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Wednesday 15 July 2020
IRS Criminal Investigation and United States Attorney remind taxpayers of the tax filing deadline; urge and to remain vigilant of scamsRead the Press Release
The Internal Revenue Service Criminal Investigation division and the U.S. Attorney’s Office for the Eastern District of Missouri remind taxpayers of the July 15 filing and payment deadline and warn against an increase in tax and COVID-19 scams.
Due to COVID-19, the original filing deadline and tax payment due date for 2019 was postponed from April 15 to July 15. Taxpayers filing Form 1040 series returns must file Form 4868 by July 15 to obtain the automatic extension to Oct. 15.
“Although the extension provides additional time to file the tax return – it is not an extension to pay any taxes due”, said Adam Steiner, Acting Special Agent in Charge of the IRS Criminal Investigation division in the St. Louis Field Office. “For people facing hardships who cannot pay in full, including those affected by COVID-19, the IRS has several options available to help. The IRS encourages taxpayers to visit IRS.gov as soon as possible to explore these options and avoid accruing interest and penalties after the July 15 deadline.”
As the filing deadline is today, taxpayers should beware of tax and COVID-19 related scams. “Criminals use the tax filing deadline as an opportunity to steal personal and financial information”, said U.S. Attorney Jeff Jensen for the Eastern District of Missouri. “Taxpayers should remain vigilant and know that the IRS will not initiate contact with them via phone, email or social media to request personal or financial information.”
In the last few months, the IRS Criminal Investigation division (CI) has continued to see a tremendous increase in a variety of Economic Impact Payment scams and other financial schemes. CI continues to work with its law enforcement partners to put a stop to these schemes and bring criminals to justice.
Taxpayers can report COVID-19 scams to the National Center for Disaster Fraud. Taxpayers can also report fraud or theft of their Economic Impact Payments to the Treasury Inspector General for Tax Administration (TIGTA). Unsolicited (phishing) e-mails that appear to be from the IRS should be forwarded to [email protected].
For the most up-to-date information about the tax filing deadline and IRS impersonation scams, taxpayers can visit IRS.gov.
Highest-Ranking Member of Brunswick County Bloods Gang Sentenced to More Than 29 Years for Drug DistributionRead the Press Release
RALEIGH, N.C. – Tabor City Bloods leader Nicholas Shamar Griffin was sentenced today to 350 months in prison for Conspiracy to Distribute and Possess with Intent to Distribute a Quantity of Cocaine and 280 grams or more of Cocaine Base (Crack), and Possession with Intent to Distribute a Quantity of Cocaine and Aiding and Abetting.
According to court documents, Griffin, 40, pled guilty to the charges on February 21, 2020.
In 2017 and 2018, investigators determined that the Defendant was a significant supplier of controlled substances in Brunswick County. The investigation also showed that Griffin was the highest-ranking member of the Bloods street gang in Brunswick County.
On July 31, 2018, members of the Brunswick County Sheriff’s Office conducted a traffic stop of a vehicle operated by Griffin. Officers approached the vehicle, and Griffin appeared nervous and fumbled with his wallet. The two passengers in the vehicle also appeared nervous and appeared to be concealing something.
All three passengers were asked to exit the vehicle. As one of the passengers exited the vehicle, he dropped two baggies containing 55.86 grams of cocaine on the ground and kicked the bags behind the rear tire of the vehicle. Griffin later admitted to officers that the cocaine was his.
Two months later, on September 28, 2018, Griffin got into gang-related argument with a victim. As the victim walked away, Griffin shot the victim in the back.
Griffin then fled to South Carolina to hide from law enforcement. On November 29, 2018, Griffin was arrested in North Myrtle Beach, South Carolina.
This prosecution is part of an extensive investigation by the Organized Crime Drug Enforcement Task Force (OCDETF). OCDETF is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets.
That effort has been implemented through the Take Back North Carolina Initiative of The United States Attorney’s Office for the Eastern District of North Carolina. This initiative emphasizes the regional assignment of federal prosecutors to work with law enforcement and District Attorney’s Offices on a sustained basis in those communities to reduce the violent crime rate, drug trafficking, and crimes against law enforcement. For more information about this initiative click here: https://www.justice.gov/usao-ednc/tbnc.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) and the Brunswick County Sheriff’s Office investigated the case and Assistant U.S. Attorney Scott A. Lemmon prosecuted the case.
A copy of this press release is located on our website. Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 7:18-cr-00174-D.
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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.
Henryetta Woman Pleads Guilty to Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Brandis Nicole Fish, age 36, of Henryetta, Oklahoma entered a guilty plea to Possession With Intent To Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B), punishable by not less than 5 years to not more than 40 years imprisonment, a fine up to $5,000,000.00 or both.
The Indictment alleged that from on or about January 27, 2020, in the Eastern District of Oklahoma, the defendant, did knowingly and intentionally possess with intent to distribute 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the Okmulgee County Sheriff’s Office and the Federal Bureau of Investigation Safe Trails Task Force. The Oklahoma Safe Trails Task Force is comprised of the FBI and nine partner agencies including: Muscogee Creek Nation Lighthorse Police, Okmulgee Police Department, Okmulgee Sheriff’s Office, Oklahoma Bureau of Narcotics, District 25 District Attorney’s Investigators, Cherokee Nation Police, Tahlequah Police Department, and Wagoner Police Department. The task force is focused on combating and reducing crime related to tribal jurisdictions across Oklahoma.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Ryan Conway represented the United States at the change of plea hearing.
Harrison County man sentenced to 25 years for drug and firearms chargesRead the Press Release
WHEELING, WEST VIRGINIA – Robert Michael Junkins, of Clarksburg, West Virginia, was sentenced today to 300 months of incarceration for drug and firearms charges, U.S. Attorney Bill Powell announced.
In June 2019, a jury deliberated for less than one hour before finding Junkins, age 51, guilty of two counts of “Possession with Intent to Distribute Methamphetamine,” one count of “Possession of a Firearm During and in Relation to a Drug Offense,” and two counts of “Unlawful Possession of a Firearm.”
Junkins had methamphetamine in his possession on three separate occasions. Having been convicted of a felony drug offense, Junkins also illegally had several firearms and ammunition. The crimes occurred in August and September 2017 and November 2018 in Harrison County.
Assistant U.S. Attorneys Brandon S. Flower and Stephen D. Warner prosecuted the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Elkins Police Department investigated.
U.S. District Judge John Preston Bailey presided.
Goldsboro Man Sentenced to 20 Years in Federal Prison for Methamphetamine TraffickingRead the Press Release
RALEIGH, N.C. – A Goldsboro man was sentenced today to 240 months in prison for conspiring to distribute and possess with the intent to distribute fifty (50) grams or more of methamphetamine and distributing fifty (50) grams or more of methamphetamine.
According to court documents, James Nathan Crawford, Jr., also known as “Stacks,” 25, had engaged in a multi-year conspiracy to distribute large amounts of crystal methamphetamine and heroin throughout Goldsboro, Kinston, and Sampson County. At sentencing, the judge held Crawford accountable for over 1.7 kilograms of methamphetamine and over 500 grams of heroin, noting that Crawford had been in charge of others involved in the conspiracy. Crawford was a known leader in a local set of the United Blood Nation gang.
The investigation was part of OCDETF Operation Carolina’s Ice Fall, which targeted large-scale methamphetamine dealers operating in and around Goldsboro. An Organized Crime Drug Enforcement Task Force (OCDETF) is a joint federal, state, and local cooperative approach to combat drug trafficking and is the nation’s primary tool for disrupting and dismantling major drug trafficking organizations, targeting national and regional level drug trafficking organizations, and coordinating the necessary law enforcement entities and resources to disrupt or dismantle the targeted criminal organization and seize their assets. To date, Operation Carolina’s Ice Fall has resulted in the prosecutions of 26 individuals for their role in methamphetamine distribution and other crimes.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Goldsboro Police Department, the Wayne County Sheriff’s Office, and the Drug Enforcement Administration investigated the case and Assistant U.S. Attorney Laura S. Howard prosecuted the case.
Related court documents and information can be found on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-CR-356-D-1.
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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.
Gainesville Gun Violence Initiative Secures Convictions for Three Men with Histories of Violence and Drug OffensesRead the Press Release
GAINESVILLE, FLORIDA – Three Alachua County men, each with multiple prior felony convictions, were sentenced in late June, 2020, to federal prison terms ranging from 5 to 17 years followed by supervised release for firearm and drug offenses. United States Attorney Lawrence Keefe for the Northern District of Florida announced the sentences.
These federal convictions result from the joint efforts of local, state, and federal law enforcement agencies that form the Gainesville Gun Violence Initiative (GVI). The Gainesville GVI was established in April, 2019, by the United States Attorney’s Office for the Northern District of Florida in an effort to stem the escalating gun violence in Gainesville and the surrounding area. As GVI partners, the State Attorney’s Office for the Eight Judicial Circuit, the Bureau of Alcohol, Tobacco and Firearms, the Federal Bureau of Investigation, the Florida Department of Law Enforcement, the Gainesville Police Department, the Alachua County Sheriff’s Office, the Alachua Police Department, the University of Florida Police Department, and the Florida Department of Corrections share this commitment to protecting public safety.
“The Gainesville Gun Violence Initiative gets results. There is still more work to be done, but I am confident that we will continue to remove violent felons from the streets and make our communities safer,” said U.S. Attorney Keefe. “My staff and I remain committed to supporting our federal, state, and local law enforcement partners and I applaud the dedicated professionals who brought these men to justice.”
Darris Orr, (33), of Gainesville, Florida, received concurrent federal prison sentences of 10 and 17 years on June 29, 2020, after pleading guilty on January 28, 2020, to Possession of a Firearm by a Convicted Felon and Possession with Intent to Distribute Methamphetamine, Eutylone (a synthetic cathinone, more commonly known as “bath salts”), and Marijuana. During a traffic stop on May 14, 2019, officers of the Gainesville Police Department searched a vehicle Orr was a passenger in and discovered a loaded 9 millimeter (9mm) pistol in the glove box. Orr admitted owning the gun and was arrested for Possession of a Firearm by a Convicted Felon. He was indicted on August 6, 2019. The Bureau of Alcohol, Tobacco and Firearms conducted a follow-up investigation and a federal warrant was issued for Orr’s arrest. When Orr was later apprehended on September 5, 2019, he was in possession of 77 grams of Eutylone (more commonly known as “bath salts”), approximately 150 pills containing Methamphetamine, and approximately half a pound of Marijuana. Orr had prior felony convictions including drug possession with the intent to sell, felony battery, burglary, and victim/witness tampering.
"This is a result of excellent cooperation between local and federal authorities to address gun violence on the streets of Gainesville," said Chief Tony Jones of the Gainesville Police Department.
Curtis Lee Woods Jr., (29), also of Gainesville, was sentenced on June 30, 2020, after pleading guilty on January 28, 2020, to Possession of a Firearm by a Convicted Felon and was sentenced to 10 years in federal prison. On July 29, 2019, Woods ran from Alachua County Sheriff’s Office warrant investigators as they attempted to apprehend him on an outstanding arrest warrant for Attempted Murder. As investigators caught up with Woods, they saw him throw something over the 15 foot wall that boxed him in. Once Woods was in custody, sheriff’s deputies located and recovered a loaded 9mm pistol from the other side of the wall. Forensics experts from the sheriff’s office recovered Woods’ fingerprint from the slide of the pistol. The Bureau of Alcohol, Tobacco and Firearms conducted a follow-up investigation. Woods had prior felony convictions including aggravated battery with a deadly weapon, robbery with a deadly weapon, aggravated assault, possession of a firearm by a convicted felon, and false imprisonment.
“I applaud the hard work of everyone involved in the successful completion of this case,” said Alachua County Sheriff, Sadie Darnell. “Make no mistake, violent crime involving guns and drugs will not be tolerated in our community. We will continue to work with all our partners to make sure that those who choose to resort to violence with firearms are dealt with accordingly.”
Fermon Green III, (39), of Hawthorne, Florida, was sentenced on June 30, 2020, after pleading guilty on March 3, 2020, to Possession of a Firearm by a Convicted Felon and was sentenced to 63 months in federal prison. On September 28, 2019, Alachua County Sheriff’s Office responded to a 911 call from a female who said Green threatened her with a firearm inside her own home, and that he was still on the porch outside her residence. When deputies arrived and questioned him, Green denied he had a firearm but a search revealed that he was in possession of a 9mm pistol that had previously been reported stolen. The Bureau of Alcohol, Tobacco and Firearms conducted a follow-up investigation. Green had prior felony convictions including child abuse, battery on a law enforcement officer, felony battery, burglary, and possession of a firearm by a convicted felon.
“Our law enforcement partnerships play such a vital role in fighting violent crime and protecting the public,” said ATF Special Agent in Charge, Daryl McCrary, “This sentencing is another example that working jointly with our partners is making our communities safer.”
Assistant United States Attorney Chris Elsey prosecuted the cases, which were investigated by the Gainesville Police Department, the Alachua County Sheriff’s Office, and the Bureau of Alcohol, Tobacco and Firearms, all member agencies of the Gainesville Gun Violence Initiative.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of Florida website. For more information about the United States Attorney’s Office, Northern District of Florida, visit http://www.justice.gov/usao/fln/index.html.
Press Release - Gainesville Gun Violence InitiativeFour South Dakotans Sentenced in Fentanyl ConspiracyRead the Press Release
United States Attorney Ron Parsons announced that Michael Ernesti of Sioux Falls, Melissa Herrboldt of Harrisburg, Preston Langeland of Yankton, and Kane Marshall of Harrisburg, all of whom were convicted of Conspiracy to Distribute a Controlled Substance, have been sentenced by U.S. District Judge Karen E. Schreier.
Ernesti, age 30, was sentenced to 95 months in federal prison, followed by 3 years of supervised release. Herrboldt, age 25, was sentenced to 51 months in federal prison, followed by 3 years of supervised release. Langeland, age 31, was sentenced to 120 months in federal prison, followed by 5 years of supervised release. Marshall, age 25, was sentenced to 55 months in federal prison, followed by 3 years of supervised release. They were also all ordered to pay $100 to the Federal Crime Victims Fund.
Ernesti, Herrboldt, Langeland, and Marshall were indicted for Conspiracy to Distribute a Controlled Substance by a federal grand jury on June 6, 2019. Ernesti pled guilty on October 10, 2019, Herrobldt pled guilty on November 4, 2019, Langeland pled guilty on March 5, 2020, and Marshall pled guilty on April 6, 2020.
These four defendants worked together to distribute fentanyl, which was received through the mail, throughout the Yankton area and elsewhere.
This case was investigated by the U.S. Postal Inspection Service, South Dakota Division of Criminal Investigation, Drug Enforcement Administration, Sioux Falls Area Drug Task Force, and the Yankton Police Department. Assistant U.S. Attorney Jennifer D. Mammenga prosecuted the case.
All defendants were immediately turned over to the custody of the U.S. Marshals Service after their sentencing.
Four Indicted for Murder-for-Hire Targeting DEA Task Force OfficerRead the Press Release
A four-person cabal has been charged with plotting a hit on a DEA task force officer, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
A federal grand jury indicted Manuel Garcia Gomez, 22, Jorge Humberto Velazco Larios, 27, Eva Denisse Gomez Garcia, 38, and Alicia Yuritzi Juarez Martinez, 31, for conspiracy to use interstate commerce in the commission of murder-for-hire.
Mr. Gomez and Mr. Larios have been arrested and will make their initial appearances before U.S. Magistrate Judge Renee Toliver this afternoon at 2 p.m. Ms. Garcia and Ms. Martinez remain fugitives and are believed to be in Mexico.
“The Justice Department will not stand for retaliatory violence against officers and agents,” said U.S. Attorney Erin Nealy Cox. “These defendants were plotting to murder a federal task force officer – a man who routinely risks his life to combat the scourge of drugs in our community. We are grateful to our partners at the DEA and FBI who worked tirelessly to keep the officer safe and help bring his would-be killers to justice.”
