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10 September 2020
New York Man Admits Using Fake Credit Cards to Defraud Lowe's of More Than $183KRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that LARELL DAVID, 30, of New York, New York, pleaded guilty today before U.S. District Judge Kari A. Dooley in Bridgeport to one count of access device fraud stemming from a scheme through which he defrauded Lowe’s home improvement stores in several states of more than $183,000.
According to court documents and statements made in court, from July 2017 through March 2018, David produced more than 100 counterfeit credit cards in the name of “Kevin Douglas,” but encoded with legitimate credit card numbers belonging to other persons. He then used the fraudulent credit cards to make more than 350 purchases of gift cards and merchandise at Lowe’s home improvement stores in Connecticut, Rhode Island, New York, New Jersey, Pennsylvania, Virginia, West Virginia and Florida. A typical fraudulent transaction involved the purchase of one or more Lowe’s gift cards in the amount of $400.00, as well as store merchandise.
Lowe’s suffered a loss of $183,576.05 through this scheme, including more than $21,000 in fraudulent transactions conducted at 15 Lowe’s locations in Connecticut.
David was arrested on January 16, 2019.
Judge Dooley scheduled sentencing for December 8, 2020, at which time David faces a maximum term of imprisonment of 10 years. David is released on a $100,000 bond pending sentencing.
This matter has been investigated by the U.S. Secret Service, the Wallingford Police Department and the Connecticut Financial Crimes Task Force. The case is being prosecuted by Assistant U.S. Attorney Hal Chen.
New York Brothers Charged with COVID-Relief FraudRead the Press Release
Two New York brothers were charged in a criminal complaint unsealed today for their alleged participation in a scheme to file fraudulent loan applications seeking nearly $7 million in forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act, announced Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division and U.S. Attorney James P. Kennedy, Jr. of the U.S. Attorney’s Office for the Western District of New York.
Larry Jordan, 42, Lancaster, New York, and Sutukh El, aka Curtis Jordan and Hugo Hurt, 38, of Buffalo, New York, were charged in a complaint filed in the Western District of New York with wire fraud conspiracy. Both individuals were arrested this morning and are scheduled to appear today before U.S. Magistrate Judge H. Kenneth Schroeder, Jr. in the Western District of New York.
The complaint alleges that Jordan and El conspired to, and did, submit at least eight fraudulent loan applications in an attempt to obtain nearly $7 million. The complaint also alleges that, in support of the fraudulent loan applications, Jordan and El made numerous false and misleading statements about the companies’ respective business operations and payroll expenses.
The complaint further alleges that the fraudulent loan applications were supported by fake documents, including falsified federal tax filings. For example, included in one application for 5 Stems Inc was a fraudulent IRS filing that appeared to be the company’s 2019 federal unemployment tax return showing that the company paid nearly $3.3 million in employee wages that year. In reality, the IRS has no record of such a filing.
The complaint further alleges that Jordan and El used fraudulently obtained loan proceeds on what appear to be personal expenses, including the purchase of securities, home improvements, and a vehicle. To date, the government has seized more than $400,000 of the more than $600,000 that Jordan and El obtained in their alleged fraud.
The Coronavirus Aid, Relief, and Economic Security (CARES) Act is a federal law enacted March 29. It is designed to provide emergency financial assistance to millions of Americans who are suffering the economic effects resulting from the COVID-19 pandemic. One source of relief provided by the CARES Act is the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. Businesses must use PPP loan proceeds for payroll costs, interest on mortgages, rent and utilities. The PPP allows the interest and principal to be forgiven if businesses spend the proceeds on these expenses within a set time period and use at least a certain percentage of the loan towards payroll expenses.
A criminal complaint is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the Federal Deposit Insurance Corporation’s Office of Inspector General (OIG), the Board of Governors of the Federal Reserve System and the Bureau of Consumer Financial Protection’s OIG, the Federal Housing Finance Agency’s OIG, the FBI, and the SBA’s OIG. Trial Attorney Della Sentilles of the Criminal Division’s Fraud Section and Assistant U.S. Attorneys Charles Kruly and Grace Carducci for the Western District of New York are prosecuting the case.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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.
New Iberia Man Sentenced in Federal Court for Firearms ChargeRead the Press Release
LAFAYETTE, La. – Acting United States Attorney Alexander C. Van Hook announced that Skyland Washington, 32, of New Iberia, was sentenced today by U.S. District Judge S. Maurice Hicks, Jr. for Possession of a Firearm by a Convicted Felon. Washington was sentenced to 36 months (3 years) in prison, followed by 2 years of supervised release. Washington previously pled guilty to the charge in United States District Court on February 13, 2020.
An Iberia Parish Sheriff’s Deputy and Louisiana State Police Trooper were dispatched to the scene of a single vehicle traffic accident in New Iberia on June 12, 2017. When law enforcement officers arrived, they made contact with the driver of the vehicle, Skyland Washington. Officers noticed a handgun in the vehicle at Washington’s feet and after further investigation, learned that the handgun had been reported stolen. Officers learned that Washington had previously been convicted of a felony and an arrest warrant was obtained for his arrest.
Washington has previous felony convictions in Iberia Parish, Louisiana, for simple burglary and possession of cocaine (2009). Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of a firearm or ammunition.
The ATF, Iberia Parish Sheriff’s Office and Louisiana State Police conducted the investigation and Assistant U.S. Attorney David J. Ayo prosecuted the case.
This case is part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Nevada Woman Indicted for Meth TraffickingRead the Press Release
United States Attorney Ron Parsons announced that a Sparks, Nevada, woman has been indicted by a federal grand jury for Conspiracy to Distribute Methamphetamine.
Dawn Eagle Feather Floyd, age 42, was indicted on August 11, 2020. She appeared before U.S. Magistrate Judge Mark A. Moreno on September 9, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is a mandatory minimum 5 years, up to 40 years in prison and/or a $5,000,000 fine, at least 4 years of supervised release, and $100 to the Federal Crime Victims Fund for each Count. Restitution may also be ordered.
The Indictment alleges that beginning at a time unknown but no later than on or about January 1, 2019, and continuing to on or about January 1, 2020, Floyd, did knowingly and intentionally, combine, conspire, confederate, and agree with persons known and unknown, to knowingly and intentionally distribute and possess with intent to distribute 50 grams or more of methamphetamine on the Rosebud Sioux Indian Reservation.
The charge is merely an accusation and Floyd is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Rosebud Sioux Tribe Law Enforcement Services and the Northern Plains Safe Trails Drug Enforcement Task Force. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Floyd was released pending trial. A trial date has not been set.
NFL Player Charged in South Florida Federal Court for Alleged Role in $24 Million COVID-Relief Fraud SchemeRead the Press Release
Complaint Charges Defendant with Fraudulently Obtaining $1.2 Million in Relief Funds and Spending Money at South Florida Hotel and Casino and on Dior, Gucci, and other Designer Items
MIAMI – Federal prosecutors have charged NFL player Joshua J. Bellamy for his alleged participation in a scheme to file fraudulent loan applications seeking more than $24 million in forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, Special Agent in Charge Michael J. De Palma of the IRS-Criminal Investigation (CI) Miami Field Office, Special Agent in Charge George L. Piro of FBI’s Miami Field Office, and Special Agent in Charge Kevin A. Kupperbusch of the U.S. SBA-Office of Inspector General (OIG), Investigations Division, Eastern Regional Office, made the announcement.
Bellamy, 31, of St. Petersburg, Florida, a player in the National Football League (NFL), was charged in a federal criminal complaint filed in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. Bellamy was arrested this morning and appeared before U.S. Magistrate Judge Christopher Tuite of the Middle District of Florida.
The complaint alleges that Bellamy conspired with others to obtain millions of dollars in fraudulent PPP loans. Early in the scheme, Phillip J. Augustin allegedly obtained a fraudulent PPP loan for his talent management company using falsified documents. After submitting that application, Augustin then began to work with other co-conspirators, including Bellamy, on a scheme to submit numerous fraudulent PPP loan applications for confederate loan applicants, in order to receive kickbacks for obtaining the forgivable loans for them.
Bellamy is alleged to have obtained a PPP loan of $1,246,565 for his own company, Drip Entertainment LLC. Bellamy allegedly purchased over $104,000 in luxury goods using proceeds of his PPP loan, including purchases at Dior, Gucci, and jewelers. He is also alleged to have spent approximately $62,774 in PPP loan proceeds at the Seminole Hard Rock Hotel and Casino, and to have withdrawn over $302,000. Bellamy also allegedly sought PPP loans on behalf of his family members and close associates.
The complaint alleges that the scheme involved the preparation of at least 90 fraudulent applications, most of which were submitted. Augustin, Bellamy, and other conspirators in the scheme are alleged to have applied for PPP loans that are together worth more than $24 million dollars. Many of those loan applications were approved and funded by financial institutions, paying out at least $17.4 million.
This case was investigated by the IRS-CI Miami and Cincinnati Field Offices, the FBI’s Miami and Cleveland Field Offices, and the SBA-OIG. Assistant U.S. Attorney David Turken of the Southern District of Florida and Trial Attorney Philip Trout of the Criminal Division’s Fraud Section are prosecuting the case. AUSA Nicole Grosnoff is handling asset forfeiture. The Justice Department also acknowledges and thanks the U.S. Attorney’s Office for the Northern District of Ohio and the Federal Deposit Insurance Corporation Office of Inspector General for their assistance investigating this matter.
Charges against ten other defendants allegedly involved in this scheme have been made public, including the following charges filed in the Southern District of Florida:
- Tiara Walker, 37, of Miami Gardens, Florida, was charged in a federal criminal complaint filed on September 3, 2020, in the Southern District of Florida, with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. AUSA David Snider and Trial Attorney Philip Trout are prosecuting the case.
- Damion O. Mckenzie, 38, of Miami Gardens, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. AUSA David Turken and Trial Attorney Philip Trout are prosecuting the case.
- Andre M. Clark, 46, of Miramar, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. AUSA David Turken and Trial Attorney Philip Trout are prosecuting the case.
- Keyaira Bostic, 31, of Pembroke Pines, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. AUSA David Turken and Trial Attorney Philip Trout are prosecuting the case.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses a certain amount of the PPP loan proceeds on payroll expenses.
A federal criminal complaint is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
You may find related court documents and information on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
NFL Player Charged for Role in $24 Million COVID-Relief Fraud SchemeRead the Press Release
A National Football League (NFL) player has been charged for his alleged participation in a scheme to file fraudulent loan applications seeking more than $24 million in forgivable Paycheck Protection Program (PPP) loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Special Agent in Charge Michael J. De Palma of the IRS-Criminal Investigation (CI) Miami Field Office, Special Agent in Charge George L. Piro of FBI’s Miami Field Office, and Special Agent in Charge Kevin A. Kupperbusch of the U.S. SBA-Office of Inspector General (OIG), Investigations Division, Eastern Regional Office, made the announcement.
Joshua J. Bellamy, 31, of St. Petersburg, Florida, a player in the NFL, was charged in a federal criminal complaint filed in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud. Bellamy was arrested this morning and will appear today before U.S. Magistrate Judge Christopher Tuite of the Middle District of Florida.
The complaint alleges that Bellamy conspired with others to obtain millions of dollars in fraudulent PPP loans. Early in the scheme, Phillip J. Augustin allegedly obtained a fraudulent PPP loan for his talent management company using falsified documents. After submitting that application, Augustin then began to work with other co-conspirators, including Bellamy, on a scheme to submit numerous fraudulent PPP loan applications for confederate loan applicants, in order to receive kickbacks for obtaining the forgivable loans for them.
Bellamy is alleged to have obtained a PPP loan of $1,246,565 for his own company, Drip Entertainment LLC. Bellamy allegedly purchased over $104,000 in luxury goods using proceeds of his PPP loan, including purchases at Dior, Gucci, and jewelers. He is also alleged to have spent approximately $62,774 in PPP loan proceeds at the Seminole Hard Rock Hotel and Casino, and to have withdrawn over $302,000. Bellamy also allegedly sought PPP loans on behalf of his family members and close associates.
The complaint alleges that the scheme involved the preparation of at least 90 fraudulent applications, most of which were submitted. Augustin, Bellamy, and other conspirators in the scheme are alleged to have applied for PPP loans that are together worth more than $24 million dollars. Many of those loan applications were approved and funded by financial institutions, paying out at least $17.4 million.
The other 10 defendants allegedly involved in this scheme whose complaints were previously unsealed are the following:
- Tiara Walker, 37, of Miami Gardens, Florida, was charged in a federal criminal complaint filed on Sept. 3, 2020, in the Southern District of Florida, with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Damion O. Mckenzie, 38, of Miami Gardens, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Andre M. Clark, 46, of Miramar, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Keyaira Bostic, 31, of Pembroke Pines, Florida, was charged in a federal criminal complaint filed on Aug. 3, 2020, in the Southern District of Florida with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Phillip J. Augustin, 51, of Coral Springs, Florida, was charged in a federal criminal complaint filed on July 28, 2020, in the Northern District of Ohio with wire fraud, bank fraud, conspiracy to commit wire fraud and bank fraud, and obstruction;
- Wyleia Nashon Williams, 44, of Ft. Lauderdale, Florida, was charged in a federal criminal complaint filed on July 28, 2020, in the Northern District of Ohio with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- James R. Stote, 54, of Hollywood, Florida, was charged in a federal criminal complaint filed on June 24, 2020, in the Northern District of Ohio with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Ross Charno, 46, of Ft. Lauderdale, Florida, was charged in a federal criminal complaint filed on June 24, 2020, in the Northern District of Ohio with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
- Deon D. Levy, 50, of Bedford, Ohio, was charged in a federal complaint filed on June 8, 2020, in the Northern District of Ohio with wire fraud and conspiracy to commit wire fraud; and
- Abdul-Azeem Levy, 22, of Cleveland, Ohio was charged in a federal complaint filed on June 8, 2020, in the Northern District of Ohio with wire fraud and conspiracy to commit wire fraud.
The CARES Act is a federal law enacted on March 29, 2020, designed to provide emergency financial assistance to the millions of Americans who are suffering the economic effects caused by the COVID-19 pandemic. One source of relief provided by the CARES Act was the authorization of up to $349 billion in forgivable loans to small businesses for job retention and certain other expenses, through the PPP. In April 2020, Congress authorized over $300 billion in additional PPP funding.
