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1 October 2020
Frankfort Woman Sentenced to 60 Months for Money Laundering and Filing False Tax ReturnRead the Press Release
FRANKFORT, KY- A Frankfort woman, Lesley Wade, age, was sentenced in federal court on Friday to 60 months in prison, by U.S. District Judge Gregory Van Tatenhove, for money laundering and filing a materially false tax return.
Wade was a long time employee of the Franklin County Board of Education (FCBOE), most recently serving as the FCBOE’s Financial Director. In Wade’s guilty plea agreement, she admitted that, starting in February 2011 and continuing through about June 25, 2019, she wrote unauthorized checks of FCBOE money to herself, then falsified the necessary FCBOE records and invoices to cover up her crimes.
Wade also served as Treasurer of Leestown Gospel Church in Frankfort, where she essentially had plenary control over its financial management, with little oversight or internal controls. Wade also admitted to periodically using her control over the Church’s finances to launder money she had stolen from the FCBOE, using the Church’s account before writing checks to herself, attempting to avoid detection and making the checks appear legitimate.
Her theft of funds, which took place over a term of years, resulted in the FCBOE losing a total of $1,624,593. Further hiding her theft of funds, Wade also admitted that she willfully filed false individual income tax returns, for the years 2011-2018, by intentionally failing to report the income from her fraudulent scheme. The total amount of tax loss is $315,677.
Wade pleaded guilty in May 2020.
“The defendant’s conduct is truly outrageous - she harmed the citizens of Franklin County and abused her position of trust by stealing money from Board of Education and then used her church’s bank account to launder some of the stolen money,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “We remain committed to working with our federal, state, and local partners to investigate and prosecute embezzlement, including cases involving public employees, and violations of the tax laws.”
"Placed in a position of trust, the defendant methodically stole money from the public and then attempted to cover it up by laundering money through her church,” said Robert James Brown, Jr., Special Agent in Charge, FBI, Louisville Field Office. “The FBI will not stand for officials who steal from the taxpayers they serve and, along with our partners, will continue the significant work of rooting out corruption and fraud.”
“Income derived from any source, including embezzled funds, is subject to income tax,” stated Bryant Jackson, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “IRS Criminal Investigation is committed to holding accountable individuals who steal and fail to comply with the tax laws.”
Under federal law, Wade must serve 85 percent of her prison sentence. Upon her release, he will be under the supervision of the U.S. Probation Office for three years.
U.S. Attorney Duncan; SAC Brown, and SAC Jackson; jointly announced the sentencing.
The investigation was conducted by the FBI and IRS. The United States was represented by Special Assistant U.S. Attorney James Chapman.
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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Four Sacramento Residents Indicted for Conspiracy to Sell Meth and Heroin in Sacramento and Solano CountiesRead the Press Release
SACRAMENTO, Calif. — A federal grand jury returned a 10-count indictment today against Michael Garcia, 32; Nancy Garcia, 31; Gonzalo Garcia, 55; and Tylor Combs, 40, all of Sacramento, charging them with narcotics and firearms offenses, U.S. Attorney McGregor W. Scott announced.
According to court documents, while serving a sentence for narcotics offenses at the Tulare County Jail, Michael Garcia conspired with his wife Nancy Garcia and his father Gonzalo Garcia to sell methamphetamine and heroin in Sacramento and Solano counties.
Once out of custody, Michael Garcia continued the conspiracy to sell narcotics. In addition, Michael Garcia set up a deal with Combs to sell firearms to another person. Both men were present at this deal, which involved ten firearms, including an unserialized machine gun. As a previously convicted felons, both Michael Garcia and Combs are prohibited from possessing a firearm. Combs is charged with two counts of being a felon in possession of a firearm and one count of possession with intent to sell heroin and methamphetamine.
This case is the product of an investigation by the FBI’s Solano County Violent Crimes Task Force, the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the U.S. Attorney’s Office for the District of Arizona. Assistant U.S. Attorney Adrian T. Kinsella is prosecuting the case.
If convicted of the narcotics offenses, each defendant faces a maximum statutory penalty of life in prison and a $10 million fine. If convicted of the firearms offenses, Michael Garcia and Tylor Combs each face a maximum statutory penalty of 10 years in prison and a $250,000 fine. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see www.justice.gov/projectguardian.
Founders and Executives of Off-Shore Cryptocurrency Derivatives Exchange Charged with Violation of the Bank Secrecy ActRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, and William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), announced the indictment of Arthur Hayes, Benjamin Delo, Samuel Reed, and Gregory Dwyer, charging the four with violating the Bank Secrecy Act and conspiring to violate the Bank Secrecy Act, by willfully failing to establish, implement, and maintain an adequate anti-money laundering (“AML”) program at the Bitcoin Mercantile Exchange or “BitMEX.” The case is assigned to United States District Judge John G. Koeltl. REED was arrested in Massachusetts this morning, and will be presented in federal court there. HAYES, DELO, and DWYER remain at large.
Acting Manhattan U.S. Attorney Audrey Strauss said: “With the opportunities and advantages of operating a financial institution in the United States comes the obligation for those businesses to do their part to help in driving out crime and corruption. As alleged, these defendants flouted that obligation and undertook to operate a purportedly ‘off-shore’ crypto exchange while willfully failing to implement and maintain even basic anti-money laundering policies. In so doing, they allegedly allowed BitMEX to operate as a platform in the shadows of the financial markets. Today’s indictment is another push by this Office and our partners at the FBI to bring platforms for money laundering into the light.”
FBI Assistant Director William F. Sweeney Jr. said: “As we allege here today, the four defendants, through their company’s BitMEX crypto-currency trading platform, willfully violated the Bank Secrecy Act by evading U.S. anti-money laundering requirements. One defendant went as far as to brag the company incorporated in a jurisdiction outside the U.S. because bribing regulators in that jurisdiction cost just ‘a coconut.’ Thanks to the diligent work of our agents, analysts, and partners with the CFTC, they will soon learn the price of their alleged crimes will not be paid with tropical fruit, but rather could result in fines, restitution, and federal prison time."
According to the allegations in the Indictment[1]:
HAYES, DELO, and REED founded BitMEX in or about 2014, and DWYER became BitMEX’s first employee in 2015 and later its head of business development. BitMEX, which has long serviced and solicited business from U.S. traders, was required to register with the Commodity Futures Trading Commission (“CFTC”) and to establish and maintain an adequate AML program. AML programs ensure that financial institutions, such as BitMEX, are not used for illicit purposes, including money laundering.
Despite those obligations, HAYES, DELO, REED, and DWYER knew by no later than in or about September 2015 that, because BitMEX served U.S. customers, it was required to implement an AML program that included a “know your customer” or “KYC” component, but chose to flout those requirements. Indeed, each of the defendants knew of customers residing in the United States who continued to access BitMEX’s trading platform through at least in or about 2018, and that BitMEX policies nominally in place to prevent such trading were toothless or easily overridden to serve BitMEX’s bottom line goal of obtaining revenue through the U.S. market without regard to U.S. regulation. While knowing of BitMEX’s obligation to implement AML and KYC programs because BitMEX was serving U.S. customers, HAYES, DELO, REED, and DWYER took affirmative steps purportedly designed to exempt BitMEX from the application of U.S. laws such as AML and KYC requirements. For example, the defendants caused BitMEX and its parent corporations formally to incorporate in the Seychelles, a jurisdiction they believed had less stringent regulation and from which they could still serve U.S. customers without performing AML and KYC. Indeed, in or about July 2019, HAYES bragged that the Seychelles was a more friendly jurisdiction for BitMEX because it cost less to bribe Seychellois authorities – just “a coconut” – than it would cost to bribe regulators in the United States and elsewhere.
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HAYES, 34, of Buffalo, New York and Hong Kong, DELO, 36, of the United Kingdom and Hong Kong, REED, 31, of Massachusetts, and DWYER, 37, of Australia and Bermuda, are each charged with one count of violating the Bank Secrecy Act, and one count of conspiring to violate the Bank Secrecy Act, each of which carries a maximum penalty of five years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Ms. Strauss praised the outstanding investigative work of the FBI’s New York Money Laundering Investigation Squad, and the assistance of the FBI’s Boston, Milwaukee, and Minneapolis Field Offices. Ms. Strauss also thanked the attorneys and investigators at the CFTC for offering their expertise in the development of this investigation.
The prosecution is being handled by the Office’s Money Laundering and Transnational Criminal Enterprises Unit. Assistant U.S. Attorneys Jessica Greenwood and Samuel Raymond are in charge of the prosecution.
[1] As the introductory phrase signifies, the entirety of the text of the Indictment, and the description of the Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Fort Bragg Marriage Fraud Arranger and Ring of 10 Participants Charged with Marriage Fraud, Visa Fraud, Obstruction, Harboring Aliens, Unlawful Disposition of U.S. Property, and ConspiracyRead the Press Release
United States Attorney Robert J. Higdon, Jr. announced the unsealing of a Second Superseding Indictment charging the following: Ebenezer Yeboah Asane (“Asane”) 37, of Fayetteville, North Carolina; James Earnest Ekow Arthur, 32, of El Paso, Texas; Ernest Atta Gyasi, 43, of Bronx, New York; Samuel Manu Agyapong (“Agyapong”), 33, of Fayetteville, North Carolina; Barbara Oppong, 41, of Bronx, New York; William Steven Ballard, 23, of Fayetteville, North Carolina; Solace Kwakye, 30, of Bronx, New York; Yemisi Mary Opaso, 27, of Hanover, Maryland; Christopher Matthew Urquia, 23, of Fort Bragg, North Carolina; Kevyn Jakob Ward, 22, of Fayetteville, North Carolina; and Effua Agyare-Darko, 43, of Ardsley, New York. The charge includes 29 counts, consisting of Marriage Fraud, Transporting and Harboring Aliens, Visa Fraud, Obstruction, Unlawful Disposition of U.S. Property, False Statements in Immigration matters, and Conspiracy to Marriage Fraud.
The indictment charges that Asane, a former soldier, operating from Fort Bragg and his home in Fayetteville, planned and organized the sham marriages of foreign nationals to U.S. Army soldiers based at Fort Bragg. The purpose of the conspiracy was for the foreign-born nationals to evade U.S. immigration laws and obtain lawful permanent residence status and for the soldiers to receive Basic Allowance for Housing (BAH) to live off post, as opposed to the barracks.
The indictment further charges that various defendants conspired with Asane to recruit other soldiers into the fraudulent scheme, to orchestrate photographs to give the appearance the marriages were legitimate, and to submit false statements to the U.S. Citizenship and Immigration Service in support of the sham marriages.
The indictment further charges Agyapong, a Sergeant at Fort Bragg, with obstructing an official proceeding by attempting to destroy evidence and influencing the testimony of a witness.
If convicted, the maximum punishment for committing Marriage Fraud, in violation of Title 8, United States Code, Section 1325(c), Conspiracy to Commit Marriage Fraud, in violation of Title 18, United States Code, Section 371, and False Statements, in violation of Title 18, United States Code, Section 1015(a) is not more than 5 years in prison. The maximum punishment for Harboring Aliens, in violation of Title 8, United States Code, Section 1324(a) and Unlawful Disposition of U.S. Property, in violation of Title 18, United States Code, Section 641 is 10 years in prison. The maximum punishment for Obstructing an Official Proceeding, a violation of Title 18, United States Code, Section 1512, is not more than 20 years imprisonment. The maximum punishment for Visa Fraud, a violation of Title 18, United States Code, Section 1546(a), is not more than 25 years imprisonment.
The investigation of this case continues, and is being conducted by the Department of Homeland Security – Document and Benefit Fraud Task Force and the U.S. Army Criminal Investigation Division. Assistant United States Attorney Gabriel Diaz represents the United States.
A copy of this press release is located on our website.
An indictment is merely an accusation. The defendants are 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 Key Worldwide Employee Pleads Guilty in College Admissions CaseRead the Press Release
BOSTON – A former employee of William “Rick” Singer’s “The Key” for-profit business pleaded guilty today in connection with her involvement in a scheme to use bribery and fraud to facilitate the admission of applicants to colleges nationwide.
Mikaela Sanford, 34, of Folsom, Calif., pleaded guilty to one count of conspiracy to commit racketeering. U.S. District Court Judge Indira Talwani scheduled sentencing for Jan. 15, 2021. According to the terms of the plea agreement, the government will recommend a sentence at the low end of the sentencing guidelines, one year of supervised release, a fine, forfeiture in the amount of $67,062 and restitution.
Sanford, who was employed by “The Key,” took online classes for students so that the students could submit the grades Sanford earned in their names as part of their application packages to colleges and universities. In other instances, Sanford helped fabricate athletic “profiles” and other documents to bolster students’ college applications by making the students appear to be highly successful high school athletes when, in fact, they were not.
Sanford is the 42nd defendant to plead guilty in this case.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
The charge of racketeering conspiracy provides for a sentence of up to 20 years in prison, three years of supervised release, a fine of $250,000 or twice the gross gain or loss, whichever is greater and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Joleen Simpson, Acting Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston; and Mark Deckett, Resident Agent in Charge of the Department of Education, Office of Inspector General made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright, Kristen A. Kearney, Stephen E. Frank and Karin M. Bell of Lelling’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Former Chicago Police Officer Sentenced to 13 Years in Prison for Participating in Robbery and Extortion CrewRead the Press Release
CHICAGO — A federal judge today sentenced a former Chicago Police sergeant to 13 years in prison for participating in a robbery and extortion crew.
In the 1990s, EDDIE C. HICKS and three others participated in a robbery ring that targeted suspected drug dealers under the guise of police investigations. The four-person crew staged phony drug raids and automobile stops of suspected dealers, threatened them with arrest, then kept the drugs, cash, or weapons they discovered.
All four were arrested and charged in federal court. Hicks fled Chicago in June 2003 while free on bond and awaiting trial. He remained a fugitive until his arrest in Detroit, Mich., in September 2017.
A jury last year convicted Hicks, also known as “David Rose,” 71, on all eight counts against him, including conspiracy to commit racketeering; drug conspiracy; possession of a controlled substance with intent to distribute; carrying a firearm in furtherance of a drug trafficking offense; theft of government funds; and failure to appear for a judicial proceeding. U.S. District Judge Joan Humphrey Lefkow imposed the 13-year sentence after a hearing in federal court in Chicago.
The sentence was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. Valuable assistance was provided by the U.S. Attorney’s Office for the Eastern District of Michigan; U.S. Marshals Service; Detroit, Mich., Police Department; Chicago Police Department; Cook County Sheriff’s Police Department; Bolingbrook Police Department; and Alsip Police Department. The government is represented by Assistant U.S. Attorneys Morris Pasqual and Grayson Walker.
Hicks served as a Chicago Police officer from 1970 to 2000, ultimately attaining the rank of sergeant. Evidence at trial revealed that from the early 1990s to 2001, Hicks and his robbery crew stole thousands of dollars in cash, multi-kilogram quantities of cocaine, hundreds of pounds of marijuana, and several firearms.
The three other crew members were also convicted. They were previously sentenced to prison terms: LARRY HARGROVE, a former Chicago Police sergeant, was sentenced to 13 years; MATTHEW L. MORAN, a former employee of the Illinois Department of Professional Regulation, was sentenced to seven years and ten months; and LAWRENCE W. KNITTER, a former civilian CPD electrical mechanic, was sentenced to nine years and four months.
Fayetteville Man Sentenced to 16 Years for Receipt and Possession of Child PornographyRead the Press Release
SYRACUSE, NEW YORK - Alan Longmore, age 68, of Fayetteville, New York, was sentenced today to serve 195 months (16 years and 3 months) in federal prison for receipt and possession of child pornography, announced Acting United States Attorney Antoinette T. Bacon and Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
As part of his previous guilty plea, Longmore admitted he received images and videos of child pornography through a peer-to-peer file-sharing program. A forensic review of his laptop computer revealed it contained numerous child pornography video files. Longmore admitted to engaging in this conduct for several years. In addition to these video and image files, the defendant also admitted to secretly recording and subsequently possessing video files depicting two minors engaged in sexually explicit conduct.
United States District Judge David N. Hurd also imposed a lifetime term of supervised release, which will start after Longmore is released from prison, and ordered Longmore to pay a $200 special assessment. As a result of his conviction, Longmore will be required to register as a sex offender upon his release from prison.
Longmore’s case was investigated by U.S. Homeland Security Investigations (HSI)-Syracuse Office, with assistance from the New York State Police Computer Crimes Unit, and the Town of Manlius Police Department.
The case was prosecuted by Assistant U.S. Attorney Geoffrey J. L. Brown as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorney’s Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Easton Man Charged with Attempted Online Enticement and Sex Trafficking of A ChildRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on September 29, 2020, Lorenz Quiambao, age 39, of Easton, Pennsylvania, was indicted by a federal grand jury for attempted online enticement of a minor and attempted sex trafficking of a child.
According to United States Attorney David J. Freed, the indictment alleges that Quiambao attempted to use a facility of interstate commerce to entice a minor to engage in sexual activity. Additionally, the indictment alleges that Quiambao attempted to cause a child to engage in a commercial sex act.
The charges stem from an investigation by the Federal Bureau of Investigation (FBI) – Philadelphia Division and its state and local law enforcement partners in Monroe County, Pennsylvania. Assistant United States Attorney Jeffery St. John is prosecuting the case.
