of law. It is imperative that we preserve both – and we will. The City’s residents deserve to have their voices heard, and they deserve safe and secure neighborhoods, not mayhem.
Mayhem – in the form of rioting, looting, robbery, arson, destruction of property, attacks on police officers and other forms of violence – does not bring justice. It accomplishes nothing. If you are a protestor trying to communicate a message, engaging in mayhem obscures that message. It also turns public opinion squarely against you. And most significantly, it can land you in federal prison for a long time. Criminal behavior has been and will be met with swift and decisive action by my Office. That form of justice will be served.
Which brings me to today’s charges, stemming from the rioting and destruction that ensued in Philadelphia during the violent civil unrest following George Floyd’s death. What began as peaceful protests in Philadelphia in the early afternoon of May 30 escalated into something very different. Much of the rioting was captured on video that aired across the country. Among other things, rioters smashed store fronts, looted stores, hurled objects at the police, and torched police cars.
Among those torched police cars was a Philadelphia Police Department vehicle (Car C-109) and two Pennsylvania State Police (PSP) SUVs (numbers K1-7 and K1-17). The defendants’ alleged involvement in the burning of these vehicles is the subject of today’s charges.
In the first case, my Office has filed a three-count Indictment against Ayoub Tabri, alleging several crimes, all stemming from his alleged destruction of one of the PSP SUVs (number K1-17) that was parked near the intersection of Broad and Vine Streets near the entrance to Interstate 676 on May 30. The Indictment charges Tabri with arson, attempted arson, aiding and abetting and obstruction of law enforcement during civil disorder. If convicted, he faces a mandatory minimum term of seven years in prison and a maximum term of up to 65 years in prison, followed by three years of supervised release, a $750,000 fine, and a $300 special assessment.
On May 30, PSP troopers responded to the intersection of Broad and Vine Streets, near the overpass of I-676, based on a report of a large gathering of protesters. PSP troopers responded to this area in two SUVs to prevent protestors from gaining access to I-676 and from endangering themselves or others by demonstrating on the highway and impeding motorists’ travel.
At 3:42 p.m., a group of individuals began attacking the two PSP SUVs, which were locked and contained PSP-issued rifles and other police equipment. Individuals began striking the SUVs with various objects, including skateboards, a bike lock, and other projectiles, in addition to kicking and striking the SUVs with closed fists. Eventually, the individuals shattered the windows of both SUVs and stole PSP equipment stored inside, including road flares, fire extinguishers, and “riot bags” containing additional PSP-issued equipment. After these items were stolen, an individual sprayed the rear area of K1-17, inside and out, with an unknown liquid.
PSP troopers assigned to the area reported that individuals then threw lit road flares into K1-17, igniting the fire which engulfed that SUV. Videos taken at the scene allegedly captured Tabri throwing a lit road flare into K1-17. Fire engulfed K1-17 and ultimately destroyed it.
The harm allegedly caused by Tabri extended beyond destruction of government property. One PSP trooper, who was standing near K1-17, was hit by a lit road flare and part of his uniform caught fire. Additionally, this trooper’s left hand suffered burn injuries when he reached into K1-17 to retrieve a rifle in order to prevent it from being stolen. He was treated for his injuries on the scene by EMS.
In the second case announced today, my Office has charged three individuals, Carlos Matchett, Khalif Miller and Anthony Smith, in a three-count Indictment with arson, attempted arson, aiding and abetting, and obstruction of law enforcement during a civil disorder. These charges are based upon their alleged destruction of a Philadelphia Police Department Civil Affairs vehicle (Number C-109), which was parked near Philadelphia City Hall on May 30, 2020. Specifically, Counts One and Two allege that these defendants “maliciously damaged and destroyed, attempted to damage and destroy, and aided and abetted the damaging and destruction [of the PPD car] by means of fire,” and Count Three alleges that the defendants “knowingly committed acts, and aided and abetted such acts, to obstruct, impede, and interfere with law enforcement officers lawfully engaged in the lawful performance of their official duties incident to, and during the commission of, a civil disorder.” The Indictment further alleges that these defendants’ actions created a substantial risk of injury to one or more persons, including public safety officers.
All three defendants are in federal custody. My Office will be moving for detention of each of these defendants so that they remain in federal custody until their trial.
If convicted, the defendants each face a mandatory minimum of seven years in prison and a maximum possible sentence of 65 years in prison, followed by three years of supervised release, a fine of up to $750,000, and a special assessment of $300.
A final word about Mr. Smith: as has already been reported, he is a prominent activist and one of the lead organizers of the Philadelphia Coalition for Racial Economic and Legal Justice (or Philly for REAL Justice). To state the obvious, that it not why he is now in federal prison. Mr. Smith was not “targeted” in any way by my Office. I knew nothing about Mr. Smith or his affiliations until the investigation was nearly complete and the proposed charges had been written up by dedicated and capable career federal prosecutors. We do not investigate people at the U.S. Attorney’s Office; we investigate alleged criminal behavior. A defendant’s race, ethnicity, gender, political affiliation or group membership makes no difference to me or anybody else in my Office. In our investigations and prosecutions, all we care about is whether you committed a federal crime. And if you did, you will face the consequences.
Today’s Indictments are the culmination of an incredible amount of work by the members of both case teams who began working these cases literally as these events unfolded in real time. On the Tabri Indictment, I want to acknowledge and thank the FBI; the ATF; and the Pennsylvania State Police. On the Matchett, Miller, and Smith Indictment, I want to acknowledge and thank the following law enforcement partners: the FBI; Homeland Security Investigations; the ATF; the Philadelphia Police Department; and the Philadelphia Fire Marshall’s Office – all of whom had an important hand in the investigation. I also want to acknowledge the assistance of the New Jersey Office of Homeland Security and Preparedness. And from my Office, I want to commend and thank Assistant United States Attorney Tom Perricone, Chief of the National Security Unit, who is supervising both prosecutions.
I also want to thank the leadership of the law enforcement agencies standing with me for their continued partnership with my Office. The most effective strategy for preventing and reducing crime is aggressive prosecution and strong law enforcement partnerships at every level. Our presence today demonstrates that we are united in our purpose – to keep Philadelphia safe – and united in our approach to accomplishing this goal.
Today’s federal charges are the latest in a series of cases my Office has brought stemming from the rioting and destruction that occurred during the civil unrest at the beginning of last summer. On May 30, I pledged to hold people accountable for criminal behavior during civil unrest, and we have. That is one of the main reasons why the City did not experience violent civil unrest after early June – because would-be rioters knew that the U.S. Attorney’s Office was on duty, together with our federal partners and the Philadelphia Police Department.
Unfortunately, during the past week, the City has gone backwards, with rioting and looting that began in West Philadelphia and spread to other parts of the City, in reaction to the death of Walter Wallace. Add to this the impending election on Tuesday and you have a combustible cocktail. I want to be clear that we at the U.S. Attorney’s Office support peaceful protest – indeed, it is part of our job to protect First Amendment freedoms. We take that responsibility very seriously. But violence is not speech. There is no right to riot, loot, rob, commit arson or destroy. If you engage in violent civil unrest and commit a federal crime in this District, we will come after you as hard as we can. You will go to jail. It is not worth it.
At this moment in our City’s history, we can go down one of two paths. We can go down a path of healing and respect for democracy, where we work together to improve relations between law enforcement and the community, and where we have a free, fair and peaceful election next week. Or we can go down a path of destruction – a path that further divides us. I know what path I want to go down.
At this time, I would like to introduce FBI Special Agent in Charge, Mike Driscoll. He will share his remarks, and then we will all be available for your questions. Thank you.
Political strategist & lobbyist each plead guilty in federal public corruption racketeering conspiracy involving more than $60 millionRead the Press Release
CINCINNATI – A longtime campaign and political strategist for Ohio House Representative Larry Householder and a lobbyist hired by an energy company to funnel money to Householder’s enterprise each pleaded guilty in federal court today.
Jeffrey Longstreth, 44, and Juan Cespedes, 41, of Columbus, each pleaded guilty to participating in a racketeering conspiracy involving more than $60 million paid to a 501(c)(4) entity to pass and uphold a billion-dollar nuclear plant bailout.
They are two of five individuals charged by criminal complaint and indicted by a federal grand jury in July 2020.
Charging documents allege Larry Householder, 61, of Glenford, Ohio, Matthew Borges, 48, of Bexley, Ohio, Neil Clark, 67, of Columbus, Longstreth and Cespesdes conspired to violate the racketeering statute through honest services wire fraud, receipt of millions of dollars in bribes and money laundering. The 501(c)(4) entity Generation Now was also charged.