The PPP allows qualifying small businesses and other organizations to receive loans with a maturity of two years and an interest rate of one percent. PPP loan proceeds must be used by businesses on payroll costs, interest on mortgages, rent, and utilities. The PPP allows the interest and principal to be entirely forgiven if the business spends the loan proceeds on these expense items within a designated period of time after receiving the proceeds and uses a certain amount of the PPP loan proceeds on payroll expenses.
A federal criminal complaint is merely an accusation. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
This case was investigated by the IRS-CI Miami and Cincinnati Field Offices, the FBI’s Miami and Cleveland Field Offices, and the SBA-OIG. Trial Attorney Philip Trout of the Criminal Division’s Fraud Section and Assistant U.S. Attorney David Turken for the Southern District of Florida are prosecuting the case. The Justice Department also acknowledges and thanks the U.S. Attorney’s Office for the Northern District of Ohio and the Federal Deposit Insurance Corporation Office of Inspector General for their assistance investigating this matter.
Anyone with information about allegations of attempted fraud involving COVID-19 can report it by calling the Department of Justice’s National Center for Disaster Fraud Hotline at 866-720-5721 or via the NCDF Web Complaint Form at: https://www.justice.gov/disaster-fraud/ncdf-disaster-complaint-form.
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.
- Tiara Walker, 37, of Miami Gardens, Florida, was charged in a federal criminal complaint filed on Sept. 3, 2020, in the Southern District of Florida, with wire fraud, bank fraud, and conspiracy to commit wire fraud and bank fraud;
More Than $500,000 Coming to the Western District of New York to Improve School SafetyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, NY – U.S. Attorney James P. Kennedy, Jr, announced today that the Irondequoit Police Department, the Wayne County Sheriff’s Office, and the Hamburg Central School District have each been awarded a grant from the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) School Violence Prevention Program (SVPP). The Irondequoit Police Department will receive $206,136; the Wayne County Sheriff’s Office will receive $324,917; and the Hamburg Central School District will receive $148,406.
“It is the responsibility of school districts and the law enforcement community to work in partnership so that our children know that they are safe at school,” stated U.S. Attorney Kennedy. “If kids do not feel safe, they cannot learn. For that reason, especially during these unusual times, we remaining focused on doing all that we can to secure and protect our children and our schools.”
“With the new school year underway, the safety of our nation’s students remains paramount,” said COPS Office Director Phil Keith. “Although this school year may look different at the start, now is the ideal time to make preparations to enhance school safety for when all of our children are back in the classroom.”
Nationally, the COPS Office SVPP awarded nearly $50 million in school safety funding. SVPP provides up to 75% funding for school safety measures in and around primary and secondary schools and school grounds.
The Students, Teachers, and Officers Preventing School Violence Act of 2018 (STOP School Violence Act of 2018) gave the COPS Office authority to provide awards directly to states, units of local government, Indian tribes, and public agencies (such as school districts and law enforcement agencies) to improve security at schools and on school grounds in the jurisdiction of the grantee through evidence-based school safety programs. The three awards announced today can be used for coordination with law enforcement; training for local law enforcement officers to prevent student violence; metal detectors, locks, lighting, and other deterrent measures; technology for expedited notification of local law enforcement during an emergency; and other measures that provide a significant improvement in security. The full list of SVPP awards can be found here: https://cops.usdoj.gov/pdf/2020AwardDocs/svpp/Award_List.pdf.
In addition to the school safety grants announced today, the COPS Office School Safety Working Group, which is composed of representatives from eight national law enforcement organizations, has identified 10 essential actions that can be taken by schools, school districts, and law enforcement agencies to help prevent critical incidents involving the loss of life or injuries in our nation's schools and to respond rapidly and effectively when incidents do occur. The Ten Essential Actions to Improve School Safety are applicable to school shootings as well as to other areas of school safety, including natural disasters and traumatic events such as student suicide. Adopting policies and practices based on the recommendations in this publication can help make school communities safer and save lives.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of more than 134,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Minocqua Man Sentenced to 10 Years for Possessing Child PornographyRead the Press Release
MADISON, WIS. - Scott C. Blader, United States Attorney for the Western District of Wisconsin, announced that Matthew Kummer, 49, Minocqua, Wisconsin, pleaded guilty and was sentenced today by U.S. District Judge William M. Conley to 10 years in federal prison for possessing child pornography. This term of imprisonment will be followed by 15 years of supervised release.
On October 27, 2019, law enforcement officers executed a search warrant at Kummer’s Minocqua home and seized laptops, hard drives, and miscellaneous storage devices. Law enforcement analyzed some of these devices and found more than 17,000 images of child pornography. Additionally, law enforcement found videos Kummer had surreptitiously taken of young children in swimsuits at parks, beaches, and amusement parks.
The 10-year sentence was based on the defendant’s prior child pornography conviction, the huge number of images he possessed, and the fact that he was secretly filming young children.
The charge against Kummer was the result of an investigation conducted by the Oneida County Sheriff’s Office, Wisconsin Department of Justice Division of Criminal Investigation, and Rhinelander, Minocqua, and Woodruff Police Departments. The prosecution of the case has been handled by Assistant U.S. Attorney Elizabeth Altman.
Methuen Man Pleads Guilty to Distributing FentanylRead the Press Release
BOSTON – A Methuen man pleaded guilty today in federal court in Boston to distributing fentanyl.
Alexsander Padro, 28, pleaded guilty to distributing more than 40 grams of fentanyl before U.S. District Court Chief Judge F. Dennis Saylor IV, who scheduled sentencing for Jan. 8, 2021. In July 2019, Padro was arrested and charged.
Padro sold more than 40 grams of fentanyl to a cooperating source at a restaurant in Methuen on July 10, 2019. Padro also sold more than 40 grams of fentanyl to an undercover officer in March 2019 and $1,000 worth of fentanyl to an undercover officer in April 2019.
Padro faces a mandatory minimum sentence of five years and up to 40 years in prison, a minimum of four years and up to a lifetime of supervised release and a fine of $5 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division made the announcement today. Assistant U.S. Attorney Bill Abely, Deputy Chief of Lelling’s Major Crimes Unit, is prosecuting the case.
Member of New Bedford Latin Kings Chapter Pleads Guilty to Racketeering Conspiracy ChargesRead the Press Release
BOSTON – A former member of the New Bedford Chapter of the Massachusetts Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to racketeering charges. The defendant admitted to his role in a May 28, 2019 incident in New Bedford, where a rival gang member was shot at.
Luis Santiago, a/k/a “King Tiny,” 22, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Dec. 17, 2020. Santiago was charged in December 2019, at which time he was a member of the New Bedford Chapter of the Latin Kings.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
As detailed during the hearing, Santiago admitted that on May 28, 2019, he was one of multiple members of the Latin Kings who travelled to Dartmouth Street in New Bedford to confront and assault rival gang members. For this incident, Santiago was provided with a firearm by another member of the gang. The confrontation began as a fight, but at some point Santiago pulled the firearm and began to chase the rival gang members. Santiago fired one shot at the fleeing rival gang members, missing and striking a parked vehicle.
In December 2019, a federal grand jury returned an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Santiago is the 11th defendant to plead guilty in the case.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard and Mark Grady of Lelling’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
Maryland to Receive More Than $1.3 Million in Grants to Advance Community Policing Efforts from the Department of JusticeRead the Press Release
Baltimore, Maryland – U.S. Attorney Robert K. Hur announced today that the Department of Justice’s Community Oriented Policing Services (COPS) Office has awarded grants totaling nearly $8 million to advance the practice of community policing in law enforcement, including more than $1.3 million in Maryland.
“I am so pleased these grants have been awarded to agencies in Maryland,” said U.S. Attorney Robert K. Hur. “Community policing strategies are proven to help reduce violent crime and these funds will help state and local law enforcement in Maryland to implement the best practices.”
Community Policing Development (CPD) program funds are used to develop the capacity of law enforcement to implement community policing by providing guidance on promising practices through the development and testing of innovative strategies; building knowledge about effective practices and outcomes; and supporting new, creative approaches to preventing crime and promoting safe communities.
The following grants were awarded in Maryland:
Cal Ripken, Sr. Foundation Badges for Baseball Program
$200,000
International Association of Directors of Law Enforcement Standards and Training Active Learning Modalities for the Next Generation of Police Academies
$499,996
International Association of Directors of Law Enforcement Standards and Training State Law Enforcement Agency Accreditation Program Enhancements
$600,000
International Association of Directors of Law Enforcement Standards and Training State POST Training and Curriculum Standards for Human Trafficking
$79,637
The full list of awards is available on the COPS Office website at: https://cops.usdoj.gov/pdf/2020AwardDocs/cpd/Award_List.pdf.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of more than 134,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance.
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Marlboro Woman Sentenced for Distributing Synthetic Marijuana into State Correctional FacilitiesRead the Press Release
BOSTON – A Marlboro woman was sentenced today in federal court in Boston for distributing synthetic marijuana, or “K2,” into state correctional facilities.
Caitlin Marcey, 28, was sentenced by U.S. District Judge Patti B. Saris to two years of probation, with the first six months to be served in home confinement. In January 2020, Marcey pleaded guilty to distribution of a controlled substance. Marcey was arrested and charged in June 2019.
Marcey mailed papers soaked in synthetic marijuana, or “K2,” to Massachusetts correctional facilities. The most common means of doing so is by soaking or spraying synthetic marijuana onto documents and then transporting those documents, either in person or by mail, into the jail, where they can be smoked. It is also common to attempt to include documents soaked in synthetic marijuana in mailings disguised as legal mail, as this mail is generally not subjected to rigorous screening due to attorney-client privilege.
In November 2018, investigators at the Souza Baranowksi Correctional Center (SBCC) in Lancaster, Mass., monitored recorded jail calls during which Marcey arranged for the delivery of synthetic marijuana. Investigators subsequently intercepted mail sent by Marcey that purported to be an attorney mailing to an SBCC inmate. The mail tested positive for synthetic marijuana.
United States Attorney Andrew E. Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, New England Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; Worcester County Sheriff Lewis Evangelidis; and Worcester Police Chief Steven M. Sargent made the announcement today. Assistant U.S. Attorneys Greg A. Friedholm and John T. Mulcahy of Lelling’s Worcester Branch Office prosecuted the case.
Manufacturers of “Spice” Sentenced for Operating a Continuing Criminal Enterprise and Other CrimesRead the Press Release
Two defendants were sentenced Wednesday to 20 years each in federal prison for crimes committed in connection with the manufacture of synthetic cannabinoid products (commonly referred to as “spice”), operating a continuing criminal enterprise, manufacturing and distributing controlled substance analogues, wire fraud, mail fraud, money laundering, maintaining a drug premises, and possession of a listed chemical with the intent to manufacture a controlled substance.
On July 3, 2019, following a ten-day federal jury trial in Las Vegas, Nevada, Charles Burton Ritchie, 49, of Park City, Utah, and Benjamin Galecki, 46, of Pensacola, Florida, were found guilty of 24 counts, including operating a continuing criminal enterprise, manufacturing and possessing with the intent to distribute controlled substance analogues, and money laundering, among other related charges.
“Charles Burton Ritchie and Benjamin Galecki operated a nationwide criminal enterprise, selling dangerous drugs worth millions of dollars that contained illegal ingredients imported from China,” said Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division. “These sentences demonstrate the department’s commitment to aggressively pursuing criminals who seek to circumvent U.S. drug laws by selling dangerous drugs that threaten the health of our communities across the nation.”
“Our office appreciates the opportunity to work closely with our law enforcement partners and the national Organized Crime Drug Enforcement Task Forces to dismantle this illegal drug-manufacturing operation,” said U.S. Attorney Nicholas A. Trutanich of the District of Nevada. “Our joint efforts have helped curb the flow of spice into communities across the country.”
“Working collaboratively with our justice partners to rid our communities of spice and other toxic cannabinoid products helps save lives,” said Assistant Special Agent in Charge Dan Neill of the U.S. Drug Enforcement Administration's Las Vegas Field Office. “Disrupting this organization sends a clear message that we will not tolerate those who prey on our communities to further their criminal activity.”
“Ritchie and Galecki benefited greatly at the detriment of our community and others by putting illegal drugs on the streets and profiting from it,” said Special Agent in Charge Tara Sullivan, IRS Criminal Investigation. “IRS Criminal Investigation is proud to serve on the side of justice to clean up the streets.”
According to court documents and evidence presented during trial, from March 21 to July 25, 2012, Ritchie and Galecki owned and managed Zencense Incenseworks, a company that (a) manufactured smokable synthetic cannabinoid products and (b) marketed and sold them as “potpourri,” “incense,” or “aromatherapy.” Ritchie and Galecki rented a warehouse in Las Vegas for the sole purpose of manufacturing these synthetic products, which contained the dangerous chemical XLR-11 — a controlled substance analogue. At the Las Vegas warehouse, a Zencense employee would mix XLR-11 with acetone and liquid flavoring, and then apply the chemical mixture to dried plant material. Next, the employee would mail the compounded mixture to Ritchie and Galecki in Pensacola, Florida, where other workers would place the spice into small retail bags.
The defendants sold their products — with suggestive brand names such as “Bizarro,” “Orgazmo,” “Headhunter,” and “Defcon 5 Total Annihilation” — to smoke shops across the United States. From June 1 to July 25, 2012, Ritchie and Galecki were responsible for manufacturing and distributing approximately 4,000 pounds of spice, and they made approximately $1.61 million selling XLR-11 spice manufactured in Nevada.
In two separate cases that were transferred to the District of Nevada, the defendants were each sentenced for money laundering and unlawful monetary transactions. Ritchie received nine years in federal prison for charges brought in the Southern District of Alabama and nine years in federal prison for charges brought in the Eastern District of Virginia. Galecki received eight years in federal prison for charges brought in the Southern District of Alabama and eight years in federal prison for charges brought in the Eastern District of Virginia. All sentences will run concurrent to each other. Additionally, the defendants were ordered to forfeit approximately $2.5 million as a result of their illegal enterprise in the District of Nevada.