The maximum penalties under federal law for these offenses is life imprisonment, a mandatory minimum period of imprisonment of 15 years, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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 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.usdoj.gov/psc.
Indictments are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
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East Tennessee Woman Sentenced to Federal Prison for Forging PrescriptionsRead the Press Release
Memphis, TN – Erin Pealor, 36, of Maryville, TN, has been sentenced to 36 months in federal prison for attempting to acquire or obtain a controlled substance by misrepresentation, fraud, forgery, deception, or subterfuge. D. Michael Dunavant, U.S. Attorney for the Western District of Tennessee and Brian Rabbitt, Acting Assistant Attorney General Justice Department’s Criminal Division, announced the sentence today.
According to information presented in court, beginning in November 2017 and continuing through February 2018, the defendant knowingly and intentionally attempted to obtain Schedule II controlled substances, namely methylphenidate and amphetamine, by fraud, forgery, deception, and subterfuge by filling out prescriptions with false and fraudulent patient names and forging the signature of a local physician. Pealor then attempted to fill those false and fraudulent prescriptions for controlled substances at various pharmacies.
U.S. Attorney D. Michael Dunavant said, "Opioid misuse and abuse is an insidious epidemic, and unfortunately, causes individuals to engage in criminal behavior that contributes to the problem. Just as this office will hold medical professionals accountable for over-prescribing opioids, we will also pursue federal charges against any person who exploits the medical profession for their own selfish desire to obtain highly addictive prescription drugs by dishonest methods."
In addition to the conduct charged in the September 2019 indictment in the Western District of Tennessee, Pealor admitted to the following facts related to conduct in the Eastern District of Tennessee:
On February 18, 2019, law enforcement made contact with Pealor in a parking lot at a CVS Pharmacy in Maryville, Tennessee. Law enforcement advised Pealor of her Miranda rights and she consented to have law enforcement search her vehicle. Law enforcement found four fake Arkansas drivers' licenses, a bottle of methylphenidate (Ritalin) 20mg in the name of a minor, an empty pill bottle in the name of another minor, CVS Pharmacy sales receipts, prescriptions in the names of two other doctors along with two ledgers that contained children's names, dates of birth, addresses and pharmacy names, and an iPhone.
Evidence revealed Pealor was the manager of Youth Opportunity Services and had been knowingly stealing personal identifying information belonging to children in the Department of Children's Services database and using that information to write and pass fraudulent prescriptions at numerous pharmacies in Blount and Knox counties. No one authorized the prescriptions, and Pealor's use of the children’s identities was unauthorized. Ms. Pealor forged prescriptions in the name of two doctors who did not authorize Pealor to place their names and signatures on the prescriptions. Some of those false and fraudulent prescriptions were found in her vehicle, but prior to being taken into custody, Pealor had successfully made unauthorized use of the identities of dozens of children in order to obtain Ritalin by means of forged prescriptions.
Through this scheme, Ms. Pealor obtained an estimated 5,000 pills. She also stole the TennCare numbers for these children and used the children's TennCare benefits to pay for the prescriptions. Accordingly, she was knowingly using, without lawful authority, the identities of both children and physicians in order to commit the offense of health care fraud in violation of Title 18, United States Code Section 1347 and making false statements in connection with a health care matter in violation of Title 18, United States Code, Section 1035.
Pealor was among several defendants charged in the Second Appalachian Region Prescription Opioid (ARPO) Strike Force Takedown in September, 2019: https://www.justice.gov/usao-wdtn/pr/second-appalachian-region-prescription-opioid-strikeforce-takedown-results-charges
On September 29, 2020, U.S. District Court Judge Thomas L. Parker sentenced Pealor to 36 months in federal prison followed by one year supervised release. There is no parole in the federal system.
The Appalachian Region Prescription Opioid (ARPO) Strike Force, Drug Enforcement Administration (DEA), and the State of Tennessee Office of Inspector General (OIG) investigated this case. Since its inception in October 2018, the ARPO Strike Force, which operates in 10 federal judicial districts, has charged more than 300 individuals with schemes involving more than 6 billion dollars in alleged healthcare fraud, and millions of prescription opioids.
Assistant U.S. Attorney Mark Erskine and Trial Attorney Emily Petro of the DOJ Fraud Section prosecuted this case on behalf of the government.
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EOIR Launches Resources to Increase Information and RepresentationRead the Press Release
FALLS CHURCH, VA – The Executive Office for Immigration Review (EOIR) today announced the launch of two new public resources that increase access to information about immigration law and EOIR proceedings. The Immigration Court Online Resource (ICOR) and the Pro Bono Portal also provide information about representation before EOIR’s immigration courts and Board of Immigration Appeals that benefits both aliens in proceedings and those representing such respondents.
“EOIR is committed to providing helpful and accurate information to all parties before our immigration courts and the Board of Immigration Appeals,” said EOIR Director James McHenry. “ICOR expands our Immigration Court Helpdesk program, providing useful information to parties regarding immigration proceedings. Further, the Pro Bono Portal makes information about free legal representation more accessible to attorneys and aliens.”
ICOR is a web-based tool that provides respondents, appellants, and representatives, and other interested parties, with a centralized location for resources pertaining to immigration proceedings before EOIR. As an expansion of the Immigration Court Helpdesk program available in five immigration courts, ICOR provides similar information – every day and at all hours – to anyone with access to the Internet. This information helps users better prepare for immigration proceedings, legal representation in such proceedings, and practice before EOIR’s adjudicators. ICOR also includes a tool that respondents can use to access general information about the forms of relief from removal or protection for which they may be able to apply. This mobile-friendly web resource is available in English and Spanish.
The Pro Bono Portal allows non-profit organizations, referral services, and private attorneys to initiate, manage, and renew their applications to be included on the EOIR List of Pro Bono Legal Service Providers. Individuals and entities can still apply by mailing a completed EOIR-56 form to the list administrator at EOIR Headquarters, but the Portal will provide a more convenient and efficient application process.
Drug Trafficking Co-Conspirator Sentenced after Engaging in ShootoutRead the Press Release
NORFOLK, Va. – A Portsmouth man was sentenced today to 10 years in prison for discharging a firearm in relation to a drug-trafficking crime.
According to court documents, Keith Earl Redman, 25, was a member of a Portsmouth-based cocaine and crack-trafficking conspiracy led by Charles Boomer, 44, of Portsmouth. This conspiracy was responsible for distributing wholesale amounts of cocaine and crack throughout Hampton Roads. Redman was the armed security for Boomer’s drug premises. Boomer was recently sentenced to 16 years in federal prison for his role in the conspiracy.
In September 2018, Redman engaged in a shootout with at least two masked gunmen trying to rob one of those drug premises. The residence was located across the street from a Portsmouth elementary school. Redman shot both gunmen in the legs and thwarted the robbery while sustaining minor injuries. Police officers arrived at the scene and stopped Boomer, Redman, and another co-conspirator as they were trying to flee in Redman’s girlfriend’s car.
During the police encounter, the officers saw that the co-conspirators were sitting on multiple bags of cocaine, crack cocaine, and marijuana, thousands of dollars in cash, and the handgun Redman had used to shoot at the masked gunmen. The officers recovered even more drugs and drug-manufacturing materials, as well as dozens of spent shell casings, from inside and in front of the residence.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Promotional Deceit. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Scott C. Burke, Acting Chief of Portsmouth Police; and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney William B. Jackson prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:20-cr-30.
Dominican National Sentenced for Drug Trafficking ConspiracyRead the Press Release
BOSTON – A Dominican national who previously resided in Boston was sentenced today in federal court for conspiracy to distribute fentanyl, oxycodone and cocaine.
Yonatan Lara, 35, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to 21 months in prison and three years of supervised release. Lara will be deported upon completion of his sentence. In June 2020, Lara pleaded guilty to conspiracy to distribute 100 grams or more of heroin, 400 grams or more of fentanyl, cocaine, cocaine base, oxycodone and marijuana. Lara has been in custody since he was arrested on May 30, 2019.
In 2018, a federal and state investigation into the members of a drug trafficking organization in and around the Boston area revealed that Jose Perez Felix, a/k/a “Eugenio Piedraita-Rivera,” a/k/a “Roberto Patricio Ramirez,” a/k/a “Grande,” allegedly distributed large quantities of narcotics, including heroin, fentanyl and cocaine from a base of operations in Boston. Lara and, allegedly, Perez Felix used a 2008 black Subaru Outback, registered to Lara, to distribute narcotics. Federal agents observed Lara and, allegedly, Perez Felix take “meaningless” rides in the Subaru – essentially driving the car around the block or a short distance as a means of shielding their transactions from law enforcement – and saw Lara use the Subaru to distribute narcotics to street-level dealers and users. Agents intercepted Lara and, allegedly, Perez Felix discussing the acquisition and distribution of oxycodone pills. Over the course of the investigation, agents seized oxycodone and fentanyl pills from Lara after two street-level sales.
Perez Felix has pleaded not guilty.
United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Brockton Police Chief Emanuel Gomes; Boston Police Commissioner William Gross; John Gibbons, U.S. Marshal for the District of Massachusetts; and Plymouth County District Attorney Timothy Cruz made the announcement today. Assistant U.S. Attorneys Christopher Pohl and Alathea Porter of Lelling’s Narcotics and Money Laundering Unit are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Dinwiddie Methamphetamine Dealer Pleads Guilty to DistributionRead the Press Release
RICHMOND, Va. – A Dinwiddie man pleaded guilty today to possession with the intent to distribute over 50 grams of methamphetamine.
According to court documents, in October 2019, Eric Darnell Royal, Jr., 23, traveled by himself to the Chula Gas Mart, located in Amelia. Upon arrival, Royal possessed a red bag around his waist that contained illegal narcotics and possessed a firearm inside his vehicle. Shortly after arriving, two individuals approached Royal, assaulted him, and ripped the red bag from his waist. A struggle ensued in the parking lot between Royal and the two men causing multiple plastic baggies to fall from the red bag onto the ground. Following the fight, Royal picked up the red bag and left the gas station. Law enforcement later recovered, on the ground in the parking lot, two clear plastic baggies with 342 purple oval unmarked tablets determined to be 76.49 grams of methamphetamine and 58.99 grams of marijuana.
An off-duty law enforcement officer who witnessed the fight followed Royal to a residence in Amelia County. The off-duty officer called Amelia County Sheriff Deputies for backup. Once arriving to the scene, the Amelia Deputies looked into Royal’s vehicle and in plain view observed a firearm and a red bag on the driver’s seat. After conferring with investigators who responded to the Chula Gas Mart scene about the fight and a potential shooting, the deputies applied for and obtained a state search warrant for Royal’s vehicle. Inside the vehicle, the officers recovered a Glock 9mm, Model 34, semi-automatic pistol, loaded with 17 rounds, a Glock 30 round magazine (empty), a red zippered bag containing: green leafy material, $200 in United States currency, and plastic baggies with 15.89 grams of methamphetamine purple powder, a variety of unspent ammunition, digital scales, a Glock 9mm magazine, and a Taurus magazine.
In August, federal agents arrested Royal at his place of business, located in Chester. After determining that Royal’s vehicle was on the premises, federal agents observed in plain view a plastic vacuum sealed bag on the front seat with a substance consistent with marijuana residue inside. Federal agents applied for and obtained a federal search warrant for Royal’s vehicle. A search of the vehicle revealed: a loaded Sig Sauer, Model P229, .40 caliber, semi-automatic pistol; a vacuum-sealed bag with marijuana residue; a digital scale; and marijuana.
Royal pleaded guilty to possession with the intent to distribute 50 grams or more of methamphetamine. He faces a mandatory minimum penalty of five years in prison when sentenced on Feb. 2, 2021. 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.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after U.S. District Judge M. Hannah Lauck accepted the plea. Assistant U.S. Attorney Erik S. Siebert is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:20-cr-84.
Detroit Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
CHARLESTON, W.Va. – A Detroit man was sentenced for a federal drug crime, announced United States Attorney Mike Stuart. Darnell Smith, 26, was sentenced to 18 months in prison for possession with intent to distribute heroin.
“This Detroit drug dealer had a bad day,” said United States Attorney Mike Stuart. “After being shot, he was in possession of 20 individually packaged bags of heroin when he entered the hospital for treatment. Now, he’s headed to federal prison. We hope out-of-state drug dealers figure out that bad days come as a result of bringing their drug business into West Virginia.”
Smith previously pled guilty admitting that on September 12, 2016, law enforcement officers found him in possession of 20 individually packaged bags of heroin when he entered a hospital for treatment after being shot in the head. Smith admitted that he intended to sell the drugs for money.
The case was investigated by the Charleston Police Department. Assistant United States Attorneys Chris Arthur and Erik Goes handled the prosecution. United States District Judge Joseph R. Goodwin imposed the sentence.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:18-cr-00165.
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Department of Justice Invests More than $295.8 Million in Grants to Improve Public Safety, Serve Crime Victims in American Indian and Alaska Native CommunitiesRead the Press Release
WASHINGTON – The Department of Justice announced yesterday that it has awarded more than $295.8 million to improve public safety, serve victims of crime and support youth programs in American Indian and Alaska Native communities.
Attorney General William P. Barr stated yesterday: “American Indian and Alaska Native communities experience rates of violent crime and domestic abuse that are among the highest in the nation. The awards announced today underscore the Department of Justice’s deep commitment to improving public safety in tribal communities throughout the United States. This administration will continue to work closely with our tribal partners to guarantee that they have the resources they need to combat violence and bring criminals to justice.”
The announcement included grants of more than $1.4 million to the Saint Regis Mohawk Tribe and $1.1 million to the Oneida Indian Nation, both situated within the Northern District of New York. The grants will be used to support law enforcement and tribal justice practices, expand victim services, and sustain crime prevention and intervention efforts.
Separately, the Office on Violence Against Women awarded the Saint Regis Mohawk Tribe $100,000 to help victims of domestic violence and decrease incidents of domestic violence during the COVID-19 pandemic. The Three Sisters Program, a secure shelter that provides services to victims of abuse, domestic violence and sexual assault, will administer the award.
Acting United States Attorney Antoinette T. Bacon stated: “These grants help support important justice and police programs, maintain vital services to victims of crime, and help protect those most vulnerable from domestic violence, sexual assault and gender-based violence. We look forward to continuing to work with our law enforcement partners in the Saint Regis Mohawk Tribe and the Oneida Indian Nation to promote public safety.”
Nationwide, more than $103 million was awarded under the Justice Department’s Coordinated Tribal Assistance Solicitation (CTAS) to enhance law enforcement and tribal justice practices, expand victim services, and sustain crime prevention and intervention efforts. Of that amount, the Department’s Office of Justice Programs (OJP) awarded $41.5 million, the Office on Violence Against Women awarded $39.1 million, and the Office of Community Oriented Policing Services awarded $22.5 million.
The Department also announced awards totaling $113 million to 133 applicants under the Tribal Victim Services Set-Aside Program. This program is designed to help tribes develop, expand and improve services to victims of crime and promote other public safety initiatives.
In addition to the CTAS and Tribal Victim Services Set-Aside awards, the Office on Violence Against Women made additional tribal awards of more than $31 million to support a wide range of efforts to address the crimes of domestic violence, dating violence, sexual assault, stalking and human trafficking.
A full listing of all the announced CTAS awards is available here.
A full listing of all Tribal Victim Services Set-Aside Program awards is available here.
For more information on the Office of Justice Programs, please visit: https://www.ojp.gov/. For more information on the Office on Violence Against Women, please visit: https://www.justice.gov/ovw. For more information on the COPS Office, please visit: https://cops.usdoj.gov/.
Department of Justice Applauds President Trump’s Authorization of the Antitrust Criminal Penalty Enhancement and Reform Permanent Extension ActRead the Press Release
On October 1, President Donald J. Trump signed into law a continuing resolution that contains the Antitrust Criminal Penalty Enhancement and Reform Permanent Extension Act (the “Act”). The Act reauthorizes the Antitrust Criminal Penalty Enhancement and Reform Act (ACPERA) and repeals the sunset provision therein.
“We thank President Trump and both the Senate and the House of Representatives for their bipartisan action and recognition of ACPERA’s importance in the fight to safeguard our free markets and protect American consumers from collusion,” said Assistant Attorney General Makan Delrahim of the Department of Justice’s Antitrust Division. “The division wholeheartedly agrees with Congress’s findings that ‘[c]onspiracies among competitors to fix prices, rig bids, and allocate markets are categorically and irredeemably anticompetitive and contravene the competition policy of the United States.’”
Congress enacted ACPERA in 2004 in part to provide greater incentives for corporations to self-report and cooperate pursuant to the Antitrust Division’s Corporate Leniency Policy. Since 2004, ACPERA’s provisions have substantially strengthened the Antitrust Division’s ability to detect and prosecute anticompetitive cartel activity through the Leniency Program.
From Fiscal Year 2010 to 2019, the Antitrust Division’s criminal prosecutions have resulted in over $9 billion in criminal fines and penalties, along with jail terms for more than 250 individuals. Since the fall of 2019 alone, the division obtained four criminal fines and penalties at or above the Sherman Act’s $100 million statutory maximum, and prosecuted antitrust violations affecting generic drugs, cancer patients, grocery store staples, and financial markets.
