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Wednesday 22 July 2020
Las Vegas Felon Sentenced to 10 Years in Prison for Drug Possession and Unlawful Possession of A FirearmRead the Press Release
RENO, Nev. — Martane H. Wade, 39, of Las Vegas, was sentenced today by Chief U.S. District Judge Miranda M. Du to ten years in prison, to be followed by five years of supervised release, for possession with intent to distribute 500 or more grams of methamphetamine and for being a felon in possession of a firearm, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Assistant Special Agent in Charge Daniel Neill of the Drug Enforcement Administration (DEA).
Wade, a five-time convicted felon, pleaded guilty in August 2019 to one count of possession with intent to distribute 500 or more grams of methamphetamine and one count of being a felon in possession of a firearm. He was remanded to the custody of the U.S. Marshals Service following today’s sentencing hearing.
According to court documents, on May 3, 2018, law enforcement attempted to conduct a traffic stop of the vehicle Wade was driving. Wade attempted to escape by driving off, but was unsuccessful. He and a passenger were taken into custody.
During the execution of a search warrant, law enforcement found approximately two pounds of crystal methamphetamine in a purse inside the vehicle. Further, in a search of an apartment for Wade and the passenger, law enforcement found heroin, cocaine, crack cocaine, packing materials, scales, a money counter, and two firearms: a Walther PPK 9mm semi-automatic pistol and a Colt .25 caliber semi-automatic pistol. Wade has prior felony convictions in Nevada and California, including possession with intent to sell cocaine, possession with intent to sell methamphetamine, trafficking in cocaine, and prohibited person in possession of a firearm.
The charges resulted from an investigation by the DEA.
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Ithaca Man Sentenced to 60 Months on Drug Trafficking ConvictionRead the Press Release
SYRACUSE, NEW YORK – Robert Payne, age 39, of Ithaca, New York, was sentenced today to serve five years (60 months) in prison for his conviction for participating in a cocaine trafficking conspiracy, announced United States Attorney Grant C. Jaquith, Ray Donovan, Special Agent in Charge of the U.S. Drug Enforcement Administration (DEA), New York Field Division, Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI), New York State Police Superintendent Keith Corlett, Sheriff Eugene Conway, Onondaga County Sheriff’s Office, and William J. Fitzpatrick, Onondaga County District Attorney. The defendant was also ordered to serve a period of four years supervised release following his term of incarceration, and to forfeit to the government $112,500 in proceeds from his drug trafficking activity.
Pursuant to his plea agreement in this case, Payne admitted that during the summer of 2018, he distributed roughly 2.5 kilograms of cocaine to his co-defendant Daitwaun Fair. This case was investigated by the U.S. Drug Enforcement Administration (DEA), the Federal Bureau of Investigation (FBI), the New York State Police, the Onondaga County Sheriff’s Office, and the Onondaga County District Attorney’s Office, and was prosecuted by Assistant U.S. Attorney Nicolas Commandeur.
Irish National Sentenced to Prison for Trafficking in Rhinoceros HornsRead the Press Release
An Irish national was sentenced in federal court in Waco, Texas, today to 12 months in prison for conspiracy to violate the Lacey Act in relation to illegal rhinoceros horn trafficking, announced Assistant Attorney General Jeffrey Bossert Clark of the Environment and Natural Resources Division of the Department of Justice.
John Slattery, who was arrested on Aug. 1, 2019, in Ireland, was extradited to the United States for his role in trafficking horns from black rhinoceros. Slattery pleaded guilty to conspiring to traffic in horns from black rhinoceros on July 7, 2020.
On May 13, 2014, a federal grand jury sitting in Waco, Texas, returned an indictment that has since been unsealed, charging Slattery and a co-defendant, Patrick Sheridan, with conspiring to traffic in horns from black rhinoceros. In addition to conspiracy, the indictment charges substantive violations of the Lacey Act for wildlife trafficking and making a false wildlife document.
According to documents filed with the court, in September 2010, Slattery traveled with his brother, Michael Slattery Jr. and Patrick Sheridan to a taxidermy shop in Austin, Texas, to purchase rhinoceros horns. Upon their first visit to the shop, John Slattery and his co-conspirators were informed that the horns could only be sold to a resident of Texas. The following day, Slattery enlisted the help of an individual (now deceased), a Texas resident who acted as a straw buyer, to enable the three co-conspirators to purchase the rhinoceros horns.
As part of the plea, Slattery admitted that through the straw buyer, he and his co-conspirators paid the taxidermist $18,000 for the horns. They were given an “Endangered Species Bill of Sale,” which the group later modified and falsified. Slattery further admitted that after they purchased the horns in Texas, Slattery traveled to New York, where he sold the horns to an individual for $50,000. Slattery gave the purchaser the falsified “Endangered Species Bill of Sale,” which Slattery and his co-conspirators had modified to make it look as if the sale in Texas was legal, when in fact, it was not. Slattery further admitted that he later offered the same individual 10 rhinoceros horns for sale. That sale was not completed.
In September 2013, Slattery Jr. was arrested in New York and charged in the Eastern District of New York with conspiring with Slattery and Sheridan to traffic rhinoceros horns. In January 2014, Slattery Jr. pleaded guilty and was sentenced to 14 months in prison for his role in the conspiracy. In September 2015, Sheridan was extradited to the United States from the United Kingdom. Sheridan was returned to the Western District of Texas where he pleaded guilty and was sentenced to 12 months in prison. In addition to the conspiracy to traffic in rhinoceros horns, Slattery and Sheridan were charged with violating the Lacey Act’s trafficking provision and making a fictitious and fraudulent bill of sale in connection with the rhinoceros horns in an attempt to make their illegal purchase of the horns appear legal.
The transport of Slattery to the Western District of Texas to face these charges concluded the extradition process from Ireland, a process governed by an extradition treaty between the United States and Ireland. Slattery was sentenced in federal court in Waco, by U.S. District Judge Alan Albright.
The case was investigated by agents from U.S. Fish and Wildlife Service Office of Law Enforcement. The case is being prosecuted by Trial Attorney Gary N. Donner of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Greg Gloff for the Western District of Texas. The Criminal Division’s Office of International Affairs provided significant support in securing and coordinating Slattery’s arrest and extradition. Assistance for Slattery’s extradition was provided by the Government of Ireland.
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.
Indictment: Kansas Man Threatened Victims After Stealing their ATM CardsRead the Press Release
TOPEKA, KAN. – A Topeka man was indicted today on a federal robbery charge, U.S. Attorney Stephen McAllister said.
Raymond Paul Stilley, 31, who is in custody,was charged with one count of robbery. The indictment alleges that on July 12, 2020, Stilley threatened two victims in Lawrence, Kan., with violence to force them to provide PIN numbers to debit and credit cards he had taken from them. He was going to use the cards to withdraw cash at ATM machines in Topeka and Lawrence.
Topeka police reported arresting Stilley after a standoff in which he refused to get out of his car.
If convicted, he could face up to 20 years in federal prison and a fine up to $250,000. The FBI and the Topeka Police Department investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
OTHER INDICTMENTS
Antonio Lawrence, 31, Topeka, Kan., is charged with one count of producing child pornography, two counts of distributing child pornography and one count of possessing child pornography. The crimes are alleged to have occurred during 2019 in Topeka, Kan.
Upon conviction, the crimes carry the following penalties:
Production: Not less than 15 years and not more than 30 years in federal prison and a fine up to $250,000.
Distribution: Not less than five years and not more than 20 years and a fine up to $250,000 on each count.
Possession: Up to 10 years and a fine up to $250,000.
The FBI and the Topeka Police Department investigated. Assistant U.S. Attorney Stephen Hunting is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.
Hammond Man Sentenced to 180 Months in PrisonRead the Press Release
HAMMOND-Rickey Kendrick, 24, of Indianapolis, Indiana, was sentenced by Judge Philip P. Simon to 180 months in prison following his guilty plea to possessing a firearm as a previously convicted felon, announced U.S. Attorney Kirsch.
Because of Kendrick’s multiple other felony convictions, his illegal possession of a firearm will put him in prison for 15 years” said U.S. Attorney Kirsch. “Our law enforcement partners have always focused on felon in possession cases and will continue these investigations.”
According to documents in the case, on September 25, 2018, Rickey Kendrick possessed a nine millimeter firearm while driving in Gary, Indiana. Kendrick has six prior felony convictions for burglary.
This case is the result of the investigative efforts of the FBI GRIT Task Force and the Gary Police Department. The case was prosecuted by Northern District of Indiana Assistant U.S. Attorneys Thomas R. Mahoney and Caitlin M. Padula.
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Former Vice President of Teamsters Labor Union Sentenced to 18 Months in Prison for BriberyRead the Press Release
Audrey Strauss, Acting United States Attorney for the Southern District of New York, announced that JOHN ULRICH, the former vice president of International Brotherhood of Teamsters Local 812 (the “Union”) and former trustee of the Union’s employee health benefit plan (the “Plan”), was sentenced today in Manhattan federal court to 18 months in prison for soliciting tens of thousands of dollars in bribe payments from an executive with the Plan’s Third Party Administrator (the “TPA-1”) in exchange for using his influence to ensure the Union’s continued retention of TPA-1 as its Plan administrator. United States District Judge Analisa Torres imposed today’s sentence.
Acting U.S. Attorney Audrey Strauss said: “For years, John Ulrich betrayed the trust of the Union members who elected him in order to line his pockets with bribe money. For abusing his position of trust for his own financial benefit, Ulrich has been sentenced to federal prison.”
According to the allegations in the Indictment, other filings in Manhattan federal court, statements made in court and publicly-available documents:
The Union has more than approximately 3,000 members, and represents workers in the beverage industry throughout the New York metropolitan area. The Union’s members are covered by the Plan, which provides, among other things, life insurance, health insurance, dental, vision, and disability benefits to Union members and their families. As the Plan’s third-party administrator, TPA-1 processed health insurance claims for participants in the Plan. At all times relevant to the Indictment, ULRICH was a member and officer of the Union and a trustee of the Plan.
In or about 2013, ULRICH was experiencing financial difficulties, and solicited bribe payments from an executive with TPA-1 (“Executive-1”) of $5,000 per quarter in exchange for using his influence to maintain TPA-1 as the Plan’s third-party administrator. Before ULRICH solicited these bribes, the Plan had issued a request for proposals for a new third-party administrator, and TPA-1 was at risk of losing the Plan’s business. ULRICH told Executive-1 that ULRICH would use his influence with the Union to ensure that the Plan continued to use TPA-1 to administer the Union’s health care plan. Executive-1 agreed to make $5,000 quarterly payments to ULRICH, and began doing so. Subsequently, despite receiving multiple bids from other third-party administrators, the Plan continued to work with TPA-1.
In or about 2014, ULRICH demanded increased bribe payments from Executive-1. In part, ULRICH told Executive-1 that these increased bribe payments were needed for another trustee of the Plan, and Executive-1 began making such increased payments. On or about September 19, 2015, ULRICH again solicited additional bribe payments for this trustee. In an email of the same date, ULRICH referred to the bribe payments as “pizza,” and explained that the additional payments for the other trustee would be “good insurance” for them.
After a special board meeting convened by the Plan in February 2016, ULRICH was terminated as vice president and trustee of the Union and Plan, respectively. In total, ULRICH demanded, and Executive-1 paid, tens of thousands in bribes before ULRICH was removed from office.
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In addition to his prison term, ULRICH, 50, of Newburgh, New York, was sentenced to two years of supervised release, and was ordered to forfeit $55,000, and to pay restitution in an amount to be determined later. As a result of ULRICH’s conviction, for a period of 13 years he is prohibited from, among other things, being employed by a labor union or employee benefit plan, pursuant to 29 U.S.C. §§ 504 and 1111.
Ms. Strauss praised the Federal Bureau of Investigation, the U.S. Department of Labor Office of Inspector General, the U.S. Department of Labor Employee Benefits Security Administration, and the U.S. Department of Labor Office of Labor-Management Standards for their outstanding investigative work in this case.
This matter is being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Eli J. Mark and Louis A. Pellegrino are in charge of the prosecution.
Former SCANA Executive to Plead Guilty to Conspiracy to Commit Mail and Wire Fraud TomorrowRead the Press Release
Columbia, South Carolina --- United States Attorney Peter M. McCoy, Jr., announced today that Stephen A. Byrne, former Executive Vice President of SCANA, is scheduled to plead guilty in federal court tomorrow, July 23, to conspiracy to commit mail and wire fraud.
The hearing is scheduled for 10 a.m. at the Matthew J. Perry Federal Courthouse, 901 Richland Street, Columbia, in Courtroom 1, before Judge Mary G. Lewis.
NOTE: Press inquiries regarding logistics should be directed to Derek A. Shoemake, 843-813-0982.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Former Kansas Man Sentenced for Child PornographyRead the Press Release
WICHITA, KAN. – A former Kansas man was sentenced today to 10 years in federal prison for uploading child pornography to his Yahoo Messenger account, U.S. Attorney Stephen McAllister said.
Kenneth Herd, 55, formerly of Lyons, Kan., pleaded guilty to one count of transporting child pornography. In his plea, he admitted that Yahoo reported him to Cyber Tip Report (https://report.cybertip.org/ ). Investigators used Herd’s IP address to track the account to him at an address in Lyons, Kan. Herd now lives in Chandler, Okla.
McAllister commended the KBI and Assistant U.S. Attorney Jason Hart for their work on the case.
