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Friday 18 September 2020
Georgia Woman Who Allegedly Preyed on Vulnerable South Florida Seniors to Steal More than $1 Million Charged in Federal Court West Palm BeachRead the Press Release
Miami, Fl. -- South Florida federal prosecutors have charged a 41-year-old Georgia woman with fraud and identity theft crimes for allegedly leading a scam that tricked over 250 elderly South Floridians into turning over their credit cards, debit cards, and related personal identification numbers. According to the charges, defendant and her co-conspirators used the cards and PINs to steal over $1 million.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, Brian Swain, Special Agent in Charge, United States Secret Service (USSS), Miami Field Office, and Sheriff Ric Bradshaw, Palm Beach County Sheriff’s Office (PBSO), made the announcement.
According to the allegations in the criminal complaint affidavit, over approximately four years starting in 2016, Edtronda Simon, of Fayette County, Georgia, ran an elder fraud scheme that generally operated as follows: Simon would cold-call elderly victims in South Florida, pretend to be from the fraud department of each senior’s bank, and convince the seniors that their accounts had been compromised, which was false. Once a senior seemed convinced, Simon would offer to send a “bank representative” to the elderly victim’s home to exchange any compromised credit or debit card with a new one, says the complaint. Usually with Simon still on the call trying to persuade the senior to verify a PIN number, a co-conspirator would arrive at the victim’s home, take the victim’s credit or debit card, and promise to return with a new one (which, of course, never happened), according to the complaint affidavit. The co-conspirators allegedly would use the seniors’ credit cards, debit cards, and PINs to withdraw cash from ATMs, purchase money orders, and otherwise drain money from the accounts as quickly as possible – before real bank fraud representatives caught on to the illegal activity.
The complaint charges that through this scheme, Simon and her co-conspirators duped over 250 seniors from Broward, Palm Beach, St. Lucie, Indian River and other South Florida counties into turning over debit cards, credit cards, and related information. They defrauded banks of over $1 million, says the complaint affidavit.
In a separate case filed earlier this year in the Southern District of Florida (case no. 20-cr-80037), prosecutors charged six of Simon’s co-conspirators for their involvement in this elder fraud scheme: Shaumbrica Stubbs, Luclesse Vernesse, Samuel Charles, Ian Felder, Diedre Dixon, and Shaquille Robinson, all Florida residents. Stubbs and Charles have pleaded guilty.
Simon had her initial appearance on September 17, 2020, before a federal magistrate judge in Georgia, where law enforcement officers arrested her. Other proceedings will take place in federal court in West Palm Beach, Florida, where the U.S. Attorney’s Office filed the charges of access device fraud, bank fraud, and aggravated identity theft against Simon.
“Elder fraud targets some of the most vulnerable members of our community,” said U.S. Attorney Ariana Fajardo Orshan. “People who steal from seniors while pretending to help them are the worst kind of criminal because they exploit human trust. We will vigorously prosecute such cases in order to protect the integrity of our financial systems, and to prevent financial and emotional losses to those who can least afford them.”
USSS Miami and PBSO are handling the investigation, along with federal task force officers from the Coral Springs Police Department, Pembroke Pines Police Department, and Plantation Police Department. Assistant U.S. Attorney Susan Rhee Osborne of the Southern District of Florida is prosecuting the case. Assistant U.S. Attorneys Chris Huber, Russell Phillips, Jolee Porter, and Alex Sistla of the Northern District of Georgia provided substantial assistance.
U.S. Attorney Fajardo Orshan explained that this was a team effort not just for law enforcement, but for prosecutors as well. “We could not have located and arrested Edtronda Simon without the exceptional assistance from the U.S. Attorney’s Office for the Northern District of Georgia,” she said.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the Department of Justice. The mission of the Department’s Elder Justice Initiative is to support and coordinate the Department’s enforcement and programmatic efforts to combat elder abuse, neglect and financial fraud and scams that target our nation’s seniors. To learn more visit https://www.justice.gov/elderjustice. The public is encouraged to report victimization and suspected fraud schemes by calling the National Elder Fraud Hotline at 1-833-FRAUD 11 (1-833- 372-8311).
A federal criminal complaint is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Related court documents and information appear on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov under case number 20-mj-8241.
Attachments:
Complaint against Simon Charges against co-conspiratorsForty Two Individuals Indicted in August & September Grand JuriesRead the Press Release
MUSKOGEE, OKLAHOMA – United States Attorney Brian J. Kuester today announced the results of the August & September 2020 Federal Grand Juries. The combined grand juries returned 32 unsealed and 4 sealed indictments on crimes ranging from kidnapping, federal firearms offenses, robbery, drug trafficking/distribution, child exploitation, aggravated sexual assaults in Indian country, and murder in Indian country.
The following named individuals have been charged with a federal crime or crimes by the return of an indictment by the Grand Jury. A grand jury Indictment does not constitute evidence of guilt. A grand jury Indictment is a method of bringing formal charges against the defendant. A defendant is presumed innocent of the charges and may not be found guilty unless evidence establishes guilt beyond a reasonable doubt. United States Sentencing Guidelines may be considered, upon conviction, by the sentencing court. Federal prison sentences are non-parolable.
JIMCY MCGIRTAggravated Sexual Abuse In Indian Country (Three Counts)
McGirt, 71, of Wagoner County, is charged with 3 counts of sexual abuse of a minor. Allegations are, in 1996, McGirt knowingly engaged in sexual acts with a child under the age of 12.
The Federal Bureau of Investigation is the primary investigative agency.
MICHAEL WAYNE MILLER
Felony Child Abuse In Indian Country (Two Counts)
Miller, 41, of Muskogee, is charged with willfully striking and injuring a child under the age of eighteen in January 2019.
The Federal Bureau of Investigation is the primary investigative agency.
BRANDON EDWARD BRIDGES
Child Neglect In Indian Country
Bridges, 24, of Muskogee, is charged with neglecting the health, safety and welfare of children under his supervision and exposing them to the use and possession of illegal drugs and illegal activities.
The Federal Bureau of Investigation is the primary investigative agency.
JAYCE MICHAEL MOSQUITO
Aggravated Sexual Abuse In Indian Country
Mosquito, 33, of Okmulgee, is charged with sexual abuse of a minor in Indian Country, alleging in June, 2018, Mosquito knowingly engaged in sexual activity with a child under the age of 12.
The Federal Bureau of Investigation is the primary investigative agency.
CALEB TRENT HODGINS
TYLER SHANE GRANDSTAFF
TYLER ROSS DEERINWATERMurder In Indian Country
Use, Brandish, Discharge, And Carry A Firearm During And In Relation To A Crime of Violence
Assault With Intent To Commit Murder In Indian Country (Three Counts)Hodgins, 25, of Holdenville; Grandstaff, 29, of Seminole, and Deerinwater, 29, of Holdenville, are charged with brandishing and using a Smith & Wesson .40 caliber pistol to kill Jonathon Merriman on or about June 24, 2018.
The Federal Bureau of Investigation is the primary investigative agency.
NATHAN JOE CHECOTAH
Assault Of An Intimate Partner And Dating Partner In Indian Country
Assault With A Dangerous Weapon With Intent To Commit Bodily Harm In Indian CountryChecotah, 26, of Okmulgee, is alleged to have assaulted his dating partner by suffocating and strangling her.
The Federal Bureau of Investigation and Sapulpa Police Department are the investigative agencies.
JOSHUA RYAN GANN
Murder In Indian Country
Gann, 29, of Wetumka, is charged with the premeditated murder of his grandfather, Gregory Lee Fish, with a sword.
The Federal Bureau of Investigation is the primary investigative agency.
KYLE ELLIOTT LEITKA
Abusive Sexual Contact In Indian Country
Leitka, 31, of Weleetka, is charged with having sexual contact with the victim without permission.
The Federal Bureau of Investigation is the primary investigative agency.
KYLE JOSEPH VANNORTWICK
Murder In Indian Country
Vannortwick, 35, of Muskogee, is charged with the premeditated murder of his identical twin brother, Adam Vannortwick, with a knife.
The Federal Bureau of Investigation is the primary investigative agency.
MARK KEVIN DODSON
SETH HENRY THOMASArson In Indian Country
Dodson, 51, of Okemah and Thomas, 22, of Okemah, are charged with conspiring and maliciously setting fire to a dwelling in Indian country, on or about September 15, 2019.
The Federal Bureau of Investigation is the primary investigative agency.
TOMMY RYAN GOUGE
Murder In Indian Country
Gouge, 41, of Clearview, is charged with the premeditated murder of his wife, Stephanie Michelle Gouge, on February 14, 2020, with an edged weapon.
The Federal Bureau of Investigation is the primary investigative agency.
JEREMY SANUEL HOOTEN
Assault With A Dangerous Weapon In Indian Country
Assault Resulting In Serious Bodily Injury In Indian Country
Robbery In Indian Country
Use, Carry, And Brandishing A Firearm During And In Relation To A Crime Of Violence
First Degree Burglary In Indian CountryHooten, 19, of Eufaula, is charged with breaking and entering into a home and, restraining, violently assaulting, and robbing an elderly victim at gun point. In the commission of the robbery, the victim sustained lacerations to the head.
The Federal Bureau of Investigation is the primary investigative agency.
AUSTIN DEAN MCMAHAN
Murder In Indian Country (Two Counts)
McMahan, 21, of Okmulgee, is charged with the premeditated murder of Mandy Hart (his girlfriend) and Ronald Chandler by shooting them both with a firearm.
The Federal Bureau of Investigation is the primary investigative agency.
GAGE HAYDEN ROSS
Assault With Intent To Commit Murder In Indian Country
Assault With A Dangerous Weapon With Intent To Do Bodily Harm In Indian Country
Assault Resulting In Serious Bodily Injury In Indian Country
Use, Carry And Discharge Of A Firearm During And In Relation To A Crime Of ViolenceRoss, 22, of Oktaha, is charged with shooting a victim in the back with a firearm with intent to kill.
The Federal Bureau of Investigation is the primary investigative agency.
MATTHEW ROY LAWSON
Sexual Exploitation Of A Child / Use Of A Child To Produce A Visual Depiction
Possession Of Certain Material Involving The Sexual Exploitation Of A MinorLawson, 33, of Springdale Arkansas, is charged with willfully trying to persuade a person under the age of 12 years old to engage in sexually explicit conduct and using a child to produce visual depictions of a sexual nature.
The Federal Bureau of Investigation is the primary investigative agency.
DIAMOND LEVI BRITT
Murder In Indian Country
Britt, 25, of Henryetta, is charged with the premeditated murder of his father, Gary Britt, on or about September 16, 2019, with a sword.
The Federal Bureau of Investigation is the primary investigative agency.
MARTHA CHRISTINE SIMPSON
JABAICA LEE TECUMSEH
TOMMY GLEN TECUMSEHMurder In Indian Country
Simpson, 44, of Broken Arrow; J. Tecumseh, 40, of Okmulgee, and T. Tecumseh, 33, of Okmulgee, are all charged with the premeditated stabbing murder of Robert Trevor Richardson.
The Federal Bureau of Investigation is the primary investigative agency.
CAMERON AUSTIN BURGESS
Assault Resulting In Substantial Bodily Injury To A Spouse, Intimate Partner, Or Dating Partner In Indian Country
Assault Resulting In Serious Bodily Injury In Indian Country
Use, Carry, And Discharge Of A Firearm During And In Relation To A Crime Of ViolenceBurgess, 22, of Morris, is charged with assaulting his partner with a firearm, causing substantial bodily injury by gunshot wound.
The Federal Bureau of Investigation is the primary investigative agency.
PATRICK DWAYNE MURPHY
Murder In Indian Country
Murder In Indian Country In Perpetration Of Kidnapping
Kidnapping Resulting In DeathMurphy, 51, of Vernon, is charged with the kidnapping and premeditated murder of George Jacobs, on August 28, 1999, with a knife.
The Federal Bureau of Investigation is the primary investigative agency.
SOLOMON LAMONT HORSECHIEF
Aggravated Sexual Abuse In Indian Country (Four Counts)
Horsechief, 35, of Muskogee, is charged with four counts of sexual abuse of a person under the age of 16 years old and administering intoxicants to said minor.
The Federal Bureau of Investigation is the primary investigative agency.
DENNIS DEWAYNE CANTRELL
Possession With Intent To Distribute Heroin
Possession With Intent To Distribute Methamphetamine
Possession Of Firearm In Furtherance Of A Drug Trafficking Crime
Felon In Possession Of A FirearmCantrell, 29, of McAlester, is charged with possession of heroin and methamphetamine with intent to distribute. Cantrell is further charged as a felon in possession of a firearm in furtherance of drug trafficking crime.
The Drug Enforcement Administration is the primary investigative agency.
MIKE AVERY THOMPSON, JR.
Assault With A Dangerous Weapon With Intent To Commit Bodily Harm In Indian Country
Assault Resulting In Serious Bodily Injury In Indian CountryThompson, 30, of Okemah, is charged with the stabbing, resulting in serious bodily harm, of a male in Indian Country.
The Federal Bureau of Investigation is the primary investigative agency.
NELSON ONARO, D.O.
Unlawful Distribution And Dispensing Of Controlled Substances (Twenty Four Counts)
Onaro, a 67 year-old Doctor of Osteopathic Medicine out of McAlester, is charged with illegally dispensing and distributing controlled substances from approximately May 23, 2019, to on or about November 26, 2019.
The Drug Enforcement Administration is the primary investigative agency.
COLTON DELAIN EDWARDS
JOBE ANTHONY TERRONEZ
PHILLIP LEMONT JONES, JR.
JAKEYVIOUS DUNE LEE KEY
JAYSEA MARKARA WILLIAMSAssault With Intent To Commit Murder In Indian Country (Two Counts)
Attempted Robbery In Indian Country (Two Counts)
First Degree Burglary In Indian Country (Two Counts)
Assault With A Dangerous Weapon, With Intent To Do Bodily Harm In Indian Country (Two Counts)
Use, Carry, And Discharge Of A Firearm During And In Relation To A Crime Of Violence
Firearms ConspiracyEdwards, 19, Terronez, 19, Jones Jr., 19, Key, 19, and Williams, 19, all of Haskell, allegedly used firearms to attempt to shoot, assault, and ultimately murder victims during the commission of a burglary and attempted robbery.
The Federal Bureau of Investigation is the primary investigative agency.
JOHNATHAN ZAMUDIO
Murder In Indian Country
Zamudio, 33, of Muskogee, is charged with the premeditated stabbing murder of Keith Dean Boswell, while in a physical altercation with the victim outside of a Family Dollar store in the city of Muskogee.
The Federal Bureau of Investigation is the primary investigative agency.
JOSHUA RYAN GREEN
Murder In Indian Country (Two Counts)
Arson In Indian CountryGreen, 30, of Okemah, is charged with the premeditated murder of his former girlfriend’s mother and brother with a firearm. Green is also charged with maliciously setting a fire to the incident residence.
The Federal Bureau of Investigation is the primary investigative agency.
DORION LAROY MARTIN
Assault With Intent To Commit Murder In Indian Country
Assault With A Dangerous Weapon With Intent To Commit Bodily Harm In Indian Country (Two Counts)
Assault Resulting In Serious Bodily Injury In Indian Country
Use, Carry And Discharge Of A Firearm During And In Relation To A Crime Of Violence
Felon In Possession Of FirearmMartin, 28, of Muskogee, allegedly used a firearm to attempt to shoot, assault, and ultimately murder victims by causing serious bodily injury during an altercation. Martin is further charged as a felon in possession of a firearm in relation to a crime of violence.
The Federal Bureau of Investigation is the primary investigative agency.
KYLE JOE MAXWELL
Robbery In Indian Country
Maxwell, 26, of Weleetka, allegedly robbed a convenience store at gunpoint in Okfuskee County on November 8, 2017.
The Federal Bureau of Investigation is the primary investigative agency.
