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Wednesday 8 July 2020
Lake Station Man Sentenced to 14 Years in PrisonRead the Press Release
HAMMOND-Bryant Porter, 26, of Lake Station, Indiana, was sentenced by Judge Moody to 168 months in prison and 3 years of supervised release following his guilty plea to distribution of cocaine base and to possessing a firearm in furtherance of a drug trafficking crime, announced U.S. Attorney Kirsch.
According to documents in the case, on multiple occasions between November 2018 and February 2019, Porter distributed cocaine base in Gary, Indiana. On February 13, 2019, law enforcement executed a search warrant at a Gary residence controlled by Porter and recovered approximately 68 grams of cocaine base, six firearms, a bulletproof vest, and $30,816 in cash. Six additional firearms were recovered from Bryant’s vehicle. Bryant admitted his involvement in the distribution or intention to distribute between 280 and 840 grams of cocaine base.
This case is the result of the investigative efforts of the Drug Enforcement Administration and the Porter County Multi-Enforcement Group. The case was prosecuted by Northern District of Indiana Assistant U.S. Attorney Caitlin M. Padula.
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Kodiak Man Sentenced to Federal Prison for Drug Distribution and Money LaunderingRead the Press Release
Anchorage, Alaska B U.S. Attorney Bryan Schroder announced today that a Kodiak man has been sentenced for money laundering and possessing drugs intended for distribution in Kodiak.
Luke Bunting, 23, of Kodiak, Alaska, was sentenced on Tuesday, July 7, 2020, by Chief U.S. District Judge Timothy M. Burgess to serve 18 months in federal prison, followed by three years of supervised release, to include six months of home confinement and 200 hours of community service. Bunting previously pleaded guilty to one count of possession with the intent to distribute, and one count of money laundering.
According to court documents, in 2018, a U.S. Postal Inspector in Anchorage seized three packages that contained various narcotics, which were addressed to Bunting in Kodiak. A subsequent search of Bunting’s Kodiak residence revealed large amounts of marijuana, tetrahydrocannabinol (THC) products, psilocin mushrooms, cocaine, and lysergic acid diethylamide (LSD) packaged for sale. The search also revealed three guns with loaded magazines co-located with the narcotics, approximately $39,500, and several cryptocurrency recovery codes.
The investigation further revealed that, after depositing drug proceeds into various bank accounts, Bunting would quickly move that money through payments to outside sources using applications including Venmo and Coinbase. Cyber specialists at the FBI lent assistance to identify and recover Bunting’s units of Bitcoin, Monero, and Ripple cryptocurrency, all of which were forfeited to the government. The total amount of drug proceeds acquired by Bunting during his illegal distribution enterprise amounted to approximately $327,966 in drug proceeds.
Bunting was also implicated by several Coast Guard members in Kodiak who stated that Bunting was the source of their narcotics. The U.S. Coast Guard held those members separately accountable and subsequently removed them from the service for their illegal use of drugs supplied by Bunting.
Before imposing a sentence, Chief Judge Burgess commented that he was concerned that Bunting was a “for profit” drug trafficker from a supportive family environment and did not appear to have an addiction to the drugs he was selling in the community. Bunting previously held employment as a substitute teacher at a local high school, but was terminated prior to his arrest in this case.
The Coast Guard Investigative Service (CGIS), the Federal Bureau of Investigation (FBI), IRS Criminal Investigation (IRS-CI), the U.S. Postal Inspection Service (USPIS), the Kodiak Police Department (KPD), and the Alaska State Troopers (AST) conducted the investigation leading to the successful prosecution of this case. This case was prosecuted by Special Assistant U.S. Attorney and U.S. Coast Guard Judge Advocate, Lieutenant Sharyl Pels.
Kansas Man Sentenced to Federal Prison for Second Degree Murder on Cruise ShipRead the Press Release
TOPEKA, KAN. - A Topeka, Kan., man was sentenced today to 12 years in federal prison for the second degree murder of a woman he was traveling with on a cruise ship vacation, U.S. Attorney Stephen McAllister said.
Eric Newman, 55, Topeka, Kan., pleaded guilty to killing Tamara Tucker, who died Jan. 19, 2018, on board the Carnival Elation, a vessel registered in Panama. The Carnival Elation was on a voyage that took passengers from Jacksonville, Fla., to the Commonwealth of the Bahamas and back.
“The man who killed Tamara Tucker was no stranger to her,” McAllister said. “He was her intimate partner for years, a person she loved and trusted. He was the one person she wanted to share this special voyage and to join her in celebrating her 50th birthday.”
In his plea, Newman said he and Tucker were traveling together and were assigned to cabin room G-29, located on the 14th deck of the cruise ship’s starboard side. The cabin had a balcony overlooking the ship’s 11th deck. During an argument in their room, Newman attacked Tucker.
“He had his hands around her neck when he pushed her over a balcony railing and she fell to her death on the 11th deck,” McAllister said.
McAllister was joined at a press conference today in Topeka by Ms. Tucker’s family, including her mother, Wanda Tucker-Schrantz, her sister, Dawn Tucker and her brother, Bo Tucker.
“As a professional social worker with a master’s degree, a teacher and an advocate, Ms. Tucker was no stranger to the complexities of human nature that can transform love into deadly violence,” McAllister said.
The Centers for Disease Control and Prevention use the term “intimate partner violence,” which is defined as physical violence, sexual violence, stalking or psychological harm by a current or former partner or spouse.
Nearly half of female homicide victims in the U.S. are killed by a current or former male intimate partner, according to the CDC.
About 1 in 4 women and nearly 1 in 10 men have experienced contact sexual violence, physical violence and/or stalking by an intimate partner during their lifetime. About 41 percent of female IPV survivors and 14 percent of male IPV survivors experienced some form of physical injury.
Survivors of IPV can experience health problems including depression and PTSD. In addition, they are at a higher risk for smoking, binge drinking and risky sexual behaviors. For more information, see the CDC’s web page at https://www.cdc.gov/violenceprevention/intimatepartnerviolence/fastfact.html .
McAllister commended the FBI field offices in Jacksonville and Topeka, Trial Attorney Rami S. Badawy of the Criminal Division’s Human Rights and Special Prosecution Section and Assistant U.S. Attorney Christine Kenney of the District of Kansas for their work on the case.
Kansas Man Sentenced for Killing a Woman on a Cruise ShipRead the Press Release
A Kansas man was sentenced today to 12 years in prison for murdering his longtime girlfriend during a cruise from Florida to the Bahamas in January 2018.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney Stephen R. McAllister of the District of Kansas and Special Agent in Charge Rachel L. Rojas of the FBI’s Jacksonville Field Office made the announcement.
Eric Duane Newman, 55, of Topeka, Kansas, pleaded guilty on Dec. 19, 2019, before Chief U.S. District Judge Julie A. Robinson of the District of Kansas to one count of murder in the second degree for killing Tamara Tucker with malice aforethought.
Chief Judge Robinson also sentenced Newman to five years of post-release supervision and ordered him to pay $8,496.00 restitution to Tucker’s family.
According to the admissions made in connection with the plea, Newman and Tucker boarded the Carnival Elation cruise ship on Jan. 18, 2018, in Jacksonville, Florida, to take a round-trip voyage to the Commonwealth of the Bahamas. Newman and Tucker were staying together in a cabin room on the 13th deck of the cruise ship.
Before midnight on Jan. 18, Newman became involved in a verbal argument with Tucker inside their cabin room. At approximately 12:15 a.m. on Jan. 19, Newman physically attacked Tucker, and strangled her by placing both of his hands around her neck. In the process of strangling her, Newman pushed Tucker over the cabin room balcony railing causing her to fall to her death onto the 11th deck. Tucker died from blunt force trauma as a result of the fall. At the time, the cruise ship was sailing on the high seas in international water, approximately 30 nautical miles from New Smyrna Beach, Florida.
The investigation was conducted by the FBI’s Jacksonville Field Office with the assistance of the FBI’s Topeka Field Office. Trial Attorney Rami S. Badawy of the Criminal Division’s Human Rights and Special Prosecutions Section and Assistant U.S. Attorney Christine E. Kenney of the District of Kansas prosecuted the case. Assistance was also provided by the Criminal Division’s Office of International Affairs and the Commonwealth of the Bahamas Office of the Attorney General.
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.
Kanawha County Man Pleads Guilty to Defrauding FEMA of 2016 Disaster Relief FundsRead the Press Release
CHARLESTON, W.Va. – A Kanawha County man pled guilty today to defrauding the Federal Emergency Management Agency (FEMA) of 2016 disaster relief funds, announced United States Attorney Mike Stuart. Randall Butler, 46, of Charleston, pled guilty to one count of fraud in connection with major disaster or emergency benefits.
At the time of the historic 2016 floods, Butler was living in an apartment in Clendenin, an area where FEMA was authorized to provide assistance to affected residents, including rental assistance. After the flood and a brief stay in a rescue shelter, Butler and his family moved to an apartment in Charleston. Butler admitted that he applied for FEMA relief funds for displaced housing even though he knew he was not allowed to receive the FEMA monies, because the U.S. Department of Housing and Urban Development had submitted rental payments on his behalf. Butler further admitted that he had received approximately $8,600 from FEMA for rental assistance, even though he had not been paying the rent himself.
“Butler took advantage of a program designed to help people, not to fill up his personal piggy bank,” said United States Attorney Mike Stuart. “The critical funding provided by FEMA was essential to rebuilding lives and communities throughout West Virginia. FEMA provides funds critical to recovery from natural disasters. This was greed and disaster not from any natural cause.”
“DHS OIG remains committed to investigating fraud that affects FEMA’s disaster relief programs,” said Homeland Security Inspector General Joseph V. Cuffari. “Furthermore, we are thankful to our colleagues at the West Virginia Commission on Special Investigations for their assistance in this investigation.”
Butler faces up to 30 years in prison when he is sentenced on October 6, 2020.
The Department of Homeland Security - Office of Inspector General (DHS-OIG) and the West Virginia Commission on Special Investigations conducted the investigation. Senior United States District Judge John T. Copenhaver, Jr. presided over the plea hearing. Assistant United States Attorney Kathleen Robeson is handling the prosecution.
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Justice Dept. Awards $2.2M for Innovative Community Policing ProjectsRead the Press Release
ALEXANDRIA, Va. – The Department of Justice recently announced $2.2 million in grant funding to law enforcement agencies and stakeholders through the Department’s Office of Community Oriented Policing Services (COPS Office) Community Policing Development (CPD) Microgrants Program.
In the Eastern District of Virginia, the Virginia Department of State Police was awarded $83,137 for a police officer safety and wellness project.
“The CPD Microgrants Program is a critical resource to advance innovative community policing projects across the country,” said Phil Keith, Director of the COPS Office. “These strategic investments from the COPS Office pay huge dividends to state and local law enforcement agencies and the communities that they serve.”
CPD Microgrants Program funds are used to develop the capacity of local, state, and tribal law enforcement agencies to implement community policing strategies. Applicants were invited to propose demonstration or pilot projects to be implemented in their agency that offer creative ideas to advance crime fighting, community engagement, problem solving, or organizational changes to support community policing in one of the following areas:
- Human Trafficking
- Meeting Rural Law Enforcement Challenges
- Officer Safety and Wellness
- Recruitment, Hiring, and Retention
- School Safety
- Staffing and Allocation Studies
- Victim-Centered Approaches
- Violent Crime
- Youth Engagement
Funding through this program is available for the first time since 2018, following the successful removal of a nationwide injunction. These awards are being announced at a critical time for our country, when community policing strategies are very much needed to improve police and community relations.