According to court documents, from March 2017 to March 2020, the enterprise received millions of dollars in exchange for Householder’s and the enterprise’s help in passing House Bill 6, a billion-dollar bailout that saved two failing, Ohio nuclear power plants from closing.
The defendants then also allegedly worked to corruptly ensure that HB 6 went into effect by defeating a ballot initiative to overturn the legislation. The Enterprise received nearly $61 million into Generation Now from an energy company and its affiliates during the relevant period.
In his plea, Longstreth admits to organizing Generation Now for Householder, knowing the entity would be used to receive bribe money to further Householder’s bid for Speaker of the House. Longstreth managed Generation Now bank accounts and engaged in financial transactions designed to conceal that the energy company was a source of funding to Generation Now.
Cespesdes also pleaded guilty to his role in the racketeering enterprise and admitted that he orchestrated payments to Generation Now. Cespedes knew the payments were meant to help Householder achieve political goals, and in return, help pass and preserve the nuclear bailout legislation.
The racketeering conspiracy as charged in this case is punishable by up to 20 years in prison.
“If you have information related to the public corruption alleged in this case, please contact the FBI at 513-421-4310,” said U.S. Attorney David M. DeVillers. “This investigation remains ongoing, and as such, there will be no additional comment beyond the publicly-filed documents we outlined in this news release.”
DeVillers and Chris Hoffman, Special Agent in Charge of the Cincinnati Division of the FBI, announced the pleas entered into today before U.S. District Judge Timothy S. Black. Deputy Criminal Chief Emily N. Glatfelter and Assistant United States Attorney Matthew C. Singer, as well as Assistant Deputy Criminal Chief Timothy Mangan and Assistant United States Attorney Megan Gaffney Painter, are representing the United States in this case.
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Philadelphia Man Convicted on Drug Trafficking ChargesRead the Press Release
WILLIAMSPORT - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Raymond Howard, age 45, of Philadelphia, Pennsylvania, was convicted on October 26, 2020, after a five-day jury trial before U.S. District Court Judge Matthew W. Brann, on drug trafficking charges.
According to United States Attorney David J. Freed, the jury deliberated approximately one hour and found that from October 2016 to July 2017, in Lycoming County, Howard engaged in a conspiracy to distribute 100 grams or more of heroin and a mixture of heroin and carfentanil.
During a three-day period in June 2017, there was a rash of drug overdoses in Williamsport. At the time, UPMC Susquehanna in Williamsport and Wellsboro reported treating 51 such cases within a 48-hour period.
The trial team offered evidence that Howard and his coconspirators Wayne Davidson, Markeese Askew, and Nathan Crowder used cell phones to arrange for the distribution of heroin and, specifically, a mixture of heroin and carfentanil that resulted in number of overdoses from June 28 through July 7, 2020. According to the Drug Enforcement Administration, carfentanil is 100 times more potent than fentanyl. Howard’s three coconspirators Davidson, Askew, and Crowder all pleaded guilty earlier in October and face minimum sentences of 11 years’ imprisonment. In total, Howard and the three coconspirators were charged with delivering a mixture of heroin and carfentanil that resulted in serious bodily injury to eight individuals.
The case was investigated by the Lycoming County District Attorney’s Office Narcotics Enforcement Unit, Montoursville Police Department, Old Lycoming Township Police Department, South Williamsport Police Department, Williamsport Bureau of Police, Pennsylvania State Police and the Federal Bureau of Investigation. Assistant United States Attorney Alisan V. Martin and Geoffrey W. MacArthur prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime. This case was brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin.
This case was also brought as part of a district wide initiative to combat the nationwide epidemic regarding the use and distribution of heroin. Led by the United States Attorney’s Office, the Heroin Initiative targets heroin traffickers operating in the Middle District of Pennsylvania and is part of a coordinated effort among federal, state, and local law enforcement agencies to locate, apprehend, and prosecute individuals who commit heroin related offenses.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
Howard faces 30 years to life imprisonment, a term of supervised release and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Passaic County Man Admits Assault with a Dangerous Weapon at Delaware Water GapRead the Press Release
TRENTON, N.J. – A Passaic County, New Jersey, man today admitted to assaulting with a dangerous weapon two people who were swimming in the Delaware River, U.S. Attorney Craig Carpenito announced.
Jeffrey A. Mulcahy, 58, of Wayne pleaded guilty by videoconference before U.S. District Judge Michael A. Shipp to an information charging him with one count of assault with a dangerous weapon with intent to do bodily harm.
According to documents filed in this case and statements made in court:
On Sept. 2, 2019, two individuals (Victim 1 and Victim 2) were swimming in the Delaware River in the Kittatinny Point area of the Delaware Water Gap in Warren County, New Jersey. Mulcahy approached them and began speaking to them about fishing. After a few minutes, Mulcahy departed the area, returning approximately 15 minutes later, holding a can of beer. He continued to talk to Victim 1 and Victim 2 about fishing, however, Mulcahy appeared agitated. Victim 1 and Victim 2 had gotten out of the river and were standing near the riverbed. Mulcahy removed what appeared to be a handgun from his waistband and pointed it at Victim 2’s head. While pointing the gun at Victim 2, Mulcahy ordered Victims 1 and 2 to the ground. Mulcahy then pointed the gun at Victim 1 and stated that he was going to kill Victim 1 if Victim 1 did not listen to him. Mulcahy struck Victim 1 in the head and neck area with the handgun. Mulcahy then began pulling rope out of his pocket and attempted to get Victim 1’s hands behind Victim 1’s back. Victim 1 resisted and was able to take Mulcahy to the ground, where the two began a physical struggle. Mulcahy’s handgun fell to the ground and Victim 2 recovered it and left to contact law enforcement. After the brief physical altercation, Victim 1 ran off to a nearby picnic area to locate Victim 2. Mulcahy departed the area and was later apprehended by law enforcement officers in Hackettstown, New Jersey. Subsequent investigation of the handgun that Victim 2 recovered from Mulcahy revealed that it was a pellet gun.
The charge of assault with a dangerous weapon with intent to do bodily harm carries a maximum punishment of 10 years in prison and a fine of up to $250,000. Sentencing is scheduled for March 4, 2021.
U.S. Attorney Carpenito credited park rangers of the U.S. National Park Service, under the direction of Chief Ranger Eric Lisnik, the Hackettstown Police Department, under the direction of Chief James A. Macaulay, and the N.J. State Police, under the direction of Col. Patrick J. Callahan, with the investigation leading to today’s guilty plea.
The government is represented by Assistant U.S. Attorney Nicholas P. Grippo, Deputy Chief of the Criminal Division in Newark.
Owner of Temporary Staffing Companies Pleads Guilty in Maryland to Federal Tax Charges for Failing to Pay Employment TaxesRead the Press Release
Baltimore, Maryland – Jimmy Danh, age 60, formerly of Rosedale, Maryland, pleaded guilty today to the federal charges of conspiracy to defraud the United States and to failure to pay over employment taxes.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Thomas Fattorusso of the Internal Revenue Service - Criminal Investigation, Philadelphia Field Office.
According to his guilty plea, from 2007 to 2017, Danh and co-conspirator Darasomalee Thach operated a series of companies that supplied temporary staffing to businesses in Pennsylvania and Maryland. Although Danh and Thach were responsible for payment of employment taxes to the IRS, they purposely failed to withhold and pay over employment taxes in order to maximize their personal profit.
As detailed in the plea agreement, beginning in 2007, Danh and Thach incorporated a company, Team Work, Inc., to operate a labor-leasing business to secure day-labor contracts, and agreed to evade employment taxes in order to maximize profits. From October 1, 2011, to September 30, 2015, Team Work, Inc. paid wages totaling approximately $1,611,894.04 to its workers. Danh and Thach did not maintain business records relating to the operation of Team Work, including employees, payroll, and tax withholdings. Clients paid Team Work lump sum payments for all of the hours that employees worked, with the agreement that Team Work was responsible for paying its employees and for all employment-related withholdings.
Danh admitted that for tax years 2011 to 2015, he and Thach failed to consistently file an Employer’s Quarterly Federal Income Tax Return, and failed to report to IRS all wages paid to Team Work employees, resulting in underreporting the employee share of the Social Security and Medicare taxes in the amount of $113,144.19, and the withholding taxes in the amount of approximately $252,827.81.