MATTHEW WEST NIX
Involuntary Manslaughter In Indian Country
Nix, 33, of Morris, is charged with involuntary manslaughter after causing a car accident, resulting in the death of a woman, while driving impaired.
The Federal Bureau of Investigation is the primary investigative agency.
STEPHEN JACK NELSON
Assault With A Dangerous Weapon With Intent To Commit Bodily Harm In Indian Country
Nelson, 32, of McAlester, is charged with discharging a firearm with intent to cause bodily harm during a verbal altercation.
The Federal Bureau of Investigation is the primary investigative agency.
RAITHIELE ROBINSON
SKY ANGEL WRIGHTMurder In Indian Country In Perpetration Of Robbery
Attempted Robbery
ConspiracyRobinson, 46, of Broken Arrow and Wright, 25, of Broken Arrow, allegedly caused the unlawful killing of the victim, Mikael Parker, during the commission of the robbery.
The Federal Bureau of Investigation is the primary investigative agency.
DAVID NEIL DUNN
Assault Resulting In Serious Bodily Injury In Indian Country
Use, Carry, And Discharge Of A Firearm During And In Relation To A Crime Of ViolenceDunn, 20, of Muskogee, is charged with brandishing and discharging a shortened .22 caliber rifle that resulted in a female victim sustaining gunshot wounds on October 9, 2019.
The Federal Bureau of Investigation is the primary investigative agency.
Former Savannah finance company employee sentenced to federal prison for bank fraudRead the Press Release
SAVANNAH, GA: A former employee of a Savannah finance company was sentenced to federal prison for committing bank fraud.
Dean Emerson Flake, 58, of Brooklet, Ga., was sentenced to 20 months in federal prison followed by 13 months of home confinement by U.S. District Court Judge William T. Moore after pleading guilty to one count of Bank Fraud, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. After completion of his prison term, Flake will be required to serve three years of supervised release.
“Stealing from your own long-time employer displays callous disregard for those who have placed employees in positions of trust,” said U.S. Attorney Christine. “Dean Flake squandered his opportunity to earn an honest living when he bit the hand that generously fed him, and thus will now dine in a prison cafeteria.”
According to court documents and testimony, Flake was employed for nearly 35 years as an Accounts Payable Processor at a finance company in Chatham County. In 2019, he began forging signatures on checks drawn on the company’s checking account and depositing them in his own account.
By the time his scheme was detected, Flake had stolen more than $1.6 million from his employer. The government identified, seized and forfeited $975,138.79 from the scheme, and after his arrest Flake admitted to stealing the money to feed a gambling addiction.
The case was investigated by the U.S. Secret Service, and prosecuted for the United States by Assistant U.S. Attorney Xavier A. Cunningham, Section Chief of the Asset Recovery Unit of the U.S. Attorney’s Office.
Former Marine and Current Illinois State Trooper Charged in Conspiracy to Steal, Sell, and Ship Government PropertyRead the Press Release
RALEIGH, N.C. – A Yorkville, IL man was arrested on charges of conspiracy, theft of government property, and interstate transportation of stolen goods.
According to court documents, Rafael Montalvo, 31, is a former Individual Material Readiness List (IMRL) Manager aboard Marine Corps Air Station Cherry Point, NC, and a current Illinois State Trooper and member of the Illinois National Guard. He conspired with others in and outside the State of North Carolina to steal government-owned avionics and electronic testing equipment from multiple Marine Aviation Squadrons, and ship the stolen goods interstate to buyers located in other states. The conspiracy, alleged to have occurred between March 2018 and the present, is described as having used IMRL managers with access to the avionics equipment to steal from the military installations, and then either ship directly to Montalvo or to persons whom Montalvo directed. Montalvo received payment from the buyer, and paid those who reportedly stole the equipment for him.
Montalvo is charged with violations of 18 U.S.C. § 641, theft of government property, 18 U.S.C. § 2314, interstate transportation of stolen goods, and 18 U.S.C. § 371, conspiracy to undertake those crimes. He faces a maximum penalty of 300 months in prison if convicted.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement. The Naval Criminal Investigative Service, with assistance from the Defense Criminal Investigative Service, is investigating the case.
A copy of this press release is located on our website.
A criminal complaint is merely an accusation. The defendant is presumed innocent until proven guilty.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Former Holyoke Teacher Sentenced for Possession of Child PornographyRead the Press Release
BOSTON – A former Holyoke kindergarten teacher was sentenced today in federal court in Worcester for possession of child pornography.
Gregory Lisby, 40, of Worcester, was sentenced by U.S. District Court Judge Timothy S. Hillman to six years in prison and five years of supervised release. In February 2020, Lisby pleaded guilty to one count of possession of child pornography. Lisby was arrested and charged on Sept. 13, 2019, and resigned the day before from his position as a kindergarten teacher for the Holyoke Public Schools.
Law enforcement discovered an image depicting child pornography that had been uploaded to a Microsoft OneDrive account that belonged to Lisby. Approximately 180 images and 15 videos of child pornography were identified on the OneDrive. On Sept. 11, 2019, a search was executed at Lisby’s home where Lisby’s iPad and cellphone were recovered. On those devices, investigators found login credentials for the OneDrive account used to store the child pornography.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The Worcester, Holyoke, Northboro and Southboro Police Departments and the Massachusetts State Police provided assistance with the investigation. Assistant U.S. Attorney Kristen Noto of Lelling’s Worcester Branch Office prosecuted the case.
The case is brought as part of Project Safe Childhood. In 2006, the Department of Justice created Project Safe Childhood, a nationwide initiative designed to protect children from exploitation and abuse. Led by the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov/.
Former High School Classmates Charged in 34 Count Indictment for Defrauding Corporation of $7.2 MillionRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today that a pair of former high school classmates have been indicted for allegedly defrauding a multinational energy development corporation of approximately $7.2 million.
Forrest Wright, 40, and Nathan Keays, 40, both of Anchorage, have been named in a 34 count indictment charging them with wire fraud, conspiracy to commit wire fraud and money laundering.
From January 2012 to December 2019, Wright was employed by a multinational energy development corporation as a Senior Drilling and Wells Planner, responsible for ordering materials and labor for the drilling and wells program. Wright had authority to approve orders up to $1 million and was trusted to endorse and recommend vendor suppliers for approval. Keays is employed as a police officer with Anchorage Police Department and owns a personal business, Eco Edge Armoring, LLC (Eco Edge).
The indictment alleges beginning in February 2019, Wright devised a scheme to defraud his employer, a multinational energy development corporation, of monies. In furtherance of the scheme and using his trusted position within the company, Wright authored emails containing technical data and industry specific content in order to present Eco Edge as a legitimate oil and gas business with the purpose of obtaining an approved vendor status with his employer. Wright sent the emails from his personal email account to Keays with instructions to send the emails to Wright’s business email account. Wright then used the correspondence as a basis to obtain approved vendor status for Eco Edge. Once Eco Edge received an approved vendor status, Keays submitted fraudulent invoices in the amount of $3,251,383 for materials that did not exist and labor that was not performed. Wright used his trusted position within the company to instruct other employees to approve payment of the invoices, falsely representing the materials were accounted for and that work had been performed. Electronic payments in the amount of $3,087,720 were made from the victim business to Eco Edge’s business banking account. Keays then paid a kickback to Spectrum Consulting Business, a business wholly owned by Wright. Wright and Keays used the proceeds of the scheme on personal expenses, real estate and supporting their ongoing purported business operations.
The indictment further alleges that also beginning in February 2019 and continuing through December 2019, Wright, independent of Keays, devised another similar scheme by manufacturing and representing a business, “DB Oilfied Support Services” (DB Oilfield) as a legitimate oil and gas company, with the purpose of obtaining an approved vendor status with his employer. Wright furthered the perception of a legitimate oil and gas industry business by hiring a contractor to create a website for the business and creating a business email account for DB Oilfield. Wright then recommended DB Oilfield be approved as a vendor by his employer. Once DB Oilfield was approved as a vendor, Wright then authored and sent emails from the DB Oilfield email account to his official business email account, and used the correspondences to justify contract awards to DB Oilfield. Wright then caused fraudulent invoices in excess of $4.1 million for materials that did not exist to be submitted to Victim Business. Wright used his trusted position within the company to instruct other employees to approve payment of the invoices, falsely representing the materials were accounted for when the materials did not exist. Electronic payments in the amount of $4,148,000 were made from the victim business to the DB Oilfield business banking account. Wright then caused monies from the DB Oilfield business banking account to be deposited into the Spectrum Consulting Services business banking account. Wright purportedly used the proceeds on personal expenses and real estate property.
If convicted, Wright and Keays each face up to 20 years in prison and a maximum fine of $250,000. Under federal sentencing statutes, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Federal Bureau of Investigation (FBI) conducted the investigation leading to the indictment in this case. This case is being prosecuted by Assistant U.S. Attorney Charisse Arce.
An indictment is only a charge and is not evidence of guilt. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
Former Clovis Pastor Pleads Guilty to Real Estate Development Fraud SchemeRead the Press Release
FRESNO, Calif. — Sherman Smith, 74, of Monterey, pleaded guilty today to wire fraud, U.S. Attorney McGregor W. Scott announced.
According to court documents, Smith was the executive pastor of a church in Clovis. Smith induced investors, including church congregants, to give money to the church by representing that the money would be used to finance a real estate development project for the benefit of the church. Smith made appeals from the pulpit, via email, and in person for monies to pay off the church’s mortgage and fund an income-generating development.
Smith collected cash, checks, and rolled-over retirement accounts to fund the church’s project, but he did not disclose to investors that he used the money for personal expenses, to operate a publishing business, and to invest in foreign ventures. Smith defrauded investors of more than $2 million.
This case is the product of an investigation by the Federal Bureau of Investigation. Assistant U.S. Attorney Laura D. Withers is prosecuting the case.
Smith is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Dec. 11. Smith faces a maximum statutory penalty of 20 years in prison and a $250,000 fine. The actual sentence, however, will 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.
Falmouth Man Charged with Fraud, Theft and Impersonating a Federal OfficerRead the Press Release
PORTLAND, Maine: A federal grand jury indicted a Falmouth man for federal program fraud, wire fraud, false personation and theft of government benefits, U.S. Attorney Halsey B. Frank announced today.
According to the indictment and a criminal complaint, between 2014 and 2017, Joshua Cory Frances, 43: (a) impersonated a Department of Homeland Security law enforcement official; (b) obtained by fraud, over $700,000 worth of excess equipment from the Department of Defense; (c) converted to his own use, a 44-foot sailing vessel named COURAGEOUS, and a 27‑foot Boston Whaler power boat and two Mercury Marine 150-horsepower outboard engines; (d) embezzled almost $21,000 from his employer to transport the boats and engines to Maine; (e) evaded more than $3,000 in state excise taxes on personally owned vehicles; and (f) stole $9,630 in Supplemental Nutrition Assistance Program benefits to which he was not entitled.
The U.S. Department of Homeland Security, Office of Inspector General; the Defense Criminal Investigative Service; the Office of the Maine Attorney General; the Maine Department of the Secretary of State, Bureau of Motor Vehicles; and the Maine Department of Health and Human Services investigated the case, with assistance provided by the FBI and the Falmouth and Brunswick Police Departments.
Criminal complaints and indictments are merely accusations and a defendant is presumed innocent unless proven guilty in a court of law beyond a reasonable doubt.
Dominican Man Sentenced to 132 Months for Fentanyl TraffickingRead the Press Release
CONCORD - Jorge Rodriguez, 23, a citizen of the Dominican Republic most recently residing in Lawrence, Massachusetts, was sentenced on Thursday to 132 months in federal prison for fentanyl trafficking, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, a drug trafficking organization, which was led by Sergio Martinez, employed Rodriguez and others to sell fentanyl to customers from various New England states, including New Hampshire. On each date that Rodriguez worked, the Martinez organization provided him with at least one 200-gram bag of fentanyl and expected him to sell it and return approximately $6,000 in proceeds.
Rodriguez previously pleaded guilty on February 28, 2019. He faces likely deportation to the Dominican Republic after serving his sentence.
“This defendant worked for a drug trafficking enterprise that obtained fentanyl from a Mexican supplier in order to sell the drug to Granite Staters,” said U.S. Attorney Murray. “These activities contributed to an opioid crisis that has had a devastating impact on the people of New Hampshire. In order to fight back, we are working with our law enforcement partners each day to stop the flow of fentanyl and prosecute dealers. The 132-month prison sentence imposed in this case should serve as a warning to those who choose to trade in this deadly drug.”
“The state of New Hampshire is faced with an opioid crisis unlike ever before,” said DEA Special Agent in Charge Brian D. Boyle. “Fentanyl is causing great damage to our communities and DEA’s top priority is to aggressively pursue anyone who destroys lives by distributing this poison for profit.”
The case was a collaborative investigation that involved the DEA; the New Hampshire State Police; the Hillsborough County Sheriff’s Office; the Nashua Police Department; the Massachusetts State Police; the Massachusetts Attorney General’s Office; the New Hampshire Attorney General’s Office; the Essex County District Attorney’s Office; the Internal Revenue Service; U.S. Immigration and Customs Enforcement’s Homeland Security Investigations; United States Customs and Border Protection Boston Field Office; the United States Marshals Service; the United States Department of State’s Diplomatic Security Service; the Manchester Police Department; the Lisbon Police Department; the Littleton Police Department; the Seabrook Police Department; the Haverhill (MA) Police Department; the Methuen (MA) Police Department; the Lowell (MA) Police Department; and the Maine State Police.
The case was prosecuted by Assistant United States Attorneys Georgiana L. MacDonald and Seth R. Aframe.
Agencies participating in this investigation are part of the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. 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 organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
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Denver Convicted Felon Sentenced to 40 Months in Prison for Illegally Possessing FirearmRead the Press Release
DENVER – United States Attorney Jason R. Dunn announced that Andre Daniel Gilmore of Denver was sentenced on September 16, 2020, to serve 40 months in prison for being a felon in possession of a firearm, to run concurrent to his 16 year state prison sentence for attempted murder in Denver County. The Denver Field Division of the ATF joined in this announcement.
According to the stipulated facts contained in Gilmore’s plea agreement, on May 12, 2017, a Denver Police officer was patrolling along the Speer Boulevard corridor in Denver because of recent property crimes. At approximately 2:40 a.m., the officer observed a male, later identified as Gilmore, on a bicycle, possibly casing buildings. The officer approached Gilmore and took him into custody after Gilmore lied about his name. When additional officers arrived Gilmore gave his real name and stated he had a gun. The officers recovered a loaded 9mm pistol. A records check on the firearm determined it was stolen. At the time of his arrest, Gilmore was free on bond from the attempted murder case in Denver County.
Gilmore is prohibited from possessing firearms because he was previously convicted of a felony. In 2014, Gilmore pleaded guilty and was sentenced to serve 28 months in prison for being a felon in possession of a firearm. In 2004, he was convicted of robbery.
“This office has taken a hard line on felons who illegally possess firearms,” said U.S. Attorney Jason Dunn. “In Colorado, federal sentences for felon in possession are much tougher than at the state level, and I have told local law enforcement that we will gladly take these cases for prosecution to help them rid their communities of the worst and most violent actors.”
“The defendant violated Federal firearms law in addition to disrupting the safety of the public,” said ATF Denver Field Division Special Agent in Charge David Booth. “ATF and our law enforcement partners will tirelessly pursue those that bring violent crime into our communities with every tool at our disposal.”
Gilmore was prosecuted by Assistant U.S. Attorney Jason St. Julien. The sentence was pronounced by U.S. District Court Judge William J. Martinez. The case was investigated by the Denver Field Division of the ATF and the Denver Police Department.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Colorado. Related court documents can be found on PACER. The defendant’s case number is 17-cr-327.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
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.
