Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
28 September 2020
Waterloo Man Sentenced to Federal Prison for Possessing Gun Following a ShootingRead the Press Release
A Waterloo man who possessed a gun as a felon and while being a marijuana user was sentenced today to 27 months in federal prison.
Shakur Demir Todd-Ellis, age 22, from Waterloo, Iowa, received the prison sentence following a March 17, 2020 guilty plea to possession of a firearm as a prohibited person.
Information disclosed at sentencing and at his plea hearing revealed that on March 25, 2019, a shooting occurred outside an apartment complex in Waterloo, Iowa. Two different people fired shots during the incident. Todd-Ellis was not one of the shooters, but was present during the shootings. After the shooting, one of the shooters handed Todd-Ellis his firearm and Todd-Ellis went into the nearby apartment complex with it. Officers surrounded the area and had Todd-Ellis and other occupants of the apartment unit come out. Officers then searched the apartment unit where Todd-Ellis was located. Inside the unit, officers located three firearms, including the one Todd-Ellis took from the shooter. Officers also located multiple cell phone videos of Todd-Ellis holding firearms. Todd-Ellis admitted he has used marijuana since the 6th grade. He was also convicted of felony burglary in 2017.
Todd-Ellis was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Todd-Ellis was sentenced to 27 months’ imprisonment. Todd-Ellis was ordered to make payment of $100 to the special assessment fund. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
The case was prosecuted by Assistant United States Attorney Ashley Corkery. This case was brought as part of Project Safe Neighborhoods (PSN) through a cooperative effort of the Waterloo Police Department, Black Hawk County Sheriff’s Office, Federal Bureau of Investigations Safe Streets Unit, and the Bureau of Alcohol, Tobacco, and Firearms. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see /media/1122011/dl?inline.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-2009.
Follow us on Twitter @USAO_NDIA.
Water Management Companies Enter Resolutions to Pay $4.3 Million in Monetary Penalties for Clean Air Act ViolationsRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that two companies have entered resolutions with the government requiring the payment of a combined $4.3 million in monetary penalties, and an enhanced environmental compliance program, for their involvement in Clean Air Act violations.
According to United States Attorney David J. Freed, Rockwater Northeast LLC, a Pennsylvania-based company that provides water management services to companies in the oil and gas industry, was charged in a criminal information on September 24, 2020, with 31 counts of violating the Clean Air Act, for tampering with the emissions systems on 31 heavy-duty diesel trucks owned by the company, and installing “defeat devices” that disabled emissions diagnostic systems on the trucks. Rockwater Northeast LLC also is alleged to have caused the trucks to pass annual vehicle safety inspections by the Department of Transportation (DOT), despite the modified emissions systems.
Separately, Select Energy Services, Inc., a Texas-based company and the successor in interest to Rockwater Energy Solutions, Inc., parent company of Rockwater Northeast LLC, entered a three-year non-prosecution agreement with the United States. The agreement resolves Clean Air Act violations for modified emissions systems on 29 additional heavy-duty diesel trucks that were owned by Rockwater Energy Solutions, Inc. Select Energy Services, Inc. has cooperated with the investigation since its acquisition of Rockwater Energy Solutions, Inc. in 2017.
Rockwater Northeast LLC agreed to pay a monetary resolution of $2 million, and Select Energy Services, Inc. agreed to pay a monetary resolution of $2.3 million. Under the terms of the non-prosecution agreement, Select Energy Services, Inc. agreed to continue cooperating with the government, and to implement an environmental compliance program designed to prevent future Clean Air Act violations. Select Energy Services, Inc. also is required to conduct annual audits during the three-year term of the agreement, to ensure Clean Air Act compliance.
Six individuals have been prosecuted in connection with this investigation; four of whom are current or former employees of Rockwater Northeast LLC, and two of whom are former third-party vendors of Rockwater Northeast LLC. All six individuals pleaded guilty to conspiring to impede the lawful functions of the Environmental Protection Agency (EPA) and DOT, and to violate the Clean Air Act:
- Brian Mellot, of Cumberland, Maryland, was sentenced to six months of imprisonment and one year of supervised release;
- Gavin Rexer of Jersey Shore, Pennsylvania, pleaded guilty and is awaiting sentencing;
- Dennis Paulhamus of Jersey Shore, Pennsylvania, pleaded guilty and is awaiting sentencing;
- Joseph Powell of Hickory, Pennsylvania, pleaded guilty and is awaiting sentencing;
- John Joseph of Canonsburg, Pennsylvania, pleaded guilty and is awaiting sentencing; and
- Timothy Sweitzer of Jersey Shore, Pennsylvania, pleaded guilty and is awaiting sentencing.
“We take seriously our job of protecting the environment in Pennsylvania, and we won’t hesitate to prosecute individuals committing environmental crimes,” said United States Attorney Freed.
“The defendants in this case knowingly and repeatedly installed ‘defeat devices’ to remove emissions controls in dozens of diesel trucks in violation of the Clean Air Act,” said Environmental Protection Agency (EPA) Special Agent in Charge Jennifer Lynn of EPA’s Criminal Investigation Division in Pennsylvania. “Today’s announcement demonstrates that EPA and our law enforcement partners are committed to enforcing our environmental laws.
“Businessmen and companies that intentionally falsify records in order to circumvent federal laws and regulations will be held accountable for their actions,” said Douglas Shoemaker, Regional Special Agent-In-Charge, U.S. Department of Transportation Office of Inspector General. “This multi-million dollar settlement demonstrates our continuing effort to combat transportation-related fraud and abuse in the State of Pennsylvania and throughout the country.”
The matter was investigated by the EPA’s Criminal Investigations Division and the DOT’s Office of the Inspector General, with the assistance of the Pennsylvania State Police and other law enforcement agencies. The case was prosecuted by Assistant United States Attorneys Phillip J. Caraballo and Sean Camoni, and by Special Assistant United States Attorney Patricia C. Miller.
Criminal Informations are only allegations. All persons charged are presumed to be innocent unless and until found guilty in court.
A sentence following a finding of guilt is imposed by the Judge after consideration of the applicable federal sentencing statutes and the Federal Sentencing Guidelines.
# # #
United States Files Complaint Against Nutter Home Loans for Forging Certifications and Using Unqualified Underwriters to Approve Government-Insured Reverse MortgagesRead the Press Release
WASHINGTON - The United States has filed a complaint under the Financial Institutions Reform, Recovery and Enforcement Act of 1989 and the False Claims Act against Nutter Home Loans, f/k/a James B. Nutter & Co. (Nutter), for forging certifications and using unqualified underwriters to approve Federal Housing Administration (FHA) insured Home Equity Conversion Mortgages (HECM), the Department of Justice announced today.
“The HECM program benefits America’s seniors and our communities,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “The Department is committed to holding accountable those who violate the bedrock requirements of this important program.”
“Companies participating in federal programs must operate with honor and integrity,” said Acting U.S Attorney Michael R. Sherwin for the District of Columbia. “This action sends a clear message that we will not tolerate fraud against programs designed to financially help our nation’s seniors.”
“Lenders who willfully disregard FHA requirements for HECM loans expose the program to significant financial losses that threaten the future availability of this important program to seniors,” said Rae Oliver Davis, Inspector General, U.S. Department of Housing and Urban Development. “This complaint is evidence that we will tirelessly investigate allegations of abuses of the HECM program by FHA lenders.”
The FHA, part of the U.S. Department of Housing and Urban Development (HUD), offers numerous mortgage insurance programs intended to help build and sustain strong communities across America. The HECM program is a reverse mortgage program specifically for senior homeowners age 62 and older. The program allows seniors to access the equity in their residences, and thereby age in place in their family home, through a mortgage agreement with a lender that is insured against loss by the FHA. The United States’ complaint alleges that in order to significantly increase its loan production, Nutter used unqualified underwriters lacking the requirements established by HUD to review and approve HECMs that Nutter ultimately insured with the FHA. Moreover, on other loans, Nutter forged the signatures of qualified underwriters to make it appear that a qualified underwriter had reviewed and approved the loan.
This matter was investigated by the Commercial Litigation Branch of the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the District of Columbia, HUD, and HUD’s Office of Inspector General. The claims asserted against the defendant are allegations only, and there has been no determination of liability.
Two Iranian Men Charged by Federal Grand Jury in Scheme to Send Export-Controlled Computer Servers to IranRead the Press Release
LOS ANGELES – A federal grand jury has indicted two Iranian men with participating in a conspiracy to procure and illegally send export-controlled computer servers to Iran.
Ebrahim Azadegan, 42, and Alireza Alvandi, 45, were named in a 10-count indictment returned on September 25 that charges them with violating the International Emergency Economic Powers Act (IEEPA) and the Iranian Transactions and Sanctions Regulations, which restrict the export of goods and services from the United States to foreign nations. Azadegan and Alvandi were also charged with conspiracy, wire fraud, smuggling goods out of the United States, and money laundering.
According to the indictment, from January 2013 through July 2017, Azadegan, Alvandi, Dana Point resident Johnny Tourino, and Spectra Equipment, Inc. purchased, sent, and attempted to send computer servers to Iran without obtaining licenses from the U.S. government that are required under IEEPA. Tourino and Spectra were previously indicted in a separate case in 2018 and are scheduled to go on trial in January.
The computer servers were dual-use commercial goods, meaning they had both a commercial application and a military or strategic one. The computers were controlled by the Commerce Control List for anti-terrorism and national security reasons.
Azadegan, Alvandi, and Tourino allegedly falsely told the manufacturer that the computer servers were intended for Slovenia, when they knew they were intended for Bank Mellat, an Iranian financial institution.
Under IEEPA, it is crime to willfully export or attempt to export items to Iran without a license from the U.S. government. According to the U.S. Department of Commerce, the computer servers are items that could be detrimental to regional stability and national security.
Azadegan and Alvandi are both believed to be in Iran.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed to be innocent until and unless proven guilty in court.
The 10 charges in the indictment carry a statutory maximum sentence of 190 years in prison.
This case is the result of an ongoing investigation being conducted by the FBI, the U.S. Department of Commerce’s Office of Export Enforcement, and IRS Criminal Investigation.
The case against Azadegan and Alvandi is being prosecuted by Assistant United States Attorney Mark Takla of the Terrorism and Export Crimes Section and William Mackie from the Counterintelligence and Export Control Section of the Justice Department’s National Security Division.
Three Oregonians Accused of Crimes During Civil Disorder Events in PortlandRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that three Portland, Oregon residents have been charged with crimes during civil disorder events.
A federal grand jury in Portland, Oregon has returned a one-count indictment charging John Phillip Wenzel, with Civil Disorder on August 14, 2020.
Halston Eugene Hamilton and Michael Lee Pilgrim have been charged with Violation of National Defense Airspace, a misdemeanor, for flying a drone within federal airspace on September 26, 2020.
Each of these charges is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Supplier of Family-Run Drug Trafficking Organization Sentenced to PrisonRead the Press Release
NORFOLK, Va. – A North Carolina man was sentenced today to 140 months in prison for his role in a cocaine-trafficking conspiracy targeting Virginia communities.
According to court documents, Razagin Kaseen Lee, 47, of Elizabeth City, was the cocaine source of supply for the family-run Jones Drug-Trafficking Organization based in Portsmouth. He was the last member of that organization to be sentenced.
Lee participated in this conspiracy for almost four years before he was caught. In September 2019, law enforcement officers searched his Elizabeth City residence and recovered more than 3.2 kilograms of cocaine, two 9mm handguns, more than $213,000 in cash, and two luxury vehicles, all of which are subject to forfeiture.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; Colonel Gary T. Settle, Superintendent of Virginia State Police; Col. K.L. Wright, Chief of Chesapeake Police; Larry D. Boone, Chief of Norfolk Police; Eddie M. Buffaloe, Jr., Chief of Elizabeth City Police; and Tommy Wooten II, Pasquotank County Sheriff, made the announcement after sentencing by U.S. District Judge Raymond A. Jackson. Assistant U.S. Attorney William B. Jackson and Special Assistant U.S. Attorney Kristin Bird are prosecuting the case.
This case is part of Operation High Tide, a proactive, large-scale narcotics trafficking and firearms investigation that focused on high-impact targets driving crime in some of the hardest hit neighborhoods in Hampton Roads.
This case is also part of Project Safe Neighborhoods (PSN), which 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 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. Click here for more information about Project Guardian.
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-015.
Name, AKA
Age, Hometown
Pleaded Guilty to the Following Charge(s)
Sentence
Malcolm Dominique Jones,
aka “Big Malcolm”
45, Portsmouth
Drug-trafficking conspiracy; distributing heroin, fentanyl, and Acetyl fentanyl
22 years in prison
Corey Luther Jones,
50, Portsmouth
Drug-trafficking conspiracy; possessing firearms in furtherance of drug-trafficking crimes (two counts)
20 years in prison
Malcolm Dominic Jones, Jr.,
aka “Little Malcolm”
25, Portsmouth
Drug-trafficking conspiracy
156 months in prison
Raewkon Akil Pierce,
aka “Ray Ray,”
“Ray Butter,” “Butter”24, Portsmouth
Distributing cocaine
140 months in prison
Razagin Kaseen Lee
47, Elizabeth City, NC
Drug-trafficking conspiracy
140 months in prison
Domininc Donta Jones,
aka “Dom”
27, Portsmouth
Drug-trafficking conspiracy; possessing firearm in furtherance of drug-trafficking crime
120 months in prison
Stamford Heroin Trafficker Pleads GuiltyRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOAQUIN VERAS, 46, of Stamford, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to one count of possession with intent to distribute, and distribution of, one kilogram or more of heroin.