Former City of Shreveport Employee and Co-Conspirator Charged with Credit Card Fraud and Aggravated Identity TheftRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that two Shreveport men were indicted today for credit card fraud and aggravated identity theft. The 11-count indictment charges former City of Shreveport Public Works employee, Tory Deshawn Jackson, 41, and Jawaski L. Johnson, 30, with one count of conspiracy to use an unauthorized access device and nine counts of use of an unauthorized access device. In addition, Jackson was charged with one count of aggravated identity theft.
According to the indictment, from September 2017 through October 2019, Jackson and Johnson allegedly engaged in a scheme to fraudulently purchase fuel using three Fuelman credit cards stolen from the City of Shreveport. Jackson purchased the fuel using a PIN that he did not have authorization to use; Johnson would then sell the fuel to third parties at a discounted rate. The defendants conducted over 3,800 transactions totaling approximately $400,000.
If convicted the defendants face five years in prison for the conspiracy, 10 years in prison for the access device fraud, a $250,000 fine and up to three years of supervised release. Jackson faces an additional two years in prison for the aggravated identity theft.
This case is being investigated by the Federal Bureau of Investigation and the Shreveport Police Department. Assistant U.S. Attorney Seth D. Reeg is prosecuting the case.
An indictment is merely an accusation and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Former Bay Area Engineer Charged with Mail Fraud and Aggravated Identity Theft in Connection with Fraudulent Building Inspection ReportsRead the Press Release
SAN FRANCISCO – A complaint was unsealed today charging Peter Schurman with mail fraud and aggravated identity theft in connection with a scheme to defraud individuals and municipalities in Sausalito and San Francisco by issuing and charging clients for fraudulent Special Inspection reports, announced United States Attorney David L. Anderson and Federal Bureau of Investigation Special Agent in Charge John F. Bennett.
According to the complaint filed July 14, 2020, and unsealed today, Schurman, 70, of Tiburon, was an engineering technician and field inspector at several engineering firms throughout the Bay Area. Schurman focused on Special Inspection reports, which are a proactive method of enhancing public safety by ensuring buildings are constructed according to design documents, specifications and approved drawings.
As evidence of mail fraud and aggravated identity theft, the complaint alleges that between July 2015 and October 2019, Schurman knowingly used the name and engineer stamp of other persons who were licensed engineers, without their knowledge or permission, in order to make fraudulent Special Inspection reports appear legitimate. On one project described in the complaint, Schurman sent six invoices containing nine Special Inspection reports for a homeowner in Sausalito, California. Those reports certified that specified work on the project had been performed pursuant to the city-approved plans. According to the complaint, however, the engineer whose signature and stamp appeared on the reports never worked on the project, never signed the documents, never provided her/his stamps, and had no idea that her/his credentials had been used or that her/his signature had been forged.
The complaint further alleges that Schurman’s scheme involved fraudulent Special Inspection reports relating to at least seven other properties in San Francisco, California. Similar to the above-described instance in Sausalito, the fraudulent Special Inspection reports involved in the San Francisco projects were submitted with forged signatures and stamps from five different engineers.
Schurman is charged with mail fraud, in violation of 18 U.S.C. § 1341 and aggravated identity theft, in violation of 18 U.S.C. § 1028A. The maximum penalty for mail fraud is 20 years in prison and a $250,000 fine. The maximum sentence for aggravated identity theft is two years in prison—to be served consecutively to the underlying felony—and a $250,000 fine. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
The charges contained in the criminal complaint are mere allegations. As in any criminal case, the defendant is presumed innocent unless and until proven guilty in a court of law.
Schurman had his initial appearance today before U.S. Magistrate Judge Sallie Kim and is set for a status conference on August 21, 2020. Schurman was released on a $50,000 bond.
The case is being prosecuted by the Special Prosecutions Section of the U.S. Attorney’s Office. The case is being investigated by the FBI. San Francisco City Attorney Dennis Herrera also alleged in a lawsuit unsealed in March of 2020 that Schurman engaged in fraud.
Florida Man Sentenced for Shipping Synthetic Drugs to Southwest VirginiaRead the Press Release
ABINGDON, VIRGINIA. – Michael John Harrigan, a Florida man who was convicted of conspiring to distribute Schedule I controlled substances in the form of synthetic cannabinoids, was sentenced today in U.S. District Court here to 36 months in federal prison, United States Attorney Thomas T. Cullen announced.
Harrigan, 60, and a co-defendant, Jared Andrea Roa, 30, of Tampa, Fla., pleaded guilty in November 2019 to conspiring to distribute Schedule I controlled substances in the form of synthetic cannabinoids. Additionally, Harrigan agreed to forfeit $500,000 in criminal proceeds to the United States.
According to court documents, Harrigan and Roa admitted to packaging and shipping large quantities of AB-FUBINACA, a Schedule I synthetic cannabinoid, throughout the United States via the United States Postal Service, and other shipping services. Quantities of these drugs were sent to the Western District of Virginia from Florida, including packages that were intercepted before delivery in Coeburn, Va. in October 2014. Additionally, in September 2017, a search of a storage unit belonging to Roa in Tampa, Fla. yielded quantities of AB-FUBINACA, packaging materials, and address labels listing Harrigan’s name and address. Harrigan’s illegal profits from this drug activity were found to have been at least $500,000.
The investigation of the case was conducted by Bureau of Alcohol, Tobacco, Firearms, and Explosives, United States Postal Inspection Service, Drug Enforcement Administration, the Wise County Sheriff’s Office, and the Southwest Virginia Drug Task Force. Assistant United States Attorneys Lena Busscher and Zachary T. Lee prosecuted the case for the United States.
Federal Agent and Alleged Accomplice Charged in Miami Federal Court with Conspiring to Distribute Drugs, Obstruct Justice, and Lie to the FBIRead the Press Release
Miami, Fl. – South Florida federal prosecutors have charged Hialeah residents Alberico Ahias Crespo, 45, and Jorge Diaz Gutierrez, 65, with conspiring to distribute Oxycodone, obstruct justice, and make false statements to the FBI. Crespo is a Special Agent with the Department of Health and Human Services, Office of Inspector General (HHS-OIG), who, during the time of the alleged crimes, worked as part of the South Florida Health Care Fraud Strike Force. Crespo allegedly used his position as an agent to both advance the drug distribution crimes and impede related federal health care fraud investigations, including investigations on which Crespo himself worked.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, FBI, Miami Field Office, and Derrick L. Franklin, Special Agent in Charge, HHS-OIG, Special Investigations Branch, made the announcement.
According to the complaint affidavit charging criminal conduct from September 2019 to June 2020, Diaz was part of an illegal Oxycodone distribution system involving patients, pharmacies, and medical clinics. Diaz allegedly recruited patients and sent them to particular medical clinics to obtain Oxycodone prescriptions that the patients did not need. Once the patients obtained the prescriptions, they would give them to Diaz in exchange for money. Diaz allegedly would fill the prescriptions at certain pharmacies and sell the Oxycodone pills (at a mark-up) to third party street dealers.
According to the affidavit, Diaz and Crespo were associates. Crespo allegedly used his position as an HHS-OIG Special Agent working on health care fraud cases to protect Diaz’s Oxycodone operation. According to the affidavit, Crespo did this by monitoring Strike Force investigations involving Diaz, accessing and disclosing sensitive law enforcement information to Diaz, updating Diaz on the progress of health care fraud investigations, and coaching Diaz on how to lie to investigators and tamper with evidence.
The narcotics and obstruction charges each carry a maximum sentence of 20 years’ imprisonment. The materially false statements charge carries a maximum sentence of five years’ imprisonment.
U.S. Attorney Fajardo Orshan commended the investigative efforts of FBI and HHS-OIG, Special Investigations Branch. Assistant United States Attorneys Sean T. McLaughlin and Christopher Clark are prosecuting this case.
A criminal complaint is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
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 at http://pacer.flsd.uscourts.gov, under case number 20-mj-03211-JB.
Eustis Man Sentenced to 18 Years for Methamphetamine and Gun OffensesRead the Press Release
Ocala, Florida – United States District Judge Roy B. Dalton, Jr. has sentenced Anthony Michele DeCotis, Jr. (32, Eustis) to 18 years in federal prison for possessing with intent the to distribute methamphetamine and possessing of a firearm in furtherance of a drug trafficking crime. DeCotis had pleaded guilty on January 29, 2020.
According to court records, on August 3, 2017, DeCotis was in a vehicle that had been stopped by an officer with Eustis Police Department. After a drug detection dog indicated to the presence of drugs, the officer found that DeCotis possessed three ounces of methamphetamine, three firearms, more than $2,000 cash, a scale, and multiple baggies.
At the time of his arrest, DeCotis was on release from a state bond for charges related to similar conduct 10 weeks prior. He was later found guilty in state court for possession of methamphetamine and possession of a firearm, and was sentenced to serve 36 months in state prison. Judge Dalton ordered the 18-year federal sentence to run consecutive to the state sentence.
DeCotis was determined to be a Career Offender based on his multiple prior convictions for drug felonies and violent crimes. He had been recently released from prison in February 2017, six months before committing these offenses.
This case was investigated by the Drug Enforcement Administration with support from the Eustis Police Department. It was prosecuted by Assistant United States Attorney Michael P. Felicetta.
Erie Residents Charged in Methamphetamine Trafficking ConspiracyRead the Press Release
ERIE, Pa. – Two residents of Erie, Pennsylvania have been indicted by a federal grand jury in Erie on charges of violating federal drug laws, United States Attorney Scott W. Brady announced today.
The two-count Indictment named Rodney Domanick Evans, 30, and Lindsey Michelle Thompson, 36, as defendants.
According to the Indictment presented to the court, on or about December 19, 2019, Evans and Thompson conspired to distribute and distributed 50 grams or more of a mixture and substance containing a detectable amount of methamphetamine.
The law provides for a maximum total sentence of 80 years in prison, a fine of $10,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendants.
Assistant United States Attorney Paul S. Sellers is prosecuting this case on behalf of the government.
The Drug Enforcement Administration, Erie County Detective Bureau, Erie Police Department and the Millcreek Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
East Hartford Woman Sentenced to Three Years in Prison for Role in Fentanyl Trafficking RingRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARISOL FERRY, formerly known as “Marisol Hernandez,” 27, of East Hartford, was sentenced today by U.S. District Judge Vanessa L. Bryant in Hartford to 36 months of imprisonment, followed by three years of supervised release, for distributing fentanyl.
According to court documents and statements made in court, this matter stems from an investigation conducted by the FBI’s Northern Connecticut Violent Crimes Gang Task Force and Hartford Police Department’s Vice and Narcotics Division into the trafficking of narcotics and associated violence in Hartford’s South End by members and associates of the Almighty Latin Kings Nation (“Latin Kings”). The investigation, which included court-authorized wiretaps, physical surveillance and controlled purchases of narcotics, revealed that two members of the Latin Kings operated separate drug trafficking organizations that distributed fentanyl, heroin, cocaine and crack cocaine. The organizations used multiple locations to process, package, store and distribute narcotics, and possessed firearms in furtherance of their drug trafficking activities.
Marisol Ferry’s husband, Nelson Ferry, led one of the drug trafficking organizations, and Marisol was an active participant in the processing, packaging and distribution of heroin/fentanyl from their East Hartford residence. Nelson Ferry also operated a “trap house” at 149 Wethersfield Avenue in Hartford as a distribution point for drug customers. Between February and April 2018, investigators made several controlled purchases of fentanyl and crack cocaine from Nelson Ferry’s associate at or near the trap house. On May 22, 2018, Ferry’s associate was shot and seriously wounded in an apparent robbery of the trap house. After the shooting, intercepted communications revealed that Nelson Ferry solicited his brother-in-law, Dannie Darling, to locate and likely harm the shooter. Marisol Ferry also threatened the shooter on Facebook. In order to prevent violence, investigators followed Nelson Ferry, sent uniformed police officers into targeted areas, and stopped Darling in his vehicle to identify him.
Nelson and Marisol Ferry were arrested on June 19, 2018. A search of their residence on that date revealed approximately 50 grams of fentanyl, assorted drug paraphernalia and more than $2700 in cash.
Marisol Ferry has been detained since her arrest. On August 19, 2019, she pleaded guilty to one count of conspiracy to possess with intent to distribute, fentanyl.
Nelson Ferry pleaded guilty to related charges and, on February 26, 2020, was sentenced to 87 months of imprisonment. Darling also pleaded guilty and, January 22, 2020, was sentenced to 51 months of imprisonment.
On January 27, 2020, Randy Parkman, of Hartford, pleaded guilty to federal robbery and firearm offenses related to the May 22, 2018, shooting at the Wethersfield Avenue trap house. On June 24, he was sentenced to 204 months (17 years) of imprisonment.
This matter is being investigated by the FBI’s Northern Connecticut Gang Task Force and the Hartford Police Department. The Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction. The Hartford Police Department’s Vice and Narcotics Division and Shooting Task Force have provided valuable assistance to the investigation.
The case is being prosecuted by Assistant U.S. Attorney Brian P. Leaming.
Department of Justice Announces Expansion of Operation Legend to ChicagoRead the Press Release
CHICAGO – John R. Lausch, Jr., United States Attorney for the Northern District of Illinois, today joined Attorney General William P. Barr and President Donald J. Trump to announce the expansion of Operation Legend to Chicago.
Operation Legend is a sustained, systematic and coordinated law enforcement initiative in which federal law enforcement agencies work in conjunction with state and local law enforcement officials to fight violent crime. The Operation was first launched on July 8, 2020, in Kansas City, Mo., as a result of President Trump’s promise to assist America’s cities that are plagued by recent violence. Operation Legend is named after four-year-old LeGend Taliferro, who was shot and killed while he slept early in the morning of June 29, 2020, in Kansas City. The first federal arrest under Operation Legend was announced on July 20, 2020.