Davidson Duo Sentenced in Counterfeit Currency CaseRead the Press Release
GREENSBORO, N.C. - Two Davidson County residents were sentenced today in federal court for their roles in conspiring to defraud the United States, in violation of Title 18, United States Code, Section 371, announced United States Attorney Matthew G.T. Martin of the Middle District of North Carolina.
JAMES DAVID SHORES, age 37, and JESSICA ROSE ALFORD, age 22, were sentenced by United States District Court Judge Catherine C. Eagles in Greensboro. According to court documents, SHORES and ALFORD conspired to produce and pass counterfeit United States currency. The two used the counterfeit currency to purchase items from retail stores, such as Lowe’s Home Improvement and Home Depot, throughout the state of North Carolina.
SHORES was sentenced to 60 months in prison and three years of supervised release. The Court also ordered SHORES to pay $241,160 in restitution. The Court sentenced ALFORD to 27 months in prison along with three years of supervised release. ALFORD, who joined the conspiracy after SHORES, was also ordered to pay $212,880 in restitution.
U.S. Attorney Martin and Special Agent in Charge of the Charlotte Field Office, Reginald Dematteis II of the United States Secret Service thanked special agents of United States Secret Service, who conducted the investigation, and Assistant U.S. Attorney Tanner Kroeger, who prosecuted the case.
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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DOJ requires divestiture in order for Anheuser-Busch to acquire Craft Brew AllianceRead the Press Release
WASHINGTON – The Department of Justice announced today that it is requiring Anheuser-Busch InBev SA/NV (ABI), its wholly-owned subsidiary Anheuser-Busch Companies LLC (AB Companies), and Craft Brew Alliance Inc. (CBA) to divest CBA’s entire Kona brand business in the state of Hawaii and to license to the acquirer the Kona brand in Hawaii in order for AB Companies, a minority shareholder in CBA, to proceed with its proposed acquisition of the remaining shares of CBA. The department has approved PV Brewing Partners, LLC as the acquirer. The proposed settlement will maintain competition in the beer industry in Hawaii benefitting consumers.
The Justice Department’s Antitrust Division filed a civil antitrust lawsuit today in the U.S. District Court for the Eastern District of Missouri to block the $220 million proposed transaction. At the same time, the department filed a proposed settlement that, if approved by the court, would resolve the competitive harm alleged in the lawsuit.
According to the department’s complaint, AB Companies’ acquisition of CBA likely would substantially lessen head-to-head competition in Hawaii between ABI brands, such as Stella Artois and Michelob Ultra, and CBA’s Kona brand. If the transaction was allowed to proceed, ABI and CBA would have a combined share of approximately 41 percent in the moderately concentrated Hawaii beer market. The merger would also likely harm future competition between ABI and CBA as, absent the merger, the companies would continue to invest and compete against each other for premium beer sales in the state. By eliminating CBA’s Kona brand as a competitive restraint, ABI would also likely have greater ability to facilitate price coordination, resulting in higher prices for beer sold in Hawaii, amplifying competitive concerns.
“This merger, as originally structured, would have significantly increased market concentration in Hawaii and eliminated the growing competition between ABI and CBA brands,” said Assistant Attorney General Makan Delrahim of the Justice Department’s Antitrust Division. “Today’s settlement with its divestitures will ensure that consumers continue to benefit from this competition today and into the future.”
Under the terms of the proposed settlement, ABI and CBA must divest CBA’s entire Kona Hawaii business — Kona Brewery LLC — to PV Brewing Partners or to an alternative purchaser approved by the United States. Specifically, the settlement requires the sale of the Kona brewing facilities in Hawaii, including a new 100,000-barrel capacity brewery currently under construction; the granting of a perpetual, exclusive license of the Kona brand for the brewing, distribution, and sale of Kona beer in Hawaii as well as other assets, rights, and interests necessary to ensure that PV Brewing Partners, LLC, is able to compete in the Hawaii beer market using the Kona brand.
ABI is a corporation organized and existing under the laws of Belgium, with its headquarters in Leuven, Belgium. ABI is already a minority shareholder in CBA. ABI proposes to acquire 100 percent ownership of CBA through AB Companies, a Delaware limited liability company that currently holds a minority ownership stake in CBA. ABI owns numerous major beer brands sold in the United States, including in Hawaii. These brands include Bud Light, Budweiser, Busch Light, Natural Light, Michelob Ultra, Stella Artois, and Golden Road.
CBA is a corporation organized and existing under the laws of Washington, with its headquarters in Portland, Oregon. CBA owns several beer brands sold in the United States, including Widmer Brothers, Omission, Redhook, and Kona, a brand that originated in Hawaii and is especially popular in that state.
PV Brewing Partners LLC, is a Delaware limited liability company with its headquarters in Overland Park, Kansas. The entity was formed by VantEdge Partners LP, a private equity company based in metropolitan Kansas City.
As required by the Tunney Act, the proposed settlement, along with a competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period to Robert A. Lepore, Chief, Transportation, Energy, and Agriculture Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street N.W., Suite 8000, Washington, D.C., 20530. At the conclusion of the 60-day comment period, the U.S. District Court for the Eastern District of Missouri may enter the final judgment upon finding it is in the public interest.
Chester County Doctor Agrees to Pay over $1.2 Million to Settle Allegations of Fraudulent Billing and Unlawful Opioid DistributionRead the Press Release
PHILADELPHIA— United States Attorney William M. McSwain announced that Thomas J. Whalen, D.O., 65, of Berwyn, PA, has agreed to pay the United States $1,257,499.00 to resolve allegations under the False Claims Act that he submitted or caused the submission of false claims to federal health care plans for FDA-approved versions of Remicade, Orencia, Prolia/Xgeva, Synvisc/Synvisc One, and Boniva when he had, in fact, administered non-FDA-approved, foreign versions of these medications.
In addition, the civil settlement resolves admissions that Whalen knowingly and intentionally prescribed controlled substances outside the usual course of professional practice and without a legitimate medical purpose, in violation of the Controlled Substances Act. Whalen permanently surrendered his controlled substance registrations with the DEA, surrendered his medical license, and will be excluded from participation in federal programs.
Whalen owned and operated Rheumatology Consultants, P.C., doing business as Whalen Rheumatology Group, with locations in Havertown, PA, Exton, PA, and Wilmington, DE. As part of his practice, Whalen used medications administrated by injection and infusion to treat his patients. These medications, including Remicade Synvisc, Synvisc-One, Orencia, Prolia/Xgeva, and Boniva, are made of living cells and are expensive. Rather than purchase FDA-approved versions of these medicines from authorized distributors, Whalen devised a scheme to purchase much cheaper foreign, non-FDA-approved versions of these medications. Unbeknownst to his patients, Whalen injected or infused them with the non-FDA-approved medications and then billed health care programs as if he had used the approved medications and pocketed approximately $1.1 million in illicit gains.
Whalen also prescribed oxycodone to patients abusing illicit drugs. Whalen admitted to unlawful distribution of a controlled substance to two of his patients to whom he prescribed oxycodone, despite receiving multiple urine drug screening results for each that revealed the patients simultaneously abused cocaine and heroin.
In December 2019, Whalen also pleaded guilty before United States District Court Judge Timothy J. Savage to related criminal charges of one count of health care fraud, one count of importation contrary to law, and two counts of distributing and dispensing oxycodone outside the course of professional practice and not for a legitimate medical purpose. He was sentenced this week to one day incarceration, followed by 12 months home confinement, three years supervised release and a $25,000 fine.
“Whalen prioritized lining his own pockets over his patient’s safety,” said U.S. Attorney McSwain. “By duping his patients and health care programs alike, he stole more than $1.1 million. On top of that, he also unlawfully distributed oxycodone to patients he knew were using cocaine and heroin. These are egregious, inexcusable violations of the trust that was placed in him as a medical professional.”
Regarding the resolution of the civil suit allegations, U.S. Attorney McSwain also stated: “This settlement illustrates my Office’s dedication to ensuring that physicians who engage in submission of false claims and the illegal distribution of opioids and other controlled substances are held accountable with all of our civil enforcement tools, as well as our criminal tools. My Office’s Health Care Fraud Strike Force, Civil Division, and Forfeiture staff continue to aggressively investigate doctors who violate their duties, so that we can deter and punish illegal opioid prescribing and health care fraud.”
“Dr. Whalen administered non-FDA approved drugs, which placed patients’ health at risk” said Special Agent in Charge Maureen Dixon of the U.S. Department of Health and Human Services Office of Inspector General’s (HHS-OIG) Philadelphia Office. “Such medications are not paid for by Medicare due to the risk they may pose to patient health. HHS-OIG, along with our law enforcement partners, will continue to protect the public and root out dangerous and costly fraud schemes.”
“Dr. Whalen dispensed oxycodone, a highly addictive controlled substance medication, to individuals who he knew were already abusing cocaine and heroin. He did so without first establishing a professional doctor-patient relationship with these individuals and dispensed the oxycodone to them without any legitimate medical purpose. Instead of using his professional standing to help these individuals addicted to illicit street drugs, Dr. Whalen used his medical license to harm them in the name of making money, ” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “Whalen’s crimes enabled his patients’ substance use disorder rather than treating it appropriately.”
“The opioid epidemic that continues to spread across our nation is fueled by the illegal procurement and distribution of drugs such as OxyContin,” said Norbert E. Vint, Deputy Inspector General Performing the Duties of the Inspector General, OPM OIG. “Dr. Whalen’s scheme not only defrauded the federal health insurance carriers, but also put patients at grave risk through his unlawful distribution of controlled substances for no legitimate medical purpose. This guilty plea and settlement sends a clear message to those engaged in fraudulent conduct contributing to the opioid crisis that we will hold providers accountable. I applaud the hard work of our investigative staff and our law enforcement partners.”
“U.S. consumers rely on FDA oversight to ensure that the drugs they receive are safe and effective. Rogue health care professionals who obtain foreign unapproved medicines and then dispense and administer those drugs to their patients, put the health of those patients at significant risk,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to pursue and bring to justice those who choose to put the public’s health at such risk.”
The U.S. Department of Health and Human Services, Office of Inspector General; the Drug Enforcement Administration; Homeland Security Investigations; the Food and Drug Administration, Office of Criminal Investigations; the Office of Personnel Management, Office of Inspector General; and the Federal Bureau of Investigation all investigated the case. Trial Attorney Debra Jaroslawicz with the Criminal Division’s Fraud Section and Assistant United States Attorney Paul J. Koob prosecuted the criminal case. Assistant United States Attorney and Deputy Chief Charlene Keller Fullmer handled the civil case.
Cedar Rapids Man who Unlawfully Possessed Handgun During Violent Melee Sentenced to Federal PrisonRead the Press Release
A Cedar Rapids man who was involved in a melee at a friend’s house, and later found with guns and knives, was sentenced today to two years in prison.
Andrew Monroe, age 28, from Cedar Rapids, Iowa, received the prison term after a guilty plea to possession of a firearm as a drug user. On August 29, 2019, police responded to a call to a home in Marion, Iowa. The police discovered that there had been a violent melee at the house. The melee ultimately resulted in the hospitalization of multiple individuals with life-threatening stab wounds. Monroe admitted to being present and police found him with a pistol while under the influence of marijuana.
Monroe was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Monroe was sentenced to 24 months’ imprisonment and fined $100. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background
Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see /media/1122011/dl?inline.
Monroe is set to surrender to the United States Marshal on October 13, 2020 at 10:00 a.m. and will be held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Liz Dupuich and investigated by Marion Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-05-CJW.
Follow us on Twitter @USAO_NDIA.
Carroll County Man Convicted of Possession and Distribution of Child PornographyRead the Press Release
Jackson, TN – After a 3-day jury trial with proper COVID-19 health and safety protocols,William Farrell Russell, 47, has been found guilty of possession and distribution of child pornography depicting the sexual abuse of children under twelve years of age. D. Michael Dunavant, U.S. Attorney announced the guilty verdict today.
According to information presented in Court, investigators with the Faulkner County, Arkansas, Sheriff’s Department learned that a user of the Kik instant messaging service was distributing child pornography under the screen name "funfortaboo." The investigators assumed undercover identities and began communicating with funfortaboo in late June 2016. Between July 1 and July 7, 2016, funfortaboo distributed to the undercover investigators images of child sexual abuse. The Faulkner County, Arkansas investigators and members of the FBI Project Safe Childhood Task Force for the Western District of Tennessee, identified "funfortaboo" as William Farrell Russell, who was then living in Cedar Grove, TN.
On July 28, 2016, members of the FBI Project Safe Childhood Task Force executed a search warrant at Russell's Cedar Grove home, and recovered the cellular telephone that Russell had used to distribute the child sexual abuse materials. On that telephone, Russell possessed hundreds of images and videos of child sexual abuse, including the images that he had distributed to the undercover officers under the screen name funfortaboo.
That same day, July 28, 2016, Russell waived his Miranda rights and admitted to using the cellular telephone to communicate with and send photographs to the undercover officers.
A sentencing hearing is scheduled for January 5, 2021, before Chief U.S. District Court Judge S. Thomas Anderson. Russell faces up to 20 years in federal prison for each count of the indictment, and a $250,000 fine. There is no parole in the federal system.
U.S. Attorney D. Michael Dunavant said, "Child pornography is an abhorrent offense that scars the children affected forever. And it doesn’t take an economist to know that demand drives supply. By repeatedly distributing hundreds of images and videos of young children being sexually abused, Russell contributed to their past victimization. And by fueling the demand for child pornography, his conduct likely also contributed to the future harm done to children in the name of profit. This office will always aggressively prosecute and seek significant and mandatory sentences for such depraved and predatory behavior in order to protect children and hold offenders accountable."
The FBI Project Safe Childhood Task Force and Faulkner County, Arkansas Sheriff’s Office investigated this case.
Assistant U.S. Attorneys Gregory Allen and Lauren Delery are prosecuting this case on behalf of the government.
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Boston Man Sentenced for Life Insurance Fraud SchemeRead the Press Release
BOSTON – A Boston man was sentenced yesterday in federal court in Boston for a scheme to defraud numerous life insurance companies.
Kellerman Jason Zheng, 33, was sentenced by U.S. District Judge Nathaniel M. Gorton to 15 months in prison and three years of supervised release. Zheng was also ordered to pay $49,084. In February 2020, Zheng pleaded guilty to mail and wire fraud.
Between December 2016 and March 2018, Zheng took out at least 24 life insurance policies in his brother’s name. These policies, which carried total coverage limits in excess of $11.5 million, listed Zheng and his parents as the beneficiaries. Zheng’s brother however, had died months earlier during a visit to China in April 2015. As part of the scheme, Zheng also took steps to make it appear as though his brother was still alive by opening and using bank accounts in his brother’s name and renewing his brother’s Massachusetts driver’s license.
Later, Zheng obtained a false Chinese death certificate for his brother indicating that his brother had died in August 2018, and used it to submit over $5 million in life insurance claims. Zheng admitted that his brother died prior to the inception of the insurance policies during meetings with an undercover agent who was posing as a claims manager willing to assist in the fraud scheme.
United States Attorney Andrew E. Lelling; Joseph W. Cronin, Inspector in Charge of the U.S. Postal Inspection Service; and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Office made the announcement today. Valuable assistance was provided by the Iowa Insurance Division. Assistant U.S. Attorney Jordi de Llano, Deputy Chief of Lelling’s Securities, Financial & Cyber Fraud Unit, prosecuted the case.
Boca Raton Doctor Pleads Guilty to $20 Million Health Care Fraud SchemeRead the Press Release
Tampa, Florida – Dr. Richard Davidson (41, Boca Raton) has pleaded guilty to conspiracy to commit health care fraud. He faces a maximum penalty of 10 years in federal prison. Davidson has also agreed to forfeit $2,472,087 to the United States, which represents the proceeds he obtained through the commission of the offense. A sentencing date has not yet been set.