From about October 31, 2015 to October 31, 2017, Danh conducted his business via a Maryland corporation, JD Team Work, Inc., and undertook the same scheme. During this time, Danh willfully failed to file Employer’s Quarterly Federal Income Tax Returns, and to withhold Social Security, Medicare, and employment taxes. During this time, the total amount of taxes Danh failed to pay was $183,758.23.
Danh admitted that the total amount of taxes he failed to pay from 2007 to the present was $549,730.23. As stated in his plea agreement, as a special condition of his supervised release, Danh will be required to execute a Closing Agreement with the IRS in order to resolve tax liabilities for tax years 2007 through 2017.
“Jimmy Danh’s insatiable greed for money placed his workers at risk of losing future Social Security and Medicare benefits,” said IRS Criminal Investigation Special Agent in Charge Thomas Fattorusso. “His criminal conduct also resulted in a loss of revenue to the United States Government. His guilty plea today should serve as a stark warning that IRS Criminal Investigation will vigorously pursue anyone who seeks to profit at the expense of their workers and honest taxpayers.”
Darasomalee Thach previously pleaded guilty to related charges in U.S. District Court for the Middle District of Pennsylvania in Harrisburg and is awaiting sentencing.
Danh faces a maximum sentence of five years in prison for each of the two counts. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge George L. Russell, III has scheduled sentencing for February 23, 2021, at 1:00 p.m.
United States Attorney Robert K. Hur commended the IRS-Criminal Investigation for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Aaron S.J. Zelinsky, who is prosecuting the case.
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Northridge Man Arrested on Charges that Business Partner and He Fraudulently Obtained Nearly $2 Million in COVID-Relief PPP LoansRead the Press Release
SANTA ANA, California – A San Fernando Valley man was arrested today on federal charges alleging he and his business partner fraudulently obtained more than $1.95 million in Paycheck Protection Program (PPP) loans for their companies by submitting fake tax documents and false employee information, and then transferred hundreds of thousands of dollars of the funds into their personal bank accounts.
Steven R. Goldstein, 36, of Northridge and his business partner, Raymond Magana, 39, of Santa Clarita, were named in a federal criminal complaint charging them with making false statements to the government, fraud in connection with major disaster or emergency benefits, wire fraud, bank fraud, conspiracy, and false statements to the Small Business Administration (SBA).
Goldstein was arrested this morning and is expected to make his initial appearance this afternoon in United States District Court in Santa Ana. Magana will be summonsed to appear in federal court next month.
According to an affidavit in support of the complaint, on May 13 and June 3, Magana submitted two applications for PPP loans totaling $1.8 million to U.S. Bank and Customer’s Bank, on behalf of The Building Circle LLC, a company registered in his name.
To qualify for the PPP loans, Magana allegedly claimed that The Building Circle had 40 employees and submitted to the banks, and later to the SBA, bogus wage and tax documents that falsely reported $4.5 million in annual employee wages.
Both IRS and California Employment Development Department records showed that the company never reported paying any employees, and the underwriting packet also did not include a list of employees or associates for the company, according to the affidavit. Investigators later determined that the Pico Rivera address given as The Building Circle’s headquarters was a 980-square-foot, single-family home that appeared to be a residence, not a business. Ultimately, one of the two loan applications was approved and $940,416 was funded to Magana’s shell company, the affidavit states.
Magana allegedly also applied for and received a PPP loan of $360,415 for Forward Builders LLC, another shell company, using fake tax documents and false employee information, and falsely claiming $1.73 million in employee wages.
When a bank manager contacted Magana after one of the business accounts receiving PPP funds had been frozen because of suspicious activity, he allegedly told the bank “We have all the documents, we got approved,” and he refused to return the improperly obtained PPP funds, the affidavit states.
The affidavit further alleges that Goldstein applied for four different PPP loans to Bank of America totaling more than $1.2 million on behalf of two other companies, Beagle Real Estate and Antelope Valley Real Estate Development LLC, while also using fake tax documents and false employee information.
Two of those PPP loans ultimately were approved and Goldstein’s companies received a total of $655,000 in PPP loan funds, the affidavit details. California state business records list Magana as CEO of Antelope Valley Real Estate Development, while Goldstein is listed as its manager.
According to the affidavit, on the same day that the banks issued those PPP loan funds to Goldstein’s companies, Goldstein transferred more than half of that amount, $355,000, into his personal bank accounts.
In total, Magana and Goldstein applied for more than five separate PPP business loans totaling more than $2.5 million from various banks, of which more than $1.95 million was issued, according to the affidavit.
A complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of these charges, Magana and Goldstein each would face a statutory maximum sentence of 127 years in federal prison.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act was designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April, Congress authorized more than $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of 1 percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.
This matter was investigated by IRS Criminal Investigation and the Small Business Administration – Office of Inspector General. The FBI assisted with today’s arrests.
Assistant United States Attorney Charles E. Pell of the Santa Ana Branch Office is prosecuting this case.
Nicholasville Compounding Pharmacy and Its Owner Plead Guilty to Unlawful Distribution of Prescription DrugsRead the Press Release
FRANKFORT, Ky. –A compounding pharmacy based in Nicholasville, and its owner, admitted on Thursday in federal court to unlawful distribution of compounded prescription drugs.
Tailor Made Compounding LLC (TMC) pleaded guilty to one count of distributing unapproved new drugs throughout the United States, from October 25, 2018 through April 1, 2020, before U.S. District Judge Gregory F. Van Tatenhove. Specifically, TMC pleaded guilty to unlawful distribution of selective androgen receptor modulators (“SARMS”) and other substances that the FDA had not approved for distribution in the United States. SARMS are synthetic chemicals designed to mimic the effects of testosterone and other anabolic steroids. Products containing SARMS were often marketed and sold for body-building purposes. According to the plea agreement, TMC also unlawfully distributed other unapproved new drugs, including BPC 157, Cerebrolysin, CJC 1295, DSIP, Epitalon, GW 501516, Ipamorelin, LGD-4033, LL-37, Melanotan II, MK 677, PEG-MGF, Selank, and Semax. In connection with the plea, TMC agreed to forfeit $1,788,906.82, representing its 2019 sales for these products.
Jeremy Delk, 40, pleaded guilty to one count of unlawfully engaging in wholesale distribution of a prescription drug, without licensing TMC as a wholesale distributor with the Board of Pharmacy for the Commonwealth of Kentucky. According to the plea agreement, from October 23, 2018 through May 14, 2020, TMC sent 112 vials of Methylcobalamin 10mg/ml 10mL, a prescription form of vitamin B12, to Doctor 1, a licensed physician who operated an anti-aging/wellness clinic in the Greater Los Angeles area. Rather than sending individualized, patient-specific prescriptions to TMC, as is required by law, Doctor 1 made bulk orders of Methylcobalamin 10mg/ml 10mL without issuing prescriptions or providing accurate patient names. Delk, as owner and chief executive officer of TMC, knowingly caused TMC to fill and ship bulk, wholesale distributions of Methylcobalamin to Doctor 1, knowing that TMC had never applied for permission from the Kentucky Board of Pharmacy for TMC to act as a wholesale distributor of prescription drugs. When authorities from the FDA and the Kentucky Board of Pharmacy inspected TMC between August 20 and October 24, 2018, Delk took steps to hide records of TMC’s wholesale distributions of Methylcobalamin, as well as other records.
Tailor Made and Delk were charged by way of information, waiving their right to indictment by a federal grand jury.
“The safety and efficacy of prescription medications is of paramount importance to us all,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “When pharmacies intentionally evade the FDA requirements, they are placing their own interests above those of the patients they are supposed to be serving. The community deserves better, and I commend the work of our law enforcement partners in their diligent efforts to protect the public and disrupt this criminal conduct.”
“Compounded drugs can serve an important role for patients whose medical needs cannot be met by an FDA-approved drug product. But pharmacies will be held responsible for failing to follow the laws intended to protect patients, including requirements for licensure and limitations on what drugs can be appropriately compounded,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to investigate and bring to justice those who put profits above a patient’s health.”
United States Attorney Duncan; Mark S. McCormack, Special Agent in Charge, FDA Office of Criminal Investigations, Metro Washington Field Office; and James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation jointly announced the guilty plea.
The investigation was conducted by the FDA and the FBI. The United States was represented by Assistant U.S. Attorney Kate K. Smith.
Delk and Tailor Made Compounding are scheduled to be sentenced on February 24, 2021. Delk faces up to 10 years in prison and a maximum fine of $250,000. However, any sentence will be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the applicable federal statutes.