As part of Operation Legend, Attorney General Barr directed the FBI, U.S. Marshals Service, DEA, and ATF to significantly increase resources into Chicago, as well as Albuquerque, N.M., in the coming weeks to help state and local officials fight high levels of violent crime, particularly gun violence.
“A top priority as federal prosecutors is to reduce violent crime, particularly in a large urban area like Chicago,” said U.S. Attorney Lausch. “As part of Operation Legend, additional federal resources will assist our office and our federal, state, and local law enforcement partners to increase prosecutions of trigger-pullers, drug traffickers, carjackers, and those who illegally traffic, use, and possess firearms. We will use these new resources and every other available federal law enforcement tool to reduce the unacceptable level of violent crime in Chicago.”
“The most basic responsibility of government is to protect the safety of our citizens,” said Attorney General Barr. “Today, we have extended Operation Legend to Chicago and Albuquerque to protect the residents of those cities from senseless acts of deadly violence by targeting those involved in gang activity and those who use guns to commit violent crime. For decades, the Department of Justice has achieved significant success when utilizing our anti-violent crime task forces and federal law enforcement agents to enforce federal law and assist American cities which are experiencing upticks in violent crime. The Department of Justice’s assets will supplement local law enforcement efforts, as we work together to take the shooters and chronic violent criminals off of our streets.”
Chicago is currently experiencing a significant increase in violent crime, with homicides up 51% over 2019. Over the weekend of July 17, more than 60 people were shot in the city of Chicago, with 14 fatalities. Similarly, Albuquerque is currently on pace to break 2019’s record for homicides in the city. On the weekend of July 10, there were four murders in Albuquerque within a 24-hour period.
In Chicago, the Department of Justice will supplement state and local law enforcement agencies by sending more than 100 federal investigators from the FBI, DEA, and ATF to the city. Under the leadership of U.S. Attorney Lausch, these investigators will complement the work already underway by existing joint federal, state and local task forces focused on combatting Chicago’s violent criminals, gangs, and drug trafficking organizations. The investigatory efforts will be advanced by more than 100 members of the U.S. Marshals Service Great Lakes Task Force, which will direct violent fugitive apprehension operations within Chicago to identify wanted gang members, violent criminals, and firearms violators. The Department of Homeland Security’s Homeland Security Investigations (HSI) is also committing 100 agents, already stationed in Chicago, to Operation Legend. HSI agents will conduct investigations into gangs, narcotics traffickers, violent offenders, and firearms traffickers.
To further support the Chicago Police Department in reducing violent crime, ATF has deployed its national Crime Gun Intelligence Mobile Command Vehicle to assist local law enforcement with analysis of crime scenes and spent shell casings through the National Integrated Ballistic Information Network (NIBIN). ATF will also make available additional resources to assist the city of Chicago in providing timely, efficient analysis of ballistic evidence from shootings in order to quickly disrupt violent criminals and prosecute those prohibited from possessing firearms under federal law. The Bureau of Justice Assistance will make available $3.5 million in funding to reimburse the Chicago Police Department and City of Chicago for the work of local law enforcement on the federal task forces supporting Operation Legend’s violent crime reduction efforts. The COPS Office has also made $9.375 million available to the Chicago Police Department to fund the hiring of 75 officers.
In Albuquerque, the Department of Justice will supplement state and local law enforcement agencies by sending more than 25 federal investigators from the FBI, DEA, and ATF to the city. Under the leadership of John C. Anderson, United States Attorney for the District of New Mexico, these federal investigators will work closely with the Albuquerque Police Department and the Bernalillo County Sheriff’s Department, along with other local partners, through preexisting task forces directed at combatting violent crimes. Up to ten HSI agents will assist with the efforts in Albuquerque, as well. The Department of Justice has also made available more than $1.5 million in COPS Hiring Grants to the Bernalillo County Sheriff’s Department to onboard five deputies and to support additional federal task force officers committed to violent crime reduction efforts. Separately, the Bureau of Justice Assistance has made available $1.4 million to reimburse the Bernalillo County Sheriff’s Office for the work of local law enforcement on the federal task forces supporting Operation Legend’s violent crime reduction efforts. The Department has also assisted Albuquerque through the Joint Law Enforcement Operations (JLEO) fund to assist reimbursement of local law enforcement serving as federal task force officers with FBI, ATF, DEA, and the U.S. Marshals Service. These JLEO funds also will be used to assist the city of Albuquerque in acquiring technology used for detection of gunshots and development of an integrated response plan to gunshots by local law enforcement.
Convicted Felon Sentenced to Prison for Possessing A Stolen GunRead the Press Release
VALDOSTA, Ga. – A convicted felon with a lengthy criminal record was sentenced to prison for illegally possessing a stolen firearm, said Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia.
Charles Bernard Little, aka Jaquazen McQueen, 23, of Valdosta, was sentenced to 60 months in prison by U.S. District Judge Louis Sands on Tuesday, July 21 after pleading guilty to one count possession of a firearm by a convicted felon. There is no parole in the federal system.
Valdosta Police officers responded to a domestic assault complaint at a Valdosta residence on February 10, 2019. Officers found Little inside the residence and discovered a 9mm semiautomatic pistol that Little admitted he had purchased “on the street.” Officers later discovered the pistol was stolen in Lowndes County only nine days earlier. Little has several prior felony convictions for multiple crimes including violation of the street gang terrorism and prevention act based on commission of a gang related simple battery in Lowndes Superior Court and burglary in the first degree in Thomas Superior Court.
“It is illegal for convicted felons to possess weapons. We are working closely with our local law enforcement partners to identify criminal gun cases that warrant federal prosecution, where the punishment is without parole,” said U.S. Attorney Charlie Peeler. “Project Safe Neighborhoods is the Justice Department’s initiative to curb violence. Removing firearms from the hands of convicted felons is one piece of the strategy to reduce violent crime in Valdosta and across the Middle District of Georgia. I want to thank the Valdosta Police Department and ATF for their work in this case.”
The investigation was conducted as part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/archives/projectguardian.
The case was investigated by the Valdosta Police Department and the Bureau of Alcohol, Tobacco and Firearms (ATF). Assistant U.S. Attorney Robert McCullers prosecuted 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
Convicted Child Rapist Indicted on Naturalization and Passport Fraud ChargesRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment today charging a naturalized citizen of the U.S., born in Mexico, with naturalization and passport fraud.
According to the indictment, J. Refugio Gomez-Juarez, age 51, knowingly failed to disclose during his naturalization proceedings that he had committed the crime of second degree forcible rape of a mentally disabled child.
According to the indictment, Gomez-Juarez was thereafter naturalized as a United States citizen and fraudulently obtained multiple United States passports.
Gomez-Juarez is charged in an 11-count indictment with naturalization and passport fraud. If convicted, he faces up to a maximum term of imprisonment of 25 years per count, a maximum fine of $250,000 per count, a term of supervised release following any term of imprisonment, and the revocation of his citizenship.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement. Agents with ICE’s Enforcement and Removal Operations and Homeland Security Investigations, assigned to the Document Benefit Fraud Task Force, are investigating the case as part of Operation False Haven. Operation False Haven is an ongoing initiative to identify and prosecute felons who fraudulently obtained U.S. citizenship.
A copy of this press release is located on our website.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Centric Parts to Pay $8 Million to Resolve Allegations of Failing to Pay the United States Millions of Dollars in Import Duties on Brake PadsRead the Press Release
LOS ANGELES – CWD, LLC, which operates under the name Centric Parts, a Delaware corporation headquartered in Carson, and its affiliates have agreed to pay $8 million to the United States to resolve allegations that they violated the False Claims Act and the Tariff Act of 1930 by knowingly underpaying customs duties owed to the United States on imported brake pads.
Centric Parts and its affiliates sell aftermarket brake and chassis components for passenger vehicles and trucks. Centric Parts imported brake parts into the United States and was responsible for the submission of entry documents to U.S. Customs and Border Protection and the payment of any customs duties owed on those products.
The United States alleged that, from 2007 to 2017, Centric Parts falsely claimed on entry documents that mounted brake pads, which carry a 2.5 percent tariff, were unmounted brake pads, which require no tariff. The United States further alleged that when confronted with the misclassifications in 2017, company officials decided to conceal and not disclose the past false entry documents to Customs. As a result of Centric Parts’ alleged omissions and false statements regarding its imported products, the company knowingly evaded millions of dollars of customs duties it owed to the United States.
The settlement resolves two lawsuits filed by former employees pursuant to the qui tam provisions of the False Claims Act. These provisions permit private parties to sue on behalf of the government when a defendant knowingly avoids an obligation to pay money to the government, and to share in any recovery. The two “whistleblowers,” Steven Hughes and Jeffrey Hawk, will receive a total of $1.48 million as their share of the settlement.
Although Centric Parts has filed for bankruptcy protection, the bankruptcy court entered an order confirming the company’s plan of reorganization that explicitly provides the settlement debt is non-dischargeable and will be paid by the reorganized company.
The $8 million settlement resolves federal cases filed in Los Angeles and Detroit: United States ex rel. Steven Hughes v. CWD Holdings, LLC, Case No. 19-CV-7089-DMG (C.D. Cal.), and United States ex rel. Jeffrey Hawk v. CWD Holdings, LLC., et al., Case No. 17-12225-BAF (E.D. Mich.).
The case filed in Detroit was unsealed today, while the Los Angeles case was unsealed on July 16.
Assistant United States Attorney Karen Paik of the Civil Fraud Section handled the Los Angeles case. The matter was investigated by agents from U.S. Customs and Border Protection, and Homeland Security Investigations.
The claims resolved by the settlement are allegations only. There has been no determination of liability.
Cedar Lake Woman Indicted for Wire FraudRead the Press Release
HAMMOND – Jessica Guska (a/k/a Jessica Irvine, Jessica Brewer, Jessica Carrington and Jessica Hoggard), 42, Cedar Lake, Indiana was charged by way of a 4 count indictment for wire fraud, announced U.S. Attorney Thomas L. Kirsch II.
Guska was the president of Cedar Lake-based Riptide Travel Softball, a competitive softball club for girls. Ms. Guska was responsible for managing Riptide Travel Softball’s finances. It is alleged that from August 2018 until approximately October 2019 Ms. Guska embezzled money meant for Riptide Travel Softball and used it to pay her personal expenses, including health care costs, air travel, vacations and her home property taxes.
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 Cedar Lake Police Department and is being prosecuted by Assistant U.S. Attorney Molly Kelley.
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Carlisle Man Sentenced to 15 Years in Prison for Distribution of Child PornographyRead the Press Release
LITTLE ROCK—A Carlisle man was sentenced today on one count of distribution of child pornography. United States District Court Judge James M. Moody Jr. sentenced Stuart Adams, 34, to 15 years in federal prison. Cody Hiland, the United States Attorney for the Eastern District of Arkansas, and Diane Upchurch, Special Agent in Charge of the FBI Little Rock Field Office, announced today’s sentencing.
In February 2019, an undercover FBI agent posted an advertisement online, indicating that he was seeking children for sexual purposes. Adams responded to the ad and began texting the undercover agent. In the texts, Adams expressed interest in meeting the agent’s fictitious eight-year-old daughter and having sex with her. Adams sent the agent two videos and one photograph that depicted child pornography.
Based on those interactions, the FBI obtained a search warrant for Adams’ residence in Carlisle. They seized a cell phone that contained three photos of sexually explicit material involving children. Law enforcement also seized a hard drive that contained 71 photos and six videos of child pornography, as well as various external drives and storage cards that contained additional photos and videos of child pornography.
“This defendant responded to an online advertisement because he was looking for an opportunity to sexually abuse a child,” U.S. Attorney Hiland said. “In his attempts to build trust with whom he believed to be his victim’s father, he distributed child pornography. Today’s sentence demonstrates that those who target our children will not go unpunished, and we will aggressively investigate and prosecute anyone who attempts to victimize children in our communities.”
“Stuart Adams’ sentence today sets the tone for how we will handle child predators in our state,” Special Agent in Charge Upchurch said. “If you harm a child, we will investigate you, we will arrest you, and with help from our United States Attorney’s Office partners, we will prosecute you to the fullest extent of the law. We urge our Arkansas neighbors to remain vigilant against child predators and to immediately report suspected cases of violence against children to the FBI.”
On June 5, 2019, Adams was charged in a three-count indictment with two counts of distribution of child pornography and one count of possession of child pornography. The defendant pleaded guilty to one count of distribution of child pornography on February 3, 2020.
In addition to the prison term, Adams was sentenced to five years of supervised release following his imprisonment. The investigation was conducted by the FBI, and the case was prosecuted by Assistant United States Attorney Kristin Bryant.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
CWD Holdings to Pay $8 Million to Resolve False Claims Act Allegations Relating to Unpaid Import DutiesRead the Press Release
CWD Holdings LLC has agreed to pay the United States $8 million to resolve allegations that it violated the False Claims Act by knowingly avoiding paying tariffs on certain imported brake parts. The settlement arises out of allegations that CWD falsely claimed that the mounted brake pads it in fact imported, which carried a 2.5% tariff, were unmounted brake pads, which required no tariff. CWD is a Delaware-incorporated company based in California, with additional operating facilities and subsidiaries in California, Kentucky, and Michigan. CWD and its subsidiaries provide aftermarket brake and chassis components for passenger vehicles and trucks.