According to the plea agreement, in 2018, Davidson and his conspirators established a conglomerate of durable medical equipment (“DME”) supply companies. During the creation of the companies, they lied to Medicare to secure billing privileges. The scheme involved placing the companies in the names of straw owners. By concealing their true ownership, the conspirators secretly gained control of multiple companies, which Medicare prohibits. This enabled the conspirators to submit high volumes of illegal DME claims while attempting to evade law enforcement scrutiny. In one year, through the conglomerate, Davidson and his conspirators submitted more than $20 million in illegal DME claims, resulting in more than $10 million in payments from Medicare and the Civilian Health and Medical Program of the Department of Veterans Affairs (“CHAMPVA”).
To attain such high volumes of claims, the conspirators used bribes and kickbacks. Specifically, Davidson and his conspirators illegally purchased thousands of signed doctors’ orders for DME braces from so-called “marketers.” The marketers, for their part, had generated the signed doctors’ orders under the guise of “telemedicine,” but no telemedicine had actually occurred. Instead, the “marketers” had bribed doctors to sign the DME brace orders that supported the illegal claims. Davidson and his conspirators paid millions to secure the illegal DME claims for submission to Medicare and CHAMPVA.
This case was investigated by the U.S. Department of Health and Human Services – Office of Inspector General, the Federal Bureau of Investigation, the Department of Veterans Affairs – Office of Inspector General, and the Internal Revenue Service – Criminal Investigation, Tampa Field Office. It is being prosecuted by Assistant United States Attorney Kristen A. Fiore.
Baldwinsville Woman Arrested, Charged with Threatening to Murder A New York CongressmanRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Bethann Marie Wallace, 48, of Baldwinsville, NY, was arrested and charged by criminal complaint with interstate communication of a threat. The charge carries a maximum penalty of five years in prison, a $250,000 fine, or both.
According to Assistant U.S. Attorney Sean C. Eldridge of the U.S. Attorney’s Office for the Western District of New York in Rochester, the criminal complaint alleges that on July 10, 2020, the Washington D.C. office of New York Congressman John Katko received a threatening voice mail that included a threat to kill the Congressman.
Congressman Katko’s office reported the voicemail to the United States Capitol Police, Threat Assessment Section, which began an investigation in coordination with the Federal Bureau of Investigation. The telephone number that the call originated from traced back to the defendant.
As a result of the threat, security surrounding Congressman Katko was increased. Since Congressman Katko formerly served as an Assistant U.S. Attorney in the Northern District of New York, that Office was recused, and the case is being prosecuted by the United States Attorney’s Office for the Western District of New York.
Wallace made an initial appearance before U.S. Magistrate Judge Therese Wiley Dancks, and is being held pending a detention hearing on September 21, 2020, at 2:30 p.m.
The criminal complaint is the result of an investigation by the Federal Bureau of Investigation, under the direction of Thomas F. Relford, Special Agent-in-Charge, Albany Field Division; the New York State Police, under the direction of Acting Major Barry Chase; and the United States Capitol Police, under the direction of Chief Steven A. Sund.
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.# # # #
Anchorage Man Sentenced for Gun Violence on School GroundsRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today that an Anchorage man has been sentenced to federal prison for charges relating to gun violence within an Anchorage school zone.
John-Rexie Lagman, 23, of Anchorage was sentenced on Thursday, September 17, 2020 by Chief U.S. District Judge Timothy M. Burgess to 30 months in federal prison followed by 2 years of supervised release for possessing a firearm within a designated school zone.
On July 2, 2019, two teenagers involved in a social medial dispute planned to fight at Williwaw Elementary School, recruiting friends to join them. The dispute turned violent when one teen began stabbing others, including Lagman, with a screwdriver. In response, Lagman pulled out a Springfield XD .40-caliber handgun and shot the teen twice as he was running away. The teen survived the shooting but suffered life-threatening injuries.
At the sentencing hearing, Judge Burgess remarked that Lagman’s conduct “defied any sort of reasonable reaction or behavior” and noted the sentence should “send a message to the community about gun violence.”
U.S. Attorney Bryan Schroder stated, “The United States Attorney’s Office, along with our law enforcement partners, are committed to enforcing the laws that protect children from gun violence at and around schools.”
This case was part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case is 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 visit https://www.justice.gov/ag/about-project-guardian
The Anchorage Police Department (APD) and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Assistant U.S. Attorney Jennifer Ivers. The United States Attorney’s Office has prosecuted this case with support from the Anchorage Municipality. Assistant U.S. Attorney Jennifer Ivers initiated the case when she was a municipal prosecutor assigned to the U.S. Attorney’s Office to combat violent crime and promote public safety within the Municipality of Anchorage.
Thursday 17 September 2020
Woman guilty of filing false amended tax returnRead the Press Release
HOUSTON - A local resident has admitted she defrauded the IRS of more than $1.5 million, announced U.S. Attorney Ryan K. Patrick along with Special Agent in Charge D. Richard Goss of IRS - Criminal Investigation (CI).
According to the plea agreement filed in the record of the case, Lee Williams pleaded guilty today to filing a false amended joint 2016 U.S. individual income tax return which resulted in an intended tax loss of approximately $800,000.
As part of the agreement, she further acknowledged the relevant conduct for sentencing purposes is over $1.5 million. She has agreed to pay restitution in the amount of $1,975,734.58.
U.S. District Judge Lynn N. Hughes accepted the plea today and set sentencing for Dec. 21. At that time, Williams faces up to three years in federal prison and a possible $250,000 maximum fine.
She was permitted to remain on bond pending that hearing.
IRS-CI conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
Wayne County man pleads guilty to a firearm charge and attempted witness tamperingRead the Press Release
ST. LOUIS, MO – United States District Judge Stephen R. Clark accepted a plea, today, from Donald W. Sanders. The 62-year-old Williamsville resident pleaded guilty to one felony count of Possession of a Firearm by a Convicted Felon and one felony count of Attempting to Intimidate or Threaten a Government Witness.
According to court records, on January 14, 2019, Sanders was inside a white Ford pick-up truck driven by another person. Officers tried to stop the truck, but the driver drove away. Eventually, the truck crashed and officers arrested Sanders and the driver. Officers found four firearms in the truck and recovered another rifle thrown from the truck during the chase. Officers later found a handgun in a motel room in Poplar Bluff shared by Sanders and the driver. It was determined; all of the firearms were stolen from residences in Butler County, Missouri.
On February 9, 2019, while incarcerated in the Butler County Jail, Sanders had a recorded conversation with a visitor. During the conversation, Sanders learned a female acquaintance was a possible witness against him for the firearm charge. Sanders expressed a concern the charge might be charged in federal court. Sanders made a statement to the visitor that the visitor should tell the woman, “Black River is very cold right now.” Sanders later admitted his statement was an attempt to persuade the woman not to testify as to the facts in the firearm charge.
Sanders has prior convictions for Escape from Custody in the Circuit Court of Wayne County, MO and the United States District Court for the Eastern District of Missouri. He is prohibited from possessing firearms.
The Butler County Sheriff’s Office investigated the case. Assistant United States Attorney Julie Hunter prosecuted the case for the U.S. Attorney’s Office.
Waterbury Man Sentenced to 66 Months in Federal Prison for Trafficking NarcoticsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that Pedro Santos, 47, of Waterbury, was sentenced today by U.S. District Judge Janet C. Hall in New Haven to 66 months of imprisonment, followed by four years of supervised release, for trafficking heroin and cocaine.
According to court documents and statements made in court, this matter stems from a joint investigation headed by the DEA New Haven Task Force and the Waterbury and Naugatuck Police Departments into a heroin and cocaine trafficking operation headed by Keith Jordan of Waterbury. The investigation, which included the use of court-authorized wiretaps, physical surveillance and controlled purchases of narcotics, revealed that Jordan was receiving large quantities of heroin from various suppliers, including Santos, and selling to drug to other distributors and street-level customers. Jordan also purchased and distributed cocaine.
In November and December 2018, investigators intercepted hundreds of calls on Santos’ phone that were pertinent to drug trafficking. The intercepts revealed that Santos was receiving narcotics from co-conspirators and supplying heroin and cocaine to a network of street-level drug distributors.
On March 13, 2019, a grand jury in Hartford returned an indictment charging Santos, Jordan and 27 other individuals with various offenses related to the distribution of heroin, fentanyl, cocaine and crack cocaine.
Several of Santos’ codefendants were arrested on March 20, 2019. In association with the arrests, investigators seized approximately 3,000 bags of heroin, 400 grams of cocaine, 350 grams of fentanyl/heroin mixed, 400 grams of heroin, 10 grams of crack, 20 pounds of marijuana, fentanyl patches, a one-kilogram press, four handguns, approximately $120,000 in cash and four vehicles.
Santos evaded capture until August 8, 2019, when he was apprehended in Holyoke, Massachusetts. He has been detained since his arrest.
On January 23, 2020, Santos pleaded guilty to one count of conspiracy to distribute, and to possess with intent to distribute, 100 grams or more of heroin.
Jordan pleaded guilty and awaits sentencing.
This investigation has been conducted by the Drug Enforcement Administration New Haven Task Force, Waterbury Police Department and Naugatuck Police Department, with the critical assistance of the U.S. Secret Service, New York Field Office. The DEA New Haven Task Force includes participants from the U.S. Marshals Service, Internal Revenue Service – Criminal Investigation Division, and the New Haven, Hamden, West Haven, North Haven, Branford, Ansonia, Meriden, Derby, Middletown, Naugatuck and Waterbury Police Departments.
The case is being prosecuted by Assistant U.S. Attorneys S. Dave Vatti and Nathaniel J. Gentile.
Waterbury Man Sentenced to 46 Months in Federal Prison for Counterfeit Check Bank Fraud SchemeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JONELL BONILLA, 26, of Waterbury, was sentenced today by U.S. District Judge Vanessa L. Bryant to 46 months of imprisonment, followed by four years of supervised release, for operating a counterfeit check bank fraud scheme.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the court proceeding occurred via videoconference.
According to court documents and statements made in court, between approximately December 2017 and January 2019, Bonilla and others obtained access to bank accounts by recruiting individuals through social media and persuading the individuals to share their account information, including debit cards and associated PIN numbers. The account holders were paid for providing access to their bank accounts. Bonilla and his co-conspirators misrepresented to the account holders that U.S. Postal Service money orders or authentic checks would be deposited into their accounts. After Bonilla and his co-conspirators had access to the accounts, they deposited counterfeit checks into those accounts and then withdrew money from the accounts before the banks discovered the checks to be counterfeit.
Bonilla and his co-conspirators attempted to steal more than $500,000 through this scheme, and were successful in defrauding at least 12 banks of approximately $319,000.
Judge Bryant ordered Bonilla to pay restitution of $254,499.90.
Bonilla has been detained since his arrest on January 9, 2019. On October 2, 2019, he pleaded guilty to one count of conspiracy to commit bank fraud and one count of bank fraud.
Three of Bonilla’s co-conspirators have pleaded guilty and await sentencing.
This matter is being investigated by the U.S. Postal Inspection Service and the U.S. Secret Service. The case is being prosecuted by Assistant U.S. Attorney John T. Pierpont, Jr.
Ulster County Man Sentenced to 100 Months for Distributing Child PornographyRead the Press Release
ALBANY, NEW YORK – Corey Baker, age 25, of Clintondale, New York, was sentenced yesterday to 100 months in prison for distributing child pornography.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
Baker pled guilty on January 15, 2020. As part of his guilty plea, Baker admitted that, between June 2017 and August 2018, he used a cell phone and laptop, equipped with various Internet-based instant messaging and file-sharing applications, to trade child pornography with others. He also admitted to using a peer-to-peer file-sharing application on the laptop to search for and download child pornography. Baker’s phone and laptop computer contained approximately 671 video files and 115 image files depicting the sexual exploitation of children.
Senior United States District Judge Thomas J. McAvoy also sentenced Baker to a 15-year term of supervised release, to begin following his term of imprisonment, and ordered him to pay $6,000 in restitution to the victims depicted in the materials he possessed. Baker will also be required to register as a sex offender upon his release from prison
This case was investigated by the FBI, with assistance from the New York State Police, and was prosecuted by Assistant U.S. Attorney Emmet O’Hanlon.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims, please visit https://www.justice.gov/psc.
Ulster County Man Charged with COVID-19 Relief FraudRead the Press Release
ALBANY, NEW YORK – Jean R. Lavanture, a/k/a Rudy Lavanture, age 47, of Saugerties, New York, was arrested today on a bank fraud complaint alleging that he fraudulently obtained nearly $5 million in government-backed loans meant for businesses struggling with the financial effects of the coronavirus pandemic. FBI agents arrested Lavanture this morning at a 8.54-acre New Jersey estate that he is alleged to have bought with the fraudulently obtained funds.
The announcement was made by Acting United States Attorney Antoinette T. Bacon; Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI); Jonathan D. Larsen, Special Agent in Charge, New York Field Office, Internal Revenue Service (IRS)-Criminal Investigation; and Kevin Kupperbusch, Special Agent in Charge of the Eastern Region of the Office of Inspector General for the Small Business Administration (SBA-OIG).
Acting United States Attorney Antoinette T. Bacon stated: “According to the complaint, Jean Lavanture stole millions of dollars from important government programs created to help struggling communities during the pandemic. We are on the lookout for fraud, and we will use all available tools to prosecute those who lie, cheat, and steal from programs that America’s businesses and their employees so desperately need.” Coronavirus Fraud Coordinator Joshua R. Rosenthal added, “The U.S. Attorney’s Office and our law enforcement partners will continue to aggressively pursue fraudsters seeking to illegally exploit the ongoing coronavirus emergency.”
FBI Special Agent in Charge Thomas F. Relford stated: “The allegations against Mr. Lavanture are appalling. Small businesses have suffered devastating losses during the coronavirus pandemic and the FBI will not tolerate anyone who steals the funding designed to be a lifeline for those businesses. The FBI, along with our federal partners, will remain vigilant in making sure programs like the PPP are used as intended.”
A criminal complaint alleges that between June 16, 2020 and July 22, 2020, Lavanture received approximately $4,906,281 in Paycheck Protection Program (PPP) loans and Economic Injury Disaster Loans (EIDL), which were issued by two banks and the SBA to five Saugerties-based companies he controlled. In the loan applications, Lavanture falsely represented that each company had employees, substantial revenues, and a payroll, and he submitted fraudulent tax documents in support of his lies. In fact, according to the complaint, none of these companies has ever reported employees to the New York State Department of Labor, nor reported income to the IRS for 2017 through 2019.
The complaint also alleges that Lavanture has improperly used loaned funds to make property purchases and pay personal expenses, further demonstrating his fraudulent intent. Lavanture has withdrawn approximately $439,503.25 of the loaned funds in cash, and drew on loaned funds when he purchased a motel in Rockaway Beach, Missouri, and transferred $952,000 in connection with the purchase of a 8.54-acre estate in Byram Township, New Jersey, that includes an 18-room Tuscan-style mansion.
The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
IRS-CI Special Agent in Charge Jonathan D. Larsen stated: “This case is an example of greed and selfishness during a time when our country is united in crisis. IRS-CI and our law enforcement partners are committed to identifying individuals like Mr. Lavanture, who would deprive struggling small businesses from much-needed economic relief for their own gain, and then quickly taking action to bring them to justice.”
SBA-OIG Special Agent in Charge Kevin Kupperbusch stated: “Greed has no place in SBA’s programs that are intended to provide assistance to the nation’s small businesses struggling with the pandemic challenges. Our Office will remain relentless in the pursuit of fraudsters who seek to exploit SBA’s vital economic programs. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and commitment to seeing justice served.”
Lavanture was scheduled to make an initial appearance later this afternoon before a United States Magistrate Judge in Newark, New Jersey.