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Muskogee Man Pleads Guilty to Mail FraudRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Kenneth Gene Morgan a/k/a Kenny Morgan, age 44, of Muskogee, Oklahoma entered a guilty plea to Mail Fraud, in violation of Title 18, United States Code, Section 1341, punishable by not more than 20 years imprisonment, a fine up to $250,000.00, or both; and Tax Fraud, in violation of Title 26, United States Code, Section 7206(1), punishable by not more than 3 years imprisonment, a fine up to $100,000.00, or both.
The Information alleged that on or about February 15, 2017, for the purpose of executing or attempting to execute the above-described scheme and artifice to defraud and deprive, Morgan knowingly took and received from an authorized depository for mail an envelope, containing a check in the amount of $303,619.55, addressed to Direct Traffic Control, Inc. and Kenny Morgan.
The Information further alleged that on or about April 15, 2018, in the Eastern District of Oklahoma and elsewhere, the defendant, willfully made and subscribed a false 2017 Form 1040, U.S. Individual Income Tax Return, which contained and was verified by a written declaration that it was made under the penalties of perjury, and which he did not believe to be true and correct as to every material matter, in that he knowingly reported Adjusted Gross Income of $176,564.00, whereas, he then and there knew that the Adjusted Gross Income failed to report approximately $208,563.35 of income.
The charges arose from an investigation by the Federal Bureau of Investigation.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Doug Horn represented the United States.
Mt. Sterling Crop Insurance Agent and Adjuster Plead Guilty to Crop Insurance FraudRead the Press Release
LEXINGTON, Ky. - A Mt. Sterling, Kentucky husband and wife, Michael McNew, 49, and Karen Ann Nickell, 64, pleaded guilty on Thursday, before U.S. District Judge Karen Caldwell, to conspiracy to commit wire fraud and crop insurance fraud, respectively.
According to his plea agreement, McNew admitted that, in late 2013, he devised a scheme to defraud the federal government, on federal crop insurance policies, and ARMtech Insurance Services, on private crop-hail insurance policies. As to the federal policies, this scheme involved making material misrepresentations on crop insurance applications and claim of loss forms on a large scale, including knowingly misrepresenting ownership stakes, farm acreage, farming activity on the farms covered, and the consent of the parties in whose name the policies are taken out. McNew also admitted to submitting false claims of loss on the private crop-hail policies, knowing that the claims falsified acreage, percentage of damage, and photographs of the damage. McNew admitted to receiving a kickback from the farmers in the form of cash in exchange for these favorable adjustments. As a result of his conduct, fraudulent insurance policies were issued and paid, resulting in approximately $23,618,351 worth of insurance indemnity payouts distributed to producers under false pretenses.
In her plea agreement, Nickell admitted that while acting as an independent insurance adjuster for ARMtech Insurance Services, she aided and abetted others in knowingly making false statements and reports for the purpose of making a false claim of loss on a federal crop insurance policy belonging to an individual identified as E.L.P. She admitted that on three occasions, she adjusted tobacco crops on a property insured under E.L.P.’s name, when in reality that specific claimed property was a wooded lot, incapable of growing tobacco.
Michael McNew was indicted in November 2019. Karen Ann Nickell was indicted in February 2020.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, Jason M. Williams, Special Agent in Charge, United States Department of Agriculture Office of Inspector General; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; Bryant Jackson, Special Agent in Charge, Internal Revenue Service-Criminal Investigation; and Juan Garrett, Director, Kentucky Department of Insurance Fraud Investigation Division, jointly made the announcement.
The investigations were conducted by the United States Department of Agriculture Office of Inspector General, United States Department of Agriculture Risk Management Agency Special Investigations Staff, Federal Bureau of Investigation, Internal Revenue Service-Criminal Investigation, and Kentucky Department of Insurance. The United States is represented by Assistant United States Attorneys Erin Roth and Kathryn Anderson.
McNew is scheduled to be sentenced on January 15, 2021. He faces up to 20 years in prison and a maximum fine of $250,000 or twice the gross gain or loss. Nickell is also scheduled to be sentenced on January 15, 2021. She faces probation for two years, a $15,000 fine, and a payment of restitution of $58,486. However, any sentence will be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal statutes.
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Morgantown woman admits to illegal firearms purchaseRead the Press Release
CLARKSBURG, WEST VIRGINIA – Cheyann Ciarra Hammonds, of Morgantown, West Virginia, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Hammonds, 25, pled guilty to one count of “False Statement During Purchase of a Firearm.” Hammonds admitted to falsifying the paperwork to purchase a Glock pistol for someone else in Monongalia County in September 2016.
Hammonds faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Monett Man Who Trafficked ‘Half the Town’ Sentenced to 12 Years for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – A Monett, Missouri, man was sentenced in federal court today for his role in a conspiracy that distributed more than 20 pounds of methamphetamine in southern Missouri.
Eric Eugene Akins, 54, was sentenced by U.S. District Judge M. Douglas Harpool to 12 years in federal prison without parole.
On Jan. 21, 2020, Akins pleaded guilty to his role in a conspiracy to distribute methamphetamine in Greene, Barry, Lawrence, and Howell Counties from May 10 to Dec. 19, 2018. Akins obtained at least 10 pounds of methamphetamine from co-defendant Damian Arreola-Chico, 30, of Purdy, Mo., which he then distributed to others. Investigators determined that the methamphetamine involved in the conspiracy was of high purity, some as much as 99 percent pure.
Law enforcement officers searched a storage shed Akins rented on Aug. 7, 2018, where they found a backpack that contained a total of 134.06 grams of methamphetamine. Akins told investigators the methamphetamine had been fronted to him by Arreola-Chico and that he owed $5,000 for it. According to court documents Akins bragged to investigators that he was distributing methamphetamine to “half the town.”
At the time of the offense, Akins was on state probation after his fifth conviction for possessing a controlled substance. Akins also has prior felony convictions for burglary, forgery, non-support, stealing, and distribution of a controlled substance.
Akins is the final defendant to be sentenced in this case. Four co-defendants also have pleaded guilty to their roles in the drug-trafficking conspiracy. Arreola-Chico was sentenced to 20 years in federal prison without parole. Maleana Lee Willhite, 40, of Verona, Mo., was sentenced to 12 years in federal prison without parole. Michael Eugene Handshy, 40, of Billings, Mo., was sentenced to 10 years in federal prison without parole. Michael Shae Rhoads, 29, of Monett (who also pleaded guilty to possessing a firearm in furtherance of the drug-trafficking conspiracy) was sentenced to six years in federal prison without parole.
This case was prosecuted by Assistant U.S. Attorney Jessica R. Sarff. It was investigated by the Drug Enforcement Administration, the Missouri State Highway Patrol, COMET (the Combined Ozarks Multi-jurisdictional Enforcement Team), the Monett, Mo., Police Department, the Springfield, Mo., Police Department, the Howell County, Mo., Sheriff’s Department, and the West Plains, Mo., Police Department.
Mexican Man Sentenced for Distributing MethamphetamineRead the Press Release
United States Attorney Joe Kelly announced that United States District Judge Robert F. Rossiter, Jr. sentenced Juan Miranda-Funes today to 120 months in federal prison. There is no parole in the federal system. Miranda-Funes will serve a 5-year term of supervised release following his release from the Bureau of Prisons.
Miranda-Funes, 44, was convicted of conspiring to distribute and possess with intent to distribute methamphetamine with co-defendant Juan Carranza in the Omaha area between February 1, 2019 and May 9, 2019. On February 20, 2019, the Drug Enforcement Administration used an undercover officer to make a purchase of methamphetamine from Miranda-Funes. The undercover officer arranged a second methamphetamine transaction with Miranda-Funes, which was to occur on May 9, 2019 at a grocery store in Omaha. On that date, investigators followed Miranda-Funes from his work place to Motel 89 in Omaha, where Carranza resided. Miranda-Funes parked at the motel for a short while, then departed, traveling to a QT convenience store. Investigators observed Miranda-Funes waiting in the parking lot at the QT. The undercover officer exchanged text messages with Miranda-Funes, who indicated he was waiting on someone to bring the methamphetamine to that location.
Investigators thereafter observed Carranza arrive and meet with Miranda-Funes at the QT. Miranda-Funes got into Carranza’s car and they drove to the grocery store, which was nearby. Investigators made contact with Carranza and Miranda-Funes while they were seated in Carranza’s parked car. Both men were arrested. Officers searched the car and recovered approximately one pound of methamphetamine from a container sitting on the passenger seat.