This settlement resolves allegations that from 2007 to 2017, CWD knowingly imported into the United States mounted brake pad sets subject to a 2.5% tariff under the Harmonized Tariff Schedule and misrepresented the nature of the imported goods to United States Customs and Border Protection (“U.S. Customs”). The allegations claim that CWD falsely represented to U.S. Customs that the mounted disk brake pad sets were unmounted brake pads, requiring the payment of no duty, in order to avoid payment of the 2.5% tariff.
“CWD Holdings avoided millions of dollars in customs duties by misrepresenting the nature of the imported goods to U.S. Customs,” said U.S. Attorney Matthew Schneider for the Eastern District of Michigan. “With this lawsuit and the accompanying resolution, CWD Holdings is being held to account for its unlawful evasion of customs duties.”
“U.S. Customs and Border Protection maintains a zero-tolerance policy for trade fraud and other unfair trade practices that undermine the competitiveness of U.S. businesses,” said Director Field Operations Christopher Perry. “We are proud to partner with the U.S. Attorney’s Office to level the playing field for legitimate traders by steadfastly enforcing U.S. trade laws.”
The settlement resolves allegations contained in two lawsuits filed under the qui tam, or whistleblower, provisions of the False Claims Act. Two separate whistleblowers filed the lawsuits: Jeffrey Hawk and Steven Hughes, both former employees of CWD Holdings and/or its subsidiaries. The False Claims Act permits private parties to file suit on behalf of the United States and to share in any recovery. The whistleblowers in this case will receive $1.48 million of the settlement amount.
The matter was handled by Assistant United States Attorneys John Spaccarotella and Caroline Burgunder from the U.S. Attorney’s Office for the Eastern District of Michigan; and Karen Paik and Abraham Meltzer from the U.S. Attorney’s Office for the Central District of California.
The two qui tam cases are docketed as United States ex rel. Jeffrey Hawk v. CWD Holdings, LLC, et al., Case No. 17-12225 (E.D. MI), and United States ex rel. Steven Hughes v. CWD Holdings, LLC, Case No. 19-CV-7089 (C.D. CA). The claims resolved by the settlement are allegations only; there has been no determination of liability.
Busby woman sentenced to prison for endangering childrenRead the Press Release
BILLINGS—A Busby woman convicted of severely neglecting two young children who were in her custody, causing them serious injury, was sentenced today to one year in prison and three years of supervised release, U.S. Attorney Kurt Alme said.
Edith Wolfblack, 60, pleaded guilty in December to two counts of criminal child endangerment.
U.S. District Judge Susan P. Watters presided.
The prosecution said in court records that in October 2018, the Bureau of Indian Affairs Social Services removed two children, who were under the age of 14, from Wolfblack’s home on the Northern Cheyenne Indian Reservation. The children had been placed in Wolfblack’s care in 2013. During the years in Wolfblack’s custody, Wolfblack failed to take the children to doctor’s appointments, many that were meant to address ongoing health issues, thereby inhibiting proper development of the children. Medical records also indicated severe malnutrition and a significant failure to grow. The children were hospitalized after being removed from the home. Since removal, the children have continued to grow and thrive medically.
Assistant U.S. Attorney Bryan Dake prosecuted the case, which was investigated by the BIA and FBI.
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Bucks County Man Pleads Guilty to Faking a Military Career as a Navy SEAL, Stealing from the Government, and Straw Purchasing FirearmsRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Richard Meleski, 58, of Chalfont, PA, pleaded guilty to multiple charges, including healthcare fraud, mail fraud, stolen valor, and aiding and abetting straw purchases of firearms.
In November 2019, Meleski was charged by Indictment for his scheme to defraud the government of hundreds of thousands of dollars in benefits. To perpetrate the scheme, Meleski faked serving in the U.S. military, specifically the Navy SEALs, and falsely represented that he had been a Prisoner of War, in order to secure healthcare benefits from the Veterans Administration (VA) worth over $300,000. Due to his false representation as a POW, the defendant received healthcare from the VA in Priority Group 3, effectively receiving healthcare before other deserving military service members. In reality, Meleski never served a single day in the United States military.
Meleski also filed for monetary compensation from the VA for PTSD he supposedly suffered during an armed conflict in Beirut in which he rescued injured service members. In his application for disability benefits for PTSD, Meleski falsely represented that he had been awarded the Silver Star for heroic actions during his time as a Navy SEAL. Again, Meleski never served a single day in the United States military and of course was never awarded any service medals. Meleski also submitted another application to the VA for monetary compensation in which he included obituaries of actual Navy SEALs alongside whom he had supposedly served. In short, he traded on the actions of true heroes in an attempt to bolster his false application for monetary benefits.
The defendant also filed for disability benefits from The United States Social Security Administration (SSA) for injuries he claimed to have received during his time in the service. Meleski falsely testified under oath in connection with an SSA Disability proceeding.
After being arrested for fraud, it was discovered that the defendant had also engaged in aiding and abetting the straw purchase of two separate firearms; he also pleaded guilty to this conduct.
“Meleski faked a record as a decorated U.S. Navy SEAL in order to steal numerous forms of compensation,” said U.S. Attorney McSwain. “Everything about this case is profoundly offensive. Our veterans fought for the freedoms we hold dear, and we owe them a debt that we can never fully repay. But holding individuals like Meleski accountable for their crimes is one small way that we can honor our veterans’ service.”
“This guilty plea is a warning to those who make false statements in applying for Social Security disability benefits,” said Gail S. Ennis, Inspector General of Social Security. "I want to recognize the efforts of the VA OIG and ATF in investigating this case, and the United States Attorney’s Office for bringing these charges.”
The case was investigated by Department of Veterans Affairs Office of the Inspector General, Social Security Administration Office of the Inspector General, and the Bureau of Alcohol, Tobacco and Firearms. It is being prosecuted by Special Assistant United States Attorney Megan Curran.
Baton Rouge Man Sentenced to 110 Months in Federal Prison for Gun and Drug ChargesRead the Press Release
United States Attorney Brandon J. Fremin announced that U.S. District Judge John W. deGravelles sentenced Justin Williams, age 31, of Baton Rouge, Louisiana, to 110 months in federal prison following his convictions for distribution of heroin, possession with the intent to distribute heroin, possession of a firearm in furtherance of a drug trafficking crime, and felon in possession of a firearm. The Court further sentenced Williams to serve five years of supervised release following his term of imprisonment and ordered that the firearm involved be forfeited.
According to admissions made as part of his guilty plea, on March 22, 2019, Williams sold heroin to a confidential informant from his vehicle in Baton Rouge, Louisiana. East Baton Rouge Sheriff’s Office detectives subsequently stopped Williams’ vehicle, at which time heroin, a stolen Glock 9mm pistol with a fully loaded 30-round extended magazine, and $2,077.00 in cash were recovered. Williams was previously convicted of illegal possession of stolen things and cruelty to the infirmed in 2009, and possession of Schedule II drugs in 2013.
U.S. Attorney Brandon Fremin stated, “Convicted felons like this defendant who illegally arm themselves and sell drugs, particularly opioids, create a dangerous situation for our citizens and for law enforcement and it must stop. My office and our partners remain committed to punishing convicted criminals who do so. Great credit goes to our partnership with local authorities for this result, and I want to thank our prosecutor, the ATF, and the East Baton Rouge Sheriff’s Office for their work on this case.
“In our effort to disrupt violent gun crime in our community, ATF will continue to focus efforts on prohibited individuals who unlawfully possess firearms,” said ATF New Orleans Field Division Special Agent in Charge Kurt Thielhorn. “ATF will continue to work tirelessly to protect our communities and hold accountable those who threaten our safety.”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, with critical assistance from the East Baton Rouge Sheriff’s Office, and was prosecuted by Assistant United States Attorney William K. Morris.
Auburn Man Charged with Possession of Child PornographyRead the Press Release
BOSTON – An Auburn man was arrested and charged with possession of child pornography.
Jesse Laino, 26, was charged in a criminal complaint with one count of possession of child pornography. Laino was released on conditions following an initial appearance in federal court in Worcester today.
As alleged in charging documents, federal agents executed a search of Laino and his residence and seized two cellphones that contained child pornography, including hundreds of images and dozens of videos.
The charging statute provides for a sentence of up to 10 years in prison, up to 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; Michael Shea, Acting Special Agent in Charge of Homeland Security Investigations in Boston; Auburn Police Chief Andrew J. Sluckis Jr.; and Worcester Police Chief Steven M. Sargent made the announcement today. Assistant U.S. Attorney John T. Mulcahy of Lelling’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Attorney General William P. Barr Joins President Donald J. Trump to Announce Expansion of Operation LegendRead the Press Release
Today, Attorney General William P. Barr joined President Donald J. Trump to announce the expansion of Operation Legend to Chicago and Albuquerque. Operation Legend is a sustained, systematic and coordinated law enforcement initiative in which federal law enforcement agencies work in conjunction with state and local law enforcement officials to fight violent crime. The Operation was first launched on July 8 in Kansas City, Missouri, as a result of President Trump’s promise to assist America’s cities that are plagued by recent violence.
Operation Legend is named after four-year-old LeGend Taliferro, who was shot and killed while he slept early in the morning of June 29 in Kansas City. The first federal arrest under Operation Legend was announced on July 20.
“The most basic responsibility of government is to protect the safety of our citizens,” said Attorney General Barr. “Today, we have extended Operation Legend to Chicago and Albuquerque to protect the residents of those cities from senseless acts of deadly violence by targeting those involved in gang activity and those who use guns to commit violent crime. For decades, the Department of Justice has achieved significant success when utilizing our anti-violent crime task forces and federal law enforcement agents to enforce federal law and assist American cities which are experiencing upticks in violent crime. The Department of Justice’s assets will supplement local law enforcement efforts, as we work together to take the shooters and chronic violent criminals off of our streets.”
As part of Operation Legend, Attorney General Barr directed the FBI, U.S. Marshals Service, DEA, and ATF to significantly increase resources into Chicago and Albuquerque in the coming weeks to help state and local officials fight high levels of violent crime, particularly gun violence. Chicago is currently experiencing a significant increase in violent crime, with homicides currently up 51 percent over 2019. Over the weekend of July 17, more than 60 people were shot in the city of Chicago, with 14 fatalities. Similarly, Albuquerque is currently on pace to break 2019’s record for homicides in the city. On the weekend of July 10, there were four murders in Albuquerque within a 24-hour period.
In Chicago, the Department of Justice will supplement state and local law enforcement agencies by sending over 100 federal investigators from the FBI, DEA, and ATF to the city. Under the leadership of John R. Lausch Jr., U.S. Attorney for the Northern District of Illinois, these investigators will complement the work already underway by existing joint federal, state and local task forces focused on combating Chicago’s violent gangs, gun crime, and drug trafficking organizations. The investigatory efforts will be advanced by more than 100 members of the U.S. Marshals Service Great Lakes Task Force, which will direct violent fugitive apprehension operations within Chicago to identify wanted gang members, violent criminals, and firearms violators. The Department of Homeland Security’s Homeland Security Investigations (HSI) are also committing at least 100 agents, already stationed in Chicago, to Operation Legend. HSI agents will conduct investigations into gangs, narcotics traffickers, violent offenders, and firearms traffickers.
To further support the Chicago Police Department in reducing violent crime, ATF has deployed its national Crime Gun Intelligence Mobile Command Vehicle to assist local law enforcement with analysis of crime scenes and spent shell casings through the National Integrated Ballistic Information Network (NIBIN). ATF will also make available additional resources to assist the City of Chicago in providing timely, efficient analysis of ballistic evidence from shootings in order to quickly disrupt violent criminals and prosecute those prohibited from possessing firearms under federal law.
The Bureau of Justice Assistance will make available $3.5 million in funding to reimburse the Chicago Police Department and City of Chicago for the work of local law enforcement on the federal task forces supporting Operation Legend’s violent crime reduction efforts. The COPS Office has also made $9.375 million available to the Chicago Police Department to fund the hiring of 75 officers.
In Albuquerque, the Department of Justice will supplement state and local law enforcement agencies by sending more than 25 federal investigators from the FBI, DEA, and ATF to the city. Under the leadership of John C. Anderson, U.S. Attorney for the District of New Mexico, these federal investigators will work closely with the Albuquerque Police Department and the Bernalillo County Sheriff’s Department, along with other local partners, through pre-existing task forces directed at combatting violent crimes. Up to ten HSI agents will assist with the efforts in Albuquerque, as well.
The Department of Justice has also made available over $1.5 million in COPS Hiring Grants to the Bernalillo County Sheriff’s Department to onboard five deputies and to support additional federal task force officers committed to violent crime reduction efforts. Additionally, the COPS Office has made $9.74 million available to the Albuquerque Police Department to fund the hiring of 40 officers. Separately, the Bureau of Justice Assistance has made available $1.4 million to reimburse the Bernalillo County Sheriff’s Office and Albuquerque Police Department for the work of local law enforcement on the federal task forces supporting Operation Legend’s violent crime reduction efforts. The Department has also provided assistance through the Joint Law Enforcement Operations (JLEO) fund to assist reimbursement of local law enforcement serving as federal task force officers with FBI, ATF, DEA, and the U.S. Marshals Service. These JLEO funds also will be used to assist the City of Albuquerque in acquiring technology used for detection of gunshots and development of an integrated response plan to gunshots by local law enforcement.
Atlanta man arraigned for embezzling over $200,000 from his disabled father’s VA accountRead the Press Release
ATLANTA – William Dorsey, Jr., has been arraigned for embezzling over $200,000 from his father’s beneficiary account funded by the U.S. Department of Veterans Affairs (VA.)
“We must be diligent in protecting our elderly citizens, especially our veterans,” said U.S. Attorney Byung J. “BJay” Pak. “We are focused on preventing and punishing the exploitation and abuse of our most vulnerable citizens.”