The complete list of awards can be found here. To learn more about CPD Microgrants, please visit: https://cops.usdoj.gov/cpdmicrogrants. For additional information about the COPS Office, please visit: www.cops.usdoj.gov.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Justice Department Announces Findings of Investigation into Narcotics Bureau of Springfield, Massachusetts Police DepartmentRead the Press Release
Following a comprehensive investigation, the Justice Department announced today that it has found reasonable cause to believe the Narcotics Bureau of the Springfield, Massachusetts, Police Department (SPD) engages in a pattern or practice of using excessive force in violation of the Fourth Amendment to the United States Constitution. The investigation was conducted pursuant to the Violent Crime Control and Law Enforcement Act of 1994 and was announced on April 13, 2018.
The Department of Justice found that the Narcotics Bureau’s pattern or practice of excessive force is directly attributable to systemic deficiencies in policies, which fail to require detailed and consistent use-of-force reporting, and accountability systems that do not provide meaningful reviews of uses of force.
“I’ve said many times that being a police officer is the toughest job in America. We owe these public servants our respect and our support,” said Attorney General William P. Barr. “But with this high calling comes a tremendous responsibility to uphold the public trust. The Department of Justice is committed to supporting our law enforcement while holding departments accountable that violate this sacred trust. The department will work with the City of Springfield and the Police Department to ensure that the police officers and people of Springfield get the law enforcement agency they deserve, one that effectively and constitutionally stops violent crime and narcotics trafficking.”
“The Fourth Amendment to the United States Constitution protects all people in our nation from excessive force by law enforcement,” said Assistant Attorney General Eric Dreiband of the U.S. Department of Justice Civil Rights Division. “The Department of Justice looks forward to working with the City of Springfield and its Police Department to protect this very important Constitutional right.”
“As demonstrated by recent events, it is crucial that our urban police departments keep the trust of their communities and ensure accountability for officer misconduct," said U.S. Attorney for Massachusetts Andrew Lelling. "Our investigation of the Springfield Police Department over the last year revealed chronic issues with the use of force, poor record keeping on that subject, and repeated failures to impose discipline for officer misconduct. That said, the department and the City of Springfield have fully cooperated with this investigation and have made clear their commitment to genuine reform. We look forward to working with them to make Springfield a safer place.”
In the course of its investigation, the Justice Department conducted an in-depth review of SPD documents, including over 100,000 pages of written policies and procedures, training materials, and internal reports, data, video footage, and investigative files. Justice Department attorneys and investigators also conducted interviews with SPD officers, supervisors and command staff, and city officials, and met with community members and local advocates. SPD has cooperated with the department’s investigation and has already begun to implement a number of remedial measures.
This investigation was conducted jointly by the Special Litigation Section of the Civil Rights Division and the U.S. Attorney’s Office for the District of Massachusetts, with the assistance of law enforcement experts.
Attached are the Department of Justice’s Report of its Investigation of the Narcotics Bureau of the Springfield, Massachusetts Police Department, and a cover letter to Springfield government officials transmitting that Report.
The Civil Rights Unit of the U.S. Attorney’s Office was established in 2015 with the mission of enhancing federal civil rights enforcement. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights.
Justice Department Announces Findings of Investigation into Narcotics Bureau of Springfield Police DepartmentRead the Press Release
BOSTON – Following a comprehensive investigation, the Justice Department has found reasonable cause to believe the Narcotics Bureau of the Springfield, Mass. Police Department (SPD) engages in a pattern or practice of using excessive force in violation of the Fourth Amendment to the United States Constitution. The investigation was conducted pursuant to the Violent Crime Control and Law Enforcement Act of 1994 and was announced on April 13, 2018.
The Department of Justice found that the Narcotics Bureau’s pattern or practice of excessive force is directly attributable to systemic deficiencies in policies, which fail to require detailed and consistent use-of-force reporting, and accountability systems that do not provide meaningful reviews of uses of force.
“As demonstrated by recent events, it is crucial that our urban police departments keep the trust of their communities and ensure accountability for officer misconduct,” said United State Attorney Andrew E. Lelling. “Our investigation of the Springfield Police Department over the last year revealed chronic issues with the use of force, poor record keeping on that subject, and repeated failures to impose discipline for officer misconduct. That said, the Police Department and the City of Springfield have fully cooperated with this investigation and have made clear their commitment to genuine reform. We look forward to working with them to make Springfield a safer place.”
“I’ve said many times that being a police officer is the toughest job in America. We owe these public servants our respect and our support,” said Attorney General William Barr. “But with this high calling comes a tremendous responsibility to uphold the public trust. The Department of Justice is committed to supporting our law enforcement while holding departments accountable that violate this sacred trust. The Department will work with the City of Springfield and the Police Department to ensure that the police officers and people of Springfield get the law enforcement agency they deserve, one that effectively and constitutionally stops violent crime and narcotics trafficking.”
In the course of its investigation, the Justice Department conducted an in-depth review of SPD documents, including over 100,000 pages of written policies and procedures, training materials, and internal reports, data, video footage, and investigative files. Justice Department attorneys and investigators also conducted interviews with SPD officers, supervisors and command staff, and city officials, and met with community members and local advocates. SPD has cooperated with the Department’s investigation and has already begun to implement a number of remedial measures.
This investigation was conducted jointly by the U.S. Attorney’s Office for the District of Massachusetts and the Special Litigation Section of the Civil Rights Division, with the assistance of law enforcement experts.
Attached are the Department of Justice’s Report of its investigation of the Narcotics Bureau of the Springfield Police Department and a cover letter to Springfield government officials transmitting that Report.
The Civil Rights Unit of the U.S. Attorney’s Office was established in 2015 with the mission of enhancing federal civil rights enforcement. For more information on the Office’s civil rights efforts, please visit www.justice.gov/usao-ma/civil-rights.
Jackson Murder Suspect Released on Bond Multiple Times by Local Judges Arrested Under Project EJECT on Federal Charges for Illegally Possessing Firearm While Under IndictmentRead the Press Release
Jackson, Miss. – T’Quarius Jones, 21, of Jackson, Mississippi, has been charged with receipt of a firearm by a person under felony indictment, announced U.S. Attorney Mike Hurst and Special Agent in Charge Kurt Thielhorn with the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
On or about April 30, 2018, Jones was arrested for allegedly killing another man in Jackson by shooting him over 20 times with an AR15-style rifle. Although initially detained, Jones was later released by Hinds County Circuit Judge Tomie Green on a $20,000 bond.
On or about May 16, 2019, Jones was indicted by a Hinds County Grand Jury charging him with First Degree Murder. Jones was nonetheless allowed to remain free on a $20,000 bond by Hinds County Circuit Judge Adrienne Wooten. Judge Wooten also denied the local District Attorney’s request that the Defendant wear an ankle monitor.
On May 7, 2020, Jones was stopped by a Jackson Police Officer. Upon approaching the vehicle, the officer saw a black handgun in his vehicle. When asked about the weapon, Jones stated that the gun was his. That firearm, a Smith & Wesson 9mm pistol, was purchased by Jones’s father on March 14, 2020. Federal law prohibits individuals from receiving firearms while under indictment.
On May 27, 2020, the Hinds County District Attorney’s Office moved to revoke Jones’s bond. On or about June 19, 2020, Hinds County Circuit Judge Wooten denied the District Attorney’s Motion to Revoke Bond and allowed Jones to continue to remain free on $20,000 bond.
Jones is set to appear before Magistrate Judge F. Keith Ball at 2:30 p.m. today. Jones faces a maximum sentence of five years in federal prison and a $250,000 fine.
The public is reminded that a criminal complaint is merely a charge and should not be considered as evidence of guilt. Every defendant is presumed innocent until proven guilty in a court of law.
The case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives. It is being prosecuted by Assistant U.S. Attorney Christopher Wansley.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Inmate Sentenced for Running Crack Cocaine Distribution Conspiracy from PrisonRead the Press Release
PROVIDENCE, RI – An Adult Correctional Institutions (ACI) inmate who admitted to running a drug trafficking conspiracy from inside the prison that delivered crack cocaine to individuals outside of the prison was sentenced today to more than six years in federal prison.
James Gomes, 33, formerly of Pawtucket, previously admitted to the Court that he executed a scheme where fellow inmates provided him with prospective crack cocaine buyers outside of prison and their contact information. Gomes often passed the information through his mother, Lisa Ellis, 51, of Pawtucket, to two individuals, Joshua Moore, 19, formerly of Pawtucket, and Gerald Price, 34, of Cranston, who delivered the drugs to Gomes’ customers.
An investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Rhode Island Task Force determined that, using his prison call account and the accounts of others, Gomes frequently called his mother directing her to establish conference calls with Moore and Price. During the conference calls, Gomes directed Ellis, Moore and/or Price to sell crack cocaine to others. According to information presented to the court, Ellis allegedly kept a small portion of the proceeds from the sales for herself and deposited the rest of the money into Gomes’ ACI prison account.
Gomes pleaded guilty on October 15, 2019, to one count of conspiracy to distribute 28 grams or more of cocaine base, one count of distribution of 28 grams or more of cocaine base, and three counts of distribution of cocaine base.
At sentencing today, U.S. District Court Chief Judge John J. McConnell, Jr., sentenced Gomes to 77 months in federal prison, to be served concurrently with his present term of incarceration at the ACI, to be followed by 4 years of federal supervised release, announced United States Attorney Aaron L. Weisman and Special Agent in Charge of the Boston Field Division of the Bureau of Alcohol, Tobacco, Firearms and Explosives Kelly D. Brady.
Joshua Moore pleaded guilty on September 4, 2019, to conspiracy to distribute 28 grams or more of cocaine base and three counts of distribution of cocaine base. He was sentenced on November 21, 2019, to 60 months in federal prison to be followed by 4 years of supervised release.
Gerald Price pleaded guilty on November 8, 2019, to conspiracy to distribute 28 grams or more of cocaine base, distribution of 28 grams or more of cocaine base, and three counts of distribution of cocaine base. He was sentenced on February 24, 2020, to 60 months incarceration to be followed by 4 years of supervised release.
Lisa Ellis is awaiting trial in federal court on charges of conspiracy to distribute 28 grams or more of cocaine base and four counts of distribution of cocaine base.
An indictment is merely an allegation and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
The cases are being prosecuted by Assistant U.S. Attorney Milind M. Shah.
The ATF Rhode Island Task Force is comprised of agents and officers from ATF, Providence Police Department, Pawtucket Police Department, Cranston Police Department, Rhode Island State Police, and the Rhode Island Department of Corrections.
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Illegal Aliens from Guatemala Sentenced for Unlawfully Returning to the United States After Having Been RemovedRead the Press Release
Gulfport, Miss. – Flavio Hilario Perez-Hernandez, 28, and Amilcar Tomas-Aguilar, 28, both illegal aliens from Guatemala, have pled guilty and have been sentenced for unlawful reentry after deportation or removal, announced U.S. Attorney Mike Hurst.
Perez-Hernandez pled guilty today before Senior U.S. District Judge Louis Guirola, Jr., and was sentenced to “time served” (effectively 4 months and 19 days). Tomas-Aguilar pled guilty on June 24, 2020 before U.S. District Judge Sul Ozerden and was also sentenced to “time served” (effectively 4 months and 5 days). The defendants were also sentenced to one year of supervised release. The Department of Homeland Security will institute removal proceedings to remove them back to their home nation of Guatemala. If either of the two men were to unlawfully return again to the United States, during their term of supervised release, the offender could face a separate penalty consecutive to imprisonment from additional prosecution. As a result of this felony conviction, if Perez-Hernandez or Tomas-Aguilar were to unlawfully return again to the United States, they could face up to ten years in federal prison.