Carranza was sentenced on September 24, 2020. Miranda-Funes will be deported from the United States to Mexico after serving his prison term
The case was primarily investigated by the Drug Enforcement Administration and Omaha Police Department.
Methuen Man Charged with Bank RobberyRead the Press Release
BOSTON – A Methuen man was arrested and charged yesterday in connection with robbing five banks in Middlesex County in August and September 2020.
Caio Costa, 25, was charged by criminal complaint with armed bank robbery and brandishing a firearm during the commission of a crime of violence. Costa was arrested on state charges on Sept. 26, 2020, following the robbery of a branch of the Salem Five Bank in Tewksbury. Costa was detained following an initial appearance in federal court in Boston yesterday.
According to charging documents, between Aug. 28, 2020 and Sept. 25, 2020, four federally insured banks were robbed in Middlesex County. In each of these robberies, the robber entered the bank wearing dark clothing and a motorcycle helmet and brandished a black revolver. Following each robbery, the robber escaped on a dark-colored motorcycle.
It is alleged that, on Sept. 25, 2020, an individual, later determined to be Costa, wearing dark clothing and a motorcycle helmet entered a branch of the Salem Five Bank in Tewksbury. Costa approached a teller, brandished what appeared to be a black revolver and demanded the bank’s money. The teller handed Costa cash and Costa exited the bank and sped away on a dark-colored motorcycle. Local law enforcement, who became aware of the robbery, observed Costa on the motorcycle in traffic and attempted to stop him. Costa allegedly fled, accelerating at speeds estimated to be 80-100 miles per hour while weaving in and out of traffic. Costa eventually crashed the motorcycle and escaped on foot, leaving his black helmet behind.
The following day, Costa was located in a New Hampshire hotel and arrested without incident. During an interview with law enforcement, Costa admitted to the Sept. 25, 2020 armed robbery of the Salem Five Bank in Tewksbury; the Aug. 28, 2020 armed robbery of the Eastern Bank in Chelmsford; the Sept. 18, 2020 armed robbery of the People’s United Bank in Lowell; and the Sept. 18, 2020 armed robbery of the Reading Co-Op in Wilmington.
The charge of armed bank robbery provides for a sentence of up to 25 years in prison, three years of supervised release and a fine of up to $250,000. The charge of brandishing a firearm during the commission of a crime of violence provides for a mandatory sentence of seven years in prison to be served consecutive to the armed robbery charges. Sentences are imposed by a federal district court judge based upon the Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Middlesex District Attorney Marian Ryan; Tewksbury Police Chief Ryan M. Columbus; Lowell Police Chief Christopher Hurst; Wilmington Police Chief Joseph Desmond; and Chelmsford Police Chief James M. Spinney made the announcement. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
The details contained in charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Medtronic to Pay over $9.2 Million to Settle Allegations of Improper Payments to South Dakota NeurosurgeonRead the Press Release
Minnesota-based medical device maker Medtronic USA Inc. has agreed to pay $8.1 million to resolve allegations that it violated the False Claims Act by paying kickbacks to induce a South Dakota neurosurgeon to use certain Medtronic products, the Department of Justice announced today.
Medtronic also agreed to pay an additional $1.11 million to resolve allegations that it violated the Open Payments Program by failing to accurately report payments it made to the neurosurgeon to the Centers for Medicare & Medicaid Services (CMS).
“Kickbacks undermine the integrity of federal healthcare programs and increase costs borne by taxpayers,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “This case demonstrates the Department of Justice’s commitment to ensure that medical device manufacturers do not use improper financial relationships to influence physician decision-making.”
“We expect doctors to make medical decisions based on what is best for their patients, not what is best for their bank accounts,” said U.S. Attorney Ron Parsons for the District of South Dakota. “The quality of medical care is eroded – and patients and their families suffer – when companies and physicians enter into these sorts of under the table schemes to create illegal financial incentives to increase the use of medical devices.”
“Allegations of kickbacks are taken very seriously. Such actions threaten the integrity of federal healthcare systems,” said Curt L. Muller, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services (HHS-OIG). “We will continue working with our law enforcement partners to protect patients and taxpayers.”
“CMS’ Open Payments Program is intended to promote transparency and accountability in the healthcare system. Manufacturers that misreport their financial relationships with healthcare providers erode the integrity of the Open Payments Program and will be held accountable,” said Brenna E. Jenny, HHS Deputy General Counsel and CMS Chief Legal Officer. “CMS looks forward to continued partnership with the Department of Justice to resolve allegations of manufacturers skirting their Open Payments obligations.”
The Anti-Kickback Statute prohibits directly or indirectly offering or paying anything of value to induce the referral of items or services covered by Medicare, Medicaid, TRICARE, and other federal healthcare programs.
The settlement announced today resolves allegations that Medtronic agreed to the requests of South Dakota neurosurgeon, Wilson Asfora, M.D., to pay for social events at Carnaval Brazilian Grill, a restaurant Medtronic knew Asfora owned, including scores of expensive meals. Medtronic allegedly made the payments to benefit Asfora and induce him to use Medtronic’s SynchroMed II intrathecal infusion pumps, which are implantable devices used to deliver medication to patients. The United States alleged that Medtronic’s sponsored events at Asfora’s restaurant were social gatherings for which Asfora selected and invited his social acquaintances, business partners, favored colleagues, and potential and existing referral sources, while Medtronic paid for their meals and drinks. Over a nine-year period, Medtronic allegedly paid for more than one hundred events at Asfora’s restaurant.
This settlement also resolves Medtronic’s liability under CMS’ Open Payments Program, which was established by the Affordable Care Act and requires medical device manufacturers like Medtronic to disclose to CMS certain payments or other transfers of value to a physician like Asfora. The United States alleged that Medtronic made payments to Asfora’s restaurant at his request, knowing that Asfora owned the restaurant, but underreported those payments to CMS.
Asfora and two of his other companies are defendants in a separate FCA lawsuit in which the United States filed a complaint in November 2019, alleging that Asfora received kickbacks to use certain implants in his spinal surgeries. That pending case is captioned United States ex rel. Bechtold, et al. v. Asfora, et al., No. 4:16-cv-04115-LLP (D.S.D.).
The government’s pursuit of these matters illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800‑HHS‑TIPS (800-447-8477).
The settlement was the result of an investigation by the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the District of South Dakota, and HHS-OIG. As part of the settlement, Medtronic agreed to cooperate with the Department’s investigations of and litigation against other parties, and the device maker took remedial action once it learned of the wrongdoing, including terminating a sales representative and sales manager and disciplining twelve other employees involved in the alleged misconduct.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Man with homemade sex doll ordered to federal prison on child pornography chargeRead the Press Release
CORPUS CHRISTI, Texas - A 44-year-old Corpus Christi man has been ordered to federal prison for possessing child pornography, announced U.S. Attorney Ryan K. Patrick.
Lazaro Eugene Velasquez pleaded guilty Jan. 21.
Today, U.S. District Judge David S. Morales ordered Velasquez to serve an 84-month sentence. At the hearing, the court heard that in addition to possessing hundreds of images and videos of child pornography, Velasquez also had a child-sized sex doll which was made of rags and clothed in children’s items. It was also covered in what appeared to be semen.
Evidence revealed Velasquez also had images of a local child. While not originally pornographic, Velasquez had altered them. The new images had cartoon-like captions that made it appear the child was asking Velasquez to perform lewd sexual acts on her.
In handing down the sentence, the court noted that while Velasquez was not being sentenced for directly committing sexual abuse against a child, possession of child pornography is also a crime that victimizes minors. She explained that children can also be abused because people who seek out child pornography create a demand for the images to be produced.
Velasquez will serve 15 years on supervised release following completion of his prison term, during which time he will have to comply with numerous requirements designed to restrict his access to children and the internet. He will also be ordered to register as a sex offender.
In February 2019, law enforcement learned Velasquez had used his father’s computer to upload an image of child pornography to an internet search engine. They then conducted a search of the residence.
They ultimately found the sex doll laying on his bed, children’s clothing in his closet and a spiral notebook containing hand-written stories describing the sexual abuse of children. At that time, authorities also seized his electronic devices. Forensic examination resulted in the discovery of more than 700 images and videos containing child pornography on his cellular phone. It also had 69 images of a local child whom Velasquez had known for several years.
He has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
The Corpus Christi Police Department – Internet Crimes Against Children Task Force and Immigration and Custom’s Enforcement’s Homeland Security Investigations conducted the investigation.