ACPERA will continue to mitigate a successful leniency applicant’s civil damages exposure from treble damages to actual damages if the company provides civil plaintiffs with timely and satisfactory cooperation. While treble damages liability can be an important deterrent for engaging in anti-competitive behavior, civil exposure also can deter self-reporting of criminal wrongdoing. Therefore, the Department of Justice supported the reauthorization of ACPERA and the repeal of its sunset provision.
Connecticut Licensed Alcohol and Drug Counselor Pays $230K to Settle False Claims AllegationsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that HECTOR B. CHUKWUEMEKA OKWUOSA, LADC, and his business, MY FATHER MY SON REHABILITATION AND COUNSELING CENTER LLC, have entered into a civil settlement agreement with the federal and state governments and paid $230,000 to resolve allegations that they violated the federal and state False Claims Acts.
Okwuosa is a state Licensed Alcohol and Drug Counselor and the owner of My Father My Son, a now dissolved private behavioral health practice that provided in-home mental health and substance abuse counseling in the greater New Haven, Hartford and Bridgeport communities. Okwuosa is enrolled as a Licensed Behavioral Health Clinician in Independent Practice in the Connecticut Medical Assistance Program (“CMAP”), which includes the state’s Medicaid program. It is alleged that, on numerous occasions, Okwuosa and My Father My Son billed Medicaid for behavioral health services as if a licensed individual had provided the services when in fact an unlicensed individual rendered the services.
To resolve the allegations under the federal and state False Claims Acts, Okwuosa and My Father My Son paid $230,000 in order to reimburse the Medicaid program for conduct occurring from March 1, 2017 to May 5, 2018.
Under the False Claims Act, the government can recover up to three times its actual damages, plus penalties of $11,665 to $23,331 for each false claim.
This case stems from a larger investigation into fraudulent activity in the area of behavioral health services, which has been jointly conducted by the Office of the Inspector General of the U.S. Department of Health and Human Services, the Medicaid Fraud Control Unit of the Chief State’s Attorney’s Office and the Connecticut Office of the Attorney General, with support from the Connecticut Department of Social Services.
This case was handled by Assistant U.S. Attorney Anne Thidemann, and Assistant Attorney General Joshua L. Jackson of the Connecticut Office of the Attorney General.
This matter is announced in coordination with a Department of Justice nationwide enforcement action involving more than 300 defendants in criminal and civil cases across 51 federal districts. The defendants, including more than 100 doctors, nurses and other licensed medical professionals, are alleged to have submitted more than $6 billion in false and fraudulent claims to federal health care programs and private insurers.
People who suspect health care fraud are encouraged to report it by calling 1-800-HHS-TIPS or the Health Care Fraud Task Force at (203) 777-6311.
Cleveland business owner sentenced to 15 months for bribing city demolition employeeRead the Press Release
U.S. Attorney Justin Herdman announced today that Eric Witherspoon, 56, of Warrensville Heights, was sentenced by U.S. District Court Judge Christopher A. Boyko to 15 months in prison and ordered to pay a $5,000 fine after Witherspoon pleaded guilty to bribery in federally funded programs.
“Public contracts should go to the most qualified, not the best connected,” said U.S. Attorney Justin Herdman. “Public officials, contractors, or anyone else who misuses or improperly handless public funds can expect to find themselves in a similar position, that is to say, facing federal prison time.”
“This sentencing represents our continuing resolve to root out fraud and corruption in all forms, particularly when the programs involved should have been used to help our neediest families,” said HUD OIG Special Agent in Charge Brad Geary. “It is our continuing core mission to work with our law enforcement partners and the United States Attorney’s Office to protect the integrity of our housing programs and to take strong action against those who seek to illegally benefit from them.”
According to court documents, Witherspoon owned and operated an asbestos removal and demolition businesses in Cleveland. Witherspoon submitted bids to the city of Cleveland in an attempt to obtain contracts for abatement and demolition work on behalf of the city.
Rufus Taylor, who has also pleaded guilty to receiving bribes, was Cleveland’s Chief of the Demolition Bureau. Taylor’s responsibilities included locating contractors for and assigning emergency demolition jobs. In addition, he advised other city officials on which contractors should be solicited for bids and conducting inspections, which had to be completed before a contractor could be paid.
Witherspoon pleaded guilty to participating in a bribery scheme in 2013 and 2014. This included the two of them meeting at restaurants, job sites and in parked cars. Witherspoon paid cash to Taylor, and, in return, Taylor provided confidential information and advice about potential board-up and demolition jobs in the city of Cleveland.
Taylor also provided assistance to Witherspoon in assuring the jobs he worked on would be inspected quickly.
In one instance, the two men met in November of 2013 to discuss a demolition job on Parkwood Drive. Witherspoon promised to pay Taylor in exchange for Taylor getting Witherspoon on the bid list. Witherspoon was awarded the contract and, in return, paid Taylor $3,000.00.
According to Court records, on the evening of February 9, 2017, the two men were recorded meeting in a parked vehicle to discuss their mutually beneficial relationship. They discussed their arrangement, whereby Taylor would receive a bribe payment from Witherspoon once Witherspoon received payment for a job that Taylor helped him obtain.
Later on in that conversation, the two discussed another instance in which Witherspoon had given Taylor $300.00, with Witherspoon acknowledging that Taylor “didn’t even ask [him] for that” bribe. After acknowledging that Witherspoon had paid Taylor $300.00 without Taylor even asking, Taylor noted that the payment was Witherspoon’s “appreciation” for Taylor, and Taylor had not complained about how much he received. Taylor noted that he had never complained about what “you put in my hand,” and Witherspoon acknowledged that was true.
Rufus Taylor pleaded guilty to extortion and bribery in a federally funded program on September 4, 2018. Taylor will be sentenced before Judge Christopher A. Boyko.
This case was investigated by agents with the Cleveland Division of FBI, Housing and Urban Development-OIG, and Internal Revenue Service – Criminal Investigations and was prosecuted by Assistant U.S. Attorneys Chelsea S. Rice and Elliot Morrison.
Charleston Career Offender Sentenced to 10 Years in Prison for Selling Heroin Containing FentanylRead the Press Release
CHARLESTON, W.Va. – A Charleston man was sentenced today to 10 years in prison for a drug crime, announced United States Attorney Mike Stuart. David Ferguson, 48, previously pled guilty to the distribution of heroin. At sentencing, the Court found that because he had two prior felony offenses that were crimes of violence, Ferguson was a career offender.
“It’s 10 years in federal prison for this career offender,” said United States Attorney Mike Stuart. “From his history of violent crimes to his current conviction for selling fentanyl laced heroin, he earned this sentence. Our communities are safer as a result of putting repeat offenders like Ferguson behind bars.”
Ferguson sold heroin, that was later confirmed to contain fentanyl, to a confidential informant working with the Metropolitan Drug Enforcement Network Team (MDENT) on November 5, 2018, in Charleston.
United States District Judge Joseph R. Goodwin imposed the sentence. The Metropolitan Drug Enforcement Network Team (MDENT) conducted the investigation. Assistant United States Attorney Monica D. Coleman handled the prosecution.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 2:18-cr-00294.
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Bozeman doctor admits unlawful drug dispensing at weight loss clinicsRead the Press Release
BILLINGS – A Bozeman doctor today admitted charges that he illegally dispensed appetite suppressant drugs at two weight loss clinics in Bozeman and Billings, U.S. Attorney Kurt Alme said.
Dr. Ronald M. Buss, 71, pleaded guilty to an information charging him with two counts of unlawful dispensing and distribution of controlled substances by registrant, a misdemeanor. Buss faces a maximum one year in prison, a $100,000 fine and one year of supervised release on each count.
U.S. Magistrate Judge Timothy J. Cavan presided. Buss was released pending further proceedings. A sentencing date has not yet been set.
Court documents filed by the prosecution said that in 2009, Buss became the medical director for Go Figure, a weight loss clinic in Bozeman, and a year later became the director for Go Figure in Billings. Buss is registered with the Drug Enforcement Administration and is authorized to dispense controlled substances. His registration number has been used at the two Go Figure clinics for controlled substance prescriptions.
Go Figure has prescribed three types of weight loss drugs: Phendimetrazine and Benzphetamine, both Schedule III controlled substances, and Phentermine, a Schedule IV controlled substance. These drugs are amphetamine-based and intended for short-term use. The drugs also are indicated only for severely overweight or obese individuals and may be contraindicated for people with some health conditions.
In August 2016, the Billings DEA received information from a pharmacist that Go Figure was illegally dispensing these three controlled appetite suppressants from its clinic. In July 2016, Buss began pre-signing prescriptions for Go Figure staff to complete. Go Figure had no medically trained staff other than Buss. An employee at the Billings clinic told investigators Buss pre-signed prescriptions for new and current clients, and that staff would choose one of the three drugs, its strength, directions for use and complete the written prescription. Patients paid $50 per week to be weighed, have their blood pressure taken and receive a prescription for one week's worth of the selected drug.
At the Bozeman clinic, an employee told law enforcement that she was a "consultant," met with patients and prescribed controlled substances on blank, pre-signed prescriptions from Buss. Staff repeatedly questioned the practice but were continually assured Go Figure had special permission to do so and that it was legal. In addition, the employee said that from 2009 to 2016, the Bozeman clinic was dispensing the appetite suppressants directly from the clinic without issuing written prescriptions.
Clinic employees further said Buss did not meet many of the patients for months or years after they began taking the drugs. In some instances, Buss never saw the patients at all. Patients confirmed to DEA investigators that they rarely, if ever, met with Buss.
When interviewed, Buss admitted to investigators to pre-signing blank prescriptions and not seeing patients until after they started taking the drugs. Buss claimed that was only way to run the practice effectively.
Assistant U.S. Attorney Karla Painter is prosecuting the case, which was investigated by the Drug Enforcement Administration.
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Armed Drug Trafficker and Prior Felon Pleads GuiltyRead 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 Lorenzo Watson, 29, of Rochester, NY, pleaded guilty before U.S. District Judge David G. Larimer to possessing with intent to distribute cocaine, and possession of a firearm and ammunition by a felon. The charges carry a maximum penalty of 20 years in prison, and a fine of $1,000,000, or both.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that the defendant was arrested on September 26, 2019, after New York State Parole Officers went to his residence on Bauman Street in Rochester for a compliance check. Officers did not locate Watson at the residence, rather, they saw him walking on Bauman Street with his hands in his sweatshirt pockets. The officers approached Watson and searched him and found a pill bottle, which contained 40 small bags of a substance later identified as cocaine, and a handgun, in one of the sweatshirt pockets. The handgun, which had a defaced serial number, was loaded with eight rounds of ammunition. Officers also found $507.00 in United States currency in Watson’s pants pocket.
Watson was previously convicted in August of 2017, in Monroe County Court, of Attempted Criminal Possession of a Controlled Substance in the Fifth Degree and sentenced to serve two years in prison. In addition, the defendant was previously convicted in July of 2011, also in Monroe County Court, of Attempted Criminal Possession of a Weapon in the Second Degree and again sentenced to serve two years in prison. As a result of those convictions, the defendant is legally prohibited from possessing a firearm.
The matter was brought by the United States Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The plea is the result of an investigation by the New York State Department of Corrections and Community Supervision, under the direction of Acting Commissioner Anthony J. Annucci; the Rochester Police Department, under the direction of Acting Chief Mark Simmons; and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division.
Sentencing is scheduled for December 7, 2020, at 2:00 p.m. before Judge Larimer.
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Albuquerque man sentenced to prison on federal drug and firearm chargesRead the Press Release
ALBUQUERQUE, N.M. – Selmonio Davis, 44, of Albuquerque, was sentenced in federal court in Albuquerque on Sept. 25 to nine years in prison for possessing methamphetamine with intent to distribute, being a felon in possession of a firearm and ammunition and possessing a firearm in furtherance of a drug trafficking crime.
Davis pleaded guilty to these offenses on June 11. In the plea agreement, Davis admitted to illegally selling methamphetamine and heroin in five separate transactions from March 13, 2019, through May 30, 2019. A search warrant executed at Davis’ apartment following those transactions revealed his possession of methamphetamine, heroin, cocaine, and materials and drug paraphernalia used in the preparation for distribution of these narcotics. A Glock Model 26 semiautomatic handgun and ammunition was also located near the drugs.
Following his release from prison, Davis will serve three years of supervised release.
The Albuquerque office of the FBI along with the New Mexico State Police investigated this case. Assistant U.S. Attorney David P. Cowen prosecuted the case.
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Aggravated Felon Pleads Guilty to Federal Firearms Offense and Illegal Re-Entry After Previous DeportationRead the Press Release
Ocala, FL – Jose Merced Sanchez De La Torre (43) has pleaded guilty to illegal re-entry by a previously deported alien and unlawful possession of a firearm. He faces up to 30 years in federal prison. A sentencing date has not yet been set.
According to court documents, on August 31, 2020, the FBI received a tip that a residence in Ocala contained illegal aliens and firearms. The FBI requested the assistance of U.S. Customs and Border Protection (CBP). CBP researched the address and determined that one of the residents, Sanchez De La Torre, was an illegal alien from Mexico who had previously been deported from the United States in 2015, following federal convictions for an aggravated felony—unlawful possession of a firearm—and seven counts of structuring financial transactions. On September 8, 2020, Border Patrol agents, with help from the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Marion County Sheriff’s Office (MCSO), executed an arrest warrant at the residence. During a search of the residence, three firearms were located, including an AK-47 along with a large amount of ammunition. As both an illegal alien and a convicted felon, Sanchez De La Torre is prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the FBI, CBP, ATF, and the MCSO. It is being prosecuted by Assistant United States Attorney Tyrie Boyer.
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 and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
4 Members of the Mount Vernon Goonies Street Gang Plead Guilty to the Murder of 13-Year-Old Innocent BystanderRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, announced today that DAVID HARDY, a/k/a “Mooka,” MARQUIS COLLIER, JERMAINE HUGHLEY, a/k/a “Blacks,” and SINCERE SAVOY, a/k/a “Bitty,” pled guilty to participating in the murder of Shamoya McKenzie, a 13-year-old innocent bystander. HARDY pled guilty today, COLLIER pled guilty on August 14, 2020, HUGHLEY pled guilty on September 10, 2020, and SAVOY pled guilty on September 1, 2020. All four defendants will be sentenced by United States District Judge Nelson S. Román, to whom the case is assigned.
Acting U.S. Attorney Audrey Strauss said: “On December 31, 2016, David Hardy, Marquis Collier, Jermaine Hughley, and Sincere Savoy shot at a rival gang member, injuring him and killing 13-year-old Shamoya McKenzie, cutting short her young and promising life. Now all four of them face significant time in prison for their participation in senseless gun violence.”
According to allegations in the Indictment and other documents filed in federal court, as well as statements made in public court proceedings:
Between 2007 and 2017, in the Southern District of New York and elsewhere, HARDY, COLLIER, HUGHLEY, and SAVOY were members of a racketeering enterprise known as the “Goonies.” In order to fund the enterprise, protect and expand its interests, and promote its standing, members and associates of the Goonies committed, conspired, attempted, and threatened to commit acts of violence, including murder, attempted murder, and robbery; they conspired to distribute and possess with the intent to distribute narcotics; and they obtained, possessed, and used firearms, including by brandishing and firing them.
The Goonies have been engaged in a long-standing and violent feud with several rival Mount Vernon street gangs, including, among others, the “Boss Playa Family,” the “Get Money Gangstas,” the “Gunnas,” and the “Much Better Gang,” among others. On December 31, 2016, HARDY, COLLIER, HUGHLEY, and SAVOY attempted to murder a rival gang member in broad daylight by firing multiple shots at him in the vicinity of Tecumseh Avenue and Third Street in Mount Vernon, New York. The rival gang member suffered gunshot wounds but survived. One of the bullets, however, missed the intended target and struck in the head and killed 13-year-old Shamoya McKenzie, who was in the front passenger seat of a car that happened to be driving past the shooting location.
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HARDY, 25, pled guilty to one count of using a firearm in connection with the murder of Shamoya McKenzie in aid of racketeering and one count of using a firearm in connection with an assault with a dangerous weapon in aid of racketeering for committing a separate shooting in furtherance of the Goonies. Together, the crimes carry a maximum penalty of life in prison, and a mandatory minimum sentence of 15 years in prison.
COLLIER, 28, pled guilty to one count of racketeering conspiracy and one count of discharging a firearm in connection with the murder of Shamoya McKenzie in aid of racketeering. Together, the crimes carry a maximum penalty of life in prison, and a mandatory minimum sentence of 10 years in prison.
HUGHLEY, 27, pled guilty to one count of racketeering conspiracy and one count of discharging a firearm in connection with the murder of Shamoya McKenzie in aid of racketeering. Together, the crimes carry a maximum penalty of life in prison, and a mandatory minimum sentence of 10 years in prison.
SAVOY, 23, pled guilty to one count of using a firearm in connection with the murder of Shamoya McKenzie in aid of racketeering, which carries a maximum penalty of life in prison, and a mandatory minimum sentence of five years in prison.
Ms. Strauss thanked the Westchester County District Attorney’s Office and praised the outstanding investigative work of the FBI’s Westchester County Safe Streets Task Force, which comprises agents and detectives from the FBI, Yonkers Police Department, Westchester County District Attorney’s Office, Westchester County Police Department, Peekskill Police Department, Mount Vernon Police Department, New York City Police Department, and U.S. Probation.