According to the indictment, unsealed today, Mr. Gomez – who was behind bars at Johnson County Jail on a methamphetamine charge – allegedly told another individual at the jail he wanted to “off” the DEA agent assigned to his case. He set the budget at $20,000: $5,000 up front and $15,000 following the hit.
In a subsequent phone call with an individual outside the jail, Mr. Gomez confirmed he wanted the agent murdered.
Mr. Gomez then called his girlfriend, Ms. Martinez, and his sister, Ms. Garcia, to arrange for delivery of the murder-for-hire fee. He advised them that the co-defendant in his drug case, Mr. Larios, would also contribute to the up-front payment.
Meanwhile, Mr. Larios, also behind bars, called an unindicted co-conspirator and asked him to deliver money to a workshop “so we can take care of something.”
On June 11, the unindicted co-conspirator, referred to in court documents by the nickname “Roberto,” made a $3,000 “down payment” for the murder of the agent. Five days later, he made an additional $2,000 payment on behalf of Mr. Gomez and Mr. Larios.
Mr. Gomez once again called his contact outside the jail. He described the DEA agent he wanted killed, then instructed the individual to call Ms. Martinez and Ms. Garcia, who he said had documents that could help the hit man figure out the name of the target. Mr. Gomez said the women were “badasses” who “know everything that is going on.”
Shortly thereafter, Ms. Garcia received a photo of DEA task force officer “T.H.” via the messaging app, WhatsApp. The following day, she flashed the image during a jailhouse video call with Mr. Gomez.
“Yes, that’s him,” Mr. Gomez told Ms. Garcia, smiling.
“Drug trafficking is inherently violent and traffickers will stop at nothing to protect their profits and their lifestyle,” said Eduardo A. Chavez, Special Agent in Charge of the DEA Dallas Field Division. “DEA agents and task force officers constantly put themselves in harm’s way to ensure these individuals are brought to justice. We appreciate our federal partners’ swift efforts to bring accountability to their nefarious intentions.”
"The Dallas Violent Crime Task Force is dedicated to protecting our citizens. This includes ensuring the safety of our law enforcement partners," said FBI Dallas Special Agent in Charge Matthew DeSarno. "The defendants wanted to harm a DEA task force officer and that is unacceptable. Fortunately, we were able to prevent a dangerous act from occurring and successfully apprehend a group of violent criminals."
An indictment is merely an allegation of criminal conduct, not evidence. Defendants are presumed innocent unless and until proven guilty in a court of law.
If convicted, these defendants face up to 10 years in federal prison. (Had the hit been carried out as planned, they would have faced a possible death sentence or life imprisonment.)
The Federal Bureau of Investigation’s Dallas Field Office, Violent Crime Task Force, conducted the investigation in close collaboration with the Drug Enforcement Administrations’ Dallas Field Division. The Johnson County Sheriff’s Office, U.S. Marshals Service, and U.S. Customs & Border Protection assisted in the investigation. Assistant U.S. Attorney Rick Calvert is handling the prosecution.
Forsyth County Resident Charged with Federal Gun, Drug Violations Following a High Speed ChaseRead the Press Release
GREENSBORO, N.C. – Matthew G.T. Martin, United States Attorney for the Middle District of North Carolina, announced today that DARTAGNAN BLAZE SURRATT, age 21, of Winston-Salem, NC, was charged with violations of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), felon in possession of a firearm, Title 21, United States Code, Section 841(a)(1) and (b)(1)(D), possession with intent to distribute marihuana, and Title 18, United States Code, Sections 924(c)(1)(A)(i), possession of firearms in furtherance of a drug trafficking crime.
The Complaint alleges that on June 7, 2020, at approximately 2:30 a.m., a Forsyth County Sheriff’s Office deputy attempted to stop a black 2019 Buick Cascada convertible for speeding on U.S. Highway 421 southbound in Lewisville, NC. The driver failed to stop, resulting in a high speed chase that ended in a crash, when the driver of the Buick failed to effectively reduce speed while exiting the highway and collided with a raised concrete median. The driver fled from the car, was caught nearby, and was identified as SURRATT.
According to the Complaint, when officers checked on a female passenger in the vehicle, the convertible top was down and officers could see an unsealed bottle of liquor on the floorboard and smell an odor of marihuana coming from the vehicle. Inside the car, officers found several ounces of marihuana, more than $7,000 in U.S. currency, and four firearms: a Ruger, model EC9, 9mm pistol, loaded with ammunition; a Romarm/Cugir Arms Factory, model WASR 10, 7.62x39mm caliber rifle; a Volunteer Enterprises Incorporated, model Commando Mark V, .45 caliber rifle, made into a pistol by taking the stock off, with an attached 30 round stick magazine; an Anderson Manufacturing, model AM-15, 5.56mm caliber rifle loaded with ammunition; and, three additional magazines. Officers also found fireworks, a digital scale and other items of drug paraphernalia, a set of handcuffs, a handcuff key, and an apparent protest sign inside the car. The investigation also developed photographic evidence of SURRATT posing with the Anderson Arms AM-15 rifle.
The Complaint also alleges that SURRATT has previously been convicted of a felony offense, punishable by more than one year imprisonment, and therefore could not lawfully possess a firearm. He was on state supervised probation for that prior felony at the time of these alleged offenses.
A detention hearing and preliminary hearing were held on July 14, 2020, and SURRATT was ordered detained while awaiting further proceedings in the case.
If convicted under Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), felon in possession of a firearm, SURRATT may be sentenced to a maximum of 10 years imprisonment, a fine not to exceed $250,000.00, or both, and 3 years of supervised release. If convicted of the drug charge under Title 21, United States Code, Section 841(a)(1) and (b)(1)(D), SURRATT may be sentenced to not more than 5 years imprisonment, a fine not to exceed $250,000.00, or both, and not less than 2 years of supervised release. If convicted under Title 18, United States Code, Sections 924(c)(1)(A)(i), possession of firearms in furtherance of a drug trafficking crime, SURRATT may be sentenced to imprisonment for not less than 5 years and not more than life (to run consecutively with any other term of imprisonment), a fine not to exceed $250,000.00, or both, and not more than 5 years of supervised release.
A criminal complaint is merely an allegation, and each defendant is presumed innocent unless and until proven guilty.
The case has been investigated by the Forsyth County Sheriff’s Office and the Federal Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF).
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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Former Rikers Correctional Officer Pleads Guilty to Smuggling Contraband for InmatesRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, William F. Sweeney Jr., Assistant Director-in-Charge of the New York Field Office of the Federal Bureau of Investigation (“FBI”), and Margaret Garnett, the Commissioner of the New York City Department of Investigation (“DOI”), announced today that JOSHUA ALBA pled guilty before United States Magistrate Judge Robert W. Lehrburger to one count of conspiring to commit honest services wire fraud, for his role in smuggling packages containing contraband to inmates detained at the Anna M. Kross Center (“AMKC”) on Rikers Island, in return for thousands of dollars in cash bribes.
Acting U.S. Attorney Audrey Strauss said: “As he has now admitted, Joshua Alba abused his authority as a correctional officer to smuggle contraband into a prison facility in return for cash bribes. Contraband smuggling schemes threaten the security of our prisons and jeopardize the safety of inmates and other guards, and my office will continue to aggressively pursue those correctional officers who betray their duties for the lure of easy money.”
FBI Assistant Director William F. Sweeney Jr. said: “Keeping illegal contraband out of our jails is an ongoing challenge for corrections officers. It’s hard to imagine why an insider on the job would assist with this process, the results of which put everyone in the facility at risk. There’s no excuse for this type of irresponsible and illegal behavior. Today’s arrest has effectively landed Alba on the other side of the law.”
DOI Commissioner Margaret Garnett said: “This former City Correction Officer allegedly used his access and influence to funnel contraband into Rikers Island in exchange for thousands of dollars in cash, according to the charges. This scheme isn’t original; it isn’t inventive, but it is dangerous for staff and inmates and must be acted on swiftly through rigorous investigation and prosecution. DOI thanks the Acting U.S. Attorney for the Southern District of New York and the New York Field Office of the FBI for their partnership in uncovering this alleged crime.”
According to allegations in the criminal complaint, the information, and other documents filed in federal court, as well as statements made in public court proceedings:
Rules and regulations promulgated by the New York City Department of Correction (“NYCDOC”) prohibit correction officers and other staff from introducing or delivering contraband into NYCDOC facilities, and provide that “[e]mployees shall not enter into any transaction with an inmate, nor carry, convey, or make accessible to an inmate within a facility/command any intoxicant, opiate, narcotic, or other contraband article, nor traffic with an inmate in any manner.”
As alleged in the Information and Complaint, and as he admitted today in court, at various points during the course of this scheme JOSHUA ALBA flouted those rules and regulations by agreeing to deliver contraband, including tobacco, to a particular inmate (“Inmate-1”), who was housed in the section of the AMKC to which ALBA typically was assigned during his tours of duty in return for cash bribes. ALBA obtained the contraband from an individual in the Bronx (“CC-1”), who arranged the deliveries in coded conversations with Inmate-1 that occurred over recorded prison phone calls. ALBA made these contraband deliveries from at least December 2018 until July 2019, in return for at least $5,000 in cash bribes.
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ALBA, 30, of Queens, New York, pled guilty to one count of conspiracy to commit honest services wire fraud, which carries a maximum sentence of 20 years in prison. The maximum potential sentence in this case is prescribed by Congress, and is provided here for informational purposes only, as any sentencing of the defendant will be determined by the judge. ALBA is scheduled to be sentenced by United States District Judge Lorna G. Schofield on a date to be determined.
Ms. Strauss praised the outstanding investigative work of the FBI and DOI.
The prosecution of this case is being handled by the Office’s Public Corruption Unit. Assistant United States Attorneys Lara Pomerantz and Jarrod L. Schaeffer are in charge of the prosecution.
Former Missouri Resident Pleads Guilty to Charges Related to Vehicle Odometer Roll Back SchemeRead the Press Release
WILFRED J. ALBANESE, 49, formerly of Waterbury, Connecticut and Blue Springs, Missouri, pleaded guilty today before U.S. District Judge Michael P. Shea in Hartford to fraud and identity theft offenses stemming from the sale of numerous used vehicles with altered odometers.
According to court documents and statements made in court, between approximately August 2014 and October 2015, Albanese, while residing in Missouri, sold approximately 48 vehicles with altered odometers to unsuspecting purchasers. As part of the scheme, Albanese purchased high-mileage used vehicles and then used a variety of means to alter or reduce the mileage shown on the vehicles’ odometers. He also concealed mechanical issues with those vehicles by removing “check engine” lights from the instrument panels, providing buyers with phony maintenance receipts and vehicle history reports, and concealing rust and other damage to the vehicle through paint or other means. Albanese obtained Certificates of Title for the used vehicles he purchased. Under the assumed identities of the persons listed on those Certificates of Title, he advertised and sold the vehicles to customers on Craigslist.org. Most of the victim purchasers resided in Missouri.
On May 22, 2019, a grand jury in the Western District of Missouri returned a 20-count indictment charging Albanese and his accomplice with offenses related to this scheme. Albanese was located and arrested in New London, Connecticut, on July 18, 2019. The case was subsequently transferred from the Western District of Missouri to the District of Connecticut for further prosecution.
Albanese, who has been detained since his arrest, pleaded guilty to one count of wire fraud, which carries a maximum term of imprisonment of 20 years, and one count of aggravated identity theft, which carries a mandatory consecutive sentence of at least two years. Judge Shea scheduled sentencing for October 9, 2020.
This matter has been investigated by the U.S. Department of Transportation, National Highway Traffic Safety Administration (NHTSA), Office of Odometer Fraud Investigation, and the Missouri State Highway Patrol, with the assistance of the U.S. Marshals Service. The case is being prosecuted by Assistant U.S. Attorney Natasha Freismuth of the District of Connecticut, and Assistant U.S. Attorney Brian Casey of the Western District of Missouri.
NHTSA estimates that odometer fraud in the U.S. results in consumer losses of more than $1 billion annually. Individuals with information relating to odometer tampering should call NHTSA’s odometer fraud hotline at (888) 327-4236 or (202) 366-4761. More information on odometer fraud is available on the NHTSA website at https://www.nhtsa.gov/odometer-fraud.
Former Lincoln Daycare Worker Pleads Guilty to Producing Child PornographyRead the Press Release
United States Attorney Joe Kelly announced that Titus J. Miller, age 27, of Lincoln, Nebraska, entered a plea of guilty today in federal court in Lincoln before United States Magistrate Judge Cheryl R. Zwart for producing child pornography. Miller admitted to the sexual exploitation of five children between August 17, and October 15, 2019. Magistrate Judge Zwart set Miller’s sentencing for October 15, 2020, at 12:00 p.m., before Senior United States District Judge Richard G. Kopf. Miller faces up to 30 years’ imprisonment and a fine of $250,000 on each count. After release from any imprisonment, Miller would be subject to a term of supervised release of not less than five years and up to life and will also be required to register as a sex offender.
Miller was employed at Playful Painters Daycare, located in Lincoln. Miller worked at night and was a supervisor at the daycare. During the time periods of the Indictment, Miller produced videos of minor victims, with ages ranging from 4 to 6 years old, engaging in sexually explicit conduct. Miller used a cellular phone to produce the videos and transported some of the videos to a person in Alabama.
United States Attorney Kelly expressed his appreciation to the Federal Bureau of Investigation and the Lincoln Police Department for their thorough investigation upon receiving notification of children being placed at risk of being sexually abused.
FBI Omaha Special Agent in Charge Kristi Johnson said today, “Titus Miller’s sexual abuse of 5 innocent children is an especially heinous crime. The FBI will use all its investigative strength to bring those who exploit children to justice. The FBI’s Lincoln office, together with the Lincoln Police department, worked tirelessly on the investigation which has now concluded with Miller’s guilty plea.”
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 Department of Justice. Led by United States Attorneys’ Offices and the Criminal Division's Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to 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 case was investigated by the Federal Bureau of Investigation and the Lincoln Police Department.
Former Honolulu police officer sentenced to four years for committing civil rights offensesRead the Press Release
HONOLULU, Hawaii – John Rabago, 44, of Honolulu, Hawaii, was sentenced today in federal court by U.S. District Judge Leslie E. Kobayashi to 48 months of imprisonment for his role in violating an individual’s constitutional rights. In December 2019, Rabago pled guilty to one count of conspiring to deprive a person of his civil rights, and to one count of acting under color of law to deprive the same individual of his rights.
U.S. Attorney Kenji M. Price for the District of Hawaii stated that according to court documents and information presented in court, on January 28, 2018, while working as on-duty officers, Rabago and Reginald Ramones conspired to force an individual to lick a urinal in a public bathroom. According to court documents, in a separate and unrelated incident prior to January 2018, Rabago made another individual place his head in a public bathroom toilet in order to avoid arrest.
“The defendant’s egregious conduct in this case is out-of-step with the tremendous work performed by police officers every day in Honolulu. I commend the work that our dedicated police officers do day-in and day-out to protect our communities. Prosecutions like these show that a uniform and a badge will not insulate those who violate the civil rights of others from the long arm of the law,” said U.S Attorney Price.
“The FBI is committed to ensuring the protection of the civil rights of all citizens regardless of class, status, or creed,” said Special Agent in Charge Eli S. Miranda of the FBI’s Honolulu Field Office.
Rabago’s co-defendant, Ramones, previously pled guilty to misprision of a felony and is scheduled to be sentenced on July 22, 2020.
This case was investigated by the Honolulu Division of the FBI. It is being prosecuted by Trial Attorney Timothy Visser of the Justice Department’s Civil Rights Division and Assistant U.S. Attorney Thomas Brady for the District of Hawaii.
Former Federal Corrections Officer Sentenced for Lying to Federal AuthoritiesRead the Press Release
RICHMOND - A former corrections officer with the Federal Bureau of Prisons (BOP) Federal Correctional Institution in Petersburg was sentenced yesterday to 54 months in prison for willfully making false statements to federal agents during a federal criminal civil rights investigation.