“Fiduciaries assume a solemn duty to care for veterans who served their country through their military service and now are unable to care for themselves. The VA Office of Inspector General is dedicated to working with our law enforcement partners to ensure that any fiduciary who embezzles VA funds intended to provide necessary support to our nation’s disabled veterans is held responsible,” said David Spilker, Special Agent in Charge, VA Office of Inspector General.
According to U.S. Attorney Pak, the charges, and other information presented in court: On May 10, 2010, William Dorsey, Jr., signed a fiduciary agreement agreeing to manage the benefit payments provided by the VA to his father, William Dorsey Sr., a 67-year-old disabled Vietnam veteran diagnosed with Alzheimer’s Disease and dementia. According to medical records from the secure medical center where he resides, William Dorsey, Sr., is wheel-chair bound, cannot communicate, and requires total assistance with his daily activities.
As part of the fiduciary agreement, Dorsey, Jr., agreed to spend the VA benefit funds only for his father’s daily needs, to never comingle funds, to never withdraw cash from the account, and to keep accurate records and receipts. However, by the time he was removed as fiduciary seven years later in May 2017, banking records indicate all of these conditions had been violated, including the direct transfer of money from his father’s account to his own personal account. According to a financial analysis conducted by the VA, over $200,000 remains unaccounted for.
During this same time period, nursing staff reported that Dorsey, Sr., only needed approximately $50-$100 to cover expenses each month, and that William Dorsey, Jr., commonly provided items of inferior quality, such as used oversized clothing and half empty bottles of shampoo. According to one social worker supervisor, the attending nurses felt compelled on occasion to buy “basic necessities” for Dorsey, Sr., out of their own pocket.
William Dorsey, Jr., 42, of Atlanta, Georgia, was arraigned before U.S. Magistrate Judge Alan J. Baverman. Members of the public are reminded that the indictment only contains charges. The defendants are presumed innocent of the charges and it will be the government’s burden to prove the defendants’ guilt beyond a reasonable doubt at trial.
This case is being investigated the U.S. Department of Veterans Affairs, Office of the Inspector General, Criminal Investigations Division.
Assistant U.S. Attorney Scott McAfee is prosecuting the case.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
Alien Indicted on Illegal Reentry ChargesRead the Press Release
RALEIGH, N.C. – A federal grand jury returned an indictment today charging Francisco Javier Cortes-Gutierrez, age 35, of Mexico, with illegal reentry of a removed alien.
If convicted of illegal reentry, Cortes-Gutierrez, previously deported four times and found in New Hanover County, would face a maximum imprisonment term of two years, a $250,000 fine, and a term of supervised release following any term of imprisonment.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement. ICE’s Enforcement and Removal Operations and Homeland Security Investigations are investigating the case.
A copy of this press release is located on our website.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Attorney General William P. Barr Joins President Donald J. Trump to Announce Expansion of Operation LegendRead the Press Release
WASHINGTON – Today, Attorney General William P. Barr joined President Donald J. Trump to announce the expansion of Operation Legend to Chicago and Albuquerque. Operation Legend is a sustained, systematic and coordinated law enforcement initiative in which federal law enforcement agencies work in conjunction with state and local law enforcement officials to fight violent crime. The Operation was first launched on July 8 in Kansas City, Missouri, as a result of President Trump’s promise to assist America’s cities that are plagued by recent violence.
Operation Legend is named after four-year-old LeGend Taliferro, who was shot and killed while he slept early in the morning of June 29 in Kansas City. The first federal arrest under Operation Legend was announced on July 20.
“The most basic responsibility of government is to protect the safety of our citizens,” said Attorney General Barr. “Today, we have extended Operation Legend to Chicago and Albuquerque to protect the residents of those cities from senseless acts of deadly violence by targeting those involved in gang activity and those who use guns to commit violent crime. For decades, the Department of Justice has achieved significant success when utilizing our anti-violent crime task forces and federal law enforcement agents to enforce federal law and assist American cities which are experiencing upticks in violent crime. The Department of Justice’s assets will supplement local law enforcement efforts, as we work together to take the shooters and chronic violent criminals off of our streets.”
U.S. Attorney John C. Anderson added the following:
"We are grateful for today’s additional commitment of the President and the Attorney General to fighting violent crime in Albuquerque at a time when violent crime remains a plague on our streets. Too often in Albuquerque, violent crimes have left a tragic and lasting impact upon innocent families. Operation Legend reminds us of the human cost that comes from unchecked violence on our streets.
As an example of that human cost, the FBI has today announced a reward seeking information leading to the identification and arrest of the individual(s) responsible for the homicide of Albuquerque resident Jacqueline Vigil. As most in our community are aware, Vigil was fatally shot in her driveway in Albuquerque on the morning of November 19, 2019, when she was headed to the gym. Vigil was 55 years old.
Our experience has proven that federal efforts can make a difference in Albuquerque. For example, as reported in the local press in July 2019, a significant decline of the overall number of robberies the city of Albuquerque coincided with the increase in the United States Attorney’s Office’s prosecution of robberies under the federal Hobbs Act.
I must also briefly address several mistaken reports concerning Operation Legend. The public should please not confuse or equate Operation Legend with the events unfolding in Portland, Oregan. Portland is not an Operation Legend City and Operation Legend was not conceived or announced in response to the events in Portland. Nor is Operation Legend directed at controlling protestors or about immigration enforcement.
Operation Legend is instead about fighting violent crime. As such, it is a direct augmentation of federal resources for the vital work that federal agents are already doing in Albuquerque in concentrating upon the most dangerous actors and groups in an effort to make the city where we all work and live a safer place."
As part of Operation Legend, Attorney General Barr directed the FBI, U.S. Marshals Service, DEA and ATF to significantly increase resources into Chicago and Albuquerque in the coming weeks to help state and local officials fight high levels of violent crime, particularly gun violence. Chicago is currently experiencing a significant increase in violent crime, with homicides currently up 51% over 2019. Over the weekend of July 17, more than 60 people were shot in the city of Chicago, with 14 fatalities. Similarly, Albuquerque is currently on pace to break 2019’s record for homicides in the city. On the weekend of July 10, there were four murders in Albuquerque within a 24-hour period.
In Albuquerque, the Department of Justice will supplement state and local law enforcement agencies by sending more than 25 federal investigators from the FBI, DEA, and ATF to the city. In coordination with the United States Attorney’s Office, these federal investigators will work closely with the Albuquerque Police Department and the Bernalillo County Sheriff’s Department, along with other local partners, through pre-existing task forces directed at combatting violent crimes. Up to ten HSI agents will assist with the efforts in Albuquerque, as well.
The Department of Justice has also made available over $1.5 million in COPS Hiring Grants to the Bernalillo County Sheriff’s Department to onboard five deputies and to support additional federal task force officers committed to violent crime reduction efforts. Additionally, the COPS Office has made $9.74 million available to the Albuquerque Police Department to fund the hiring of 40 officers. Separately, the Bureau of Justice Assistance has made available $1.4 million to reimburse the Bernalillo County Sheriff’s Office for the work of local law enforcement on the federal task forces supporting Operation Legend’s violent crime reduction efforts. The Department has also provided assistance through the Joint Law Enforcement Operations (JLEO) fund to assist reimbursement of local law enforcement serving as federal task force officers with FBI, ATF, DEA, and the U.S. Marshals Service. These JLEO funds also will be used to assist the City of Albuquerque in acquiring technology used for detection of gunshots and development of an integrated response plan to gunshots by local law enforcement.
Tuesday 21 July 2020
U.S. Court of Appeals Affirms Sentence of Macon Businessman Guilty of Defrauding Bibb County SchoolsRead the Press Release
MACON – The United States Court of Appeals for the Eleventh Circuit confirmed Monday that a Macon businessman convicted and sent to prison for his role in a complex scheme to defraud the Bibb County School District (BCSD) of millions of dollars will pay back taxpayers and serve his full prison sentence, announced Charles “Charlie” Peeler, the United States Attorney for the Middle District of Georgia.
Dave Carty, 49, of Macon, was found guilty on February 1, 2019 of one count of wire fraud following a week-long trial before U.S. District Judge Marc Treadwell. Carty was sentenced to 50 months in prison and ordered to pay $1,920,853.36 in restitution. Carty appealed, and on July 21, the Eleventh Circuit affirmed Carty’s conviction and the sentence imposed by Judge Treadwell. A co-defendant, Isaac Culver, was found guilty in July 2018 by a jury of his peers for conspiracy to commit wire and mail fraud, mail fraud, conspiracy to launder the proceeds of unlawful activity and ten counts of wire fraud. Mr. Culver was sentenced to 87 months in prison and three years of supervised release. Mr. Culver was also ordered to pay $1,920,853.36 in restitution. Mr. Culver appealed his conviction and sentence, and that appeal is pending in the Eleventh Circuit.
“Carty and his co-defendant ran a scam to defraud the Bibb County School District of $2 million by hiding their participation in the sale of computers to the district, to the detriment of every child in a BCSD classroom. Prior to trial, this pair did not accept responsibility for their actions, but a jury held them accountable. Post-trial, they still would not accept responsibility for their criminal conduct. Thankfully, the Eleventh Circuit has held Mr. Carty accountable by affirming his conviction and the judge’s sentence. Carty cannot run from justice. He will pay the price for the scheme,” said U.S. Attorney Peeler.
This case was investigated by the FBI and Internal Revenue Service (IRS). Assistant U.S. Attorneys Danial Bennett and Beth Howard prosecuted the case for the Government with participation and cooperation of Special Assistant U.S. Attorney David McLaughlin from the Georgia Office of the Attorney General. Assistant U.S. Attorney Michelle Schieber handled the appeal. Questions concerning this case 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.
U.S. Attorney, FBI to announce charges related to $60 million bribe to state official & associatesRead the Press Release
COLUMBUS, Ohio – Federal officials will brief the media on a public corruption racketeering conspiracy involving $60 million.
The briefing will be held:
TODAY: TUESDAY, JULY 21, 2020
WHEN: 2:30PM
WHERE: U.S. Attorney’s Office
Main Conference Room
303 Marconi Blvd. Suite 200
Columbus, Ohio 43215
WHO: U.S. Attorney David M. DeVillers
Chris Hoffman, FBI, Special Agent in Charge
*Pool coverage is strongly encouraged for video footage. Reporters not present in person will be given opportunity to ask questions via conference telephone line.*
Room available at 2:15PM. ID and valid media credential will be required for entrance on Marconi Blvd., where someone will bring you into the building. No TV lighting provided. Please practice social distancing inside the main conference room/common areas and wear a mask.
Contact Jennifer Thornton at [email protected] by 1PM to join via conference telephone line.
# # #
If you have media questions, contact Jennifer Thornton at [email protected].
U.S. Attorney Erin Nealy Cox Names Prerak Shah First AssistantRead the Press Release
United States Attorney Erin Nealy Cox has appointed Prerak Shah as First Assistant United States Attorney, the office’s second in command, she announced today.
“Prerak Shah is a great addition to the Northern District of Texas and I am confident he will do a wonderful job working with our team, our law enforcement partners, and our judges,” said U.S. Attorney Erin Nealy Cox. “We are glad that he has returned to Dallas and know his extraordinary depth of experience – inside both federal and state government as well as the private sector – will no doubt inform our strategic approach to Justice Department priorities moving forward.”
Mr. Shah’s first day with the U.S. Attorney’s Office for the Northern District of Texas was Monday, July 13.
Prior to joining the office, Mr. Shah served in various senior leadership positions at the U.S. Department of Justice, including as a Deputy Associate Attorney General in the office overseeing the civil and criminal work of the Antitrust, Civil, Civil Rights, Environment & Natural Resources, and Tax Divisions. He also previously served as the Deputy Assistant Attorney General directly supervising the approximately 75 trial lawyers of the Department's Natural Resources Section in investigations and trials across the country.
Before joining the Justice Department, Mr. Shah served as an attorney in the Dallas office of Gibson, Dunn & Crutcher LLP, as Senior Counsel to the Attorney General of Texas, as an Assistant Solicitor General of Texas, and Chief of Staff and Chief Counsel to U.S. Senator Ted Cruz of Texas. He graduated with honors from the University of Chicago Law School and clerked for the Hon. Jerry E. Smith of the U.S. Court of Appeals for the Fifth Circuit.
"Pre is an extraordinarily talented attorney and was an invaluable member of the Associate's Office. The Department is grateful for his past work and looks forward to everything he will accomplish in the Northern District of Texas,” said Principal Deputy Associate Attorney General Claire Murray.
“Pre was a tremendous Deputy Assistant Attorney General, ably overseeing some of the most controversial litigation in the Environment Division at Main Justice. My loss is definitely USA Nealy Cox's and Dallas's gain,” echoed Assistant Attorney General for the Environment and Natural Resources Division Jeff Clark.
Mr. Shah took the reins from Northern District of Texas Criminal Chief Steve Fahey, who served as Acting FAUSA from January to July.
“Steve’s extraordinary contributions during this challenging time have made it possible to continue to advance a number of mission-critical objectives while facing the unprecedented challenges presented by the pandemic,” U.S. Attorney Nealy Cox wrote in an office-wide email. “I have felt so lucky to be able to call upon his wise counsel.”
Mr. Fahey will return to his role as Criminal Chief, where he’ll focus on a number of important strategic objectives facing the Northern District of Texas’ Criminal Division.