On February 20, 2020, a U.S. Border Patrol Agent assigned to the New Orleans Sector’s Gulfport Station, encountered Flavio Hilario Perez-Hernandez during a vehicle stop on Interstate 10 near Biloxi. Additionally, two passengers were in the vehicle, one of whom was Amilcar Tomas-Aguilar. All vehicle occupants were determined to be in the United States unlawfully, and were arrested and transported to the Gulfport Border Patrol Station for processing.
Further investigation revealed that both Perez-Hernandez and Tomas-Aguilar had returned to the United States after having been previously deported.
U.S. Attorney Hurst praised the investigation and interdiction of the Department of Homeland Security, and the United States Border Patrol. Assistant United States Attorney Stan Harris was the prosecutor for the case.
Hope Hospice Agrees to Pay $3.2 Million to Settle False Claims Act LiabilityRead the Press Release
Fort Myers, FL – United States Attorney Maria Chapa Lopez announces today that Hope Hospice has agreed to pay the United States $3.2 million to resolve allegations that it knowingly submitted false claims to Medicare, Medicaid, and TRICARE for hospice care provided to beneficiaries who did not qualify for the service. Founded in 1979, Hope Hospice is a subsidiary of Hope Healthcare. Hope Healthcare is a not-for-profit organization that provides a variety of programs for the elderly in Lee, Hendry, and Glades Counties, including hospice and palliative care services.
Hospice care is special end-of-life care for terminally ill patients intended to comfort the dying. Patients admitted to hospice care generally stop receiving coverage for traditional medical care intended to cure their illnesses and instead receive medical care focused on providing them with relief from the symptoms, pain, and stress of a terminal illness. Medicare patients are considered to be terminally ill and hospice eligible when they have a life expectancy of six months or less if their illness runs its normal course.
This settlement resolves allegations that Hope Hospice knowingly submitted false claims to Medicare for hospice services for patients who were not terminally ill. According to the settlement agreement, the United States alleged that from July 1, 2012 to June 30, 2016, Hope Hospice billed Medicare for four or more years of hospice care for certain patients who were not terminally ill for at least a portion of their greater than four year hospice stay.
The settlement also resolves allegations that Hope Hospice knowingly submitted false claims to Medicare, Medicaid, and TRICARE for general inpatient (“GIP”) hospice care in circumstances where that higher level of care was not medically necessary. Medicare, Medicaid, and TRICARE reimburse for four different levels of hospice care: routine home care, continuous home care, inpatient respite care, and GIP. GIP is for pain control or symptom management that cannot be managed in other settings, such as a patient’s home. GIP is intended to be short-term and is reimbursed at a higher rate than routine home care or inpatient respite care. According to the settlement agreement, the United States alleged that Hope Hospice knowingly submitted false claims from January 1, 2011 to June 30, 2016, to Medicare, Medicaid and TRICARE for unnecessary GIP hospice care for certain patients for whom Hope Hospice billed for over two weeks of GIP care.
As part of the settlement, Hope Hospice has agreed to enter into a Corporate Integrity Agreement (CIA) with HHS OIG. The CIA promotes compliance with the statutes, regulations, program requirements, and written directives of Medicare, Medicaid, and all other federal health care programs, specifically dealing with, among other things, the proper billing and submission of reimbursement claims by Hope Hospice.
“Our seniors rely on the hospice program to provide them with quality care, dignity and respect, when they are terminally ill and need end-of-life care,” said United States Attorney Maria Chapa Lopez. “This investigation and settlement demonstrates our continued commitment to combating health care fraud and protecting the financial solvency of this critical benefit.”
Attorney General Ashley Moody said, “Hospice care has brought peace of mind and reduced suffering for so many Floridians and their families. It is vital that we ensure this compassionate health care service is not exploited and that Medicaid recipients nearing the end of their journey are able to access these end-of-life resources to help bring dignity and peace to those with terminal illnesses. I am proud to work with our federal partners to preserve the integrity of hospice care in Florida.”
“Hospice care is designed to provide quality end-of-life care and is only medically appropriate – and reimbursable by Medicare – for terminally ill patients,” said Special Agent in Charge Omar Pérez Aybar of the U.S. Department of Health and Human Services Office of Inspector General (HHS OIG). “HHS OIG, in concert with our investigative and prosecutive partners, will continue to vigorously pursue and hold accountable providers who knowingly submit fraudulent claims to Medicare and Medicaid.”
"This settlement is representative of quality, uncompromising work by DCIS, our investigative partners and the U.S. Attorney's Office to ensure the integrity of the Department of Defense’s Healthcare system, commented Cynthia A. Bruce, Special Agent in Charge, Southeast Field Office, Defense Criminal Investigative Service. We are committed to fully investigating allegations of fraud, waste and abuse, which jeopardize our military families’ precious healthcare resources."
The settlement concludes a lawsuit originally filed in the United States District Court for the Middle District of Florida by Margaret Peters who formerly worked at Hope Hospice as the Director of Hospice Care. Peters sued under the qui tam, or whistleblower, provisions of the False Claims Act permitting a private citizen to sue on behalf of the United States for false claims and to share in the recovery. The case is captioned U.S. and the State of Florida ex rel. Margaret Peters v. Hope Hospice and Community Services, et al, No. 2:16-cv-6-FtM-99MRM. The Act also allows the United States to intervene and prosecute the action. Peters will receive 19% of the proceeds from the settlement with Hope Hospice.
The investigation was handled by the Fort Myers Division of the U.S. Attorney’s Office for the Middle District of Florida and Trial Attorney Holly H. Snow from the Civil Division’s Commercial Litigation Branch, with assistance from the U.S. Department of Health and Human Services – Office of Inspector General, Defense Criminal Investigative Service, and the State of Florida Medicaid Fraud Control Unit Civil Enforcement Bureau. The claims resolved by the settlement are allegations only, and there has been no determination of liability.
The government’s action in this matter illustrates the emphasis on combating health care fraud, and one of the most powerful tools in this effort is the False Claims Act. Tips from all sources about potential fraud, waste, abuse, and mismanagement can be reported to the Department of Health and Human Services, at 800-HHS-TIPS (800-447-8477).
Hattiesburg Nurse Sentenced to Prison for Mail Fraud in Connection with Compounding Pharmacy SchemeRead the Press Release
Hattiesburg, Miss. – Fallon Deneem Page, 37, of Hattiesburg, was sentenced today by Senior U.S. District Judge Keitih Starrett to serve 18 months in federal prison, followed by 3 years of supervised release, for mail fraud in connection with a widespread compounding pharmacy scheme, announced U.S. Attorney Mike Hurst, Special Agent in Charge Michelle Sutphin of the Federal Bureau of Investigation (“FBI”) in Mississippi, and Special Agent in Charge Cyndy Bruce of the Defense Criminal Investigative Service’s (“DCIS”) Southeast Field Office. Page was also ordered to pay a monetary judgment of $9,500.
In August 2014, Page agreed to be paid $100 per referral of individuals she could locate with health insurance benefits to Medical Solutions of Ocean Springs, a business owned by co-defendant Dr. Shahjahan Sultan. Once referred, Medical Solutions and a pharmacy located in Ocean Springs would determine whether the individual’s health insurance covered the cost of the expensive compounded medications prescribed by Dr. Sultan and dispensed by the pharmacy. If covered, Page and other nurses would perform cursory medical examinations of the insured individuals in public places, such as parking lots or gas stations, and on occasions, Page would falsify some of the patient assessment responses. Dr. Sultan would then prescribe the expensive compounded medications.
On at least one occasion, on October 23, 2014, Page knew that Dr. Sultan had not performed any medical assessment of an individual and merely prescribed the compounded medications and the pharmacy sent the compounded prescription via Federal Express to the individual. For prescribing the high adjudicating compound medication, Dr. Sultan was paid 35% by the pharmacy of what they made per prescription. Page knew that Dr. Sultan had not determined any medical necessity prior to prescribing the expensive compounded medication. In total, the individual’s insurance company paid $34,047.00 to the pharmacy.
On June 16, 2020, Dr. Sultan was sentenced to 48 months in federal prison followed by three years of supervised release. He was ordered to pay restitution of $4,102,634.65 to Express Scripts for the Tricare claims, $582,280.79 to CVS Caremark for and $115,611.03 to Catamaran. A money judgment of more than $2.3 million was also ordered.
The case was investigated by the FBI and DCIS. Assistant Chief Dustin M. Davis and Trial Attorney Sara E. Porter of the Criminal Division’s Fraud Section and Assistant U.S. Attorney Kathlyn R. Van Buskirk of the Southern District of Mississippi prosecuted the case.
Hartford Man Sentenced to More Than 11 Years for Distributing Fentanyl, Violating Supervised ReleaseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSEPH GRIFFIN, 43, of Hartford, was sentenced today by U.S. District Judge Michael P. Shea in Hartford to 138 months of imprisonment, followed by five years of supervised release, for distributing fentanyl and for violating the conditions of his supervised release from a prior federal conviction.
Judge Shea sentenced Griffin to 120 months of imprisonment for distributing fentanyl, and a consecutive 18 months of imprisonment for violating his supervised release.
According to court documents and statements made in court, Griffin was arrested on January 17, 2019, in Hartford, after investigators made a controlled purchase of more than five grams of fentanyl from him. Griffin possessed an additional two grams of fentanyl at the time of his arrest.
In January 2019, Griffin was on federal supervised release for a 2009 conviction for distributing crack cocaine. Griffin was sentenced, as a career offender, to 10 years of imprisonment and five years of supervised release for that offense. He was released from federal prison in December 2017.
On November 13, 2019, Griffin pleaded guilty to one count of possession with intent to distribute, and distribution of, fentanyl. He also admitted that he violated the conditions of his supervised release.
Griffin’s criminal history includes convictions for robbery, narcotics, larceny and assault offenses. While on supervised release, in addition to his federal arrest, Griffin was arrested three times for domestic violence offenses.
This matter was investigated by the Federal Bureau of Investigation, Hartford Police Department and U.S. Marshals Service. The case was prosecuted by Assistant U.S. Attorney David T. Huang and First Assistant U.S. Attorney Leonard C. Boyle.
Hartford Man Pleads Guilty to Fentanyl Distribution and Firearm Possession OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ROBERT ALLEN, 30, of Hartford, pleaded guilty today before U.S. District Judge Victor A. Bolden to fentanyl distribution and firearm possession offenses.
Pursuant to the Coronavirus Aid, Relief, and Economic Security Act (CARES Act), the court proceeding occurred via videoconference.
According to court documents and statements made in court, on November 23, 2019, Hartford Police conducted a traffic stop of a vehicle Allen was driving on Woodland Street. A search of the car revealed a loaded Ruger LCP .380 caliber handgun and approximately 48 wax paper sleeves containing a mixture of heroin and fentanyl. The firearm had been reported stolen in Louisiana.
Allen’s criminal history includes state convictions for assault, firearm, drug, larceny and witness tampering offenses. It is a violation of federal law for a person previously convicted of a felony offense to possess a firearm that has moved in interstate or foreign commerce.
Allen pleaded guilty to one count of possessing with intent to distribute fentanyl, which carries a maximum term of imprisonment of 20 years, and one count of possession of a firearm by a convicted felon. A sentencing date is not scheduled.
Allen is released on a $50,000 bond pending sentencing.
This case has been investigated by the Federal Bureau of Investigation’s Connecticut Violent Crime Task Force and the Hartford Police Department. The case is being prosecuted by Assistant U.S. Attorney Michael J. Gustafson.