On February 12, a federal jury convicted Chikosi Legins, 41, of willfully making materially false statements to federal investigators during their investigation of allegations that Legins had sexually assaulted a prisoner, B.L., on two occasions. Specifically, the jury found that Legins falsely denied that he had engaged in a sexual act with any inmate at any time at FCI-Petersburg, and that Legins lied about what he was doing with B.L. in an unattended office in the prison at the time B.L. said that Legins had assaulted him. The jury acquitted Legins of one count of depriving B.L. of his civil rights, one count of aggravated sexual assault, and two counts of sexual abuse of a ward.
“Legins abused the power and authority of his office to mislead law enforcement,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “When confronted by federal agents about alleged abuses, he lied - repeatedly and emphatically. His abuse and obstruction were a complete rejection of his law enforcement oath, and this prosecution and today's sentence demonstrate our commitment to protecting all members of our society.”
“The Department of Justice will ensure that those who willfully mislead officers to prevent justice for victims of civil rights violations are prosecuted,” said Assistant Attorney General Eric Dreiband of the Justice Department's Civil Rights Division.
“Legins lied to investigators in an attempt to cover up the truth. Today, justice is served. He will rightly serve time for his willful attempt to impede a civil rights investigation,” said Russell W. Cunningham, Special Agent in Charge of the Department of Justice Office of the Inspector General Washington Field Office.
The jury heard evidence that, on one occasion, Legins took B.L. into an unmonitored, unstaffed office area of the prison after staff in the office had left for the day. Legins told federal investigators that he and B.L. were engaged in “conversation” while Legins tried to use a computer and printer in the office, but a BOP computer expert testified that computer records showed that no one had attempted to use the computer in question at that time. Evidence presented at trial included the testimony of a DNA expert, who testified that DNA matching Legins had been recovered from the victim and from the victim’s clothing.
This case was investigated by the Department of Justice’s Office of the Inspector General and FBI’s Richmond Division, and was prosecuted by Assistant U.S. Attorney Thomas A. Garnett and Trial Attorney Kathryn E. Gilbert of the Civil Rights Division.
Former Federal Corrections Officer Sentenced for Lying to Federal AuthoritiesRead the Press Release
A former corrections officer with the Federal Bureau of Prisons (BOP) Federal Correctional Institution in Petersburg, Virginia (FCI-Petersburg), was sentenced Tuesday to 54 months in prison for willfully making false statements to federal agents during a federal criminal civil rights investigation, announced the Department of Justice.
On Feb. 12, 2020, a federal jury convicted Chikosi Legins, 41, of willfully making materially false statements to federal investigators during their investigation of allegations that Legins had sexually assaulted a prisoner, B.L., on two occasions. Specifically, the jury found that Legins falsely denied that he had engaged in a sexual act with any inmate at any time at FCI-Petersburg, and that Legins lied about what he was doing with B.L. in an unattended office in the prison at the time B.L. said that Legins had assaulted him. The jury acquitted Legins of one count of depriving B.L. of his civil rights, one count of aggravated sexual assault, and two counts of sexual abuse of a ward.
“The Department of Justice will ensure that those who willfully mislead officers to prevent justice for victims of civil rights violations are prosecuted,” said Assistant Attorney General Eric Dreiband of the Justice Department's Civil Rights Division.
“Legins abused the power and authority of his office to mislead law enforcement,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “When confronted by federal agents about alleged abuses, he lied - repeatedly and emphatically. His abuse and obstruction were a complete rejection of his law enforcement oath, and this prosecution and today's sentence demonstrate our commitment to protecting all members of our society.”
“Legins lied to investigators in an attempt to cover up the truth. Today, justice is served. He will rightly serve time for his willful attempt to impede a civil rights investigation,” said Russell W. Cunningham, Special Agent in Charge of the Department of Justice Office of the Inspector General Washington Field Office.
The jury heard evidence that, on one occasion, Legins took B.L. into an unmonitored, unstaffed office area of the prison after staff in the office had left for the day. Legins told federal investigators that he and B.L. were engaged in “conversation” while Legins tried to use a computer and printer in the office, but a BOP computer expert testified that computer records showed that no one had attempted to use the computer in question at that time. Evidence presented at trial included the testimony of a DNA expert, who testified that DNA matching Legins had been recovered from the victim and from the victim’s clothing.
This case was investigated by the Department of Justice’s Office of the Inspector General and FBI’s Richmond Division, and was prosecuted by Assistant U.S. Attorney Thomas A. Garnett and Trial Attorney Kathryn E. Gilbert of the Civil Rights Division.
Former Chicago Police Officer Sentenced to Nearly Six Years in Federal Prison for Fraudulently Obtaining Search Warrants and Obstructing JusticeRead the Press Release
CHICAGO — A former Chicago Police officer was sentenced today to nearly six years in federal prison for fraudulently obtaining search warrants and stealing cash and drugs from properties he searched.
U.S. District Judge Matthew F. Kennelly imposed the 71-month sentence on DAVID SALGADO after a hearing in federal court in Chicago. Last month, Judge Kennelly sentenced Salgado’s former Chicago Police partner, XAVIER ELIZONDO, to seven years and three months in prison.
The sentences were 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 office of the FBI. The Chicago Police Department provided valuable assistance.
Salgado, 39, and Elizondo, 48, both of Chicago, were assigned to a gang team in the Chicago Police Department’s Tenth District. The officers conspired to submit materially false information to state court judges to fraudulently obtain search warrants that enabled them to enter various properties and seize cash and drugs. The officers would then steal the items and falsify police reports to conceal the thefts.
A jury in October 2019 convicted Elizondo and Salgado on all counts against them, including conspiracy to commit theft, deprivation of civil rights, embezzlement, and obstruction of justice. Salgado was also convicted of making a false statement to the FBI.
“The defendants fundamentally betrayed the trust placed in them by the public and the state’s criminal justice system,” Assistant U.S. Attorneys Sean J.B. Franzblau and Ankur Srivastava argued in the government’s joint sentencing memorandum. “The defendants not only harmed individual victims, but they also impaired the public’s confidence in law enforcement.”
Former CEO of Lancaster County Oil & Gas Company Sentenced to 14 Years in Prison for $65 Million Bank FraudRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Jeffrey Lyons, 59, of Lancaster, PA was sentenced to fourteen years in prison, and ordered to pay restitution of $53 million to Fulton Bank and $550,000 to the IRS, by Judge Jeffrey L. Schmehl for orchestrating a massive bank fraud scheme over many years.
In October 2019, Lyons, the former CEO of Worley & Obetz, pleaded guilty to one count of defrauding Fulton Bank of over $65 million between 2003 and 2018. Lyons also pleaded guilty to one count of tax evasion. The defendant admitted that he, along with Worley & Obetz’s two controllers, Karen Connelly and Judith Avilez, committed bank fraud by providing Fulton Bank with dozens of fraudulent financial statements and a fraudulently altered supply agreement between Worley & Obetz and its largest customer, Giant Food. Worley & Obetz was an oil and gas company in Manheim, PA, that provided services and home heating oil, gasoline, diesel, and propane to its customers.
Lyons enlisted the help of the Worley & Obetz controllers to create the fraudulent financial statements, making it appear to the bank and the company’s owners that it had over $55 million in accounts receivable from Giant Food for purported fuel that Giant had supposedly purchased from Worley & Obetz. In truth, Giant rarely purchased fuel from Worley & Obetz after 2011, and when they did, it was in small amounts. The falsified financial statements made Worley & Obetz appear to have millions more revenue and accounts receivable than it did. Each month, for more than fifteen years, Lyons and the company controllers created false Worley & Obetz financial statements, which Lyons presented to Fulton Bank in support of his request for additional loans or extensions on existing lines of credit. Fulton Bank relied on the fraudulent financial statements when it lent Worley & Obetz over $65 million.
Lyons used the Fulton loans to pay Worley & Obetz expenses, which included his annual salary of over $500,000. He also used the borrowed money to make Worley & Obetz appear profitable when it was actually operating at a loss, to pay interest on the earlier loans he borrowed from Fulton, and to fund some of his personal expenses including real estate worth millions. Additionally, from 2012 through 2017, Lyons failed to report over $1.4 million of income to the IRS.
After Lyons’ scheme was discovered, Worley & Obetz and its related companies did not have the assets to repay the massive amount of Fulton loans that Lyons had accumulated. In June 2018, Worley & Obetz declared bankruptcy. It notified its approximately 275 employees that they no longer had jobs and, after 72 years, the family-owned company closed its doors forever. As a result of Lyons’ fraud, many in the Manheim, PA community suffered greatly – both financially and emotionally.
“The scope and duration of the fraud committed by Lyons is simply stunning,” said U.S. Attorney McSwain. “He stole tens of millions of dollars from bank lenders, all while willfully ignoring his fiduciary duty to the company and the hundreds of people who made their livelihoods working there. This case is a tragedy for the many honest, hardworking people who placed their trust in Lyons. My Office will continue to work aggressively with our law enforcement partners to protect innocent individuals and businesses from being victimized by financial fraud.”
“Over the course of 15 years, at Jeffrey Lyons’ direction, financial records were repeatedly falsified to inflate his company’s revenue,” said Michael J. Driscoll, Special Agent in Charge of the FBI’s Philadelphia Division. “This long-running scheme helped prop Lyons up both personally and professionally, as Worley & Obetz amassed millions upon millions in fraudulent loans. In the end, though, his actions bankrupted the business, cost hundreds of innocent people their jobs, and have landed Lyons in federal prison. The FBI is committed to holding accountable anyone engaged in such egregious financial fraud.”
“Mr. Lyons willfully and intentionally violated his known legal duty to file a correct tax return and pay his fair share of taxes,” said IRS Criminal Investigation Special Agent in Charge Thomas Fattorusso. “His failure to report all of his income is a violation of tax laws; one that the courts do not take lightly, as evidenced by the sentence handed down today.”
The case was investigated by the Federal Bureau of Investigation, IRS Criminal Investigations, and Northern Lancaster County Regional Police Department and is being prosecuted by Assistant United States Attorney Tiwana Wright.
Felon and Marijuana Grower Sentenced to a Year in Federal Prison for Unlawfully Possessing GunsRead the Press Release
A convicted felon, illegal user of controlled substances, and marijuana grower who unlawfully possessed two guns was sentenced today to a year in federal prison.
Brian Anderson, age 52, from New Hartford, Iowa, received the prison term after a December 9, 2019 guilty plea to being a felon and an unlawful user of controlled substances in possession of a firearm.
Information at sentencing showed that law enforcement searched Anderson’s home in New Hartford in June 2018. Officers were initially searching the home looking for endangered rattlesnakes that Anderson allegedly possessed. During the search, officers found the body of one dead rattlesnake. But officers also found a marijuana grow operation, including over 120 marijuana plants, and two guns nearby. Anderson was prohibited from possessing guns because he had previously been convicted of the felony offense of manufacturing marijuana and possessing marijuana with the intent to distribute. He also had a previous conviction for illegally possessing two handguns.
Anderson was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Anderson was sentenced to 12 months’ and one day in prison. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case was prosecuted by Assistant United States Attorney Anthony Morfitt and investigated the Iowa Department of Natural Resources, the Waterloo Police Department, the United States Fish and Wildlife Service, and the Iowa Division of Criminal Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-cr-3054.
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Fayetteville Man Sentenced to 10 Years for Drug and Firearm ChargesRead the Press Release
RALEIGH, N.C. – A Fayetteville man was sentenced today to 120 months in prison for Cocaine Base (Crack), Marijuana, and Firearm crimes.
According to court documents, Joey Eduardo Ayala, 37, pled guilty to Distribution of 28 Grams or More of Cocaine Base (Crack), Possession with the Intent to Distribute a Quantity of Marijuana, and Possession of a Firearm in Furtherance of a Drug Trafficking Crime on March 11, 2020.
On February 17, 2018, an agent with the Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF) met with a confidential informant (CI) who provided information about Ayala’s cocaine and crack sales. The CI also stated he observed Ayala possessing a handgun during his drug transactions.
A joint investigation with the Fayetteville Police Department (FPD), the Federal Bureau of Investigation (FBI), the Harnett County Sheriff’s Office (HCSO), and the Bureau of Alcohol, Tobacco, Firearms, and Explosives (ATF) began utilizing this CI to make multiple controlled purchases from Ayala. On ten separate occasions, Ayala sold controlled substances to the confidential informant, including cocaine, cocaine base (crack), methamphetamine, and marijuana.
On March 28, 2018, the Florence County South Carolina Sheriff’s Office conducted a traffic stop on a vehicle driven by Ayala. The rental vehicle was emitting a strong odor of air freshener that was placed around the gearshift. The officer also noticed a large sum of U.S. currency in the center console. Ayala gave law enforcement consent to search the vehicle. Inside the vehicle was $34,200 in U.S. currency, 0.5 grams of crack cocaine, and 2 grams of marijuana.
On March 13, 2019, Ayala was observed leaving his residence. Agents conducted a traffic stop and informed Ayala that there was a warrant for his arrest and for a search of his residence. Subsequent to arrest, Ayala stated that there was marijuana in the vehicle. Ayala admitted buying ounce quantities of cocaine and pound quantities of marijuana. Ayala reiterated that there was marijuana and a handgun in the vehicle. Lastly, Ayala stated he had a “few pounds” of marijuana at the residence and a small amount of cocaine.
A search of the vehicle revealed: two cell phones, a .40 caliber handgun, marijuana, and cocaine.
A search of Ayala’s residence found: cocaine, marijuana, suspected MDMA (methamphetamine) pills, U.S. currency, a money counter, a vacuum sealer and bags, digital scales, and a 9mm handgun. According to the agent, a search of the vehicle and the residence found a total of two ounces of cocaine (56.7 grams), 16 pounds of marijuana (7.2576 kilograms), approximately 1 ounce (28.35 grams) of MDMA, two firearms (noted above), and $6,500 in U.S. currency.
Based on the investigation, from February 2016 to March 13, 2019, Ayala is conservatively accountable for 1,336.6 grams of cocaine, 75.89 grams of cocaine base (crack), 54.298 grams of methamphetamine, 28.35 grams of MDMA, and 12.1451 kilograms of marijuana. Additionally, Ayala possessed a firearm in connection with his drug trafficking activities.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by U.S. District Judge James C. Dever III. The ATF, FBI, Fayetteville Police Department, and the Harnett County Sheriff’s Office investigated the case and Assistant U.S. Attorney Scott A. Lemmon prosecuted the case.
A copy of this press release is located on our website. Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-00473-D-1.
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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.
Eleven defendants charged in Hawaii federal court with racketeering and other offensesRead the Press Release
HONOLULU, Hawaii – Kenji M. Price, the U.S. Attorney for the District of Hawaii, Eli S. Miranda, Special Agent in Charge of the Honolulu Field Office of the Federal Bureau of Investigation (“FBI”), Tom Murdock, Special Agent in Charge of the Seattle Field Office of the Internal Revenue Service Criminal Investigation (“IRS-CI”), Josh Allen, Acting Special Agent in Charge of the Office of the Environmental Protection Agency, Criminal Investigative Division (“EPA-CID”), Lucia Cabral-Dearmas, Acting Special Agent in Charge of the Honolulu Field Office of Homeland Security Investigations (“HSI”), and Aaron Joseph, Regional Agent in Charge of the Seattle Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives (“ATF”) announced the unsealing of a Superseding Indictment today charging MICHAEL J. MISKE, JR., and 10 other defendants with racketeering conspiracy and other offenses. The Superseding Indictment includes charges against MISKE for his role in the kidnapping and murder of 21-year-old Johnathan Fraser in July 2016.
A prior Indictment, which charged MISKE and another defendant with participation in a cocaine trafficking conspiracy, was also unsealed today.
Eight of the defendants were arrested today. One defendant has not been arrested and remains at large. Two of the defendants, LANCE BERMUDEZ and DAE HAN MOON, were already in state custody. The case has been assigned to United States District Judge Derrick K. Watson.