Prior to this, U.S. Attorney Nealy Cox's first FAUSA was Tanya Pierce, who had worked as a Northern District of Texas AUSA for 18 years and then served the Drug Enforcement Administration as Chief of Staff and Division Counsel for 11 years. Ms. Pierce retired at the end of 2019 after 30 years in federal service.
Established in 1879, the United States Attorney’s Office for the Northern District of Texas has prospective responsibility for 96,000 square miles of Texas, a population of approximately eight million. The office is charged with vigorously enforcing the laws and defending the interests of the United States, and with promoting a peaceful and lawful community.
Two Chinese Hackers Working with the Ministry of State Security Charged with Global Computer Intrusion Campaign Targeting Intellectual Property and Confidential Business Information, Including COVID-19 ResearchRead the Press Release
A federal grand jury in Spokane, Washington, returned an indictment earlier this month charging two hackers, both nationals and residents of the People’s Republic of China (China), with hacking into the computer systems of hundreds of victim companies, governments, non-governmental organizations, and individual dissidents, clergy, and democratic and human rights activists in the United States and abroad, including Hong Kong and China. The defendants in some instances acted for their own personal financial gain, and in others for the benefit of the MSS or other Chinese government agencies. The hackers stole terabytes of data which comprised a sophisticated and prolific threat to U.S. networks.
The 11-count indictment alleges LI Xiaoyu (李啸宇), 34, and DONG Jiazhi (董家志), 33, who were trained in computer applications technologies at the same Chinese university, conducted a hacking campaign lasting more than ten years to the present, targeting companies in countries with high technology industries, including the United States, Australia, Belgium, Germany, Japan, Lithuania, the Netherlands, Spain, South Korea, Sweden, and the United Kingdom. Targeted industries included, among others, high tech manufacturing; medical device, civil, and industrial engineering; business, educational, and gaming software; solar energy; pharmaceuticals; defense. In at least one instance, the hackers sought to extort cryptocurrency from a victim entity, by threatening to release the victim’s stolen source code on the Internet. More recently, the defendants probed for vulnerabilities in computer networks of companies developing COVID-19 vaccines, testing technology, and treatments.
The charges were announced by Assistant Attorney General for National Security John C. Demers; FBI Deputy Director David Bowdich; U.S. Attorney for the Eastern District of Washington William D. Hyslop; and Special Agent in Charge of the FBI’s Seattle Field Division Raymond Duda.
“China has now taken its place, alongside Russia, Iran and North Korea, in that shameful club of nations that provide a safe haven for cyber criminals in exchange for those criminals being ‘on call’ to work for the benefit of the state, here to feed the Chinese Communist party’s insatiable hunger for American and other non-Chinese companies’ hard-earned intellectual property, including COVID-19 research,” said Assistant Attorney General for National Security John C. Demers.
“Today’s indictment demonstrates the serious consequences the Chinese MSS and its proxies will face if they continue to deploy malicious cyber tactics to either steal what they cannot create or silence what they do not want to hear,” said FBI Deputy Director David Bowdich. “Cybercrimes directed by the Chinese government’s intelligence services not only threaten the United States but also every other country that supports fair play, international norms, and the rule of law, and it also seriously undermines China's desire to become a respected leader in world affairs. The FBI and our international partners will not stand idly by to this threat, and we are committed to holding the Chinese government accountable.”
“The cybercrime hacking occurring here was first discovered on computers of the Department of Energy’s Hanford Site in Eastern Washington. As the grand jury charged, the computer systems of many businesses, individuals and agencies throughout the United States and worldwide have been hacked and compromised with a huge array of sensitive and valuable trade secrets, technologies, data, and personal information being stolen. The hackers operated from China both for their own gain and with the assistance and for the benefit of the Chinese government’s Ministry of State Security. This prosecution is occurring as a result of the combined unwavering efforts of the National Security Division of the Department of Justice, the United States Attorney’s Office for the Eastern District of Washington, and the Federal Bureau of Investigation. We seek justice for these victims and others affected and we intend to prosecute these defendants for their alleged crimes,” said U.S. Attorney William D. Hyslop for the District Eastern District of Washington.
"The complicated nature of cyber investigations is only exacerbated when the criminal is backed by the resources of a foreign government. The nature and value of the material stolen by these hackers cannot just be measured in dollars and was indicative of being state driven. This case demonstrates the FBI's dedication to pursuing these criminals no matter who is sanctioning their activities,” said Special Agent in Charge Raymond Duda of the FBI’s Seattle Division.
According to the indictment, to gain initial access to victim networks, the defendants primarily exploited publicly known software vulnerabilities in popular web server software, web application development suites, and software collaboration programs. In some cases, those vulnerabilities were newly announced, meaning that many users would not have installed patches to correct the vulnerability. The defendants also targeted insecure default configurations in common applications. The defendants used their initial unauthorized access to place malicious web shell programs (e.g., the “China Chopper” web shell) and credential-stealing software on victim networks, which allowed them to remotely execute commands on victim computers.
To conceal the theft of information from victim networks and otherwise evade detection, the defendants typically packaged victim data in encrypted Roshal Archive Compressed files (RAR files), changed RAR file and victim documents’ names and extensions (e.g., from “.rar” to “.jpg”) and system timestamps, and concealed programs and documents at innocuous-seeming locations on victim networks and in victim networks’ “recycle bins.” The defendants frequently returned to re-victimize companies, government entities, and organizations from which they had previously stolen data, in some cases years after the initial successful data theft. In several instances, however, the defendants were unsuccessful in this regard, due to the efforts of the FBI and network defenders.
The indictment charges the defendants with conspiring to steal trade secrets from at least eight known victims, which consisted of technology designs, manufacturing processes, test mechanisms and results, source code, and pharmaceutical chemical structures. Such information would give competitors with a market edge by providing insight into proprietary business plans and savings on research and development costs in creating competing products.
The defendants are each charged with one count of conspiracy to commit computer fraud, which carries a maximum sentence of five years in prison; one count of conspiracy to commit theft of trade secrets, which carries a maximum sentence of ten years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of unauthorized access of a computer, which carries a maximum sentence of five years in prison; and seven counts of aggravated identity theft, which each carries a mandatory sentence of two non-consecutive years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants will be determined by the assigned judge.
The investigation was conducted jointly by the U.S. Attorney’s Office for the Eastern District of Washington, the National Security Division of the Department of Justice, and the FBI’s Spokane Resident Agency and San Antonio and Norfolk Field Offices. The FBI’s Cyber Division assisted in the investigation and, along with FBI’s Cyber Assistant Legal Attachés and Legal Attachés in countries around the world, provided essential support. Numerous victims cooperated and provided valuable assistance in the investigation.
Assistant U.S. Attorney James Goeke of the Eastern District of Washington and Trial Attorney Scott McCulloch of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case.
The details contained in the charging document are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Two Chinese Hackers Working with the Ministry of State Security Charged with Global Computer Intrusion Campaign Targeting Intellectual Property and Confidential Business Information, Including Covid-19 ResearchRead the Press Release
WASHINGTON – A federal grand jury in Spokane, Washington, returned an indictment earlier this month charging two hackers, both nationals and residents of the People’s Republic of China (China), with hacking into the computer systems of hundreds of victim companies, governments, non-governmental organizations, and individual dissidents, clergy, and democratic and human rights activists in the United States and abroad, including Hong Kong and China. The defendants in some instances acted for their own personal financial gain, and in others for the benefit of the MSS or other Chinese government agencies. The hackers stole terabytes of data which comprised a sophisticated and prolific threat to U.S. networks.
The 11-count indictment alleges LI Xiaoyu (李啸宇), 34, and DONG Jiazhi (董家志), 33, who were trained in computer applications technologies at the same Chinese university, conducted a hacking campaign lasting more than ten years to the present, targeting companies in countries with high technology industries, including the United States, Australia, Belgium, Germany, Japan, Lithuania, the Netherlands, Spain, South Korea, Sweden, and the United Kingdom. Targeted industries included, among others, high tech manufacturing; medical device, civil, and industrial engineering; business, educational, and gaming software; solar energy; pharmaceuticals; defense. In at least one instance, the hackers sought to extort cryptocurrency from a victim entity, by threatening to release the victim’s stolen source code on the Internet. More recently, the defendants probed for vulnerabilities in computer networks of companies developing COVID-19 vaccines, testing technology, and treatments.
The charges were announced by Assistant Attorney General for National Security John C. Demers; FBI Deputy Director David Bowdich; U.S. Attorney for the Eastern District of Washington William D. Hyslop; and Special Agent in Charge of the FBI’s Seattle Field Division Raymond Duda.
“China has now taken its place, alongside Russia, Iran and North Korea, in that shameful club of nations that provide a safe haven for cyber criminals in exchange for those criminals being ‘on call’ to work for the benefit of the state, here to feed the Chinese Communist party’s insatiable hunger for American and other non-Chinese companies’ hard-earned intellectual property,” said Assistant Attorney General for National Security John C. Demers.
“Today’s indictment demonstrates the serious consequences the Chinese Communist Party will face if it continues to deploy malicious cyber tactics to either steal what they cannot create or silence what they do not want to hear,” said FBI Deputy Director David Bowdich. “Cybercrimes directed by the Chinese government’s intelligence services not only threaten the United States but also every other country that supports fair play, international norms, and the rule of law, and it also seriously undermines China's desire to become a respected leader in world affairs. The FBI and our international partners will not stand idly by to this threat, and we are committed to holding the Chinese Communist Party accountable.”
“The cybercrime hacking occurring here was first discovered on computers of the Department of Energy’s Hanford Site in Eastern Washington. As the grand jury charged, the computer systems of many businesses, individuals and agencies throughout the United States and worldwide have been hacked and compromised with a huge array of sensitive and valuable trade secrets, technologies, data, and personal information being stolen. The hackers operated from China both for their own gain and with the assistance and for the benefit of the Chinese government’s Ministry of State Security. This prosecution is occurring as a result of the combined unwavering efforts of the National Security Division of the Department of Justice, the United States Attorney’s Office for the Eastern District of Washington, and the Federal Bureau of Investigation. We seek justice for these victims and others affected and we intend to prosecute these defendants for their alleged crimes,” said U.S. Attorney William D. Hyslop for the District Eastern District of Washington.
"The complicated nature of cyber investigations is only exacerbated when the criminal is backed by the resources of a foreign government. The nature and value of the material stolen by these hackers cannot just be measured in dollars and was indicative of being state driven. This case demonstrates the FBI's dedication to pursuing these criminals no matter who is sanctioning their activities,” said Special Agent in Charge Raymond Duda of the FBI’s Seattle Division.
According to the indictment, to gain initial access to victim networks, the defendants primarily exploited publicly known software vulnerabilities in popular web server software, web application development suites, and software collaboration programs. In some cases, those vulnerabilities were newly announced, meaning that many users would not have installed patches to correct the vulnerability. The defendants also targeted insecure default configurations in common applications. The defendants used their initial unauthorized access to place malicious web shell programs (e.g., the “China Chopper” web shell) and credential-stealing software on victim networks, which allowed them to remotely execute commands on victim computers.
To conceal the theft of information from victim networks and otherwise evade detection, the defendants typically packaged victim data in encrypted Roshal Archive Compressed files (RAR files), changed RAR file and victim documents’ names and extensions (e.g., from “.rar” to “.jpg”) and system timestamps, and concealed programs and documents at innocuous-seeming locations on victim networks and in victim networks’ “recycle bins.” The defendants frequently returned to re-victimize companies, government entities, and organizations from which they had previously stolen data, in some cases years after the initial successful data theft. In several instances, however, the defendants were unsuccessful in this regard, due to the efforts of the FBI and network defenders.
The indictment charges the defendants with conspiring to steal trade secrets from at least eight known victims, which consisted of technology designs, manufacturing processes, test mechanisms and results, source code, and pharmaceutical chemical structures. Such information would give competitors with a market edge by providing insight into proprietary business plans and savings on research and development costs in creating competing products.
The defendants are each charged with one count of conspiracy to commit computer fraud, which carries a maximum sentence of five years in prison; one count of conspiracy to commit theft of trade secrets, which carries a maximum sentence of ten years in prison; one count of conspiracy to commit wire fraud, which carries a maximum sentence of 20 years in prison; one count of unauthorized access of a computer, which carries a maximum sentence of five years in prison; and seven counts of aggravated identity theft, which each carries a mandatory sentence of two non-consecutive years in prison. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencings of the defendants will be determined by the assigned judge.
The investigation was conducted jointly by the U.S. Attorney’s Office for the Eastern District of Washington, the National Security Division of the Department of Justice, and the FBI’s Spokane Resident Agency and San Antonio Field Office. The FBI’s Cyber Division assisted in the investigation and, along with FBI’s Cyber Assistant Legal Attachés and Legal Attachés in countries around the world, provided essential support. Numerous victims cooperated and provided valuable assistance in the investigation.
Assistant U.S. Attorney James Goeke of the Eastern District of Washington and Trial Attorney Scott McCulloch of the National Security Division’s Counterintelligence and Export Control Section are prosecuting this case.
The details contained in the charging document are allegations. The defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
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.
The indictment can be view here Wanted By The FBITwo Charged with Fraud and Money Laundering for Scheme that Sold Stolen GoodsRead the Press Release
PITTSBURGH, PA – Two residents of Allegheny County, Pennsylvania, have been indicted by a federal grand jury in Pittsburgh on charges of wire fraud, conspiracy to commit wire fraud and money laundering, United States Attorney Scott W. Brady announced today.
The six-count Indictment named Anthony Costanzo, age 31, of Carnegie, Pennsylvania and Durrell Waters, age 37, of Pittsburgh, Pennsylvania.