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.
Grand Jury Returns IndictmentsRead the Press Release
MADISON, WIS. -- A federal grand jury in the Western District of Wisconsin, sitting in Madison, returned the following indictments today. You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
Madison Man Charged with CARES Act Fraud
Ahmad Kanan, also known as Ahmed Kanaan, 48, formerly of Madison, Wisconsin, is charged with wire fraud and money laundering. The indictment alleges that he committed wire fraud and money laundering in connection with applications for loans through the Paycheck Protection Program (PPP) of the Coronavirus Aid, Relief, and Economic Security (CARES) Act, a federal law enacted on March 27, 2020. PPP allowed qualifying small businesses to receive unsecured Small Business Administration guaranteed loans.
The indictment alleges that Kanan, acting as the Chief Executive Officer and 100% owner of Altin Labs, Inc., applied for two PPP loans totaling $119,560, and when asked as part of the application process whether he was subject to any criminal charges, he falsely answered no. The indictment alleges that Kanan was aware that on October 10, 2019, he had been indicted by a federal grand jury in the Western District of Wisconsin on charges of access device fraud and attempted access device fraud.
The indictment also charges Kanan with money laundering, alleging that he transferred $47,000 in fraudulently obtained PPP loan proceeds from the Altin Labs, Inc. bank account to his checking account.
If convicted, Kanan faces a maximum penalty of 20 years in federal prison on each count. The charges against him are the result of an investigation by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations and the Wisconsin Department of Justice Division of Criminal Investigation. Assistant U.S. Attorneys Zachary J. Corey and Meredith P. Duchemin are handling the prosecution.
Two Charged with Food Stamp Fraud
James Davis, 53, Port San Lucie, Florida, and Gary Baker, 49, Madison, Wisconsin, are charged with four counts of wire fraud and two counts of food stamp fraud. The indictment alleges that from January 2011 to April 2016, Davis and Baker used fraudulently obtained Supplemental Nutrition Assistance Program (SNAP) cards, commonly known as food stamps, to purchase food and other items for use at a food cart and a restaurant they operated in Madison, both named JD’s.
According to the indictment, in Wisconsin SNAP benefits are issued to qualified recipients through magnetically encoded cards that operate like debit cards. The indictment alleges that Davis and Baker acquired approximately 358 SNAP cards representing 254 different households in Wisconsin, and used the SNAP cards to purchase approximately $90,837 of food and other items at Sam’s Club in Madison. Specifically, the indictment charges them with four counts of wire fraud related to these purchases, and with two counts of presenting more than $100 worth of SNAP benefits belonging to a SNAP recipient for redemption at Sam’s Club.
If convicted, Davis and Baker face a maximum penalty of 20 years in federal prison on each wire fraud count and five years in prison on each food stamp fraud count. The charges against them are the result of an investigation by the U.S. Department of Agriculture, Office of Inspector General. Assistant U.S. Attorney Aaron D. Wegner is handling the prosecution.
Madison Man Charged with Extortion
Devonere Johnson, 28, Madison, Wisconsin, is charged with two counts of extortion in connection with threats made to Madison businesses. Johnson previously was charged with these offenses in a criminal complaint filed in U.S. District Court in Madison on June 26. Federal law requires that felony offenses charged in a criminal complaint subsequently be charged by an indictment returned by a grand jury.
The indictment alleges that Johnson attempted to obtain money and property by consent induced by the threatened use of force, violence, and fear. The indictment alleges that on June 22 and 23, 2020, Johnson threated that the windows of a business would be destroyed unless a person associated with the business made a payment to Johnson’s Venmo account. The second count of the indictment alleges that on June 22 and 23, 2020, Johnson threatened to shut down and destroy a second business unless Johnson and his associates were provided free food and beverages.
If convicted, Johnson faces a maximum penalty of 20 years in federal prison on each count. The charges against him are the result of an investigation by the Federal Bureau of Investigation and the Madison Police Department. Assistant U.S. Attorney Corey C. Stephan is handling the prosecution.
Lafayette County Man Charged with Receiving and Possessing Child Pornography
Alan J. Liphart, 36, Darlington, Wisconsin, is charged with receiving and possessing visual depictions of minors engaged in sexually explicit conduct. The indictment alleges that on September 7, 2015, Liphart received a child pornography image via text message, and that on May 25, 2020, he possessed a TracFone that contained child pornography depictions and that at least one of the depictions involved a minor who had not attained 12 years of age.
If convicted, Liphart faces a mandatory minimum penalty of five years and a maximum of 20 years in federal prison on the charge of receiving child pornography, and 10 years on the possession of child pornography charge. The charges against him are the result of an investigation by the Darlington Police Department, Lafayette County Sheriff’s Office, and Rock Island (Illinois) Police Department. Assistant U.S. Attorney Elizabeth Altman is handling the prosecution.
Altoona Man Previously Charged with Sex Trafficking Faces Additional Child Pornography Charges
Daniel Peggs, 33, Altoona, Wisconsin, is charged in a superseding indictment with sex trafficking a minor, two counts of producing child pornography, one count of possessing child pornography, and two counts of receiving child pornography. Peggs previously was charged in an indictment returned by the grand jury on February 12, 2020, with sex trafficking a minor and one count of producing child pornography.
The superseding indictment alleges that from October 2015 through May 2016, Peggs recruited a minor knowing that the minor would be caused to engage in a commercial sex act; that he produced two videos of sexually explicit conduct using the minor; that he possessed a computer hard drive that contained depictions of child pornography and that at least one of the depictions involved a minor who had not attained 12 years of age; and that twice he knowingly received child pornography images via text message.
If convicted, Peggs faces a mandatory minimum penalty of 10 years and a maximum of life in federal prison on the sex trafficking a minor charge, a mandatory minimum penalty of 15 years and a maximum of 30 years on each production of child pornography charge, a mandatory minimum of five years and a maximum of 20 years on each receiving child pornography charge, and a maximum of 20 years on the possession of child pornography charge.
Peggs’ trial is scheduled to take place on October 19, 2020, in U.S. District Court in Madison before Chief U.S. District Judge James D. Peterson.
The charges against Peggs are the result of an investigation by the Wisconsin Department of Justice Division of Criminal Investigation and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations. Assistant U.S. Attorney Julie S. Pfluger is handling the prosecution.
Madison Man Faces Drug & Gun Charges
Arwin C. Lacy, 29, Madison, Wisconsin, is charged with possessing cocaine with intent to distribute on June 18, 2020, and with possessing a loaded firearm in furtherance of that drug trafficking crime. The indictment also charges him with being a felon in possession of a firearm and ammunition, alleging that he possessed a loaded 9mm handgun and ammunition on June 18.
If convicted, Lacy faces a maximum penalty of 20 years in federal prison on the cocaine charge and 10 years on the felon in possession of a firearm and ammunition charge. Lacy faces a mandatory minimum penalty of five years in federal prison on the charge of possessing a firearm in furtherance of a drug trafficking crime; federal law requires that any penalty imposed for this charge be served consecutive to any penalty imposed on the possession of cocaine with intent to distribute charge.
The charges against Lacy are the result of an investigation by the Madison Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Steven P. Anderson is handling the prosecution.
The indictment charging Lacy has been brought as part of Project Safe Neighborhoods (PSN), the U.S. Justice Department’s program to reduce violent crime. The PSN approach emphasizes coordination between state and federal prosecutors and all levels of law enforcement to address gun crime, especially felons illegally possessing firearms and ammunition, and violent crimes and drug crimes that involve the use of firearms.
Gang Member and Convicted Felon Pleads Guilty to Illegal Gun PossessionRead the Press Release
NORFOLK, Va. – A Norfolk man pleaded guilty today to being a felon in possession of a firearm.
According to court documents, Davidro Leondre Smith, aka “Kastor Troy,” 30, is a five-time felon and member of the Norfolk-based Cream/200K/2K criminal street gang.
On July 26, 2019, Norfolk police officers attempted to conduct a traffic stop on a car driven by Smith, with fellow gang member Dequan McKee, aka “The General,” in the passenger seat. Smith refused to stop and led several police vehicles on a high-speed chase. During the pursuit, Smith maneuvered around police vehicles stopped in the middle of the road and at one point drove in the opposite lane facing oncoming traffic. Smith and McKee finally abandoned the car in an apartment-complex parking lot, and police officers chased them on foot. While running from one of the officers, Smith drew his gun, brandished it, and tried to throw it into one of the apartments, but it bounced off the rear screen door. He then fought the pursuing officer, and was arrested after backup arrived. The arresting officer recovered from Smith roughly 7.1 grams of marijuana and 62 pills of varying colors and sizes, separated into three bags. Lab results confirmed the presence of Oxycodone.
The officers also recovered McKee’s handgun, which had been lying underneath the car’s front passenger floor mat, and his phone, which had been sitting on the front passenger seat, unlocked and recording on Facebook Live. The footage shows McKee sitting in the car’s passenger seat with his gun between his legs. It also shows McKee’s and Smith’s reactions at the moment the officers turned on their emergency lights to initiate the traffic stop—as they panic and discuss throwing drugs out of one of the car windows. Facebook friends of McKee who were viewing the live recording posted messages encouraging Smith and McKee to do so.
Smith faces a maximum penalty of 10 years in prison when sentenced on November 10. 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.
The case was investigated as part of the Organized Crime Drug Enforcement Task Forces (OCDETF), Operation Bloodline. The OCDETF program is a federal multi-agency, multi-jurisdictional task force that supplies supplemental federal funding to federal and state agencies involved in the identification, investigation, and prosecution of major drug trafficking organizations. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division; and Larry D. Boone, Chief of Norfolk Police, made the announcement after U.S. Magistrate Judge Douglas Miller accepted the plea. Assistant U.S. Attorney William B. Jackson 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. 2:20-cr-018.
Gang Leader Sentenced to 16 Years in Federal Prison for Drug and Gun OffensesRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that WILSON VELEZ, also known as “Wiso,” 35, of Newington, was sentenced today by U.S. District Judge Jeffrey A. Meyer in New Haven to 192 months of imprisonment, followed by five years of supervised release, for gang-related narcotics and firearm offenses.
According to court documents and statements made in court, this matter stems from an investigation headed by the FBI’s Northern Connecticut Gang Task Force and the Hartford Police Department’s Vice, Intelligence and Narcotics Division targeting gang violence and narcotics trafficking in Hartford. Velez was a member of the Almighty Latin Kings Nation (“Latin Kings”) and had achieved the rank of a Regional Officer for Connecticut, the second highest-ranking Latin King in the state. The investigation revealed that Velez was distributing large quantities of heroin and fentanyl. Velez employed other Latin Kings and associates, his 18-year-old nephew and other family members, and others, including a juvenile, to process, package and distribute the drugs from apartment buildings on Hamilton Street and Elliot Street in Hartford. During the investigation, law enforcement conducted multiple controlled purchases of narcotics from Velez and other members of the drug trafficking organization.
On April 28, 2017, Velez orchestrated the armed confrontation of a rival drug dealer who was selling drugs in the area of Franklin Avenue and Barker Street. On that date, Velez and four other Latin Kings were involved in a gunfire exchange that left multiple participants wounded.
Velez was arrested on federal narcotics offenses on December 7, 2017, and was subsequently released on bond. While released, he continued his criminal activity, and also notified other gang members to the ongoing federal investigation. He has been detained since April 5, 2018, when his bond was revoked.