As alleged in the Superseding Indictment unsealed today in Hawaii federal court[1]:
From at least in or about the late 1990s, up to and including the date of the Superseding Indictment, MICHAEL J. MISKE, JR., aka “Bro,” JOHN B. STANCIL, KAULANA FREITAS, aka “Shorty,” LANCE L. BERMUDEZ, aka “Hammah,” DEA HAN MOON, aka “Dayday,” PRESTON M. KIMOTO, HARRY K. KAUHI, aka “Harry Boy,” NORMAN L. AKAU III, HUNTER J. WILSON, and JARRIN K. YOUNG, the defendants, and others known and unknown, conspired to conduct and participate in the conduct of the affairs of a racketeering enterprise, the “Miske Enterprise,” through a pattern of racketeering activity. The racketeering activity included acts involving murder, kidnapping, arson, and robbery. It also included acts relating to murder-for-hire, chemical weapons, extortionate credit transactions, racketeering, interference with commerce through robbery and extortion, drug trafficking, wire fraud, fraud in connection with identification documents, financial institution fraud, the Currency and Foreign Transactions Reporting Act, money laundering, and obstruction of justice.
From at least in or about March 2016 and continuing to on or about July 30, 2016, MISKE conspired with others to kidnap and murder 21-year-old Johnathan Fraser. In March 2016, MISKE instructed a co-conspirator to develop a plan for kidnapping and murdering Fraser, and told that co-conspirator that he/she could name the price for carrying out the murder. In or about June 2016, MISKE arranged for the purchase of a Boston Whaler vessel that could be used to dump Fraser’s body into the ocean after Fraser was kidnapped and killed. On or about July 30, 2016, Fraser was kidnapped and killed. On that same day, another of MISKE’s co-conspirators took Fraser’s significant other on a “spa day,” thereby ensuring that Fraser and his significant other would be separated from each other when Fraser was kidnapped.
MISKE and other members and associates of the Miske Enterprise participated in various other acts of violence:
- In or about 2016, MISKE, STANCIL, BERMUDEZ, MOON, and KAUHI conspired to commit the murder-for-hire of an individual (“Victim-1”) whom MISKE suspected of cooperating with law enforcement.
- On or about May 23, 2017, MISKE and STANCIL attempted to cause the death of another person (“Victim-2”) and committed an assault of Victim-2, and did so using at least one firearm.
- From the late 1990s and continuing to in or about 2018, MISKE, STANCIL, BUNTENBAH, and others known and unknown, conspired to commit assaults in aid of racketeering.
- In or about October 2017, MISKE, KIMOTO, and others known and unknown conspired to kidnap another person (“Victim-3”) in Honolulu, Hawaii. Two of MISKE’s co-conspirators, acting on MISKE’s instructions, kidnapped Victim-3 in Honolulu and restrained him/her in their vehicle.
- In or about 2016, STANCIL, BERMUDEZ, KAUHI, and AKAU participated in a gunpoint robbery of another person (“Victim-4”) during which they robbed Victim-4 of methamphetamine.
- On or about August 24, 2016, BERMUDEZ and WILSON participated in a gunpoint robbery of another person (“Victim-5”) during which they robbed Victim-5 of controlled substances.
In or about March 2017, MISKE, STANCIL, and FREITAS, and others known and unknown, conspired to release a chemical weapon, namely, chloropicrin, into nightclubs in Honolulu, Hawaii. As part of this conspiracy, chloropicrin was released into two different nightclubs.
Multiple defendants conspired to distribute and possess with intent to distribute controlled substances, including methamphetamine, cocaine, oxycodone, and marijuana.
Between on or about April 21, 2017 and July 3, 2017, MISKE and others participated in a scheme to defraud Bank of Hawaii through the preparation and submission of materially false documents as part of loan applications.
* * *
Charts containing the name, ages, charges, and maximum penalties for the defendants are set forth below. The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Price praised the outstanding investigative work of the FBI, IRS-CI, EPA-CID, HSI, and ATF. He also thanked the Honolulu Police Department for the work of personnel who participated in this matter in their role as Task Force Officers with the FBI, and thanked the Drug Enforcement Administration, the Coast Guard Investigative Service, the United States Marshals Service Fugitive Task Force, the Hawaii National Guard, 93rd Civil Support Team, and the Office of Investigations–Office of the Inspector General for the Social Security Administration for their assistance.
Assistant U.S. Attorneys Michael Nammar, Micah Smith, and Mark A. Inciong are in charge of the prosecution. Assistant U.S. Attorney Marion Percell is in charge of the forfeiture component of the case.
The charges contained in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
COUNT
CHARGE
DEFENDANT(s) (AGE)
MAX. PENALTIES
1Racketeering conspiracy
18 U.S.C. §1962(d)
MICHAEL J. MISKE, JR. (46)
JOHN B. STANCIL (32)
KAULANA FREITAS (32)
LANCE L. BERMUDEZ (29)
DAE HAN MOON (24)
PRESTON M. KIMOTO (41)
HARRY K. KAUHI (47)
NORMAN L. AKAU III (47)
HUNTER J. WILSON (26)
JARRIN K. YOUNG (26)
20 years in prison2
Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(1)
MICHAEL J. MISKE, JR.
Mandatory minimum of life in prison or death3
Conspiracy to Commit Murder in Aid of Racketeering
18 U.S.C. § 1959(a)(5)
MICHAEL J. MISKE, JR.
10 years in prison
4
Murder-for-Hire Conspiracy Resulting in Death
18 U.S.C. § 1958
MICHAEL J. MISKE, JR.
Mandatory minimum of life in prison or death5
Kidnapping Using a Facility of Interstate Commerce Resulting in Death
18 U.S.C. § 1201(a)(1)
MICHAEL J. MISKE, JR.
Life in prison or death 6Conspiracy to Commit Kidnapping Using a Facility of Interstate Commerce
18 U.S.C. § 1201(c)
MICHAEL J. MISKE, JR. Life in prison or death 7Murder-for-Hire Conspiracy
18 U.S.C. § 1958
MICHAEL J. MISKE, JR.
JOHN B. STANCIL
LANCE L. BERMUDEZ
DAE HAN MOON
HARRY K. KAUHI 10 years in prison 8Assault and Attempted Murder in Aid of Racketeering
18 U.S.C. §§ 1959(a)(3) and 1959(a)(5)
MICHAEL J. MISKE, JR.
JOHN B. STANCIL 20 years in prison 9Firearm Offense
18 U.S.C. § 924(c)(1)(A)(iii)MICHAEL J. MISKE, JR.
JOHN B. STANCILLife in prison
Mandatory consecutive term of 10 years in prison
10Conspiracy to Commit Assaults in Aid of Racketeering
18 U.S.C. § 1959(a)(6)
MICHAEL J. MISKE, JR.
MICHAEL J. BUNTENBAH (48) Three years in prison 11Conspiracy to Commit Kidnapping Using a Facility of Interstate Commerce
18 U.S.C. § 1201(c)
MICHAEL J. MISKE, JR.
PRESTON M. KIMOTO Life in prison 12Conspiracy to Use a Chemical Weapon
18 U.S.C. § 229(a)(2)
MICHAEL J. MISKE, JR.
JOHN B. STANCIL
KAULANA FREITAS Life in prison 13Use of a Chemical Weapon
18 U.S.C. § 229(a)(1)
MICHAEL J. MISKE, JR.
JOHN B. STANCIL
KAULANA FREITAS Life in prison 14Use of a Chemical Weapon
18 U.S.C. § 229(a)(1)
MICHAEL J. MISKE, JR.
JOHN B. STANCIL Life in prison 15Conspiracy to Distribute and Possess With Intent to Distribute Cocaine
21 U.S.C. § 846
MICHAEL J. MISKE, JR.
MICHAEL J. BUNTENBAHLife in prison
Mandatory minimum of 10 years in prison
16Conspiracy to Distribute and Possess With Intent to Distribute Controlled Substances
21 U.S.C. § 846
MICHAEL J. MISKE, JR.
JOHN B. STANCIL
KAULANA FREITAS
LANCE L. BERMUDEZ
DAE HAN MOON
PRESTON M. KIMOTO
MICHAEL J. BUNTENBAH
HARRY K. KAUHI
NORMAN L. AKAU III
HUNTER J. WILSON
JARRIN K. YOUNGLife in prison
Mandatory minimum of 10 years in prison
17Firearm Offense
18 U.S.C. § 924(c)(1)(A)(i)
JOHN B. STANCIL
LANCE L. BERMUDEZ
HARRY K. KAUHI
NORMAN L. AKAU III
HUNTER J. WILSON
JARRIN K. YOUNGLife in prison
Mandatory consecutive term of five years in prison
18Hobbs Act Robbery
18 U.S.C. § 1951JOHN B. STANCIL
LANCE L. BERMUDEZ
HARRY K. KAUHI
NORMAN L. AKAU III 20 years in prison 19Firearm Offense
18 U.S.C. § 924(c)(1)(A)(ii)
JOHN B. STANCIL
LANCE L. BERMUDEZ
HARRY K. KAUHI
NORMAN L. AKAU III Mandatory consecutive term of seven years in prison 20Hobbs Act Robbery
18 U.S.C. § 1951
LANCE L. BERMUDEZ
HUNTER J. WILSON Mandatory consecutive term of seven years in prison 21Firearm Offense
18 U.S.C. § 924(c)(1)(A)(ii)
LANCE L. BERMUDEZ
HUNTER J. WILSON Mandatory consecutive term of seven years in prison 22Bank Fraud
18 U.S.C. § 1344(2) MICHAEL J. MISKE, JR. 30 years in prison
[1] As the introductory phrase signifies, the entirety of the text of the Superseding Indictment constitutes only allegations, and every fact described herein should be treated as an allegation.
Eight Arrested in Connection with Jake’s Fireworks Drug Trafficking ConspiracyRead the Press Release
BEAUMONT, Texas - U.S. Attorney Stephen J. Cox announced today that eight individuals have been arrested in the Eastern District of Texas pursuant to a federal indictment which alleges drug and money laundering violations.
A federal grand jury returned the 24-count indictment on June 3, 2020, charging the following individuals with drug trafficking and money laundering crimes:
Jake Ellis Daughtry, 34, of Nederland, Texas;
Joseph Ellis Daughtry, 64, of Nederland;
Kip William Daughtry, 46, of Vidor, Texas;
Sandra Miller Daughtry, 72, of Nederland;
Jordan Lee King, 31, of Nederland;
Tanner John Jorgensen, 28, of Nederland;
Austin Wayne Dial, 28, of Nederland; and
Jesse Lee Hackett, 37, of The Woodlands, Texas.
The defendants were arrested by a joint law enforcement task force today and will make initial appearances in federal court this afternoon, July 15, 2020, and tomorrow, July 16, 2020. A ninth defendant is already in custody.
According to court documents, the defendants are charged with conspiracy to possess with intent to distribute, and distribution of, a controlled substance analogue resulting in death; conspiracy to possess with intent to distribute, and distribution of, a date rape drug over the internet to an unauthorized purchaser; maintaining a drug-involved premises; possession with intent to distribute, and distribution of, a controlled substance analogue; and money laundering.
The defendants are alleged to be the head of a Chemical Trafficking Organization (“CTO”) cell operating on a national scale. Investigation of the organization began in 2018 when DEA West Palm Beach, Florida intercepted mail parcels of a chemical identified as 1,4 butanediol, commonly referred to as “BDO.” BDO is a chemical manufactured only for industrial or laboratory use as a floor stripper or vehicle wheel cleaner and is not intended for human consumption. Investigators determined that when BDO is ingested, it immediately metabolizes into GHB (a known date-rape drug) with the same effects, causing potential overdoses, addiction, and death.
DEA traced the seized parcels to their origination point, Right Price Chemicals, a business located on Twin City Highway in Nederland, Texas, and owned by Jake Daughtry, Joe Daughtry and Sandra Daughtry. Also located at Right Price Chemicals is a seasonal fireworks business called “Jake’s Fireworks.” Agents determined that since 2016, Right Price Chemicals has distributed approximately 7,000 gallons of BDO over thousands of orders, and that those sales generated $4.5 million.
Agents additionally determined that Jake’s Fireworks operated as a front for Right Price Chemicals, allowing individuals to purchase BDO on a walk-in basis. Customers could also obtain BDO from Jake’s Fireworks through internet orders, and have the chemical shipped to their home. Right Price Chemicals also distributed bulk quantities BDO to mid-level dealers, who, in turn, sold or distributed the chemical to users. Investigators determined that at least two deaths—one in Virginia and one in Florida—were directly caused by BDO sold by Right Price Chemicals. Right Price Chemicals distributed BDO in 48 states across the country.
Investigators have also determined that the proceeds from the distribution and sale of BDO, which total over $1 million, have been laundered through several bank and retirement accounts throughout Southeast Texas. Those accounts have now been seized.
If convicted of the criminal charges, the defendants face a minimum term of 20 years, and up to life, in federal prison.
In addition to pursuing criminal charges, on July 13, 2020, the Eastern District sought and obtained a temporary restraining order against Jake’s Fireworks and any other businesses housed within the Twin City Highway location in Nederland. This civil injunctive relief immediately shuts down operations of the business and any further distribution of BDO and other chemicals. Jake Daughtry, Joe Daughtry, Sandra Daughtry, and Kip Daughtry also face civil penalties under the Controlled Substance Act.
“I am proud of our team’s investigation and interdiction of this dangerous chemical trafficking organization,” said U.S. Attorney Steve Cox. “The joint efforts of our Criminal and Civil Divisions led to the arrest of suspected drug traffickers, the seizure of bank accounts, and the shutdown of a suspected drug front, making the Eastern District of Texas a safer place for all.”
“The DEA Miami and Houston Field Divisions combined forces to target and neutralize a Chemical Trafficking Organization that was responsible for the nationwide distribution of a chemical product, that when consumed, is immediately metabolized into GHB. This chemical, often used by sexual predators as a date-rape drug, can cause overdose, addiction and death,” stated DEA Special Agent in Charge Steven S. Whipple. “This investigation highlights DEA’s commitment to the protection of our communities by working alongside our state, federal and local law enforcement partners to identify the most significant threats to the public safety.”
This is an Organized Crime Drug Enforcement Task Force (OCDETF) case and is being investigated by the Drug Enforcement Administration West Palm Beach, Florida, and Beaumont; United States Postal Service; Internal Revenue Service-Criminal Investigation; Bureau of Alcohol, Tobacco, Firearms and Explosives; and the Jefferson County Sheriff's Office. Essential support and coordination was provided by numerous components of DEA headquarters and the Department of Justice’s multi-agency Special Operations Division (SOD), including assigned attorneys from the Narcotic and Dangerous Drug Section (NDDS). This case is being prosecuted by Assistant U.S. Attorneys Michelle S. Englade and Robert Wells.
An indictment is not evidence of guilt. All defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
East Hartford Man Pleads Guilty to Federal Gun ChargeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that HANEEF BROOKS, 41, of East Hartford, pleaded guilty today before U.S. District Victor A. Bolden to one count of possession for a firearm by a convicted felon.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the guilty plea proceeding occurred via videoconference.
According to court documents and statements made in court, in July 2019, after a spate of gun violence in Hartford, the FBI’s Northern Connecticut Gang Task Force, DEA, Hartford Police Department and other law enforcement agencies initiated an investigation targeting gang-related drug distribution and associated violence in north Hartford.
On July 15, 2019, investigators conducted a controlled purchase of a 7.62x39mm Norinco SKS rifle from Brooks for $300. Prior to that date, Brooks was convicted in state court of felony weapon possession and drug offenses.
It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm or ammunition that has moved in interstate or foreign commerce.
Brooks was arrested on September 13, 2019.
At sentencing, which is not scheduled, Brooks faces a maximum term of imprisonment of 10 years.
Brooks is released on a $30,000 bond pending sentencing.
The FBI’s Northern Connecticut Gang Task Force includes members of the Hartford Police Department, East Hartford Police Department, Connecticut State Police and Connecticut Department of Correction.