According to court documents and statements made in court, in March and May 2019, investigators made two controlled purchases of approximately 100 grams of heroin each from Veras. Investigators then arranged to purchase a kilogram of heroin from Veras for $58,000.
On May 16, 2019, Veras was arrested in possession of approximately one kilogram of heroin. A search of a Stamford apartment that Veras used as a stash location revealed another kilogram of heroin, a quantity of cocaine, items used to process and package narcotics for sale, and $7,000 in cash.
Judge Dooley scheduled sentencing for December 23, 2020, at which time Veras faces a maximum term of imprisonment of life.
Veras has been detained since his arrest.
In August 2011, Veras was sentenced in the Southern District of New York to 57 months of imprisonment for conspiring to distribute 100 grams or more of heroin.
This matter was investigated by the Drug Enforcement Administration’s Bridgeport High Intensity Drug Trafficking Area (HIDTA) Task Force and the Stamford Police Department. The Task Force includes personnel from the DEA, Connecticut State Police and Norwalk, Stamford, Stratford, Milford, Bridgeport and Trumbull Police Departments. The case was prosecuted by Assistant U.S. Attorney Joseph Vizcarrondo.
Southern California Man Pleads Guilty to Burglarizing Kern County Post OfficeRead the Press Release
FRESNO, Calif. — Ryan James Taylor, 34, of Oxnard, pleaded guilty today to burglary of a post office, U.S. Attorney McGregor W. Scott announced.
According to court documents, on Aug. 26, 2018, Taylor forcibly broke into the Mojave Post Office in Kern County and stole United States Mail from the outgoing mail drop bin. After breaking into the post office, Taylor also stole a United States mail truck. The stolen mail included a Starbucks gift card that Taylor later used to purchase a coffee drink and a check that he endorsed over to himself, all without authorization.
This case is the product of an investigation by the U.S. Postal Inspection Service. Assistant U.S. Attorneys Vincente Tennerelli and Joseph Barton are prosecuting the case.
Taylor is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Dec. 14. Taylor faces a maximum penalty of five years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Solano County Man Pleads Guilty to Conspiracy to Bomb a Suisun City ResidenceRead the Press Release
SACRAMENTO, Calif. — Thomas Wayne Capenhurst, 33, of Dixon, pleaded guilty today to conspiracy and malicious use of explosive materials, U.S. Attorney McGregor W. Scott announced.
According to court documents, Capenhurst offered to pay co-defendant Robert McGraw and another man $10,000 each to place pipe bombs at his brother’s house in Suisun City.
According to the plea agreement, on Feb. 17, 2018, McGraw walked to the front door of a home on Blue Jay Drive in Suisun City, just before 1:00 a.m., and set one of the pipe bombs on the front porch. He lit the fuse and then ran. Afterwards, the pipe bomb detonated and blew the front door off its hinges. Pieces of metal shrapnel were lodged in the home’s exterior walls, and windows were broken nearby. Court documents state that a family of five was active inside the home, having just returned from a trip to the Bay Area.
This case is the product of an investigation by the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives, the Federal Bureau of Investigation’s Solano County Violent Crimes Task Force, and the Suisun City Police Department. Special assistance was provided by the Dixon Police Department, Fairfield Police Department, Vacaville Police Department, Vallejo Police Department, Benicia Police Department, the Solano County Sheriff’s Office, and the California Highway Patrol. Assistant U.S. Attorney Ross Pearson is prosecuting the case.
A status conference has been set for McGraw on Oct. 5. Capenhurst is scheduled to be sentenced by U.S. District Judge Kimberley J. Mueller on Jan. 4, 2021. He faces a penalty of not less than five years, and up to 20 years, in prison, and a $250,000 fine for malicious use of explosive materials, and a maximum penalty of five years in prison and a $250,000 fine for conspiracy. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Sixteen men charged federally as part of Cincinnati gun violence initiativeRead the Press Release
CINCINNATI – A federal grand jury has charged 15 Cincinnati men and one Chicago man with crimes related to Cincinnati gun violence in separate indictments unsealed here today. Six defendants were arrested late last week, and 10 were already in state custody.
U.S. Attorney David M. DeVillers, ATF Special Agent in Charge Roland Herndon, Cincinnati Police Chief Eliot K. Isaac and Hamilton County Sheriff Jim Neil announced the cases as part of a 2020 Summer Gun Violence Initiative.
The aim of the initiative is to identify repeat and dangerous offenders for federal prosecution.
The cases include multiple incidents of shots fired, defendants who allegedly threatened children with firearms at a school and an apartment complex, and a handful of individuals fighting in the street with weapons.
Each defendant is a convicted felon charged with illegally possessing a firearm, which is a federal crime punishable by up to 10 years in prison.
Those charged include:
Name
Age
Daniel Ambrose
25
Ricardo Boyd
32
Kenneth Davis
22
Traevon Edwards
27
Willie Goldsmith
27
Darryl Johnson
28
Greg McIntosh
27
Richard Williams-Moore
23
Jeff Napier
34
Rashan Robinson
31
Jerome Rucker
22
Recardo Sims
26
Andreqio Stevens
41
Darren Thomas
32
Demetrius Williams
24
Terrance White, of Chicago,
26
Ambrose, Boyd, Goldsmith, Johnson, McIntosh and Sims were arrested on Friday.
The Cincinnati Police Gang Squad has been investigating Daniel Ambrose for his alleged responsibility in several shooting incidents in the Avondale neighborhood this August. Ambrose was arrested early Friday morning by ATF SWAT.
In February 2020, Ricardo Boyd was arrested on local domestic violence charges after assaulting a woman and a child. It is alleged that Boyd illegally possessed a firearm in his pants pocket at the time of the assault.
It is alleged that in September 2020, Recardo Sims and multiple other individuals were fighting on Bowling Green Court in Cincinnati. 911 calls indicate that at least four firearms were seen.
In the case pending against Andreqio Stevens, at least six people called 911 on May 12, 2020, to report that Stevens was allegedly standing in the parking lot of Eatondale Apartment Complex waving a gun and threatening to “kill everybody.” In some 911 calls, you can hear individuals screaming and warning others to “get in the house.” Callers describe being terrified, running away from Stevens and having children with them.
In January 2020, Daryl Johnson reportedly waved a gun at students at the School for Creative and Performing Arts in downtown Cincinnati.
U.S. Attorney DeVillers said federal investigations into Cincinnati gun violence will continue, and he anticipates more charges to come.
Criminal Chief Karl P. Kadon, OCDETF Deputy Criminal Chief Christy L. Muncy, Assistant United States Attorneys Ashley N. Brucato, Kenneth L. Parker, Timothy D. Oakley, Jennifer Weinhold, Anthony Springer, and Special Assistant United States Attorneys Kelly K. Rossi, Zach Kessler and Jackie Stachowiak are representing the United States in these cases.
An indictment merely contains allegations, and defendants are presumed innocent unless proven guilty in a court of law.
# # #
Seventeen indicted for drug tracking conspiracy in Mansfield area; fifteen arrested in takedown operationRead the Press Release
Seventeen individuals were charged today in an unsealed, 26-count indictment handed down by a federal grand jury in Cleveland for their alleged roles in a drug trafficking conspiracy that involved the distribution of methamphetamine, heroin, fentanyl and crack cocaine in the Mansfield area. Fifteen were arrested during an early morning takedown operation.
U.S. Attorney for the Northern District of Ohio Justin Herdman, FBI Special Agent in Charge Eric B. Smith, Mansfield Police Chief Keith Porch and Richland County Sheriff J. Steve Sheldon made the announcement.
“During the past few years, federal and local law enforcement partners have been working tirelessly to identify, arrest and incarcerate drug traffickers in the Mansfield and Richland areas,” said U.S. Attorney Justin Herdman. “Anyone attempting to sell drugs in this community should be prepared for a strong law enforcement presence and response.”
“Another group of drug traffickers are being held accountable for their illicit distribution of illegal narcotics on our neighborhood streets,” said FBI Special Agent in Charge Eric B. Smith. “Over the past three years, collaborative law enforcement efforts have rid the streets of Mansfield of over 150 individuals for bringing poison to our community. Law enforcement will continue to identify, disarm and disrupt drug trafficking organizations in our territory.”
“Today’s operation was another fine example of collaboration between local law enforcement, our federal law enforcement partners, and the U.S. Attorney’s Office from the Northern District of Ohio, in targeting drug trafficking suspects and removing illegal drugs from Mansfield as well as the surrounding communities in Richland County,” said Mansfield Police Chief Keith Porch.
“The drug trafficking problem in the city of Mansfield and Richland County is being addressed on a continuing basis,” said Richland County Sheriff J. Steve Sheldon. “We are greatly appreciative of our fellow local, state, and federal law enforcement partners for their assistance.”
Named in the indictment are:
Antoine Bentley, 36, of Mansfield; Tiffany Boggs, 25, of Mansfield; Jerry Bowen, 28, of Mansfield; Ryan Day, 37, of Butler; Ashley Fields, 25, of Mansfield; Sheldon Holbrook, 27, of Mansfield; Eric Jackson, 43, of Bellville; Michelle Jarvis, 36, of Ashley; Jason Jarvis, 40, of Mansfield; Brandon Mann, 38, of Mansfield; Gregory McClintok, 27, of Mansfield; Michael Murphy, 37, of Mansfield; Mark Spear, 37, of Ashland; Roger Schlupp, 33, of Tiffin; Nicholas Vargas, 39, of Plymouth; Zachary Wallen, 39, of Mansfield and Roz Whitworth, 38, of Mansfield.
According to the indictment, from March 2018 to September 2020, these defendants are accused of conspiring together to distribute and possess methamphetamine, heroin and fentanyl throughout the Mansfield area via drug suppliers in California. The indictment states that defendants Eric Jackson, Jason Jarvis, Mark Spear and Roz Whitworth obtained the illegal drugs and distributed them to the other named defendants, who then sold the drugs to various customers in the Northern District of Ohio.
The conspirators are accused of conducting their drug trafficking activity using cell phones, text messages and Facebook messenger. To reduce the risk of being detected by law enforcement, and to conceal the identity of the person using the device, co-conspirators often used cellular telephones that had been obtained in the names of other persons or in fictitious names, the indictment states.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, each defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and, in most cases, it will be less than the maximum.
The investigation preceding the indictment was conducted by the Cleveland Division of the FBI, Organized Crime Drug Enforcement Task Force (OCDETF), Metrich Unit, Ashland Police Department, Mansfield Police Department, Richland County Sheriff’s Office, Richland County Prosecutor’s Office and Ashland County Prosecutor’s Office. This case is being prosecuted by Assistant U.S. Attorney Vasile C. Katsaros.
Samantha Simms Sentenced to Time-Served for Distribution of MethamphetamineRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Samantha Simms, 33, of Burlington, was sentenced on September 25, 2020, by U.S. District Judge Christina Reiss to time-served to be followed by three years of supervised release and a $4,000 fine.
According to court documents, on March 3, 2020, the Vermont State Police received a call from Michael Haines in Cambridge. Haines told a trooper that a person he knew as “Tee,” was attempting to break into his house and that Tee was outside his residence in a truck with Sam Simms. While on the call with the trooper, Haines suddenly said, “I’m shot, I’m shot.” When troopers arrived on scene, they found Haines deceased on the floor of his kitchen. Haines’s death has been ruled a homicide.
Investigation into the homicide has indicated that Simms drove Tee, a.k.a. Taylor Ruffin Herrington, to Haines’s residence in Cambridge and Herrington shot into Haines’s house in a dispute over drugs. Herrington has been charged in federal court with carrying and using a firearm during and in relation to a drug trafficking crime, in violation of 18 U.S.C. § 924(c), and conspiracy to distribute heroin, in violation of 21 U.S.C. §§ 841(a)(1), 846.
After the shooting, Simms drove Herrington back to Chittenden County. Later that evening, a confidential informant (CI) working with the Vermont Drug Task Force arranged a controlled buy of methamphetamine from Simms. The CI met with Simms and Simms provided the CI with less than one gram of meth. Simms was arrested and later pleaded guilty to distribution of methamphetamine, in violation of 21 U.S.C. § 841(a)(1).
The United States was represented in this matter by Assistant U.S. Attorney Wendy Fuller. Samantha Simms was represented by Karen Shingler, Esq., and Norman Blais, Esq.