If convicted of bank fraud, Lavanture faces up to 30 years in prison, up to 5 years of post-imprisonment supervised release, and a maximum fine of the greater of $1 million or twice his gross pecuniary gain or his victims’ gross pecuniary loss. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted in March 2020 and designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects of the COVID-19 pandemic. The CARES Act authorized forgivable loans to small businesses for job/employee retention and certain other expenses, through the PPP. PPP loan proceeds must be used by the borrowing business only on certain, permissible expenses – specifically, payroll costs, interest on mortgages, rent, and utilities. PPP loans are issued by banks and guaranteed by the SBA.
The CARES Act also authorized EIDLs to be granted to small businesses and non-profit organizations experiencing substantial financial disruption due to the COVID-19 pandemic. These low-interest loans are designed to provide temporary relief to organizations suffering a temporary loss of revenue. EIDLs are to be used to cover an array of expenses, such as rent, utilities, and fixed debt payments. The SBA pays EIDLs directly.
This case is being investigated by the FBI, IRS-Criminal Investigation, and SBA-OIG, and is being prosecuted by Assistant U.S. Attorneys Michael Barnett and Joshua R. Rosenthal.
US Attorney Kirsch Reminds Parents About Online Predators with Recent IndictmentsRead the Press Release
HAMMOND – United States Attorney Thomas L. Kirsch II announces three separate Indictments involving three defendants who were charged with a variety of crimes against children.
“My Office will continue to work with our investigative partners to investigate and prosecute those who commit crimes against children,” said United States Attorney Kirsch. “Victims of these horrific crimes lose their innocence through no fault of their own, and we take these matters very seriously.”
Today’s indictments include:
- Tyrone Johnson, age 32, of Merrillville, Indiana was charged with production of child pornography and possession of child pornography. It is alleged that after the victim disclosed that Johnson had been raping her, Johnson asked another individual to pick up his cellular telephone from property in the jail and destroy it. Instead, the person discovered a video on the phone of Johnson raping the girl and sent the video to another individual who alerted police. This case was investigated by Homeland Security Investigations with assistance from the LaSalle, Illinois Police Department and the Lake County, Indiana Sherriff’s Office.
- Troy Kidwell, age 38, of Portage, Indiana was charged with attempted enticement of a minor and receiving sexual abuse images of a child. It is alleged that Mr. Kidwell arranged, using a facility of interstate commerce, to meet up with a 10 year-old girl. Additionally, sexually explicit images of another minor under the age of 16 were found on his cellular telephone. This case was investigated by the Federal Bureau of Investigation with assistance from the Porter County, Indiana Sherriff’s Office.
- Stephen Coleman, age 29, of Gary, Indiana was charged with four separate production of child pornography charges based on images he allegedly took of 4 different prepubescent minor boys. He was also charged with possession of child pornography. This case was investigated by the Federal Bureau of Investigation with assistance from the Gary, Indiana Police Department, the Michigan City, Indiana Police Department and the Portage, Indiana, Police Department.
The United States Attorney’s Office emphasizes that these Indictments are merely allegations and that all persons are presumed innocent until, and unless proven guilty in court.
If convicted, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
All the above cases are being prosecuted by Assistant U.S. Attorney Jill Koster.
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U.S. Attorney: $500,000 Grant to YWCA to Help Protect WomenRead the Press Release
TOPEKA, KAN. – A $500,000 federal grant to YWCA of Northeast Kansas will help the agency serve victims of domestic violence and sexual assault, U.S. Attorney Stephen McAllister said today.
“Our goal is to reduce violence against women and strengthen services to victims of domestic violence, dating violence, sexual assault and stalking,” McAllister said. “Statistics show that a shocking number of women and girls are the victims of domestic violence and sexual assault. The Department of Justice strongly supports partners such as the YWCA Northwest Kansas and Jana’s Campaign in their important efforts to combat such violence and assist survivors.”
The grant comes from the Department of Justice’s Office of Violence Against Women (OVW) through its Rural Sexual Assault, Domestic Violence, Dating Violence and Stalking Program. The OVW issued a grant notification this week saying YWCA of Northeast Kansas and its partner Jana’s Campaign will use this award to enhance and expand access to direct advocacy services to victims and survivors in Brown, Jackson and Wabaunsee counties.
Other goals include increasing awareness and understanding of domestic violence, sexual assault dating violence and stalking for youth through outreach and training in schools, youth programs and community meetings on healthy relationships and stalking. Grant funds will be used to support three full-time and one part-time staff position, provide crisis counseling and individual counseling and support groups, assistance with Protections from Abuse and Protection from Stalking Orders, provide case management, advocacy with medical, court and social service systems and provide school- and youth-based prevention programs. The timing for performance of this award is 36 months.
For more information about this grant, contact the Office on Violence Against Women at 202/307-6026 and ask for the Outreach and Communications Division.
U.S. Attorney John C. Anderson Announces $450,000 Award to Laguna PuebloRead the Press Release
ALBUQUERQUE, N.M. –John C. Anderson, U.S. Attorney for the District of New Mexico, announced that the Laguna Pueblo will receive a $450,000 grant through the Office of Violence Against Women (OVW) to hire or retain a tribal prosecutor designated as a Special Assistant United States Attorney (SAUSA).
“This is an exciting opportunity to implement a creative approach to addressing domestic violence in tribal communities,” said Anderson. “Domestic violence is unbound by demographics and affects families and communities across New Mexico and the United States. I’m pleased to partner with the Office of Violence Against Women and the Laguna Pueblo in this initiative to facilitate prosecution of domestic violence and other crimes with special consideration for jurisdictional areas in Indian country.”
Through this special initiative, OVW and the Bureau of Justice Assistance (BJA) are partnering with United States Attorneys’ Offices (USAOs) and the Executive Office of United States Attorneys (EOUSA) to support tribes and USAOs in their investigation and prosecution of Indian country criminal cases. Tribes will receive funds to work with their USAO partner (and other tribes in their federal judicial district, as appropriate) to hire or retain a mutually agreed upon tribal prosecutor to be designated as SAUSA. The Tribe and the USAO will appoint the Tribal SAUSA to a three-year fellowship position divided between the USAO and the tribal prosecutor’s office, and the SAUSA will be trained as a federal prosecutor.
The cross-designated prosecutor will maintain an active caseload, while also helping to promote higher-quality investigations and better inter-governmental communication. The SAUSA must focus at least 50 percent of their full-time position on prosecuting cases involving domestic violence, dating violence, sexual assault, and stalking. The remaining 50 percent of the SAUSA’s position can be dedicated to the same or any other types of criminal cases that the tribe and USAO agree are a priority for this position.
October is Domestic Violence Awareness Month. For more information from the Department of Justice relating to domestic violence, visit:
https://www.justice.gov/ovw/domestic-violence
For more information about this grant, contact the Outreach and Communications Division Office at OVW at (202) 307-6026.
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U.S. Attorney J. Douglas Overbey Announces $79,180 Department of Justice Grant Award to Tennessee Bureau of InvestigationRead the Press Release
KNOXVILLE, Tenn. – United States Attorney J. Douglas Overbey of the Eastern District of Tennessee announced today that Tennessee Bureau of Investigation has been awarded $79,180 in Department of Justice grants for State Justice Statistics Program for Statistical Analysis Centers.
The State Justice Statistics (SJS) Program is designed to maintain and enhance each state's capacity to address criminal justice issues through collection and analysis of data. The SJS Program provides support to each state to coordinate and conduct statistical activities within the state Office of Justice Programs.
“Successful strategies to target, reduce and prevent crime through statistical data are extremely resource intensive. Crime statistics can be a tool in helping criminal justice professionals anticipate increased risk of crime. This grant will help address crime at various levels. The responsibility for fighting crime and violence belongs to agencies at every level, and statistical analysis, when properly and professionally done, enhances our ability to deploy our collective resources wisely and effectively,” said U.S. Attorney Overbey.
The Tennessee Statistical Analysis Center (SAC) located within the Tennessee Bureau of Investigation (TBI), was established by Executive Order and mandated by legislation to act as a clearinghouse for statewide criminal justice statistics and to operate the statewide Uniform Crime Reporting Program. The broad goals of the SAC are: 1) act as a central coordination point for federal support, with technical assistance available to help criminal justice agencies in the statistical analysis process; 2) coordinate the flow and exchange of information statistics for all criminal justice agencies in the state; 3) locate, utilize, and coordinate resource personnel to provide expertise to criminal justice agencies on developments in criminal justice statistics and to assist these agencies in the development of public policy; and, 4) continue to design, create, and coordinate the development and management of databases for statistical information for both state and local criminal justice agencies and policymakers to improve the decision making process. The SAC continues to operate under the supervision of a Director with assistance from eight support specialists from TBI’s Criminal Justice Information Services (CJIS) Support Center.
Under this award, the Tennessee Statistical Analysis Center (SAC) will conduct activities under the following Core Capacity area: Increasing access to statistical data. The SAC is proposing an 18-month project to improve the quality and timeliness of reports, improve.
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U.S. Attorney Announces the Dismantling of Two Methamphetamine Trafficking Organizations Operating in Northwestern PennsylvaniaRead the Press Release
ERIE, Pa. – United States Attorney Scott W. Brady announced today the unsealing of two indictments returned by a federal grand jury in Erie, Pennsylvania, charging the leaders and members of separate drug trafficking organizations - one based in Erie and the other in Warren and Crawford Counties – with conspiring to distribute methamphetamine.
“We are going right to the source to stop these drug trafficking networks in their tracks and prevent them from putting methamphetamine and other dangerous drugs on the streets of our communities,” said U.S. Attorney Brady. “Working with our state and local partners, we will take the fight to these drug dealers, to dismantle their operations in Erie, Titusville, Akron, Ohio or back to Mexico.”
The first indictment charges 15 Pennsylvania residents and an Ohio man with violating federal drug and firearms laws.
The nine-count Indictment, returned on September 8, 2020 and unsealed today, named as defendants:
- Carina Elizabeth Tucker, 31, Titusville, Pennsylvania;
- Gale Arthur Flick, Jr., 47, Garland, PA;
- Anthony James Stufflebeam, 33, currently incarcerated at SCI Albion;
- Charles John Vanderhoff, 36, Akron, Ohio;
- Stephanie Ann Bryan, 29, Butler, PA;
- Sarah Umanita Bloom, 29, currently incarcerated at SCI Muncy;
- Rusty Jay Bingman, 45, Titusville, PA;
- Scott Christopher Schreckengost, 42, Spartansburg, Pennsylvania;
- Kimberly Ann Gesin, 43, Titusville, Pennsylvania;
- Cody Tobias Greeley, 24, Tidioute, PA;
- Tedra Mae McGarvie, 40, address unknown;
- Trevor Allen McGarvie, 23, currently incarcerated at SCI Mercer;
- Nicholas James Barnes, 27, address unknown;
- Brandi Marie Hanna, 31, address unknown;
- Kevin Wayne Huet; 31, Grand Valley, Pennsylvania; and
- Kevin John Frederick, 43, Townville, PA.
According to the Indictment presented to the court, from in and around June 2018, to on or about February 28, 2020, the defendants conspired to possess with intent to distribute and distributed five hundred grams or more of a mixture or substance containing a detectable amount of methamphetamine as they participated in a methamphetamine distribution network that trafficked methamphetamine from Akron, Ohio and Erie, Pennsylvania into Crawford, Venango and Warren Counties. The Indictment alleges that Carina Elizabeth Tucker, Gale Arthur Flick, Jr., Anthony James Stufflebeam and Rusty Jay Bingman maintained premises for the purpose of manufacturing, repackaging and distributing the methamphetamine. Gale Arthur Flick, Jr. and Kevin Wayne Huet are also charged with possessing firearms during and in relation to drug trafficking activities, and Trevor Allen McGarvie is accused of possessing a firearm with an obliterated serial number. In addition, the Indictment alleges that Carina Elizabeth Tucker, Gale Arthur Flick, Jr. and Anthony James Stufflebeam unlawfully distributed methamphetamine on specific charged dates and that on or about September 20, 2019, Carina Elizabeth Tucker knowingly, intentionally and unlawfully possessed with intent to distribute fifty grams or more of a mixture or substance containing a detectable amount of methamphetamine.
The law provides for a maximum total sentence of life imprisonment, a fine of $10,000,000, or both for defendants Charles John Vanderhoff, Stephanie Ann Bryan, Sarah Umanita Bloom, Scott Christopher Schreckengost, Kimberly Ann Gesin, Cody Tobias Greeley, Tedra Mae McGarvie, Nicholas James Barnes, Brandi Marie Hanna and Kevin John Frederick; a maximum total sentence of life imprisonment, a fine of $16,500,000, or both for Carina Elizabeth Tucker; a maximum total sentence of life imprisonment, a fine of $11,750,000, or both for Gale Arthur Flick, Jr.,; a maximum total sentence of life imprisonment, a fine of $11,500,000, or both for Anthony James Stufflebeam; a maximum total sentence of life imprisonment, a fine of $10,500,000, or both for Rusty Jay Bingman; and a maximum total sentence of life imprisonment, a fine of $10,250,000, or both for Trevor Allen McGarvie and Kevin Wayne Huet. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pennsylvania State Police - Troop E, Vice Unit, the Titusville Police Department, the Warren County Drug Task Force, the Warren County Sherriff’s Office and the Crawford County Sherriff’s Office conducted the investigation leading to the Indictment in this case.
The second Indictment charges four residents of Erie, Pennsylvania, with violating federal drug laws.
The one-count Indictment, returned on August 11 and unsealed today, named as defendants:- Manuel Lucero, 53 and Leann Marie Winebrenner, 44, both of Erie, Pennsylvania; and
- Jody Ann Joint, 30, and Robert Fulton, 29, both of Erie, Pennsylvania, as defendants.
According to the Indictment presented to the court, from in and around November 2019, to in and around March 2020, the defendants conspired to possess with intent to distribute and distributed five hundred grams or more of a mixture or substance containing a detectable amount
of methamphetamine.The law provides for a maximum total sentence of life imprisonment, a fine of $10,000,000, or both for each defendant. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
The Drug Enforcement Administration, Erie County Drug Task Force, Erie County Detectives, Pennsylvania State Police Northwest Strike Force, United States Postal Inspection Service, and the City of Erie Police Department conducted the investigation leading to the Indictment in this case.
Assistant United States Attorney Paul S. Sellers is prosecuting these cases on behalf of the government.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Two Individuals Charged with Possession with Intent to Distribute FentanylRead the Press Release
PITTSBURGH, PA – A Philadelphia woman and Dominican Republican man have been charged federally with possession with intent to distribute fentanyl, United States Attorney Scott Brady announced today.
Yarelis Mary Garcia Corretjer, 23, of Philadelphia, Pennsylvania, and Reyelin Manuel Abreu Vasquez, 23, of the Dominican Republic are charged by complaint with knowingly and intentionally possessing with intent to distribute, fentanyl, a Schedule II controlled substance, on September 16, 2020. Garcia Corretjer and Abreu Vasquez were taken into custody Wednesday evening and made their appearance in United States District Court in Pittsburgh today.
According to the complaint, on September 16, 2020, at approximately 2:30 PM, Troopers with the Pennsylvania State Police (PSP) Safe Highways Initiative through Effective Law Enforcement and Detection (SHIELD) Unit, seized from the vehicle, occupied by Garcia Corretjer and Abreu Vasquez, approximately 400 bricks of suspected fentanyl. The suspected fentanyl field-tested positive for the controlled substance. Abreau Vasquez informed law enforcement that he was illegally in the United States and had crossed the Mexican border approximately four years ago.
The count charged in the criminal complaint carries a minimum potential penalty of ten years in prison, and a maximum potential penalty of life in prison as well as a fine not to exceed $10,000,000.
The Department of Homeland Security Investigations (HSI) and the Pennsylvania State Police conducted the investigation leading to the charges in this case.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case for the government.