This case is being prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
This prosecution has been brought through Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone.
Des Moines Man Sentenced to Nine Years in Prison for Possession of Child PornographyRead the Press Release
Des Moines, Iowa—On July 10, 2020, Vance Allan Misel, age 31, of Des Moines, appeared before United States District Court Judge Rebecca Goodgame Ebinger and was sentenced to nine years in prison for possession of child pornography with eight years of supervised release to follow his prison term. Misel pleaded guilty to the offense on April 13, 2020. Misel was also ordered by the Court to pay $1,000 restitution and a $100 special assessment.
Misel was found to have possessed more than 150 images of child pornography and to have obstructed justice by deleting images of child pornography upon learning of a search warrant being executed at his residence. During the investigation, law enforcement located on-line postings of Misel, in which, Misel expressed a desire to engage in sexual abuse of minor females and to exchange child pornography, among other things.
This matter was investigated by the Department of Homeland Security, Homeland Security Investigations with assistance of the United States Marshals Service. The case was prosecuted by the United States Attorney's office for the Southern District of Iowa.
Department of Justice Seeks Recovery of Approximately $3.5 Million in Corruption Proceeds Linked to Ex-President of the GambiaRead the Press Release
The Department of Justice filed a civil forfeiture complaint seeking the forfeiture of a Maryland property acquired with approximately $3,500,000 in corruption proceeds by the ex-president of The Gambia, Yahya Jammeh, through a trust set up by his wife, Zineb Jammeh.
According to the complaint, Yahya Jammeh corruptly obtained millions of dollars through the embezzlement of public funds and the solicitation of bribes from businesses seeking to obtain monopoly rights over various sectors of the Gambian economy. The complaint further alleges that Yahya Jammeh conspired with his family members and close associates to utilize a host of shell companies and overseas trusts to launder his corrupt proceeds throughout the world, including through the purchase of a multimillion-dollar mansion in Potomac, Maryland, which the United States seeks to forfeit through the filing of the civil forfeiture complaint.
“Yahya Jammeh is a former president of The Gambia who allegedly plundered hundreds of millions of dollars from his country and laundered part of those funds to corruptly acquire real estate in the United States,” said Acting Assistant Attorney General Brian C. Rabbitt. “Our action today highlights the tireless work of the Criminal Division’s Kleptocracy Initiative and their global law enforcement partners to protect the integrity of the U.S. financial system and recover the ill-gotten gains of corrupt officials.”
“Ex-Gambian President Yahya Jammeh and his wife thought that they could hide funds stolen from the Gambian people by buying a mansion in Potomac, Maryland,” said U.S. Attorney Robert K. Hur for the District of Maryland. “This action demonstrates that the United States will not allow criminals to profit from their crimes and will seek justice for crime victims both here and abroad.”
“The seizure of this property is just another example of our continued efforts to protect the U.S. financial infrastructure by denying a safe haven for foreign kleptocrats,” said Acting Executive Associate Director Alysa Erichs of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI). “HSI will not tolerate our country being used by foreign officials to hide their corrupt activities and launder their illicit proceeds.”
The investigation was conducted by HSI’s Illicit Proceeds and Foreign Corruption Group in Miami, with the assistance of the HSI Office of the Special Agent in Charge for Baltimore and the HSI Attaché Office in Dakar. HSI established this group in 2003 to conduct investigations into the laundering of proceeds emanating from foreign public corruption, bribery and embezzlement. HSI’s goal is to prevent foreign-derived, ill-gotten gains from entering the U.S. financial infrastructure.
The case is being handled by Trial Attorneys Steven Parker and Kaycee Sullivan of the Criminal Division’s Money Laundering and Asset Recovery Section and Assistant U.S. Attorney Jennifer Wine for the District of Maryland. Substantial assistance was provided by the government of The Gambia and Michael Quinley of the Criminal Division’s Office of Overseas Prosecutorial Development, Assistance, and Training.
HSI Miami Illicit Proceeds and Foreign Corruption Investigations Group was established in 2003 to target corrupt foreign officials around the world that attempt to utilize U.S. financial institutions to launder illicit funds. Since inception, the group has seized over $500 million in ill-gotten gains traced to foreign corruption. To report suspicious activity, reach out to your local HSI office or call 1-866-347-2423.
The Kleptocracy Asset Recovery Initiative is led by a team of dedicated prosecutors in the Criminal Division’s Money Laundering and Asset Recovery Section, in partnership with federal law enforcement agencies, and often with U.S. Attorney’s Offices, to forfeit the proceeds of foreign official corruption and, where appropriate, to use those recovered assets to benefit the people harmed by these acts of corruption and abuse of office.
A civil forfeiture complaint is merely an allegation that money or property was involved in or represents the proceeds of a crime. These allegations are not proven until a court awards judgment in favor of the United States.
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.
Departamento de justicia anuncia operación contra líderes clave de grupo criminal MS-13Read the Press Release
Hoy, el presidente Donald J. Trump y el fiscal general William P. Barr anunciaron casos importantes relacionados con la Fuerza de Tarea Conjunta Vulcano (JTFV), una iniciativa lanzada en agosto de 2019 destinada a detener, desmantelar y, en última instancia, destruir a la MS-13.
El presidente Trump y el fiscal general Barr anunciaron varios casos importantes relacionados con la Operación Vulcano, entre ellos la primera vez que un miembro de la MS-13 ha sido acusado de un delito relacionado con el terrorismo, la eliminación coordinada y multidistrital del liderazgo de la clica de Hollywood de la MS-13 y la decisión del fiscal general de solicitar la pena de muerte contra un acusado de la MS-13.
“El Presidente ordenó al Departamento de Justicia que fuera a la guerra contra la MS-13 en el 2017, nosotros lo hicimos”, dijo el Fiscal General Barr. “En coordinación con nuestros socios en el Departamento de Seguridad Nacional, los componentes de aplicación de la ley del Departamento de Justicia han investigado con éxito los elementos de mando y control de la MS-13 responsables de asesinato. Las operaciones de la Fuerza de Tarea Conjunta Vulcano han degradado significativamente las capacidades del MS-13. Aunque todavía queda trabajo por hacer, el Departamento de Justicia sigue comprometido con la protección de los estadounidenses amenazados por la MS-13, y no descansaremos hasta que hayamos derrotado con éxito a esta organización criminal transnacional”.
“Los anuncios de ahora son el resultado del tremendo trabajo en equipo y la coordinación entre los fiscales y los agentes de la ley en los Estados Unidos y América Central”, dijo el director de JTFV, John Durham. “La MS-13 es una organización criminal transnacional violenta, cuyas actividades criminales no respetan límites. La única forma de derrotar al MS-13 es atacando a la organización como un todo, enfocándose en la estructura de liderazgo y desplegando un enfoque de gobierno completo contra un enemigo común”.
En una acusación dada a conocer ayer, Melgar Díaz fue acusado en el Distrito Este de Virginia de conspirar para proporcionar apoyo material a terroristas; conspirando para matar o mutilar personas en el extranjero; conspirando para cometer actos de terrorismo trascendiendo las fronteras nacionales; conspirando para financiar el terrorismo; y conspirando para involucrarse en el narcoterrorismo, además de la conspiración del crimen organizado y el narcotráfico. Esta es la primera vez que un miembro de MS-13 ha sido acusado de delitos relacionados con el terrorismo.
Alexi Sáenz fue acusado en 2017 en el Distrito Este de Nueva York. Se alega que entre 2016 y 2017 cometió siete asesinatos: el asesinato del 28 de enero de 2016 de Michael Johnson; el asesinato de Oscar Acosta el 29 de abril de 2016, los asesinatos de Kayla Cuevas y Nisa Mickens el 13 de septiembre de 2016; el asesinato de Javier Castillo el 10 de octubre de 2016; el asesinato de Dewann Stacks el 13 de octubre de 2016, y el asesinato de Esteban Alvarado-Bonilla el 30 de enero de 2017. Dos de las víctimas eran estudiantes de secundaria de Brentwood asesinados con un machete y un bate de béisbol. El fiscal general ha presentado un Aviso de intención de buscar la pena de muerte para Sáenz.
En una acusación de 24 cargos dada a conocer ayer, el Distrito Este de Nueva York, acusó a ocho miembros de MS-13, incluidos los líderes del Programa East Coast Hollywood, con cargos de Organizaciones corruptas e influenciadas por el crimen organizado (RICO) y Crimen violento en ayuda de la extorsión (VICAR) relacionados con seis asesinatos, dos intentos de asesinato, secuestro, narcóticos y ofensas relacionadas con armas de fuego.
En una acusación de 21 cargos hecha pública ayer en el Distrito de Nevada, 13 miembros de MS-13, incluidos los líderes de la clica “Hollywood Locos” y el Programa de Los Ángeles, fueron acusados de varios delitos, incluida la Empresa Criminal Continua (CCE por sus siglas en inglés), distribución de narcóticos y cargos de armas.
En agosto de 2019, el fiscal general Barr creó la Fuerza de Tarea Conjunta Vulcano para implementar las recomendaciones del subcomité MS-13 creado bajo la Fuerza de Tarea de Delincuencia Organizada Transnacional del fiscal general, que fue el resultado de la Orden Ejecutiva de febrero de 2017 del presidente Trump que ordenaba que los Departamentos de Justicia, Estado y de Seguridad Nacional, y la Oficina del Director de Inteligencia Nacional para coordinar un enfoque que incluía a todo el gobierno para desmantelar las organizaciones criminales transnacionales, como la MS-13, y restaurar la seguridad del pueblo estadounidense. El propósito principal de JTFV es coordinar y liderar los esfuerzos del Departamento de Justicia y las agencias de aplicación de la ley de EE. UU. contra la MS-13 para desmantelarla.
La JTFV ha implementado con éxito el enfoque de la participación de todo el gobierno para la aplicación de la ley en relación con la MS-13; mayor coordinación y colaboración con socios extranjeros encargados de la aplicación de la ley, incluyendo los socios en El Salvador, México, Honduras y Guatemala; programas prioritarios designados MS-13, clicas y líderes, que tienen el mayor impacto en los EE. UU., para enjuiciamientos selectivos; y coordinó importantes acusaciones en contra de la MS-13 en las oficinas del Fiscal de los Estados Unidos en todo el país, como el Distrito Este de Nueva York, el Distrito Este de Virginia y el Distrito de Nevada.
Se han asignado fiscales federales del División de Seguridad Nacional del Departamento de Justicia y la División Criminal, también 10 oficinas del fiscal General de los Estados Unidos para prestar servicios a la JTFV a tiempo completo: el Distrito Este de Nueva York; el Distrito Este de Virginia; el Distrito de Nevada; el Distrito Sur de California; el Distrito de Massachusetts; el Distrito Norte de Ohio; el Distrito de Nueva Jersey; el Distrito Este de Texas; el Distrito de Utah; y el Distrito de Columbia. Además, todas las fuerzas del orden público del Departamento de Justicia agencias están involucradas en este esfuerzo: el FBI, la Administración de Control de Drogas; la Agencia de Control de Bebidas Alcohólicas, Tabaco, Armas de Fuego y Explosivos; el Servicio de Alguaciles Federales de EE. UU., y la Oficina de Prisiones Federales. La división de investigaciones del Departamento de Seguridad Nacional también ha tenido un papel importante en la JTFV.
El fiscal general Barr también agradeció al fiscal general Raúl Melara de El Salvador por la asistencia de su oficina, así como de investigadores de la Policía Nacional Civil de El Salvador, y al Centro Antipandillas Transnacional por su apoyo.
Cumberland Man Sentenced for Robbing Two BanksRead the Press Release
PROVIDENCE – A Cumberland man who previously admitted to robbing banks in Providence and Pawtucket within a month of one another in mid-summer 2019 was sentenced today to 30 months in federal prison.
Christopher S. Oladapo, 29, admitted to the court that he robbed a Providence branch of Citizens Bank on July 27, 2019, of $3,286, and that he robbed a Citizens Bank branch in Pawtucket on August 31, 2019, of $2,031. In both instances, he handed tellers threating notes demanding cash.
Oladapo admitted that in the first robbery he handed a note to a teller that read “Don’t be a hero there’s two of us in here Give me all the money in your draw Call police 15 mins after I walk out Your being watched keep your hands where I can see.”
In the second robbery he passed a note to a teller that read, “act normal give me all the money you have, you are being watched. Give me the note back and don’t call the police for 20 minutes.”
Oladapo pleaded guilty on February 3, 2020, to two counts of bank robbery. At sentencing today, U.S. District Court Judge William E. Smith sentenced Oladapo to 30 months in federal prison to be followed by 3 years of supervised release. Additionally, Oladapo was ordered by the court to pay restitution to Citizens Bank totaling $5,299.
Oladapo’s sentence is announced by United States Attorney Aaron L. Weisman, Providence Police Chief Colonel Hugh T. Clements, Jr., Pawtucket Police Chief Tina Goncalves, and Special Agent in Charge of the FBI Boston Division Joseph R. Bonavolonta.
The case was prosecuted by Assistant U.S. Attorneys Christine D. Lowell and Sandra R. Hebert.
The robberies were investigated by the Providence and Pawtucket Police Departments, with the assistance of the FBI.
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Criminal Investigation and United States Attorney remind taxpayers of the tax filing deadline; urge and to remain vigilant of scamsRead the Press Release
The Internal Revenue Service Criminal Investigation division and the U.S. Attorney’s Office for the
Southern District of Illinois remind taxpayers of the July 15 filing and payment deadline and warn
against an increase in tax and COVID-19 scams.Due to COVID-19, the original filing deadline and tax payment due date for 2019 was postponed from
April 15 to July 15. Taxpayers filing Form 1040 series returns must file Form 4868 by July 15 to
obtain the automatic extension to Oct. 15.“Although the extension provides additional time to file the tax return – it is not an extension to
pay any taxes due”, said Adam Steiner, Acting Special Agent in Charge of the IRS Criminal
Investigation division in the St. Louis Field Office. “For people facing hardships who cannot pay
in full, including those affected by COVID-19, the IRS has several options available to help. The
IRS encourages taxpayers to visit IRS.gov as soon as possible to explore these options and avoid
accruing interest and penalties after the July 15 deadline.”As the filing deadline is today, taxpayers should beware of tax and COVID-19 related scams.
“Criminals use the tax filing deadline as an opportunity to steal personal and financial
information”, said U.S. Attorney Steven D. Weinhoeft for the Southern District of Illinois.
“Taxpayers should remain vigilant and know that the IRS will not initiate contact with them via
phone, email or social media to request personal or financial information.”In the last few months, the IRS Criminal Investigation division (CI) has continued to see
a tremendous increase in a variety of Economic Impact Payment scams and otherfinancial schemes. CI continues to work with its law enforcement partners to put a stop
to these schemes and bring criminals to justice.Taxpayers can report COVID-19 scams to the National Center for Disaster Fraud. Taxpayers can also
report fraud or theft of their Economic Impact Payments to the Treasury Inspector General for Tax
Administration (TIGTA). Unsolicited (phishing) e- mails that appear to be from the IRS should be
forwarded to [email protected].For the most up-to-date information bout the tax filing deadline and IRS impersonation
scams, taxpayers can visit IRS.gov.Convicted Felon Sentenced to 36 Months in Prison for Possessing a Stolen Firearm on MetrolinkRead the Press Release
St. Louis, Missouri – Lautha Anderson, 26, of St. Louis, Missouri, was sentenced to 36 months in prison for being a felon in possession of a firearm. He appeared in federal court today before U.S. District Judge Henry E. Autrey.
According to court documents, on May 1, 2018, Anderson was a passenger on the Metro train heading eastbound from Lambert Airport. St. Louis County Police Department officers conducted a ticket check on the train. Anderson informed officers he did not have a validated ticket. While acting anxious and nervous, Anderson informed officers that he had something in his pocket. Anderson pulled out a loaded 9mm magazine. Officers then conducted a pat down and located a stolen 9mm Glock semiautomatic pistol in Anderson’s waistband.