On May 1, 2018, a grand jury returned a 41-count indictment charging Velez and nine other members and associates of the Latin Kings. On February 22, 2019, Velez pleaded guilty to one count of conspiracy to distribute one kilogram or more of heroin and/or 400 grams or more of fentanyl, and one count of conspiracy to use and carry a firearm in relation to, and furtherance of, a drug trafficking crime.
U.S. Attorney Durham noted that federal prisoners are required to serve at least 85 percent of their prison term and are not eligible for parole.
The FBI 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 Brian P. Leaming.
Gang Leader Charged with Possession of Semi-Automatic WeaponRead the Press Release
NEWARK, N.J. – A high-ranking member of a set of the Bloods street gang will make his initial court appearance today on charges he possessed a weapon as a convicted felon, U.S. Attorney Craig Carpenito announced today.
Farod Baldwin, 37, of Newark, was arrested July 7, 2020, at the Betty Shabazz Village Housing Complex. He is charged by complaint with one count of unlawful possession of a firearm and ammunition by a convicted felon and is scheduled to appear by videoconference later today before U.S. Magistrate Judge Leda Dunn Wettre.
According to documents filed in this case and statements made in court:
Law enforcement officers were conducting surveillance in Newark when they observed Baldwin park a Jeep Grand Cherokee near an apartment. He removed a 9 mm semi-automatic pistol from the Jeep. Officers observed Baldwin tuck the firearm into his pants before entering the front door of an apartment. Law enforcement officers lawfully searched the apartment and recovered the firearm. Baldwin attempted to flee from the apartment but was apprehended. A further search of the apartment resulted in the seizure of approximately 20 jugs of suspected cocaine base, a bullet-proof vest, two high-capacity magazines, and various ammunition, including rifle ammunition.
Baldwin is allegedly a high-ranking member of a set of the national Bloods street gang known as Sex Money Murder (SMM). Members of SMM have been engaging in violent disputes with other gangs, have trafficked narcotics, and have committed various firearms offenses. Several recent violent crimes, including shootings and homicides, in Newark and elsewhere, are believed to be related to a dispute between SMM and rival gangs.
The firearms offense carries a maximum potential penalty of 10 years in prison, and a $250,000 fine.
U.S. Attorney Carpenito credited the Newark Department of Public Safety, under the direction of Director Anthony F. Ambrose; the Essex County Prosecutor’s Office, under the direction Acting Prosecutor Theodore N. Stephens II; and special agents of the Drug Enforcement Administration (DEA), under the direction of Special Agent in Charge Susan A. Gibson in Newark, with the investigation leading to the charge.
This investigation is part of the Violent Crime Initiative (VCI) in Newark. The Newark VCI was formed in August 2017 by the U.S. Attorney’s Office for the District of New Jersey, the Essex County Prosecutor’s Office, and the City of Newark’s Department of Public Safety for the sole purpose of combatting violent crime in and around the Newark. As part of this partnership, federal, state, county, and city agencies collaborate and pool resources to prosecute violent offenders who endanger the safety of the community. The VCI includes the U.S. Attorney’s Office, the DEA, the Bureau of Alcohol, Tobacco, Firearms, and Explosives, the Federal Bureau of Investigation, the U.S. Marshals, the Newark Department of Public Safety, the Essex County Prosecutor’s Office, the Essex County Sheriff’s Office, New Jersey State Parole Board, New Jersey State Police Regional Operations and Intelligence Center/Real Time Crime Center, and New Jersey Department of Corrections.
The government is represented by Assistant U.S. Attorney Mary E. Toscano, Deputy Chief of the Criminal Division in Newark, and Assistant U.S. Attorney Lauren Repole of the OCDETF Unit of the Criminal Division.
The charge and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Frankfort Restaurant Agrees to Remove Barriers to Access for People with DisabilitiesRead the Press Release
FRANKFORT, Ky. – The U.S Attorney’s Office for the Eastern District of Kentucky and the owner of Buddy’s Pizza, a Frankfort restaurant, have reached an agreement to improve accessibility to the restaurant, for people with disabilities, pursuant to the Americans with Disabilities Act (ADA).
The settlement agreement is between the United States, Buddy’s Pizza, LLC, and Crumbaugh, LLC, the owner of the Frankfort building where the restaurant is located. Under the agreement, an accessible entrance ramp will be installed at the main entrance and a new, accessible bathroom will be constructed. In addition, signage at the restaurant will be modified to comply with the ADA’s requirements.
“Making sure that individuals with disabilities have equal access to public places is not only the right thing to do, it is the law,” said Robert M. Duncan, Jr., U.S. Attorney for the Eastern District of Kentucky. “The Department of Justice is tasked with ensuring that the protections of the ADA are not hollow rights, and we will continue our efforts to confirm that places of public accommodation are accessible to everyone.”
This matter was handled by Assistant United States Attorneys Carrie Pond and Hydee Hawkins, as part of the Department of Justice’s civil rights enforcement efforts.
The year 2020 marks the 30th anniversary of the ADA. The Justice Department plays a central role in advancing the nation’s goal of equal opportunity, full participation, independent living, and economic self-sufficiency for people with disabilities. The Justice Department will continue to use its enforcement and technical assistance tools to eliminate unlawful discrimination against individuals with disabilities.
For additional information on the ADA or to file an online complaint, visit the ADA’s website at www.ada.gov.
The year 2020 also 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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Framingham Man Sentenced for Illegally Possessing Ammunition After Domestic Violence ConvictionRead the Press Release
BOSTON – A Framingham man, who was previously convicted of a domestic violence misdemeanor, was sentenced today in federal court in Boston in connection with illegally selling ammunition.
Julien King, 26, was sentenced by U.S. District Court Judge William G. Young to two years in prison and three years of supervised release. In March 2020, King pleaded guilty to one count of possession of ammunition after a domestic violence conviction.
On March 29, 2019, in broad daylight, King sold a .22 caliber bolt-action rifle and 45 pieces of .22 caliber ammunition to a confidential informant in exchange for $120 in Framingham. Just prior to the sale, King fired the rifle out a window of a residence. The sale was captured by recording. Due to a 2017 conviction of assault and battery on a family or household member, King is prohibited from possessing a firearm or ammunition.
United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Framingham Police Chief Steven Trask made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit prosecuted the case.
Former execs of Washington Court House DV shelter chargedRead the Press Release
CINCINNATI – The former executive director and bookkeeper of My Sister’s House, a domestic violence shelter in Washington Court House, were arrested today on charges contained in an indictment alleging that the two spent thousands of dollars intended for the operation of the shelter on personal expenses for themselves, including food, a trip to Disney World and Universal Studios for their daughters, and thousands of dollars in purchases from Avon, Thirty-One and iTunes.
Agents arrested Crystal Chrisman, 52, the former executive director of the shelter, at her home in Columbus, and Jaime Cardinal, 44, the shelter’s former bookkeeper, in Washington Court House. They were transported to federal court in Cincinnati for initial appearances and released by Magistrate Judge Stephanie Bowman until further court hearings are scheduled.
The indictment charges each defendant in Count One with conspiracy to commit theft concerning programs receiving federal funds, and in Count Two with theft concerning programs receiving federal funds. If convicted, the defendants face up to five years’ imprisonment on Count One and up to ten years imprisonment on Count Two, plus up to a $250,000 fine for each count. If convicted, the defendants could be ordered to pay full restitution of the amounts allegedly stolen, to forfeit any assets they bought with stolen funds and to serve a term of supervised release. The allegations relate to activity between January 2014 and October 2016.
“The indictment alleges that the purpose of the conspiracy was for the defendants to unlawfully enrich themselves by converting funds intended for the shelter to their personal use,” said David M. DeVillers, United States Attorney for the Southern District of Ohio. “They allegedly achieved their objective by misusing debit cards connected to shelter accounts for personal purchases at restaurants, auctions, craft stores, and bowling alleys among other places - including purchases made when few, if any, victims lived at the shelter.”
“These two individuals allegedly stole DOJ funds intended to help victims of domestic violence and used it for personal gain. The Department of Justice Office of the Inspector General is committed to deterring abuse of DOJ programs for victims of violence. We will continue to root out these kinds of selfish schemes,” said William J. Hannah, Special Agent in Charge of the Department of Justice Office of the Inspector General Chicago Field Office. The defendants allegedly committed the crimes between January 2014 and October 2016. My Sister’s House received more than $10,000 annually in federal grant funds, including grants under the Violence Against Women Act, the Family Violence Prevention and Services Act and the Victims of Crime Act. The grants are intended to be used to pay for salaries and benefits of staff and for shelter operations, including supplies and shelter maintenance.
David M. DeVillers, United States Attorney for the Southern District of Ohio; and the Department of Justice Office of the Inspector General announced the indictment. Assistant United States Attorney Julie Garcia is representing the United States in this case.
An indictment merely contains allegations, and the defendants are presumed innocent unless proven guilty in a court of law.
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Former Orange Acting Business Administrator Indicted on Corruption, Fraud, and Tax ChargesRead the Press Release
NEWARK, N.J. – The former acting business administrator for the Township of Orange, New Jersey, has been charged in a 28-count indictment with conspiracy, bribe-taking, money and property fraud, federal tax fraud, and making false statements in connection with a mortgage, U.S. Attorney Craig Carpenito announced today.
Willis Edwards III, 49, formerly of East Orange, New Jersey, and currently of Lithonia, Georgia, was charged with 14 counts of wire fraud, two counts of bribery in connection with the business of a federally funded local government, two counts of theft from a federally funded local government, two counts of mail fraud, two counts of false statements concerning a mortgage, one count of bribery in connection with the business of a federally funded local government and organization, one count of theft from a federally funded local government and organization, one count of conspiracy to commit wire fraud, one count of conspiracy to commit wire fraud and mail fraud, one count of conspiracy to defraud the United States and the IRS, and one count of filing a false tax return. A date for Edwards’ arraignment has not yet been scheduled.
According to documents filed in this case:
In January 2015, Edwards had his friend, Franklyn Ore, form Urban Partners LLC (Urban Partners), using cash provided by Edwards. During 2015, Edwards used Urban Partners to funnel to himself a stream of concealed kickbacks in exchange for Edwards’ official action as an Orange public official and assistance in the affairs of Orange and in violation of his duties in connection with:
- A Saturday literacy program for which Orange and the Orange Public Library were awarded a $50,000 Community Development Block Grant, funded by the U.S. Department of Housing and Urban Development (HUD) and administered by Essex County, to provide tutoring services for low and moderate-income families (the Saturday Literacy Program);
- A project for which an urban planning company located in Montclair, New Jersey, had received a one-year, $150,000 contract from Orange to provide professional economic planning services to analyze the conditions within the Central Orange Redevelopment Area (the “redevelopment project”); and
- A project to acquire the Orange YWCA building and develop it into a community recreation center.
The Saturday Literacy Program Fraud and Kickbacks
Despite knowing that Urban Partners did not provide any services to the library in connection with the Saturday Literacy Program, Edwards caused false and fraudulent vouchers to be submitted in March 2015 and in May 2015 to Essex County seeking Saturday literacy grant funds for expenses purportedly paid to Urban Partners. In support of the fraudulent vouchers, Edwards had phony documents submitted to Essex County, including: (1) a sham contract between Urban Partners and the library, backdated to over six months before Urban Partners had been formed, (2) false statistical data about the children who supposedly attended the literacy sessions, (3) fake Urban Partners invoices, and (4) backdated library checks payable to Urban Partners that had not been negotiated when submitted to Essex County to give the false impression that the Library had paid Urban Partners, when it had not done so.