This case was investigated by the IRS-Criminal Investigation, the DEA, and the Las Vegas Metropolitan Police Department. Trial Attorneys Cole Radovich and Acting Assistant Deputy Chief Jason Ruiz of the Criminal Division’s Narcotic and Dangerous Drug Section and Assistant U.S. Attorneys James Keller and Daniel Hollingsworth of the District of Nevada prosecuted the case. Assistant U.S. Attorney Deborah Griffin of the Southern District of Alabama and Assistant U.S. Attorneys Eric Hurt and Kevin Hudson of the Eastern District of Virginia prosecuted the separate cases that were transferred to the District of Nevada.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
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.
Manufacturers of "Spice" Sentenced for Operating A Continuing Criminal Enterprise and Other CrimesRead the Press Release
LAS VEGAS, Nev. – Two defendants were sentenced Wednesday to 20 years each in federal prison for crimes committed in connection with the manufacture of synthetic cannabinoid products (commonly referred to as “spice”), operating a continuing criminal enterprise, manufacturing and distributing controlled substance analogues, wire fraud, mail fraud, money laundering, maintaining a drug premises, and possession of a listed chemical with the intent to manufacture a controlled substance.
On July 3, 2019, following a ten-day federal jury trial in Las Vegas, Nevada, Charles Burton Ritchie, 49, of Park City, Utah, and Benjamin Galecki, 46, of Pensacola, Florida, were found guilty of 24 counts, including operating a continuing criminal enterprise, manufacturing and possessing with the intent to distribute controlled substance analogues, and money laundering, among other related charges.
“Charles Burton Ritchie and Benjamin Galecki operated a nationwide criminal enterprise, selling dangerous drugs worth millions of dollars that contained illegal ingredients imported from China,” said Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division. “These sentences demonstrate the department’s commitment to aggressively pursuing criminals who seek to circumvent U.S. drug laws by selling dangerous drugs that threaten the health of our communities across the nation.”
“Our office appreciates the opportunity to work closely with our law enforcement partners and the national Organized Crime Drug Enforcement Task Forces to dismantle this illegal drug-manufacturing operation,” said U.S. Attorney Nicholas A. Trutanich of the District of Nevada. “Our joint efforts have helped curb the flow of spice into communities across the country.”
“Working collaboratively with our justice partners to rid our communities of spice and other toxic cannabinoid products helps save lives,” said Assistant Special Agent in Charge Dan Neill of the U.S. Drug Enforcement Administration Las Vegas Field Office. “Disrupting this organization sends a clear message that we will not tolerate those who prey on our communities to further their criminal activity.”
“Ritchie and Galecki benefited greatly at the detriment of our community and others by putting illegal drugs on the streets and profiting from it,” said Special Agent in Charge Tara Sullivan, IRS Criminal Investigation. “IRS Criminal Investigation is proud to serve on the side of justice to clean up the streets.”
According to court documents and evidence presented during trial, from March 21 to July 25, 2012, Ritchie and Galecki owned and managed Zencense Incenseworks, a company that (a) manufactured smokable synthetic cannabinoid products and (b) marketed and sold them as “potpourri,” “incense,” or “aromatherapy.” Ritchie and Galecki rented a warehouse in Las Vegas for the sole purpose of manufacturing these synthetic products, which contained the dangerous chemical XLR-11 — a controlled substance analogue. At the Las Vegas warehouse, a Zencense employee would mix XLR-11 with acetone and liquid flavoring, and then apply the chemical mixture to dried plant material. Next, the employee would mail the compounded mixture to Ritchie and Galecki in Pensacola, Florida, where other workers would place the spice into small retail bags.
The defendants sold their products — with suggestive brand names such as “Bizarro,” “Orgazmo,” “Headhunter,” and “Defcon 5 Total Annihilation” — to smoke shops across the United States. From June 1 to July 25, 2012, Ritchie and Galecki were responsible for manufacturing and distributing approximately 4,000 pounds of spice, and they made approximately $1.61 million selling XLR-11 spice manufactured in Nevada.
In two separate cases that were transferred to the District of Nevada, the defendants were each sentenced for money laundering and unlawful monetary transactions. Ritchie received nine years in federal prison for charges brought in the Southern District of Alabama and nine years in federal prison for charges brought in the Eastern District of Virginia. Galecki received eight years in federal prison for charges brought in the Southern District of Alabama and eight years in federal prison for charges brought in the Eastern District of Virginia. All sentences will run concurrent to each other. Additionally, the defendants were ordered to forfeit approximately $2.5 million as a result of their illegal enterprise in the District of Nevada.
This case was investigated by the IRS-Criminal Investigation, the DEA, and the Las Vegas Metropolitan Police Department. Assistant U.S. Attorneys James Keller and Daniel Hollingsworth of the District of Nevada and Trial Attorneys Cole Radovich and Acting Assistant Deputy Chief Jason Ruiz of the Criminal Division’s Narcotic and Dangerous Drug Section prosecuted the case. Assistant U.S. Attorney Deborah Griffin of the Southern District of Alabama and Assistant U.S. Attorneys Eric Hurt and Kevin Hudson of the Eastern District of Virginia prosecuted the separate cases that were transferred to the District of Nevada.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking, weapons trafficking, and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Man Who Shot at SWAT Officers Sentenced to over 24 Years in Federal PrisonRead the Press Release
KNOXVILLE, Tenn. – On September 9, 2020, Samuel Weaver, 62, of Chattanooga, was sentenced by the Honorable Curtis Collier, in the United States District Court for the Eastern District of Tennessee at Chattanooga.
Weaver was sentenced to 295 months in federal prison for a multitude of drug and firearms related offenses. Weaver fired upon members of the Chattanooga Police Department’s SWAT team when they attempted to serve a search warrant at his residence, which contributed to his lengthy sentence.
Officers received information that Weaver was a large-scale drug dealer who was storing drugs in his residence on Noah Street in Chattanooga. A search warrant was issued for Weaver’s home and the SWAT officers were called to assist the Drug Enforcement Administration with the search of the residence.
On February 7, 2019, at least 20 SWAT officers arrived to serve the search warrant at daybreak. The Chattanooga SWAT unit Commander testified that multiple sirens were activated for “at least 10 – 12 seconds,” and announcements were made over a PA system notifying the occupants of the residence that police were present to serve the warrant.
After law enforcement took steps to notify anyone in the home of the police presence and intentions, officers approached the front door. Weaver then fired a shot from within the home in the direction of the front door. Fortunately, the bullet lodged in the door frame and did not break through and strike any officers. Weaver then attempted to flee out the back of the residence but was apprehended by SWAT officers.
Distribution quantities of heroin, fentanyl, pure methamphetamine, and crack cocaine, and over $27,000.00 in cash were found in Weaver’s bedroom, along with various items used for the manufacturing and distribution of narcotics. A loaded rifle and handgun were also located inside the residence, and a loaded handgun was recovered in Weaver’s parked vehicle. This was not Weaver’s first encounter with the criminal justice system. Weaver was released from federal prison in 2015 after being caught with nearly a kilogram of cocaine in his trunk and being sentenced to serve 60 months. Weaver also had multiple burglary convictions from Hamilton County.
United States Attorney J. Douglas Overbey praised the hard work of the prosecution and law enforcement teams involved in this case, saying, “Our office’s immediate concern was for the safety of the police officers involved. These officers put their lives on the line every day to protect our community from those who seek to perpetuate drug use and abuse. Drawing a hard line sends a message to all drug dealers that those who attempt violence against our police officers will not get a slap on the wrist,” said U.S. Attorney Overbey.
Assistant U.S. Attorneys Frank Clark and Luke A. McLaurin represented the United States.
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Maine School Districts to Receive Federal Funding for School Safety EnhancementRead the Press Release
PORTLAND, Maine: United States Attorney Halsey B. Frank announced today that two Maine school districts will receive a total of $703,982 from the Department of Justice’s Office of Community Oriented Policing Services (COPS Office) School Violence Prevention Program (SVPP). Nationally, the COPS Office SVPP awarded nearly $50 million in school safety funding. SVPP provides up to 75 percent funding for school safety measures in and around primary and secondary schools and school grounds.
Maine School Administrative District (MSAD) 30 in Lee will receive $230,985, and Regional School Unit (RSU) 14, the Windham Raymond School District, will receive $472,997.
“The complications of COVID-19 have presented numerous challenges to our school districts this year, but we cannot afford to overlook the importance of school safety,” Frank said. “For that reason, I am very pleased to learn that these two Maine school districts will receive significant funding to enhance their existing safety protocols.”
The Students, Teachers, and Officers Preventing School Violence Act of 2018 (STOP School Violence Act of 2018) gave the COPS Office authority to provide awards directly to states, units of local government, Indian tribes, and public agencies (such as school districts and law enforcement agencies) to improve security at schools and on school grounds in the jurisdiction of the grantee through evidence-based school safety programs. The two awards announced today can be used for coordination with law enforcement; training for local law enforcement officers to prevent student violence; metal detectors, locks, lighting, and other deterrent measures; technology for expedited notification of local law enforcement during an emergency; and other measures that provide a significant improvement in security.
In addition to the school safety grants announced today, the COPS Office School Safety Working Group, which is composed of representatives from eight national law enforcement organizations, has identified 10 essential actions that can be taken by schools, school districts, and law enforcement agencies to help prevent critical incidents involving the loss of life or injuries in our nation's schools and to respond rapidly and effectively when incidents do occur. The Ten Essential Actions to Improve School Safety are applicable to school shootings as well as to other areas of school safety, including natural disasters and traumatic events such as student suicide. Adopting policies and practices based on the recommendations in this publication can help make school communities safer and save lives.
The COPS Office is the federal component of the Department of Justice responsible for advancing community policing nationwide. Since 1994, the COPS Office has invested more than $14 billion to advance community policing, including grants awarded to more than 13,000 state, local and tribal law enforcement agencies to fund the hiring and redeployment of more than 134,000 officers and provide a variety of knowledge resource products including publications, training and technical assistance.
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.
Lowell Man Pleads Guilty to Distributing FentanylRead the Press Release
BOSTON – A Lowell man pleaded guilty today to conspiracy to distribute fentanyl.
Steven Perez, 30, pleaded guilty to conspiracy to distribute and possession with intent to distribute 40 grams or more of fentanyl before U.S. District Court Judge William G. Young, who scheduled sentencing for Dec. 10, 2020. Perez was arrested and charged with co-defendant Anthony Holloway, of Methuen, on Dec. 11, 2019.
Over the course of several months, law enforcement investigated Perez and Holloway’s fentanyl distribution operation. Perez and, allegedly, Holloway used an elderly housing complex run by the Methuen Housing Authority to conduct drug sales.
The charge of conspiracy to distribute and to possess with intent to distribute 40 grams or more of fentanyl carries a mandatory minimum sentence of 5 years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation’s Boston Field Office; and Methuen Police Chief Joseph Solomon made the announcement. Assistant U.S. Attorney Philip C. Cheng of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Lexington Man Convicted of Multiple Counts of Sex and Drug Trafficking and Related Offenses, Including Witness TamperingRead the Press Release
FRANKFORT, KY- A Lexington, Ky., man, Prince Bixler, 41, was convicted on Wednesday by a federal jury in Frankfort, Ky., for charges related to his extensive and violent sex and drug trafficking operation that sold crack cocaine, heroin, and methamphetamine throughout the Lexington area and forced young, drug-addicted women to prostitute.
After 6.5 hours following a 7-day trial, the jury convicted Bixler of three counts of sex trafficking by force, fraud, or coercion; two counts of tampering with a witness, victim or an informant; one count of operating an unlawful prostitution business as an interstate racketeering enterprise; six counts of distributing controlled substances including crack cocaine, heroin, and methamphetamine; and three counts of being a felon in possession of a firearm.
Evidence presented at trial, including the testimony of four victims, established that defendant Prince Bixler compelled four victims into prostitution between 2013 and March 2018 by physically assaulting them and others, and weakening the victims by worsening their addictions to crack cocaine, heroin, and methamphetamine. The defendant also sold crack cocaine, heroin, and methamphetamine throughout the Lexington area to numerous customers. The Lexington Police Department executed a search warrant at the defendant’s residence in March 2018, which led to the recovery of numerous firearms. The defendant, a convicted felon, was prohibited from possessing these and other firearms.
As the investigation into the defendant’s illegal conduct continued throughout 2018 into 2019, he became aware that multiple potential witnesses were subpoenaed to testify before a federal grand jury in Lexington. The defendant threatened one witness with physical violence in an attempt to dissuade her from testifying truthfully before the grand jury. The defendant also repeatedly called and harassed another witness on the eve of her scheduled grand jury appearance in an attempt to prevent her from testifying truthfully before the grand jury.
Bixler was indicted in June 2019.
“Prince Bixler used violence and threats of violence to create a climate of fear to trap these young women, while at the same time increasing their dependence on him by worsening their addictions to crack cocaine, heroin, or methamphetamine,” said Assistant Attorney General Eric Dreiband for the Department of Justice’s Civil Rights Division. “Human traffickers are adept at exploiting victims’ drug addictions and using coercive tactics to intimidate and compel their services. There can be no place in our society for conduct like this defendant’s, and the Department of Justice will continue its vigorous efforts to hold human traffickers accountable, bring justice to their victims, and prevent them from harming others.”
“The hard work, dedication, and cooperation of law enforcement from state and federal agencies have made our community safer and brought some measure of justice to the victims of Prince Bixler,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “His conduct was truly despicable, and will serve to strengthen our resolve to combat the destructive exploitation of human traffickers. I commend the members of the investigative and prosecution teams for their committed work in prosecuting this case.”
“Today’s conviction is yet another example of the FBI’s commitment to bring justice to those who exploit the most vulnerable members of our community,” said James Robert Brown, Jr., Special Agent in Charge, FBI, Louisville Field Office. “When human beings are treated as commodities, they are not only being abused physically, but emotionally and financially. FBI Louisville will continue to work closely with our law enforcement partners to identify and disrupt those who engage in human trafficking.”
“Human trafficking is a violent crime with victims whose fear of reprisal often keeps them from getting help,” stated Special Agent in Charge Shawn Morrow of the ATF Louisville Division. “What began as a drug and firearms investigation saved these victims from further exploitation and shut down a dangerous supplier of drugs in the Lexington area. ATF is proud of our local and federal law enforcement partnerships and the good work that resulted today.”