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
Pollock Prisoner Sentenced to 29 Years for Killing Fellow InmateRead the Press Release
ALEXANDRIA, La. – Acting United States Attorney Alexander C. Van Hook announced that a United States Penitentiary Pollock inmate was sentenced by U.S. District Judge Dee Drell to 350 months (29 years, 2 months) in prison followed by 5 years of supervised release for killing another inmate. This sentence imposed will run consecutive to the federal sentence he is currently serving. Cortez pled guilty to the charge on March 4, 2020.
David Cortez, 36, a citizen of Mexico who is currently serving a federal sentence for drug trafficking, was sentenced on one count of second degree murder. According to information presented to the court, Cortez and another inmate stabbed a cellmate on June 18, 2014 while outside in the yard at the United States Penitentiary in Pollock, Louisiana, which is within the special maritime and territorial jurisdiction of the United States and located in the Western District of Louisiana. The victim inmate sustained a number of stab wounds to his upper and lower back, chest, shoulders, arms, neck and head, and died as a result of the injuries. Cortez killed the victim inmate with malice aforethought.
The FBI and U.S. Bureau of Prisons conducted the investigation. Assistant U.S. Attorney Mary J. Mudrick prosecuted the case.
# # #
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Owner of Bitcoin Exchange Convicted of Racketeering Conspiracy for Laundering Millions of Dollars in International Cyber Fraud SchemeRead the Press Release
A Bulgarian national was found guilty today for his role in a transnational and multi-million dollar scheme to defraud American victims through online auction fraud.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Robert M. Duncan Jr. of the Eastern District of Kentucky, Assistant Director Michael D’Ambrosio of U.S. Secret Service’s Office of Investigations and Kentucky State Police Commissioner Rodney Brewer made the announcement.
Rossen Iossifov, 53, formerly of Bulgaria, was convicted by a federal jury in Frankfort, Kentucky of one count of conspiracy to commit racketeering and one count of conspiracy to commit money laundering after a two-week trial in front of U.S. District Judge Robert E. Wier. Sentencing has been set for Jan. 12, 2021.
According to court documents and evidence presented at trial, Iossifov and his co-conspirators participated in a criminal conspiracy that engaged in a large-scale scheme of online auction fraud that victimized at least 900 Americans. Specifically, Romania-based members of the conspiracy posted false advertisements to popular online auction and sales websites—such as Craigslist and eBay—for high-cost goods (typically vehicles) that did not actually exist. Members of the conspiracy would convince American victims to send money for the advertised goods by crafting persuasive narratives, for example, by impersonating a military member who needed to sell the advertised item before deployment.
According to court documents, members of the conspiracy created fictitious online accounts to post these advertisements and communicate with victims, often using the stolen identities of Americans to do so. They also delivered invoices to the victims bearing trademarks of reputable companies in order to make the transaction appear legitimate. Members of the conspiracy also set up call centers, impersonating customer support, to address questions and alleviate concerns over the advertisements.
According to court documents, once victims were convinced to send payment, the conspiracy participants engaged in a complicated money laundering scheme wherein domestic associates would accept victim funds, convert these funds to cryptocurrency, and transfer proceeds in the form of cryptocurrency to foreign-based money launderers.
According to evidence presented at trial, Iossifov was the owner of RG Coins, a Bulgaria-based Bitcoin exchange. From at least September 2015 to at least December 2018, he exchanged cryptocurrency into local fiat currency on behalf of the Romania-based members of the conspiracy, knowing that the Bitcoin represented the proceeds of illegal activity. According to trial testimony, for example, in just the span of about two and a half years, Iossifov exchanged over $4.9 million worth of Bitcoin for just four other members of the criminal enterprise.
Seventeen total defendants have been convicted in this case. Three others are fugitives.
The investigation was conducted by the U.S. Secret Service, Kentucky State Police, Lexington Police Department, IRS Criminal Investigation, and U.S. Postal Inspection Service, and supported by the Justice Department’s Organized Crime Drug Enforcement Task Forces (OCDETF) and the International Organized Crime Intelligence and Operations Center (IOC-2). Assistance was provided by the Romanian National Police (Service for Combating Cybercrime) and the Romanian Directorate for Investigating Organized Crime and Terrorism (Agency for Prosecuting Organized Crime). The Criminal Division’s Money Laundering and Asset Recovery Section provided significant support and the Justice Department’s Office of International Affairs provided significant support in securing and coordinating the arrests and extraditions from Romania of more than a dozen defendants.
The United States was represented at trial by Senior Counsel Frank H. Lin of the Criminal Division’s Computer Crime and Intellectual Property Section (CCIPS) and Assistant U.S. Attorneys Kathryn M. Anderson and Kenneth R. Taylor of the U.S. Attorney’s Office for the Eastern District of Kentucky. The case is additionally being prosecuted by Senior Trial Attorney Timothy C. Flowers of CCIPS.
Individuals believing they may be victims of the advanced fee and online auction fraud or brute-force attack schemes described herein are encouraged to visit the following website to obtain more information: https://justice.gov/usao-edky/information-victims-large-cases. Tips to avoid becoming a victim of online auction fraud can be found here on the U.S. Secret Service’s website.
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.
Oregon Resident Accused of Interfering with Police Making Arrests During Civil Disorder in PortlandRead the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that a Portland, Oregon resident has been charged with jumping onto the back of a police officer who was arresting someone, as the officer was engaged in lawful crowd dispersal during a civil disorder event.
A federal grand jury in Portland, Oregon has returned a one-count indictment charging Meganne Elizabeth Englich-Mills, 24, with Civil Disorder.
According to court documents, during the evening hours of September 5, 2020, a crowd of people attempted to march to the Portland Police Bureau’s East Precinct located at 737 SE 106th avenue from Ventura Park. When the crowd encountered law enforcement officers, multiple fire bombs and commercial grade fireworks were thrown by the crowd towards law enforcement, resulting in injury to both law enforcement and community members. The assembly was declared a riot and the crowd received multiple warning to disperse from the area. The crowd refused to disperse and people in the crowd began throwing rocks at law enforcement and lit several fires in the streets using dumpsters, garbage cans and wooden pallets.
Oregon State Police Troopers assigned to conduct crowd control duties during the declared riot, encountered a group of persons refusing to disperse from the area as directed. As one Trooper attempted to take a female subject into custody, another member of the above group, later identified as Meganne Elizabeth Englich-Mills, jumped on the Trooper’s back as the Trooper and the other subject were on the ground. Additional Troopers came to the aid of the arresting officer and Englich-Mills was placed under arrest.
Meganne Elizabeth Englich-Mills made an initial appearance in federal court today before a U.S. Magistrate Judge John V. Acosta. Englich-Mills was arraigned, pleaded not guilty, and ordered released pending a jury trial to be held.
The Portland Police, Oregon State Police and FBI investigated this case. It is being prosecuted by Peter Sax, Assistant U.S. Attorney for the District of Oregon. An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
Operation LeGend Results in over 500 Arrests, Including 37 Murder SuspectsRead the Press Release
KANSAS CITY, Mo. – U.S. Attorney Tim Garrison, at a joint press conference with Kansas City Mayor Quinton Lucas and Kansas City Police Chief Rick Smith, announced today that 518 arrests have been made by local and federal law enforcement officers in Operation LeGend.
“On behalf of the team of federal law enforcement agencies involved in this groundbreaking initiative, I made certain promises when Operation LeGend was launched,” Garrison said. “Those promises have been kept. The FBI, the ATF, the DEA, and the U.S. Marshals Service worked collaboratively and effectively with the Kansas City Police Department and other local law enforcement agencies to accomplish the objectives of Operation LeGend. We created a model for others to follow. Our success in Kansas City is now being duplicated in eight more cities across the nation.”
Promises Made, Promises Kept
“We promised that Operation LeGend would be a short-term, high-impact strategy to freeze the escalation of violent crime and respond to the record number of homicides in Kansas City this year,” Garrison said. “That promise was kept. Operation LeGend has had a significant impact on violent crime in Kansas City, and those efforts will continue.”
During the 10 weeks from the announcement of Operation LeGend on July 8 through Sept. 16, homicides in Kansas City were down 22 percent, non-fatal shootings were down 24 percent, and aggravated assaults were down 44 percent, as compared to the 10 weeks before July 8.
“We promised that federal agents would work alongside local law enforcement, in a supportive role to provide additional support and assistance,” Garrison said. “That promise was kept, and in the process, valuable lessons were gained for how to confront violent crime.”
For example, the FBI has doubled the number of agents working violent crime cases and embedded agents with the Kansas City Police Department’s violent crime unit. The ATF has added a new unit that is permanently embedded with Kansas City’s assault squad. Intelligence has been gained and shared among law enforcement agencies to improve future investigations. “These strategies for collaborating with local law enforcement have been successful, and will continue,” Garrison said.
“We promised there would be no storm troopers patrolling the streets of Kansas City, no interference with the civil rights of protesters engaged in public demonstrations,” Garrison said. “Despite accusations of a federal occupation, we have worked cooperatively with both local law enforcement and local community leaders. None of those dire predictions from our critics came to pass.”
“I’ve also said, from the start of Operation LeGend, that law enforcement would not be the sole solution to violent crime,” Garrison added. “Violence is a community issue, and requires a community-wide response.”
“I hope that by keeping the promises we made, by doing what we said we would do, we’ve established a level of trust and credibility that will continue to bear fruit,” Garrison said.
Among those arrested since the launch of Operation LeGend, 126 are federal defendants in the Western District of Missouri (with additional federal cases referred to U.S. Attorney’s Offices in Kansas and Texas). Among the remaining arrests, 37 were homicide cases. In addition to the arrests, agents and officers have seized 176 firearms, large quantities of illegal drugs, and several stolen vehicles during Operation LeGend.
Among the homicide arrests made under Operation LeGend was the defendant charged in state court with murder of 4-year-old LeGend Taliferro, in whose memory the operation was named.
The U.S. Attorney’s Office does not track cases that are referred for prosecution in state court or in other districts. Defendants have been charged in the Western District of Missouri with the following federal crimes: - 70 defendants have been charged with firearms-related offenses; - 45 defendants have been charged with drug trafficking offenses; - 11 defendants have been charged with other violent crimes.
Operation LeGend
Operation LeGend is a federal partnership with local law enforcement to address the increase in homicides and violent crime in Kansas City, Mo., in 2020. The operation honors the memory of four-year-old LeGend Taliferro, one of the youngest fatalities during a record-breaking year of homicides and shootings. Additional federal agents were assigned to the operation from the FBI, Drug Enforcement Administration, the Bureau of Alcohol, Tobacco, Firearms and Explosives, and the U.S. Marshals Service.Operation Free Market Update: Michigan Man Sentenced to Prison for Federal Drug CrimeRead the Press Release
HUNTINGTON, W.Va. – A Michigan man was sentenced today to 42 months in prison for a federal drug crime, announced United States Attorney Mike Stuart. Gary Jerome Johnson, also known as “Sosa”, 29, previously pled guilty to possession with the intent to distribute fentanyl.
“Michigan football legend Bo Schembechler used to refer to what he called “A Michigan Man.” He was definitely not referring to fentanyl dealers from Michigan,” said United States Attorney Mike Stuart. “Johnson, already wanted by law enforcement authorities in Michigan, was found in Huntington with 16 grams of fentanyl that he had every intention of selling. Now he will be going to federal prison with the many other fentanyl dealers we have convicted.”
Johnson previously admitted that on May 2, 2019, he was a passenger in a vehicle that was pulled over for a traffic stop in Huntington. After learning that Johnson was wanted out of Michigan for absconding from parole, he was placed under arrest and taken to the West Virginia State Police detachment in Huntington for processing. The Trooper found approximately 16 grams of fentanyl in his cruiser. Johnson admitted he intended to sell the controlled substance.
Operation Free Market was a long-term drug investigation in the Huntington area. The investigation was the result of a joint effort by the Drug Enforcement Administration (DEA) and the Violent Crime and Drug Task Force West.
United States District Judge Robert C. Chambers imposed the sentence. Assistant United States Attorney Stephanie S. Taylor handled the prosecution.
The case was prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), an enforcement surge that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Southern District of West Virginia. Related court documents and information can be found on PACER by searching for Case No. 3:19-cr-00204.
Follow us on Twitter: SDWVNews and USAttyStuart
###
Olathe Man Sentenced for EmbezzlementRead the Press Release
KANSAS CITY, KAN. – An Olathe man was sentenced today to 15 months in federal prison for embezzlement, U.S. Attorney Stephen McAllister said.
Michael Panethiere, 42, Olathe, Kan., pleaded guilty to one count of bank fraud. In his plea, he admitted he committed the crime while he was employed by Palmer Electric Company in Pleasant Valley, Mo. He used his position to generate and sign company checks that he made payable to himself. He transferred the money to his control using his account at Community America Credit Union in Olathe. The total loss was more than $280,700.
McAllister commended the U.S. Secret Service and Assistant U.S. Attorney Leon Patton for their work on the case.
New York Man Sentenced to 87 Months’ Imprisonment for Drug Trafficking ConspiracyRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that on September 25, 2020, Luis Torres-Jiminez, age 31, of New York, was sentenced to 87 months’ imprisonment by U.S. District Court Judge Robert D. Mariani, for his participation in a drug trafficking conspiracy.