Assistant U.S. Attorney Brittany L. Jensen prosecuted the case, which was brought as part of Project Safe Childhood (PSC), a nationwide initiative the Department of Justice (DOJ) launched in May 2006 to combat the growing epidemic of child sexual exploitation and abuse. U.S. Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section leads PSC, which marshals federal, state and local resources to locate, apprehend and prosecute individuals who sexually exploit children and identifies and rescues victims. For more information about PSC, please visit DOJ’s PSC page. For more information about internet safety education, please visit the resources tab on that page.
Man sentenced to ten years in prison for attempted sexual enticement of a 13-year-old girlRead the Press Release
HONOLULU, Hawaii – the Honorable District Judge Helen Gillmor sentenced Zachariah Fredrickson, 32, of Kapolei, Hawaii, to ten years in prison, to be followed by ten years of supervised release, for attempting to entice a 13 year-old minor to engage in unlawful sexual activity. He will also pay a $5000 special assessment pursuant to the Justice for Victims of Trafficking Act of 2015.
U.S. Attorney Kenji M. Price for the District of Hawaii stated that according to court documents and information presented in court, on March 25, 2019, Fredrickson engaged in a series of online chats with an undercover agent posing as a 13-year-old girl. During their conversations, Fredrickson arranged to meet the girl in person with the intent to engage in sexual activity, and agreed to pay $100 per hour for sex with the girl. Fredrickson then traveled to an agreed-upon location, and was later arrested.
“My office will continue to protect children in our communities from those who lurk in the corners of cyberspace seeking opportunities to exploit them. These kinds of prosecutions put child sex predators on notice that the Department of Justice will not sit by idly by while they try to take advantage of children. The federal law enforcement community and its partners will proactively bring these perpetrators to justice,” stated U.S. Attorney Price.
“In today's world the internet allows our children to connect globally. Unfortunately many parents, do not know who their children are connecting with online” stated Special Agent in Charge Eli S. Miranda. “Predators like Fredrickson use technology to sexually exploit our children. But the FBI remains vigilant and committed to catching these criminals and ensuring that justice is served.”
The case was investigated by the FBI and the Hawaii Internet Crimes Against Children Task Force (ICAC), and it was prosecuted by Assistant U.S. Attorney Morgan Early.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced to 10 Years for Conspiring to Distribute Heroin in MadisonRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Michael Carroll, 50, Milwaukee, Wisconsin, pleaded guilty and was sentenced today by U.S. District Judge William H. Conley to 10 years in prison for conspiring to distribute heroin.
In September 2019, Carroll arranged to expand his drug-distribution operation from Milwaukee to Madison, Wisconsin. He drove large quantities of heroin, some of which tested positive for fentanyl, from Milwaukee to Madison where he used another person to sell the heroin and collect his money. Between September 13 and November 15, 2019, Carroll conspired to sell heroin to an undercover police officer on multiple occasions. His relevant conduct included over 400 grams of heroin. During the execution of search warrants where he stayed in Milwaukee, law enforcement agents located several hidden firearms.
Carroll has a lengthy criminal history dating back over 30 years, including gun crimes, drug crimes, and a reckless homicide where he shot an innocent person after pointing a gun at someone else. At the time of his arrest, Carroll was on state supervision for three criminal cases, including the reckless homicide. Judge Conley remarked that at age 50, Carroll had yet to make any meaningful deviation from a criminal lifestyle.
The charge against Carroll was the result of an investigation conducted by the Dane County Narcotics Task Force, the Wisconsin Department of Justice Division of Criminal Investigation, the Drug Enforcement Administration, and North Central HIDTA. The prosecution of the case has been handled by Assistant U.S. Attorney Diane Schlipper.
Medtronic to Pay over $9.2 Million to Settle Allegations of Improper Payments to South Dakota NeurosurgeonRead the Press Release
WASHINGTON – Minnesota-based medical device maker Medtronic USA Inc. has agreed to pay $8.1 million to resolve allegations that it violated the False Claims Act by paying kickbacks to induce a South Dakota neurosurgeon to use certain Medtronic products, the Department of Justice announced today.
Medtronic also agreed to pay an additional $1.11 million to resolve allegations that it violated the Open Payments Program by failing to accurately report payments it made to the neurosurgeon to the Centers for Medicare & Medicaid Services (CMS).
“Kickbacks undermine the integrity of federal healthcare programs and increase costs borne by taxpayers,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “This case demonstrates the Department of Justice’s commitment to ensure that medical device manufacturers do not use improper financial relationships to influence physician decision-making.”
“We expect doctors to make medical decisions based on what is best for their patients, not what is best for their bank accounts,” said U.S. Attorney Ron Parsons for the District of South Dakota. “The quality of medical care is eroded – and patients and their families suffer – when companies and physicians enter into these sorts of under the table schemes to create illegal financial incentives to increase the use of medical devices.”
“Allegations of kickbacks are taken very seriously. Such actions threaten the integrity of federal healthcare systems,” said Curt L. Muller, Special Agent in Charge for the Office of Inspector General of the U.S. Department of Health and Human Services (HHS-OIG). “We will continue working with our law enforcement partners to protect patients and taxpayers.”
“CMS’ Open Payments Program is intended to promote transparency and accountability in the healthcare system. Manufacturers that misreport their financial relationships with healthcare providers erode the integrity of the Open Payments Program and will be held accountable,” said Brenna E. Jenny, HHS Deputy General Counsel and CMS Chief Legal Officer. “CMS looks forward to continued partnership with the Department of Justice to resolve allegations of manufacturers skirting their Open Payments obligations.”
The Anti-Kickback Statute prohibits directly or indirectly offering or paying anything of value to induce the referral of items or services covered by Medicare, Medicaid, TRICARE, and other federal healthcare programs.
The settlement announced today resolves allegations that Medtronic agreed to the requests of South Dakota neurosurgeon, Wilson Asfora, M.D., to pay for social events at Carnaval Brazilian Grill, a restaurant Medtronic knew Asfora owned, including scores of expensive meals. Medtronic allegedly made the payments to benefit Asfora and induce him to use Medtronic’s SynchroMed II intrathecal infusion pumps, which are implantable devices used to deliver medication to patients. The United States alleged that Medtronic’s sponsored events at Asfora’s restaurant were social gatherings for which Asfora selected and invited his social acquaintances, business partners, favored colleagues, and potential and existing referral sources, while Medtronic paid for their meals and drinks. Over a nine-year period, Medtronic allegedly paid for more than one hundred events at Asfora’s restaurant.
This settlement also resolves Medtronic’s liability under CMS’ Open Payments Program, which was established by the Affordable Care Act and requires medical device manufacturers like Medtronic to disclose to CMS certain payments or other transfers of value to a physician like Asfora. The United States alleged that Medtronic made payments to Asfora’s restaurant at his request, knowing that Asfora owned the restaurant, but underreported those payments to CMS.
Asfora and two of his other companies are defendants in a separate FCA lawsuit in which the United States filed a complaint in November 2019, alleging that Asfora received kickbacks to use certain implants in his spinal surgeries. That pending case is captioned United States ex rel. Bechtold, et al. v. Asfora, et al., No. 4:16-cv-04115-LLP (D.S.D.).
The government’s pursuit of these matters illustrates the government’s emphasis on combating healthcare fraud. One of the most powerful tools in this effort is the False Claims Act. Tips and complaints from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800‑HHS‑TIPS (800-447-8477).
The settlement was the result of an investigation by the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the District of South Dakota, and HHS-OIG. As part of the settlement, Medtronic agreed to cooperate with the Department’s investigations of and litigation against other parties, and the device maker took remedial action once it learned of the wrongdoing, including terminating a sales representative and sales manager and disciplining twelve other employees involved in the alleged misconduct.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Louisiana Men Sentenced on Federal Firearms ChargesRead the Press Release
Acting United States Attorney Alexander C. Van Hook announced today that two Louisiana men have been sentenced on federal firearms charges.
SHREVEPORT, La. – John Jackson Harkey, 35, of Shreveport, was sentenced by United States District Judge Donald E. Walter to 70 months (5 years, 10 months) in prison followed by 3 years of supervised release for possessing an unregistered firearm. On or about February 21, 2019, Shreveport Police Department officers lawfully executed a search warrant at Harkey’s residence. During the search, officers found an operable, short-barreled shotgun that was not registered to him in the National Firearms Registration and Transfer Record. Harkey pleaded guilty to the charge on May 27, 2020.