The details contained in the criminal complaint are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Three Executives of Louisiana Compounding Pharmacy Charged with Defrauding State Health Benefits Programs and Identity TheftRead the Press Release
CAMDEN, N.J. – Three former executives of a Louisiana compounding pharmacy are charged in a 24-count indictment with using the pharmacy to defraud New Jersey and military health benefits programs, U.S. Attorney Craig Carpenito announced today.
Christopher Kyle Johnston, 41, of Mandeville, Louisiana; Trent Brockmeier, 58, of Pigeon Forge, Tennessee; and Christopher Casseri, 52, of Baton Rouge, Louisiana, were charged with conspiracy to commit health care fraud and wire fraud and a second conspiracy to commit identity theft by using individuals’ personal identifying information without their consent. Casseri was also charged with repeatedly lying to federal agents when interviewed. Johnston and Brockmeier face additional charges of conspiring to commit money laundering and substantive counts of money laundering for transactions involving more than $43 million in illicit profits they realized from the scheme.
The defendants are expected to appear today before U.S. Magistrate Judge Ann Marie Donio by videoconference. The case is assigned to U.S. District Judge Robert B. Kugler in Camden.
According to the indictment:
Central Rexall Drugs was a retail pharmacy in Louisiana that prepared compounded medications, which are specialty medications mixed by a pharmacist to meet the specific medical needs of an individual patient. In 2013, Johnston and Brockmeier entered into an agreement with Central Rexall’s chief executive officer, Hayley Taff – who pleaded guilty on Aug. 12, 2020, to conspiracy to commit health care fraud – to take over the management of the pharmacy and expand the compounding business in exchange for 90 percent of the profits. Brockmeier became chief operating officer of Central Rexall and Johnston became general counsel. They hired Casseri as vice president of sales to manage Central Rexall’s outside sales force.
Johnston, Brockmeier, and Casseri learned that certain insurance plans administered by an entity referred to in the indictment as the “Pharmacy Benefits Administrator” would reimburse thousands of dollars for a one-month supply of certain compounded medications – including pain, scar, and antifungal creams, as well as vitamin combinations. The health plans for New Jersey state and local government and education employees, including teachers, firefighters, municipal police officers, and state troopers, had this insurance coverage, as did TRICARE, which insures current and former members of the armed forces and their families.
The three conspirators designed compounded medications and manipulated the ingredients in the medications in order to obtain high insurance reimbursements rather than serve the medical needs of patients. To determine which ingredients and combinations resulted in the highest insurance reimbursements, Johnston, Brockmeier, and Casseri had Central Rexall employees send the Pharmacy Benefits Administrator false prescription claims to test out different combinations of ingredients, but the prescriptions did not exist. By trial and error use of these false claims, Johnston, Brockmeier, and Casseri designed compounded medications with combinations of ingredients that were chosen solely based on the amount of money that insurance would pay rather than on the medications’ ability to serve the medical needs of patients. At their direction, Central Rexall sent compounded medications to patients based solely on financial gain, without any research or testing showing that the combination of ingredients was effective.
When the Pharmacy Benefits Administrator stopped covering one combination, the conspirators would develop a compounded medication with a different combination of ingredients based solely on the insurance reimbursement and without considering the medical necessity or effectiveness of the new combination. Central Rexall then would send that new compounded medication to patients, even though the new combination of ingredients was not medically equivalent to the combination originally prescribed for the patients and without telling the patients or their doctor about the differences.
The outside sales force retained and directed by Johnston, Brockmeier, and Casseri used various methods to get doctors to prescribe these medications and patients to accept them, including having prescriptions signed without the patient seeing a doctor or knowing about the medications, having medications or refills ordered with the patients’ knowledge, and paying patients to accept the medications and paying doctors to prescribe them.
Johnston, Brockmeier, and Casseri and their conspirators caused over $50 million in fraudulent insurance claims for compounded medications that were not medically necessary. Johnston received over $34 million and Brockmeier received over $5 million in illicit profits, and Casseri received $200,000 in bonuses.
The indictment also charges Johnston, Brockmeier, and Casseri with a second scheme to commit identity theft. The conspirators took the patients’ names, dates of birth, and identifying information (including insurance information) without their consent from pre-existing Central Rexall prescriptions and used the information to make the false test claims to the Pharmacy Benefits Administrator.
The health care fraud and wire fraud conspiracy count carries a maximum potential penalty of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense. The false statement count and the conspiracy to commit identity theft count each carry a maximum penalty of five years in prison and a $250,000 fine, or twice the gross gain or loss from the offense. The money laundering charges carry a maximum term of imprisonment of 10 years and a fine of $250,000 or twice the gross gain or loss from the offense or not more than twice the amount of the criminally derived property involved in the transactions.
U.S. Attorney Carpenito credited special agents of the FBI’s Atlantic City Resident Agency, under the direction of Special Agent in Charge George M. Crouch Jr. in Newark; IRS – Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez in Newark: the U.S. Department of Labor, Office of Inspector General, New York Region, under the direction of Special Agent in Charge Michael C. Mikulka; and the Defense Criminal Investigative Service, under the direction of Special Agent in Charge Cyndy Bruce, Southeast Field Office, with the investigation leading to the indictment. He also thanked the Division of Pensions and Financial Transactions in the State Attorney General’s Office, under the direction of Attorney General Gurbir S. Grewal and Division Chief Aimee Nason, for its assistance in the investigation.
The government is represented by Assistant U.S. Attorneys R. David Walk, Jr. and Christina O. Hud of the U.S. Attorney’s Office in Camden.
The charges and allegations contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Texas Woman Sentenced to 12 Years in Prison for Her Role in International Thai Sex Trafficking OrganizationRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of WARALEE WANLESS, 41, to 144 months in prison for her role in a massive international sex trafficking organization that was responsible for coercing hundreds of Thai women to engage in commercial sex acts across the United States. WANLESS was sentenced on September 16, 2020, by Senior Judge Donovan Frank in U.S. District Court in St. Paul, Minnesota.
Following a six-week trial, on December 12, 2018, a federal jury convicted WANLESS and four other defendants for their roles in operating the sex trafficking enterprise. Thirty-one defendants pleaded guilty prior to the 2018 trial. To date, 30 defendants have been sentenced.
As proven at trial, the sex trafficking organization coerced hundreds of women from Bangkok, Thailand, to engage in commercial sex acts in various cities across the United States, including Minneapolis, Los Angeles, Chicago, Atlanta, Phoenix, Washington, D.C., Las Vegas, Houston, Dallas, Seattle, and Austin. The trafficking victims were forced to participate in the criminal scheme through misleading promises of a better life in the United States and the ability to provide money to their families in Thailand. Once in the United States, the victims were sent to houses of prostitution, including several that WANLESS ran in Chicago, Dallas, and Washington, D.C., where they were forced to have sex with strangers – every day – for up to 12 hours a day, at times having sex with 10 men a day. The victims were isolated from the outside world, and their families in Thailand were threatened.
As proven at trial, the organization also engaged in widespread visa fraud to facilitate the international transportation of the victims and engaged in rampant and sophisticated money laundering in order to promote and conceal illegal profits. During the extensive investigation, law enforcement traced tens of millions of dollars to the organization.
Multiple agencies assisted in this investigation over the past five years including: Homeland Security Investigations; the Criminal Investigation Division of the IRS; the Department of Justice’s Criminal Division’s Money Laundering and Asset Recovery Section; the Department of Justice’s Civil Rights Division’s Human Trafficking Prosecution Unit; the St. Paul Police Department; the Bureau of Criminal Apprehension’s Minnesota Human Trafficking Investigators Task Force; the Anoka County Sheriff’s Office; the Cook County (Illinois) Sheriff’s Office; the State Department Diplomatic Security Service; and the International Organized Crime Intelligence and Operations Center (IOC-2). United States Attorney MacDonald also thanks the Thai Community Development Center for the support and advocacy they have done on behalf of the victims of this sex trafficking organization.
Assistant United States Attorneys Melinda Williams, Laura Provinzino, and Craig Baune are prosecuting the case.
This case is filed as United States v. Michael Morris, et al., 17-cr-107 (DWF/TNL) and United States v. Sumalee Intarathong, et al., 16-cr-257 (DWF/TNL).
Defendant Information:
WARALEE WANLESS, 41
The Colony, Texas
Convicted:
- Conspiracy to commit sex trafficking, 1 count
- Conspiracy to commit transportation to engage in prostitution, 1 count
- Conspiracy to engage in money laundering, 1 count
- Conspiracy to use a communication facility to promote prostitution, 1 count
Sentenced:
- 144 months in prison
- Five years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Texas Man Charged in Miami Federal Court with Using False Payroll Documents to Obtain $1.2 Million in Covid ReliefRead the Press Release
MIAMI – Texas resident Uzoamaka Leonard Ohaebosim, 46, has been charged in the Southern District of Florida with federal bank fraud and making false statements to a financial institution after allegedly lying about his movie company’s payroll expenses and obtaining $1.2 million in Paycheck Protection Program (PPP) funds.
Ohaebosim was arrested in Texas and made his initial appearance in federal court there today. Authorities have seized the money.
U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge Kyle Myles of the Federal Deposit Insurance Corporation (FDIC) Office of Inspector General (OIG), Office of Investigation’s Atlanta Regional Office, Eastern Regional Office, Gary Smith, Special-Agent-in-Charge, Southern Field Division, Treasury Inspector General for Tax Administration (TIGTA), Special Agent in Charge Michael J. De Palma of the IRS-Criminal Investigation (CI) Miami Office, and Special Agent in Charge Kevin A. Kupperbusch of the U.S. Small Business Association (SBA)-OIG, Investigations Division made the announcement.
The criminal complaint alleges that Ohaebosim sought approximately $1.2 million in PPP loans through applications to an insured financial institution. The complaint alleges that Ohaebosim submitted a PPP loan application that made numerous false and misleading statements regarding his company’s payroll expenses. Specifically, as part of the loan application, Ohaebosim allegedly provided a false IRS payroll tax form indicating that his company, Spite the Movie, LLC (“STM”), had over 100 employees who had received wages of approximately $983,000 with taxes withheld of approximately $122,000 in the first quarter of 2020. In truth, and in fact, STM had not paid these employees and had not filed this form with the IRS. Relying on this false IRS form, the financial institution in South Florida approved and funded approximately $1.2 million in PPP loans. Law enforcement has seized these funds.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted March 29. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the FDIC-OIG, TIGTA, IRS-CI, and the SBA-OIG. Assistant U.S. Attorney Michael Berger of the Southern District of Florida is prosecuting the case.
Related court documents and information appear on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case no. 20-cr-03573.
Takedown Completes Arrests of 15 Alleged Drug Traffickers in Syracuse AreaRead the Press Release
SYRACUSE, NEW YORK – Five men arrested in Syracuse yesterday are alleged to be members of a conspiracy to traffic in cocaine and heroin operating between Puerto Rico, New York City, and Syracuse, announced Acting U.S. Attorney Antoinette T. Bacon, Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Field Division, and Chief Kenton Buckner, City of Syracuse Police Department. Yesterday’s takedown follows a series of previous arrests by the multi-agency investigation that now includes 15 defendants.
The five men arrested yesterday appeared today in court on federal criminal complaints alleging a conspiracy to distribute and possess with intent to distribute cocaine and heroin, which operated from May 2020 to September 16, 2020. Thirteen of the defendants are residents of Onondaga County, one defendant is a resident of the Bronx, New York, and one defendant is a resident of Puerto Rico.
As part of this investigation, law enforcement seized approximately 4.5 kilograms of cocaine, 1,140 bags of heroin (approximately 44 grams), $75,000, a ghost gun, and three handguns – a Taurus PT 809 9mm handgun, a Ruger revolver, a Highpoint .40 caliber, and the lower part of a Glock pistol.
“These arrests confirm that even during this unprecedented global pandemic, federal, state, and local law enforcement agencies are working together to protect our communities from drug trafficking. Our commitment will never waver,” said Antoinette T. Bacon, Acting United States Attorney.
“A major drug pipeline from Puerto Rico to Syracuse has been dismantled as a result of this homegrown investigation,” said DEA Special Agent in Charge Ray Donovan. “Not only did we identify this drug network’s operations, we targeted the local dealers, taking guns and drugs off the streets of Syracuse. I applaud our law enforcement partners for their hard work and determination in keeping our cities safe.”
“The Syracuse Police Department is pleased to report a major drug operation has been removed from our city. We accomplished the mission by coordination with our federal partners at the US Attorney's Office and the DEA. We will continue these collaborations in our efforts to pursue individuals responsible for drug trafficking and gang violence in our city. It is our sincere hope this progress will improve the quality of life in some of our challenged communities,” said Syracuse Police Chief Kenton Buckner.
The charges resulting from the arrests are summarized below.
June/July Arrests
In June and July 2020, DEA and Syracuse Police arrested three (3) defendants alleged in federal criminal complaints to be members of a conspiracy to possess with intent to distribute and distribute heroin and cocaine.
On June 24, 2020, Jikeya McBride, 31, of Syracuse, NY was arrested and charged with distribution and possession with intent to distribute cocaine and heroin. If convicted, McBride faces up to 20 years in prison, a fine of up to $1,000,000 and a term of supervised release of at least three years and up to life.
On June 24, 2020, Aaron Acevedo, 27, of Syracuse, NY was arrested and charged with distribution and possession with intent to distribute cocaine and heroin, following the execution of a federal search warrant at his Syracuse, New York residence. If convicted, Acevedo faces up to 20 years in prison, a fine of up to $1,000,000 and a term of supervised release of at least three years and up to life.
On July 13, 2020, Claudio Acevedo-Maquita, 55, of the Bronx, NY was arrested and charged with possession with intent to distribute heroin following a traffic stop where forty-four (44) “bricks” of heroin (each “brick” consists of 50 individual bags of heroin) were seized in the vehicle. Acevedo-Maquita was allegedly travelling from New York City to Syracuse, New York, to deliver the heroin to co-conspirator Samuel Matos. If convicted, Acevedo-Maquita faces up to 20 years in prison, a fine of up to $1,000,000 and a term of supervised release of at least three years and up to life.
August 19, 2020 Arrests
On August 19, 2020, the following defendants were arrested and charged in federal criminal complaints alleging conspiracy to distribute and possess with intent to distribute heroin and cocaine:
Luis Mendez, 37, Syracuse, NY
Samuel Matos, 27, Syracuse, NY
Hector Santiago, 31, Syracuse, NY
Helbert Calo-Birriel, 31, Syracuse, NY
John Resto, 25, Syracuse, NY
Luis Resto, 25, Syracuse, NY
Jose Medina, 34, Syracuse, NY
If convicted, these defendants face between 5 years and life in prison, a fine of up to $5,000,000, and a term of supervised release of at least four years and up to life.
September 16, 2020 Arrests
On September 16, 2020, the following defendants were arrested and charged in federal criminal complaints alleging conspiracy to distribute and possess with intent to distribute heroin and cocaine:
Omar Fuentes, 24, Syracuse, NY
Jobany Tirado, 37, Syracuse, NY
Rahfet Shehadeh, 27, Syracuse, NY
Angel Negron-Collazo, 24, Syracuse, NY
If convicted, these defendants face between 10 years and life in prison, a fine of up to $10,000,000, and a supervised release term of at least 5 years and up to life.
Omar Fuentes is also alleged to have possessed a pistol in furtherance of a drug trafficking crime at the time of his arrest. If convicted of this count, Fuentes faces a mandatory consecutive term of 5 years in prison for the firearm count.
On September 16, 2020, Joel Franco-Ortiz, 34, of Puerto Rico, was arrested during a traffic stop and charged with possession with intent to distribute cocaine and heroin, and possession of a firearm in furtherance of a drug trafficking crime. If convicted, he faces up to 20 years in prison, a fine of up to $1,000,000 and terms of supervised release of at least three years and up to life for the drug-related counts, and a mandatory consecutive term of 5 years in prison for the firearm count.