Assistant Attorney General Dreiband; U.S. Attorney Duncan; FBI SAC Brown; ATF SAC Morrow; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the conviction.
This case was investigated by FBI, ATF and the Lexington Police Department. The United States is being represented by Assistant U.S. Attorney Hydee Hawkins for the Eastern District of Kentucky and Special Litigation Counsel Matthew Grady for the Civil Rights Division’s Human Trafficking Prosecution Unit.
Bixler will be sentenced on December 29, 2020. He faces a minimum sentence of 15 years’ imprisonment and a maximum sentence of life imprisonment, as well as mandatory restitution to the sex trafficking victims. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal sentencing statutes before imposing a sentence.
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Lexington Man Convicted of Multiple Counts of Sex and Drug Trafficking and Related Offenses, Including Witness TamperingRead the Press Release
After a 7-day trial, a federal jury in Frankfurt, Kentucky, found Prince Bixler, 41, of Lexington, Kentucky, guilty of charges related to his extensive and violent sex and drug trafficking operation that sold crack cocaine, heroin, and methamphetamines throughout the Lexington area and forced young, drug-addicted women to prostitute.
After deliberating for six and a half hours, the jury convicted the defendant of four counts of sex trafficking by force, fraud, or coercion, two counts of tampering with a witness, victim or an informant, one count of operating an unlawful prostitution business enterprise, six counts of distributing controlled substances including crack cocaine, heroin, and methamphetamine, and three counts of being a felon in possession with a firearm.
“This defendant used violence and threats of violence to create a climate of fear to trap these young women, while at the same time increasing their dependence on him by feeding them with illegal drugs to take advantage of their addictions to crack cocaine, heroin, or methamphetamine,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “Human traffickers are adept at exploiting victims’ drug addictions and using coercive tactics to intimidate and compel their services. There can be no place in our society for criminal conduct like this defendant’s, and the U.S. Department of Justice will continue its to prosecute human traffickers to the fullest extent of the law, prevent them from harming others, and seek justice for the victims of these terrible crimes.”
“The hard work, dedication, and cooperation of law enforcement from state and federal agencies have made our community safer and brought some measure of justice to the victims of Prince Bixler,” said Robert M. Duncan, Jr., U.S. Attorney for the Eastern District of Kentucky. “His conduct was truly despicable, and will serve to strengthen our resolve to combat the destructive exploitation of human traffickers. I commend the members of the investigative and prosecution teams for their committed work in prosecuting this case.”
“Today’s conviction is yet another example of the FBI’s commitment to bring justice to those who exploit the most vulnerable members of our community,” said James Robert Brown, Jr., Special Agent in Charge, FBI, Louisville Field Office. “When human beings are treated as commodities, they are not only being abused physically, but emotionally and financially. FBI Louisville will continue to work closely with our law enforcement partners to identify and disrupt those who engage in human trafficking.”
“Human trafficking is a violent crime with victims whose fear of reprisal often keeps them from getting help,” stated Special Agent in Charge Shawn Morrow of the Bureau of Alcohol Tobacco and Firearms (ATF) Louisville Division. “What began as a drug and firearms investigation saved these victims from further exploitation and shut down a dangerous supplier of drugs in the Lexington area. ATF is proud of our local and federal law enforcement partnerships and the good work that resulted today.”
Evidence presented at trial, including the testimony of four victims, established that defendant Prince Bixler compelled four victims into prostitution between 2013 and March 2018 by physically assaulting them and others, and weakening the victims by worsening their addictions to crack cocaine, heroin, and methamphetamine. The defendant also sold crack cocaine, heroin, and methamphetamine throughout the Lexington area to numerous customers. The Lexington Police Department executed a search warrant at the defendant’s residence in March 2018, which led to the recovery of numerous firearms. The defendant, a convicted felon, was prohibited from possessing these and other firearms. As the investigation into the defendant’s illegal conduct continued throughout 2018 into 2019, he became aware that multiple potential witnesses were subpoenaed to testify before a federal grand jury in Lexington. The defendant threatened one witness with physical violence in an attempt to dissuade her from testifying truthfully before the grand jury. The defendant also repeatedly called and harassed another witness on the eve of her scheduled grand jury appearance in an attempt to prevent her from testifying truthfully before the grand jury.
A sentencing date has not been scheduled at this time, but it will occur before District Court Judge Robert E. Wier. The defendant faces a minimum sentence of 15 years’ imprisonment and a maximum sentence of life imprisonment, as well as mandatory restitution to the sex trafficking victims.
This case was investigated by the Lexington FBI office, the Lexington ATF office, and the Lexington Police Department. It is being prosecuted by Assistant U.S. Attorney Hydee Hawkins for the Eastern District of Kentucky and Special Litigation Counsel Matthew Grady for the Civil Rights Division’s Human Trafficking Prosecution Unit.
Las Vegas Resident Pleads Guilty to Fraudulently Obtaining Nearly $1.2 Million in Benefits from the Social Security Administration and Department of Veterans AffairsRead the Press Release
LAS VEGAS, Nev. — A Las Vegas resident pleaded guilty in federal court yesterday to fraudulently obtaining nearly $1.2 million in Social Security Administration (SSA) and Department of Veterans Affairs (VA) benefits, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada.
Javier Montano, 57, of Las Vegas, pleaded guilty to one count of theft of government funds. He is scheduled to be sentenced by U.S. District Judge Jennifer Dorsey on December 14, 2020.
According to court documents, Montano — who was the branch manager of a bank in Las Vegas — received information about two accounts with large balances and no activity:
- The first account (Account A) was held by a Las Vegas resident who was receiving SSA retirement benefits. The individual passed away in February 1997. The SSA was not notified about the individual’s death, and benefits continued to be paid into the account.
- The second account (Account B) was held by a Las Vegas resident who was receiving both SSA retirement benefits and VA benefits. The individual passed away in June 2011. Neither the SSA nor the VA was notified about the individual’s death, and benefits continued to accumulate in the account.
Through a bank computer, Montano ordered debit cards for both accounts, using them to withdraw cash — which he either spent or deposited into his personal bank account — and to make purchases for his personal use and benefit. In addition, Montano ordered and wrote checks (for his personal use) for Account B. Montano also used his authority as a branch manager to authorize a $35,000 cashier’s check from Account B. He then used the funds to buy a luxury car, which he has agreed to forfeit to the United States.
In total, between August 2015 and June 2020, Montano fraudulently obtained: (a) approximately $436,686.80 in SSA benefits to which he was not entitled; and (b) approximately $757,985.88 in VA benefits to which he was not entitled.
The statutory maximum penalty faced by Montano is 10 years in prison and a $250,000 fine. The sentencing of a defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
This case was the product of an investigation by the Social Security Administration, Office of Inspector General, and Department of Veterans Affairs, Office of Inspector General. Assistant U.S. Attorney Jamie Mickelson is prosecuting the case.
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- The first account (Account A) was held by a Las Vegas resident who was receiving SSA retirement benefits. The individual passed away in February 1997. The SSA was not notified about the individual’s death, and benefits continued to be paid into the account.
KC Man Charged with Drug Trafficking, Illegal FirearmsRead the Press Release
KANSAS CITY, Mo. – A Kansas City, Missouri, man has been charged in federal court with drug trafficking and illegally possessing firearms after law enforcement officers found firearms and large quantities of illegal drugs in his vehicle at the Argosy Casino.
Dominick A. Campos, 40, was charged in a two-count complaint filed in the U.S. District Court in Kansas City, Mo., on Wednesday, Sept. 9.
The federal criminal complaint charges Campos with one count of possessing methamphetamine with the intent to distribute and one count of possessing firearms in furtherance of drug trafficking.
According to an affidavit filed in support of the federal criminal complaint, law enforcement identified Campos during an investigation into drug sales in the Kansas City metropolitan area. Campos was arrested at the Argosy Casino on Tuesday, Sept. 8.
Following his arrest, Campos told officers he had been selling approximately one kilogram of methamphetamine each week since April 2020. When officers searched Campos’s car, they found a Zastava Serbian AK-47-style 7.62x39mm rifle, a Hi-Point .45-caliber semi-automatic handgun, nearly 4.5 kilograms of methamphetamine, approximately 3.7 kilograms of marijuana, 276 grams of suspected psilocybin mushrooms, 294 1100mg THC cartridges of LA Kush, 385 grams of suspected marijuana wax, 65 500mg THC edibles, 735 suspected acetaminophen/hydrocodone pills, 52 unknown pills, two notebooks that contained records of suspected drug transactions, drug paraphernalia, and $40,240.
The charges contained in this complaint are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Robert M. Smith. It was investigated by the Lee’s Summit, Mo., Police Department, the Jackson County Drug Task Force, and the FBI.
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.Justice Department Updates 2015 Business Review Letter to the Institute of Electrical and Electronics EngineersRead the Press Release
The Justice Department today issued a supplement to its Feb. 2, 2015 Business Review Letter from the Antitrust Division to the Institute of Electrical and Electronics Engineers, Incorporated (IEEE) (“the 2015 Letter”). The 2015 Letter analyzed proposed revisions to the IEEE’s Patent Policy of that same year pursuant to the department’s Business Review Procedure, 28 C.F.R. § 50.6. The Antitrust Division took this step to address concerns raised publicly by industry, lawmakers, and former department and other federal government officials that the 2015 letter has been misinterpreted, and cited frequently and incorrectly, as an endorsement of the IEEE’s Patent Policy. Additionally, aspects of the 2015 letter had become outdated based on recent jurisprudential and policy developments.
“The Department’s Business Review Procedure provides enforcement transparency to companies and organizations wishing to gain valuable insight into the department’s prospective enforcement views,” said Assistant Attorney General Makan Delrahim. “The 2015 IEEE Letter, however, has proven outdated and we fear that reliance on its analysis, both in the United States and abroad, could actually harm competition and chill innovation. The division concluded this supplement is necessary to provide increased clarity, given recent developments and potential misinterpretations of the division’s enforcement views.”
Under the Department of Justice’s Business Review Procedure, an organization may submit proposed conduct to the Antitrust Division and receive a statement as to the division’s current antitrust enforcement intentions based on the information provided. In addition to providing assurance to the requesting party, the Antitrust Division’s responses often explain the application of complex areas of antitrust law, such as patent pooling. The department, however, reserves the right to challenge the proposed conduct under the antitrust laws if its actual operation proves to be anticompetitive in purpose or effect. The department’s action today does not affect the Business Review Procedure.
The Antitrust Division’s supplemental letter explains that it is meant to align the now outdated analysis in the 2015 letter with current U.S. law and policy, which has evolved in important ways over the last five years in relation to the licensing of standard essential patents, and the governance of standards development organizations. The supplemental letter encourages IEEE to consider the supplementary letter and all applicable facts when assessing whether an update to the IEEE’s Patent Policy is warranted. The supplemental letter is available on Antitrust Division’s website, along with the 2015 letter and IEEE’s original business review request.
Justice Department Settles with Florida Towing Company it Alleges Illegally Sold or Scrapped Servicemembers’ VehiclesRead the Press Release
The Justice Department today reached an agreement with ASAP Towing & Storage Company (“ASAP”) in Jacksonville, Florida, to resolve allegations that ASAP violated a federal law, the Servicemembers Civil Relief Act (“SCRA”), by auctioning off or otherwise disposing of cars owned by protected servicemembers without first obtaining court orders.
Under the agreement, ASAP must pay up to $99,500 to compensate servicemembers whose cars were unlawfully auctioned off while they were in military service. ASAP must also pay a $20,000 civil penalty to the U.S. Treasury. The agreement, which is subject to court approval, resolves a suit filed today by the department in the U.S. District Court for the Middle District of Florida.
“This case began with a member of the U.S. Navy who returned home from an overseas deployment in service to his country, only to find that a towing company had auctioned off his sole means of transportation,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “The Justice Department must protect his rights just as he is protecting ours. We appreciate that the company has worked cooperatively with us to reach a settlement that will compensate all of the servicemembers whose vehicles were taken from them.”
“I am pleased that we were able to protect our servicemembers who are serving overseas by reaching a settlement with the ASAP Towing & Storage Company,” said U.S. Attorney Maria Chapa Lopez for the Middle District of Florida. “When servicemembers are deployed, and in harm’s way, fighting for our country, they should be able to find their personal vehicles where they left them when they return home.”
The department launched its investigation after becoming aware of a complaint by a U.S. Navy Lieutenant Junior Grade, alleging that ASAP had towed and auctioned his 2005 PT Cruiser without obtaining the court order required by the SCRA, while he was deployed aboard a naval submarine. The department’s complaint alleges that the Lieutenant’s vehicle had a military installation parking decal and contained “welcome aboard” documents for the naval submarine.
The department’s investigation revealed that between 2013 and 2020, ASAP auctioned multiple other vehicles registered to SCRA-protected servicemembers without obtaining the required court orders. The settlement requires ASAP to adopt new procedures to investigate the military status of any registered owner prior to auctioning a vehicle. ASAP will also be required to obtain a court order or a valid SCRA waiver prior to auctioning a vehicle owned by a protected 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/.
Judge sentences man on drug charges, assault on federal law enforcement officerRead the Press Release
ST. LOUIS – Brian Lawrence, 33, of St. Louis County, was sentenced yesterday to 70 months imprisonment by United States District Judge Rodney W. Sippel after pleading guilty to his involvement in conspiring to distribute and possess with the intent to distribute cocaine and to assaulting a federal law enforcement officer.
According to the plea agreement, in April 2019, Homeland Security Investigations (HSI) agents with the Department of Homeland Security in El Paso, Texas, posing undercover as suppliers of illegal drugs, made contact with co-defendant Terrell Reid, who was seeking to purchase 10 kilograms of cocaine for further distribution in the St. Louis area. The undercover agents agreed to sell the cocaine to Reid at a price of $29,000 per kilogram and that they would bring the cocaine to St. Louis.
Undercover agents agreed to meet Reid at a Best Western hotel in St. Charles, Missouri, on April 16, 2019, to deliver the cocaine. Prior to the April 16, 2019, meeting, Reid had brokered a deal with several individuals looking to purchase the cocaine in the St. Louis area, including Lawrence and co-defendant Bobby Robinson. Lawrence agreed to purchase one kilogram of cocaine through Reid, for $30,500, which he then intended to distribute to others.