According to United States Attorney David J. Freed, Torres-Jimenez conspired with Juan Roman-Polanco and others to distribute and possess with intent to distribute powder cocaine and cocaine base, or “crack.” Specifically, Torres-Jimenez admitted responsibility for over 500 grams of cocaine and 28 grams of crack.
Roman-Polanco was previously sentenced to 151 months’ imprisonment.
The case was investigated by the U.S. Drug Enforcement Administration (DEA), Wilkes-Barre Police Department, and Pennsylvania State Police. Assistant U.S. Attorney Sean A. Camoni prosecuted the case.
This case is also part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
# # #
New Rochelle Man Charged with Attempted Murder of FBI Task Force Officer During Broad Daylight Shooting in YonkersRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Office of the Federal Bureau of Investigation (“FBI”), and John J. Mueller, Commissioner of the Yonkers Police Department, announced charges today against DARREN SMITH for attempting to murder a federal law enforcement officer. The defendant will be presented in White Plains federal court today before Chief United States Magistrate Judge Paul E. Davison.
Acting Manhattan U.S. Attorney Audrey Strauss said: “As alleged, the defendant fired a handgun into a commercial hub in Yonkers and, in a further wanton disregard for human life, attempted to direct his fire at a federal law enforcement officer. Our Office will work to ensure that those who put our law enforcement partners in danger are held to account.”
FBI Assistant Director William F. Sweeney Jr. said: “As law enforcement professionals, we all take an oath to protect the public from harm. When this subject allegedly fired his gun wildly into a public square to prevent his arrest, police officers, including a task force officer from our Westchester Safe Streets Task Force, took immediate action to prevent innocent people from being killed or injured by stray bullets. We take our oath seriously, and we won’t back away from our pursuit of holding criminals accountable for their actions.”
Yonkers Police Commissioner John J. Mueller said: “As this was one of the most depraved and reckless acts I have witnessed in my 28 years in law enforcement, the response by our Yonkers Police Officers was also one of the most heroic and selfless acts I have witnessed in my career. We often hear how our police officers run toward danger, without consideration for their own well-being. In this incident, everyone who views the video can attest to the validity of this often used term. As Yonkers Police Commissioner, I could not be prouder of the officers and supervisors that God has blessed me to work with. Thank you also to the outpouring of support from our beloved community who have inundated the Yonkers Police with well wishes and gratitude.”
As alleged in the Complaint[1]:
On September 25, 2020, after law enforcement officers attempted to stop SMITH’s car, he fled on foot with a handgun. As officers, including a FBI Task Force Officer, attempted to arrest him, SMITH fired his handgun into Getty Square in Yonkers. As the FBI Task Force Officer attempted to control SMITH’s hand to prevent him firing again, SMITH struggled to turn the gun in the Task Force Officer’s direction and continued to fire. In the course of the struggle, the Task Force Officer fractured his finger, sprained his knee, and suffered several abrasions to his right hand.
* * *
SMITH, 24, of New Rochelle, New York, is charged with one count of attempting to murder a federal officer, which carries a maximum sentence of 20 years in prison, one count of using a deadly weapon to interfere with the performance of a federal officer’s official duties, which carries a maximum sentence of 20 years in prison, and one count of discharging a firearm in the course of a crime of violence, which carries a maximum sentence of life in prison and a mandatory minimum of 10 years in prison to run consecutive to any other sentence imposed.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge.
Ms. Strauss praised the outstanding investigative work of the FBI’s Westchester County Safe Streets Task Force, which comprises agents and officers from the FBI, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, U.S. Probation, the New York State Police, the New York City Police Department, the Westchester County Police Department, the Westchester County District Attorney’s Office, the Yonkers Police Department, the Mount Vernon Police Department, the Peekskill Police Department, the Greenburgh Police Department, and the New Rochelle Police Department.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney Shiva H. Logarajah is in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the descriptions of the Complaint set forth below constitute only allegations, and every fact described should be treated as an allegation.
Multi-Agency Investigation Results in Charges Against 6 for Drug Trafficking CrimesRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today that several individuals have been arrested and charged for their alleged roles in a criminal enterprise involving narcotics distribution, money laundering, and gun violence in furtherance of drug trafficking crimes.
In a recently unsealed indictment, Jordan J. Shanholtzer, aka “Two-3,” 33, formerly of Anchorage,; Matthew W. Moi, aka “Matt Matt,” 35, formerly of Anchorage; Kenneth A. Ford, aka “Keyes,” 29, of Anchorage; Myrick A. Elliott, 34, of Anchorage; Isaiah M. Roderick, aka “Izzy,” 21, of Anchorage; and Marvin Nelson, aka “Unc,” aka “Old School,” 55, of Itta Bena, Mississippi have been charged with a drug and money laundering conspiracy. Shanholtzer was also charged with directing a continuing criminal enterprise and Moi was charged with using a firearm to commit murder in furtherance of drug trafficking crimes and killing in furtherance of continuing criminal enterprise.
According to the indictment, from about January 2017 through October 2, 2019, Shanholtzer allegedly managed a continuing criminal enterprise that was responsible for distributing large amounts of heroin and methamphetamine in Alaska. According to the indictment, over the course of the conspiracy, Shanholtzer relocated from Anchorage to Arizona and later Florida, while continuing to direct the enterprise in Alaska. The indictment alleges that Moi was responsible for the operational management in Alaska. Shanholtzer is alleged to have directed members of the enterprise, including Nelson, to package and mail shipments of 3 and 10 kilograms of methamphetamine and or heroin from Los Angeles, California to Alaska. According to the indictment, Shanholtzer and Moi also worked with other conspirators to launder the proceeds of their drug sales, which amounted to hundreds of thousands of dollars.
The indictment also alleges in April 2019, Shanholtzer arranged for a package of heroin to be sent to the Anchorage residence of Navarrow Andrews. After Moi and other coconspirators spent several days attempting to recover the package without success, Shanholtzer and Moi concluded that Andrews had stolen the narcotics. The indictment alleges that on April 8, 2019, Moi murdered Andrews to further the purpose of the criminal enterprise. Moi then fled the state to avoid apprehension.
After fleeing Alaska, Moi continued to assist Shanholtzer with the direction and shipment of narcotics packages to Alaska. In September 2019, Shanholtzer and Moi directed a shipment of 5 kilograms of heroin for distribution in the Matanuska-Susitna Valley, which was intercepted by law enforcement. Shanholtzer, Moi, Ford, Elliott and Roderick were arrested and charged with a drug conspiracy in September and October 2019 in connection with that incident. Nelson was arrested in Itta Bena, Mississippi on September 24, 2020 following the return of the superseding indictment.
The investigation leading to the indictment in this case was conducted by the Drug Enforcement Administration (DEA), IRS Criminal Investigation and the U.S. Postal Inspection Service (USPIS). Investigative assistance was provided by the Anchorage Police Department (APD) and the Federal Bureau of Investigation (FBI). This case is being prosecuted by Assistant U.S. Attorneys James Klugman and Kelly Cavanaugh of the District of Alaska.
The charges in the indictments are merely allegations, and the defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Member of Navajo Nation pleads guilty to aggravated sexual abuse in Indian CountryRead the Press Release
ALBUQUERQUE – Derrick Mason, 24, of Fruitland, New Mexico, and an enrolled member of the Navajo Nation, pleaded guilty in federal court on Sept. 21 to an indictment charging him with aggravated sexual abuse, assault resulting in serious bodily injury, and aggravated burglary in Indian Country.
A grand jury previously returned an indictment against Mason on Jan. 10, 2019.
According to the plea agreement, Mason acknowledged that on the evening of Oct. 16, 2015, he went to the victim’s house in Nenahnezad, New Mexico, and turned off the circuit breakers, an electrical service box located outside of her home. When the victim stepped outside to check on the circuit breakers, Mason used the opportunity to enter her house, where he hid until she fell asleep. At about 1:00 a.m., Mason went to the victim’s bed, dragged her to the side of the bed, and sexually assaulted her twice. He punched the victim in the face several times and strangled her until she lost consciousness. As a result of Mason’s attack, the victim suffered serious bodily injury. The attack took place within the exterior boundaries of the Navajo Nation in San Juan County.
Mason is in custody, pending sentencing, which has yet to be scheduled. By the terms of the plea agreement, he faces 17 years in prison.
The Farmington office of the FBI, the Navajo Nation Criminal Investigations unit, and the Navajo Nation Police Department investigated this case. Assistant U.S. Attorney Raquel Ruiz-Velez is prosecuting the case.
Maryland man admits to firearms offenseRead the Press Release
MARTINSBURG, WEST VIRGINIA – Alieu Crayton, of Silver Spring, Maryland, has admitted to a firearms charge, U.S. Attorney Bill Powell announced.
Crayton, 21, pled guilty to one count of “Unlawful Possession of Firearms.” Crayton, a person prohibited from having firearms because of a prior conviction, admitted to having two pistols in October 2019 in Berkeley County.
Crayton faces up to 10 years of incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Lara Omps-Botteicher is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Manchester Man Pleads Guilty to Fentanyl TraffickingRead the Press Release
CONCORD - Christopher Juneau, 36, of Manchester, pleaded guilty in federal court to fentanyl trafficking, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Juneau was part of a drug trafficking organization that sold fentanyl and cocaine to customers in Manchester. In July 2019, a cooperating individual purchased fentanyl from Juneau. The investigation revealed that Juneau worked with another drug trafficker and had sold drugs as part of a drug trafficking organization on numerous occasions.
Juneau is scheduled to be sentenced on January 11, 2021.
“Manchester and communities throughout New Hampshire have suffered greatly from the scourge of fentanyl trafficking,” said U.S. Attorney Murray. “The distribution of this lethal drug undermines public health and safety throughout our state. In order to stop traffickers, we will closely coordinate with the FBI NH Safe Streets Gang Task Force and all of our law enforcement partners to bring the individuals responsible to justice.”
“Christopher Juneau is a drug trafficker who saw lives entangled with addiction as an endless source of cash, and today he’s finally taking responsibility for polluting Manchester, NH with fentanyl and cocaine,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “The FBI NH Safe Streets Gang Task Force will continue to work with our law enforcement partners to get drug dealers like him, and the organizations they work for, off our streets for good.”
This matter was investigated by the FBI NH Safe Streets Gang Task Force which is comprised of the Federal Bureau of Investigation, New Hampshire State Police, Dover Police Department, Portsmouth Police Department and Nashua Police Department. The Manchester Police Department provided valuable assistance as well. The case is being prosecuted by Assistant U.S. Attorney Georgiana L. MacDonald.
Agencies participating in this investigation are part of the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF was established in 1982 to conduct comprehensive, multilevel attacks on major drug trafficking and money laundering organizations and is the keystone of the Department of Justice’s drug reduction strategy. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking organizations, transnational criminal organizations, and money laundering organizations that present a significant threat to the public safety, economic, or national security of the United States.
###
List Brokerage Firm Pleads Guilty to Facilitating Elder Fraud SchemesRead the Press Release
Connecticut list brokerage firm Macromark Inc. pleaded guilty on Friday to knowingly providing lists of potential victims to fraudulent mass-mailing schemes, the Department of Justice announced. The fraudulent schemes tricked consumers into paying fees for falsely promised cash prizes and purportedly personalized “psychic” services. Thousands of consumers lost millions of dollars to the schemes.
A corporate representative for Macromark appeared before Judge Alvin W. Thompson of the U.S. District Court in Hartford, Connecticut, for arraignment and to enter a plea of guilty to an information charging the firm with conspiracy to commit mail and wire fraud.
The information alleges that Macromark provided list-brokerage services for more than 11 years to clients who were running mass-mailing fraud schemes. Macromark specifically helped fraudulent mass mailers both acquire lists of potential victims to defraud and sell their lists of victims to other mass mailers. Macromark executives and employees engaged in this conduct despite knowing that their clients were mailing hundreds of thousands of deceptive prize notifications that misled victims into believing that they would receive a cash prize or personalized services upon payment of a fee. The potential-victim lists that Macromark brokered were essential to its fraudulent mass-mailer clients, allowing them to more effectively reach consumers who were susceptible to their schemes. Many victims who lost money to the schemes were elderly and vulnerable. In pleading guilty, Macromark admitted that the lists it provided to fraudulent clients resulted in losses to victims of at least $9,500,000.
“Protecting seniors from fraud is a top priority of the Department of Justice,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “Working with our law enforcement partners, we will hold accountable companies like Macromark that help foreign and domestic criminals identify and scam elderly Americans.”
According to the information, Macromark facilitated fraud schemes from 2005 until September 2016, when Inspectors with the U.S. Postal Inspection Service executed search warrants on the company’s offices and the Civil Division’s Consumer Protection Branch obtained a federal court order enjoining the company from facilitating mass-mailing fraud. The court order resulted in a permanent injunction that permanently prohibited Macromark from dealing in certain promotions or solicitations that purport to offer prizes or services for a fee, including sweepstakes reports, wealth-building programs or psychics. Macromark was also required to hire a compliance officer, and to audit a sample of all list orders for five years.