The ATF and Shreveport Police Department conducted the investigation and Assistant U.S. Attorney Mike Shannon prosecuted the case.
ALEXANDRIA, La. – Joseph Wilton, 28, of Alexandria, was sentenced by United States District Judge Dee D. Drell to 60 months (5 years) in prison followed by 3 years of supervised release for being a convicted felon in possession of a firearm. Alexandria Police Department officers stopped the car Wilton was driving on February 17, 2018. During a search of the vehicle, officers recovered a firearm and ammunition. Wilton, who was a convicted felon, knew that it was unlawful to possess the firearm and ammunition and was subsequently arrested. Wilton pleaded guilty to the charge on July 16, 2020.
The ATF and Alexandria Police Department conducted the investigation and Assistant U.S. Attorney Leon H. Whitten prosecuted the case.
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Latin Dragon Nation Member Sentenced to 510 Months in Prison Following Conviction for Racketeering Conspiracy Including Two HomicidesRead the Press Release
HAMMOND- Ralph Mendez, Jr., 24, of Chicago, Illinois, was sentenced by U.S. District Court Judge Philip P. Simon to 510 months in prison following his guilty plea to conspiracy to participate in racketeering activity as a member of the Latin Dragons Nation street gang, including admitting responsibility for two homicides, announced U.S. Attorney Kirsch.
According to documents in the case, Mendez, Jr., admitted to being a member of the Latin Dragon Nation street gang since approximately 2014. As a member of the gang, Mendez, Jr., participated in shootings of suspected gang members and associates, in addition to drug and firearms trafficking. On May 23, 2017, while accompanied by others, Mendez, Jr., left Hammond, Indiana, in a stolen vehicle to go to a rival gang neighborhood in Chicago. Upon arriving, he shot Jose Gomez, a suspected rival gang member, resulting in his death. On July 14, 2017, in Chicago, Illinois, Mendez, Jr., was accompanied by others when he fired in excess of 15 shots at four people whom he suspected were rival gang members or associates, resulting in the death of Mike Whitford and resulting in another victim being shot in the neck. From 2014 through 2017, Mendez, Jr., also accompanied others on shootings and himself shot four additional victims, including shooting one victim in the back as he attempted to flee.
“This sentence should send a loud message that if you are involved in illegal and violent activity in our communities, federal law enforcement is coming for you,” said FBI Indianapolis Special Agent in Charge Paul Keenan. “I am extremely proud of the work of our agents and law enforcement partners who worked tirelessly on this case to ultimately hold the defendant accountable for his actions.”
“Violence, including firearms and narcotics trafficking, will not be tolerated by the community of Hammond,” said ATF Special Agent in Charge Kristen de Tineo of the Chicago Field Division. “Coordination among local, state and federal law enforcement as well as across state lines between Indiana and Illinois is an effective force multiplier in ensuring gang members are held accountable for the violence they perpetrate.”
This case is the result of the investigative efforts of the Federal Bureau of Investigation; the Bureau of Alcohol, Tobacco, Firearms, and Explosives; the Chicago Police Department Criminal Enterprise Unit; the Cook County Sheriff’s Office; the Bartlett Police Department; the Hammond Police Department; the East Chicago Police Department; the Merrillville Police Department; the Hobart Police Department; the Lake County Sheriff’s Department; and the Calumet City Police Department, with assistance from the Lake County, Indiana Prosecutor’s Office, the Cook County, Illinois State’s Attorney’s Office, the Indiana Department of Corrections, and the Illinois Department of Corrections. This case is being prosecuted by Assistant U.S. Attorneys Kevin F. Wolff and Maria N. Lerner and Special Assistant U.S. Attorney Michael J. Toth, with prior assistance from former Assistant U.S. Attorney Joseph A. Cooley.
Justice Department Releases Information on Election Day Efforts to Protect the Right to Vote and Prosecute Ballot FraudRead the Press Release
Continuing a longstanding Justice Department tradition, Attorney General William P. Barr today issued the following statement: “Americans have the opportunity once again to help shape the future of this nation by exercising their right to vote. It is a right that forms the foundation of our democratic system of government, and is precious to all Americans. The Department of Justice will work tirelessly alongside other federal, state, and local agencies to protect that right as it is administered by state and local jurisdictions across the nation.”
In anticipation of the upcoming general elections, the Department of Justice today provided information about its particular efforts, through the Criminal Division, Civil Rights Division, and National Security Division, to ensure that all qualified voters have the opportunity to cast their ballots and have their votes counted free of discrimination, intimidation, or fraud in the election process.
Criminal Division and the Department’s 94 U.S. Attorney’s Offices:
The department’s Criminal Division oversees the enforcement of federal laws that criminalize certain forms of election fraud and vindicate the integrity of the federal election process.
The Criminal Division’s Public Integrity Section and the department’s 94 U.S. Attorney’s Offices are responsible for enforcing the federal criminal laws that prohibit various forms of election fraud, such as destruction of ballots, vote-buying, multiple voting, submission of fraudulent ballots or registrations, and alteration of votes, and malfeasance by postal or election officials and employees. The Criminal Division is also responsible for enforcing federal criminal law prohibiting voter intimidation for reasons other than race, color, national origin, or religion (as noted below, voter intimidation that has a basis in race, color, national origin, or religion is addressed by the Civil Rights Division).
The U.S. Attorney’s Offices around the country designate Assistant U.S. Attorneys who serve as District Election Officers (DEOs) in the respective Districts. DEOs are responsible for overseeing potential election-crime matters in their Districts, and for coordinating with the department’s election-crime experts in Washington, D.C.
From now through Nov. 3, 2020, the U.S. Attorney’s Offices will work with specially trained FBI personnel in each district to ensure that complaints from the public involving possible election fraud are handled appropriately. Specifically:
- In consultation with federal prosecutors at the Public Integrity Section in Washington, D.C., the District Election Officers in U.S. Attorney’s Offices, FBI officials at headquarters in Washington, D.C., and FBI special agents serving as Election Crime Coordinators in the FBI’s 56 field offices will be on duty while polls are open to receive complaints from the public.
- Election-crime complaints should be directed to the local U.S. Attorney’s Offices or the local FBI office. A list of U.S. Attorney’s Offices and their telephone numbers can be found at http://www.justice.gov/usao/districts/. A list of FBI offices and accompanying telephone numbers can be found at www.fbi.gov/contact-us.
- Public Integrity Section prosecutors are available to consult and coordinate with the U.S. Attorney’s Offices and the FBI regarding the handling of election-crime allegations.
All complaints related to violence, threats of violence, or intimidation at a polling place should be reported first to local police authorities by calling 911; after alerting local law enforcement to such emergencies by calling 911, the public should contact the department.
Civil Rights Division:
The department's Civil Rights Division is responsible for ensuring compliance with the civil provisions of federal statutes that protect the right to vote, and with the criminal provisions of federal statutes prohibiting discriminatory interference with that right.
The Civil Rights Division’s Voting Section enforces the civil provisions of a wide range of federal statutes that protect the right to vote including: the Voting Rights Act; the Uniformed and Overseas Citizens Absentee Voting Act; the National Voter Registration Act; the Help America Vote Act; and the Civil Rights Acts. Among other things, collectively, these laws:
- Prohibit election practices that have either a discriminatory purpose or a discriminatory result on account of race, color, or language minority status;
- Prohibit intimidation of voters;
- Provide that voters who need assistance in voting because of disability or illiteracy can obtain assistance from a person of their choice (other than agents of their employer or union);
- Provide for accessible voting systems for voters with disabilities;
- Provide for provisional ballots for voters who assert they are registered and eligible, but whose names do not appear on poll books;
- Provide for absentee voting for absent uniformed service members, their family members, and U.S. citizens living abroad; and
- Provide for covered States to offer citizens the opportunity to register to vote through offices that provide driver licenses, public assistance, and disability services, as well as through the mail; and to take steps regarding maintaining voter registration lists.
The Civil Rights Division’s Disability Rights Section enforces the Americans with Disabilities Act (ADA) that prohibits discrimination in voting based on disability.
The Civil Rights Division’s Criminal Section enforces federal criminal statutes that prohibit voter intimidation and vote suppression based on race, color, national origin, or religion.
On Election Day, Nov. 3, 2020, the Civil Rights Division will implement a comprehensive program to help ensure the right to vote that will include the following:
- The Civil Rights Division will conduct monitoring in the field under the federal voting rights statutes.