On April 16, 2019, Lawrence met with Reid in the parking lot of the Best Western, where undercover agents were posing as suppliers of cocaine and additional HSI agents were conducting surveillance. After Reid met with the undercover agents and examined the cocaine inside the hotel, Reid returned to the parking lot, where Lawrence provided Reid with $30,500 in cash to purchase the kilogram of cocaine on Lawrence’s behalf. Reid also collected $61,000 in cash from Robinson in the parking lot to purchase two kilograms of cocaine. Reid then took the money into the hotel and provided it to the undercover agents, who agreed to deliver the cocaine to Reid’s customers waiting outside.
As delivery of the cocaine was made to Robinson, HSI agents arrested him. Observing the arrest of Robinson, Lawrence attempted to flee in his vehicle. While speeding off the Best Western parking lot to escape, Lawrence drove directly at an HSI agent who trying to stop him. Fearing for his life and the life of another agent in Lawrence’s path, the agent fired his firearm at Lawrence’s car, striking the hood of the vehicle.
Both co-defendants Reid and Robinson are awaiting trial, and are presumed innocent of the charges.
Homeland Security Investigations is investigating this case with assistance from the St. Charles Police Department. Assistant United States Attorney Lisa Yemm is handling this case for the U.S. Attorney’s Office.
Judge sentences Wentzville man for conspiracy to possess with intent to distribute fentanylRead the Press Release
ST. LOUIS – United States District Judge Audrey G. Fleissig sentenced Charles T. McRoberts to 120 months in prison. The 50-year-old Wentzville resident was charged with possession with intent to distribute 400 grams or more of fentanyl.
On July 12, 2019, McRoberts and co-defendant Gernell Armour possessed with intent to distribute approximately one kilogram of fentanyl. The day before, St. Louis Police Officers inspected packages for suspected illegal narcotics at the United Parcel Service Shipment Sorting Center. During the inspection, investigators discovered a suspicious package addressed to a person in St. Louis sent from Las Vegas, Nevada. investigators searched the sender’s name and address and found the information to be a fake company.
Believing the package to contain illegal narcotics, investigators used a K-9 to positively identify the presence of illegal narcotics within the package. The investigators obtained a warrant, opened the package and found clothing, a light bulb and vacuum-sealed bags containing suspected heroin/fentanyl.
A decoy package was created by investigators and a search warrant was obtained for the residence where the package was addressed. On July 12, 2019 a UPS employee attempted delivery of the decoy package. A person within the residence accepted the package, but later denied knowing its contents. Investigators observed McRoberts inside the residence during the decoy package delivery and watched him leave. McRoberts returned later to pick-up the decoy package, at which time he was taken into custody.
Co-defendant Gernell Armour is awaiting trial and presumed innocent of the charges.
The United States Drug Enforcement Administration St. Louis Metro Police Department investigated this case. Assistant United States Attorney Nauman Wadalawala handled this case for the U.S. Attorney’s Office.
Josephine County Man Sentenced to Federal Prison for Threatening Mass Shooting at YouTube HeadquartersRead the Press Release
MEDFORD, Ore.—William Gregory Douglas, 38, of Cave Junction, Oregon, was sentenced to 16 months in federal prison today and three years’ supervised release for threatening to shoot YouTube employees at the company’s San Bruno, California headquarters after his account was removed for violating the video-sharing platform’s terms of service.
According to court documents, sometime on or before August 22, 2018, YouTube removed Douglas’ video channel for violating the platform’s terms of service. In response, on August 23, 2018, Douglas posted five tweets threatening violence against YouTube employees. In one of the tweets, Douglas threatened a “bigger mass casualty” event, appearing to reference a prior shooting incident at YouTube’s headquarters in April 2018 that injured three employees.
Later, on September 8, 2018, Douglas posted a tweet stating “Hey why do you guys keep ignoring me would it be better if I leave you with no other options like your [sic] leaving me…I’m beyond pissed…I wonder how I should deal with this frustration.” Finally, on September 17, 2018, Douglas tweeted a direct threat at one of YouTube’s senior leaders saying “…I’m coming for you today #pray.”
On October 4, 2018, a federal grand jury in Medford, Oregon returned a one-count indictment charging Douglas with cyberstalking. Later, on January 14, 2020, he was charged by criminal information with one count of making interstate communications with the intent to extort. On February 20, 2020, Douglas pleaded guilty to the latter charge.
This case was investigated by the FBI and prosecuted by Judith R. Harper, Assistant U.S. Attorney for the District of Oregon.
Anyone with information about real or perceived threats of violence should call the FBI at (503) 224-4181 or submit a tip online at https://tips.fbi.gov. For immediate threats to life and safety, please call 9-1-1.
Jackson, Georgia Meth Dealer Enters Guilty Plea Following Undercover StingRead the Press Release
MACON, Ga. – A Middle Georgia drug dealer, arrested following a two-month undercover operation in Butts County, has pleaded guilty for distribution of methamphetamine, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia.
Darian Berry, 40, of Jackson, Georgia pleaded guilty to one count distribution of methamphetamine before U.S. District Judge Tripp Self on Tuesday, September 8. Berry faces a maximum 20 years in prison, a $1,000,000 fine and three years of supervised release. There is no parole in the federal system.
“Law enforcement stopped a well-known meth dealer in Butts County. The defendant is facing a steep prison sentence without parole for pushing this poison in Middle Georgia,” said Charlie Peeler, the U.S. Attorney. “I want to thank our law enforcement partners with Butts County S.O. and DEA for their continued efforts to rid our communities of methamphetamine and the destruction it causes.”
“The success of this investigation speaks to the collaborative law enforcement efforts in targeting and dismantling this drug trafficker’s methamphetamine distribution ring” said the Special Agent in Charge of the U.S. Drug Enforcement Administration’s Atlanta Field Division Robert J. Murphy. “This defendant profited by spreading this toxic drug in Butts County, and DEA is committed to serving and protecting this community. Strong law enforcement partnerships underscore the power of combined forces and demonstrate the collective impact on the war against meth.”
“I want to commend my agents, DEA and the United States Attorney’s Office for bringing this dealer to justice. We will continue to pursue those spreading poison in our community until justice is served. This type of result is what happens when agencies work together,” said Butts County Sheriff Gary Long.
The defendant admitted to selling methamphetamine to a Confidential Informant (CI) on five separate occasions in Butts County between July and August 2018. Officers with the Butts County Sheriff’s Office conducted the controlled, recorded buys. Berry sold a total of 16.368 grams of methamphetamine.
The case was investigated by the Butts County Sheriff’s Office and the Drug Enforcement Administration (DEA). Assistant U.S. Attorney William R. Keyes is prosecuting the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Iron and Steel Company Owner Admits to Pocketing Employees Federal Withholding TaxesRead the Press Release
PROVIDENCE – The owner of two Rhode Island businesses that supply steel and iron to construction sites today admitted that over a period of two years he intentionally failed to turn over to the IRS in excess of $570,000 in employment taxes withheld from his employees. Instead, he admitted, he used the funds to finance personal expenditures such as rent payments on a luxury home and online dating services.
Steven M. Allard, 58, of North Scituate, owner and operator of BR Steel Corporation in Burrillville and Greystone Iron Corporation in Smithfield, admitted to the court that from at least 2017 through 2018, he failed to turn over to the IRS federal employment taxes and FICA payments withheld from his employees, totaling in excess of $570,000. According to court documents, Allard used the money to pay for personal expenditures such as the purchase of over $216,000 in “credits” to an online dating website, RussianBrides.com, and $93,000 in rent payments for a luxury home in Scituate.
BR Steel and Greystone Iron are steel erection companies specializing in major construction projects such as shopping malls and school buildings. BR Steel employs between 45 and 55 employees. Greystone Iron employs between 75 and 85 employees.
Appearing before U.S. District Court Judge John J. McConnell, Jr., Allard pleaded guilty to willful failure to collect or pay over taxes, announced United States Attorney Aaron L. Weisman, Acting Special Agent in Charge of Internal Revenue Service Criminal Investigation Joleen Simpson, Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta, and Carol S. Hamilton, Regional Director, U.S. Department of Labor Employee Benefits Security Administration.
Today’s conviction marks the third conviction of Allard in federal court in Providence.
In 2009 Allard pleaded guilty to tax evasion and bankruptcy fraud, and was sentenced to 30 months in federal prison. Allard admitted to the court that from March 2005 to July 2006, he diverted for his and his wife’s personal use approximately $1.6 million dollars due the IRS in employment taxes. He also admitted to making false statements about real estate holdings in a bankruptcy filing in 2005.
Prior to his 2009 conviction, Allard was found guilty by a jury at trial of accepting kickbacks from public employees, and was sentenced to 10 months in federal prison.
Steven Allard is scheduled to be sentenced in this latest matter on November 30, 2020. Willful failure to collect or pay over taxes is punishable by statutory penalties of up to 5 years in federal prison, 3 years’ supervised release, and a fine of up to $250,000.
The case is being prosecuted by Assistant U.S. Attorney Sandra R. Hebert.
The matter was investigated by Internal Revenue Service Criminal Investigation, FBI, and U.S. Department of Labor Employee Benefits Security Administration.
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Inmate at United States Penitentiary at Canaan Pleads Guilty to Assaulting Another Inmate with A Dangerous WeaponRead the Press Release
SCRANTON - The United States Attorney’s Office for the Middle District of Pennsylvania announced that Michael Caraballo, age 37, formerly of Vermont, pleaded guilty on September 4, 2020, before U.S. District Court Judge Robert D. Mariani, to assault with a dangerous weapon and possession of contraband in prison.
According to United States Attorney David J. Freed, Caraballo, an inmate at USP Canaan, admitted to assaulting another inmate with a sharpened piece of metal commonly known as a “shank.” Caraballo also admitted to possessing the metal “shank,” which is contraband in a federal prison. The incident occurred in February 2017.
Judge Mariani ordered a presentence report to be completed. Sentencing will be scheduled at a later date.
The case was investigated by the Federal Bureau of Investigation and the Bureau of Prisons Special Investigative Service. Assistant United States Attorney Robert J. O’Hara prosecuted the case.
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.
The maximum penalty under federal law is 10 years of imprisonment, a term of supervised release following imprisonment, and a fine. Under the Federal Sentencing Guidelines, the Judge is also required to consider and weigh a number of factors, including the nature, circumstances and seriousness of the offense; the history and characteristics of the defendant; and the need to punish the defendant, protect the public and provide for the defendant's educational, vocational and medical needs. For these reasons, the statutory maximum penalty for the offense is not an accurate indicator of the potential sentence for a specific defendant.
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Illegal Alien Sentenced for Producing Child PornographyRead the Press Release
LAFAYETTE, La. – Pedro Aguirre-Nunez, 39, a Duson, Louisiana resident, was sentenced in United States District Court for Production of Child Pornography, Acting United States Attorney Alexander C. Van Hook announced. United States District Judge S. Maurice Hicks, Jr. sentenced Aguirre-Nunez to spend 224 months (18 years, 8 months) in prison, followed by 5 years of supervised release.
On March 29, 2019, Lafayette Parish Sheriff’s Office deputies responded to a report of indecent behavior with a juvenile at a residence in Duson, Louisiana. Law enforcement officers learned that videos of Aguirre-Nunez molesting a minor girl had been discovered on the cloud account associated with his phone. Officers obtained a search warrant for the cloud account and found three videos. The videos were taken on a smart phone and synched with the cloud account associated with that phone.
A forensic review determined that the videos had been taken a few months prior to the discovery of them. All three of the videos were taken while the minor child was asleep. On October 17, 2019, Aguirre-Nunez admitted that he did in fact produce the visual depictions of conduct with the minor child by using his smart phone and pled guilty to Production of Child Pornography in federal court.
Aguirre-Nunez is a citizen and national of Mexico and did not have legal status in the United States on the dates these crimes were committed.
The U.S. Department of Homeland Security-Homeland Security Investigations and the Lafayette Parish Sheriff’s Office conducted the investigation. Assistant U.S. Attorney David J. Ayo prosecuted the case.
This case is part of Project Safe Childhood, a U.S. Department of Justice nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood combines 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.projectsafechildhood.gov.
The U.S. Department of Homeland Security and U.S. Immigration & Customs Enforcement (ICE) also encourage the public to report suspected child predators and any suspicious activity through its toll-free hotline at (866) 347-2423. Investigators are available at all hours to answer hotline calls. Tips or other information can also be submitted to ICE online by visiting their website at www.ice.gov/exec/forms/hsi-tips/tips.asp or through the Operation Predator smartphone application www.ice.gov/predator/smartphone-app. Tips may be submitted anonymously.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Huntersville, N.C. Man Is Sentenced to Prison for Trafficking Narcotics on the Dark Web Using Bitcoin ATMs & Virtual WalletsRead the Press Release
CHARLOTTE, N.C. – Today, U.S. District Judge Kenneth D. Bell, sentenced Anthony Blane Byrnes, 19, of Huntersville, N.C., to 71 months in prison on drug charges, for trafficking narcotics he purchased on the dark web using cryptocurrency, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. In addition to the prison term imposed, Byrnes was also ordered to serve four years of supervised release.
According to the Criminal Information to which Byrnes pleaded guilty, other documents filed in this case and statements made in court, Byrnes conspired with a regional Drug Trafficking Organization (DTO) to distribute narcotics on the Dark Web. In August 2019, law enforcement intercepted a mail parcel from Slovenia addressed to Byrnes, containing suspected narcotics. On or about August 7, 2019, law enforcement conducted a controlled delivery of this parcel at Byrnes’s Huntersville, NC residence. Law enforcement observed Byrnes gathering the parcel and entering his residence. Subsequently, law enforcement executed a search warrant at the residence and seized numerous narcotics and contraband, including LSD, Psilocin, DMT, MDMA/Ecstasy, among other narcotics and paraphernalia. Law enforcement also recovered two firearms from the residence. Court documents demonstrate Byrnes had a previous infraction in April 2019, wherein law enforcement seized additional narcotics and a firearm. In total, three firearms and approximately $13,800 (USD) were recovered from Byrnes’ residence over the course of the investigation.