“List brokers and service providers such as Macromark who facilitate these schemes are especially dangerous,” said Inspector in Charge Delany DeLeon-Colon of the U.S. Postal Inspection Service’s Criminal Investigations Group. “Data firms such as this have extraordinary access to consumer’s personal information, not just their mailing address. The sale and distribution of this data exponentially magnifies the scale and impact of these schemes. Postal Inspectors are proud of our work to stop the targeting of our most vulnerable Americans.”
Macromark’s plea follows a separate guilty plea by former Macromark Executive Vice President Steven Keats in July 2018 to conspiracy to commit mail and wire fraud while working at Macromark. Also, in March 2020, former Macromark Senior Vice President Norman Newman was indicted by a Connecticut Grand Jury for conspiracy to commit mail and wire fraud, along with fifteen counts of wire fraud. Newman is scheduled for trial on March 1, 2021. An indictment is an accusation by a federal grand jury and is not evidence of guilt. The defendant should be presumed innocent unless and until proven guilty.
Under the terms of Macromark’s guilty plea, the company would be sentenced to three years of probation, forfeiture and fines totaling $1,000,000, and be required to cooperate with any related government investigation or prosecution. The final sentence awaits a ruling from the federal court overseeing the case.
Trial Attorneys Alistair Reader and Ehren Reynolds of the Civil Division’s Consumer Protection Branch and Assistant U.S. Attorney Heather Cherry of the U.S. Attorney’s Office for the District of Connecticut are prosecuting the case. The United States Postal Inspection Service investigated the case.
Since President Trump signed the bipartisan Elder Abuse Prevention and Prosecution Act (EAPPA) into law, the Department of Justice has participated in hundreds of enforcement actions in criminal and civil cases that targeted or disproportionately affected seniors. In January 2020, the department designated “Preventing and Disrupting Transnational Elder Fraud” as an Agency Priority Goal, one of its top four priorities. In March 2020, the department announced the largest elder fraud enforcement action in American history, charging more than 400 defendants in a nationwide elder fraud sweep. The department has also conducted hundreds of trainings and outreach sessions across the country since the passage of the Act.
The department’s extensive efforts to combat elder fraud seek to halt the billions of dollars seniors lose each year to fraud schemes, including those perpetrated by transnational criminal organizations. The best method for prevention, however, is sharing information about the various types of elder fraud schemes with relatives, friends, neighbors, and other seniors who can use that information to protect themselves.
If you or someone you know is age 60 or older and has been a victim of financial fraud, help is standing by at the National Elder Fraud Hotline: 1-833-FRAUD-11 (1-833-372-8311). This U.S. Department of Justice hotline, managed by the Office for Victims of Crime, is staffed by experienced professionals who provide personalized support to callers by assessing the needs of the victim, and identifying relevant next steps. Case managers will identify appropriate reporting agencies, provide information to callers to assist them in reporting, connect callers directly with appropriate agencies, and provide resources and referrals, on a case-by-case basis. Reporting is the first step. Reporting can help authorities identify those who commit fraud and reporting certain financial losses due to fraud as soon as possible can increase the likelihood of recovering losses. The hotline is staffed 7 days a week from 6:00 a.m. to 11:00 p.m. eastern time. English, Spanish and other languages are available.
For more information about the Consumer Protection Branch and its enforcement efforts, visit its website at http://www.justice.gov/civil/consumer-protection-branch.
Lexington Man Sentenced to 240 Months for Large-Scale Drug TraffickingRead the Press Release
LEXINGTON, Ky. - A Lexington man, Guadalupe Ramos, 28, was sentenced in federal court on Monday, to 240 months in prison, by Chief U.S. District Judge Danny Reeves, for possession with intent to distribute 500 grams of more of methamphetamine, 40 grams or more of fentanyl, and marijuana.
According to his plea agreement, in November 2019, law enforcement agents identified Ramos as a drug trafficker distributing significant quantities of methamphetamine out of two residences in Lexington. On January 9, 2020, agents with DEA and ATF executed a search warrant on one of the residences, seizing 3.62 kilograms of methamphetamine, 12,500 fentanyl pills, approximately 50 pounds of marijuana, 156 grams of heroin, and a packing press. A search of the second residence revealed an additional 138 grams of methamphetamine, a .40 caliber revolver, a .38 caliber revolver, a rifle, scales, and marijuana.
Ramos pleaded guilty in May 2020.
“Fentanyl, heroin, and methamphetamine, are responsible for the majority of overdose deaths that occur across the Commonwealth, and the defendant possessed large quantities of drugs with the intent to distribute them” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “He also possessed a sizeable quantity of marijuana and multiple firearms. The cooperation of federal and state law enforcement stopped the defendant from further harming this community through distribution of these dangerous drugs. He will now face the deserved consequences of his actions.”
Under federal law, Ramos must serve 85 percent of his prison sentence. Upon his release, he will be under the supervision of the U.S. Probation Office for five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; and Jeffrey T. Scott, Special Agent in Charge, DEA, Louisville Field Division, jointly made the announcement.
The investigation was directed by ATF and DEA. The United States was represented by Assistant U.S. Attorney Cynthia Rieker.
This case was prosecuted as part of Operation Synthetic Opioid Surge (S.O.S.), a focused enforcement effort that seeks to reduce the supply of deadly synthetic opioids in high impact areas.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Robert Duncan Jr., coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
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. Click here for more information about Project Guardian.
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.
— END —
Lexington Man Sentenced to 120 Months for Possession of Firearm by Convicted FelonRead the Press Release
LEXINGTON, KY- A Lexington man, David Lynn Carlin, 41, was sentenced in federal court on Monday to 120 months in prison, by Chief U.S. District Judge Danny Reeves, for possession of a firearm by a convicted felon.
According to his plea agreement, on August 7, 2019, law enforcement and EMTs responded to a report of an unconscious person, later identified as Carlin. Officers and emergency personnel were able to revive Carlin, and during that response observed multiple firearms. Later that day, a search warrant was obtained and officers returned to the residence where Carlin was uncooperative and barricaded himself in the residence. Upon Carlin’s arrest, officers found six firearms in the residence and two additional firearms in a vehicle. Carlin admitted that he was a convicted felon and was not permitted to own a firearm.
Carlin was previously convicted of Trafficking a Controlled Substance First Degree in Fayette Circuit Court in March 2013. He was also previously convicted of Assault Second Degree by Fayette Circuit Court in February 1999.
Carlin pleaded guilty in January 2020.
Under federal law, Carlin must serve 85 percent of his prison sentence. Upon his release, he will be under the supervision of the U.S. Probation Office for three years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Shawn Morrow, Special Agent in Charge, ATF, Louisville Field Division; and Chief Lawrence Weathers, Lexington Police Department, jointly made the announcement.
The investigation was directed by ATF and the Lexington Police Department. The United States was represented by Assistant U.S. Attorney Cynthia Rieker.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Robert Duncan Jr., coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
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. Click here for more information about Project Guardian.
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.
— END —
Lakeway Regional Medical Center LLC and Co-Defendants Agree to Pay over $15.3 Million to Resolve Allegations They Fraudulently Obtained Government-Insured Loan and Misused Loan FundsRead the Press Release
The Department of Justice announced today that Lakeway Regional Medical Center LLC (LRMC) agreed to pay $13,580,822.79, and Surgical Development Partners LLC, Surgical Development Partners of Austin Enterprises LLC, G. Edward Alexander, Frank Sossi, and John Prater collectively agreed to pay $1.8 million, to resolve allegations they violated the False Claims Act and other statutes in connection with the development of Lakeway Regional Medical Center, a hospital in Lakeway, Texas. LRMC was formed to develop and operate the hospital. The other settling parties assisted in the development of the hospital and the management and operations of LRMC.
The Federal Housing Administration (FHA), which is part of the U.S. Department of Housing and Urban Development (HUD), insures loans used to build hospitals in underserved areas. The settlement announced today resolves allegations that, when applying for a mortgage loan insured by the FHA to fund construction of the hospital, the defendants made numerous false statements and material omissions in order to overstate physician support for the hospital and understate other key credit risks, thereby obtaining the loan under false pretenses. In particular, the United States alleged that the defendants delayed refunds to investors who had cancelled their investments to make it appear as if the project satisfied mortgage covenants regarding the cash on hand required to close the loan. The settlement also resolves claims that, after obtaining the loan for LRMC, the defendants distributed project funds in contravention of FHA’s requirements. HUD purchased the mortgage note, and suffered a loss, when LRMC defaulted.
“Individuals and entities that benefit from FHA insurance must be truthful with the government and honor their commitments,” said Acting Assistant Attorney General Jeffrey Bossert Clark of the Department of Justice’s Civil Division. “This settlement demonstrates the department’s resolve to hold accountable borrowers who subvert FHA’s important efforts to support hospitals in underserved communities.”
“My office will continue to vigorously enforce the False Claims Act, which protects taxpayers and helps ensure that federal programs operate as Congress intended,” said U.S. Attorney John Bash of the Western District of Texas. “I am proud of the work that my team did in this important case.”
“This case demonstrates HUD’s commitment to holding accountable FHA participants that commit fraud against HUD’s healthcare programs,” said HUD’s Federal Housing Commissioner Dana Wade. HUD’s Principal Deputy General Counsel Michael B. Williams added, “We will continue to collaborate with the Department of Justice to enforce HUD’s rules and protect FHA programs and their beneficiaries.”
“Misconduct in FHA’s hospital loan insurance program ultimately harms underserved communities and vulnerable populations who need access to critical medical services,” said Rae Oliver Davis, HUD Inspector General, U.S. Department of Housing and Urban Development. “Today's settlement is the latest example and should serve as a stark reminder that HUD OIG, in conjunction with our law enforcement partners, will vigorously pursue any attempt to undermine the integrity of FHA insurance programs.”
This matter was investigated by the Commercial Litigation Branch of the Department of Justice’s Civil Division, the U.S. Attorney’s Office for the Western District of Texas, HUD, and the HUD Office of Inspector General. The lawsuit resolved by this settlement is captioned United States v. Lakeway Regional Medical Center, LLC, Case No. A-19-CV-945 (W.D. Tex.). The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Lakeway Regional Medical Center Agrees to Pay more than $1.1 Million to Settle Civil False Claims Act AllegationsRead the Press Release
U.S. Attorney John F. Bash of the Western District of Texas announced today that Lakeway Regional Medical Center, LLC (LRMC) has agreed to pay the United States and the State of Texas $1,119,177.21 to resolve allegations LRMC submitted false claims to the Medicare and Medicaid programs.
LRMC developed and operated a hospital in Lakeway, TX. The settlement resolves allegations that LRMC induced certain physicians to refer patients to the hospital by offering them a low-risk, high-reward investment in a joint venture formed to purchase and then lease the hospital back to LRMC. The United States contends that claims for reimbursement submitted by LRMC to the Medicare and Medicaid programs between March 2, 2015, and August 31, 2016, based on these referrals were unlawful under the federal Anti-Kickback Statute.
The allegations in this case were initially brought by Robert Van Boven, M.D, and Sharon Van Boven in a lawsuit filed under the qui tam, or whistleblower, provisions of the False Claims Act, which permit private parties to sue on behalf of the government for false claims, and to receive a share of any recovery. The Van Bovens’ qui tam suit remains under seal, subject to an order of the Court permitting the United States to disclose this settlement.
Assistant U.S. Attorney Thomas Parnham and Special Assistant U.S. Attorney Susan Strawn handled the matter for the Western District of Texas. U.S. Attorney Bash also thanked the Department of Health and Human Services Office of Inspector General and the Commercial Litigation Branch of the Department of Justice’s Civil Division for their assistance.
The claims resolved by the settlement are allegations only, and there has been no determination of liability.
Key defendant in Operation Snowplow drug trafficking investigation sentenced to two decades in federal prisonRead the Press Release
BRUNSWICK, GA: A Port Wentworth man who laundered drug proceeds and helped distribute significant amounts of cocaine for a coastal Georgia drug trafficking organization has been sentenced to 20 years in federal prison.
Allen Grady, 43, was sentenced by U.S. District Court Judge Lisa Godbey Wood to 240 months in prison – the statutory maximum – after pleading guilty to Conspiracy to Commit Money Laundering, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. After completion of his prison term, Grady will be required to serve three years of supervised release.
There is no parole in the federal system.
“A key part of any drug trafficking organization is its ability to move and hide the ill-gotten proceeds of their deadly trade, and Allen Grady played this role for his fellow criminals,” said U.S. Attorney Christine. “With a long stint in prison like his poison-pushing partners, Grady at last will make the community safer by no longer being a part of it.”
With the March 2020 apprehension of Omar Griffin, 41, of Pooler, Ga., only two members of the alleged conspiracy are still being sought: Kia Hickman, 49, of Savannah, and Jamaal Singleton, 42, of Savannah. Individuals with information on their whereabouts can anonymously contact the Chatham-Savannah Counter Narcotics Team (CNT) at 912-652-3900, or Savannah Crime Stoppers at 912-234-2020.
The other 11 members of the conspiracy previously were sentenced to federal prison terms of up to 132 months.