Prior to May 1, 2018, Anderson was convicted of at least one felony crime in a court of law punishable by imprisonment for a term exceeding one year. At the time he knowingly possessed the firearm, Anderson knew he was a convicted felon.
The St. Louis County Police Department and Federal Bureau of Investigation investigated this case.
Convicted Felon Pleads Guilty to Federal Firearm OffenseRead the Press Release
Ocala, FL – Malcolm Straughter (35, Ocala) has pleaded guilty to possessing a firearm as a convicted felon. He faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
Straughter was indicted on May 20, 2020.
According to court documents, on March 19, 2020, a City of Ocala police officer stopped Straughter in his vehicle for a traffic infraction. After the officer smelled the odor of marijuana coming from within the vehicle, a search revealed six bags of marijuana and a loaded 9mm firearm under Straughter’s seat. The firearm had an obliterated serial number and was later confirmed as stolen.
Straughter has prior state felony convictions for possession of a short-barreled shotgun, possession of cocaine, and robbery with a firearm and is therefore prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Tyrie Boyer.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Convicted Felon Pleads Guilty to Federal Firearm and Ammunition OffenseRead the Press Release
Ocala, FL – Curtis Duncan (30, Ocala) has pleaded guilty to possessing a firearm as a convicted felon. He faces a maximum penalty of 10 years in federal prison. A sentencing date has not yet been set.
Duncan had been indicted on May 20, 2020.
According to court documents, on March 30, 2020, City of Ocala police officers responded to a disturbance at an apartment complex, where a victim told the officers that Duncan had pointed a gun at her during an argument over a cellphone. The victim described the firearm and the vehicle that Duncan had been driving when he left the scene. A short time later, officers stopped Duncan in the same vehicle and recovered a loaded .380 caliber handgun from a bag that Duncan had strapped around his torso.
Duncan has prior state felony convictions including home invasion robbery, and is therefore prohibited from possessing firearms or ammunition under federal law.
This case was investigated by the Ocala Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant United States Attorney Tyrie Boyer.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence and enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes. For more information on Project Guardian visit www.justice.gov/projectguardian.
Clinton Man Pleads Guilty to Federal Child Pornography ChargeRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARK FELNER, 31, of Clinton, waived his right to be indicted and pleaded guilty today before U.S. District Judge Alvin W. Thompson in Hartford to one count of receipt of child pornography stemming from his interactions with an underage victim in 2015 and 2016.
According to court documents and statements made in court, on multiple occasions in 2015, Felner, who was 26 at the time, traveled from Connecticut to North Carolina to engage in illegal sexual activity with a 15-year-old girl. In 2015 and 2016, when Felner and the minor victim were not physically together, the victim, at Felner’s instruction, sent pornographic images of herself through social media messaging services.
Felner was arrested on a federal criminal complaint on October 8, 2019. A memory card seized from Felner at the time of his arrest revealed pornographic images that he had received from the minor victim.
Judge Thompson scheduled sentencing for October 7, 2020, at which time Felner faces a mandatory minimum term of imprisonment of five years and maximum term of imprisonment of 20 years. Felner will also be required to register as a sex offender as a result of his conviction.
Felner is released on a $50,000 bond pending sentencing.
This matter has been investigated by the Federal Bureau of Investigation and the New London and East Lyme Police Departments. The case is being prosecuted by Assistant U.S. Attorneys Margaret Donovan and Neeraj Patel.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Canadian Parent in College Admissions Case SentencedRead the Press Release
BOSTON – A Canadian man was sentenced to prison today for paying approximately $200,000 to conspire with others to secure his children’s admission to college by cheating on their college entrance exams.
David Sidoo, 61, of Vancouver, Canada, was sentenced by U.S. District Court Judge Nathaniel M. Gorton to three months in prison, one year of supervised release and ordered to pay a fine of $250,000. In March 2020, Sidoo pleaded guilty to one count of conspiracy to commit mail and wire fraud.
In 2011, Sidoo agreed to pay $100,000 to co-conspirator William “Rick” Singer to have another co-conspirator, Mark Riddell, secretly take the SAT in place of his older son. The following year, Sidoo agreed to pay $100,000 to have Riddell take the SAT in place of his younger son.
As part of the scheme, Sidoo engaged in various other types of fraud related to the college admissions and application process. In the summer of 2012, Riddell flew to Vancouver to take a high school exam for Sidoo’s older son. In the fall of 2013, Sidoo and Singer crafted a college application admissions essay for Sidoo’s son that falsely claimed that Sidoo’s son had been held up at gunpoint by members of a Los Angeles street gang and that he had then been rescued by a rival gang member. In 2015 and 2016, Riddell, Singer and Sidoo explored cheating on various graduate school admissions tests, although they ultimately did not pursue this plan.
Singer and Riddell have previously pleaded guilty and are cooperating with the government’s investigation.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright, Kristen A. Kearney, Karin M. Bell and Stephen E. Frank of Lelling’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
California Woman Sentenced in College Admissions CaseRead the Press Release
BOSTON – A California woman was sentenced today in connection with paying $9,000 to have an individual take online classes for her son, in order to earn credits to facilitate his graduation from Georgetown University.
Karen Littlefair, 57, of Newport Beach, Calif., was sentenced by U.S. District Court Judge Allison D. Burroughs to five weeks in prison, two years of supervised release which includes 300 hours of community service, and a fine of $209,000. In January 2020, Littlefair pleaded guilty to one count of conspiracy to commit wire fraud.
Littlefair agreed with William “Rick” Singer and others to pay approximately $9,000 to have an employee of Singer’s for-profit college counseling business, The Edge College & Career Network (“The Key”), take online classes in place of Littlefair’s son and submit those fraudulently earned credits to Georgetown to facilitate his graduation. The Key employee allegedly completed four classes for Littlefair’s son at Georgetown and elsewhere, and in exchange, Littlefair paid Singer’s company approximately $9,000. Littlefair’s son graduated from Georgetown, using the credits earned by the Key employee, in May 2018.
Singer previously pleaded guilty and is cooperating with the government’s investigation.
Case information, including the status of each defendant, charging documents and plea agreements are available here: https://www.justice.gov/usao-ma/investigations-college-admissions-and-testing-bribery-scheme.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigations in Boston, made the announcement today. Assistant U.S. Attorneys Eric S. Rosen, Justin D. O’Connell, Leslie A. Wright, Kristen A. Kearney, Karin M. Bell and Stephen E. Frank of Lelling’s Criminal Division are prosecuting the case.
The details contained in the court documents are allegations. The remaining defendants are presumed not guilty unless and until proven guilty beyond a reasonable doubt in a court of law.
California Business Man Sentenced to Prison for $25 Million FraudRead the Press Release
ALEXANDRIA, Va. – A California man was sentenced today to over 12 years in prison for orchestrating an investment fraud and money laundering conspiracy that caused losses of $25 million.
“Andrew B. Powers stole $25 million from nearly 60 people,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Powers is a con man of the worst sort. His fraud was long-running, well-organized, and relentless. He was motivated by greed and the desire to appear successful, when in fact, he intentionally stole from and deceived his victims for his own self benefit.”
According to court documents, Andrew B. Powers, 45, of Oak Park, and formerly a resident of Virginia, started CommuniClique, a company that he soon claimed had developed an application that allowed businesses to communicate electronically and seamlessly within their businesses, between businesses, and with clients. Powers falsely claimed yearly revenues of $2 million by 2009 and $180 million by 2019. He also falsely claimed to have a number of large corporate clients. In fact, CommuniClique had no revenues and no large corporate clients. In August 2018, after the Virginia State Corporation Commission had prohibited him from soliciting more investments in Virginia, Powers moved his fraud scheme to California. By 2019 he had defrauded investors of approximately $25 million. When he was indicted in July 2019, Powers was using investors’ money to rent a mansion in Palisades, California, overlooking the Pacific Ocean for approximately $35,000 per month.
“Powers created a fake company, cheated investors of tens of millions of dollars, and used it to fund a lavish lifestyle for himself,” said James A. Dawson, Special Agent in Charge of the FBI Washington Field Office’s Criminal Division. “The FBI is committed to rooting out fraud in all its forms, including investment fraud and money laundering schemes like the one Powers perpetrated, which can destroy companies, wipe out the life savings of families, and cost investors millions of dollars.”
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and James A. Dawson, Special Agent in Charge, Criminal Division, FBI Washington Field Office, made the announcement after sentencing by U.S. District Judge Rossie D. Alston, Jr. Assistant U.S. Attorneys Jack Hanly and Kimberly Shartar prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:19-cr-213.
Butler Felon Sentenced to Nearly 6 Years in Prison for Drug and Gun CrimesRead the Press Release
PITTSBURGH - A resident of Butler, Pennsylvania, has been sentenced in federal court to 70 months’ imprisonment, followed by four years’ supervised release, on his conviction of violating federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.
United States District Judge Cathy Bissoon imposed the sentence on Brandon Morris a/k/a Bopp, age 35, of Butler, Pennsylvania.
According to information presented to the court, in June 2016, Pennsylvania State Police arranged for a confidential informant (CI) to buy crack and heroin from Mark Carter. Carter arranged for Brandon Morris to meet the CI. In exchange for $2,000 in pre-recorded funds, Morris gave the CI 3 bricks of heroin and ½ of an ounce of crack.
On June 28, 2016, troopers executed a search warrant on Morris’ residence located on E. Brady Street in Butler, PA. Carter was also staying at the residence. Troopers recovered a plastic bag containing 39.57g of raw heroin, a plastic bag containing 119.36g of crack cocaine, individual packets of heroin, $7,612.00, including pre-recorded funds, a 12-gauge shotgun and ammunition (3 shells), and various items of drug paraphernalia. Due to a prior felony conviction, Morris is prohibited under federal law from possessing a firearm or ammunition.
Assistant United States Attorney Troy Rivetti prosecuted this case on behalf of the government.
United States Attorney Brady commended the Federal Bureau of Investigation and the Pennsylvania State Police for the investigation leading to the successful prosecution of Morris.
Boise Man Pleads Guilty to Possession with Intent to Distribute MethamphetamineRead the Press Release
BOISE - Kimber Jac Marston, 44, of Boise, pleaded guilty to possession with intent to distribute more than fifty grams of methamphetamine, U.S. Attorney Bart M. Davis announced today. Marston was indicted by a federal grand jury in Boise on March 12, 2019. Sentencing is set for October 6, 2020, before U.S. District Judge B. Lynn Winmill at the federal courthouse in Boise.
According to court records, while on parole for a state drug conviction, Marston’s residence was searched by probation and parole officers with the Idaho Department of Correction. During the search, Marston was found in possession of 323.25 grams of methamphetamine that he admitted he intended to distribute to others. Also in Marston’s possession was a digital scale and plastic packaging materials commonly used to weigh and package methamphetamine for distribution.
Marston faces a statutory mandatory minimum sentence of at least ten years and a maximum sentence of life in federal prison, a $10,000,000 fine, and at least five years of supervised release.
This case was investigated by the Boise Police Department and Idaho Department of Correction.
This case was prosecuted by the Special Assistant U.S. Attorney hired by the Ada County Prosecuting Attorney’s Office, with funds provided by the Oregon-Idaho High Intensity Drug Trafficking Area (HIDTA). The HIDTA program is a national drug-prohibition enforcement program run by the United States Office of National Drug Control Policy. The Oregon-Idaho HIDTA is a collaboration of local law enforcement drug task forces and prosecuting agencies dedicated to addressing regional drug trafficking organizations. Idaho uses HIDTA funds to investigate and prosecute drug trafficking organizations that operate in and around Ada, Canyon, and Bannock counties.
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Bethlehem-Area Chiropractor Pleads Guilty to Health Care FraudRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Nicholas Bufanio, 53, of Hellertown, PA pleaded guilty to one count of health care fraud before United States District Court Judge Joseph F. Leeson, Jr.
Bufanio is a doctor of chiropractic medicine, who has operated Community Chiropractic, Inc. in Bethlehem, PA, since at least 2011. The defendant submitted fraudulent claims to health insurers of approximately $236,000 for chiropractic services he did not render. He routinely submitted claims for patients who failed to appear for scheduled appointments, falsely asserting that he saw the patients and provided chiropractic care. He also submitted fraudulent claims for days when he was not even in the office.
Additionally, from November 2017 until approximately December 2018, Bufanio was convalescing at home. Although he did not see patients during this time, the defendant submitted bogus claims to health insurers pretending that he was keeping normal office hours and rendering chiropractic treatment.
“Physicians and other medical professionals who fraudulently bill insurance companies are thieves – they steal from both the companies and the honest subscribers,” said U.S. Attorney McSwain. “Dr. Bufanio was arrogant enough to think that he could get paid for doing nothing. My Office will continue to use every tool at its disposal to investigate, prosecute, and punish this type of fraud.”
“Through our criminal enforcement program, the U.S. Department of Labor, Employee Benefits Security Administration (EBSA), will vigorously pursue those who violate the criminal laws protecting private–sector employee benefit plans,” said EBSA Philadelphia Regional Director Michael Schloss.
The case was investigated by U.S. Department of Labor-Employee Benefits Security Administration, and is being prosecuted by Assistant United States Attorney M. Beth Leahy.
Ashburnham Man Pleads Guilty to Firearms OffensesRead the Press Release
BOSTON – An Ashburnham man pleaded guilty yesterday in federal court in Worcester to selling firearms on three occasions in 2019 in Fitchburg.
Terrick Bishoff, 39, pleaded guilty to one count each of unlawful possession or transfer of a machine gun, dealing in firearms without a license and possession of a machinegun without a serial number. U.S. District Court Judge Timothy J. Hillman scheduled sentencing for Oct. 27, 2020. Bishoff was arrested on Sept. 24, 2019 and indicted in October 2019.
On three separate occasions in 2019, Bishoff sold firearms to an individual he did not know in Fitchburg. On May 10, 2019, Bishoff sold a Glock-style pistol without a serial number and 54 rounds of 9mm ammunition in exchange for $580. Bishoff told the buyer that the firearm was “untraceable” and that it had been custom made for a silencer. On May 15, 2019, Bishoff again met with the buyer and sold him a machinegun without a serial number and a 25 round magazine. In return, the individual paid Bishoff $2,500. On June 24, 2019, Bishoff sold the buyer a Glock-style firearm without a serial number, and a magazine, in exchange for $800. Bishoff told the buyer he was getting what he could before authorities started cracking down on firearms without serial numbers.
The charge of unlawful possession or transfer of a machine gun provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $250,000. The charge of dealing in firearms without a license provides for a sentence of up to five years in prison, three years of supervised release and a fine of $250,000. The charge of possession of a machinegun without a serial number provides for a sentence of up to 10 years in prison, three years of supervised release and a fine of $10,000. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms & Explosives, Boston Field Division; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Ashburnham Police Chief Lorring Barrett, Jr.; Worcester Police Chief Steven M. Sargent; and Hopkinton Police Chief Joseph Bennett made the announcement. Assistant U.S. Attorneys Michelle L. Dineen Jerrett and Kristen Noto of Lelling’s Worcester Branch Office are prosecuting the case.
Anchorage Woman Charged with Filing False Income Tax Returns on Behalf of Other IndividualsRead the Press Release
Anchorage, Alaska – U.S. Attorney Bryan Schroder announced today that Sanh Sunni Thampithak, a/k/a “Allysia” or “Ally”, 54, of Anchorage, has been charged with fraud and false statements for preparing fraudulent income tax returns on behalf of other individuals.
The criminal complaint alleges that Thampithak had been filing fraudulent tax returns, as an informal tax preparer, for tax years 2015-2017. Specifically, it is alleged that Thampithak did taxes for the Lao community and others in Anchorage, charging them $100-$300 per return, but would obtain unwarranted refunds for her clients by inflating certain Schedule A deductions and expenses, unbeknownst to her clients. It is alleged that Thampithak consistently fabricated the figures in order to generate refunds for her clients, which, in turn, grew her business as a tax preparer.