According to court documents, Byrnes purchased narcotics on the Dark Net Marketplace (DNM) “Empire Market.” Byrnes paid for the drugs using Bitcoin cryptocurrency, stored in VC wallets and used Bitcoin ATM machines in the greater Charlotte area to facilitate drug transactions, converting drug proceeds into virtual currency (VC), and arranging drug shipments for the DTO.
In making today’s announcement, U.S. Attorney Murray commended the U.S. Postal Inspection Service for leading the investigation, and thanked the Drug Enforcement Administration, ICE’s Homeland Security Investigations, the U.S.Customs and Border Protection, and the Huntersville (NC) Police Department for their invaluable assistance.
Assistant United States Attorneys Sanjeev Bhasker and Seth Johnson, of the U.S. Attorney’s Office in Charlotte, prosecuted the case.
Grand jury indicts man for carjacking causing serious bodily injury, two men for being felons in possession of a firearmRead the Press Release
ST. LOUIS, MO – A federal grand jury indicted Brandon Vandoren for carjacking causing serious bodily injury and for being a felon in possession of a firearm. The 23 year old is a resident of Mehlville. The grand jury also indicted Matthew Carver for being a felon in possession of a firearm. He is a 27-year-old St. Louis resident.
According to court documents, on May 20, 2020, Vandoren and Carver stole a vehicle at the MotoMart in Jefferson County. Vandoren got into the victim’s vehicle while Carver remained in the vehicle he and Vandoren arrived in at the MotoMart. As Vandoren and Carver began to drive away, the victim left from inside the MotoMart and chased the defendants on foot. Vandoren then ran over the victim, nearly killing him. Both Vandoren and Carver left the scene, leading police officers on a high-speed chase. Law enforcement took Carver into custody after Carver crashed the vehicle. Law enforcement arrested Vandoren the next day, in a hotel room, and found him with a firearm and narcotics. Facebook LIVE videos, from earlier in the day of the carjacking, show Vandoren and Carver each flashing what appears to be the same firearm discovered during Vandoren’s subsequent arrest.
Vandoren faces a maximum term of 25 years in prison if convicted of carjacking resulting in serious bodily injury. Both Vandoren and Carver face a maximum term of imprisonment of 10 years if convicted for being felons in possession of a firearm. Both defendants are presumed innocent.
The Missouri State Highway Patrol and Jefferson County Sheriff’s Office investigated this case. Assistant U.S. Attorney Cassandra Wiemken is handling the case for the U.S. Attorney's Office.
Grand jury indicts former Executive Director of Kirksville-based Victim Support Services for mail fraudRead the Press Release
ST. LOUIS, MO – On August 20, 2020, a federal grand jury indicted Kimberly LeBaron on three counts of mail fraud. The 61 year old is a resident of Kirksville. LeBaron appeared, today, in front of U.S. Magistrate Judge Nannette A. Baker for her initial appearance/arraignment.
According to the indictment, between January 2016 and June 30, 2018, LeBaron, Executive Director of Kirksville-based Victim Support Services (VSS), submitted several false and fraudulent invoices for funding under a Department of Justice Victims of Crime Administrators grant. VSS provided services, including shelter and advocacy, to people experiencing domestic violence.
The invoices submitted by LeBaron contained false information, specifically inflated numbers related to shelter stays. In many cases, LeBaron and VSS turned away clients claiming the shelter was full. In fact, the shelter was often not full and sometimes vacant. As a result, of LeBaron’s fraudulent actions, the DOJ paid approximately $173,000 in grant funds to VSS.
For each count of wire fraud, LeBaron faces a maximum punishment of 20 years of imprisonment and a fine of up to $250,000. LeBaron is presumed innocent until proven guilty.
The Department of Justice and Office of Inspector General investigated this case. Assistant U.S. Attorney Anthony Box is handling the case.
Grand Jury Returns IndictmentsRead the Press Release
MADISON, WIS. – A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments yesterday. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Merrill Man Charged with Environmental, Fraud & Tax Crimes
Kevin Shibilski, 59, Merrill, Wisconsin, is charged with storing and disposing of hazardous waste without a permit, in his capacity as the Chief Executive Officer of 5R Processors, Ltd., a Wisconsin company involved in the recycling of electronic waste from corporate and institutional clients and from manufacturers that participate in a manufacture-take-back program. The indictment alleges that Shibilski illegally stored and disposed of broken and crushed glass from cathode ray tubes that was hazardous due to lead-toxicity at facilities in Wisconsin and Tennessee.
The indictment also charges Shibilski with eight counts of wire fraud by taking in over $5.76 million from clients but failing to recycle over 8.3 million pounds of their crushed glass from cathode ray tubes that had lead in them and instead stockpiling it at 5R Processors’ warehouses in Wisconsin and Tennessee. The final count of the indictment alleges that Shibilski conspired to defraud the United States by the nonpayment and evasion of more than $850,000 in employment and income taxes for 5R Processors and its nominee entities.
In related cases, Thomas Drake, 80, Jasper, Georgia; James Moss, 61, Ladysmith, Wisconsin; and Bonnie Dennee, 66, Phillips, Wisconsin, who all held positions with 5R Processors, have been charged with conspiring to store and transport hazardous waste without the required permits. Moss also has been charged with conspiring to evade the payment of employment taxes and income taxes to the Internal Revenue Service. Drake, Moss, and Dennee have entered into plea agreements with the United States. Moss pleaded guilty on September 1, and his sentencing is scheduled for November 13. Plea hearings for Drake and Dennee have not taken place.
If convicted, Shibilski faces a maximum penalty of five years in federal prison on the charge of storing and disposing of hazardous waste without a permit, 20 years on each wire fraud charge, and five years on the tax charge.
The charges against Shibilski are the result of an investigation by the U.S. Environmental Protection Agency, Criminal Investigation Division; IRS Criminal Investigation; and the Wisconsin Department of Natural Resources, Bureau of Law Enforcement. Assistant U.S. Attorney Daniel J. Graber and James Cha with EPA Regional Criminal Enforcement Counsel are handling the prosecution.
Madison Man Charged with Armed Robbery & Gun Crimes
Nathaniel W. Homestead, 29, Madison, Wisconsin, is charged with the armed robbery of a Madison business. The indictment alleges that on July 19, 2020, Homestead robbed the Ground Zero Coffee Shop on Williamson Street and that during the robbery he displayed a firearm. The indictment also charges him with possessing a loaded firearm during that crime of violence, and being a felon in possession of a loaded 9mm handgun.
If convicted, Homestead faces a maximum penalty of 20 years in federal prison on the armed robbery charge, a mandatory minimum penalty of five years on the charge of possessing a firearm during a crime of violence, and a maximum of 10 years on the charge of being a felon in possession of a firearm. Federal law requires that any sentence imposed on the charge of possessing a firearm during a crime of violence be served consecutive to any other sentence imposed.
The charges against Homestead are the result of an investigation by the Madison Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Steven P. Anderson is handling the prosecution.
Madison Man Charged with Gun & Drug Crimes
Keefer Goodman, 28, Madison, Wisconsin, is charged with being a felon in possession of a firearm and with possessing 50 grams or more of methamphetamine with the intent to distribute. The indictment alleges that he possessed a loaded 9mm pistol and the methamphetamine on July 21, 2020.
If convicted, Goodman faces a maximum penalty of 10 years in federal prison on the charge of being a felon in possession of a firearm, and a mandatory minimum penalty of five years and a maximum of 40 years on the drug charge. The charges against him are the result of an investigation by the Madison Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Rita M. Rumbelow is handling the prosecution.
Madison Man Charged with Gun Crime & Possessing Marijuana for Distribution
Ramogi Carr, Jr., 19, Madison, Wisconsin, is charged with being a felon in possession of a firearm and with possessing marijuana with the intent to distribute. The indictment alleges that on February 18, 2020, he possessed a loaded 9mm pistol and the marijuana.
If convicted, Carr faces a maximum penalty of 10 years in federal prison on the charge of being a felon in possession of a firearm, and a maximum penalty of five years on the marijuana charge. The charges against him are the result of an investigation by the Verona Police Department, Federal Bureau of Investigation, and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Rita M. Rumbelow is handling the prosecution.
Madison Man Charged with Illegally Possessing Firearm
Corvalis Stewart, 33, Madison, Wisconsin, is charged with being a felon in possession of a firearm. The indictment alleges that on August 20, 2020, he possessed a loaded .40 caliber firearm.
If convicted, Stewart faces a maximum penalty of 10 years in federal prison. The charge against him is the result of an investigation by the Dane County Sheriff’s Office and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Rita M. Rumbelow is handling the prosecution.
Sun Prairie Man Charged with Being a Felon In Possession of Ammunition
Marvin Coates, 33, Sun Prairie, Wisconsin, is charged with being a felon in possession of ammunition. The indictment alleges that on June 23, 2019, he possessed .40 caliber ammunition.
If convicted, Coates faces a maximum penalty of 10 years in federal prison. The charge against him is the result of an investigation by the Dane County Sheriff’s Office. Assistant U.S. Attorney Chadwick M. Elgersma is handling the investigation.
The indictments charging Homestead, Goodman, Carr, Stewart, and Coates have been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition, and violent crimes and drug crimes that involve the use of firearms.
Eau Claire Man Charged with Methamphetamine Distribution
Zachary K. Tepsa, 33, Eau Claire, Wisconsin, is charged with distributing five grams or more of methamphetamine. The indictment alleges that he distributed the methamphetamine on March 12, 2019.
If convicted, Tepsa faces a mandatory minimum sentence of five years and a maximum of 40 years in federal prison. The charge against him is the result of an investigation by the West Central Drug Task Force, Chippewa County Sheriff’s Office, Eau Claire County Sheriff’s Office, Eau Claire Police Department, Eau Claire County District Attorney’s Office, and Drug Enforcement Administration. Assistant U.S. Attorney Steven P. Anderson is handling the prosecution.
Gang Member Involved in Vehicle Shoot-Out Sentenced to Prison for Firearm PossessionRead the Press Release
NORFOLK, Va. – A Suffolk man was sentenced today to 70 months in prison for being a felon in possession of a firearm.
“This case shows the horrific violence that organized criminal gangs threaten our communities with,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Depravity and violence follow gang activity. It’s our innocent by-standing citizens that are put most at-risk by these activities. I would like to thank our local, state, and federal law enforcement partners for their help in this case and in protecting our community members from the threat of gang violence.”
According to court documents, Tamarrea Deyon Walker, 25, is a member of the Suffolk-based criminal street gang “YNGI.” In April 2019, Walker and a fellow gang member brandished firearms and shot at two rival gang members, who fled to their vehicle and drove away. Walker and four other YNGI members piled into their own car and gave chase. The two groups shot at each other while the cars were moving. The driver of Walker’s car was shot in the chest with a rifle, which caused him to slam on the gas, speed through an intersection, and crash head-on into another vehicle.
“Reckless actions by violent criminals are a dangerous threat to our community,” said Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office. “The only way to defeat this type of gang violence is for law enforcement to work together as one team, and the Tidewater Violent Crimes Task Force represents the commitment of law enforcement partners at every level to target the gangs and criminal enterprises that drive violent crime in Hampton Roads.”
Police officers arrived at the accident scene soon after and saw Walker rummaging around the vehicle and an extended 9mm magazine lying on the ground by his feet. The officers also recovered from the wreckage more than 30 grams of heroin and four firearms, including a Masterpiece Arms 9mm handgun. A photo of Walker holding the Masterpiece Arms handgun, loaded with that same extended magazine, was posted on his Instagram account just days earlier.
“This case serves as a stark reminder of the violence and fear caused by criminal street gangs in our communities,” said Alfred Chandler, Chief of Police for the City of Suffolk. “This conviction is also a reminder of the effectiveness of hard work and relentless investigation and teamwork between federal, state, and local law enforcement.”
This case is 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 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.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; and Alfred Chandler, Chief of Police for the City of Suffolk, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorney William B. Jackson prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:19-cr-187.
Fraud Alert: Scammers Claiming to be with DOJ, Preying on ElderlyRead the Press Release
Memphis, TN – The Office of Justice Programs’ Office for Victims of Crime (OVC) has received multiple reports that individuals claiming to represent the Department of Justice are calling members of the public as part of an imposter scam. The Department strongly encourages the public to remain vigilant and not to provide personal information during these calls, which appear to target the elderly.
Reports to the National Elder Fraud Hotline indicate these scammers falsely represent themselves as Department of Justice investigators or employees and attempt to obtain personal information from the call recipient, or they leave a voicemail with a return phone number. The return phone number directs users to a recorded menu that matches the recorded menu for the department’s main phone number. Eventually, the user reaches an "operator" who steers the user to someone claiming to be an investigator. That "investigator" then attempts to gain the user’s personal information.
"Phone scams are an ugly and pervasive act of victimization. The scams being reported to our National Elder Fraud Hotline are especially heinous because they show the perpetrators are preying upon one of the most vulnerable segments of our society – the elderly," said OVC Director Jessica Hart. "As if this were not despicable enough, the scammers do so posing as employees of the Justice Department, usurping public trust in the agency that serves as a bastion of fairness and lawfulness while these scams exploit the elderly for financial gain. The first step to identifying these criminals is to have their crimes reported."
U.S. Attorney D. Michael Dunavant said, "Those who target the elderly will receive the full attention of our office and law enforcement officials in West Tennessee. We will work with our senior citizens to empower them with knowledge and awareness so that they can defend themselves from these fraudulent phone scams."
Those who receive these calls are encouraged not to provide personal information and to report these scams to the FTC via their website or by calling 877–FTC–HELP (877-382-4357). Fraud can also be reported to the FBI for law enforcement action at https://www.justice.gov/criminal-fraud/report-fraud.
The National Elder Fraud Hotline is a resource created by OVC for people to report fraud against anyone age 60 or older. Reporting certain financial losses due to fraud as soon as possible, and within the first 2–3 days, can increase the likelihood of recovering losses. The hotline is open seven days a week. For more information about the hotline, please visit https://stopelderfraud.ovc.ojp.gov/.