The case is being handled by the Office’s White Plains Division. Assistant United States Attorneys Anden Chow and Sarah Krissoff are in charge of the prosecution.
11 Union Officials Charged with Racketeering, Fraud, and Bribery OffensesRead the Press Release
Ilan Graff, Attorney for the United States, Acting Under Authority Conferred by 28 U.S.C. § 515, and Timothy D. Sini, Suffolk County District Attorney, announced today the return of an indictment charging JAMES CAHILL, CHRISTOPHER KRAFT, PATRICK HILL, MATTHEW NORTON, WILLIAM BRIAN WANGERMAN, KEVIN MCCARRON, JEREMY SHEERAN, a/k/a “Max,” ANDREW MCKEON, and ROBERT EGAN with racketeering, fraud, and bribery offenses, in connection with their acceptance of payments in their roles as current and former union officials to corruptly influence labor-management relations in the construction industry. SCOTT ROCHE and ARTHUR GIPSON are charged with fraud and bribery offenses. The defendants are current and former union officials with Local 638 of the Enterprise Association of Steamfitters (“Local 638”) and Local Union 200 of the United Association of Journeyman and Apprentices of the Plumbing and Pipe Fitting Industry of the United States and Canada (“Local 200”). CAHILL is the president of the New York State Building and Construction Trades Council (the “NYS Trades Council”), which represents over 200,000 unionized construction workers, and a member of the executive council for the New York State American Federation of Labor and Congress of Industrial Organizations (the “NYS AFL-CIO”). As alleged, since in or around October 2018, the defendants agreed to accept dozens of bribes, totaling over $100,000, in exchange for which they used their authority to corruptly influence the construction industry at the expense of labor unions and their members.
All of the defendants were arrested yesterday afternoon or earlier today and will be presented this afternoon before United States Magistrate Judge Robert W. Lehrburger. The case is assigned to Chief United States District Judge Colleen McMahon.
Attorney for the United States Ilan Graff said: “As alleged, the defendants exploited their labor organization positions to line their own pockets. They did so at the expense of the unions and their members by accepting bribes to favor non-union employers and corruptly influence the construction trade. Today’s indictment reflects our commitment to rooting out corruption and bringing to justice those who abuse positions of power out of personal greed. We thank the Suffolk County District Attorney’s Office for their partnership in this case.”
Suffolk County District Attorney Timothy D. Sini said: “As alleged in today’s indictment, these union officials – who purported to be the ones looking out for workers and their rights – were in fact engaged in an enterprise of corruption at the expense of the hardworking men and women they claimed to represent. This was a complete betrayal of these unions and their membership. Our two-year wiretap investigation uncovered a shocking level of greed and corruption, and the investigation is very much ongoing. I want to thank the U.S. Attorney’s Office for the Southern District of New York for partnering with my office on this investigation and for working with us to hold these alleged bad actors accountable in federal court.”
According to the allegations in the Indictment:
JAMES CAHILL, CHRISTOPHER KRAFT, PATRICK HILL, MATTHEW NORTON, WILLIAM BRIAN WANGERMAN, KEVIN MCCARRON, JEREMY SHEERAN, a/k/a “Max,” ANDREW MCKEON, and ROBERT EGAN, are members of an enterprise (the “Enterprise”) comprising current and former officials of Local 638, a union with jurisdiction over pipe fitting in New York City and Long Island. The Enterprise was a criminal organization whose members agreed to engage in, among other activities, honest services fraud, receipts of bribes as labor union officials, and unlawful receipt of payments to labor organizations. Members of the Enterprise conspired to accept cash bribes, as well as bribes in the form of “loans” that were never repaid, free meals and drinks, free labor on personal property, and purchases of home appliances. Since in or around October 2018, the defendants accepted dozens of bribes, totaling over $100,000.
JAMES CAHILL was the leader of the Enterprise. In addition to being president of the NYS Trades Council and a member of the NYS AFL-CIO’s executive council, CAHILL is also a former business agent of Local 638, and a former international representative of the United Association of Journeymen and Apprentices of the Plumbing and Pipe Fitting Industry of the United States and Canada. As the Enterprise’s leader, CAHILL influenced Local 638’s elections and installed loyal associates into official positions within Local 638. CAHILL initiated several Local 638 officials into the Enterprise so they could accept bribes and expand their influence. For example, after CAHILL brought defendant PATRICK HILL into the Enterprise as a union official who would – and did – accept bribes, CAHILL told a non-union employer from whom CAHILL and HILL had received bribes (“Employer-1”): “Here’s the thing. I give you Paddy [HILL]. But if Paddy fucks up and does stupid things, you have to tell me . . . I got my guys, I got the guys who come to me, and you know that, and everyone knows who comes to me.” CAHILL told HILL, following HILL’s receipt of a bribe from Employer-1, “Welcome to the real world.” NORTON similarly stated in a meeting at which NORTON, CAHILL, and HILL received bribes: “The real world is the real world and there’s . . . always wiggle room as long as everyone . . . understands each other, and everyone’s taken care of.”
CAHILL and the other members of the Enterprise used their positions of power with respect to Local 638 to receive bribes in exchange for taking actions favorable to non-union employers, and exercising corrupt influence within the construction trade, all to the detriment of Local 638 and the union members’ interests. For instance, in one meeting with Employer-1, CAHILL urged Employer-1, in sum and substance, not to sign with a union, but instead to “tell everyone to go fuck themselves” because “if you become union, you’ll have 12 fucking guys on your back.”
All 11 defendants are also charged with participating in conspiracies to commit honest services fraud and violate the Taft-Hartley Act, based on, among other things, their agreement to accept bribes in exchange for acquiescing in the bidding and performing of construction work with non-union labor for plumbing and pipe fitting projects that would otherwise have potentially been awarded to companies whose employees were represented by Local 638 or Local 200.
* * *
A chart containing the names, charges, and maximum penalties for the defendants is set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Graff praised the outstanding investigative work of the Special Agents within the U.S. Attorney’s Office for the Southern District of New York and Investigators with the Suffolk County District Attorney’s Office, and noted that the investigation is ongoing.
This case is being handled by the Office’s Violent and Organized Crime Unit. Assistant U.S. Attorneys Jason Swergold, Danielle Sassoon, and Jun Xiang, and Special Assistant U.S. Attorney Laura de Oliveira, are in charge of the prosecution.
The charges in the Indictment are merely accusations and the defendants are presumed innocent unless and until proven guilty.
Count
Charge
Defendants
Max. Penalty
Count One
Racketeering Conspiracy
18 U.S.C. § 1962(d)
JAMES CAHILL
CHRISTOPHER KRAFT
PATRICK HILL
MATTHEW NORTON
WILLIAM BRIAN WANGERMAN
KEVIN MCCARRON
JEREMY SHEERAN, a/k/a “Max”
ANDREW MCKEON
ROBERT EGAN
20 years’ imprisonment
Count Two
Honest Services Fraud Conspiracy
18 U.S.C. §§ 1343, 1346, and 1349
JAMES CAHILL
CHRISTOPHER KRAFT
PATRICK HILL
MATTHEW NORTON
WILLIAM BRIAN WANGERMAN
KEVIN MCCARRON
JEREMY SHEERAN, a/k/a “Max”
ANDREW MCKEON
ROBERT EGAN
SCOTT ROCHE
ARTHUR GIPSON
20 years’ imprisonment
Count Three
Conspiracy to Violate the Taft-Hartley Act
18 U.S.C. § 371
JAMES CAHILL
CHRISTOPHER KRAFT
PATRICK HILL
MATTHEW NORTON
WILLIAM BRIAN WANGERMAN
KEVIN MCCARRON
JEREMY SHEERAN, a/k/a “Max”
ANDREW MCKEON
ROBERT EGAN
SCOTT ROCHE
ARTHUR GIPSON
5 years’ imprisonment
As the introductory phrase signifies, the entirety of the text of the Indictment and the description of the Indictment set forth herein constitute only allegations and every fact described should be treated as an allegation.
30 September 2020
Wisconsin-Based Nonprofit to Pay $1.9 Million to Settle Allegations of False Claims and Kickbacks on Federal Contracts for Blind WorkersRead the Press Release
Industries for the Blind and Visually Impaired Inc. (IBI) has agreed to pay the United States $1,938,684.09 to resolve allegations that IBI violated the False Claims Act and the Anti-Kickback Act in connection with certain federal contracts set aside to employ blind workers, the Justice Department announced today.
IBI is a nonprofit corporation headquartered in West Allis, Wisconsin that receives set-aside contracts from federal agencies under the federal government’s AbilityOne Program. In exchange, IBI agrees to give jobs to workers who are blind or visually-impaired and comply with other contractual requirements.
The settlement resolves allegations that, between 2009 and 2018, IBI misrepresented to the U.S. AbilityOne Commission when requesting set-aside contracts for furniture design and installation services that it would maintain a 3:1 blind-to-sighted ratio of employees, and that furniture designers and sales representatives working for IBI took impermissible payments and gifts from manufacturers on certain contracts. It also resolves claims that IBI improperly subcontracted a set-aside contract for screen-printed clothing to an entity that did not generally use blind labor.
“AbilityOne contractors have a duty to follow the law and meet their important commitments to employ workers who are blind or severely disabled,” said Acting Assistant Attorney General Jeffrey Bossert Clark for the Department of Justice’s Civil Division. “This settlement demonstrates our continuing vigilance to ensure that those receiving set-aside contracts under the AbilityOne Program comply with the conditions of their awards.”
The AbilityOne Commission operates under the authority of the Javits-Wagner-O’Day Act (JWOD ACT), which was passed in 1971 to increase employment and training opportunities for persons who are blind or visually impaired, or who have disabilities so severe that they are otherwise unable to work at competitive employment. More than 400 companies participate in the AbilityOne Program and receive set-aside federal contracts in exchange for employing approximately 45,000 people who are blind or have severe disabilities.
“By its conduct, IBI thwarted the AbilityOne Program’s goal of increasing employment and training opportunities for persons who are blind or visually-impaired,” said U.S. Attorney Matthew D. Krueger for the Eastern District of Wisconsin. “This settlement reflects our office’s continuing efforts to combat violations of the False Claims Act and protect federal programs.”
“We are committed to preserving the integrity of the AbilityOne program. False claims on the program exclude blind and significantly disabled workers from opportunities and hinders law-abiding AbilityOne contractors,” said Thomas K. Lehrich, Inspector General of the U.S. AbilityOne Commission. “Working with DOJ and our partners, the Office of Inspector General protects the confidence and public trust in the largest employment program in the nation of blind and significantly disabled workers.”
“The conduct at issue in this case undermined the core purpose of the AbilityOne program – to provide jobs for the blind and disabled," said Carol F. Ochoa, Inspector General for the General Services Administration (GSA). "This settlement reflects our commitment to protect the integrity of the program and hold companies accountable for attempts to subvert it.”
Among the allegations resolved by the settlement are claims asserted in a lawsuit filed under the whistleblower provision of the False Claims Act, which permits private parties to file suit on behalf of the United States for false claims and share in a portion of the government’s recovery. The lawsuit was filed by Paul Inzeo, formerly a marketing manager at IBI, whose share has not yet been decided.
The settlement also resolves conduct that IBI investigated and disclosed to the United States concerning the receipt of gifts and money by its furniture designers and sales representatives that was not alleged in the whistleblower complaint. It received credit in the settlement for its disclosure, cooperation, and remediation efforts in connection with this conduct.
The settlement was the result of a coordinated effort among the U.S. Attorney’s Office for the Eastern District of Wisconsin and the Commercial Litigation Branch of the Justice Department’s Civil Division, with assistance from GSA’s Office of Inspector General, the U.S. Army Criminal Investigative Command, the Air Force Office of Special Investigations, the Defense Contract Audit Agency, the AbilityOne Office of the Inspector General, and the U.S. Department of the Interior Office of Inspector General.
The claims resolved by the settlement are allegations only, and there has been no determination of liability. The lawsuit resolved by the settlement is captioned United States ex rel. Inzeo v. Industries for the Blind, Inc., et al., No. 15-cv-996 (E.D. Wisc.).
Wisconsin Felon Charged with Illegally Possessing A Firearm, AmmunitionRead the Press Release
United States Attorney Erica H. MacDonald today announced a federal indictment charging GERALD SEAN CLARK, 49, with one count of being a felon in possession of a firearm and two counts of being a felon in possession of ammunition. CLARK will make his initial appearance in U.S. District Court at a later date.
According to allegations in the indictment, on July 10, 2020, CLARK was found to be in possession of a Ruger model LCP .380 handgun, a magazine containing 27 rounds of 7.62x39 semi-automatic rifle ammunition, and 23 rounds of Winchester .410 shotgun shells ammunition. Because CLARK has prior felony convictions, he is prohibited under federal law from possessing firearms or ammunition at any time.
This case is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Minnesota State Patrol. This case was brought as part of Project Safe Neighborhoods (PSN), an initiative that brings together federal, state, and local law enforcement to combat 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.
Assistant U.S. Attorney Julie E. Allyn is prosecuting the case.
The charges contained in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Defendant Information:
GERALD SEAN CLARK, 49
Superior, Wis.
Charges:
- Felon in possession of a firearm, 1 count
- Felon in possession of ammunition, 2 counts
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Wexford Man Charged with Possessing an Unregistered Homemade RifleRead the Press Release
PITTSBURGH, PA – A former resident of Wexford, PA, has been indicted by a federal grand jury in Pittsburgh on a charge of possession of an unregistered firearm, United States Attorney Scott W. Brady announced today.
The one-count Indictment named James Thompson, 47, as the sole defendant.
According to Indictment, which follows a Criminal Complaint that was filed on September 4, 2020, the defendant called the police to his residence on July 17, 2020, and stated that he had multiple weapons, including guns and knives. When police arrived on the scene, Thompson exited the residence with a loaded AR15 style rifle, wearing a bulletproof vest, and threatening the use the weapon. The defendant was taken into custody and law enforcement was able determine that the rifle was homemade and not registered in the National Firearms Registration and Transfer Record. The Court was further informed that law enforcement had previously responded to a domestic call at the defendant’s residence on December 9, 2019.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000 or both. 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 defendant. The defendant is being housed at a mental health facility pending the resolution of the case.
Assistant United States Attorney Nicole Vasquez Schmitt, who serves as the office’s Domestic Violence Coordinator, is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Northern Regional Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Waterloo Man Sentenced to Federal Prison for Unlawfully Possessing a Gun and MethamphetamineRead the Press Release
A Waterloo man who unlawfully possessed a firearm and possessed methamphetamine with the intent to distribute was sentenced on September 28, 2020, to almost four years in federal prison.
Corvelous Devontae Caston, age 30, from Waterloo, Iowa, received the prison term after a March 4, 2020 guilty plea to possession of a firearm by a prohibited person and possession with intent to distribute methamphetamine after having previously been convicted of a felony drug offense.
Information disclosed at sentencing showed that, on September 11, 2019, Caston was the backseat passenger of a car stopped by police. As officers approached the car, Caston opened his door and fled on foot. Officers pursued and eventually apprehended Caston. Officers recovered a loaded firearm with no serial number from Caston’s waistband and a mason jar containing a number of multi-colored pills that contained methamphetamine.
Caston was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Caston was sentenced to 46 months’ imprisonment. He must also serve a six-year term of supervised release after the prison term. There is no parole in the federal system. Caston is being held in the United States Marshal’s custody until he can be transported to a federal prison.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime.
Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case was prosecuted by Special Assistant United States Attorney Dillan Edwards and investigated by a Federal Task Force composed of the Waterloo Police Department, Federal Bureau of Investigation, and Bureau of Alcohol Tobacco and Firearms assisted by the Black Hawk Count Sheriff’s Office and Cedar Falls Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-02072.
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Washington man pleads guilty to transporting a minor for sexRead the Press Release
ALBUQUERQUE, N.M. – Raheshi De Angelo Horace, 37, of Tacoma, Washington, pleaded guilty in federal court on Sept. 22 to a charge of transportation of a minor with intent to engage in criminal sexual activity. Horace remains in custody pending a sentencing hearing.
According to a criminal complaint, on March 6, Horace was sexually abusing an eight-year old victim when the victim’s mother entered the room and caught him. The mother immediately removed Horace from the residence and called 911. Horace met the mother in Tacoma, Washington, in 2016 before moving with the mother and her children to Arizona and later to New Mexico. In the plea agreement, Horace admitted to transporting the victim to New Mexico with the intent to engage in sexual activity.
By the terms of the plea agreement, Horace faces 20 years in prison followed by supervised release for life.
Homeland Security Investigations and the Hidalgo County Sheriff’s Office investigated this case. Assistant U.S. Attorney Marisa A. Ong is prosecuting the case.
Wareham Man Charged with Possession of Child PornographyRead the Press Release
BOSTON – A Wareham man was arrested and charged yesterday with possession of child pornography.
David St. Jacques, 56, was charged by criminal complaint with one count of possession of child pornography. Following an initial appearance yesterday, St. Jacques was detained pending a detention hearing scheduled for Oct. 5, 2020.
As alleged in the charging document, federal agents executed a search of St. Jacques’s residence yesterday morning and seized a computer, three phones, and one thumb drive. Agents discovered that St Jacques had allegedly destroyed at least two other drives and attempted to destroy one of his phones when agents arrived to execute the warrant. St. Jacques admitted to exchanging child pornography with other individuals on various chatting applications, and agents located child pornography during the on scene review of the devices that were still intact.