A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the criminal complaints are merely accusations and all defendants are presumed innocent unless and until proven guilty.
This case is being investigated by the United States Drug Enforcement Administration (DEA), the Syracuse Police Department, the United States Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), Investigators from the Onondaga County District Attorney’s Office, the United States Postal Inspection Service, the New York State Police, and the Onondaga County Sheriff’s Department, and is being prosecuted by Assistant U.S. Attorney Sahar L. Amandolare.
Survivors of Sextortion and their Parents Share their Stories at Community WebinarRead the Press Release
DETROIT - The United States Attorney’s Office will convene a community webinar on Friday, September 18, 2020. Speakers at the webinar will talk about Sextortion. Sextortion is a type of online child exploitation where victims are coerced into providing sexually explicit images or videos often in compliance with a threat being made against them or their families. Sextortion crimes have been on the rise in recent years. With children occupying their time with internet activities during the pandemic, this increases their vulnerability to being targeted.
“The crime of sextortion begins on children’s smartphones, computers and other electronic devices,” stated United States Attorney Matthew Schneider. "“Parents, please speak with your children about the dangers of chatting online so we can keep all of our children safe. We hope this webinar will provide parents and children with helpful information so others don’t fall victim to this heinous crime.”
Join us for a webinar in which survivors of sextortion and their parents will share their experiences and advice. The webinar will also include general information about sextortion and supporting victims in court. Carol Todd and Dan Cojanu from the Canine Advocacy Program will both speak at the event. Carol Todd’s story and website can be found here https://www.amandatoddlegacy.org/about-carol.html
Parents, teachers, students, law enforcement, and community leaders are encouraged to attend.
This event is free and open to the public. The meeting will take place on Friday, September 18 from 11:00 a.m. to 12:15 p.m.
To attend, please click on the following link
https://usao.webex.com/usao/onstage/g.php?MTID=eb7fb7cf39cdcdba69ef68d1bbad12779 and type in Detroit313! Attendance is limited to the first 1,000 users.
NOTE: This event is open press.
State-Sponsored Iranian Hackers Indicted for Computer Intrusions at U.S. Satellite CompaniesRead the Press Release
An indictment was unsealed today charging three computer hackers, all of whom were residents and nationals of the Islamic Republic of Iran (Iran), with engaging in a coordinated campaign of identity theft and hacking on behalf of Iran’s Islamic Revolutionary Guard Corps (IRGC), a designated foreign terrorist organization, in order to steal critical information related to U.S. aerospace and satellite technology and resources.
“For the third time in three days, the Department has charged Iranian hackers,” said Assistant Attorney General for National Security John C. Demers. “This case highlights the Islamic Revolutionary Guard Corps’ efforts to infiltrate the networks of American companies in search of valuable commercial information and intellectual property. It is yet another effort by a rogue foreign nation to steal the fruits of this country’s hard work and expertise.”
“We will relentlessly pursue and expose those who seek to harm American companies and individuals wherever they reside in the world,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The use of malware, the theft of commercial data and intellectual property, and the use of social engineering to steal the identities of U.S. citizens to accomplish unlawful acts will not be tolerated. Along with our incredible and steadfast law enforcement partners, the Eastern District of Virginia continues to lead efforts to combat serious cybercrime globally and the charges outlined in the indictment exposing IRGC linked hacking operations in the United States are just another example of the fruits of our seamless teamwork.”
“Today’s charges are yet another example of the FBI’s dedication to investigating those who target and attempt to steal data and proprietary information from the U.S.,” said James A. Dawson, Assistant Director in Charge of the FBI’s Washington Field Office. “Today’s charges allege that these individuals conspired in a coordinated campaign with known IRGC members and acted at their direction. The defendants targeted thousands of individuals in an attempt to steal critical information related to U.S. aerospace and satellite technology. The FBI remains dedicated to protecting the U.S., and we continue to impose risk and consequences on cyber adversaries through our unique authorities, world-class capabilities, and enduring partnerships.”
As alleged in the indictment, the defendants’ hacking campaign, which targeted numerous companies and organizations in the United States and abroad, began in approximately July 2015 and continued until at least February 2019. According to the indictment, the defendants at one time possessed a target list of over 1,800 online accounts, including accounts belonging to organizations and companies involved in aerospace or satellite technology and international government organizations in Australia, Israel, Singapore, the United States, and the United Kingdom.
To facilitate their victimization of these targets, the defendants engaged in a coordinated campaign of social engineering to identify real U.S. citizens working in the satellite and aerospace fields whose identities the defendants could assume online. The defendants then impersonated those individuals and used their stolen identities to register email addresses and fraudulently purchase domains and hacking tools for use in the scheme. The defendants then created customized spear phishing emails that purported to be from the individuals whose identities the defendants had stolen, in an attempt to entice the recipients to click on malicious links embedded in the emails. Once a recipient clicked on a malicious link, malware would be downloaded to the individual’s computer, giving the defendants unauthorized access to the recipient’s computer and network. The defendants then used additional hacking tools to maintain unauthorized access, escalate their privileges, and steal data sought by the IRGC. Using these methods, the defendants successfully compromised multiple victim networks, resulting in the theft of sensitive commercial information, intellectual property, and personal data from victim companies, including a satellite-tracking company and a satellite voice and data communication company.
Charged in the indictment are defendants Said Pourkarim Arabi, 34, Mohammad Reza Espargham, age unknown, and Mohammad Bayati, 34. The U.S. District Court for the Eastern District of Virginia has issued warrants for their arrest.
Arabi, who was a member of the IRGC, is charged with conspiracy to commit computer intrusions, which carries a maximum sentence of five years in prison, obtaining information by unauthorized access to protected computers, which carries a maximum sentence of five years in prison, intentional damage to protected computers, which carries a maximum sentence of ten years in prison, aggravated identity theft, which carries a mandatory sentence of two years in prison, and conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison.
Esphargham is charged with conspiracy to commit computer intrusions, which carries a maximum sentence of five years in prison, obtaining information by unauthorized access to protected computers, which carries a maximum sentence of five years in prison, intentional damage to protected computers, which carries a maximum sentence of ten years in prison, and conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison.
Bayati is charged with conspiracy to commit computer intrusions, which carries a maximum sentence of five years in prison, and conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison.
Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
Assistant U.S. Attorneys Nathaniel Smith III, Jay V. Prabhu, and Danya Atiyeh, and Trial Attorney Evan Turgeon of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Springfield Man Sentenced to More than 15 Years in Prison for Sex TraffickingRead the Press Release
BOSTON – A Springfield man was sentenced yesterday for sex trafficking female victims through a prostitution business.
William Coleman, 49, was sentenced by U.S. District Court Judge Mark G. Mastroianni to 186 months in prison and five years of supervised release. In February 2020, Coleman pleaded guilty to one count of conspiracy to commit sex trafficking and nine counts of sex trafficking. Coleman has been in custody since his arrest on Dec. 23, 2018.
“This sentence is a stern reminder of the consequences facing those involved in the unconscionable practice of sex trafficking,” said United States Attorney Andrew E. Lelling. “My office, in tandem with our law enforcement partners, remains steadfast in its resolve to eradicate illegal sex trafficking operations that prey on vulnerable victims.”
“This sentencing is yet another success in the fight against the crime of human trafficking in our region,” said Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations (HSI), Boston. “We applaud this sentence as a measure of justice for the victims who suffered often brutal sexual exploitation at the hands of Coleman through his web of illegal activity which covered multiple states. This case could never have been completed without the expert, close coordination of our concerned community of stakeholders in the Western Massachusetts Human Trafficking Working Group.”
From 2016 to 2018, Coleman ran a prostitution business in the Springfield area, the greater Hartford, Conn., area, and other parts of Connecticut. Coleman used violence and the drug addictions of eight female victims to coerce them into engaging in commercial sex acts with paying customers. The victims were typically required to turn over all of their earnings to Coleman, and their daily lives were tightly controlled by him. Most of the women were not allowed to keep any of the money they earned, and they were only to obtain their drugs – in most cases, heroin – from Coleman. Victims who did not engage in prostitution for Coleman, or who did not follow his rules, were subjected to physical assaults, sexual violence and the withholding of drugs. Coleman used websites to post prostitution advertisements for the victims working for him.
U.S. Attorney Lelling; Hampden County District Attorney Anthony D. Gulluni; HSI Boston Acting SAC Shea; Hampden County Sheriff Nicholas Cocchi; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Springfield Police Commissioner Cheryl Clapprood; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement. Assistant U.S. Attorney Alex J. Grant of Lelling’s Springfield Branch Office prosecuted the case.
This case is the result of the efforts of the Western Massachusetts Human Trafficking Working Group, which was established in August 2015 to investigate and prosecute crimes involving commercial sex trafficking.
Sixteen Alleged Members and Associates of Southwest Baltimore “NFL” Gang Facing Federal Indictment, Including Federal Charges for a Racketeering Conspiracy Involving Four Murders and Murder-For-HireRead the Press Release
Baltimore, Maryland – A federal grand jury has returned a fourth superseding indictment charging 16 defendants with participating in violent racketeering and drug conspiracies that allegedly resulted in four murders, one attempted murder, five overdose deaths, and nine overdose distributions resulting in serious bodily injury. The fourth superseding indictment was returned on September 15, 2020, and includes three new defendants, as well as new charges, including a racketeering conspiracy, a murder-for-hire conspiracy, a conspiracy to distribute controlled substances resulting in serious physical injury and death, and related drug and gun charges.
The fourth superseding indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Assistant Special Agent in Charge Orville O. Greene of the Drug Enforcement Administration, Baltimore District Office; Chief Marcus Jones of the Montgomery County Police Department; and Commissioner Michael Harrison of the Baltimore Police Department.
U.S. Attorney Robert K. Hur stated, “We will continue to work with our law enforcement partners to reduce violent crime and deadly drug dealing and hold accountable those who bring them to our streets. And criminals should be on notice that witness intimidation and retaliation will not be tolerated—period. We are determined to root out the sources of this type of violence from our neighborhoods and seek the community’s continue help in doing so.”
“These are violent, dangerous men who have allegedly terrorized the streets of Baltimore for years with murder-for-hire plots, witness intimidation, drug trafficking, laced drugs and other brazen criminal acts,” said Jennifer C. Boone, Special Agent in Charge of the FBI Baltimore Field Office. “This gang was devastating neighborhoods and destroying families. Today, together, with the help of our law enforcement partners, I am proud to announce these significant indictments. We will continue to work together to fight crime, but we also need the need community assistance through tips and information to help keep Baltimore safe.”
The following defendants are charged in the fourth superseding indictment:
Gregory Butler, a/k/a Gotti, Sags and Little Dick, age 28, of Baltimore;
Darran Malik Butler, a/k/a Lik, age 21, of Baltimore;
Bobby Cannon, a/k/a Freaky, age 23 of Baltimore;
Darean Cook, age 27, of Baltimore;
Juawan Davis, a/k/a Fat Daddy, age 24, of Baltimore;
Edward Buddy Hall, a/k/a Gwar, age 54, of Baltimore;
Timothy Legard, age 29, of Bunker Hill, West Virginia;
Davon Owens, a/k/a Gusto, age 31, of Baltimore;
D’Andre Preston, a/k/a Whiteboy and Whites, age 23, of Baltimore;
Desmond Ringgold, a/k/a Worm and Fool, age 28, of Baltimore;
James Henry Roberts, a/k/a Bub, age 29, of Baltimore;
Tirrel Saunders, a/k/a Pretty, age 32, of Baltimore;
Nathan Stanley, age 48, of Rixeyville, Virginia;
Jamie Wagoner, age 37, of Stephens City, Virginia;
Laura Warner, age 36, of Berkeley County; and
Emanuel Watkins, age 62, of Baltimore.According to the 33-count indictment, from 2016 to March 26, 2020, Gregory Butler, Darran Butler, Cannon, Davis, Preston, and Roberts were part of the NFL criminal enterprise, which has social and familial ties to the Edmondson Village neighborhood in southwest Baltimore. The term NFL stands for Normandy, Franklin, and Loudon, which are three adjacent streets that run through the Edmondson Village. The fourth superseding indictment alleges that those six defendants engaged in a pattern of criminal racketeering activity including acts involving murder, narcotics trafficking and smuggling, illegal firearms possession, bribery, witness intimidation, and witness retaliation.
The fourth superseding indictment alleges that NFL members and associates purchased, maintained, and circulated weapons and firearms for use in criminal activity by NFL members and associates, sometimes obtaining firearms from drug customers as a form of payment in exchange for drugs. According to the fourth superseding indictment, NFL members used firearms in connection with the enterprise’s illegal activities, including, drug trafficking and acts involving murder, and used violence, threats, and intimidation to prevent victims and witnesses from cooperating with law enforcement against NFL members and associates about criminal acts committed by NFL.
According to the fourth superseding indictment, NFL members and associates were involved in murder and attempted murder, including murder-for-hire schemes. NFL members and associates offered bounties for the murder of witnesses and rivals and allegedly acted as brokers connecting hitmen with individuals who had offered bounties for the murder of witnesses and rivals. NFL members and associates also allegedly carried out contract killings to enrich themselves and to retaliate against witnesses and rivals.
Further, the fourth superseding indictment alleges that NFL members and associates used social media to promote the enterprise, including by posting displays of wealth and advertising affiliation to the NFL Enterprise, as well as to intimidate and retaliate against actual and suspected witnesses, including by posting displays of firearms, brandishing firearms, intimating the use of firearms, and revealing information about the identity of suspected cooperating witnesses. In addition, NFL members and associates assisted incarcerated NFL members and associates by moving evidence and contraband for them, and assisting with their drug trafficking operations while they remained incarcerated, including smuggling contraband cell phones and controlled substances into correctional facilities.
From at least 2016 through his arrest on April 3, 2019, Gregory Butler allegedly controlled a drug trafficking organization (DTO) that distributed large quantities of heroin, fentanyl, cocaine, and crack cocaine in Maryland, Virginia, West Virginia, and Pennsylvania. The indictment alleges that in order to maximize their profits, members of the DTO cut the heroin and crack cocaine with other substances, such as fentanyl and diphenhydramine (often found in sleeping pills). As detailed in the fourth superseding indictment, the defendants were aware that the drugs they distributed were causing overdoses, with at least five overdose deaths being attributed to the distribution of drugs by members of the conspiracy, including the father of one of the conspirators.
If convicted, the six defendants charged with racketeering face a maximum of life in prison for the racketeering conspiracy; all the defendants except Preston, face a maximum of life in prison for conspiracy to distribute a controlled substance resulting in death or serious physical injury; and Gregory Butler, Hall, and Wagoner each face a mandatory minimum of 20 years in federal prison and a maximum of life in prison, for each count of distribution of a controlled substance resulting in death or serious injury. Darran Butler, Preston, and Roberts also face a maximum of life in prison for conspiracy to use and/or for the use of interstate commerce facilities in the commission of murder-for-hire; Davis, Owens and Roberts also face a maximum sentence of life in prison for possessing with intent to distribute heroin, crack cocaine, or fentanyl. Cannon, Preston, and Warner face a maximum sentence of 40 years in prison for possessing with intent to distribute heroin, crack cocaine, or fentanyl. Gregory Butler, Cannon, Davis, Hall, Owens, and Roberts also face a mandatory minimum sentence of five years in prison, consecutive to any other sentence, and a maximum sentence of life in prison for possession of a firearm in relation to a drug trafficking crime. Finally, Gregory Butler, Hall, Owens, Preston, and Roberts face a maximum sentence of 10 years in prison for possession of a firearm and ammunition by a prohibited person. Fifteen defendants charged in the fourth superseding indictment have been arrested and are detained pending trial. Jamie Wagoner remains a fugitive.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended the FBI, the DEA, the Montgomery County Police Department and the Baltimore Police Department for their work in the investigation. Mr. Hur commended the U.S. Postal Inspection Service; the City of Rockville Police Department; the Baltimore County, Howard County, and Montgomery County Police Departments; the Frederick County Sheriff’s Office; the Maryland State Police; the West Virginia State Police; the Virginia State Police; the Warren County (VA) Sheriff’s Department; the Winchester (VA) and Front Royal (VA) Police Departments; and the Frederick County and Howard County State’s Attorney’s Offices. Mr. Hur thanked Assistant U.S. Attorneys Matthew DellaBetta and Michael Goldsticker, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
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Sioux Falls Woman Charged with Theft of Government Funds, False Statement, and Concealment of Information from SSI ProgramRead the Press Release
United States Attorney Ron Parsons announced that a Sioux Falls, South Dakota, woman has been indicted by a federal grand jury for Theft of Government Funds, False Statement, and Concealment of Information from SSI Program.