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Fort Myers Woman Indicted for Wire Fraud and U.S. Department of Education Financial Aid FraudRead the Press Release
Fort Myers, Florida – United States Attorney Maria Chapa Lopez announces the return of an indictment charging Elaine M. Levidow (60, Fort Myers) with 10 counts of wire fraud and one count of Federal Student Assistance fraud. If convicted, Levidow faces a maximum penalty of 20 years in federal prison for each wire fraud count and up to 5 years in federal prison for the financial aid fraud count.
According to the indictment, Levidow owned and operated the Training Domain, an educational institution in Fort Myers that held itself out as offering business software application courses to improve the employability skills of individuals. Training Domain qualified to receive U.S. Department of Education Title IV Federal Student Assistance (FSA) on behalf of students. During the approximate time period of July 2017 through April 2019, Levidow solicited students to enroll in her school and assisted them in applying for financial aid in the form of Pell Grants and Direct Student Loans. Rather than using the loan and grant proceeds to hold classes at the Training Domain and for other educational expenses, Levidow kept the FSA funds and split them with students. The amount of the fraud was approximately $109,323. The indictment also alleges that Levidow created false and fraudulent high school diplomas and GEDs for students that she provided to an auditor even though she knew that the students had either not attended the underlying high school, had not graduated, or had not received a GED.
An indictment is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the U.S. Department of Education Office of Inspector General. It will be prosecuted by Assistant United States Attorney Jeffrey F. Michelland.
Former task force officer charged with cocaine distributionRead the Press Release
MCALLEN, Texas - A 31-year-old former officer and resident of Maurepas, Louisiana, has been arrested in McAllen for possession with intent to distribute more than five kilograms of cocaine, announced U.S. Attorney Ryan K. Patrick and Special Agent in Charge Shane Folden of Immigration and Customs Enforcement’s Homeland Security Investigations (HSI) - San Antonio.
Johnny Jacob Domingue is set to make his initial appearance before U.S. Magistrate Judge Juan F. Alanis in McAllen at 9 a.m. today. Authorities had taken Domingue into custody yesterday afternoon upon the filing of a criminal complaint.
According to the charges, Domingue had been a federal task force officer for the Drug Enforcement Administration in Louisiana.
The complaint alleges that beginning in late July and continuing through September 2020, Domingue negotiated the purchase of four kilograms of cocaine, agreeing to pay approximately $100,000. He also negotiated the transportation of another four kilograms of cocaine, according to the charges.
On Sept. 9, Domingue allegedly traveled to Edinburg and picked up a vehicle loaded with eight kilograms of cocaine concealed inside a secret compartment. The complaint further alleges Domingue intended to transport the vehicle to Houston and on to Louisiana to further distribute the cocaine to buyers.
If convicted, Domingue faces a minimum of 10 years and up to life in prison and a possible $10 million maximum fine.
HSI is leading the Organized Crime Drug Enforcement Task Force (OCDETF) investigation dubbed Operation Blue Shame which has resulted in the arrest and prosecution of 20 individuals including seven law enforcement officers. Police departments in McAllen, Mission, Alamo and Alton; Hidalgo County Sheriff’s Office, Texas Attorney General’s Office and Customs and Border Protection’s Air and Marine units have all provided assistance.
Assistant U.S. Attorneys Anibal Alaniz and Casey N. MacDonald are prosecuting the case.
This case is the result of the ongoing OCDETF efforts – a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal OCDETF mission is to identify, disrupt, dismantle and prosecute high level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
A criminal complaint is a formal accusation of criminal conduct, not evidence. A defendant is presumed innocent unless convicted through due process of law.
Former Senate Employee Sentenced for His Participation in A Scheme to Defraud the GovernmentRead the Press Release
SAN JUAN, P.R. – United States District Court Judge Francisco A. Besosa sentenced Ángel Figueroa-Cruz to 10 months in prison followed by a supervised release term of three years and 150 hours of community service for his participation in a scheme to defraud the government, announced W. Stephen Muldrow, United States Attorney for the District of Puerto Rico. Figueroa-Cruz pleaded guilty on October 15, 2019 to one count of conspiracy to commit wire fraud.
On May 28, 2019, a federal grand jury returned an 18-count indictment charging former Senate employee Ángel Figueroa-Cruz, along with two former contractors Chrystal Robles-Báez and Isoel Sánchez-Santiago with conspiracy to commit wire fraud, 10 substantive counts of wire fraud, intentional misapplication of property by an agent of an organization receiving federal funds, aggravated identity theft, and money laundering.
Chrystal Robles-Báez and Isoel Sánchez-Santiago pleaded guilty in August 2019 and were sentenced on February 6, 2020, to four and ten months of imprisonment, respectively.
According to the allegations in the indictment, from in or about 2016 to June 2018, defendants Chrystal Robles-Báez, Isoel Sánchez-Santiago, and Ángel Figueroa-Cruz engaged in a scheme to defraud money and property from the government of Puerto Rico by means of materially false and fraudulent representations and promises. The defendants sought to accomplish their scheme to defraud by billing, approving, and collecting for contractual professional services work that was either not completed, or was performed in contravention to the explicit terms of the contracts.
As alleged in the indictment, the defendants participated in lawful electoral campaign activities for candidates to elected offices during the 2016 Puerto Rico general elections. After the general elections in late 2016, the defendants began to explore employment opportunities with the Government of Puerto Rico, including contracts for professional services. On January 1, 2017, defendant Chrystal Robles-Báez incorporated Global Instant Consulting Group, Inc. (“GICG”). The purpose of the corporation was to provide administrative and political counseling, workshops and public relations, and consulting. On the same day, defendant Isoel Sánchez-Santiago incorporated International Legislative and Governmental Consulting Group, Inc. (ILGCG). The purpose of the corporation was to provide governmental administrative consulting, creation of proposals, offering of workshops, and legislative process and parliamentary procedures.
In the process of establishing the corporations, defendant Robles-Báez solicited through interstate wire communications necessary documentation from various departments, agencies, and dependencies of the Government of Puerto Rico, including, but not limited to: (a) the Department of State; (b) the Treasury Department; and (c) the Police of Puerto Rico. Eventually, the defendants entered into professional services contracts with the Government of Puerto Rico. Specifically, the Puerto Rico Senate and the Puerto Rico House of Representatives.
According to the indictment, defendant Robles-Báez, on numerous occasions, certified and requested payments indicating that she had attended the Office of Governmental Affairs to provide professional services as detailed in the two GICG contracts, when in fact on those days the defendant did not attend the Office of Governmental Affairs or provide professional services. Additionally, defendants Robles-Báez and Sánchez-Santiago utilized the personal identifying information of numerous individuals, without their knowledge or consent, in order to give the impression that defendant Robles-Báez, as an “Intergovernmental Coordinator” on behalf of GICG, had provided those individuals with professional services, when in fact no such services were ever requested by those individuals.
Furthermore, defendant Robles-Báez utilized the assistance, contacts, and services of defendant Sánchez-Santiago in order to fraudulently justify work allegedly completed under the GICG contracts. Defendant Ángel Figueroa-Cruz, who was the Executive Director of the Office of Governmental Affairs in the Puerto Rico Senate, falsely certified as correct, the information contained in the bills/invoices for payment submitted by defendant Robles-Báez as an “Intergovernmental Coordinator” on behalf of GICG in support of payment. Defendants Robles-Báez and Sánchez- Santiago divided the proceeds of the conspiracy and scheme to defraud.
The case was prosecuted by Assistant United States Attorney and Criminal Division Chief Timothy Henwood. The case was investigated by the FBI and was referred by the Puerto Rico Department of Justice.
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Former Driscoll’s Executive Sentenced to over Two Years in Prison for EmbezzlementRead the Press Release
SAN JOSE– Marc Marier was sentenced to 29 months in prison and ordered to pay over $1.49 million in restitution for wire fraud and money laundering, announced United States Attorney David L. Anderson and FBI Special Agent in Charge John F. Bennett. The sentence was handed down by the Honorable Lucy Koh, U.S. District Judge.
Marier, 42, of Naperville, Illinois, pleaded guilty to the charges on June 10, 2020. Driscoll’s, a company headquartered in Watsonville, Calif., that sells berries, hired Marier as its Director of Real Estate and Workplace Services in October 2017. Driscoll’s paid Marier to relocate from Illinois to California to accept the position.
According to the plea agreement and the government’s sentencing memorandum, about a month into his employment, Marier sought to clarify the scope of his invoice approval authority. Marier was informed that he had the authority to approve invoices of up to $250,000 by virtue of his director-level status at Driscoll’s. Within weeks, Marier started abusing that authority by submitting and approving false invoices from a fake business called TNC US Inc. and routing the payments to a shell J.P. Morgan Chase bank account that he created and maintained for TNC. TNC had no bona fide assets, no employees, and no business. Marier used TNC solely to further his scheme to embezzle funds from Driscoll’s. In total, Marier submitted at least fifteen false invoices to Driscoll’s between November 2017 and May 2018 and received approximately $1.49 million in payment for services that TNC never rendered.
Marier used the embezzled funds to make personal expenditures, including for a five-bedroom home in Naperville, Illinois; a GMC Yukon XL; and a $75,000 cashier’s check for his girlfriend. Marier resigned the day after he became aware of Driscoll’s internal investigation into the fraudulent invoices that he had submitted and approved. Driscoll’s then referred the case to the FBI.
A grand jury indicted Marier on February 14, 2019, charging him with two counts of wire fraud, in violation of 18 U.S.C. § 1343, and two counts of money laundering, in violation of 18 U.S.C. § 1957. Marier pleaded guilty to one count of each charge.
In February 2019, the government seized the Naperville home, the GMC truck, and over $700,000 in cash from bank accounts associated with Marier and TNC. Marier agreed to forfeit all of these assets and to pay full restitution for all losses suffered by Driscoll’s.
In addition to the prison term, Judge Koh ordered Marier to serve a three-year period of supervised release and signed a preliminary order of forfeiture that included, among other things, a personal forfeiture money judgment in the sum of $1,489,216.25. The defendant will begin serving the prison term in January 2021.
Assistant U.S. Attorneys Marissa Harris, Karen Beausey, and Jeffrey Schenk are prosecuting the case with the assistance of Jessica Leung. The prosecution is the result of an investigation by the FBI.
Former Controller for Contracting Co. Sentenced to 5+ Years in Prison for $8.7 Million Embezzlement Scheme and Filing False Tax ReturnsRead the Press Release
PITTSBURGH A resident of Sewickley, Pennsylvania, has been sentenced in federal court to five years and four months (64 months) in prison to be followed by two years of supervised release on her conviction for wire fraud and filing false income tax returns, United States Attorney Scott W. Brady announced today.
United States District Judge DonettaW. Ambrose imposed the sentence on Sue O’Neill, 55, of 130 Kenney Drive, Sewickley, Pennsylvania.
According to information presented to the court, O’Neill, while employed as the Controller for Marco Contractors, Inc., embezzled approximately $8.7 million over the course of nine years. The Court was further advised that she and another individual started a company called Bulldog Contractors LLC and used approximately $6.7 million of the stolen money to fund the business. The other $2 million in embezzled funds went into her personal bank account. O’Neill and her business partner used the stolen funds for business expenses and for personal use. Among other things, the Court was advised that they purchased two 1969 Ford Shelby GT500s for approximately $160,000 each and spent approximately $163,000 renovating a 1969 Ford Mustang. O’Neill further spent hundreds of thousands of dollars on jewelry and a country club membership. Lastly, the Court was advised that O’Neill filed false income tax returns because she did not declare the stolen funds as taxable income.
Assistant United States Attorney Lee J. Karl prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation, the Allegheny County District Attorney’s Office, the Northern Regional Police Department, the Internal Revenue Service-Criminal Investigation and the United States Marshals Service for the investigation leading to the successful prosecution of O’Neill.
Former Bristol Resident Pleads Guilty to Fentanyl and Crack Distribution ChargesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ELKIE CRUMP, also known as “40,” 38, pleaded guilty today to fentanyl and crack cocaine distribution offenses.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the court proceeding before U.S. District Judge Janet C. Hall occurred via videoconference.
According to court documents and statements made in court, in December 2019, the DEA’s New Haven Tactical Diversion Squad and Bristol Police Department began an investigation into Crump after receiving information that Crump, who formerly resided on Davis Drive in Bristol, was distributing fentanyl. On three occasions in January and February 2020, investigators conducted controlled purchases of fentanyl from Crump.
On March 3, 2020, Crump was arrested in West Hartford where he was residing as a condition of his state parole. At the time of his arrest, Crump possessed approximately 14 grams of crack cocaine. On that date, a related search of a Davis Drive residence revealed a 9mm handgun that Crump had possessed.
Crump pleaded guilty to one count of possession with intent to distribute, and distribution of, fentanyl, and one count of possession with intent to distribute cocaine base (“crack”). Judge Hall scheduled sentencing for December 2, 2020, at which time Crump faces a maximum term of imprisonment of 20 years on each count.
Crump has been detained since his arrest.
The DEA Tactical Diversion Squad includes officers from the Bristol, Hamden, Meriden, New Britain, West Haven and Watertown Police Departments.
This case is being prosecuted by Assistant U.S. Attorney Conor M. Reardon.
Florida Man Pleads Guilty to CyberstalkingRead the Press Release
CHARLOTTESVILLE, Va. – Agustin Alberto Lainez, a Florida man who harassed a Charlottesville-area woman and threatened to physically harm her and expose publicly her personal information, pleaded guilty yesterday in U.S. District Court here to federal cyberstalking. United States Attorney Thomas T. Cullen and David W. Archey, Special Agent in Charge of the FBI’s Richmond Division made the announcement today.
“This defendant used a keyboard to harass the victim in this case with remarkable cruelty, to the point of causing her panic attacks—all while trying to hide in the shadows of the internet,” First Assistant United States Attorney Daniel P. Bubar said today. “This abhorrent conduct of extortion and blackmail is just as wrong in cyberspace and will be punished accordingly. I am proud of the work of the FBI for bringing this defendant to justice and allowing the victim at least some semblance of peace.”
Lainez, 22, of Sanford, Fla., pleaded guilty yesterday to one count of cyberstalking. At sentencing, Lainez faces a maximum possible penalty of up to five years in prison and/or a fine of up to $250,000, as well as a period of supervised release.