In March 2009, St. Jacques was convicted in Plymouth County Superior Court of several counts of dissemination and possession of child pornography.
Due to the prior felony conviction, St. Jacques faces a mandatory minimum sentence of 10 years and up to 20 years in prison, five years and up to life of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement. Assistant U.S. Attorney Anne Paruti, Lelling’s Project Safe Childhood Coordinator and a member of the Major Crimes Unit, is prosecuting 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/.
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.
Virginia Man Sentenced to 180 Months in Prison for Attempted Production of Child Pornography and Traveling in Interstate Commerce for Illicit Sexual ConductRead the Press Release
Knoxville, Tenn. - Gregory Lynn McKnight, Jr., 28, of Clintwood, Virginia, was sentenced on September 29, 2020, by the Honorable R. Leon Jordan, Senior U.S. District Judge, to serve 180 months in federal prison for attempting to coerce a minor to engage in sexually explicit conduct for the purpose of producing child pornography and traveling in interstate commerce for the purpose of engaging in illicit sexual conduct with a minor. Following his imprisonment, McKnight will be supervised by the U.S. Probation Office for 15 years and will be required to register with the state sex offender registry in any state in which he lives, works, or attends school.
The investigation began after the parents of a minor female informed local a law enforcement agency that McKnight had contacted their daughter on social media and began sending messages of a sexual nature to her. During the undercover investigation, McKnight attempted to get the minor to send him sexually explicit depictions of her and to meet for sex. McKnight drove from Virginia to Tennessee for the purpose of having sex with the girl.
“This prosecution represents part of our efforts to work with law enforcement agencies to protect children from persons who try to groom children online for child pornography and other illicit purposes,” said J. Douglas Overbey, U.S. Attorney for the Eastern District of Tennessee. U.S. Attorney Overbey encourages parents to be vigilant concerning the online activities of their children. “These predators operate from the shadows of the internet, pretend to befriend young people, and then prey upon the minors’ vulnerability to induce them to send sexual images and videos, unbeknownst to their parents.”
The case was investigated by the Federal Bureau of Investigation, with assistance from Claiborne County Sheriff’s Office. Assistant U.S. Attorneys Matthew T. Morris and Jennifer Kolman represented the United States in Court.
This case was brought as part of Project Safe Childhood (PSC), a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section, PSC marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about PSC, please visit https://www.justice.gov/psc.
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Vestavia Hills Doctor Sentenced to 30 Years in Prison for Producing and Possessing Child PornographyRead the Press Release
Birmingham, Ala. – A federal today yesterday sentenced a former Vestavia Hills doctor to 30 years in prison for producing and possessing child pornography, announced U.S. Attorney Prim F. Escalona and FBI Special Agent in Charge Johnnie Sharp, Jr.
U.S. District Judge Annemarie C. Axon sentenced RONALD TAI YOUNG MOON, JR., 56, of Vestavia Hills, Ala., who worked as a doctor at The Industrial Athlete clinic in Birmingham until his license was revoked earlier this year. Moon went to trial in February, and after four days of testimony a jury convicted Moon of possessing, producing, and attempting to produce child pornography.
Evidence at trial proved that between the mid-1990s and about 2012, Moon secretly recorded neighbors and guests in his own home, including girls as young as 12 years old. Some of those individuals were filmed naked, dressing, and undressing. The footage was located on VHS videotapes found in the defendant’s locked private office with other pornographic VHS tapes, steps away from a TV/VCR set that was working and plugged in. Evidence of multiple hidden-camera devices was also found in the defendant’s office.
In addition to thirty years in prison, following his release from prison, Moon was ordered to serve 5 years of supervised release and, by law, will also be required to register as a sex offender.
“Unfortunately, this sentence will not undo the harm suffered by Moon’s victims,” Escalona said. “However, understanding that the consequences of this conduct is severe might discourage other sexual predators from victimizing innocent children in this district.”
“I am proud of the effort put forth by my agents in order to ensure this defendant was brought to justice and will no longer be able to harm children,” Sharp said. “Moon serving the next 30 years in federal prison ensures there is one less predator victimizing the most innocent and vulnerable members of our community.”
Assistant U.S. Attorney John B. Ward and First Assistant U.S. Attorney Lloyd C. Peeples, III prosecuted the case for the United States. The United States Attorney also thanks members of the Drug Enforcement Administration and the Department of Health and Human Services Office of Inspector General for their valuable assistance in this investigation.
United States Files Injunction Action Against Nassau County for Environmental Violations at 48 FacilitiesRead the Press Release
Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York, and Peter D. Lopez, Regional Administrator of the U.S. Environmental Protection Agency (EPA), Region 2, announced today that the United States has filed a Consent Judgment resolving its claims against the County of Nassau (Nassau) for violating the Resource Conservation and Recovery Act (RCRA). The settlement addresses Nassau’s failure to comply with federal underground storage tank (UST) regulations and with an EPA administrative order at 48 of Nassau’s facilities. The Consent Judgment requires Nassau to install equipment to assure adequate leak detection across all county facilities. The settlement also requires Nassau to pay a civil penalty of $427,500.
The lawsuit and Consent Judgment were filed in United States District Court for the Eastern District of New York, in Central Islip, New York. Following a 30-day public comment period, the United States will review any comments and, if appropriate, request the District Court to enter and approve the Consent Judgment.
“The United States is pleased to announce this settlement with Nassau County that will help protect the health and safety of county residents and our groundwater, which may be jeopardized when underground storage tanks are not properly monitored,” stated Acting United States Attorney DuCharme. “The settlement enforces RCRA’s underground storage tank regulations at Nassau’s facilities, which are critical to mitigate the risk of spills and leaks. This Office will vigorously enforce RCRA against parties who illegally operate underground storage tanks and compromise the safety of our community.”
“Nassau County and EPA have worked out an agreement that will help ensure that underground storage tanks (USTs) will be properly monitored and regulated to protect human health and the environment,” said EPA Regional Administrator Lopez. “The judicial settlement requires the county to take multiple steps including implementing a centralized monitoring system. This judicial action settles the County’s non-compliance with a prior administrative settlement. Nassau County has cooperated with EPA and is now taking action to protect the integrity of the aquifer that provides drinking water to the county’s residents.”
Congress enacted RCRA in 1976 to address problems associated with municipal and industrial waste. One of RCRA’s primary goals is to protect the health and safety of the community and the environment from the potential hazards of waste disposal. The UST program was created under RCRA to help achieve RCRA’s goals by regulating USTs that contain hazardous substances and petroleum products. When USTs are properly operated and monitored, they are a safe and effective way to store petroleum products. However, when tanks are not properly safeguarded, they can endanger the health of the public and the environment by leaking petroleum or hazardous substances into the groundwater, contaminating soil and potentially triggering fires or explosions.
Prior to the present lawsuit, the EPA filed an administrative complaint against Nassau alleging that the county repeatedly failed to comply with UST safety requirements at 33 facilities between 2008 and 2010. The EPA and Nassau reached a settlement of these claims in a September 2012 administrative Consent Agreement and Final Order (CA/FO). However, Nassau failed to complete the injunctive work requirements in the CA/FO, leading to this judicial action.
Further, after entering into the CA/FO, from 2012 to 2017, Nassau continued to violate the UST regulations. Specifically, it did not: (i) conduct pipe tightness testing at 12 facilities, (ii) upgrade or close a steel UST at one facility, (iii) add secondary containment (or permanently close) the hazardous substance USTs at two facilities, (iv) install release detection equipment for the USTs at 17 facilities, (v) install release detection equipment for the USTs at 11 emergency generator facilities, (vi) install overfill prevention equipment for the USTs at 12 facilities and (vii) permanently close a UST that had been temporarily closed.
The Consent Judgment requires Nassau to fully comply with RCRA’s UST regulations. Specifically, the settlement requires Nassau to install and operate release detection equipment and overfill and spill prevention equipment, upgrade certain USTs and close certain USTs. The settlement also requires Nassau to install and operate a centralized monitoring system, which will enable Nassau to centrally monitor its USTs so that it can promptly detect and respond to any leaks or spills across its facilities.
The case is being handled by Assistant U.S. Attorneys Diane C. Leonardo and Matthew Silverman of the U.S. Attorney’s Office for the Eastern District of New York, working with Bruce Aber and William Sawyer of the Office of Regional Counsel, U.S. EPA Region 2, Claudia Gutierrez, UST Compliance Team Leader, Paul Sacker, Senior Enforcement Officer and Leonard Voo, RCRA Compliance Branch Chief, of the Enforcement and Compliance Assurance Division, U.S. EPA Region 2.
United States Files Housing Discrimination Lawsuit Against Staten Island Rental Agent and Real Estate AgencyRead the Press Release
WASHINGTON - The Department of Justice announced today that it has filed a lawsuit against Village Realty of Staten Island Ltd. and Denis Donovan, a sales and former rental agent at Village Realty, alleging discrimination against African Americans in violation of the Fair Housing Act when offering housing units for rent. The lawsuit is based on the results of testing conducted by the department’s Fair Housing Testing Program, in which individuals pose as renters to gather information about possible discriminatory practices.
The complaint, filed in the U.S. District Court for the Eastern District of New York, alleges that Donovan discriminated against prospective renters on the basis of race by treating African Americans who inquired about available rental units differently and less favorably than similarly-situated white persons. Donovan allegedly told African-American testers about fewer rental units than white testers, offered white testers rental discounts and opportunities to inspect units that were not offered to African-American testers, primarily offered African-American testers units in more integrated neighborhoods while offering white testers units in both overwhelmingly white and more integrated neighborhoods and made more encouraging comments to white testers about available rental units. The lawsuit alleges that Village Realty is legally responsible for Donovan’s alleged discrimination because Donovan worked as Village Realty’s rental agent.
“The U.S. Attorney’s Office has been, and always will be, dedicated to protecting the rights established by the Fair Housing Act, which demands that individuals and families of all races, colors and nationalities are treated fairly when they want to buy or rent a home. Today’s lawsuit reinforces this Office’s commitment to eliminating discrimination in housing,” stated Acting U.S. Attorney Seth D. DuCharme for the Eastern District of New York.
“Freedom for Americans means that people can live peacefully in our nation without regard to their race, ancestry, sex, and other protected traits. The United States and its laws forbid segregation in which people are judged, divided, and harmed because of the color of their skin. Race never should be a factor that determines where someone can live,” stated Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division. “No one should have their housing choices limited, whether by explicit refusals to rent on the basis of race, or more subtle differences in the way home seekers are treated when they ask about available properties. Whether obvious or less apparent, race discrimination in the rental housing market is intolerable. The Department of Justice is committed to enforcement of the Fair Housing Act to ensure that people have equal access to rental housing, and equal treatment when seeking rental housing, regardless of race, including by uncovering hidden discrimination through our Fair Housing Testing Program.”
The lawsuit seeks monetary damages to compensate victims, civil penalties against the defendants to vindicate the public interest, and a court order barring future discrimination.
This case is being handled by Eastern District of New York Assistant U.S. Attorney Rachel G. Balaban, along with Trial Attorney Katherine A. Raimondo of the Civil Rights Division’s Housing and Civil Enforcement Section.
Individuals who believe they may have experienced discrimination at Village Realty, or believe they may have information relevant to this case should contact the Department of Justice toll-free at 1-800-896-7743, by email at [email protected], or by submitting a report online.
The Justice Department’s Civil Rights Division enforces the federal Fair Housing Act, which prohibits discrimination in housing on the basis of race, color, religion, sex, familial status, national origin and disability. More information about the department’s fair housing enforcement can be found at www.justice.gov/fairhousing.
United States Attorney W. Stephen Muldrow Announces Initiative to Combat Violence Against Women and over $3.9 Million in Grant FundingRead the Press Release
SAN JUAN, Puerto Rico – In order to address the incidence of violent crimes against women, W. Stephen Muldrow, United States Attorney for the District of Puerto Rico, announced the creation of a working group comprised of state and federal agencies, non-profit organizations and higher learning institutions, to assess the threat and propose immediate and long-term measures to protect women against violence. The initiative will be led by the Public Affairs and Community Engagement Division, and encompasses a multi-pronged approach to prevent and prosecute gender based crimes in Puerto Rico. To be clear, we will prosecute those who commit such crimes to the fullest extent of the law.
Throughout the years, the U.S. Attorney’s Office has demonstrated its commitment to fight gender based violence, human trafficking, child exploitation, and other hate crimes based on an individual’s race, sex, gender orientation, nationality, and religion. Recent events in the District of Puerto Rico have raised concern in the community with regards to the safety of women and other vulnerable groups. We recognize that finding solutions to these issues requires a collaborative effort. In the coming weeks, we will reach out to all stakeholders to develop a multi-sector strategy to prevent and prosecute cases involving violence against women. An initiative to prosecute domestic violence gun crimes will be a component of these efforts.
Partnership for Domestic Violence Gun Prosecutions. This initiative is designed to combat domestic violence with the intent to prevent harm and loss of life before they occur. Under this initiative, and by working with federal, state and local law enforcement and nonprofit entities, the U.S. Attorney’s Office is making the investigation and prosecution of federal domestic violence crimes a priority. This initiative will also involve a campaign to put domestic abusers on notice of their prohibition to possessing firearms and train law enforcement on how to investigate federal domestic violence crimes. Local judges will be educated as to the impact of their orders on potential federal criminal prosecutions. Most importantly, we will bring awareness to the public, and to non-profit organizations that shelter and protect victims, on how to report domestic violence crimes to and work with federal authorities. In sum, this joint initiative will reduce domestic violence, save lives and assist victims.
Funding. In addition to the initiative for federal prosecution of domestic violence gun cases, the U.S. Justice Department’s Office on Violence Against Women (OVW) will direct over $3.9 million in grant funding to Puerto Rico to bolster efforts to curb domestic violence and sexual abuse. The grants include:
- Universidad del Sagrado Corazón: $299,962- Grants to Reduce Domestic Violence, Dating Violence, Sexual Assault, and Stalking on Campus Program.
- Taller Salud, Incorporated (Loiza): $225,000- Grants to Enhance Culturally Specific Services for Victims of Sexual Assault, Domestic Violence, Dating Violence and Stalking Program.
- Hogar Nueva Mujer Santa Maria de la Merced, Incorporated: $750,000- Rural Sexual Assault, Domestic Violence, Dating Violence and Stalking Program.
- Office of the Women’s Advocate: $1,745,557- STOP Violence Against Women Formula Grant Program.
- Hogar Ruth Para Mujeres Maltratadas, Incorporated: $288,300- SASP Culturally Specific Solicitation (victims of sexual assault).
- Coordinadora Paz para la Mujer, PR Coalition Against Domestic Violence and Sexual Abuse: $243,619- State and Territorial Sexual Assault and Domestic Violence Coalitions Program
- Office of the Women’s Advocate: $418,575- Sexual Assault Services Formula Grant Program
“These grants will help victims escape abuse, seek justice, and rebuild their lives. For domestic violence victims, the added stressors of the pandemic can make a dangerous situation even worse,” said OVW Principal Deputy Director Laura Rogers. “Our grants in Puerto Rico are a timely contribution to approaches already underway to keep victims safe and hold offenders accountable for their crimes.” OVW’s current and forthcoming investments foster coordinated responses to violence against women, making resources available to local and tribal communities for investigation and prosecution, transitional housing, and culturally specific victim services, and training for professionals who respond to these crimes.
“Today, we are pledging to do even more to combat domestic violence. These grants will go a long way in making our homes, families and communities safer,” said U.S. Attorney Muldrow. “If we bring together law enforcement, victim advocates, our courts, attorneys, and the general public, we can effectively fight domestic violence, empower victims, and get them the help they so desperately need. We reiterate our commitment to collaborate with our state counterparts in the eradication of violence against women. Through prevention, prosecution, outreach and empowerment of victims we will end the cycle of violence against women. Our primary goal is simple: we will keep victims safe and hold offenders accountable.”
The Office of Justice Programs provides federal leadership in developing the nation’s capacity to prevent and control crime, administer justice and assist victims. OJP has six bureaus and offices: the Bureau of Justice Assistance; the Bureau of Justice Statistics; the National Institute of Justice; the Office of Juvenile Justice and Delinquency Prevention; the Office for Victims of Crime; and the Office of Sex Offender Sentencing, Monitoring, Apprehending, Registering and Tracking. More information about OJP and its components can be found at: www.ojp.gov.
The Office on Violence Against Women provides federal leadership in developing the national capacity to reduce violence against women and administer justice for and strengthen services to victims of domestic violence, dating violence, sexual assault, and stalking.
Anyone affected by abuse and wishes to seek support should please call the National Domestic Violence Hotline at 1-800-799-SAFE (7233) or text LOVEIS to 22522.
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Union City Man Sentenced to 17 Years for Distributing MethamphetamineRead the Press Release
Jackson, TN – Ryan Decker, 37, of Union City, TN, has been sentenced to 210 months in federal prison for conspiracy to distribute Methamphetamine. U.S. Attorney D. Michael Dunavant announced the sentence today.
According to information presented in court, in 2018, the Weakley County Sheriff’s Department executed a search warrant at a residence on Maywood Drive in Martin, Tennessee. Officers recovered a small quantity of methamphetamine, along with four firearms. As a result, the investigation expanded to target multiple co-defendants, including Decker.