Operation Snowplow was the largest single seizure of cocaine to date by CNT. According to court documents and testimony, Grady, who has three previous convictions on state charges of drug trafficking, laundered drug proceeds on behalf of the drug-trafficking organization, and participated in receiving and distributing kilogram-quantities of cocaine and other drugs from Texas and California in February and March 2018. The drugs were packaged in children’s toys and DVD players, concealed in cargo vans and truck trailers for shipment to Savannah, and distributed to mid-level dealers from several Savannah-area residences.
On March 5, 2018, law enforcement intercepted a shipment of 25 kilograms of cocaine that had been driven from Texas to a hotel in Richmond Hill, Ga., concealed inside a cargo trailer. Officers also seized more than $387,000 in cash that had been exchanged for the cocaine. After interdicting the drugs, law enforcement executed a number of search and arrest warrants. In total in this investigation, law enforcement seized approximately 35 kilograms of cocaine, more than 30 pounds of marijuana, approximately $900,000 in cash, nearly two dozen firearms (including semi-automatic rifles), and other narcotics.
“The individuals who move and hide the proceeds of illegal activity are just as much a danger to our community as the drug traffickers they assist. CNT continues to vigorously investigate all members of drug trafficking organizations in order to keep our community safe,” said CNT Interim Director Mike Izzo. “The success of this long-term narcotics and financial crimes investigation demonstrates the strength of the relationships between CNT and our local, state, and federal partners.”
Robert J. Murphy, Special Agent in Charge of the Drug Enforcement Administration (DEA) Atlanta Division stated, “DEA places the highest priority of not only removing dangerous drugs from the street, but also on seizing the ill-gotten gains of illegal drug trafficking. DEA’s intent clearly is to put drug traffickers out of business by using every available resource.”
Operation Snowplow was investigated under the Organized Crime Drug Enforcement Task Forces (OCDETF), the premier U.S. Department of Justice program to dismantle multi-jurisdictional drug trafficking organizations, and conducted by the Drug Enforcement Administration, the U.S. Postal Inspection Service, the Chatham-Savannah Counter Narcotics Team, Savannah Police Department, Chatham County Police Department, and the Chatham County Sheriff’s Office K9 Unit and the Chatham County Aviation Unit, and prosecuted for the United States by the U.S. Attorney’s Office for the Southern District of Georgia.
Keene Man Convicted of Extortion and Threat OffensesRead the Press Release
CONCORD – Christopher C. Cantwell, 39, of Keene, was found guilty by a jury in federal court of extortion and threat charges, United States Attorney Scott W. Murray announced today.
During four days of trial testimony, the jury was presented with evidence that Cantwell maintained an active online presence, including operating a website and an internet call-in program. Evidence at trial showed that Cantwell believed that members of an online group called the “Bowl Patrol” had been harassing him online. Cantwell contacted the victim in this case seeking to obtain identifying information about the leader of the Bowl Patrol, an individual who used the name “Vic Mackey.”
When the victim did not disclose the information Cantwell sought, on June 16, 2019, Cantwell sent an electronic message through the Telegram messaging application, stating, “So if you don’t want me to come and f*ck your wife in front of your kids, then you should make yourself scarce[.] Give me Vic, it’s your only out.”
Between June 15, 2019, and June 17, 2019, Cantwell also sent a series of messages to the victim in which he threatened to injure the victim’s reputation by posting identifying information about the victim online (commonly referred to as “doxing”) and reporting the victim to child protection authorities if he did not receive information about “Vic Mackey.” Evidence presented at trial showed that Cantwell did “dox” the victim on June 17, 2019, by posting identifying information and photographs related to the victim and the victim’s family online. Cantwell also called child protection authorities in Missouri and made a report about the victim.
Cantwell was convicted of one count of transmitting extortionate communications and one count of threatening to injure property or reputation. The jury found Cantwell not guilty of cyberstalking. Cantwell, who has been in custody since his arrest on January 23, 2020, is scheduled to be sentenced on January 4, 2021.
The jury began deliberating on Friday afternoon and returned its verdict this morning.
“Sending threatening and extortionate messages over the internet can instill fear and emotional damage,” said U.S. Attorney Murray. “I am grateful to the jury for weighing the evidence in this case and finding that this defendant’s disturbing conduct was unlawful. I also want to express my appreciation to the FBI and our other law enforcement partners for their work investigating this case. This conviction should send a message to all those who use the internet as a means to threaten others that their unlawful conduct will not be tolerated.”
“Safeguarding the civil liberties every American is entitled to, regardless of their beliefs, is fundamental to the FBI’s mission. But when freedom of speech is weaponized, and threats are made, a line must be drawn where individuals like Christopher Cantwell will not be allowed to cross,” said Joseph R. Bonavolonta, Special Agent in Charge of the FBI Boston Division. “We thank the jury for its prudent verdicts, and for recognizing that it’s also our sworn responsibility to protect every citizen from harm.”
This trial was the second federal jury trial to take place in the District of New Hampshire since the pandemic caused a temporary delay in federal court proceedings in New Hampshire. The court conducted the trial using a variety of health and safety precautions. For example, all participants in the trial wore masks and maintained social distancing.
This case was investigated by the Federal Bureau of Investigation with assistance from the New Hampshire State Police, Keene Police Department, and the Manchester Police Department. The case is being prosecuted by Assistant U.S. Attorneys John S. Davis and Anna Krasinski.
###
Justice Department Reaches Settlement with San Antonio Housing Providers for Charging Unlawful Lease Termination Fees to ServicemembersRead the Press Release
The Justice Department today announced that it has reached an agreement with the former owners of two apartment complexes in San Antonio, Texas, to resolve allegations that they violated the Servicemembers Civil Relief Act (SCRA) by imposing unlawful lease termination charges on 41 servicemembers and by refusing to allow four other servicemembers to terminate their leases early.
The former owners — Western Rim Investors 2011-4, L.P. and Western Rim Investors 2011-3, L.P. — owned the Estates at Briggs Ranch and the Mansions at Briggs Ranch from Dec. 1, 2011 to March 31, 2020. Both properties are located within 10 miles of Joint Base San Antonio-Lackland.
Under the proposed consent order, the owners must pay over $71,000 to compensate servicemembers and a $64,715 civil penalty to the U.S. Treasury. The consent order, which is subject to court approval, resolves a suit filed today by the Department of Justice in the U.S. District Court for the Western District of Texas.
“Our men and women in uniform risk their lives and liberty to preserve our freedom, and we enjoy liberty and security because of their sacrifices,” said Assistant Attorney General Eric Dreiband of the Civil Right Division. “These patriots should not be charged a financial penalty when an unexpected reassignment or rapid deployment requires them to move. This settlement sends a warning to apartment associations and landlords that they cannot avoid their obligations under the Servicemembers Civil Relief Act simply by pointing to fine print in boilerplate lease agreements. The department of Justice will not accept these so-called ‘Waiver Addendums’ as valid waivers of servicemembers’ rights under the Servicemembers Civil Relief Act.”
“The Western District of Texas is proud to be home to one of the largest concentrations of military members and their families in the country,” said U.S. Attorney John Bash for the Western District of Texas. “This office takes its responsibility to protect and enforce the statutory rights of these men and women very seriously, so they can focus on their service to our nation.”
The SCRA allows servicemembers to terminate a lease early after entering military service or receiving qualifying military orders. Under the law, qualifying orders include orders for a permanent change of station, orders for a deployment of at least 90 days, and separation or retirement orders. If a servicemember terminates a lease under the SCRA, the law prohibits the landlord from imposing any early termination charges.
The suit alleges that the servicemember-tenants at the Estates and the Mansions at Briggs Ranch who terminated their leases pursuant to the SCRA were required to pay back rent concessions or discounts that they had received during their tenancies. These so-called “concession chargeback” fees ranged from $116 to $1,012 per servicemember. The department’s suit also alleges that the owners wrongfully denied lease termination requests made by four other servicemembers.
The former apartment owners claim that they relied on lease contracts and other forms provided by the Texas Apartment Association. One of those forms was a lease addendum that claimed to waive a tenant’s rights under the SCRA. The department alleges that the waiver addendum used by the owners was invalid, because it was not executed as an instrument separate from the lease, was expressly incorporated into the lease, was signed at the same time as the lease and was not supported by any additional benefit to the servicemember.
The department’s enforcement of the SCRA is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section and U.S. Attorney’s Offices throughout the country. Since 2011, the department has obtained over $474 million in monetary relief for over 120,000 servicemembers through its enforcement of the SCRA. For more information about the department’s SCRA enforcement efforts, please visit www.servicemembers.gov.
Servicemembers and their dependents who believe that their rights under SCRA have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at legalassistance.law.af.mil/.
Justice Department Files Suit Against Dallas, Texas, Towing Company for Unlawfully Selling Servicemember-Owned VehiclesRead the Press Release
The Justice Department today filed a lawsuit in the Northern District of Texas alleging that Dallas-based towing company United Tows LLC violated the Servicemembers Civil Relief Act (SCRA), by unlawfully auctioning off vehicles owned by SCRA-protected servicemembers.
The SCRA, which provides a wide variety of financial protections to members of the military, prohibits towing companies from auctioning off servicemembers’ vehicles or disposing of their personal property without a court order.
“When members of our military answer the call to serve our country, they should be able to do so without having to worry that their vehicles or property will be auctioned off while they are on duty,” said Assistant Attorney General Eric Dreiband of the Justice Department’s Civil Rights Division. “The department is filing this lawsuit to ensure that United Tows provides just compensation to the servicemembers who were harmed and to ensure that the company does not continue to engage in these unlawful sales in the future.”
“The men and women who serve in the armed forces make immense personal sacrifices to keep our country safe,” said U.S. Attorney Erin Nealy Cox for the Northern District of Texas. “This lawsuit is a reminder that we will aggressively hold those institutions and businesses accountable who are required to comply with the Servicemembers Civil Relief Act. Our military deserves no less.”
The lawsuit alleges that United Tows auctioned at least five vehicles in violation of the SCRA, including a Toyota Corolla that was towed while its owner was completing basic training in San Antonio, Texas. When the servicemember learned that his vehicle had been towed, he contacted United Tows and told the owner of the company that he was on active duty and that, due to military training requirements, he was unable to claim the vehicle at that time. The owner of United Tows responded by telling the servicemember that she did not believe that he was in the military. United Tows ultimately sold the vehicle without a court order while the servicemember was still completing his training requirements.
The department’s complaint also alleges that United Tows does not have any written policies regarding SCRA compliance, and does not take any steps to determine whether the motor vehicles it auctions, sells or disposes of are owned by servicemembers.
In addition to seeking damages for the affected servicemembers, the Justice Department is asking the district court to prohibit United Tows from illegally auctioning off servicemembers’ vehicles in the future in violation of the SCRA. The lawsuit also seeks civil penalties against United Tows.
This lawsuit resulted from a referral to the Justice Department from the U.S. Air Force. Servicemembers and their dependents who believe their SCRA rights have been violated should contact the nearest Armed Forces Legal Assistance Program Office. Office locations may be found at http://legalassistance.law.af.mil/. The department’s enforcement of the SCRA is conducted by the Civil Rights Division’s Housing and Civil Enforcement Section and U.S. Attorney’s Offices throughout the country. Since 2011, the department has obtained over $474 million in monetary relief for over 120,000 servicemembers through its enforcement of the SCRA. Additional information on the Justice Department’s enforcement of the SCRA and other laws protecting servicemembers is available at www.servicemembers.gov.
Joseph C. Gonzales Sentenced for Conspiracy to Distribute Methamphetamine and Possession of A FirearmRead the Press Release
KNOXVILLE, Tenn. – On September 23, 2020, Joseph C. Gonzales, 40, currently of Tazewell, was sentenced to 16 years in prison for participation in a drug dealing conspiracy by the Honorable Thomas A. Varlan, in the United States District Court for the Eastern District of Tennessee at Knoxville.
Gonzales pleaded guilty to an indictment charging him with one count of conspiracy to distribute 50 grams or more of methamphetamine in violation of 21 U.S.C. § 846 and 841(a)(1); and one count of possession of a firearm in furtherance of a drug trafficking crime, in violation of 18 U.S.C. 924(c). Gonzales was sentenced to 192 months in prison to be followed by 5 years’ supervised release.
Gonzales was part of a large-scale drug trafficking organization operating primarily in Claiborne and Knox counties. The investigation determined that individuals were obtaining kilogram quantities of methamphetamine from unknown individuals and then redistributing that methamphetamine in the Knox and Claiborne counties of Tennessee. Gonzales admitted to obtaining approximately 6 kilograms of methamphetamine and to purchasing a firearm to protect those drugs in the summer of 2018. A co-conspirator, an inmate incarcerated in the Tennessee Department of Corrections, using a contraband cell phone, coordinated the delivery of the 6 kilograms of methamphetamine recovered from Gonzales. In total, 21 individuals were indicted in connection with this investigation, and all have now entered guilty pleas and been sentenced. The investigation, which began in July 2017, resulted in the seizure of more than 6.5 kilograms of actual methamphetamine, numerous firearms, and U.S. currency.