Thampithak became the subject of a federal investigation after her IP addresses were linked to questionable Forms 1040 that had been referred to IRS Criminal Investigation (IRS-CI). During the course of the investigation, Thampithak knowingly prepared a fraudulent return for an IRS-CI undercover agent, and then lied to investigators to conceal the criminal conduct. Her alleged scheme entailed the filing of at least 13 fraudulent returns that reported approximately $250,000 in false claims, resulting in her clients receiving refunds up to 1,575 percent more than what they were due.
Thampithak routinely misrepresented herself to her clients as a legitimate tax preparer. Return preparer fraud is one of the IRS’s Dirty Dozen Tax Scams and taxpayers seeking a return preparer should remain vigilant. The IRS has information on its website for choosing a tax preparer and has launched a free directory of federal tax preparers.
If convicted, Thampithak faces a maximum sentence of up to three years in federal prison, and a fine of up to a $100,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
IRS Criminal Investigation (IRS-CI) conducted the investigation leading to the charges in this case. This case is being prosecuted by Assistant U.S. Attorney Adam Alexander of the U.S. Attorney’s Office for the District of Alaska.
The charges in the criminal complaint are merely allegations, and the defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Alleged Dealer of Ghost Guns and Machinegun Conversion Devices ArraignedRead the Press Release
ALEXANDRIA, Va. – A Fairfax man was arraigned in federal court here today on charges of dealing in firearms without a license and transferring a machinegun.
According to court documents, Davud Sungur, 20, has never had federal firearms license. Sungur allegedly sold weapons on multiple occasions to undercover detectives with the Fairfax County Police Department’s Organized Crime & Intelligence Bureau, who had learned he was selling firearms. Over the course of four separate transactions, Sungur sold detectives ammunition, magazines, and numerous firearms – some of which were “ghost guns” lacking serial numbers that Sungur claimed to have made himself – in exchange for cash.
According to court documents, on two of these occasions, Sungur allegedly also sold detectives devices he claimed to have made using a 3D printer that, after installation, would enable semi-automatic firearms to fire fully-automatically. The ATF tested the machine gun conversion devices and confirmed that they rendered a semi-automatic firearm capable of firing multiple rounds automatically with a single function of the trigger. Homeland Security Investigations executed a search warrant at Sungur’s residence immediately following his arrest and recovered additional evidence, including a MAC-11 subcompact machine pistol and a 3D printer.
Sungur is charged with dealing firearms without a license, and unlawful transfer of a machinegun. A jury trial is scheduled for November 9. If convicted, he faces a maximum penalty of 15 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Raymond Villanueva, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) Washington, D.C.; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement. Assistant U.S. Attorney John C. Blanchard is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-162.
Air National Guard Members Sentenced for Smuggling Firearms Parts and AccessoriesRead the Press Release
ALBANY, NEW YORK – Three members of the United States Air Force Air National Guard have been sentenced for smuggling firearms parts and accessories into the United States.
The announcement was made by United States Attorney Grant C. Jaquith; Special Agent Robert Shearer, Air Force Office of Special Investigations; John B. DeVito, Special Agent in Charge of the New York Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF); and Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
Kevin D. Ronca, age 41, of Amsterdam, New York, was sentenced on October 31, 219 to 3 years of probation, to include 3 months of home detention, and a $5,000 fine. Ronca was a Master Sergeant in the Air National Guard, assigned to the 109th Aircraft Maintenance Squadron at Stratton Air National Guard Base in Scotia, New York. As part of his plea to conspiracy to import firearms, Ronca admitted that he conspired with another Air National Guard Member, Joseph R. Paludi, to smuggle two firearm silencers Ronca had purchased abroad back to Stratton Air Base aboard a military aircraft. The silencers were discovered upon arrival in Scotia.
Paludi, age 34, of Schenectady, New York, was sentenced on November 7, 2019 to 2 years of probation and a $4,000 fine for his role in the conspiracy to import firearms. Paludi was a Technical Sergeant in the Air National Guard, assigned to the 109th Aircraft Maintenance Squadron at Stratton Air Base.
As part of the ensuing investigation, agents discovered that another member of the squadron, Timothy R. Schmitt, age 28, of Galway, New York, also smuggled a silencer and a threaded blackout barrel into the United States aboard a military aircraft. Schmitt, also a Technical Sergeant, pled guilty on October 3, 2019 to possession of an unregistered firearm. He was sentenced today to 2 years of probation and a $5,000 fine.
The case was investigated by the United States Air Force Office of Special Investigations, ATF and HSI, and was prosecuted by Assistant U.S. Attorney Douglas Collyer.
Acting U.S. Attorney Announces Consent Decree Resolving Claims That Owner of Manhattan Condominium Discriminated Against Tenant on the Basis of DisabilityRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, announced today that the United States has entered into a consent decree to settle a federal civil rights lawsuit brought by the United States against 111 EAST 88TH STREET PARTNERS (“111 PARTNERS”), for violating the Fair Housing Act. Specifically, the lawsuit alleges that 111 PARTNERS discriminated against a disabled, rent-controlled tenant (the “Tenant”) by refusing to permit the Tenant to live with an assistance animal to accommodate the Tenant’s disability, as a reasonable accommodation to defendant’s policies, and by interfering with the Tenant’s exercise of his rights under the Fair Housing Act.
Acting U.S. Attorney Audrey Strauss said: “This is yet another lawsuit brought to enforce the rights of tenants with disabilities to live with an assistance animal. With this resolution, we again emphasize that condominiums, cooperatives, landlords, and property managers are required by federal law to provide reasonable accommodations to people with disabilities.”
The Fair Housing Act makes it unlawful to discriminate in the terms and conditions of the sale or rental of, or to otherwise make unavailable or deny, a dwelling based on the prospective buyer or renter’s disability. The law also mandates that reasonable accommodations in rules, policies, practices, and services be provided when necessary to afford equal housing opportunities to persons with disabilities.
According to the allegations in the Amended Complaint filed in federal court:
111 Partners is the owner of certain units in a 61-unit condominium located in New York, New York, and the landlord of the rent-controlled apartment that the Tenant occupies in the building. The Tenant, now 58 years old, has resided in that apartment his entire life and has a long history of depression. In 2006, the Tenant adopted a dog to help alleviate his depression and requested a reasonable accommodation to defendant’s “no pets” policy to allow him to reside with his dog in the apartment. Defendant not only denied the request, but also initiated eviction proceedings against him. While those proceedings were underway, in spring 2015, the Tenant was diagnosed with End Stage Renal Disease, and his depression worsened. The Tenant promptly sought another reasonable accommodation to 111 Partners’ “no pets” policy to allow him to keep his dog in the apartment given the substantial emotional assistance the dog provided and the Tenant’s changed circumstances. 111 Partners constructively denied the request by requiring the onerous disclosure of detailed medical records and other information, despite the Tenant’s already well-substantiated request and defendant’s familiarity with his condition. In June 2017, after his dog died and during the pendency of this litigation, the Tenant again requested a reasonable accommodation to 111 Partners’ “no pets” policy to permit him to adopt another dog for emotional support, and once again, 111 Partners constructively denied the request – requiring extensive documentation despite the fact that the Tenant had continued to provide documents, expert opinions, medical records, and sworn testimony in support of his request.
Under the consent decree approved by U.S. District Court Judge Paul G. Gardephe on July 14, 2020, 111 PARTNERS must:
- Adopt a reasonable accommodation policy regarding requests for assistance animals;
- Comply with certain notice, training, and recordkeeping requirements to ensure that its employees are knowledgeable about and comply with the requirements of the Fair Housing Act;
- Allow the United States to monitor compliance with the consent decree;
- Dismiss all pending state court litigation against the Tenant, including the eviction proceedings commenced in 2006 regarding his request to keep an emotional support animal and termination proceedings commenced in 2019 regarding apartment conditions, and waive all claims to attorney’s fees and costs;
- Grant the Tenant a reasonable accommodation for the remainder of his tenancy, such that he can adopt and reside with a dog for as long as the Tenant lives in the apartment, without submitting any further reasonable accommodation requests.
The case is being handled by the Office’s Civil Rights Unit. Assistant U.S. Attorney Brandon Waterman is in charge of the case.
2 More Defendants Charged Federally for Their Roles in Arsons During May 30th Violent Protests in RochesterRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that two more defendants have been charged federally in two separate criminal complaints arising from May 30, 2020, violent protests held in the City of Rochester. SHAKELL SANKS, 26, and JAVON HARDY, 24, both of Rochester, NY, have been charged with arson and each face a mandatory minimum penalty of five years in prison, a maximum of 20 years, and a $250,000 fine.
Assistant U.S. Attorney Cassie M. Kocher, who is handling the prosecutions of both SANKS and HARDY, stated that on May 30, 2020, Rochester Police Department (RPD) officers were assigned to assist with crowd control during protests scheduled at the Public Safety Building (PSB) on Exchange Boulevard. During the late-afternoon/early evening, those protests, being held in response to the death of George Floyd in Minneapolis, Minnesota, turned violent and resulted in vandalism, damaged property, looting, and fires.
At approximately 6:00 p.m. on May 30th in downtown Rochester, defendant SANKS, assisted others in attempting to light fabric on fire. The fabric was stuffed into the gas tank of a parked car belonging to the City of Rochester Family Crisis Intervention Team (FACIT). At approximately 6:20 p.m., the FACIT car began to smoke and shortly thereafter became engulfed in flames. The car was a total loss. Defendant SANKS was eventually identified as one of several individuals involved in starting the fire and was arrested. Today, SANKS made his initial appearance in federal court. Another individual, Mackenzie Drechsler, 19, of Ontario, NY, was previously charged by criminal complaint for her role in the arson of the FACIT car.
That same day, at approximately 6:28 p.m., a 32-foot by 8-foot mobile office/construction trailer, also located in downtown Rochester and rented by the Michels Corporation of Wisconsin, was also set on fire and rendered a total loss. The mobile office contained work equipment, tools, a printer, camera, and wi-fi device. As alleged in the criminal complaint filed against him, Facebook Live video footage posted by various users shows defendant HARDY carrying a milk jug at the back door of the trailer. HARDY is then seen walking down the trailer steps and heard yelling, “Let that (expletive) burn,” and “If it’s not on fire, I didn’t do my job.” A second individual, Marquis Frasier, 27, of Rochester, was also previously charged with arson for allegedly using a Molotov Cocktail to help start the same trailer on fire.
A total of 11 defendants have now been charged federally for their roles in violent protests in Rochester and Buffalo in May and June, 2020. In Rochester, in addition to SANKS, HARDY, Drechsler, and Frasier, Dyshika McFadden, 26, and Miguel Ramos, 19, both of Rochester, were previously charged with conspiracy to commit arson and arson, for their alleged role in burning a Rochester Police Department patrol car during the May 30, 2020, protests. In Buffalo, Keyondre Robinson,18, of Buffalo, was previously charged with assault of a federal officer, for his alleged role in throwing a bottle that struck a Deputy United States Marshal in the face during violent protests outside of the Robert H. Jackson Federal Courthouse in Buffalo on May 30, 2020; Courtland Renford, 20, of Buffalo, has been indicted and charged with arson in connection with his alleged attempt to burn down Buffalo City Hall during the May 30, protests; and Deyanna Davis, 30, Semaj Pigram, 25, and Walter Stewart, 28, all of Buffalo, were each previously indicted and charged with being felons-in-possession of a firearm, after the SUV in which they were traveling struck and seriously injured a Buffalo Police Officer and a New York State Trooper in connection with civil unrest in Buffalo, on June 1, 2020. After striking the officers, a chase ensued, and once the three were arrested, a loaded firearm and spent shell casings were discovered inside the SUV.
“The arsons, assaults, and weapons violations alleged to have been committed by these defendants are not part of any sort of righteous crusade; they are—plain and simple—criminal acts,” stated U.S. Attorney Kennedy. “This sort of behavior, combined with the recent and marked increase in violent crime and shootings across both our Nation and our District, suggests that some among us believe that violence, chaos, and lawlessness represent an appropriate path forward. They, however, are wrong. These charges reinforce the message that as Americans, we favor unity over entropy and that our greatest strength—that our very identity comes from our shared humanity and from the values and ideals we choose to uphold. Only by uniting, coming together as one, and rejecting this sort of divisive and damaging conduct can we ever hope to achieve the full promise of those values and ideals—expressed so eloquently in our Declaration of Independence—of a people who are all ‘created equal, [and] endowed by [our] Creator with certain unalienable rights, [including] life, liberty, and the pursuit of happiness.’”
The most recent complaints are the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito, New York Field Division; the Rochester Police Department, under the direction of Chief La’Ron Singletary; the Gates Police Department, under the direction of Chief James VanBrederode; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter; the New York State Police, under the direction of Major Eric Laughton; the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Stephen Belongia; the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley; the Greater Rochester Area Narcotics Enforcement Team; and the Rochester Fire Department, under the direction of Fire Chief Willie Jackson.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Tuesday 14 July 2020
Woman Indicted and Arrested for Bank FraudRead the Press Release
SAN JUAN, P.R. - On July 10, FBI agents arrested Ana Luisa Martín-Alfaro who is facing 34 counts of bank fraud, announced United States Attorney for the District of Puerto Rico, W. Stephen Muldrow. The Federal Bureau of Investigation was in charge of the investigation of the case.
The indictment alleges that, starting in or around the year 2013, defendant Martín-Alfaro did knowingly and with intent to defraud, devise a scheme and artifice to obtain monies under the custody and control of Banco Popular, Santander Bank, FirstBank Puerto Rico, TD Bank, Oriental Bank, and USAA Federal Savings Bank, all financial institutions whose deposits were insured by the Federal Deposit Insurance Corporation, by means of materially false and fraudulent pretenses, representations and promises, and by omission of material facts. Martin-Alfaro materially misrepresented the purpose of payments and required monies be paid by various clients through their financial institutions to corporate accounts she controlled.
Martín-Alfaro promoted herself as someone who could assist individuals, entities, or non-profit organizations to navigate the process of securing federal grants to build assisted-living facilities and low-income housing in Puerto Rico. She falsely represented to potential clients that she was certified by federal government agencies to receive filing fees and disbursements required to complete grant applications and she would deposit these payments in accounts belonging to organizations under her custody and control, such as “Federal Funds Organization, Inc.,” “International Federal Faith Based Consultants” and “Educational Service Corp.,” “Federal Consulting Service Corp.,” and “Community Helpers, Inc.”
The defendant falsely represented to potential clients the fact that these organizations were not associated with her. She also made the following material omissions to potential clients who were unaware that: these organizations were created by her; that she had sole custody and control of the bank accounts belonging to these organizations; and that she would use these funds for transactions unrelated to the grant writing process.
Defendant Martín-Alfaro falsely represented that funds were deposited in federal government accounts, that the accounts that she had access to were audited by the federal government, and that the funds were to be used exclusively for the grant application process. Instead, Martín-Alfaro used funds from clients to support her personal lifestyle. She withdrew cash, and spent it on retail, food, travel, entertainment, and auto expenses. She also used funds from clients to promote and perpetuate the scheme to defraud by paying for office expenses, utilities, and a limited amount for project expenses to deceive her clients into believing that the grant application process would be ultimately successful.
Martín-Alfaro is facing a forfeiture allegation of $779,135.00. If convicted, Martín-Alfaro could face a maximum penalty of 30 years of imprisonment and a fine of $1,000,000. Assistant U.S. Attorney Edward G. Veronda is in charge of the prosecution of the case.
Indictments contain only charges and are not evidence of guilt. Defendants are presumed to be innocent unless and until proven guilty.
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Winchester Woman Sentenced to 65 Months for Drug TraffickingRead the Press Release
CONCORD - Alysha DeJesus, 25, of Winchester, was sentenced to 65 months in federal prison for attempted possession of controlled substances with intent to distribute, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, beginning around December of 2017, a drug organization in Lawrence, Massachusetts maintained a series of telephone numbers to receive orders and distribute controlled substances, primarily fentanyl and crack cocaine. On June 19, 2019, law enforcement executed search warrants at locations used by the organization and seized a telephone that was used for the drug distribution. Law enforcement officers then initiated an operation in which they communicated with the customers of the organization to effectuate their arrests after the customers placed orders for illegal drugs.