According to court documents, in approximately September 2019, Lainez became friends with the Victim online, and the two started talking through Twitter Direct Messages (DMs). In January 2020, Lainez requested a nude photograph of the Victim. The Victim initially declined but later relented.
Over the next several weeks, Lainez asked if the Victim would have a sexual relationship with him and informed the Victim that he would only be able to “move on” and be friends with the Victim if they had sexual intercourse. When the Victim declined his advances, Lainez demanded a nude video, threatening to expose the Victim’s personal information if she did not send nude videos as he had demanded.
The Victim still declined.
When threats of exposure failed to work, Lainez threatened physical harm. On February 21, 2020, Lainez sent a Twitter DM to the Victim showing a screenshot in which Lainez is directing other Twitter users to “please beat [her] ass…” In another Twitter DM, Lainez threatened to rape the Victim.
In another screenshot, Lainez sent the Victim what appears to be a “Notes” page that included the Victim’s name, high school, city of residence, university, telephone number, and other sensitive information. Lainez added a message, “On my draft ready go go [sic] and I’m adding more.” Fearful that Lainez would follow through with his threats, the Victim gave in to Lainez’s demand for a nude video of herself. However, this did not stop Lainez’s abusive behavior, which continued on an almost daily basis for weeks.
In his Twitter DMs, Lainez repeatedly admitted that he was extorting the Victim. For example, in one DM, Lainez stated that he was going to “keep Blackmailing you and adding things for you to do whenever you lie or I think you’re lying to me.” In another DM, Lainez wrote, “Lowkey hate this and like it at the same time, I just wish I didn’t have to literally blackmail you for you to tell me the truth and not be a whore lol.”
As a result of his actions, the Victim lived in constant fear, was subject to emotional distress, and suffered panic attacks.
The investigation of the case was conducted the Federal Bureau of Investigation. Assistant United States Attorney Heather L. Carlton is prosecuting the case for the United States.
Five Individuals ChargedRead the Press Release
SOUTH BEND – Five individuals from Elkhart, Indiana were charged by way of a 2 count Indictment with robbery affecting interstate commerce and using a firearm in the commission of a crime of violence, announced U.S. Attorney Kirsch.
“I commend the FBI, in addition to the other agencies that participated in solving this case,” said United States Attorney Thomas L. Kirsch II. “Violent crimes, like those alleged, will be thoroughly investigated by our law enforcement partners and prosecuted by my Office.”
According to documents in this case, it is alleged that a small group known as the ChoppaBoyz robbed a homeowner on June 9, 2020. During the robbery, the homeowner was shot in the leg. The homeowner along with another person on the property were also allegedly beaten repeatedly with handguns while the robbers asked about the location of a safe in the home. The robbers stole the safe, drugs, money, a handgun, and jewelry. After the police arrived, they obtained a search warrant for the residence and discovered it to have cocaine, marijuana and prescription pills onsite that were overlooked by the robbers. The statements the robbers made, including asking for an AR-15 pistol that was recently traded, gave the victims an idea of who the robbers were. Based on this and other information: Marco Fernandez (age 24); Jose Trigo (age 20); Juantio Gould (24); Carlos Reyes (age 20); and Emmanuel Martinez-Guevara (age 20) were each indicted for robbery affecting interstate commerce and using, carrying, and discharging a firearm in the commission of a crime of violence.
“This indictment is an example of the investigative focus on violence in our communities and the impact of collaboration among agencies in which crimes cross state lines,” said FBI Indianapolis Special Agent in Charge Paul Keenan, “The FBI’s Safe Streets Gang Task Force will continue to work with our partners the Elkhart Police Department, the St. Joseph County Sheriff’s Department, and the South Bend Police Department to pursue those who commit these violent crimes and take them off our streets.”
The United States Attorney’s Office emphasizes that an Indictment is merely an allegation and that all persons are presumed innocent until, and unless proven guilty in court.
If convicted, any specific sentence to be imposed will be determined by the judge after a consideration of federal sentencing statutes and the Federal Sentencing Guidelines.
This case is being investigated by the Federal Bureau of Investigation with the assistance of the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms, and Explosives, South Bend Police Department, Elkhart County Intelligence and Covert Enforcement Unit, and Cedar City Utah Police Department. This case is being prosecuted by Assistant U.S. Attorney Joel Gabrielse.
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Ex-Indian Health Services doctor admits conflict of interest chargesRead the Press Release
GREAT FALLS – A former Indian Health Services doctor who worked in Browning today admitted charges of conflict of interest for using his job to prescribe a diabetes drug from a pharmacy in exchange for kickbacks, U.S. Attorney Kurt Alme said.
Dr. Arnold Scott Devous, 68, of Billings, pleaded guilty to federal medical officer with conflict of interest. Devous faces a maximum five years in prison, a $250,000 fine and three years of supervised release.
Chief U.S. District Judge Brian M. Morris presided. Devous was released. Sentencing was set for Dec. 10.
In court documents filed in the case, the prosecution said that Devous, who was a medical officer for the IHS in Browning and in charge of its diabetes program, used his position to prescribe Farxiga, a Type 2 diabetes medication. Farxiga was not on the IHS formulary and could not be obtained at the facility. From December 2015 until June 2016, Devous solicited multiple pharmacies in Montana to fill expensive prescriptions of Farxiga in exchange for Devous receiving a "cut" of the profits and kickbacks. Government personnel are prohibited from engaging in these types of relationships.
Ultimately, a pharmacy agreed to Devous' terms and the amount of money paid to the doctor totaled $45,540 in approximately six months. Devous first hid the kickbacks by sending the money to his wife, and then he used a prospective business associate. Neither of these options was allowable under the law. When interviewed, Devous admitted that his wife received the money, which was illegal. Devous also admitted he never informed his superiors of the outside income as required by law.
Assistant U.S. Attorney Ryan Weldon is prosecuting the case, which was investigated by the Office of Inspector General, Office of Investigations, U.S. Department of Health & Human Services.
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Eight Individuals Charged with Using Stolen Identities to Fraudulently Purchase Vehicles Worth at Least a Half Million DollarsRead the Press Release
BOSTON – Eight individuals have been charged with using the stolen identities of United States citizens from Puerto Rico to fraudulently purchase and finance late-model vehicles from dealerships in Massachusetts. In a coordinated effort, District of New Jersey, the State of New Jersey and the Northern District of Ohio also charged defendants in this scheme.
According to charging documents, between October 2017 and January 2019, the defendants visited Massachusetts car dealerships to purchase late-model vehicles and applied for 100% financing. In support of their applications, the defendants provided stolen biographical information of real United States citizens, fraudulent Puerto Rico driver’s licenses and Social Security cards in those identities, as proof of identification. The group allegedly used the stolen identities to illegally open bank accounts, credit cards and purchase vehicles, many of which were exported out of the United States.
The following individuals were charged today by criminal complaint, and all but two defendants who were already in custody, have been arrested.
- Ricardo Acevedo, 31, of Manchester, N.H., was charged with false representation of a Social Security number, aggravated identity theft and wire fraud. Acevedo allegedly used stolen identities to obtain car loans and purchased three cars worth $90,582, collectively;
- Joshua Cruz, 32, of Manchester, N.H., was charged with false representation of a Social Security number, aggravated identity theft and wire fraud. Cruz allegedly used stolen identities to obtain car loans and purchased three cars worth $170,288, collectively. Cruz is currently in custody serving a sentence on related state charges;
- Jose Irizarry, 44, of Union City, N.J., was charged with false representation of a Social Security number, aggravated identity theft and wire fraud. Irizarry allegedly used stolen identities to obtain car loans and purchased three cars worth $140,124, collectively. Irizarry was previously charged on related state charges in New Jersey, and remains in custody;
- Neida Lopez, 43, of Methuen, Mass., was charged with aggravated identity theft and conspiracy to commit wire fraud. Lopez allegedly used a stolen identity to obtain a credit card and accrue $21,931 in charges on that card;
- Arialka Moya, 31, of Lowell, Mass., was charged with false representation of a Social Security number and wire fraud. Moya allegedly used a stolen identity to obtain a car loan and purchased one car worth $60,982;
- Alvin Rivera, 37, of Haverhill, Mass., was charged with false representation of a Social Security number, aiding and abetting the same, aggravated identity theft, aiding and abetting the same and wire fraud. Rivera allegedly assisted other individuals with the fraudulent purchase of vehicles by providing them with stolen personal identities and information;
- Iyaury Rodriguez, 39, of Reading, Penn., was charged with false representation of a Social Security number, aggravated identity theft and wire fraud. Rodriguez allegedly used stolen identities to obtain car loans and purchase three cars worth $98,432, collectively; and
- Wanda Sanchez, 36, of Lawrence, Mass., was arrested for false representation of a Social Security number, aggravated identity theft and wire fraud. Sanchez allegedly used a stolen identity to obtain a car loan to purchase one car worth $50,962.
In a coordinated multi-jurisdictional effort, individuals allegedly involved in this scheme were also charged in the District of New Jersey, the State of New Jersey and the Northern District of Ohio.
The investigation was conducted by Homeland Security’s Investigation’s Document and Benefit Fraud Task Force (DBFTF), a specialized field investigative group comprised of personnel from various local, state, and federal agencies with expertise in detecting, deterring, and disrupting organizations and individuals involved in various types of document, identity, and benefit fraud schemes. The DBFTF has been investigating this scheme since January 2019.
The charges of wire fraud and conspiracy to commit wire fraud provide for a sentence of up to 20 years in prison, three years of supervised release and a fine of up to $250,000 or twice the gross gain or loss from the offense. The charge of aggravated identity theft carries a mandatory two-year sentence that must run consecutively to any other sentence imposed, up to one year of supervised release and a fine of up to $250,000. The charge of false representation of a Social Security number provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; and Brockton Police Chief Emanuel Gomes made the announcement today. Assistance was provided by the Lowell, Lawrence, Methuen, Haverhill, Woburn, and Dartmouth Police Departments. Assistant U.S. Attorneys Elianna Nuzum and Adam Deitch of Lelling’s Major Crimes Unit are prosecuting the case.
The details contained in the indictment are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Drug dealer sentenced after selling meth at bus stationRead the Press Release
CORPUS CHRISTI, Texas – A 30-year-old Coastal Bend resident has been ordered to federal prison following his conviction of trafficking meth, announced U.S. Attorney Ryan K. Patrick.
Edward Andrew Nesmith pleaded guilty June 16.
Today, U.S. District Judge Nelva Gonzales Ramos ordered Nesmith to serve a 92-month sentence to be immediately followed by four years of supervised release. At the hearing, the court heard additional information including evidence detailing the lack of deterrence from at least a decade of Nesmith’s previous criminal episodes, including assault family violence, forgery and theft. In handing down the sentence, Judge Ramos noted Nesmith’s life of crime and drug use while mentioning his three prior felony drug convictions.
On or about Nov. 2 through Nov. 13, 2018, Nesmith was involved in a conspiracy to possess with intent to distribute meth along with and Corina Perez, 47, Corpus Christi. They negotiated terms of the sale or distributed the meth at a local shopping center and bus terminal in Corpus Christi.
Nesmith has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
On May 19, Judge Ramos sentenced Perez to 24 months in federal prison followed by four years of supervised release.
The Drug Enforcement Administration and Corpus Christi Police Department conducted the investigation. Assistant U.S. Attorney Reid Manning prosecuted the case.
Dominican National Pleads Guilty to Illegal ReentryRead the Press Release
BOSTON – A Dominican national who previously resided in Lawrence pleaded guilty yesterday in federal court in Boston to illegal reentry.
Melvin Villar, 56, pleaded guilty to one count of unlawful reentry of deported alien before U.S. Senior District Court Judge Douglas P. Woodlock, who scheduled sentencing for Jan. 11, 2021.
On July 23, 2019, Villar was encountered in Lawrence. Villar was previously deported on three separate occasions between 2004 and 2019. At some point after each deportation, he illegally reentered the United States.
The charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based on the United States Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Todd M. Lyons, Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations; and Lawrence Police Chief Roy Vasque made the announcement. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit is prosecuting the case.
Dominican National Pleads Guilty to Fentanyl TraffickingRead the Press Release
BOSTON – A Dominican national pleaded guilty today in federal court in Boston to fentanyl trafficking.
Cristian Lara Diaz, 44, pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute 400 grams or more of fentanyl and five counts of distribution of and possession with intent to distribute 40 grams or more of fentanyl. U.S. District Court Judge Nathaniel M. Gorton scheduled sentencing for Jan. 12, 2021. Lara Diaz has been in federal custody since his arrest on August 29, 2019.
According to court documents, Lara Diaz and, allegedly, his co-defendant conspired to distribute fentanyl and engaged in five separate controlled sales of fentanyl to a cooperating witness in Boston between April 2017 and January 2018.
The charge of conspiracy to distribute and possess with intent to distribute more than 400 grams or more of fentanyl carries a mandatory minimum sentence of 10 years and up to life in prison, at least five years of supervised release and a fine of up to $10 million. The charges of distribution of and possession with the intent to distribute 40 grams or more of fentanyl carry a mandatory minimum sentence of five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Boston Police Commissioner William Gross made the announcement today. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Doctor Pleads Guilty to Federal Drug Trafficking ChargesRead the Press Release
Dr. Richard Samuel Piazza, D.O., admitted writing opioid prescriptions to individuals he knew were selling the pills on the street
GRAND RAPIDS, MICHIGAN — U.S. Attorney Andrew Birge announced today that Dr. Richard Samuel Piazza, D.O., 63, of Grand Rapids, Michigan, pleaded guilty to three counts of writing illegal prescriptions for the opioids oxycodone and hydrocodone. Dr. Piazza admitted writing the prescriptions to individuals he knew were selling the pills on the street. He faces up to 20 years in federal prison for his crimes, at least three years of supervised release, and up to a $1 million fine. He previously surrendered his DEA license.
“The opioid crisis, already serious, has intensified during the Coronavirus pandemic,” U.S. Attorney Birge said. “We are committed to prosecuting doctors like Piazza who feed the opioid crisis by writing prescriptions they know are not for legitimate medical treatment.”
The investigation was conducted by the Drug Enforcement Administration and Michigan State Police. Assistant United States Attorney Clay Stiffler prosecuted the case.
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