On August 1, 2018, Decker delivered two ounces of methamphetamine to an agreed upon location, and was taken into custody. Decker provided a Mirandized statement to officers admitting his involvement in the drug trafficking organization (DTO).
On June 17, 2019, a Federal Grand Jury sitting in the Jackson returned a four-count superseding indictment against Decker and the other members of the DTO: Rudy Powers, John Paul Henry, Daniel Nunez, Kwantrez Pitts, Nelson Urias and Jimmie Goodman for conspiracy to possess with the intent to distribute over 50 grams of actual methamphetamine. On August 24, 2020, Daniel Nunez was sentenced to 248 months in federal prison for his role in the drug trafficking conspiracy: https://www.justice.gov/usao-wdtn/pr/union-city-man-sentenced-20-years-federal-prison-meth-distribution-and-firearm
On September 29, 2020, Chief U.S. District Court Judge Thomas Anderson found that Decker was responsible for the distribution of over 50 kilograms of actual methamphetamine in furtherance of the conspiracy, and sentenced him to 210 months in federal prison followed by 5 years supervised release. There is no parole in the federal system.
U.S. Attorney D. Michael Dunavant said, "Methamphetamine continues to destroy individuals, families, and communities in West Tennessee, and we will continue to aggressively investigate, prosecute, and punish drug dealers to hold them accountable. With a long stint in prison like his poison-pushing partners, Decker will at last make the community safer by no longer being a part of it."
This case was investigated by the Weakley County Sheriff’s Department, the Tennessee Bureau of Investigation Drug Unit, Dyer County Sheriff’s Department and the 27th Judicial District Drug Task Force.
Assistant U.S. Attorney Jerry Kitchen prosecuted this case on behalf of the government.
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U.S. Attorney Murray Announces $628,472 Grant to Support Offenders Returning to Communities in New HampshireRead the Press Release
CONCORD – U.S. Attorney Scott W. Murray today announced that New Hampshire will receive a $628,472 Department of Justice grant to reduce recidivism among adults and juvenile offenders returning to their communities in New Hampshire after confinement. The grant, awarded by the Department’s Office of Justice Programs, is part of more than $92 million in funding to support reentry efforts throughout the United States.
These awards represent President Trump’s commitment to assisting people in America’s prisons and detention facilities who have earned the opportunity to take their places back in society.
“Former offenders are ultimately responsible for their own successes and failures, but our criminal and juvenile justice systems have an important role to play in preparing them for the obstacles that lie before them,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “I’m very pleased to make these resources available to help them get back on their feet and contribute to the prosperity of their communities and the betterment of our nation.”
The reentry and recidivism reduction grants awarded will help communities develop and implement comprehensive strategies to address the challenges posed by reentry and recidivism; support reentry services for detained juveniles and incarcerated parents with children under the age of 18; and support research and evaluation programs to advance understanding about reoffending.
“Those who are incarcerated for committing crimes must find ways to become productive members of society after they are released from prison,” said U.S. Attorney Murray. “Reentry programs can provide vital assistance to these offenders so that they can transition back into the community successfully and avoid further trouble with the law.”
In New Hampshire, the state Department of Justice has been awarded $628,472 under the Second Chance Act Addressing the Needs of Incarcerated Parents with Minor Children Program. This program supports the successful and safe transition of young fathers and mothers from confinement to their families and communities.
For a complete list of individual grant programs, award amounts, and jurisdictions that will receive funding, visit: https://www.ojp.gov/sites/g/files/xyckuh241/files/media/document/reentryfactsheet.pdf More information about OJP and its components can be found at www.ojp.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years
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U.S. Attorney Mike Hurst and Law Enforcement Partners Announce Expansion of “Project EJECT” to City of GulfportRead the Press Release
Gulfport, Miss. – Today, Mike Hurst, the United States Attorney for the Southern District of Mississippi, along with Gulfport Mayor Billy Hewes, Gulfport Police Chief Chris Ryle, the Bureau of Alcohol, Tobacco, Firearms and Explosives Special Agent in Charge Kurt Theilhorn, Drug Enforcement Administration Resident Agent in Charge Chris Daniels, and other law enforcement agencies, announced the expansion of an initiative to combat violent crime called “Project EJECT” into the City of Gulfport.
Launched by the U.S. Attorney’s Office for the Southern District of Mississippi in December 2017 in the City of Jackson under the U.S. Department of Justice’s Project Safe Neighborhoods (“PSN”) initiative, Project EJECT is an enhanced violent crime reduction program that incorporates decades of experience in bringing various levels of law enforcement together with stakeholders in the community, with the overall goal of producing a long-term, meaningful reduction in and prevention of violent crime. Project EJECT stands for: “Empower Justice Expel Crime Together.”
Joined by law enforcement at the Gulfport Police Department, U.S. Attorney Hurst described the project as a multi-disciplinary, holistic approach that combines law enforcement arrests and prosecutions of violent criminals with prevention efforts, rehabilitation and reentry, educational initiatives, and improved communication.
“Project EJECT has been incredibly successful in every city where it has been deployed, and we are excited to partner with Gulfport to make this great city even safer. Through close collaboration among our federal and local prosecutors, prevention efforts for our young people, reentry services for recently-released offenders, and input from the community, we will be able to effectively prevent and reduce violent crime throughout our neighborhoods. The overarching goal is to make the City of Gulfport safer for everyone,” said U.S. Attorney Hurst.
“The key to having a safe city is strong partnerships. The City of Gulfport has a top-notch police force. Collaboration can only help strengthen our community policing efforts. We look forward to working with U.S. Attorney Mike Hurst’s office,” said Mayor Billy Hewes
"As violent crimes have increased within our community, I am committed to utilize every available resource to address this issue. It is with great pleasure that the Gulfport Police Department is able to partner with local, state and federal law enforcement agencies to bring the quality of life to our citizens which they so deserve, “ said Chris Ryle, Gulfport Chief of Police.
“ATF is proud to be a partner in Project EJECT. We have had success investigating armed violent offenders in other cities with Project EJECT, and will continue to do so in Gulfport,” said ATF New Orleans Field Division Special Agent in Charge Kurt Thielhorn. “ATF remains committed to working with our law enforcement partners to remove the most violent criminals from our communities.”
“The men and women of DEA are proud to join with the US Attorney’s Office, the ATF and the Gulfport Police Department to make Project EJECT as successful in Gulfport, as it has been in multiple cities across Mississippi,” said Kevin J. Gaddy, Assistant Special Agent in Charge for the State of Mississippi.
The mission of PROJECT EJECT is to reduce violent crime and make Gulfport neighborhoods safer for all to enjoy. Part of the project will include discussions with the public and encouraging communities to help law enforcement in this effort, as well as communicating to the criminals that they will be prosecuted and punished for gun crimes and violent crimes. The Project will also seek to support locally-based efforts to stop violence and crimes before they occur and to help those whom have been punished to reenter society as law-abiding citizens.
Project EJECT is comprised of a number of federal law enforcement agencies, as well as task force officers from various state and local investigative agencies, who will interact regularly with the Gulfport Police Department and District Attorney’s Offices to identity and respond to violent crimes when they occur. Cases arising from these crimes will then be presented to the local District Attorney’s Offices and the U.S. Attorney’s Office for prosecution.
For the first time ever, the U.S. Attorney’s Office is specifically dedicating two Assistant United States Attorneys to prosecute violent crime in the City of Gulfport under this project.
Project EJECT follows a directive from former U.S. Attorney General Jeff Sessions to the U.S. Department of Justice to reinvigorate DOJ’s Project Safe Neighborhoods with the intent to reduce the rising tide of violent crime in America. Project EJECT is the Southern District of Mississippi’s PSN initiative specifically tailored to address violent crime in throughout the district.
In December 2018, at the 2018 Project Safe Neighborhoods (PSN) National Conference, Acting Attorney General Matthew Whitaker presented the U.S. Attorney’s Office for the Southern District of Mississippi and its law enforcement partners with the award for Outstanding Overall Partnership/Task Force for Project EJECT. Only 16 awards were given during the annual PSN National Conference, which recognize individuals and groups for their dedication and contribution to the success of PSN. Project EJECT was one of only two recognized as the best partnerships or task forces in the nation.
In expanding Project EJECT into Gulfport, the U.S. Attorney’s Office continues to lead the Project, with Assistant U.S. Attorneys Erica Rose and Jonathan Buckner in Gulfport serving as the primary prosecutors for violent cases under Project EJECT in Gulfport, long-time Assistant U.S. Attorney John Merynardie in Gulfport serving as a senior advisor and prosecutor, and Assistant U.S. Attorney Chris Wansley in Jackson serving as the Project Safe Neighborhoods Coordinator for the entire Southern District of Mississippi.
Project Safe Neighborhoods is an initiative by the U.S. Department of Justice to bring together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
U.S. Attorney McSwain Announces Charges Against Delaware County Doctor and Medical Office Manager as Part of Nationwide Health Care Fraud TakedownRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that three individuals have been charged in the Eastern District of Pennsylvania in connection with a nationwide health care fraud takedown that charged 345 defendants across 51 federal districts, including more than 100 doctors, nurses and other licensed medical professionals. These defendants have been charged with submitting more than $6 billion in alleged fraudulent claims to federal health care programs and private insurers, connected to topics such as telemedicine, substance abuse treatment facilities, and illegal opioid distribution schemes. This is the largest health care fraud and opioid enforcement action in U.S. Department of Justice history.
The case charged in the Eastern District of Pennsylvania is summarized below:
Steven J. Valentino, 63, of Haverford, PA, Michele Miller, 51, of Swarthmore, PA, and Leah Afolabi, 46, of Missouri City, TX, a doctor, office manager and pharmacy owner, respectively, were charged with conspiracy to pay and receive health care kickbacks, and paying and receiving kickbacks. The charges stem from a multi-year scheme involving injured federal workers and Medicare beneficiaries wherein kickbacks were paid to induce the prescribing of medications that were filled by a Houston-based pharmacy. Specifically, Afolabi paid kickbacks to Valentino and Miller for the referral of prescriptions for medications written by Valentino to Department of Labor-Office Workers’ Compensation Program (DOL-OWCP) claimants and Medicare beneficiaries. DOL-OWCP and Medicare were billed approximately $2.5 million and paid out approximately $1.1 million during the course of this scheme.
“Doctors and medical professionals are supposed to put their patients’ needs first. When they don’t, and instead try to rip off the system, my Office will take forceful action in order to punish and deter wrongdoers,” said U.S. Attorney McSwain. “Moreover, these prosecutions safeguard federal tax dollars and therefore benefit all American taxpayers. We will continue to do all in our power to stop fraud, waste, and abuse within our federal health care programs.”
“Investigating alleged health care fraud offenses against U.S. Department of Labor programs is an important mission of the Office of Inspector General. We will continue to work diligently with our law enforcement partners to hold accountable those who seek to defraud DOL programs and siphon taxpayer funds for personal gain,” said Derek Pickle, Acting Special Agent-in-Charge, Philadelphia Region, U.S. Department of Labor Office of Inspector General.
“The U.S. Postal Service spends billions of dollars per year in workers compensation-related costs, most of which are legitimate,” stated U.S. Postal Service Office of Inspector General Special Agent in Charge Kenneth Cleevely, Eastern Area Field Office. “However, when medical providers, pharmacies, and other organizations choose to flout the rules and profit illegally, special agents with the USPS OIG will work with our law enforcement partners to hold them responsible. To report fraud or other criminal activity involving the Postal Service, contact our special agents at www.uspsoig.govor 888-USPS-OIG.”
“Today’s arrests demonstrate our commitment to pursuing medical professionals who selfishly place their desire for profits above patients’ health care needs,” said Maureen Dixon, Special Agent in Charge, Office of the Inspector General U.S. Department of Health and Human Services. “We will continue to focus our efforts on fighting fraud, waste and abuse in vital federal health care programs and protecting their beneficiaries. To report Medicare or Medicaid fraud, please contact our hotline at 1-800-HHS-TIPS (1-800-447-8477).”
Today’s enforcement actions were led and coordinated by the Health Care Fraud Unit of the Criminal Division’s Fraud Section, in conjunction with its Medicare Fraud Strike Force, as well as the U.S. Attorney’s Office for the Eastern District of Pennsylvania and 50 other U.S. Attorney’s Offices across the country.
The EDPA case was investigated by the Department of Labor Office of Inspector General, United States Postal Service Office of Inspector General and Department of Health and Human Services Office of Inspector General. It is being prosecuted by DOJ Trial Attorney Debra Jaroslawicz.
An indictment, information, or criminal complaint is an accusation. A defendant is presumed innocent unless and until proven guilty.
U.S. Attorney Brian T. Moran announces more than $17 million in grants to improve public safety and serve crime victims in tribal communities in Western WashingtonRead the Press Release
Seattle – U.S. Attorney Brian T. Moran today announced more than $17 million in Department of Justice grants to improve public safety, serve victims of crime, and support youth programs in tribal communities in the Western District of Washington.
“American Indian and Alaska Native communities experience rates of violent crime and domestic abuse that are among the highest in the nation,” said Attorney General William P. Barr. “The awards announced today underscore the Department of Justice’s deep commitment to improving public safety in tribal communities throughout the United States. This administration will continue to work closely with our tribal partners to guarantee that they have the resources they need to combat violence and bring criminals to justice.”
“These grants support a number of important programs in tribal communities, such as community policing, juvenile justice programs, drug treatment programs and services to victims of domestic violence,” said U.S. Attorney Moran. “I’m pleased at the number of tribes in our community that successfully competed for these federal resources.”
A total of more than $103 million is being awarded to tribes across the country under the Justice Department’s Coordinated Tribal Assistance Solicitation (CTAS). CTAS supports activities that enhance law enforcement and tribal justice practices, expand victim services, and sustain crime prevention and intervention efforts. CTAS grants are administered by the Department’s Office of Justice Programs (OJP) ($41.5 million), Office on Violence Against Women (OVW) ($39.1 million), and Office of Community Oriented Policing Services (COPS) ($22.5 million).
An additional $113 million is being awarded to 133 applicants nationwide under the Tribal Victim Services Set-Aside Program. This program, managed by OJP’s Office for Victims of Crime, is designed to help tribes develop, expand, and improve services to victims of crime and promote other public safety initiatives.
“Public safety officials and victim service providers in Indian country face exceptional challenges, but they bring to their work an extraordinary array of skills and resources that enable them to meet and overcome any obstacle,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is proud to help fulfill Attorney General Barr's strong commitment–and the federal government's long-standing responsibility–to our tribal partners in the matter of their citizens' safety and wellbeing.”
In addition to the CTAS and Tribal Victim Services Set-Aside awards, the Office on Violence Against Women is making additional tribal awards of more than $31 million to support a wide range of efforts to address the crimes of domestic violence, dating violence, sexual assault, stalking, and human trafficking.
“OVW’s funding supports Native American and Alaska Native communities as they work across their communities to prevent and respond to gender-based violence,” said OVW Principal Deputy Director Laura L. Rogers. “These awards represent the strong commitment that OVW has made to help protect the most vulnerable members of tribal communities.”
Additional awards to support tribal public safety efforts are being made by OJP and the COPS Office. These grants will provide community policing training and other training and technical assistance. Awards will also address the needs of tribal youth, fund tribal reentry efforts, help tribes combat substance abuse and manage sex offenders, and support tribal research. In addition, funds support efforts in 17 tribal communities to address the challenges posed by the outbreak of COVID-19.
“Ensuring our nation’s tribal communities have the resources they need is paramount for the COPS Office and the Department of Justice,” said COPS Office Director Phil Keith. “These awards are a critical component to the overall public safety strategy for tribal law enforcement and the COPS Office is honored to provide vital resources to hire more sworn officer positions, advance tribal training, and procure equipment needed to keep communities safe.”
The following tribes in the Western District of Washington received funding under the CTAS program:
Lower Elwha Klallam - $1,431,557
Makah - $122,513
Nooksack - $197,634
Port Gamble S’Klallam - $1,798,712
Puyallup - $399,564
Quileute - $888,057
Skokomish -$669,661
Squaxin -$800,013
Tulalip - $897,977
A full listing of all the announced CTAS awards is available here.
The tribes receiving grants for victim services include:
Tulalip - $1,188,088
Lummi - $898,000
Squaxin - $497,709
Nisqually - $694,581
Nooksack -$505,795
Shoalwater Bay -$417,336
Jamestown S’Klallam -$417,336
Skokomish - $505,795
Suquamish- $694,696
Quinault -$3,000,000
Puyallup -$1,353,631
A full listing of all Tribal Victim Services Set-Aside Program awards is available here.
U.S. Attorney Announces Nearly $8 Million in Grants to Improve Public Safety, Serve Crime Victims in Native American CommunitiesRead the Press Release
U.S. Attorney Erica H. MacDonald today announced nearly $8 million in Department of Justice grants to improve public safety, serve victims of crime and support youth programs in tribal communities in Minnesota.
“Native American communities and especially Native American women and children experience disproportionately high rates of violence, including domestic abuse,” said United States Attorney Erica H. MacDonald. “These funds will directly support the victims of crime and work to improve public safety on reservations throughout Minnesota.”