The criminal indictment resulted from an investigation by the Tennessee Bureau of Investigation, the Claiborne County Sheriff’s Office, the 8th Judicial District Drug Task Force, the Knoxville Police Department, the Tazewell Police Department, the Tennessee Highway Patrol, and the Drug Enforcement Administration.
Assistant United States Attorney Caryn L. Hebets represented the United States.
The investigation is a result of the Department of Justice’s Organized Crime and Drug Enforcement Task Force (OCDETF) program, the centerpiece of the Department of Justice’s drug supply reduction strategy. OCDETF was established in 1982 to conduct comprehensive, multi-level attacks on major drug trafficking and money laundering organizations. Today, OCDETF combines the resources and expertise of its member federal agencies in cooperation with state and local law enforcement. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
###
Jamestown Man Pleads Guilty to Drug ChargeRead 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 Loegan Morrison-Samples, 24, of Jamestown, NY, pleaded guilty before U.S. District Judge Richard J. Arcara to maintaining a drug-involved premises. The charge carries a maximum penalty of 20 years in prison, and a $500,000 fine.
Assistant U.S. Attorney Joshua A. Violanti, who is handling the case, stated that on April 27, 2019, members of the Jamestown Metro Drug Task Force (JMDTF) executed a New York State search warrant at the defendant’s residence on Partridge Street in Jamestown. Investigators recovered methamphetamine and other narcotics, including small amounts of cocaine and marijuana, throughout the residence. In addition, a 12 gauge shotgun, a pink stun gun, and other drug paraphernalia were also recovered. During the search, Samples and co-defendant Jacob Komenda were present.
On September 5, 2019, investigators executed another search warrant at the new residence Samples shared with Komenda in Jamestown. $3,182 in United States currency, methamphetamine, and various drug paraphernalia was recovered from the residence.
Komenda was previously convicted of conspiring to possess with intent to distribute, and distributing, five grams or more of methamphetamine, and is awaiting sentencing.
The plea is the result of an investigation by the Jamestown Police Department, under the direction of Acting Chief Timothy Jackson; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; 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 January 28, 2021, at 12:30 p.m. before Judge Arcara.
# # # #
Indictment for Federal Firearms Offense Relating to Shooting at Texas Falls Recreation AreaRead the Press Release
The Office of the United States Attorney for the District of Vermont announced that Brian Warner, 47, of Addison County, Vermont was arrested on September 24, 2020. A federal grand jury indicted Warner for possessing a firearm having been previously convicted of a felony.
According to court records, the charge in the Indictment relates to Warner’s possession of a firearm at the Texas Falls Recreation Area in Hancock, Vermont, on or about August 1, 2020. Warner shot his girlfriend in the leg with the firearm, a 9mm semiautomatic pistol with a high-capacity magazine. Law enforcement learned of Warner’s unlawful possession of the pistol after his girlfriend sought medical treatment for her gunshot wound. Warner was at the time prohibited from possessing firearms under federal law due to his felony record.
Warner pleaded not guilty to the Indictment at his arraignment before Chief U.S. District Judge Geoffrey W. Crawford on September 25, 2020. Warner remains in custody pending a detention hearing on September 30, 2020.
If convicted, Warner faces a maximum of ten years of imprisonment and a $250,000 fine. The actual sentence however, would be determined by the Court with guidance from the advisory Federal Sentencing Guidelines. The United States Attorney emphasizes that the charge in the indictment is merely an accusation, and that the defendant is presumed innocent unless and until he is proven guilty.
The United States is represented in this matter by Assistant U.S. Attorney Spencer Willig. The defendant is represented by the Federal Public Defender.
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 enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting firearm use and possession crimes; prioritizes prosecuting persons who make false statements when attempting to obtain firearms; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives concerning persons who attempt to obtain firearms illegally; coordinates responses to persons prevented from obtaining firearms for mental health reasons; and ensures the use of modern intelligence tools and technology to focus on the criminals posing the greatest threat to our communities.
For more information, please see https://www.justice.gov/projectguardian.
Huntsville Man Sentenced to More Than 17 Years in PrisonRead the Press Release
HUNTSVILLE, Ala. – A federal judge today sentenced a Huntsville man on gun and drug charges, announced U.S. Attorney Prim F. Escalona and Bureau of Alcohol, Tobacco, Firearms, and Explosives Acting Special Agent in Charge Toby Taylor.
U.S. District Judge Annemarie C. Axon sentenced STEVEN LEWIS EMERY, 42, to 211 months in prison on two-counts of being a felon in possession of a firearm, one-count of possession of a firearm in furtherance of a drug crime, and one-count of possession with intent to distribute 50 grams or more of methamphetamine between January 2018 and July 2019. Emery pled guilty to these charges in March.
“We will not tolerate felons who possess guns and peddle drugs in our communities,” Escalona said. “Lengthy sentences for those who threaten violence in our communities will have a lasting impact of public safety in Alabama.”
ATF Acting Special Agent in Charge, Toby Taylor remarked ” ATF’s Crime Gun Intelligence partnerships as part of Project Guardian focuses on the devastating impact of firearms violence and works with the entire community to provide a safe environment.”
ATF and DEA investigated the case along with the Madison County Sheriff’s Department, and United States Marshal Service Gulf Coast Regional Fugitive Task Force. Assistant U.S. Attorney Robert J. Becher, Sr. prosecuted the case.
Hills Man Sentenced to 22 years in Prison for Child Sex Trafficking, Methamphetamine, and Firearms OffensesRead the Press Release
DES MOINES, Iowa – On September 24, 2020, Kendall Andrew Streb, age 53, of Hills, Iowa, was sentenced to a total of 268 months in prison after being found guilty by a jury of three counts of child sex trafficking, two counts of distributing methamphetamine to children, one count of possession with intent to distribute methamphetamine, one count of being an unlawful user in possession of a firearm, and one count of possessing a firearm in furtherance of a drug trafficking crime. The case was presided over by United States District Court Judge Stephanie M. Rose.
During trial, the government presented evidence that Streb trafficked three teenagers in Iowa City, Coralville, and Cedar Rapids, primarily from November 2018 through February 2019. Streb solicited the three minors, aged 15 through 17 years old, by paying them in cash and methamphetamine in exchange for sex acts. Streb, at times, transported the teenagers to hotel rooms where he engaged in commercial sex acts with them. The evidence at trial showed that Streb knew one or more of the girls was under 18 years old, and he was otherwise was in reckless disregard of the fact that they were under the age of 18. Sex trafficking of a child is punishable by a minimum of ten years in prison, and up to life imprisonment.
United States Attorney Marc Krickbaum stated, “Kendall Streb will spend the next two decades in federal prison because he knowingly exploited teenage girls by paying them for sex. This sentence should serve as a wake-up call to anyone who believes he can escape serious criminal consequences if he is ‘just a john.’ We will continue to aggressively prosecute both buyers and sellers who sexually abuse children.”
Human trafficking is defined as a crime involving the exploitation of youth under the age of 18 for commercial sex; the exploitation of adults for commercial sex through the use of force, fraud, or coercion; and the exploitation of any individual for compelled labor. Human trafficking does not require the transportation of individuals across state lines, or that someone is physically restrained. Signs that a person is being trafficked can include working excessively long hours, unexplained gifts, physical injury, substance abuse issues, running away from home, isolation from others, or having a person in their life controlling them or monitoring them closely.
Anyone who suspects human trafficking is occurring, be it a minor engaging in paid sex acts, or anyone being coerced into prostitution or labor, is urged to call the National Human Trafficking Hotline at 1-888-373-7888.
This matter was investigated by the Iowa City Police Department, with assistance from the Johnson County Sheriff’s Office, Iowa Division of Criminal Investigation, and the Coralville Police Department. The case was prosecuted by the United States Attorney’s Office for the Southern District of Iowa.
Heroin Trafficker Sentenced in Federal CourtRead the Press Release
LAFAYETTE, La. – Acting United States Attorney Alexander C. Van Hook announced that Billy Louviere, 44, of Lafayette, Louisiana, was sentenced today. United States District Judge Michael J. Juneau sentenced Louviere to 55 months (4 years, 7 months) in prison followed by 3 years of supervised release for possession of heroin with intent to distribute. Louviere pled guilty to the charge on January 7, 2020.
Law enforcement agents received information that Louviere and other co-conspirators were buying and selling heroin in the Lafayette area. Agents obtained authorization to intercept wire and electronic communications for a cell phone utilized by a known heroin dealer in Lafayette. Beginning on January 29, 2019 and continuing thereafter, law enforcement agents intercepted communications between Louviere and other co-conspirators regarding transactions wherein a co-conspirator provided a supply of heroin to Louviere nearly every day. Louviere would use some of the heroin but would also redistribute the heroin to other people for profit. Louviere was supplied approximately 3.5 grams of heroin per transaction.
On February 22, 2019, law enforcement agents intercepted a communication between Louviere and the heroin dealer and afterwards, observed Louviere have a brief meeting with the dealer. Later, Lafayette Police Department officers stopped the vehicle Louviere was driving for a traffic violation. The Lafayette Police Department K-9 officer conducted an open-air sniff of the vehicle and alerted to narcotics in the vehicle. Officers searched the vehicle and found a scale, baggies, and a burnt spoon. Louviere admitted to purchasing the heroin earlier that day.
The FBI and Lafayette Police Department investigated the case. Assistant U.S. Attorney Robert C. Abendroth prosecuted the case.
# # #
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Hazleton Man Sentenced to 11 Months’ Imprisonment for Fraud and Naturalization OffensesRead the Press Release
SCRANTON – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on September 24, 2020, Lucas Hernandez-Torres, age 48, of Hazleton, Pennsylvania, was sentenced to 11 months’ imprisonment by United States District Court Judge Robert D. Mariani, for defrauding the United States, and for the unlawful procurement of naturalization.
According to United States Attorney David J. Freed, Hernandez-Torres was convicted of defrauding the IRS by allowing other conspirators to claim his dependents as their own, thereby incurring federal tax credits and refunds. Hernandez-Torres received kickbacks in return, and also made false claims in his personal tax returns for wages that he had not earned, thus accruing additional tax credits. The offenses occurred for tax years 2010 through 2014.
Hernandez-Torres, a Mexican national, also was convicted of making false statements on a naturalization application. He faces deportation after the conclusion of his sentence of imprisonment. As part of the sentence, Judge Mariani ordered Hernandez-Torres to pay $56,395 in restitution to the IRS.
Hernandez-Torres’s wife, Leticia Salazar, previously was convicted of passport fraud, and deported to Mexico after serving approximately six months in prison. Salazar had submitted a fraudulent application for a United States passport in May 2008. In the ultimately unsuccessful application, Corona-Salazar used a United States citizen’s identity as her own. Corona-Salazar was deported before charges were filed in 2015, but identified and re-arrested in Hazleton, Pennsylvania, in May 2018, having re-entered the United States at an unknown time and place.
The matter was investigated by the Internal Revenue Service and by Homeland Security Investigations. The case was prosecuted by Assistant United States Attorney Phillip J. Caraballo.
# # #
Harrison County woman admits to methamphetamine and heroin distributionRead the Press Release
CLARKSBURG, WEST VIRGINIA – Stephanie Cottrill, of Shinnston, West Virginia, has admitted to methamphetamine and heroin distribution, U.S. Attorney Bill Powell announced.
Cottrill, age 37, pled guilty to one count of “Conspiracy to Possess with Intent to Distribute and Distribute Methamphetamine and Heroin.” Cottrill admitted to working with others to distribute methamphetamine and heroin from November 2019 to January 2020 in Ritchie County.Cottrill faces up to 20 years incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Andrew R. Cogar is prosecuting the case on behalf of the government. Drug Enforcement Administration and the Ritchie County Sheriff’s Office investigated.
U.S. Magistrate Judge Michael John Aloi presided.
Harrisburg Man Sentenced to 40 Years’ Imprisonment for Drug Trafficking and Firearms ChargesRead the Press Release
HARRISBURG – The U.S. Attorney’s Office for the Middle District of Pennsylvania announced that on September 16, 2020, Maurice Lackey, age 40, of Harrisburg, Pennsylvania, was sentenced to 40 years’ imprisonment for drug trafficking and firearms charges. Lackey was also sentenced to 46 months’ imprisonment to be served concurrent to his 40-year sentence, for violating the terms of his supervised release.
According to United States Attorney David J. Freed, Lackey was arrested by the Harrisburg Bureau of Police on June 18, 2017, after two firearms and approximately 167 baggies of crack cocaine were found in his vehicle during a traffic stop. One of the firearms was loaded at the time of his arrest and both firearms had previously been reported as stolen. In 2003, Lackey had been convicted of possession with intent to distribute more than 5 grams of crack cocaine and possession of a firearm in furtherance of drug trafficking. Lackey was sentenced to 15 years’ imprisonment for those offenses, and was released from prison less than eight months prior to his arrest on June 18, 2017. On December 5, 2019, Lackey was convicted by a jury of possession with intent to distribute crack cocaine, possession of a firearm in furtherance of drug trafficking, and possession of a firearm as a felon and armed career criminal.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Harrisburg Police Department. Assistant U.S. Attorney Scott Ford prosecuted the case.