Between April 2015 and June 2015, Essex County provided the Library with $50,000 in HUD funds for the Saturday Literacy Program. Between May 2015 and August 2015, Edwards caused the library to pay Urban Partners approximately $36,000, despite knowing that Urban Partners had not provided the library with any services in connection with the Saturday Literacy Program. Edwards received kickbacks from Ore from the money paid to Urban Partners by the library. At Edwards’s direction, Ore also provided a portion of the proceeds from the library to an associate of Edwards. Ore spent the remaining proceeds for his own personal benefit.
The Redevelopment Project Fraud and Kickbacks
Edwards used his influence as an Orange public official to arrange for the planning company to hire Urban Partners after the planning company had received its contract with Orange. Ore provided services to the Planning Committee and, between August 2015 and February 2016, the planning company, which was receiving payments from Orange, paid Urban Partners $33,220. Edwards received kickbacks from Ore from the money that the planning company paid to Urban Partners.
The YWCA Project Fraud and Kickback
In December 2015, aware that his resignation as an Orange public official would become effective on Dec. 31, 2015, Edwards took further steps to use his position for corrupt and fraudulent purposes. Edwards advised Ore that Edwards had access to Orange discretionary funds and wanted to use them by the end of the year. At Edwards’s instruction, Ore generated and submitted a fraudulent invoice from Urban Partners to Orange, billing Orange $16,800 for services purportedly related to the YWCA Project. Edwards, knowing that no services has been rendered, approved the issuance of a purchase order and Orange paid Urban Partners $16,800. On Dec. 30, 2015, Edwards received a substantial amount of the $16,800 in a kickback from Ore.
The Plagiarism Scheme
From June 2015 to June 2016, Edwards duped Orange into making payments to a consultant, which were, at least in part, for academic papers that the consultant arranged to have written for Edwards. Edwards, who was enrolled in a graduate program at a university in New Jersey, plagiarized the papers that Orange paid for and passed them off as his own work. Between December 2015 and March 2016, with Edwards’s approval, the consultant submitted three fraudulent invoices to Orange calling for payments of $12,000, $16,000, and $10,000 for purported professional services. Orange paid the money to the consultant and Edwards received from the consultant academic papers that had been written for him. On June 20, 2016, Edwards submitted several papers which were virtually identical to the papers that he had received from the consultant. In emails to the professors, to which the papers were attached, Edwards asked the professors to grade the attached outstanding assignments so that he did “not receive a failing grade for all of the hard work that [he had] done.”
The Graduate School Payments Scheme
The indictment also charges Edwards with fraud in connection with funding his graduate studies. Between December 2015 and July 2016, Edwards engaged in a scheme to defraud Orange of $25,142 in payments to himself and University 1 related to Edwards’s graduate courses there and at another university in New Jersey through the use of a fraudulent approval memorandum. In February 2016, when Edwards was no longer an Orange public official, he dictated the following language to an employee in Orange’s Finance Department (Orange Employee 1) for use in a fraudulent approval memorandum addressed to Edwards: “As per the employee handbook, this memorandum serves as consent for you [Edwards] to enroll in the courses as discussed. Please forward the invoices to process for payment.” Edwards instructed Orange Employee 1 to backdate the memorandum to Aug. 17, 2015, to give the false impression that Edwards had received approval for Orange to pay for academic courses in which he had enrolled.
On Feb. 10, 2016, at Edwards’s direction, Orange Employee 1 sent an email to a senior public official in the office of the Mayor of Orange (Orange Employee 2) containing a draft of the fraudulent approval memorandum. Orange Employee 2 later provided Orange Employee 1 with a final copy of the fraudulent approval memorandum on Orange letterhead, purportedly from the Mayor of Orange, addressed to Edwards, and backdated to Aug. 17, 2015. It included the language that Edwards dictated to Orange Employee 1 and bore the stamp of the initials of the Mayor of Orange to give the false impression that the Mayor of Orange had approved Edwards’s reimbursement for the courses, when the Mayor of Orange had not done so.
Federal Tax Fraud
Edwards also caused a false 2015 federal tax return to be filed with the IRS. From January 2016 to April 15, 2016, Edwards conspired with his tax return preparer, Zenobia Williams, to defraud the United States and the IRS by claiming bogus labor expenses of $27,055 for his business, Natural Care Municipal Cleaning Services LLC (Natural Care), on that tax return. In addition to falsifying business expenses, Edwards also underreported Natural Care’s income. He reported $40,000 in gross receipts, when Natural Care actually received approximately $52,000 in payments from a New Jersey law firm and approximately $32,500 in payments from a local Board of Education. Edwards also did not report the ill-gotten gains that he obtained in 2015 in connection with the Saturday Literacy Program, the Redevelopment Project, and the YWCA Project.
Making False Statements in Connection with a Mortgage
In 2014, Edwards also made false statements to obtain mortgage relief on a $248,000 30-year mortgage loan that he obtained in 2005 to purchase a residence in East Orange, New Jersey. As of Feb. 11, 2014, Edwards had fallen substantially in arrears on his mortgage payments. On April 7, 2014, Edwards submitted a completed Request for Mortgage Assistance form to the mortgage servicer. Edwards disclosed that he was employed by Orange and falsely indicated that he did not have a second employer, when, at the time, he also was employed by a New Jersey County College at an annual salary of approximately $45,000. On Oct. 8, 2014, Edwards and the mortgage servicer entered into a Home Affordable Modification Agreement. In reliance upon false representations made by Edwards, the mortgage servicer provided the following benefits, among others, to Edwards: (1) $95,590 of Edwards’s debt was forgiven between July 2015 and July 2017, and (2) the real estate property was taken out of foreclosure.
The charges carry the following maximum potential penalties:
Offenses Charged
Maximum Term of Imprisonment
Maximum Fine
Conspiracy to commit wire fraud or wire fraud and mail fraud
20 years
$250,000
Wire fraud
20 years
$250,000
Mail fraud
20 years
$250,000
Theft from a federally-funded local government
10 years
$250,000
Bribery in connection with the business of a federally funded local government
10 years
$250,000
Conspiracy to defraud the United States and the IRS
Five years
$250,000
Subscribing to a false tax return
Three years
$250,000
False statement concerning a mortgage
30 years
$1,000,000
On Jan. 13, 2020, Ore entered a guilty plea to an information charging offenses related to the Saturday Literacy Program, the Redevelopment Project, and the YWCA Project. On Feb. 13, 2020, Timur Davis, the former Executive Director of the Orange Library, entered a guilty plea to an information charging an offense related to the Saturday Literacy Program and another HUD-funded program to replace an HVAC/Chiller unit at the Library. On Dec. 30, 2019, Williams entered a guilty plea to conspiring to defraud the United States and the IRS.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Charge Joe Denahan in Newark; special agents of the U.S. Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent in Charge Christina Scaringi; and special agents of IRS-Criminal Investigation, under the direction of Special Agent in Charge Michael Montanez with the investigation leading to the charges.
The government is represented by Assistant U.S. Attorneys Cari Fais and J Fortier Imbert of the U.S. Attorney’s Office’s Special Prosecutions Division.
The charges and allegations in the indictment are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Former Labor Union President Sentenced for Embezzlement of Union AssetsRead the Press Release
RALEIGH, N.C. – A Bladenboro man was sentenced today to 14 months in prison and ordered to pay $213,201.05 in restitution for Conspiracy to Commit Embezzlement of Labor Union Assets, and Embezzlement of Labor Union assets.
According to court documents, Keith Alan Ludlum, 48, served as President of Local 1208, a Bladenboro, NC chapter of the United Food and Commercial Workers International Union (“UFCW”). Local 1208 encompasses North and South Carolina and is has approximately 3600 active members.
In 2014, the UFCW initiated an audit of Local 1208 after receiving complaints from union members regarding the theft and misuse of union funds by Ludlum and then-Secretary/Treasurer Terry Slaughter. The audit and a subsequent criminal investigation revealed that between from January 2012 through March 2015, Ludlum embezzled approximately $136,202.29 from the union by receiving more than 20 unauthorized checks and making 420 unauthorized purchases with his union debit card. Some of the purchases included vacations, hunting supplies, firearms, ATVs, childcare, medical appointments, ATM withdrawals, personal car insurance, restaurants, and rental cars. In addition, Ludlum made at least 150 unauthorized check payments totaling $76,998.76 to family, friends and other union members. During the same period, Slaughter embezzled $62,315.38, which included checks for unauthorized salary and travel reimbursement and 161 charges to a Local 1208 debit card.
On February 19, 2019, Slaughter pled guilty to Embezzlement of Labor Union Assets. On February 26, 2020, he was sentenced to 6 months custody, 3 years supervised release, and ordered to pay $62,315.38 restitution.
H. Craig Neel, District Director, of the Office of Labor-Management Standards (OLMS) stated: “Safeguarding financial integrity and combating financial malfeasance in labor unions is a very high priority for OLMS. Ludlum betrayed the trust of the union membership who rightfully expected him, as a union official, to protect and safeguard their union’s funds and assets. The financial malfeasance was discovered by the local union and reported to OLMS. OLMS and the U.S. Attorney’s Office were able to fully investigate and bring about justice. This sentencing sends a clear message that OLMS and the U.S. Attorney’s Office will fully investigate and seek justice when anyone attempts to use their union position for personal financial gain at the expense of union members.”
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Chief U.S. District Judge Terrence W. Boyle. The United States Department of Labor, Office of Labor Management Standards investigated the case and Assistant U.S. Attorney Toby Lathan 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. 7:19-cr-00068-BO.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Former Harrison County Sheriff’s Deputy sentenced for drug chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Former Harrison County Sheriff’s Deputy Timothy Rock, of Clarksburg, West Virginia, was sentenced today to 58 months and seven days for drug charges, U.S. Attorney Bill Powell announced.
“The rule of law will be applied no matter what position you hold. The defendant breached the trust bestowed upon him and broke the law. He is now being held accountable for his actions. Our office will continue to prosecute cases involving the breach of public trust and corruption,” said Powell.
After a three-day trial in November 2019, Rock, age 42, was found guilty of four counts of “Distribution of Heroin.” Rock distributed heroin in Harrison County in July, September, and October 2016.
At trial, three former confidential informants testified that Rock gave them heroin on dozens of occasions, most often by letting them keep a portion of heroin purchased in law enforcement monitored drug transactions. Two of the informants directly received uniquely packaged heroin labeled “FLIGHT 18” from Rock on other occasions. Trial evidence established that Rock acquired the FLIGHT 18 heroin from the evidence lockers at the now defunct Street Crimes and Drug Unit of the Harrison County Sheriff’s Office.
Other evidence demonstrated that Rock falsified sheriff’s department and court records to conceal his distribution of heroin to informants, and that he violated numerous other standard protocols with respect to managing informants, tracking government funds, securing evidence, and ensuring officer safety.
The judge ordered the sentence to run concurrently with a sentence imposed in Harrison County Circuit Court in a related state prosecution.
Assistant U.S. Attorneys Andrew R. Cogar and Zelda E. Wesley prosecuted the case on behalf of the government. The Federal Bureau of Investigation and the West Virginia State Police investigated.
Senior U.S. District Judge Irene M. Keeley presided.
Floridian Guilty of Counterfeit Check Scheme Sentenced to Prison, Ordered to Pay $962KRead the Press Release
PITTSBURGH - A resident of Florida, has been sentenced in federal court to 41 months’ imprisonment, to be followed by a two-year term of supervised release, and ordered to pay $962,840.47 on his conviction of conspiracy to pass counterfeit checks and possession of stolen mail, United States Attorney Scott W. Brady announced today.