According to the indictment, Costanzo and Waters were charged in eleven counts for conspiring with others to sell stolen goods through their business, called Trader Electronics, which sold used electronics and a wide variety of drug store type health and beauty aids and over the counter medications over the internet. Costanzo and Waters were charged with a criminal conspiracy, a wire fraud scheme for delivering stolen goods through the mail and receiving the proceeds through electronic funds transfers and money laundering with regard to their handling of the proceeds of the stolen goods.
The law provides for a maximum sentence of up to five years for the conspiracy count, up to 20 years on each wire fraud count and up to 10 years on each money laundering count. The statutes each also carry a fine provision of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
The Internal Revenue Service, Criminal Investigation, the Federal Bureau of Investigation and the United States Postal Inspection Service conducted the investigation leading to the Indictment in this case. Police departments from the City of Pittsburgh, Ross Township and Shaler Township also assisted in the overall investigation.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Two Charged with Introducing Contraband in Federal PrisonRead the Press Release
United States Attorney Erica H. MacDonald today announced a federal indictment charging LEE ANTHONY FISHER, 46, with one count of providing contraband in prison, and CURTIS BRENT CARICO, 28, with one count of attempting to obtain contraband in prison. FISHER made his initial appearance today before Magistrate Judge Zack Hawthorn in U.S. District Court in Beaumont, Texas. CARICO made his initial appearance today before Magistrate Judge Kate M. Menendez in U.S. District Court in Minneapolis, Minnesota.
According to the charges alleged in the indictment, on January 24, 2020, FISHER attempted to provide a Schedule I controlled substance to CARICO, who is a federal inmate at the Federal Correctional Institution in Sandstone, Minnesota.
If convicted, CARICO and FISHER both face a maximum potential penalty of 10 years in prison.
This case is the result of an investigation conducted by the Federal Bureau of Prisons and the United States Postal Inspection Service.
Assistant United States Attorney Chelsea A. Walcker is prosecuting the case.
The charges contained in the indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
Defendant Information:
LEE ANTHONY FISHER, 46
Port Arthur, TX.
Charges:
- Providing contraband in prison, 1 count
CURTIS BRENT CARICO, 28
FCI Sandstone
Charges:
- Attempting to obtain contraband in prison, 1 count
###
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
Transportation Broker for MassHealth Agrees to Pay $300,000 to Resolve False Claims AllegationsRead the Press Release
BOSTON – The Montachusett Regional Transportation Authority (MART), a transportation broker for MassHealth, has agreed to pay $300,000 to resolve allegations that it violated the False Claims Act by submitting reimbursement claims for rides that never happened.
As a state Medicaid program, which the federal government jointly finances, MassHealth must provide its members with non-emergency transportation to and from medical appointments that MassHealth covers. MassHealth uses transportation brokers, including MART, to help its members find these rides. MART in turn contracts with third-party transportation companies to provide rides to MassHealth members. MART pays the transportation companies for the rides and submits reimbursement claims to MassHealth for the costs of the rides. In addition, MassHealth’s parent agency, the Executive Office of Health and Human Services (EOHHS), pays MART a management fee for its brokerage services.
The government alleges that, from Jan. 1, 2011 through Dec. 31, 2015, MART submitted reimbursement claims to MassHealth for thousands of rides that MART’s contracted transportation companies did not actually provide. MART’s contract with EOHHS required MART to have “procedures to verify that scheduled trips were performed as authorized and as billed, and that the Transportation Provider performed Consumer trips in a timely and satisfactory manner.” According to the allegations in the settlement agreement, however, MART’s verification procedures were not sufficient to prevent transportation companies from submitting false invoices to MART, resulting in MART then billing the invoiced amounts to MassHealth.
“MART obtained reimbursement from MassHealth for services that its vendors did not actually deliver,” said United States Attorney Andrew E. Lelling. “We expect companies doing business with the government to comply with their contractual obligations. This office will continue to pursue those responsible for undermining the benefits that the government has bargained for.”
“The Medicaid program provides health care benefits to low-income individuals and families. Billing for transportation services that were never provided is a waste of valuable taxpayer funds that are intended to provide critical services to those in need,” said Special Agent in Charge Phillip M. Coyne of the U.S. Department of Health and Human Services Office of Inspector General. “This settlement is an example of how the State and the Federal government can work together to recoup and deter overbilling practices.”
“Not only did the Montachusett Regional Transportation Authority try to steal from a government program intended to support a vulnerable population, but they saddled taxpayers with the bills,” said Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Division. “Today’s settlement underscores the FBI’s commitment to working with our law enforcement partners in rooting out Medicaid fraud and ensuring that businesses aren’t taking more than what they have legitimately earned.”
U.S. Attorney Lelling, Massachusetts Attorney General Maura Healey, HHS-OIG SAC Coyne and FBI Boston SAC Bonavolonta made the announcement today. The matter was handled by Assistant U.S. Attorney Evan Panich of Lelling’s Office.
Topeka Man Pleads Guilty in RobberiesRead the Press Release
TOPEKA, KAN. – A Topeka man pleaded guilty today to driving a getaway car in two robberies, U.S. Attorney Stephen McAllister said.
Ernesto Negrete Jr., 30, Topeka, Kan., pleaded to two counts of robbery. In his plea, he admitted being involved in a robbery at Panderia Monterrey Bakery, 3154 S.E. 6th Avenue in Topeka, and a robbery at Pablanos Grille, 3035 S.E. 6th Avenue in Topeka. Negrete said that in both cases he drove the car while co-defendants Javier Martinez and Victor Arellano entered the stores masked and brandishing handguns. Martinez and Arellano are awaiting trial.
Negrete’s sentencing is set for Oct. 27. He could face up to 20 years in federal prison and a fine up to $250,000 on each count.
McAllister commended the FBI and Assistant U.S. Attorney Greg Hough for their work on the case.
Three Members of the Hualapai Indian Tribe Sentenced to Federal Prison for AssaultRead the Press Release
PHOENIX, Ariz. – Last week, Doncio Eagle Havatone, 35, of Peach Springs, Arizona was sentenced by United States District Judge Steven P. Logan to 120 months in prison followed by three years of supervised release. Havatone previously pleaded guilty to assault with a dangerous weapon.
Havatone’s co-defendants were sentenced by United States District Judge Steven P. Logan earlier this year. On July 6, Morgan Cook, 36, of Peach Springs, Arizona was sentenced to 38 months in prison, followed by three years of supervised release after pleading guilty to assault with a dangerous weapon. On February 24, Dylan Dean Davis, 25, of Peach Springs, Arizona was sentenced to 87 months in prison, followed by three years of supervised release after pleading guilty to assault resulting in serious bodily injury.
On March 1, 2019, Havatone, Davis, and Cook assaulted the victim, a member of the Hualapai Indian Tribe, causing her to sustain serious bodily injury. The assault happened on the Hualapai Indian Reservation. Havatone, Cook, and Davis are also members of the Hualapai Indian Tribe.
The Federal Bureau of Investigation and the Hualapai Nation Police Department conducted the investigation in this case. Assistant United States Attorney Christina J. Reid-Moore, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-19-08063-PCT-SPL
RELEASE NUMBER: 2020-064_Havatone et al.# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Three Chicago-Area Residents Charged with Conducting Online Romance Fraud and Other SchemesRead the Press Release
CHICAGO — An undercover federal law enforcement investigation has identified a variety of cyber-enabled fraud conspiracies allegedly carried out by two Nigerian nationals and a U.S. citizen residing in the Chicago suburbs.
One of the alleged schemes involved “romance scams,” in which a conspirator builds trust with a victim through a purported online romance before convincing the victim to send money to a predetermined recipient. The conspirators allegedly communicated with victims throughout the United States via social media and dating websites, including Match.com and OKCupid.com. The charges allege that the conspirators also engaged in other cyber-enabled frauds, including a “business email compromise” scheme and an inheritance fraud. The alleged scams resulted in a loss to victims of at least $750,000, the complaint states.
Charged with conspiracy to commit wire fraud are SAMUEL ANIUKWU, 46, a Nigerian national residing in Romeoville; ANTHONY EMEKA IBEKIE, 55, a Nigerian national residing in Oswego; and JENNIFER GOSHA, 48, a U.S. citizen residing in Oak Park. All three defendants were arrested last week. Aniukwu is scheduled to appear for a detention hearing today at 2:30 p.m. before U.S. Magistrate Judge Susan E. Cox. Ibekie is scheduled to appear for a detention hearing before Judge Cox on July 24, 2020, at 9:30 a.m. Gosha has been released on bond.
The charges were announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; James M. Gibbons, Special Agent-in-Charge of the U.S. Immigration and Customs Enforcement’s Homeland Security Investigations in Chicago; William Hedrick, Inspector-in-Charge of the U.S. Postal Inspection Service in Chicago; Kathy A. Enstrom, Special Agent-in-Charge of the IRS Criminal Investigation Division in Chicago; and Robert Berlin, DuPage County State’s Attorney. Assistant U.S. Attorneys Saurish Appleby-Bhattacharjee and Paige Nutini represent the government.
In the business email compromise scheme, the conspirators allegedly defrauded victims by targeting corporate email accounts via computer intrusion techniques, the complaint states. Correspondence to those email accounts were blocked while the conspirators used them to communicate with unsuspecting victims in an attempt to induce fraudulent wire transfers. In the inheritance fraud scam, the conspirators fraudulently told victims that they had received a substantial inheritance and needed to send money to the conspirators in order to claim it, the complaint states.
The charges allege that the defendants created fictitious business entities and opened numerous bank accounts in those entities’ names in order to launder proceeds from the fraud schemes. During a court-authorized search last week of Aniukwu’s residence, law enforcement seized multiple digital devices, including a cellphone that contained letters purported to be from “Standard Charter Financial Group,” according to the government’s memorandum in support of Aniukwu’s detention. The letters were addressed to victims regarding processing of the bogus inheritance payments, the memorandum states.
The charge in the complaint carries a maximum sentence of 20 years in prison. If convicted, the Court must impose reasonable sentences under federal sentencing statutes and the advisory U.S. Sentencing Guidelines.
The public is reminded that a complaint contains only accusations and is not evidence of guilt. The defendants are presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt.
Syracuse Woman Charged with Tax FraudRead the Press Release
SYRACUSE, NEW YORK – Phoenix Phan, age 61, of Syracuse, made her initial appearance and was arraigned today in Federal Court in Syracuse, New York on charges that she filed false federal income tax returns for herself, and aided and assisted in the filing of false federal income tax returns for others as part of her tax preparation business. Following today’s court appearance, Phan was released pending trial. The announcement was made by United States Attorney Grant C. Jaquith and Jonathan D. Larsen, Special Agent in Charge, New York Field Office, Internal Revenue Service – Criminal Investigation (“IRS-CI”).
As alleged in the indictment, Phan failed to report gross receipts on her personal income tax returns for tax years 2013-2017. The indictment also alleges that Phan aided and assisted others in filing false federal income tax returns, including by falsely reporting: (1) business income that the taxpayer did not earn (to increase a tax credit); (2) rental losses; and/or (3) that the taxpayer had a filing status (e.g., head of household) that the taxpayer did not actually have.
The charges against Phan carry a maximum sentence of three years in prison per count, a fine of up to $100,000 per count, and a term of supervised release of up to one year. A defendant’s sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines and other factors.
The charges in the indictment are merely accusations. The defendant is presumed innocent unless and until proven guilty.
This case is being investigated by the Internal Revenue Service – Criminal Investigation (“IRS-CI”) and is being prosecuted by Assistant U.S. Attorney Michael D. Gadarian.
St. Petersburg Postal Clerk Indicted for Stealing Mail and Passport Applications to Commit Bank FraudRead the Press Release
Tampa, Florida - United States Attorney Maria Chapa Lopez announces the return of an indictment charging Jasmine Wynne (30, Ruskin) with one count of conspiracy to commit bank fraud, five counts of aggravated identity theft, and one count of theft of a postal key. Wynne faces up to 30 years in federal prison for the conspiracy count, up to 2 years’ imprisonment for each identity theft count, and up to 10 years’ imprisonment for theft of a postal key. The indictment also notifies Wynne that the United States intends to forfeit assets used in the offense.
According to the indictment, Wynne, a Postal Clerk with the United States Postal Service (USPS) working at the St. Petersburg Retail Post Office location, conspired with others to defraud federally insured financial institutions. Wynne used her status and the special access she had as an USPS employee to open First-Class mail and to photograph personal identifying information (“PII”) and bank account information. Wynne then forwarded the photographs to co-conspirators for use in a bank fraud scheme. The indictment further alleges that Wynne also photographed United States Passport applications that was processed at her post office location to gain applicants’ PII and bank account information. She then forwarded that information to co-conspirators.
In addition, the indictment charges Wynne with using her position as a USPS employee to access and steal restricted postal arrow keys – special master keys that open USPS collection boxes, banks of mailboxes at apartment complexes, and any other mailbox keyed with an arrow lock. Wynne then provided the postal arrow keys to co-conspirators for use in the charged conspiracy.
An indictment is merely a formal charge that a defendant has violated one or more of the federal criminal laws, and every defendant is presumed innocent unless, and until, proven guilty.
This case was investigated by the United States Postal Inspection Service and the U.S. Department of State’s Diplomatic Security Service. It will be prosecuted by Assistant United States Attorney Craig Gestring.
Saratoga County Man Charged with Transporting Child PornographyRead the Press Release
ALBANY, NEW YORK – Thomas Kopach, age 33, of Gansevoort, New York, was arrested yesterday on a charge of transporting child pornography.