“American Indian and Alaska Native communities experience rates of violent crime and domestic abuse that are among the highest in the nation,” said Attorney General William P. Barr. “The awards announced today underscore the Department of Justice’s deep commitment to improving public safety in tribal communities throughout the United States. This administration will continue to work closely with our tribal partners to guarantee that they have the resources they need to combat violence and bring criminals to justice.”
A total of more than $103 million is being awarded to tribes across the country under the Justice Department’s Coordinated Tribal Assistance Solicitation (CTAS). CTAS supports activities that enhance law enforcement and tribal justice practices, expand victim services and sustain crime prevention and intervention efforts. CTAS grants are administered by the Department’s Office of Justice Programs ($41.5 million), Office on Violence Against Women ($39.1 million) and Office of Community Oriented Policing Services ($22.5 million).
An additional $113 million is being awarded to 133 applicants nationwide under the Tribal Victim Services Set-Aside Program. This program, managed by OJP’s Office for Victims of Crime, is designed to help tribes develop, expand and improve services to victims of crime and promote other public safety initiatives.
“Public safety officials and victim service providers in Indian country face exceptional challenges, but they bring to their work an extraordinary array of skills and resources that enable them to meet and overcome any obstacle,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is proud to help fulfill Attorney General Barr's strong commitment – and the federal government's long-standing responsibility – to our tribal partners in the matter of their citizens' safety and wellbeing.”
In addition to the CTAS and Tribal Victim Services Set-Aside awards, the Office on Violence Against Women is making additional tribal awards of more than $31 million to support a wide range of efforts to address the crimes of domestic violence, dating violence, sexual assault, stalking and human trafficking.
“OVW’s funding supports Native American and Alaska Native communities as they work across their communities to prevent and respond to gender based violence,” said OVW Principal Deputy Director Laura L. Rogers. “These awards represent the strong commitment that OVW has made to help protect the most vulnerable members of tribal communities.”
Additional awards to support tribal public safety efforts are being made by OJP and the COPS Office. These grants will provide community policing training and other training and technical assistance. Awards will also address the needs of tribal youth, fund tribal reentry efforts, help tribes combat substance abuse and manage sex offenders, and support tribal research. In addition, funds support efforts in 17 tribal communities to address the challenges posed by the outbreak of COVID-19.
“Ensuring our nation’s tribal communities have the resources they need is paramount for the COPS Office and the Department of Justice,” said COPS Office Director Phil Keith. “These awards are a critical component to the overall public safety strategy for tribal law enforcement and the COPS Office is honored to provide vital resources to hire more sworn officer positions, advance tribal training and procure equipment needed to keep communities safe.”
CTAS Awards
Grantee
Amount Awarded
Fond du Lac Band of Lake Superior Chippewa
$640,529
Violence Against Women Tribal Governments Program (OVW)
$640,529
Mille Lacs Band of Ojibwe
$2,040767
Justice Systems and Alcohol and Substance Abuse (BJA)
$877,477
Violence Against Women Tribal Governments Program (OVW)
$734,898
Children’s Justice Act Partnerships for Indian Communities (OVC)
$428,392
Red Lake Band of Chippewa Indians
$1,679,522
Public Safety and Community Policing (COPS)
$854,787
Justice Systems and Alcohol and Substance Abuse (BJA)
$824,735
White Earth Reservation Tribal Council
$899,055
Violence Against Women Tribal Governments Program (OVW)
$899,055
Total Minnesota
$5,259,873
A full listing of all the announced CTAS awards is available here.
Tribal Victim Services Set-Aside Program
Grantee
Amount Awarded
Minnesota Lower Sioux Indian Community
$505,795
Minnesota White Earth Reservation tribal Council
$897,581
Minnesota Upper Sioux Community
$336,860
Minnesota Red Lake Band of Chippewa Indians
$898,003
Total Minnesota
$2,638,239
A full listing of all Tribal Victim Services Set-Aside Program awards is available here.
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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United States Attorney’s Office, District of Minnesota: (612) 664-5600
U.s. Attorney Kurt Alme Announces Awards of $9 Million in Grants to Improve Public Safety, Serve Crime Victims in Montana's Tribal CommunitiesRead the Press Release
BILLINGS— U.S. Attorney Kurt Alme today announced $9,061,668 in Department of Justice grants to improve public safety, serve victims of crime and support youth programs in tribal communities in Montana.
“American Indian and Alaska Native communities experience rates of violent crime and domestic abuse that are among the highest in the nation,” said Attorney General William P. Barr. “The awards announced today underscore the Department of Justice’s deep commitment to improving public safety in tribal communities throughout the United States. This administration will continue to work closely with our tribal partners to guarantee that they have the resources they need to combat violence and bring criminals to justice.”
"Our American Indian neighbors deserve to be safe. Methamphetamine, alcohol and now COVID-19 are causing significant violence in our tribal communities. We are very pleased that these funds are going directly to our tribal governments to enhance public safety and protect women and other victims of crime," U.S. Attorney Alme said.
A total of more than $103 million is being awarded to tribes across the country under the Justice Department’s Coordinated Tribal Assistance Solicitation. CTAS supports activities that enhance law enforcement and tribal justice practices, expand victim services and sustain crime prevention and intervention efforts. CTAS grants are administered by the Department’s Office of Justice Programs ($41.5 million), Office on Violence Against Women ($39.1 million) and Office of Community Oriented Policing Services ($22.5 million).
Montana tribes receiving CTAS grants totaling $5,024,552 are the Chippewa Cree Tribe of the Rocky Boy's Reservation, $683,864; Confederated Salish and Kootenai Tribes, $3,024,726; and the Fort Peck Assiniboine and Sioux Tribes, $1,315,962.
An additional $113 million is being awarded to 133 applicants nationwide under the Tribal Victim Services Set-Aside Program. This program, managed by OJP’s Office for Victims of Crime, is designed to help tribes develop, expand and improve services to victims of crime and promote other public safety initiatives.
Montana tribes receiving Tribal Victim Services Set-Aside Program grants totaling $4,037,116 are the Crow Tribe, $898,003; Fort Belknap Indian Community, $694,698; Chippewa Cree Tribe, $478,311; Blackfeet Tribe, $1,188,088; and the Fort Peck Assiniboine & Sioux Tribes, $778,016.
“Public safety officials and victim service providers in Indian country face exceptional challenges, but they bring to their work an extraordinary array of skills and resources that enable them to meet and overcome any obstacle,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is proud to help fulfill Attorney General Barr's strong commitment – and the federal government's long-standing responsibility – to our tribal partners in the matter of their citizens' safety and wellbeing.”
In addition to the CTAS and Tribal Victim Services Set-Aside awards, the Office on Violence Against Women is making additional tribal awards of more than $31 million to support a wide range of efforts to address the crimes of domestic violence, dating violence, sexual assault, stalking and human trafficking.
“OVW’s funding supports Native American and Alaska Native communities as they work across their communities to prevent and respond to gender based violence,” said OVW Principal Deputy Director Laura L. Rogers. “These awards represent the strong commitment that OVW has made to help protect the most vulnerable members of tribal communities.”
Additional awards to support tribal public safety efforts are being made by OJP and the COPS Office. These grants will provide community policing training and other training and technical assistance. Awards will also address the needs of tribal youth, fund tribal reentry efforts, help tribes combat substance abuse and manage sex offenders, and support tribal research. In addition, funds support efforts in 17 tribal communities to address the challenges posed by the outbreak of COVID-19.
“Ensuring our nation’s tribal communities have the resources they need is paramount for the COPS Office and the Department of Justice,” said COPS Office Director Phil Keith. “These awards are a critical component to the overall public safety strategy for tribal law enforcement and the COPS Office is honored to provide vital resources to hire more sworn officer positions, advance tribal training and procure equipment needed to keep communities safe.”
A full listing of all the announced CTAS awards is available here.
A full listing of all Tribal Victim Services Set-Aside Program awards is available here.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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U.s. Attorney Announces Federal Grant for Passamaquoddy Tribe to Address Violence Against WomenRead the Press Release
PORTLAND, Maine: U.S. Attorney Halsey B. Frank has announced $770,467 in Department of Justice grants to the Passamaquoddy Tribe at Indian Township to battle domestic violence.
“American Indian and Alaska Native communities experience rates of violent crime and domestic abuse that are among the highest in the nation,” said Attorney General William P. Barr. “The awards announced today underscore the Department of Justice’s deep commitment to improving public safety in tribal communities throughout the United States. This administration will continue to work closely with our tribal partners to guarantee that they have the resources they need to combat violence and bring criminals to justice.”
“Unfortunately, Maine is not immune from the scourge of domestic violence, and that includes our Native American populations,” U.S. Attorney Frank said. “My hope is that this funding will go a long way toward ensuring they have the resources they need to assist victims and bring those responsible for domestic violence to justice.”
A total of more than $103 million is being awarded to tribes across the country under the Justice Department’s Coordinated Tribal Assistance Solicitation. CTAS supports activities that enhance law enforcement and tribal justice practices, expand victim services and sustain crime prevention and intervention efforts. CTAS grants are administered by the Department’s Office of Justice Programs (OJP) ($41.5 million), Office on Violence Against Women (OVW) ($39.1 million) and Office of Community Oriented Policing Services (COPS Office) ($22.5 million).
An additional $113 million is being awarded to 133 applicants nationwide under the Tribal Victim Services Set-Aside Program. This program, managed by OJP’s Office for Victims of Crime, is designed to help tribes develop, expand and improve services to victims of crime and promote other public safety initiatives.
“Public safety officials and victim service providers in Indian country face exceptional challenges, but they bring to their work an extraordinary array of skills and resources that enable them to meet and overcome any obstacle,” said OJP Principal Deputy Assistant Attorney General Katharine T. Sullivan. “The Office of Justice Programs is proud to help fulfill Attorney General Barr’s strong commitment – and the federal government’s long-standing responsibility – to our tribal partners in the matter of their citizens' safety and wellbeing.”
In addition to the CTAS and Tribal Victim Services Set-Aside awards, OVW is making additional tribal awards of more than $31 million to support a wide range of efforts to address the crimes of domestic violence, dating violence, sexual assault, stalking and human trafficking.
Additional awards to support tribal public safety efforts are being made by OJP and the COPS Office. These grants will provide community policing training and other training and technical assistance. Awards will also address the needs of tribal youth, fund tribal reentry efforts, help tribes combat substance abuse and manage sex offenders, and support tribal research. In addition, funds support efforts in 17 tribal communities to address the challenges posed by the outbreak of COVID-19.
A full listing of all the announced CTAS awards is available here.
A full listing of all Tribal Victim Services Set-Aside Program awards is available here.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Two Men Charged in Social Media Account Takeover Schemes Involving Professional and Semi-Professional AthletesRead the Press Release
NEWARK, N.J. – Two men will appear in federal court to face charges that they were involved in the unauthorized takeover of social media and other personal online accounts belonging to professional and semi-professional athletes, U.S. Attorney Craig Carpenito announced today.
Trevontae Washington, 21, of Thibodaux, Louisiana, and Ronnie Magrehbi, 20, of Orlando, Florida, are each charged in separate criminal complaints with one count of conspiracy to commit wire fraud and one count of conspiracy to commit computer fraud and abuse. Washington is scheduled to appear today before U.S. Magistrate Judge Janis van Meerveld in the Eastern District of Louisiana. Magrehbi is scheduled to appear today before U.S. Magistrate Judge Gregory Kelly in the Middle District of Florida.
According to documents filed in this case and statements made in courts:
At various times between December 2017 and April 2019, Washington and Magrehbi took part in illegal schemes to gain access to social media and other personal online accounts belonging to professional and semi-professional athletes, including athletes employed by the National Football League (NFL) and the National Basketball Association (NBA).
Washington is alleged to have compromised accounts belonging to multiple NFL and NBA athletes. Washington phished for the athletes credentials, messaging them on platforms like Instagram with embedded links to what appeared to be legitimate social media log-in sites, but which, in fact, were used to steal the athletes’ user names and passwords. Once the athletes entered their credentials, Washington and others locked the athletes out of their accounts and used them to gain access to other accounts. Washington then sold access to the compromised accounts to others for amounts ranging from $500 to $1,000.
Magrehbi is alleged to have obtained access to accounts belonging to a professional football player, including an Instagram account and personal email account. Magrehbi extorted the player, demanding payment in return for restoring access to the accounts. The player sent funds on at least one occasion, portions of which were transferred to a personal bank account controlled by Magrehbi, but never regained access to his online accounts.
The wire fraud conspiracy charges carry a statutory maximum of 20 years in prison and a fine of up to $250,000. The computer fraud conspiracy charges carry a statutory maximum of five years in prison and a fine of up to $250,000.
U.S. Attorney Carpenito credited special agents of the U.S. Secret Service, under the direction of Special Agents in Charge Mark McKevitt in Newark, Caroline O’Brien-Buster in Orlando, and Leslie Pichon in New Orleans; members of the New Jersey Division of Criminal Justice Financial and Computer Crimes Bureau, under the direction of New Jersey Attorney General Gurbir S. Grewal, and members of the Thibodaux, Louisiana, Police Department.
The government is represented by Assistant U.S. Attorney Anthony Torntore of the U.S. Attorney’s Cybercrimes Unit in Newark.
The charges and allegations in the complaints are merely accusations, and the defendants are considered innocent unless and until proven guilty.
Two Kansas Tribes to Receive Federal Public Safety GrantsRead the Press Release
TOPEKA, KAN. – Two Kansas Indian tribes will receive a total of more than $2 million in Department of Justice grants for public safety, U.S. Attorney Stephen McAllister said today.
The Prairie Band Potawatomi will receive $841,082 from the Violence Against Women Tribal Governments Program and $694,698 from Tribal Victim Services Set-Aside Formula Program Awards.
The Iowa Tribe of Kansas and Nebraska will receive $505,757 from Tribal Victim Services Set-Aside Formula Program Awards.
“These funds will assist these important tribes and their leaders in Kansas in their efforts to protect and support the victims and survivors of violence, to hold violent actors responsible and to prevent future violence by addressing the causes of violence in their communities,” McAllister said.
The grants are part of a Justice Department announcement that it has awarded more than $295.8 million nationally to improve public safety, serve victims of crime and support youth programs in American Indian and Alaska Native communities.
Two Isis Members Charged with Material Support ViolationsRead the Press Release
Miami, Fl. -- Two United States citizens who were detained by the Syrian Democratic Forces (SDF) and recently transferred to the custody of the FBI have been charged with material support violations relating to their support for the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
Emraan Ali, 53, a U.S. citizen born in Trinidad & Tobago, was charged in a complaint with providing and attempting to provide material support to ISIS, in violation of Title 18, United States Code, Section 2339B. Emraan Ali had his initial appearance today in federal court and his pre-trial detention hearing is scheduled on Friday, October 2, 2020 at 1:30 P.M. before U.S. Magistrate Judge Edwin G. Torres.
Jihad Ali, 19, a U.S. citizen born in New York, was charged in a complaint with conspiracy to provide material support to ISIS, in violation of Title 18, United States Code, Section 371. Jihad Ali had his initial appearance today in federal court and his pre-trial detention hearing is scheduled on Monday, October 5, 2020 at 1:30 P.M. before U.S. Magistrate Judge Chris M. McAliley.
According to the criminal complaints, in March 2015, Emraan Ali traveled to Syria with his family, including his son, Jihad Ali, to join ISIS. Both Emraan Ali and Jihad Ali received military and religious training and served as fighters in support of the terrorist organization. In addition to serving as a fighter, Emraan Ali served in various other roles in support of ISIS. Emraan and Jihad Ali finally surrendered to the SDF near Baghuz in March 2019, during the last sustained ISIS battles to maintain territory in Syria.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, John C. Demers, Assistant Attorney General for National Security, George Piro, Special Agent in Charge, FBI, Miami Field Office, and the members of the South Florida Joint Terrorism Task Force (JTTF), made the announcement.
Ms. Fajardo Orshan and Assistant Attorney General Demers commended the investigative efforts of the FBI and the JTTF. The case is being prosecuted by Assistant U.S. Attorneys Rick Del Toro and Jonathan Kobrinski, with assistance from Trial Attorney Elisa Poteat of the National Security Division’s Counterterrorism Section.
A criminal complaint is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
You may find related court documents and information on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Two ISIS Members Charged with Material Support ViolationsRead the Press Release
Two United States citizens who were detained by the Syrian Democratic Forces (SDF) and recently transferred to the custody of the FBI have been charged with material support violations relating to their support for the Islamic State of Iraq and al-Sham (ISIS), a designated foreign terrorist organization.
John C. Demers, Assistant Attorney General for National Security, Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George Piro, Special Agent in Charge, FBI, Miami Field Office, and the members of the South Florida Joint Terrorism Task Force (JTTF), made the announcement.
Emraan Ali, 53, a U.S. citizen born in Trinidad & Tobago, was charged in a complaint with providing and attempting to provide material support to ISIS. Jihad Ali, 19, a U.S. citizen born in New York, was charged in a complaint with conspiracy to provide material support to ISIS. Both defendants had their initial appearances today in federal court in the Southern District of Florida before U.S. Magistrate Judge Edwin G. Torres.
According to the criminal complaints, in March 2015, Emraan Ali traveled to Syria with his family, including his son, Jihad Ali, to join ISIS. Both Emraan Ali and Jihad Ali received military and religious training and served as fighters in support of the terrorist organization. In addition to serving as a fighter, Emraan Ali served in various other roles in support of ISIS. Emraan and Jihad Ali finally surrendered to the SDF near Baghuz in March 2019, during the last sustained ISIS battles to maintain territory in Syria.