United States District Judge Marylyn J. Horan imposed the sentence on Brian Omar Campbell a/k/a Vincent Hugo a/k/a Troy Crimson on July 7, 2020.
According to information presented to the court, Campbell and two conspirators flew to Pittsburgh in October 2017 and rented a motel room in North Fayette Township. Afterwards, the group stole outgoing mail from residential mailboxes and opened the mail. If the mail contained a check, they prepared counterfeit checks using the account information from the purloined check. They then used the counterfeit checks to purchase merchandise from stores located in and around the Mall at Robinson. The conspirators targeted national chains with the intention of obtaining a cash refund for ill-gotten merchandise at counterpart stores located in another state. Campbell’s sentence under federal guidelines called for a term of imprisonment of between 41 and 51 months. Based on Campbell’s criminal history and the serious nature of the offense, the government requested a sentence within the advisory range. Campbell requested a lesser sentence based on his health. At the sentencing hearing, the government opposed this request on the basis of the risk of recidivism Campbell posed.
Prior to imposing sentence, Judge Horan denied Campbell’s request and imposed a sentence within the advisory range.
Assistant United States Attorney Michael Leo Ivory prosecuted this case on behalf of the government.
United States Attorney Brady commended the United States Postal Inspection Service and North Fayette Township Police Department for the investigation leading to the successful prosecution of Campbell.
Florida Convicted Felon, Caught with Six Long Guns in Georgia, Pleads Guilty for Illegally Possessing FirearmsRead the Press Release
VALDOSTA, Ga. – A Florida convicted felon caught traveling in South Georgia with six illegal long guns pleaded guilty for his crime in federal court Tuesday, said Charlie Peeler, the United States Attorney for the Middle District of Georgia. Leo Edwin Haney, 30, of Homestead, Florida, pleaded guilty to one count possession of a firearm by a convicted felon before U.S. District Judge Hugh Lawson on Tuesday, July 7. Haney, who has prior convictions in Florida for attempted burglary and possession of a firearm by a convicted felon, is facing a maximum sentence of ten years in prison, a maximum fine of $250,000 and three years supervised release. There is no parole in the federal system. A sentencing date has not been scheduled.
Haney was pulled over by the Adel Police Department on August 16, 2018. A K9 team conducted a free air sniff of Haney’s vehicle and alerted positively. Officers found a marijuana test kit, several packages of cigarillo wrappers, two gun barrels and six long guns, which were hidden in the spare tire compartment of the vehicle under bags of clothing and other personal items. Haney admitted he knew the guns were there, and that it was illegal for him to have firearms. Haney was previously convicted of attempted burglary in the 16th Judicial Circuit, in Monroe County, Florida on July 30, 2007 and possession of a firearm by a convicted felon in the Eighth Judicial Circuit, Alachua County, Florida on March 26, 2013.
“Removing illegal weapons from the hands of convicted felons is a critical part of a common-sense strategy to decrease violent crime, gangs and drug trafficking across the Middle District of Georgia. We will prosecute convicted felons caught with firearms,” said U.S. Attorney Charlie Peeler. “I want to thank the Adel Police Department and the FBI for their good work in our shared commitment to make our communities safer.”
This case is part of Project Safe Neighborhoods (PSN), the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
The case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see https://www.justice.gov/archives/projectguardian.
The case was investigated by the Adel County Police Department and FBI. Assistant U.S. Attorney Crawford Seals is prosecuting the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362.
Federal Grand Jury Indictments AnnouncedRead the Press Release
TULSA, Okla. – United States Attorney Trent Shores announced today the results of the July 2020 Federal Grand Jury B.
The following individuals have been charged with violations of United States law in indictments returned by the Grand Jury. The return of an indictment is a method of informing a defendant of alleged violations of federal law, which must be proven in a court of law beyond a reasonable doubt to overcome a defendant’s presumption of innocence.
Ryan Andy Cuevas. Financial Institution Fraud; Aggravated Identity Theft; Fraudulent Use of a Social Security Number; Possession of a Stolen Motor Vehicle. Cuevas, 32, of Moreno Valley, California, is charged with financial institution fraud, aggravated identity theft, fraudulent use of a social security number, and possession of a stolen motor vehicle. According to court documents, Cuevas fraudulently using other people’s identities when he purchased two vehicles and attempted to purchase a third vehicle. See the criminal complaint press release here to learn more about the crimes. The Social Security Administration Office of Inspector General, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the Bartlesville Police Department are the investigative agencies.
Carlos Alberto Jimenez Dorantes (aka “David Isiordia Pena”); Kevin Antonio Cardona Virgen (aka “Saul Davila Cobos” and “Miguel”); and Jose de Jesus Ramirez Reyes. Drug Conspiracy; Distribution of Heroin; Possession of Heroin With Intent to Distribute. (superseding) Carlos Alberto Jimenez Dorantes, age unknown, of Tulsa; Kevin Antonio Cardona Virgen, 24; and Jose de Jesus Ramirez Reyes, 50, are charged with conspiring to possess with intent to distribute and with distributing heroin. Jimenez and Cardona are also charged with knowingly distributing heroin. Finally, Jimenez intentionally possessed with intent to distribute 1 kilogram or more of heroin. The Drug Enforcement Administration, Tulsa Police Department and Yavapai County Sheriff’s Office in Arizona are the investigative agencies.
Ramiro Gonzalez-Sanchez. Unlawful Reentry of a Removed Alien. Gonzalez-Sanchez, 32, of Tulsa, is charged with reentry of a removed alien, having returned to the United States unlawfully after being deported Sept. 15, 2011, at Brownsville, Texas. U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations and the Tulsa Police Department are the investigative agencies.
Benjamin Hayford. Financial Institution Fraud; False Statements to a Financial Institution. Hayford, 32, of Centerton, Arkansas, allegedly filed fraudulent bank loan applications seeking more than $8 million in forgivable loans guaranteed by the Small Business Administration (SBA) under the Coronavirus Aid, Relief, and Economic Security (CARES) Act. Hayford allegedly sought millions of dollars in forgivable loans guaranteed by the SBA from multiple banks by claiming fictitious payroll expenses. To support his applications, Hayford allegedly provided lenders with fraudulent payroll documentation purporting to establish payroll expenses that were, in fact, non-existent. In addition, Hayford represented to a financial institution that the Limited Liability Partnership for which he applied for relief was established in January 2020 and was operating as of Feb. 15, 2020. In fact, a search of the contents of Hayford’s email account revealed that Hayford did not create the partnership until April 2020, several days before he began applying for Paycheck Protection Program (PPP) loans. The Federal Housing Finance Agency Office of Inspector General, Small Business Administration Office of Inspector General, and the Federal Deposit Insurance Corporation Office of Inspector General are the investigative agencies.
Donald Eugene Knight, Jr. Felon in Possession of a Firearm; Felon in Possession of Ammunition. Knight Jr., 46, of Tulsa, is charged with being a felon in possession of a Jimenez Arms Inc., .22 caliber semi-automatic pistol and ammunition. Knight is a 12-time convicted felon. The Tulsa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Victor Alfonso Martinez-Lopez. Possession of Firearm and Ammunition by Alien Illegally and Unlawfully in the United States. Martinez-Lopez, 31, of Tulsa, is charged with being an alien illegally and unlawfully in the United States in possession of a Beretta USA Corp., 9 mm Luger caliber semi-automatic pistol and ammunition. The Tulsa Police Department, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, and the Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Christopher Jeremy McConnell. Wire Fraud; Engaging in Unlawful Monetary Transaction (superseding). McConnell, 34, of Tulsa, is charged with five counts of wire fraud and one count of making an unlawful monetary transaction as a part of a scheme to defraud a coworker. McConnell is alleged to have become friends with the victim after the loss of her spouse. According to the indictment, McConnell devised a scheme to defraud the coworker of funds from an IRA, worth $90,000. He convinced the victim to transfer the IRA funds into her personal Chase bank account then $80,200 into his personal Bank of America account. He told the victim he would act as her broker and invest the funds in “Euro-Dollars” and possibly gold and silver for her financial benefit and security. The indictment states that in May and June 2017, McConnell only invested approximately $12,500 of the victim’s funds. Unbeknownst to the victim, McConnell allegedly spent the rest of her funds on his own personal expenses, including dining, travel, retail items, gaming, and cash withdrawals. The FBI is the investigative agency.
Kory Dwayne McCormick. Felon in Possession of Firearms and Ammunition; Possession of Firearms and Ammunition After Conviction for Misdemeanor Crime of Domestic Violence. McCormick, 39, of Drumright, is charged with being a felon in possession of a Taurus .40 S&W caliber pistol, a Sturm, Ruger & Co., Inc. .22 caliber long rifle, and 104 rounds of associated ammunition. McCormick was previously convicted of eight felonies. McCormick is also charged with possessing firearms and ammunition after a 2016 conviction for misdemeanor crime of domestic violence. The Drumright Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Ronald Alexander Paz-Rodriguez (aka “Ronald Rodriguez-Paz”) and Eva Estrada Juarez. Obtaining Forced Labor; Benefiting From Forced Labor; Involuntary Servitude; Trafficking With Respect to Peonage, Slavery, Involuntary Servitude, and Forced Labor. Paz-Rodriguez, 36, and Juarez, 29, of Tulsa, aided and abetted each other in obtaining the labor and services of a minor child through 1. force, threats of force, physical restraint and threats of physical restraint; 2. serious harm and threats to seriously harm; 3. the abuse and threatened abuse of the law and legal process; and 4. multiple schemes to cause the victim to believe she would suffer serious harm if she did not perform the labor and services. The two are also charged with benefiting financially as a result of the forced labor; holding the minor to a condition of involuntary servitude; and recruiting, harboring, transporting, providing and obtaining the minor child for labor and services. The Tulsa Police Department and U.S. Immigration and Customs Enforcement’s Homeland Security Investigations are conducting are the investigative agencies.
Trentin Anton Richardson. Obstructing, Delaying and Affecting Commerce by Robbery; Carrying, Brandishing, Using, and Discharging a Firearm During and in Relation to a Crime of Violence. Richardson, 20, of Beggs, is charged with robbing a Dollar General Store in Sapulpa on June 4, 2020. He is also charged with carrying, brandishing, using and discharging a Ruger 9 mm semi-automatic pistol during and in relation to the crime. The Sapulpa Police Department and Bureau of Alcohol, Tobacco, Firearms and Explosives are the investigative agencies.
Brian Michael Rogers. Possession of an Unregistered Destructive Device. Rogers, 37, of Tulsa, is charged with knowingly possessing a pipe bomb which had not been registered to him in the National Firearms Registration and Transfer Record. The Bureau of Alcohol, Tobacco, Firearms and Explosives is the investigative agencies.
Anthony Morgan Stephens, Leslie Lynn Wilson, Louis Fuque Kent, and Joe Allan Bounds. Conspiracy (Count 1); Aggravated Identity Theft (Counts 2-29); Obtaining Information From Protected Computer (Count 30). (superseding) Stephens, 37, of Wichita Falls, Texas; Wilson, 41, of Wichita Falls, Texas; Kent, 77, of Wichita Falls, Texas; and Bounds, 68, of Electra, Texas, are charged with conspiracy to steal in excess of $1,000 from Indian gaming establishments operated by the Muscogee (Creek) Nation and Quapaw Nation of Oklahoma. Stephens, Wilson and Bounds are also charged with aggravated identity theft. Stephens is also charged with obtaining information from a protected computer.