The announcement was made by United States Attorney Grant C. Jaquith and Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
A criminal complaint alleges that in February 2020, Kopach knowingly emailed a video depicting the sexual abuse of a minor. The charges in the complaint are merely accusations. The defendant is presumed innocent unless and until proven guilty.
If convicted of the charge set forth in the complaint, Kopach faces at least 15 years and up to 40 years in prison, a term of post-release supervision of at least 5 years and up to life, and a fine of $250,000. A defendant’s sentence is imposed by a judge based on the particular statue the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
Following several initial hearings before United States Magistrate Judge Christian F. Hummel, Kopach remains detained pending a detention hearing on July 28.
Anyone with information relevant to this investigation may call HSI’s Albany office at (518) 220-2129.
This case is being investigated by HSI, with assistance from the New York State Police, and is being prosecuted by Assistant United States Attorney Rachel Williams.
This case is prosecuted as part of Project Safe Childhood. Launched in May 2006 by the Department of Justice, Project Safe Childhood is led by United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), and is designed to marshal federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit https://www.justice.gov/psc.
Registered Sex Offender Sentenced to 25 years in Prison for Sex Offenses Against Two Minors, One an Appleton Area ResidentRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that on July 20, 2020, Cort W. Davis II (age: 32) of Rochester, New York, was sentenced to 25 years in federal prison by Senior District Judge William C. Griesbach.
Davis, a registered sexual offender in the State of New York, initiated an online relationship with two children, one living in the Appleton, Wisconsin area, and the other living in Southern California. He identified himself online as “Caleb” and purported to be 19 years-old. In April of 2018, Davis travelled to Southern California where he rented a motel room and sexually abused a 14 year-old minor over a number of days, engaging in an array of sadomasochistic behavior and other forms of violent abuse. David then departed California for Wisconsin where he sexually abused a 13 year-old minor outside the Fox River Mall and days later at a nearby motel he procured to carry out his abuse. Investigators arrested Davis at the motel and, ultimately, uncovered digital videos of Davis sexually abusing the children after examining his cell phone.
Davis was convicted of “Possessing Sexual Performance by a Child Under 16 Years-Old” in Monroe County, New York, in 2015. He was required to register as a sexual offender until 2021. In 2017, Davis was convicted of “Failure to Report a Change in Address or Status by a Sex Offender” in Henrietta, New York.
In handing down the sentence, Judge Griesbach admonished Davis for his “horrible offenses” and for “stealing the girls’ innocence.” He noted that there were few mitigating factors considering the defendant’s actions and his previous criminal record. He further stated his belief that a 25-year prison sentence was both “just” and lengthy enough to protect the community. Upon the completion of his federal prison sentence, the defendant will serve the remainder of his life on supervised release.
This case was investigated by the Appleton Police Department, the Grand Chute Police Department, the Wisconsin Department of Justice, Division of Criminal Investigations, and the Federal Bureau of Investigation. It was prosecuted by Assistant United States Attorney Daniel R. Humble.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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For further information contact:
Public Information Officer Kenneth Gales, (414) 297-1700
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Registered Sex Offender from Chicago Charged with Possessing Child PornographyRead the Press Release
CHICAGO — A Chicago man who allegedly possessed numerous sexually explicit videos of children has been indicted on a federal child pornography charge.
JOSEPH WERWATH, 36, is charged with one count of possession of child pornography. The charge carries enhanced sentencing penalties, including a mandatory minimum sentence of ten years in federal prison and a maximum of 20 years, due to a prior qualifying conviction involving a minor, for which Werwath has had to register as a sex offender.
During a court-authorized search of Werwath’s residence last month, federal law enforcement observed a video depicting child pornography playing on an electronic device in a bedroom, according to a criminal complaint previously filed in the case. Approximately 40 other videos depicting child pornography were discovered on the device, according to the complaint.
Werwath is currently detained in federal custody. He was arraigned in U.S. District Court in Chicago this morning and pleaded not guilty to the child pornography charge. The next court date was set for Sept. 9, 2020, at 1:30 p.m.
The indictment was announced by John R. Lausch, Jr., United States Attorney for the Northern District of Illinois; and Emmerson Buie, Jr., Special Agent-in-Charge of the Chicago Field Office of the FBI. The investigation was conducted by the FBI Chicago Child Exploitation and Human Trafficking Task Force, which includes the Chicago Police Department, Cook County Sheriff’s Office, and Cook County State’s Attorney’s Office. Valuable assistance was provided by the Harwood Heights Police Department. The government is represented by Assistant U.S. Attorney Jason A. Julien.
The public is reminded that an indictment is not evidence of guilt. The defendant is presumed innocent and entitled to a fair trial at which the government has the burden of proving guilt beyond a reasonable doubt. If convicted, the Court must impose a reasonable sentence under federal statutes and the advisory U.S. Sentencing Guidelines.
If you believe you are a victim of sexual exploitation, you are encouraged to contact the National Center for Missing and Exploited Children by logging on to www.missingkids.com or by calling 1-800-843-5678. The service is available 24 hours a day, seven days a week.
Previously Convicted Sex Offender Pleads Guilty to Federal Charge of Enticement of a Minor to Engage in Sexual ActivityRead the Press Release
Baltimore, Maryland – Jeffrey R. Cummings, Jr., age 35, of Baltimore, Maryland, pleaded guilty today to a federal charge for enticement of a minor to engage in illegal sexual activity during a period of time when Cummings was required to register as a sex offender. Cummings has been detained since his arrest on July 19, 2019.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur; Postal Inspector in Charge Peter R. Rendina of the U.S. Postal Inspection Service - Washington Division; and Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office.
According to his plea agreement, in 2008 Cummings was convicted of a sex offense in Anne Arundel County, Maryland, based on his sexual contact with a 10-year-old boy, and was required to register as a sex offender in Maryland. From March 2017 through July 2019, Cummings operated multiple social media accounts using a variety of aliases, including elaborate, false female personas, to communicate with minor boys under the false pretense that he was a minor girl. Using his accounts, Cummings coerced and enticed at least six minor male victims, ranging in age from 13 to 16 years old, to send Cummings pictures and videos of themselves engaged in sexually explicit conduct. Cummings also admitted that he further distributed some of the sexually explicit photos received from the victims.
As detailed in the plea agreement, during his conversations with the victims, Cummings, posing as a teenage girl, requested the victims to send “her” a sexually explicit photograph or video. Thinking that they were communicating with a teenage girl, and often after Cummings sent the victims pictures of a teenage girl purported to be pictures of “herself,” including nude images of a pubescent female’s genital area, at least five of the minor victims sent Cummings sexually explicit images of themselves. In a group chat that included a minor boy and at least two of Cummings’ alias social media accounts, Cummings threatened to publicly post a sexually explicit video of a minor victim if the victim did not meet his demands. Despite the minor boy’s objections, Cummings subsequently posted the video to a group chat on a social media platform. Using his alias accounts Cummings continued to taunt the minor boy and threatened to post the victim’s video and address online, and send the video to the victim’s teachers.
Throughout his conversations with several of the victims, Cummings requested that the victims send him their previously worn socks by mail. Cummings claimed that they were for a “science project,” and even offered one victim “$20 a pair.”
Law enforcement executed a search warrant at Cummings’ residence on July 19, 2019, and seized his cell phone, which contained images of child pornography, including sexually explicit images of the victims. The phone also had accessed several of Cummings’ alias social media accounts. After his arrest that same day, Cummings agreed to speak with investigators. Cummings made numerous statements attributing exchanges of nude photos on social media and the solicitation of dirty socks for a sexual fetish to his teenage son, stating that he had two sons, ages 15 and nine, who lived with his mother in Pennsylvania. Further, Cummings stated that he asked his brother to pick up socks from his post office box and deliver them to his son in Pennsylvania. In fact, Cummings is an only child, has not fathered or raised any children, and his mother has never raised or kept any children for Cummings.
Cummings faces a mandatory minimum of 10 years and up to life in prison for enticement of a minor to engage in unlawful sexual activity. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge Catherine C. Blake has not yet scheduled sentencing.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorney’s Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc. For more information about Internet safety education, please visit www.justice.gov/psc and click on the "Resources" tab on the left of the page.
United States Attorney Robert K. Hur commended the U.S. Postal Inspection Service and FBI for their work in the investigation, and thanked the Baltimore Police Department for its assistance. Mr. Hur thanked Assistant U.S. Attorneys Mary W. Setzer and Christine L. Duey, who are prosecuting the federal case, and recognized Assistant U.S. Attorney Zachary A. Myers for his assistance.
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President of Two Labor Unions Pleads Guilty in U.S. District Court in Maryland to Embezzling from UnionsRead the Press Release
Baltimore, Maryland – Sandra King, age 62, of Owings Mills, Maryland, pleaded guilty today to embezzlement from a labor organization. King was the president of two separate labor unions, both based in Owings Mills, that represented workers in Montgomery County, Maryland and Washington, D.C. King pleaded guilty to stealing more than $57,000 from those unions.
The guilty plea was announced by United States Attorney for the District of Maryland Robert K. Hur and U.S. Department of Labor, Washington District Office District Director Mark Wheeler.
According to her guilty plea, from October 2014 through September 2019, King served as president of The Federation of Police and Security (“FOPS”), formerly known as the National Union of Protective Services Association, which represents private security guards in Washington, D.C. and Bethesda, Maryland. King became president after the union’s previous president, J.C. Stamps, pleaded guilty to defrauding FOPS’s employee benefit plan. On October 3, 2014, investigators with the Department of Labor’s Office of Labor-Management Standards (OLMS) met with King to advise her of her fiduciary obligations as the president of FOPS and further instructed King that the union funds were to be used only for the benefit of union members and that the personal use of union funds was a violation of federal law.
From late 2014 to the present, King was also the president of the Alliance of Independent Workers (“AIW”), which represented the communication staff, mortuary staff, medical records staff, and the child fatality staff at the District of Columbia, Office of the Chief Medical Examiner. Like FOPS, King succeeded Stamps as president of AIW.
As detailed in her plea agreement, as president of FOPS and AIW, King was a fiduciary and had decision-making authority. King was the sole signatory on all FOPS and AIW bank accounts. King deposited dues from members of these unions and restitution payments from Stamps into the union bank accounts. Union dues were intended to fund union purposes, including bargaining with employers, litigating grievances, and providing any administrative support required by FOPS and AIW.
According to her guilty plea, from October 2014 through September 2019, while president of FOPS and AIW, King embezzled $50,939.41 from these unions--$20,368.76 from FOPS and $30,570.75 from AIW. King admitted that she used union funds for her personal benefit by writing checks to cash, making cash withdrawals at automated teller machines, and making personal purchases using the union debit card. King used union funds to purchase liquor, pay rent on her apartment, and purchase items at Target, Wal-Mart, Amazon, Apple iTunes, and at grocery stores. She also used union funds to pay for her personal life insurance and automobile insurance. Additionally, King’s personal expenditures often caused overdrafts on FOPS’s bank account, which caused FOPS to incur an additional loss of $6,388.50 in overdraft fees and penalties.
As part of her plea agreement, King will be required to pay restitution in the full amount of the unions’ losses, which is estimated to be at least $57,328.01.
King faces a maximum sentence of five years in federal prison for embezzling from the labor unions. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors. U.S. District Judge Stephanie A. Gallagher has scheduled sentencing for October 19, 2020 at 10:00 a.m.
United States Attorney Robert K. Hur commended the Department of Labor for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Matthew Phelps, who is prosecuting the case.
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Pittsburgh Woman Charged with Robbing Dollar Bank in City’s Oakland NeighborhoodRead the Press Release
PITTSBURGH - A resident of Pittsburgh, Pennsylvania, has been indicted by a federal grand jury in Pittsburgh on a charge of bank robbery, United States Attorney Scott W. Brady announced today.
The one-count Indictment named Gloria Anderson, age 36, as the sole defendant.
According to the Indictment, on June 26, 2020, Anderson robbed the Dollar Bank in the Oakland neighborhood of Pittsburgh, and was arrested by City of Pittsburgh Police upon exiting the bank.
The law provides for a maximum total sentence of not more than 20 years in prison, a fine of not more than $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Rebecca L. Silinski is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Pittsburgh Felon Sentenced for Identity Theft Scheme Using Counterfeit Credit and Debit CardsRead the Press Release
PITTSBURGH, PA- A resident of Pittsburgh, Pennsylvania, has been sentenced in federal court to 36 months’ imprisonment and two years’ supervised release on his conviction of aggravated identity theft and use of counterfeit access devices, United States Attorney Scott W. Brady announced today.
United States District Judge Arthur J. Schwab imposed the sentence on Cheron Tucker, 23, formerly of Pittsburgh.
According to information presented to the court, on December 31, 2018, Tucker rented six rooms at the Hilton Garden Inn at 250 Forbes Avenue in Pittsburgh using a counterfeit debit card and a counterfeit New Jersey driver’s license, with a photograph of the defendant and the name and date of birth of another individual. The charge for the hotel rental was $2,435.40. Additionally, on March 17, 2019, the defendant rented a Lincoln Continental with a counterfeit credit card and New Jersey driver’s license in the same name. The rental agreement charge was $785.56. The court was further informed that Tucker also accepted responsibility for five counts of charges related to identity theft, and that the defendant is accountable for a loss of at least $15,000. Tucker has a lengthy criminal history that includes violent conduct, narcotics and firearms offenses, theft, resisting arrest, fleeing from police, and possessing firearms while on probation.
Assistant United States Attorney Nicole Vasquez Schmitt prosecuted this case on behalf of the government.
The Pittsburgh Bureau of Police and the United States Secret Service conducted the investigation leading to the successful prosecution of Tucker.