Assistant Attorney General Demers and Ms. Fajardo Orshan commended the investigative efforts of the FBI and the JTTF. The case is being prosecuted by Assistant U.S. Attorneys Rick Del Toro and Jonathan Kobrinski, with assistance from Trial Attorney Elisa Poteat of the National Security Division’s Counterterrorism Section.
A criminal complaint is merely an allegation, and every defendant is presumed innocent until proven guilty beyond a reasonable doubt.
Two Doctors, Two Licensed Physical Therapists, a Pharmacist, and Four Pharmacy Owners and Operators Among Those Charged in Brooklyn as Part of National Health Care Fraud TakedownRead the Press Release
Fifteen individuals, including two doctors, two licensed physical therapists, a licensed clinical social worker, a pharmacist and four pharmacy owners and operators, have been charged for their participation in schemes that fraudulently billed the Medicare and Medicaid programs for more than $15 million. The charges filed in federal court in Brooklyn, New York are part of a nationwide health care fraud takedown led by the Medicare Fraud Strike Force, which resulted in criminal charges against more than 300 individuals for their alleged participation in health care fraud schemes involving approximately $6 billion in fraudulent claims.
The charges were announced by Seth D. DuCharme, Acting United States Attorney for the Eastern District of New York; Brian C. Rabbitt, Acting Assistant Attorney General of the Justice Department’s Criminal Division; William F. Sweeney, Jr., Assistant Director-in-Charge, Federal Bureau of Investigation, New York Field Office (FBI); Scott Lampert, Special Agent-in- Charge, U.S. Department of Health and Human Services - Office of Inspector General, Office of Investigations, New York Regional Office (HHS-OIG); Ray Donovan, Special Agent-in-Charge, Drug Enforcement Administration, New York Division (DEA); Jonathan D. Larsen, Special Agent-in-Charge, Internal Revenue Service-Criminal Investigation, New York (IRS-CI), Acting Medicaid Inspector General Erin E. Ives of New York State Office of the Medicaid Inspector General (OMIG) and Dermot F. Shea, Commissioner New York City Police Department (NYPD).
The results of the nationwide takedown were announced today Acting Assistant Attorney General Rabbitt; Assistant Director Calvin Shivers of the FBI’s Criminal Investigative Division; Deputy Inspector General Gary Cantrell of HHS-OIG; and Assistant Administrator Tim McDermott of the DEA.
“The defendants, many of them healthcare professionals, abused their positions by engaging in fraud in order to steal precious benefit funds that were meant to help the most vulnerable among us,” stated Acting United States Attorney DuCharme. “The U.S. Attorney’s Office for the Eastern District of New York is working arm-in-arm with our federal and local law enforcement partners to protect our community and our taxpayer-funded programs from the potential harm posed by corrupt healthcare professionals and those who aid them.”
“This nationwide enforcement operation is historic in both its size and scope, alleging billions of dollars in healthcare fraud across the country,” stated Acting Assistant Attorney General Rabbitt. “These cases hold accountable those medical professionals and others who have exploited health care benefit programs and patients for personal gain. The cooperative law enforcement actions announced today send a clear deterrent message and should leave no doubt about the department’s ongoing commitment to ensuring the safety of patients and the integrity of health care benefit programs, even amid a national health emergency.”
“As alleged today, the defendants took advantage of programs established for the benefit of those less fortunate, illegally profiting by ripping off the rest of the law abiding public,” stated FBI Assistant Director-in-Charge Sweeney. “This is not a victimless crime - health care fraud is a theft against all of us who contribute hard earned income and taxes into the system. While today’s charges are a victory for the public at large, and those who play by the rules, they also highlight a constant glaring problem. It is easy to illegally profit in the health care field, and the FBI’s New York office will continue to investigate and hold accountable those who break federal law while lining their own pockets.”
“Medical professionals who scheme to enrich themselves through health care fraud – such as Dr. Kalepu’s participation in a telefraud durable medical equipment scam -- undermine taxpayer-funded programs and drive up health care costs for everyone,” stated HHS-OIG Special Agent-in-Charge Lampert. “This takedown shows our commitment to collaborate with our law enforcement partners and effectively investigate such corrosive fraud schemes.”
“It is our duty to weed out those health care professionals who manipulate their position for profit,” stated DEA Special Agent-in-Charge Donovan. “DEA, and our law enforcement partners, are committed to safeguarding the integrity of our healthcare system and keeping Americans safe. I applaud all of our partners for their significant work in these investigations.”
“IRS-CI is proud to lend our financial expertise in this effort to uncover a wide web of criminal behavior that impacts our financial system and public trust,” stated IRS-CI Special Agent-in-Charge Larsen. “Both Diler and Hussnain are guilty of conspiring to participate in this broad scheme to steal from the United States taxpayers through both Medicare and Tax Fraud.”
“These arrests serve notice to those who attempt to exploit the Medicaid program for personal gain,” stated Acting Medicaid Inspector General Ives. “My office will continue to work closely with our law enforcement partners to root out fraud and hold wrongdoers fully accountable.”
“This sweeping set of federal charges highlights law enforcement’s combined efforts to protect innocent citizens and ensure integrity across our vital health systems,” stated NYPD Commissioner Shea. “I commend our NYPD investigators, and all of our partners, for their important work in these cases.”
Schemes charged in the Eastern District of New York, detailed in three indictments, five complaints and three criminal information, include the following:
United States v. Dalmacio Francisco and Michael Othman: The complaint charges Dr. Delmacio Francisco and Michael Othman with oxycodone distribution. The complaint alleges that Dr. Francisco, who operated two medical offices in Queens, provided large-quantity oxycodone scripts to “patients” – individuals he never actually evaluated – who were recruited by Othman in exchange for cash. Dr. Francisco also prescribed oxycodone in the names of two individuals who were incarcerated when the prescriptions were issued. During a search of Francisco’s home, DEA agents found $150,000 in bundled cash in a hidden lock box. Both defendants made their initial appearance by video before United States Magistrate Judge Steven M. Gold on May 20, 2020. The case is being prosecuted by Assistant United States Attorneys James McDonald and Elizabeth Macchiaverna of the U.S. Attorney’s Office for the Eastern District of New York.
United States v. Anand Kalepu: The information charges Anand Kalepu, a medical doctor, with conspiracy to commit health care fraud. The charges stem from Dr. Kalepu’s work with a telemedicine company through which he allegedly caused the submission of false and fraudulent claims for durable medical equipment (“DME”) to Medicare. Between 2018 and 2019 the amount billed to Medicare for Dr. Kalepu’s DME prescriptions was in excess of $1.3 million. Dr. Kalepu pleaded guilty to the information before United States District Judge Ann M. Donnelly at the federal courthouse in Brooklyn, and the guilty plea was unsealed on September 30, 2020. The case is being prosecuted by Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Mahmoud Elsanaa and Olga Popovych: The indictment charges Mahmoud Elsanaa, a licensed physical therapist and clinic owner, and Olga Popovych, the office manager of several physical therapy clinics controlled by Elsanaa, with one count of conspiracy to commit health care fraud (Elsanaa only) and one count of conspiracy to falsify medical records (Elsanaa and Popovych). The charges stem from the defendants’ alleged role in the operation of physical therapy clinics that billed Medicare and Medicaid for services that were unnecessary, procured by kickbacks, provided by unlicensed practitioners, or otherwise not provided as billed. Elsanaa and Popovych were arrested and arraigned before United States Magistrate Judge Lois Bloom on September 17, 2020. The case is being prosecuted by Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Mazen Abdel Magid: The complaint charges Mazen Abdel Magid, a licensed physical therapist and clinic owner and a business partner of Mahmoud Elsanaa, with one count of submitting false claims to Medicare. The charges stem from Abdel Magid’s alleged submission of claims to Medicare for physical therapy services purportedly provided at his physical therapy clinic when, in fact, he was overseas and could not have provided the services. Abdel Magid was arrested and made an initial appearance before United States Magistrate Judge Lois Bloom on September 17, 2020. The case is being prosecuted by Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Vladimir Geykhman: The indictment charges Vladimir Geykhman with one count of conspiracy to commit health care fraud and one count of conspiracy to commit money laundering. The charges stem from the defendant’s alleged role in falsifying physical evaluation records in support of claims submitted through no-fault automobile insurance policies and laundering the proceeds therefrom. Between March 2019 and August 2019, Geykhman was paid by New York State automobile insurance providers a total of approximately $1 million for claims that were based upon falsified patient records. Geykhman was arrested and arraigned before United States Magistrate Judge Lois Bloom on September 17, 2020. The case is being prosecuted by Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Xuan Di Huang: The complaint charges Xuan Di Huang, also known as “Wendy Huang,” an owner and operator of Zhiqing Social Adult Day Care in Flushing, Queens, with aiding and abetting and a substantive violation of the Anti-Kickback Statute. The charges stem from a scheme in which Huang allegedly paid and offered to pay kickbacks to Medicaid beneficiaries for their attendance at Zhiqing Social Adult Day Care. Between August 2019 and March 2020, Huang, through Zhiqing Social Adult Day Care, billed approximately $3.2 million dollars to long term managed care plans for Medicaid beneficiaries. Huang was arrested and arraigned on August 27, 2020 before United States Magistrate Judge Lois Bloom. The case is being prosecuted by Assistant United States Attorney Elizabeth Macchiaverna of the U.S. Attorney’s Office for the Eastern District of New York.
United States v. Nisha Diler: The information charges Nisha Diler, a licensed pharmacist, with conspiracy to commit health care fraud and subscribing a false tax return. The charges stem from Diler’s role in a scheme to hold herself out as the supervising pharmacist at New Moon Pharmacy, when in fact she did not work at the pharmacy. Diler was paid kickbacks by Hussnain for her role in the scheme, which she then under-reported on her taxes. Between 2016 and 2019, Medicare and Medicaid reimbursed the pharmacy approximately $3 million for pharmaceutical claims submitted through New Moon Pharmacy. Diler pleaded guilty to the information before United States District Judge Rachel Kovner at the federal courthouse in Brooklyn on September 16, 2020. The case is being prosecuted by Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Harris Hussnain: The information charges Harris Hussnain with conspiracy to commit health care fraud, narcotics distribution and unlawful financial transactions. The charges stem from Hussnain’s ownership of a Queens pharmacy, New Moon Pharmacy, and dispensing of prescription medications, including large amounts of Oxycodone, when the pharmacy did not employ a full-time licensed pharmacist. Instead, Hussnain paid a co-conspirator, Nisha Diler, a licensed pharmacist, to hold herself out as the full-time pharmacist despite the fact that she visited the pharmacy only sporadically. Between 2016 and 2019 Medicare and Medicaid reimbursed New Moon Pharmacy approximately $3 million for pharmaceutical claims. Hussnain pleaded guilty to the information before United States District Judge Rachel Kovner at the federal courthouse in Brooklyn on September 29, 2020. The case is being prosecuted by Trial Attorney Miriam Glaser Dauermann of the Criminal Division’s Fraud Section.
United States v. Aleah Mohammed, Aripha Mohammed and Shejer El Maliki: A criminal complaint charges Aleah Mohammed, Aripha Mohammed and Shejer El Maliki, the owners and operators of the pharmacy Village Stardrugs Inc. in Queens, New York, with conspiracy to commit health care fraud. Additionally, Aleah Mohammed was charged with health care fraud and aggravated identity theft, and Aripha Mohammed and Shejer El Maliki were each charged with money laundering. The charges stem from their alleged roles in a scheme to submit claims through the pharmacy for medications that were not in fact prescribed as claimed, including claims for purportedly dispensing medications when the pharmacy was no longer licensed by the State of New York. From March 2019 to March 2020, Medicare Part D plans reimbursed the pharmacy approximately $1.5 million for pharmaceutical claims, $1.4 million of which was reimbursed when the pharmacy was no longer licensed. Aleah Mohammed, Aripha Mohammed and Shejer El Maliki were arrested and arraigned before United States Magistrate Judge Roanne L. Mann on September 23, 2020. The case is being prosecuted by Trial Attorney Andrew Estes of the Criminal Division’s Fraud Section.
United States v. Gorgi Naumovski: The indictment charges Naumovski, the owner and operator of a durable medical equipment company Life Source Medical, Inc., in Greensboro, North Carolina, with one count of conspiracy to commit health care fraud. The charge stems from Naumovski’s alleged role in a scheme in which claims were submitted to Medicare for durable medical equipment, including orthotic braces, where the defendant and his co-conspirators paid bribes and kickbacks by purchasing doctors’ orders for the equipment, including equipment that was not medically necessary. Between April 2016 and December 2018, Life Source Medical billed Medicare approximately $4.1 million for claims for orthotics-related equipment and was paid approximately $1.8 million on those claims. Naumovski was arrested and arraigned before United States Magistrate Judge Reona J. Daly by video in Benton, Illinois on September 29, 2020. The case is being prosecuted by Trial Attorney Andrew Estes of the Criminal Division’s Fraud Section.
The charges are allegations and the defendants are presumed innocent unless and until proven guilty.
The Defendants:
NISHA DILER
Age: 40
Hicksville, NYE.D.N.Y. Docket No.: 20-CR-279 (RPK)
HARRIS HUSSNAIN
Age: 40
Queens, NYE.D.N.Y. Docket No. 20-CR-280 (RPK)
VLADIMIR GEYKHMAN
Age: 43
BROOKLYN, NYE.D.N.Y. Docket No.: 20-CR-371 (AMD)
MAHMOUD ELSANAA
Age: 36
Wayne, NJPOPOVYCH, OLGA
Age: 37
Brooklyn, NYE.D.N.Y. Docket No.: 20-CR-373 (LDH)
MAGID, MAZEN ABDEL
Age: 37
Brooklyn, NYE.D.N.Y. Docket No.: 20-MJ- 812
DR. ANAND KALEPU
Age: 70
Cleveland, OHE.D.N.Y. Docket No. 19-CR-602
DR. DALMACIO FRANCISCO
Age: 75
Queens, NYMICHAEL OTHMAN
Age: 48
Queens, NYE.D.N.Y. Docket No.: 20-MJ-380
XUAN DI HUANG
Age: 59
Queens, NYE.D.N.Y. Docket No. 20-MJ-733
GORGI NAUMOVSKI
Age: 52
DuQuoin, IL.E.D.N.Y. Docket No.: 20-CR-384 (WFK)
ALEAH MOHAMMED (also known as “Abby”)
Age: 35
Queens, NYARIPHA MOHAMMED
Age: 33
Queens, NYSHEJER EL MALIKI (also known as “Shaggy”)
Age: 33
Queens, NYE.D.N.Y. Docket No. 20-MJ-851
Two Buffalo Men Indicted on Multiple Drug and Gun ChargesRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that a federal grand jury has returned an indictment charging Hector Cordero, 32, and Damien Cruz, 23, both of Buffalo, NY, with possessing with intent to distribute cocaine and marijuana, maintaining a drug involved premises, and possessing firearms in furtherance of drug trafficking offenses. The charges carry a mandatory minimum penalty of five years in prison and a maximum of life.
Assistant U.S. Attorney Charles E. Watkins, Jr., who is handling the case, stated that according to the indictment and a previously filed complaint, on September 16, 2020, investigators conducted a traffic stop of defendant Cordero’s vehicle and detained him pending the completion of a search warrant at his residence on Roanoke Parkway in Buffalo. Members of the FBI Buffalo Safe Streets Task Force and Lackawanna Police Department executed the search warrant and recovered over $30,000 in cash, a money counter, digital scales, large plastic bags containing white residue, and approximately a half pound of suspected marijuana. In addition, investigators located two mechanical presses, commonly used to shape cocaine into bricks, a safe containing approximately 60 ounces (approximately 1700 grams) of a white powdery substance, a handgun loaded with five rounds of ammunition, and four additional boxes of ammunition in a shed on the property. They also found a safe inside the shed.
Members of the FBI Buffalo Safe Streets Task Force, the Buffalo Police Department and the Lackawanna Police Department also executed a search warrant at 1042 Grant Street in Buffalo. During that search law enforcement officers located plastic bags containing suspected marijuana, other plastic bags containing a white powdery substance, and a mechanical press, similar to the devices located at the Roanoke Parkway residence. Investigators also located a second safe, which contained plastic bags with suspected marijuana and a white powdery substance, a digital scale and packaging with white residue, and the lower receiver of a handgun.
During the execution of the search warrant at 1042 Grant Street, investigators encountered defendant Cruz on the second floor, coming from the stairs that led to an attic. They observed that Cruz had dirt on his hands, feet, and one knee, and no shoes on his feet. Officers subsequently searched the attic and observed foot prints on the floor that lead to a small hole in the floor boards. Inside the hole was a handgun, with an extended magazine containing at least 16 rounds of ammunition. Small plastic bags containing a white powdery substance were also recovered.
The defendants were arraigned before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. and detained.
The indictment is the result of an investigation by the Federal Bureau of Investigation Safe Streets Task Force, under the direction of Special Agent-in-Charge Stephen Belongia; the Lackawanna Police Department, under the direction of Chief Mark Packard; and the Buffalo Police Department, under the direction of Commissioner Byron Lockwood.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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