This case is also part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local and tribal enforcement and the local community to develop effective, locally-based strategies to reduce crime.
# # #
Gang Member Headed for Federal PrisonRead the Press Release
KANSAS CITY, KAN. – A member of a Traviesos street gang in Kansas City was sentenced today to 27 months in federal prison, followed by 3 years of supervised release, U.S. Attorney Stephen McAllister said.
Cristiane Maese-Salano, 24, Kansas City, Kan., pleaded guilty to one count of unlawful possession of ammunition by a felon. The Kansas City, Kan., Police department arrested Maese-Salano when he drove an armed juvenile to a McDonald’s to sell some marijuana. The juvenile fled on foot and was found in a dumpster with a .45 caliber handgun. Maese-Solano remained in the car and was arrested with a 14-round magazine that fit the juvenile’s gun.
The defendant’s criminal history shows that he has been arrested repeatedly since he joined the Traviesos gang when he was 12. He was twice shot, once at age 19 and again at age 22. He has a scalp tattoo identifying him as a “Traviesos gangster.”
McAllister commended the Kansas City, Kansas, Police Department, the FBI, and Assistant U.S. Attorneys Trent Krug and Terra Morehead for their work on the case.
Fugitive Charged in Montrose Drug Conspiracy Found and Arrested in MexicoRead the Press Release
DENVER – United States Attorney Jason R. Dunn announced that fugitive Omar Briceno-Quijano was found by the U.S. Marshals in Los Mochis, a city in the State of Sinaloa in the Republic of Mexico. In January 2020, Briceno-Quijano was charged with 12 other individuals with conspiracy to distribute methamphetamine and heroin. The day before law enforcement made arrests in and around Montrose, Briceno-Quijano left Colorado.
After about eight months on the run, Briceno-Quijano was found in Mexico and then, on September 23, 2020, flown on a commercial flight to Houston, where he made his initial appearance in this case. He was then remanded into custody and ordered to be returned to Colorado where proceedings will continue.
“As the old saying goes, the long arm of the law will eventually find you if you are a fugitive on the run,” said U.S. Attorney Dunn. “Thanks to the great work of the United States Marshal Service, we will find them even if they try and hide in another country.”
This investigation was conducted by the Denver Division of the DEA, the Montrose County Sheriff’s Office, and the Montrose Police Department, as well as representatives from the 7th Judicial District Attorney’s Office.
The defendant is being prosecuted by Assistant U.S. Attorney Zachary Phillips. A copy of this press release is located on the website of the U.S. Attorney’s Office for the District of Colorado. Related court documents can be found on PACER. The case number is 19-cr-535.
The charges in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty.
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.
Fresno Man Guilty of Conspiring to Produce False Identification DocumentsRead the Press Release
FRESNO, Calif. — Isaias Herrera-Ortiz, 29, pleaded guilty today to conspiracy and production of false identification documents, U.S. Attorney McGregor W. Scott announced.
According to court documents, between February 2018 and November 2019, Herrera-Ortiz and his co-conspirators produced, possessed, transferred, and sold false identification documents. These documents included fraudulent lawful permanent resident or LPR cards and fraudulent social security number or SSN cards. In particular, Herrera-Ortiz admitted that on Feb. 28, 2018, he sold three LPR cards and three SSN cards to a customer for $390.00. A search of Herrera‑Ortiz’s electronic devices and those belonging to his co-conspirators prove that he participated in the manufacture of at least 36 and no more than 99 fraudulent documents or sets of documents.
This case is the product of an investigation by Homeland Security Investigations. Assistant U.S. Attorney Laura D. Withers is prosecuting the case.
Herrera-Ortiz is scheduled to be sentenced by U.S. District Judge Dale A. Drozd on Dec. 14. He faces a maximum statutory penalty of 15 years in prison and a $250,000 fine. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Former Roanoke Pharmacist Pleads Guilty to TamperingRead the Press Release
ROANOKE, Va. – Bryan Wade Lewis, a former Pharmacist at Home Choice Partners in Roanoke, pleaded guilty today in U.S. District Court here to tampering with a consumer product, hydromorphone, that affected interstate commerce. Acting United States Attorney Daniel P. Bubar made the announcement today following the guilty plea hearing.
Lewis, 34, of Roanoke, pleaded guilty today to one count of tampering with a consumer product. At sentencing he faces up to 10 years in prison.
“Medical workers violate the public’s trust when they divert powerful narcotics for illicit use,” Acting United States Attorney Bubar said today. “We will continue to partner with the FDA, DEA, and others, to bring to justice anyone who violates that trust and brings potential harm to patients.”
“The FDA oversees the U.S. drug supply to ensure that the medicines are safe and effective; those who knowingly tamper with medicines put patients’ health at risk,” said Special Agent in Charge Mark S. McCormack, FDA Office of Criminal Investigations Metro Washington Field Office. “We will continue to protect the public health and bring to justice health care professionals who take advantage of their unique position and compromise their patients’ health and comfort by tampering with needed drugs.”
According to court documents, in January 2018 an employee at Home Choice Partners in Roanoke discovered a needle, alcohol pad, and a bloody tissue in the toilet of an employee bathroom and reported it to another employee. When asked by that employee if he knew anything about the items, Lewis said the items may have fallen out of his pocket. The employee contacted human resources and a decision was made to drug test all employees.
Lewis, who was scheduled to be off work on the day of the drug test, was instructed to report to work to be administered a drug screening. However, Lewis contacted an employee and explained that he was the employee responsible for the items in the toilet. When asked, Lewis explained he had been engaging in such conduct for nine months. Lewis admitted there was a 50 ml vial of hydromorphone in the back of the narcotics cabinet that did not contain hydromorphone, but instead had been replaced, by him, with saline.
The investigation of the case was conducted by the U.S. Food, Drug Administration and the Drug Enforcement Administration, the Virginia State Police, and the Virginia Department of Health Professions. Assistant United States Attorney Randy Ramseyer is prosecuting the case for the United States.
Former Nashville-Based Healthcare President Sentenced to Federal PrisonRead the Press Release
NASHVILLE, Tenn. – September 28, 2020 – The former president of Nashville-based Omnis Health, Inc. was sentenced today in U.S. District Court to 35 months in prison for wire fraud and tax evasion, and fined $15,000, announced U.S. Attorney Don Cochran for the Middle District of Tennessee.
Robert R. Burton, 50, of Madisonville, Louisiana, formerly of Brentwood, Tennessee, was also ordered to pay $1,059,016.67 in restitution - $763,887 to Omnis Health and $295,129 to the IRS. Burton was charged in a criminal information in February and pleaded guilty in May.
According to court documents, between July 2013 and May 2017, Burton was the president of Nashville-based Omnis, which sold diabetic testing kits. From December 2013 through January 2017, he embezzled approximately $763,887 from Omnis by submitting false and fraudulent reimbursement requests to the controller of Omnis, claiming that he had purchased supplies and incurred travel expenses, which he had not. To justify his reimbursement requests, Burton fabricated receipts to include with his fraudulent reimbursement requests.
To accomplish a large portion of his scheme, Burton submitted reimbursement requests for diabetic testing products, falsely claiming he had purchased those products. Burton claimed that he was using personal funds to purchase “grey market” diabetic testing supplies on the open market; that he was purchasing the supplies so Omnis could conduct research; that he was purchasing lower-priced “bootleg” diabetic testing supplies to take them off the market; and that he was sending the products to Omnis’s parent company for testing. Burton never actually purchased the supplies, but instead he visited multiple online vendors, such as Amazon or Diabetessupplies4less.com, placed the products in his online shopping cart, printed the computer screens displaying his shopping cart as the “receipt,” and then attached those “receipts” to his reimbursement requests. Burton also fabricated credit card transaction receipts falsely showing he had purchased the products, and attached those fabricated receipts with his reimbursement requests. Burton was reimbursed at least $484,328 for supplies that he never purchased.
Burton frequently submitted false travel expense reimbursements and travel advances, claiming that he traveled for business to meet with suppliers, customers, and individuals from the corporate office, and to attend conferences. In fact, Burton did not take the majority of the flights for which he was reimbursed approximately $203,747.83. Similar to how he falsified his expense reports for diabetic testing supplies, Burton would visit an airline’s website, print an itinerary that displayed a cost for the flight, and submit that as the receipt without ever purchasing the flights.
In addition to airline reimbursements, Burton falsely claimed he had attended conferences and paid fees in the amount of at least $102,056. Burton fabricated credit card transaction receipts falsely showing he had paid the conference fees and submitted them with his reimbursement requests.
In an effort to further conceal the fraud, rather than depositing the reimbursement checks into his bank accounts, Burton cashed them at a bank or a check cashing business and either spent the cash or deposited it onto prepaid debit cards. Burton often used the funds for gambling.
Burton also failed to report the embezzled funds on his personal tax returns for tax years 2014 through 2016 and failed to timely file his 2017 personal tax return. In addition, he provided false income information to his tax return preparer by omitting the embezzled income. The total loss to the IRS for tax years 2014 through 2017 is $295,129.
This case was investigated by the IRS-Criminal Investigation and is being prosecuted by Assistant U.S. Attorney Kathryn Booth.
# # # # #
Former Music Teacher Sentenced for Producing Images of Child Sexual AbuseRead the Press Release
RICHMOND, Va. – A former Richmond City Public Schools elementary music teacher was sentenced today to the statutory maximum of 30 years in prison for producing images of child sexual abuse.
According to court documents, Kellen Thomas Donelson, 32, came to the attention of law enforcement in 2019 for uploading multiple images of child pornography via Snapchat and Kik Messenger. During a court-authorized search of his home and electronic devices in December 2019, law enforcement discovered additional images and videos of child sexual abuse.
According to the statement of facts, Donelson admitted that he produced several images and videos of child pornography using his personal cell phone, including with a victim as young as 4 years old.
Donelson was arrested on Dec. 5, 2019. At the time of his arrest, he was employed as an elementary school music teacher with Richmond City Public Schools and an Associate Minister/Music Director at Mount Hope Baptist Church.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C., made the announcement after sentencing by U.S. District Judge M. Hannah Lauck. Assistant U.S. Attorney Kevin Elliker 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. 3:20-cr-55.
Former Madison County Postal Employee Charged with Stealing MailRead the Press Release
A federal grand jury for the Southern District of Illinois has returned an indictment charging Tia
M. Taylor, 27, of Alton, Illinois, with one count of theft of mail by a postal service employee.
The indictment charges that in July 2020, Taylor stole four packages addressed to Godfrey residents from the Godfrey post office, where she worked as a clerk.The arraignment for Taylor will be held on Oct. 8, 2020 at 10:30 a.m. at the federal courthouse in
East St. Louis, Illinois.Taylor is the second postal employee charged this month with stealing mail in the Southern District of Illinois. Athens A. Shorey, 33, of Cobden, Illinois, was indicted earlier this month with taking mail from the Carbondale post office back in May.
An indictment is a formal charge against a defendant. Under the law, a defendant is presumed to be innocent of a charge until proved guilty beyond a reasonable doubt to the satisfaction of a jury.
The charge against Taylor resulted from a referral and investigation by the United States Postal
Service, Office of the Inspector General. The case is being prosecuted by Assistant U.S.
Attorney Peter T. Reed.Former Executive Director of Daycare in Tama County Sentenced to Federal Prison for Stealing from her EmployerRead the Press Release
The former director of a daycare in Tama County, Iowa, was sentenced today to eight months of imprisonment.
Kristine Daniel, age 49, from Kellogg, Iowa, received the prison term after an October 31, 2019 guilty plea to theft from a federal program.
At the guilty plea, Daniel admitted she stole money from a daycare operating in Tama County. She further admitted that the daycare received federal funds as part of its operating budget. Part of the money she stole from the daycare came from those federal funds.
Information disclosed at sentencing showed that Daniel stole, embezzled, or misappropriated $113,829.73 from the daycare while she was employed as the Executive Director of the daycare from December 2009 through April 2016. Daniel obtained the money in various ways. She misappropriated approximately $33,000 by using daycare credit cards to buy items for her own personal use, including video games, clothing, and home furnishings. Daniel also issued herself over $34,000 in gross pay to which she was not entitled. Further, Daniel stole cash payments that parents gave to the daycare to pay for childcare. She stole over $42,000 in cash payments that she then deposited into her own bank account. During the time she was stealing from the daycare, Daniel was making approximately $40,000 a year in salary from the daycare.
Daniel was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Daniel was sentenced to eight months’ confinement, four months of which must be spent in prison and four months of which will be spent in home detention. She must also serve a three-year term of supervised release after the prison term. She was also ordered to pay $113,829.73 in restitution to the daycare. There is no parole in the federal system.
Daniel was released on the bond previously set and is to surrender to the Bureau of Prisons on a date yet to be set.
The case was prosecuted by Assistant United States Attorney Anthony Morfitt and investigated by the Federal Bureau of Investigation, the Tama County Sheriff’s Office, and the Iowa State Auditor’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-109.
Follow us on Twitter @USAO_NDIA.