- Civil Rights Division attorneys in the Voting, Disability Rights, and Criminal Sections in Washington, D.C., will be ready to receive complaints of potential violations relating to any of the statutes the Civil Rights Division enforces. Attorneys in the division will coordinate within the Department of Justice and will take appropriate action concerning these complaints before, during, and after Election Day.
- Individuals with complaints related to possible violations of the federal voting rights laws can call the department’s toll-free telephone line at 800-253-3931, and also can submit complaints through a link on the department’s website, at https://civilrights.justice.gov/.
- Individuals with questions or complaints related to the ADA may call the Justice Department’s toll-free ADA information line at 800-514-0301 or 800-514-0383 (TDD), or submit a complaint through a link on the department’s ADA website, at ada.gov.
- Once again, complaints related to violence, threats of violence, or intimidation at a polling place should always be reported immediately to local authorities by calling 911. They should also be reported to the department after local authorities are contacted.
National Security Division:
The department's National Security Division supervises the investigation and prosecution of cases affecting or relating to national security, including any cases involving foreign interference in elections or violent extremist threats to elections. In this context:
- The National Security Division’s Counterintelligence and Export Control Section oversees matters involving a range of malign influence activities that foreign governments may attempt, including computer hacking of election or campaign infrastructure; covert information operations (e.g., to promulgate disinformation through social media); covert efforts to support or denigrate political candidates or organizations; and other covert influence operations that might violate various criminal statutes.
- The National Security Division’s Counterterrorism Section oversees matters involving international and domestic terrorism and supports law enforcement in preventing any acts of terrorism that impact Americans, including any violent extremism that might threaten election security.
As in past elections, on Nov. 3, 2020, the National Security Division will work closely with counterparts at the FBI and our U.S. Attorney’s Offices to protect our nation’s elections from any national security threats. In particular, attorneys from both sections will be partnered with FBI Headquarters components to provide support to U.S. Attorney’s Offices and FBI Field Offices to counter any such threats. Again, complaints related to violence, threats of violence, or intimidation at a polling place should always be reported immediately to local authorities by calling 911 and, after local authorities are contacted, then should also be reported to the department.
Both protecting the right to vote and combating election fraud are essential to maintaining the confidence of all Americans in our democratic system of government. The department encourages anyone with information suggesting voting rights concerns or ballot fraud to contact the appropriate authorities, and notes in particular that the Department of Homeland Security plays its own important role in safeguarding critical election infrastructure from cyber and other threats.
Jury Convicts Largo Man for Attempting to Entice Minor to Engage in Sexual ActivityRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces that a federal jury has found Asa Nall (50, Largo) guilty of attempted enticement of a child to engage in sexual activity. Nall faces a minimum mandatory penalty of 10 years, up to life, in federal prison. His sentencing hearing is scheduled for January 28, 2021.
Nall had been indicted on October 22, 2019.
According to evidence presented at trial, Nall communicated online and via text messages with someone he believed to be a 14-year-old girl. In reality, he was talking to an undercover agent. For more than a month, Nall repeatedly asked the child to produce sexually explicit images for him, specifying that he wanted to see her fully nude, including close up photos of her genitalia. Nall also repeatedly requested to meet the child for sex, asking her to “sneak away” and “skip school” to meet with him. In the conversations, Nall discussed in graphic detail the sex acts he would engage in when they met.
On October 16, 2019, Nall traveled to a location to meet the child for sex, and he was subsequently arrested. Law enforcement agents recovered two condoms from Nall’s pocket and the cellphone he had used to communicate with the child. A search of the phone revealed that Nall had also saved the child’s name to his contact list.
This case was investigated by the Federal Bureau of Investigation and the Largo Police Department. It is being prosecuted by Assistant United States Attorneys Lisa M. Thelwell and Erin C. Favorit.
This is another case brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Jury Convicts East St. Louis Man of Producing Child Pornography Attempting to Tamper with Victim's TestimonyRead the Press Release
East St. Louis, Ill. – This afternoon, a federal jury in East St. Louis, Illinois, returned a guilty verdict against Avery Smartt, Jr. The 43-year-old East St. Louis native was convicted of producing child pornography and attempting to tamper with the victim’s testimony before trial. The charges were contained in a two-count superseding indictment filed in August 2020. The original indictment against Smartt – charging only production of child pornography – had been returned two years earlier.
Evidence at trial showed that Smartt engaged in a months-long sexual relationship with a
15-year-old girl, beginning in September 2016. Smartt was a truck driver, and during the course of their relationship he took the underage girl with him on out-of-state trips, including a long drive from Illinois to California. In court, the victim testified that it was on those trips that Smartt took sexually explicit photographs of her. FBI agents seized Smartt’s cell phone and discovered numerous sexually explicit images of the victim. The trial also featured DNA evidence showing that
Smartt had fathered a child with the girl.While he was in the Clinton County jail awaiting trial, Smartt sent letters to friends and family members asking them to contact the victim and encourage her to change her testimony. These letters formed the basis for the tampering charge.
Sentencing has been scheduled for February 3, 2021, in front of Chief United States District Judge
Nancy J. Rosenstengel. Smartt faces 15-30 years in prison for producing child pornography. He also could receive as much as 20 years in prison for attempting to tamper with the victim’s testimony.Due to the ongoing pandemic, a number of safety precautions were implemented during the trial, including social distancing, newly-installed plexiglass barriers, and a variety of sanitizing procedures. Spectators watched the trial via closed circuit television in an adjacent courtroom.
The investigation was conducted by the FBI, the Illinois State Police Metro-East Crime Laboratory, the Alton Police Department, and the East St. Louis Police Department. The case was prosecuted by Assistant United States Attorneys Laura V. Reppert and Christopher R. Hoell.
Jamestown Man Pleads Guilty to Selling FentanylRead 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 Alfredo Diaz a/k/a Dindo, 57, of Jamestown, NY, pleaded guilty before U.S. District Judge Lawrence J. Vilardo to possessing with intent to distribute, and distributing, fentanyl. The charge carries a maximum penalty of 20 years in prison and a $1,000,000 fine.
Assistant U.S. Attorneys Michael J. Adler and Evan K. Glaberson, who are handling the case, stated that in April 2020, investigators conducted three controlled purchases of fentanyl from the defendant. On May 13, 2020, searches were conducted of both Diaz’s residence as well as a storage unit he used. In the residence, investigators located approximately $8,000 in U.S. currency as well as drug distribution paraphernalia, including glassine bags and a digital scale. In the storage unit, a black 2016 Cadillac SRX sport utility vehicle registered to the defendant, as well as approximately $44,075 U.S. currency, was seized. The vehicle also contained a digital scale and packaging material.
The plea is the result of an investigation by the Jamestown Police Department and the Jamestown Metro Drug Task Force, under the direction of Acting Jamestown Police Chief Timothy Jackson; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff Timothy Whitcomb; the Chautauqua County Sheriff’s Office, under the direction of Sheriff James Quattrone; the Ellicott Police Department, under the direction of Chief William Ohnmeiss Jr.; and the New York State Police, under the direction of Major James Hall.
Sentencing is scheduled for March 8, 2021, before Judge Vilardo.
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Jamestown Felon Arrested on Gun Charge After Traffic StopRead 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 Walter S. Duprey a/k/a Spoons a/k/a Waldo, 36, of Jamestown, NY, was arrested and charged by criminal complaint with being a felon in possession of ammunition. The charge carries a maximum penalty of 10 years in prison and a $250,000 fine.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that according to the complaint, on April 30, 2020, the defendant and two other individuals were pulled over in a vehicle by Jamestown Police Officers. During the traffic stop, it was determined that the license plates on the vehicle actually belonged to another vehicle. In addition, officers observed three hypodermic needles in the driver side door panel in plain view. After stepping out of the vehicle at the request of officers, Duprey was patted down for weapons. Officers retrieved a green leafy substance from the defendant’s pocket, along with a 12 gauge shotshell. A search of the vehicle recovered a 12 gauge shotgun, ammunition, several digital scales, a red ski mask, a quantity of heroin, several cell phones, two laptop computers, an I-Pad, a bag containing flashlights, a paintball mask, and black duct tape. As a result, officers believed that the defendant and the two other individuals either had conducted an armed home invasion or were about to conduct an armed home invasion.
Duprey was convicted in 2005, 2006, and 2012 of felony charges in Dunkirk City Court, and as a result is legally prohibited from possessing ammunition.
The complaint is the result of an investigation by the Jamestown Police Department, under the direction of Acting Chief Timothy Jackson, and the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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