Amber Lynn Roggenkamp, age 40, was indicted on September 1, 2020. She appeared before U.S. Magistrate Judge Veronica L. Duffy on September 15, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in federal prison and/or a $250,000 fine, 3 years of supervised release, and up to $300 to the Federal Crime Victims Fund. Restitution may also be ordered.
On the Theft of Government charge, the Indictment alleges that between on or about February 6, 2017, and September 30, 2019, Roggenkamp willfully and knowingly embezzled, stole, and purloined money from Title XVI Supplemental Security Income (SSI). Roggenkamp lied to the Social Security Administration in order to obtain SSI benefits for her son.
On the False Statement charge, the Indictment alleges that on or about July 12, 2019, Roggenkamp knowingly and willfully made false, fictitious, and fraudulent statement and representations during a SSI non-medical review. Roggenkamp did not accurately report her household resources, including the balance of her savings account.
Finally, on the Concealment of Information from SSI Program charge, the Indictment alleges that on or about September 28, 2017, Roggenkamp, having knowledge of the occurrence of an event affecting the initial and continued right to receive payment of Title XVI SSI benefits payments on behalf of another individual, concealed and failed to disclose such event with the intent to fraudulently secure such benefits in a greater amount and quantity than was due, and when no such benefit was authorized. Specifically, Roggenkamp failed to disclose the reactivation of her savings account with a large deposit in order to continue to receive and spend SSI benefits payments made by the Social Security Administration for the benefit of the minor child for whom she served as representative payee.
The charges are merely accusations and Roggenkamp is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Social Security Administration, Cooperative Disability Investigation Unit. Assistant U.S. Attorney Ann M. Hoffman is prosecuting the case.
Roggenkamp was released on bond pending trial. A trial date has not been set.
Sex Offender Convicted of Transporting Child PornographyRead the Press Release
Orlando, Florida –A federal jury has found Michael David Harrison (52, Sparks, NV) guilty of transportation of child pornography. Harrison faces a mandatory minimum penalty of 15 years, and up to 40 years, in federal prison. His sentencing hearing is scheduled for December 3, 2020.
Harrison had been indicted on December 4, 2019.
According to testimony and evidence presented at trial, Harrison transported multiple videos depicting the sexual abuse of young children from his home in Nevada to Florida. He then transported the videos on a cruise to the Bahamas. Agents from U.S. Customs and Border Protection detected the videos on Harrison’s computer when he reentered the United States. Harrison was previously convicted, in 2009, of multiple sex offenses against victims under the age of 16.
This case was investigated by U.S. Customs and Border Protection, Homeland Security Investigations, and the Brevard County Sheriff’s Office. It is being prosecuted by Assistant United States Attorney Emily C. L. Chang.
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 United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to 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.Senior federal agent charged with violating civil rightsRead the Press Release
McALLEN, Texas – A 44-year-old Border Patrol (BP) supervisor is set to appear in federal court on allegations she deprived several constitutional rights of a La Joya woman, announced U.S. Attorney Ryan K. Patrick.
Adriana Gandarilla is expected to make her initial appearance before U.S. Magistrate Judge J. Scott Hacker Friday, Sept. 18.
She is a Senior BP agent with 19 years of experience.
On May 6, 2018, a La Joya woman began recording law enforcement activities taking place at her residence, according to the charges. At that time, Gandarilla allegedly commanded the woman to stop recording with her cell phone.
According to the allegations, Gandarilla physically forced the woman to delete the recording by grabbing her by her neck and arms. Gandarilla allegedly pushed her against the front outside wall of the woman’s residence.
If convicted of the civil rights charge, Gandarilla faces up to one year in federal prison and a possible $100,000 maximum fine.
Customs and Border Protection - Office of Professional Responsibility conducted the investigation. Assistant U.S. Attorney Sebastian Edwards is prosecuting the case.
A criminal information is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Savannah man admits 2018 murder of soldier's wife at Fort StewartRead the Press Release
SAVANNAH, GA: A Savannah man has admitted to killing the wife of a deployed U.S. Army soldier on post at Fort Stewart.
Stafon Jamar Davis, 28, of Savannah, pled guilty to Premeditated Murder and to Possession of a Firearm by a Convicted Felon in the July 9, 2018 shooting death of Abree Boykin, 24, a resident of post housing at Fort Stewart Army Reservation, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia.
“Stafon Davis’ admission of guilt in the cold-blooded murder of Abree Boykin will help bring some degree of closure in this horrific crime against the spouse of a deployed American soldier,” said U.S. Attorney Christine. “Our law enforcement agencies and prosecutors have performed outstanding work in bringing this killer to justice.”
Abree Boykin was the wife of SGT Shawn Boykin, a member of the U.S. Army who was assigned to Fort Stewart’s 1st Armored Brigade Combat Team, 3rd Infantry Division. At the time of the murder, SGT Boykin was deployed in South Korea.
Davis admitted to being a childhood friend of Abree Boykin and to shooting and killing her in the early morning hours of July 9, 2018, in her on post residence and fleeing Fort Stewart in her vehicle. Davis, who had been released from prison after serving a federal sentence for armed robbery, later was apprehended in West Palm Beach., Fla.
“This was a horrific and senseless murder of a member of our Army family,” said Chris Grey, spokesperson for the U.S. Army Criminal Investigation Command. “Our highly-trained special agents worked tirelessly and methodically with our law enforcement partners to bring this individual to justice.”
“The outcome of this case is a direct result of the partnership we have with the U.S. Army and the U.S. Attorney's Office Southern District of Georgia,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Abree Boykin's family and friends will never be rid of the pain and suffering this senseless murder has caused them, but it does give them some sense of resolve to know that justice will be served.”
This case is being investigated by the FBI and the Army Criminal Investigation Command, with assistance from the Savannah Police Department and the U.S. Marshals Service, and prosecuted by Assistant U.S. Attorney Jennifer G. Solari and Special Assistant U.S. Attorney Katelyn Semales.
Saugerties Man Sentenced to 70 Years for Child Sexual Exploitation OffensesRead the Press Release
ALBANY, NEW YORK – Matthew R. Osuba, age 35, of Saugerties, New York, was sentenced yesterday to 840 months in prison for sexually exploiting a child, and distributing and possessing child pornography.
The announcement was made by Acting United States Attorney Antoinette T. Bacon and Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
During Osuba’s August 2019 jury trial, evidence demonstrated that Osuba created and appeared in a video depicting sexually explicit conduct with a sleeping child. He was also convicted of sending pornographic images of children over the internet, and possessing additional child pornography on his cell phone.
At sentencing, Senior United States District Judge Thomas J. McAvoy found that Osuba had engaged in a pattern of sexual exploitation of children. Judge McAvoy found by a preponderance of the evidence that Osuba had sexually abused two additional children, each under the age of 5.
Judge McAvoy stated that Osuba’s 70-year term of imprisonment – the maximum permitted by law – was necessary to protect children and the public, because Osuba posed a significant risk of committing future child pornography offenses and “hands-on” child sexual abuse. Judge McAvoy also imposed a 25-year term of supervised release to follow Osuba’s term of imprisonment, and ordered him to pay $3,000 in restitution to one of his victims.
This case was investigated by the FBI and its Child Exploitation Task Force, which includes investigators from the New York State Police, Town of Colonie Police Department, and Warren County Sheriff’s Department. The case was prosecuted by Assistant U.S. Attorneys Katherine Kopita and Shira Hoffman.
This case was prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorney’s offices, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit http://www.justice.gov/psc/.
Rosebud Man Sentenced on Assault and Firearm ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man convicted of Assault with a Dangerous Weapon and False Statements During Purchase of a Firearm was sentenced on September 14, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
John Larvie, age 30, was sentenced to 38 months in federal prison, followed by 3 years of supervised release, for each charge, running concurrently to each other, and a special assessment to the Federal Crime Victims Fund in the amount of $200.
Larvie was indicted by a federal grand jury on June 11, 2019, for the Assault charge and again on October 16, 2019, for the Firearm charge. He pled guilty on May 5, 2020, to both charges.
The conviction stemmed from incidents that occurred on November 20, 2018, and July 22, 2019. On November 20, 2018, after an argument escalated between Larvie and his dating partner, Larvie stomped on his dating partner’s chest, while wearing boots, with the intent to do bodily harm to her. On July 22, 2019, shortly after being prosecuted and convicted in Tribal court for sexually assaulting his dating partner, Larvie attempted to purchase an AR15-style rifle. While filling out the ATF Form 4473, Larvie, knowing he had been convicted of a misdemeanor crime of domestic violence, falsely represented that he had not been convicted of a domestic violence crime, in an effort to obtain the weapon.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Michael Elmore prosecuted the case.
Larvie remains in the custody of the U.S. Marshals Service.
Rosebud Man Indicted on Theft and Drug ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Rosebud, South Dakota, man has been indicted by a federal grand jury for Theft in Connection with Health Care, Theft From a Tribal Organization, and Obtaining Controlled Substances by Deception.
Michael Brian Whirlwind Soldier, age 47, was indicted on September 9, 2020. He appeared before U.S. Magistrate Judge Veronica L. Duffy on September 15, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 10 years in prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that between December 17, 2019, and July 28, 2020, Whirlwind Soldier, a paramedic and the director of the Crow Creek Ambulance Service, did knowingly and willfully embezzle, steal, and convert without authority to his own use hundreds of vials of fentanyl, morphine, and hydromorphone belonging to the Crow Creek Ambulance Service.
The charges are merely accusations and Whirlwind Soldier is presumed innocent until and unless proven guilty.
The investigation is being conducted by the U.S. Department of Health and Human Services, the Drug Enforcement Administration, the South Dakota Division of Criminal Investigation, and the Rosebud Sioux Tribe Law Enforcement Services. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Whirlwind Soldier was released on bond pending trial. A trial date has not been set.
Rogers Man Sentenced to 20 Years in Federal Prison for Drug PossessionRead the Press Release
Fayetteville, Arkansas – David Clay Fowlkes, First Assistant United States Attorney for the Western District of Arkansas, announced that Shawn Schuckman, age 45, was sentenced today to 240 months in federal prison, followed by 4 years of supervised release for Possession with Intent to Distribute Methamphetamine. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records, during the course of an investigation into the distribution of controlled substances in the Western District of Arkansas, the Drug Enforcement Administration Fayetteville Resident Office (DEA) identified Schuckman, as a distributor of methamphetamine in Northwest Arkansas, and an investigation was initiated into his criminal activity.
In January 2020, upon the conclusion of the investigation, agents and local law enforcement attempted to take Schuckman into custody for his outstanding warrants. Following a short pursuit, Schuckman was apprehended. Investigators located and seized approximately 1,341.4 grams of actual methamphetamine from Schuckman’s hotel room, from the roadway (where he had thrown it out of the window during the pursuit), from his vehicle, and from his person.
A federal grand jury indicted Schuckman in March 2020, and he entered a guilty plea in June 2020.
This case was investigated by the Drug Enforcement Administration and the Benton County Narcotics Unit. Assistant United States Attorney Kim Harris prosecuted the case for the United States.
Putnam County Library Employee Indicted on Charges of Production and Distribution of Child Exploitation MaterialRead the Press Release
Jacksonville, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Kurt Batucan Sheldon (29, Interlachen) with one count of production of child exploitation material and two counts of distribution of child exploitation material. If convicted, Sheldon faces a mandatory minimum penalty of 15 years, and up to 30 years, in federal prison for the production count and a minimum mandatory penalty of 5 years, and up to 20 years, on each distribution count. In a previous detention hearing, held on September 14, 2020, the court ordered Sheldon detained pending further proceedings.
According to the indictment, Sheldon produced child exploitation material on May 3, 2020, and distributed child exploitation material on May 24 and May 26, 2016.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
Any person who was, or knows of someone who may have been, a possible child victim is urged to contact HSI at 1-866-DHS-2ICE or online via http://www.ice.gov/webform/hsi-tip-form.
This case was investigated by the Clay County Sheriff’s Office and Homeland Security Investigations. It will be prosecuted by Assistant United States Attorneys Ashley Washington and Kelly Karase.
It 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.
Project Guardian: Princeton Man Sentenced for Federal Gun CrimeRead the Press Release
BLUEFIELD, W.Va. – A Princeton man was sentenced to 41 months in federal prison for being a felon in possession of a firearm, announced United States Attorney Mike Stuart. Akeem R. Dickerson, 28, also will serve three years of supervised release.
At his plea hearing in June, Dickerson admitted that on August 31, 2019, an officer with the Princeton Police Department pulled him over for not wearing his seatbelt while he was driving. During the traffic stop, the officer smelled marijuana. When asked about the marijuana smell, Dickerson admitted that he did in fact have marijuana in the car and he also admitted that he had a gun. The officer then searched the car with Dickerson’s consent. The officer found a Springfield, model XDS, .45 caliber semi-automatic handgun. Dickerson admitted that knew he was not supposed to possess any firearms because he was a convicted felon. Dickerson was prohibited from possessing any firearm under federal law because he was convicted in 2012 in McDowell County Circuit Court of the felony offenses of voluntary manslaughter and wanton endangerment with a firearm.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Princeton Police Department.
Senior United States District Judge David A. Faber imposed the sentence. Assistant United States Attorney Timothy D. Boggess handled the prosecution.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the Project Guardian partners noted above. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 1:20-cr-00011.
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Pittsburgh Woman Sentenced for Money Laundering ConspiracyRead the Press Release
PITTSBURGH - A resident of Pittsburgh, PA has been sentenced in federal court to one day in the custody of the United States Marshals Service, followed by three years of supervised release, on her conviction of conspiracy to launder monetary instruments, United States Attorney Scott W. Brady announced today.
Senior United States District Judge David S. Cercone imposed the sentence on Holly Shrum, age 30.
According to information presented to the court, the Drug Enforcement Administration and other agencies conducted a multi-year investigation of the marijuana trafficking conspiracy of Shrum’s codefendants. From 2012 through 2017, Shrum’s codefendants arranged for marijuana to be supplied from the West Coast and mailed to the Pittsburgh area through the United States Postal Service. Shrum’s codefendants would then distribute the marijuana in the Western District of Pennsylvania, primarily on college campuses, such as Indiana University of Pennsylvania. During the operation of the conspiracy, Shrum conspired to launder proceeds from her codefendants’ marijuana trafficking operations.
Assistant United States Attorney Tonya Sulia Goodman prosecuted this case on behalf of the government.
United States Attorney Brady commended the Drug Enforcement Administration, the Internal Revenue Service – Criminal Investigation, the Pittsburgh Bureau of Police, and the Indiana Borough Police for the investigation leading to the successful prosecution of Shrum.
This case is part of the Organized Crime Drug Enforcement Task Force program, known as OCDETF. OCDETF was established in 1982 to support comprehensive investigations and prosecutions of major drug trafficking and money laundering organizations. It is the keystone of the drug reduction strategy of the Department of Justice. By combining the resources and expertise of federal agencies and their state and local law enforcement partners, OCDETF identifies, disrupts, and dismantles the most serious drug trafficking, money laundering, and transnational criminal organizations.