On June 24, 2019, DeJesus sent a text message to order 150 grams of fentanyl and 2 ounces of cocaine for $4,500. After receiving the text, undercover agents instructed DeJesus to a particular location in Nashua to receive the drugs. The agents told her to leave the money in the cup holder of the car and walk away. DeJesus exited the vehicle with a male subject, who she described to the agents as “her man.” The agents then stopped DeJesus who had in her possession the telephone with whom the agents had been texting. Agents located the currency for the drugs wrapped in a towel in the center console of the vehicle. After her arrest, DeJesus admitted traveling to Nashua to purchase drugs for $4,500
DeJesus previously pleaded guilty on February 19, 2020.
“The distribution of illegal drugs damages public health and safety throughout New Hampshire,” said U.S. Attorney Murray. “The harm caused by this activity focuses the attention of law enforcement agencies on the dealers. In order to prevent the sale of dangerous drugs, we will continue to work aggressively with our law enforcement partners to identify, prosecute, and incarcerate the drug dealers who endanger lives in the Granite State.”
“Fentanyl is causing great damage to our communities,” said DEA Special Agent in Charge Brian D. Boyle. “DEA will continue to use every resource available to identify traffickers, like Ms. DeJesus who distribute this poison to the citizens of New Hampshire. Today’s sentence not only holds Ms. DeJesus accountable for her crimes but serves as a warning to those who are fueling the opioid epidemic.”
This matter was investigated by the Drug Enforcement Administration, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives, with assistance from the Massachusetts State Police, Methuen Police Department, Andover, Massachusetts Police Department, Essex County Sheriff’s Office, New Hampshire State Police, Manchester Police Department, Nashua Police Department, Salem Police Department, Rockingham County Sheriff’s Office, Hudson Police Department, and the Goffstown Police Department. The case was prosecuted by Assistant U.S. Attorney Seth Aframe.
This case was supported by the Organized Crime Drug Enforcement Task Force (OCDETF). The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations.
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Weston Man Agrees to Plead Guilty to Wire Fraud in International Student Recruitment SchemeRead the Press Release
BOSTON – A Weston man has agreed to plead guilty in connection with a scheme to defraud private high schools and international students of millions of dollars in tuition and other fees.
Keenam “Kason” Park, 59, of Weston, has agreed to plead guilty to one count of wire fraud. A plea hearing has not yet been scheduled by the Court. According to the terms of the plea agreement, the government will recommend a sentence of 51 months in prison, two years of supervised release, a fine and restitution/forfeiture of at least $5,192,330.
According to the charging documents, Park caused EduBoston to collect tuition and other payments from students’ families for the 2019-2020 academic year but failed to remit tuition payments to partnering schools. Instead, Park used the funds on unrelated expenses, including personal expenses. Park also caused EduBoston to collect advance tuition and other payments for the 2020-2021 academic year, which Park failed to return to the students’ families after EduBoston went out of business around September 2019. As a result, EduBoston owes over $5 million to partnering schools.
The charge of wire fraud provides for a sentence of up to 20 years in prison, up to three years of supervised release, and a fine of up to $250,000 or twice the gross gain or loss from the offense. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. Assistant U.S. Attorney Leslie A. Wright of Lelling’s Securities, Financial and Cyber Fraud Unit is prosecuting the case.
Virginia Man Sentenced for Conspiracy to Distribute Marijuana and Money LaunderingRead the Press Release
SYRACUSE, NEW YORK – Jervonne Harris, age 41, of Hampton, Virginia, was sentenced today to serve 35 months in prison for conspiring to distribute marijuana and money laundering, announced United States Attorney Grant C. Jaquith and Kevin Kelly, Special Agent in Charge of the Buffalo Field Office of Homeland Security Investigations (HSI).
As part of his previous guilty plea, Harris admitted that between May 2017 and August 2017 he received bulk quantities of marijuana from a source of supply on the Akwesasne Mohawk Reservation in New York State. Harris sold the marijuana he received to customers in Virginia, and sent the proceeds from those sales back to his source of supply by courier and wire transfer. As part of his guilty plea, Harris admitted to distributing about 57 kilograms of marijuana.
In addition to his term of imprisonment, the court also sentenced Harris to six years of supervised release and ordered him to pay a money judgment in the amount of $250,800.
This case was investigated by Homeland Security Investigations (HSI), the U.S. Internal Revenue Service-Criminal Investigation (IRS-CI), and the Oswego County Drug Task Force, comprised of Special Agents of HSI, members of the City of Oswego Police Department, the Oswego County Sheriff’s Office, Investigators from the Oswego County District Attorney’s Office, the SUNY Oswego Police Department and Agents of the U.S. Border Patrol. The case was prosecuted by Assistant United States Attorney Thomas Sutcliffe.
United States Attorney's Office District of Arizona June 2020 Immigration and Border Crimes ReportRead the Press Release
I. Illegal Reentry After Deportation (8 U.S.C. 1326)
126 individuals were charged in June with illegal reentry
A. 114 of those 126 individuals had previously been convicted of non-immigration criminal offenses in the U.S.
Of the 114 individuals with non-immigration criminal records:
1. 22 had violent crime convictions, including:
0 individuals had homicide convictions
5 individuals had sex offense convictions
4 individuals had domestic violence convictions2. 9 had property crime convictions
3. 25 had DUI convictions
4. 76 had drug crime convictions
B. 64 of those 126 individuals had been deported three or more times
II. Alien Smuggling (8 U.S.C. 1324)
26 individuals were charged in June with alien smuggling
III. Illegal Entry (Criminal Consequence Initiative) (8 U.S.C. 1325)
0 individuals were charged in June with illegal entry on the CCI calendar
Criminal conviction information based on preliminary criminal history reports provided by the arresting agency.
These numbers represent United States Attorney's Office prosecutions only. These numbers do not include individuals apprehended by immigration enforcement officials and subjected solely to administrative process.
*The Department of Homeland Security instituted a policy in late March of expeditiously returning aliens who illegally enter the United States rather than detaining them. The decreased number of individuals presented to this Office for prosecution coincides with the implementation of that policy and other COVID-19 related border restrictions.
RELEASE NUMBER: 2020-062_June Immigration and Border Crimes Report
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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.United States Attorney Mike Stuart Issues Statement Regarding Violence Against Law EnforcementRead the Press Release
CHARLESTON, W.Va. – United States Attorney Mike Stuart issued the following statement regarding violence against law enforcement.
“Sadly, our law enforcement officers and police have become the target of terrible attacks. Two nights ago in McAllen, Texas, two police officers were fatally shot while responding to a domestic disturbance. Yesterday, in Bothell, Washington, two police officers were shot, one fatally, after a brief traffic pursuit.
The daily assault on law enforcement and the police has to stop. This is not ‘open season’ to attack and condemn the good people of law enforcement. It is absolutely outrageous what is happening across the nation. I cannot imagine the stress and anxiety of being a police officer today. Can you imagine the stress and anxiety not only on the officers but the moms, dads, husbands, wives and children of these public heroes who worry every moment that their loved one may not come home from simply doing their duty and doing their job? This ‘attack our cops’ mentality must end. It must end now. Our law enforcement officers deserve our respect and admiration not our condemnation.
This U.S. Attorney ‘Backs the Blue.’ I make no apologies for it. God Bless and protect each of these Guardians of Justice as they serve nobly each day to protect each of us.”
Follow us on Twitter: SDWVNews and USAttyStuart
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U.S. Attorney reminds taxpayers to be careful as tax-day approachesRead the Press Release
ATLANTA - With the extended tax deadline of July 15 for individual taxpayers quickly approaching, the U.S. Attorney’s Office urges caution. It is important to be aware of tax scams and to be compliant in filing and paying federal taxes timely. Tax cheats are becoming more sophisticated in their schemes and are finding new ways to cheat the system as well as gaining access to your personal and tax information.
“Criminals continue to victimize taxpayers with sophisticated tax fraud schemes,” said U.S. Attorney Byung J. “BJay” Pak. “Be honest, truthful, and timely in your tax filings, and beware of others who look to take advantage of you and the tax system.”
“Those taxpayers who file accurate, honest and timely returns can be assured that the government will hold accountable those who don't. As we approach the end of the tax filing season, those who might consider preparing false tax returns should be aware of the extremely negative consequences as evidenced today,” said James E. Dorsey, Special Agent in Charge of the Atlanta Field Office. “The convictions and sentencings outlined below emphasize that the Internal Revenue Service and U.S. Attorney’s office will continue their aggressive pursuit of those who would attempt to defraud America's tax system.”
The U.S. Attorney’s Office for the Northern District of Georgia, along with agents of IRS-Criminal Investigation and other law enforcement partners, actively investigates and prosecutes tax fraud and combats criminals willing to steal identities and commit tax fraud on the unsuspecting public. Over the past year, multiple tax investigations were charged and resolved. The following are highlights of some of those cases:
- Larry Scott. Scott was sentenced to two years in prison for failing to disclose to the City of Atlanta that while he served as its Director of Contract Compliance, he also served as the business manager for a consulting firm seeking contracts in the Atlanta-metropolitan area. Scott also failed to report on his taxes the majority of the income earned from the consulting firm.
- Thomas Holmes. Former tax preparation business owner Thomas Holmes pled guilty and was sentenced to three years, one month imprisonment for preparing and filing hundreds of fraudulent federal tax returns between 2011 and 2019. In total, Holmes defrauded the federal government out of more than $2.6 million. When preparing returns for clients, Holmes listed false Schedule C business losses and false Schedule A itemized deductions, causing taxpayers to claim millions of dollars in refunds that they were not entitled to. When the IRS issued those refunds, Holmes frequently kept a portion of the fraudulent refunds for himself and paid the balance to his clients. During the investigation, the IRS revoked Holmes’ e-filing privileges, but Holmes continued to file fraudulent returns through the mail.
- Allan and Stacy Spagnardi. Both Spagnardis were sentenced to four years, three months in prison after using their chiropractic clinic to commit healthcare fraud and for defrauding the Internal Revenue Service. Despite earning well over $1 million in personal income in 2014 and 2015, the Spagnardis failed to file federal income tax returns or pay federal income taxes for those tax years and instead took steps to hide their true income from IRS. After the Spagnardis were indicted, they continued to take steps to hide their income from the IRS, including by filing a false federal income tax return in early 2018.
- Vladimir Pierre a/k/a Jimmy Valentine. Pierre pleaded guilty to theft of government funds and aggravated identity theft. He admitted that between approximately January 2015 and April 2018, he filed over 150 fraudulent returns, a significant number of which involved the use of stolen identities, seeking more than $1 million in refunds. Pierre also admitted that as a result of his scheme he caused more than $340,000 in losses to the federal government. Pierre was sentenced four years, nine months in prison.
- Angela McBride. McBride pled guilty to filing a fraudulent, retaliatory lien against former IRS Commissioner John Koskinen. She was sentenced to one year in prison, with six months to be served in home confinement. After McBride filed a frivolous income tax return for 2013, the IRS notified McBride that she would be subject to a $5,000 penalty unless she filed a corrected tax return. Instead of filing a corrected return, McBride filed a lien with the DeKalb County clerk of court purporting to assign the $5,000 penalty issued against her to then-IRS Commissioner John Koskinen.
- Xiao-Jiang Li. On May 8, 2020, Li pleaded guilty to filing a false tax return, for failing to report foreign income earned in China as a Thousand Talents Program participant and researcher. From 2012 to 2018, Li worked at Chinese universities conducting research, earning at least $500,000 in foreign income that he never reported on his federal income tax returns. Li was sentenced to one year of probation and ordered to pay restitution in the amount of $35,089. He was also ordered to file lawful income tax returns for the years 2012 through 2018 within the first two months of his probation and fully cooperate with the Examination Division, Internal Revenue Service, in making a complete and accurate determination of all taxes, penalties, and interest that he owes.
- Don Terry and Jeffrey Smith. Terry and Smith pleaded guilty to Conspiracy to File False Claims against the United States. Terry and Smith were charged for their role in a tax fraud scheme in which numerous fraudulent and false individual and corporate income tax returns were submitted to IRS falsely claiming refunds. The refund checks were deposited into a bank account controlled by one of the co-conspirators for disbursement among the participants. Terry and Smith both entered a guilty plea to the conspiracy charge on January 27, 2020.
- Barbara Moore. Moore pleaded guilty on June 3, 2020 to a one count Indictment that charged her with Filing a False Claim Against the United States. Moore, who was a tax preparer at the time, submitted a fraudulent corporate income tax return that falsely listed a tax credit used to support the false claim for a tax refund of $104,046.
- Timothy Cobb. Cobb pled guilty to fraud and filing a false tax return. Cobb stole money from investors and then failed to report the stolen income on his federal income tax returns.
- Jo Ann Macrina. Former City of Atlanta Commissioner of the Department of Watershed Management Macrina has been charged with conspiratorial bribery, bribery, and tax evasion in connection with money and other items of value that she accepted from City of Atlanta and DeKalb County contractor Lohrasb “Jeff” Jafari. It is alleged that between June 2016 and September 2016, Jafari and/or PRAD Group paid Macrina $30,000 in four separate payments. She did not report any of these funds on her 2016 income tax return.
- Jim C. Beck. On August 14, 2019, suspended Georgia Insurance Commissioner Beck was charged in a superseding indictment with four counts of aiding in the preparation and filing of false federal income tax returns for the years of 2015 thorough 2018. According to the indictment, Beck’s tax returns for those years were fraudulent because they substantially overstated business expenses and substantially understated business profits associated with two of Beck’s businesses, Creative Consultants and GA Christian Coalition.
- Todd and Julie Chrisley. Reality television stars Todd and Julie Chrisley, along with their accountant, Peter Tarantino, were charged for conspiring to defraud the IRS. The Chrisleys are alleged to have taken steps to avoid paying taxes on the millions of dollars they earned while appearing on the television show "Chrisley Knows Best." They were indicted by a federal grand jury on August 13, 2019.
- Luscious Mack. On November 12, 2019, a federal grand jury indicted Lucious Mack, charging him with 17 counts of filing false claims against the United States and four counts of theft of government money. The false claims charges stem from Mack allegedly filing fraudulent 1040 and 1040X Individual Income Tax Returns and fraudulent 1120 and 1120X Corporate Income Tax Returns. All the tax returns fraudulently claimed tax refunds to which Mack was not entitled. In all, Mack falsely claimed refunds totaling $860,483.
- Alfonzo Stevens. In May 2019, Stevens was indicted on one count of obstructing or impeding the IRS in connection with the collection of his outstanding tax liabilities. The indictment alleges that for more than half-a-decade, Stevens has been impeding the IRS’s collection through various methods.
- Bryan McElroy. McElroy was indicted on charges of attempting to file fraudulent, retaliatory liens against federal government officials.
- Leta Simmons. On July 13, 2020, Leta Simmons of Fairburn, Georgia, was charged with preparing fraudulent federal income tax returns. Simmons conducted a tax return preparation business through which she assisted clients with preparing and filing their returns. On behalf of her clients but without their knowledge or consent, Simmons filed multiple tax returns that unlawfully claimed false business losses and false itemized deductions, resulting in greater tax refunds. Many of Simmons’s clients did not even own or operate businesses. The IRS-CI investigation revealed that Simmons had filed multiple fraudulent returns for the tax years 2013-2017, resulting in a loss to the IRS in excess of $350,000.
Members of the public are reminded that the indictments 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.
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.- Larry Scott. Scott was sentenced to two years in prison for failing to disclose to the City of Atlanta that while he served as its Director of Contract Compliance, he also served as the business manager for a consulting firm seeking contracts in the Atlanta-metropolitan area. Scott also failed to report on his taxes the majority of the income earned from the consulting firm.