On July 24, 2019, Stephens accessed the mobile application for the Downstream Casino player’s club and created false accounts seeking to obtain reward points that were applied to actual customers’ accounts from the Downstream Casino’s “refer a friend” promotion. From July 28 to July 31, 2019, Stephens, Wilson, Kent and another individual, Vickie Smith, used counterfeit casino player’s cards utilizing the reward points previously placed on the card by fraudulent means. In August 2019, Stephens accessed the River Spirit’s player’s card database and obtained casino customers’ names, player’s card numbers, and points. He then created counterfeit player’s cards that contained the customers’ player’s club information. On August 2, 2019, Stephens and Smith used the counterfeit cards and actual customers’ personal identification numbers (PINs) to access points from the accounts of those customers at River Spirit Casino in Tulsa. From Aug. 7 to Aug. 8, 2019, Stephens and Wilson stayed at the River Spirit Casino hotel and used counterfeit casino player’s cards and actual customers’ PINs to access point from the accounts of actual customers at the casino. On Sept. 6, 2019, Stephens, Kent, and Bounds used the counterfeit cards and actual customer PINs to access customers’ accounts at the Creek Nation Casino in Bristow. Muscogee (Creek) Nation Lighthorse Tribal Police and the FBI conducted the investigation.
Father and Sons Charged in Miami Federal Court with Selling Toxic Bleach as Fake “Miracle” Cure for Covid-19 and Violating Court OrdersRead the Press Release
Defendants Allegedly Attempted to Avoid Government Regulation by Selling Products Through a Company They Deceptively Named Genesis II Church
Miami, Fl. – Federal prosecutors in Miami have charged four Florida residents who allegedly marketed “Miracle Mineral Solution,” a toxic bleach, as a cure for COVID-19, with conspiracy to defraud the United States, conspiracy to violate the Federal Food, Drug and Cosmetic Act, and criminal contempt.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and Catherine Hermsen, Assistant Commissioner of the FDA’s Office of Criminal Investigations, made the announcement.
According to the criminal complaint affidavit, Mark Grenon, 62, and his sons, Jonathan Grenon, 34, Jordan Grenon, 26, and Joseph Grenon, 32, all of Bradenton, Florida, manufacture, promote, and sell Miracle Mineral Solution (“MMS”), a chemical solution containing sodium chlorite and water. The Grenons allegedly directed their customers to ingest MMS orally, which causes the solution to become chlorine dioxide, a powerful bleach, typically used for industrial water treatment or bleaching textiles, pulp, and paper. FDA has received reports of people requiring hospitalizations, developing life-threatening conditions, and dying after drinking MMS.
According to the affidavit, the Grenons claim that MMS can treat, prevent, and cure COVID-19. The FDA, however, has not approved MMS for treatment of COVID-19, or for any other use. Rather, in prior official warning statements, the FDA has strongly urged consumers not to purchase or use MMS, explaining that drinking MMS is the same as drinking bleach and can cause dangerous side effects, including severe vomiting, diarrhea, and life-threatening low blood pressure. See https://www.fda.gov/consumers/consumer-updates/danger-dont-drink-miracle-mineral-solution-or-similar-products.
The affidavit also alleges that, before marketing MMS as a cure for COVID-19, the Grenons marketed MMS as a miracle cure-all for dozens of other serious diseases and disorders, including cancer, Alzheimer’s, autism, multiple sclerosis, and HIV/AIDS, even though the FDA had not approved MMS for any use. The Grenons allegedly sold tens of thousands of bottles of MMS nationwide, including to consumers throughout South Florida. They sold this dangerous product under the guise of Genesis II Church of Health and Healing (“Genesis”), an entity they allegedly created in an attempt to avoid government regulation of MMS. According to the charging documents, Genesis’ own websites describe Genesis as a “non-religious church,” and Defendant Mark Grenon, the co-founder of Genesis, has repeatedly acknowledged that Genesis “has nothing to do with religion,” and that he founded Genesis to “legalize the use of MMS” and avoid “going [ ] to jail.”
In addition to charging these defendants with federal conspiracy, the complaint also charges the Grenons with criminal contempt. The United States previously filed a civil case against the defendants and Genesis II Church of Health and Healing. See United States v. Genesis II Church of Health and Healing, et al., Case No. 20-21601-CV-WILLIAMS. In that civil case, the United States obtained court orders halting the Grenons’ distribution of MMS. The criminal charges against the Grenons allege that they willfully violated these court orders. According to the complaint affidavit, the Grenons sent letters to the judge presiding over the civil case saying that they would not comply with the Court’s orders. The Grenons also threatened violence in the letters. The criminal complaint affidavit quotes from these letters.
“We continue to protect the public from criminal conduct that takes advantage of the COVID-19 pandemic,” said Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida. “Not only is this MMS product toxic, but its distribution and use may prevent those who are sick from receiving the legitimate healthcare they need. A United States District Court already has ordered the defendants to stop distributing this product; we will not sit idly by as individuals purposefully violate Court orders and put the public in danger.”
“Making claims that unproven drugs, especially potentially dangerous and unapproved chlorine dioxide products, can cure or prevent COVID-19 or any other disease is unacceptable. The Genesis II Church of Health and Healing has actively and deliberately placed consumers at risk with their fraudulent Miracle Mineral Solution and Americans expect and deserve medical treatments that have been scientifically proven to be safe and effective,” said Catherine Hermsen, Assistant Commissioner of the FDA’s Office of Criminal Investigations. “We commend the efforts of our law enforcement partners for vigorously investigating this matter. The FDA will continue our efforts to make sure these and other like-minded sellers do not jeopardize the health of Americans during this pandemic and in the future.”
U.S. Attorney Fajardo Orshan commended the efforts of the FDA’s Office of Criminal Investigations, particularly its Miami Field Office. Assistant United States Attorneys Michael B. Homer and John Shipley are prosecuting this case.
A criminal complaint is a charging instrument containing allegations. A defendant is presumed innocent unless and until proven guilty in a court of law.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov, under case number 20-MJ-03050.
Essex County Man Charged in Large-Scale Car Theft SchemeRead the Press Release
NEWARK, N.J. –An Essex County, New Jersey, man has been arrested and charged with running a large, multi-state car theft and fraud ring, U.S. Attorney Craig Carpenito announced today.
Warren Guerrier, 43, of Newark, was arrested by special agents of the FBI and is charged by complaint with one count of conspiracy to commit wire fraud and one count of aggravated identity theft. He is scheduled to appear by teleconference this afternoon before U.S. Magistrate Judge Leda Dunn Wettre.
According to the documents filed in this case and statements made in court:
From November 2016 to March 2019, Guerrier and several conspirators participated in a scheme to sell stolen vehicles through internet-based marketplaces, such as Craigslist and OfferUp. For each fraudulent transaction, Guerrier and his conspirators scouted out vehicles at apartment complexes, hotels, or shopping centers in New Jersey, New York, Pennsylvania, Virginia, and Maryland that they intended to steal and sell. Once a desirable vehicle was selected, Guerrier and his conspirators photographed the target vehicle and attached a GPS tracker to the vehicle in order to acquire a pattern-of-life of the original owner. Guerrier and his conspirators then listed the target vehicles for sale on an internet-based marketplace. They communicated with potential purchasers and, upon identifying a purchaser, scheduled a meeting time and location to meet in person. Shortly before the scheduled meeting times, the conspirators returned to the target vehicles with unlawfully obtained valet keys and stole the vehicles. The scheme targeted mostly older model vehicles made by Honda or Acura because valet keys for such vehicles were easier to access. At Guerrier’s direction, one of the conspirators personally met the purchasers, while posing as the original owner of the vehicle, and provided the purchasers the unlawfully obtained valet key, at least one fraudulent motor vehicle registration document, and the stolen vehicle in exchange for cash.
Overall, the scheme to defraud involves more than 30 stolen vehicles, of which 29 were sold to unwitting buyers. Guerrier and his conspirators collected $217,650 from unwitting buyers over the course of the conspiracy.
The charge of conspiracy to commit wire fraud carries a statutory maximum sentence of 20 years in prison and a $250,000 fine, or twice the gain or loss from the offense, and the aggravated identity theft charge carries a mandatory minimum sentence of two years in prison, which must be served consecutively to any other term of imprisonment imposed.
U.S. Attorney Carpenito credited special agents of the FBI, under the direction of Acting Special Agent in Joe Denahan in Newark, with the investigation leading to the charges and arrest.
The government is represented by Special Assistant U.S. Attorney Kendall Randolph of the U.S. Attorney’s Office’s Organized Crime and Gangs Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
East Chicago Man Sentenced to 70 Months in PrisonRead the Press Release
HAMMOND-Prince McNeil, 24, of East Chicago, Indiana, was sentenced by Judge Moody to 70 months in prison and 2 years of supervised release following his guilty plea to possessing a firearm as a previously convicted felon, announced U.S. Attorney Kirsch.
According to documents in the case, on August 26, 2019, in Hammond, Indiana, Prince McNeil crashed his vehicle while in possession of a .357 firearm with an extended magazine and laser sight. The firearm was previously reported stolen. McNeil has a prior felony conviction for carrying a handgun without a license, for which he was on probation at the time of the instant offense.
This case is the result of the investigative efforts of the ATF/HIDTA Task Force, the Hammond Police Department and the East Chicago Police Department. The case was prosecuted by Northern District of Indiana Assistant U.S. Attorney Caitlin M. Padula.
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Dominican National Sentenced for Distributing FentanylRead the Press Release
BOSTON – A Dominican national formerly residing in Lawrence was sentenced today in federal court in Boston for distributing fentanyl.
Rosario Lara, 37, was sentenced by U.S. District Court Judge William G. Young to four years in prison and two years of supervised release. In March 2020, Lara pleaded guilty to distributing cocaine and more than 400 grams of fentanyl.
Lara sold more than a half-kilogram of fentanyl to a confidential informant in Lawrence on Feb. 21, 2019.
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. Valuable assistance was provided by the Middlesex District Attorney’s Office, Massachusetts State Police and Lawrence Police Department. Assistant U.S. Attorney Bill Abely, Deputy Chief of Lelling’s Major Crimes Unit, prosecuted the case.
Department of Justice Awards $2.2 Million for Innovative Community Policing ProjectsRead the Press Release
Door County Sheriff's Department Receives Grant for Officer Safety and Wellness Project.
U.S. Attorney Matthew D. Krueger joined the Department of Justice in announcing $2.2 million in grant funding to law enforcement agencies and stakeholders through the Department’s Office of Community Oriented Policing Services (COPS Office) Community Policing Development (CPD) Microgrants Program. COPS Office Director Phil Keith announced 29 awards with award amounts ranging from $15,090 to $100,000.
In the Eastern District of Wisconsin, Door County Officer Safety and Wellness Project was awarded $30,000.
“The CPD Microgrants Program is a critical resource to advance innovative community policing projects across the country,” said Director Keith. “These strategic investments from the COPS Office pay huge dividends to state and local law enforcement agencies and the communities that they serve.”
CPD Microgrants Program funds are used to develop the capacity of local, state, and tribal law enforcement agencies to implement community policing strategies. Applicants were invited to propose demonstration or pilot projects to be implemented in their agency that offer creative ideas to advance crime fighting, community engagement, problem solving, or organizational changes to support community policing in one of the following areas:
- Human Trafficking
- Meeting Rural Law Enforcement Challenges
- Officer Safety and Wellness
- Recruitment, Hiring, and Retention
- School Safety
- Staffing and Allocation Studies
- Victim-Centered Approaches
- Violent Crime
- Youth Engagement
Funding through this program is available for the first time since 2018, following the successful removal of a nationwide injunction. These awards are being announced at a critical time for our country, when community policing strategies are very much needed to improve police and community relations.
The complete list of awards can be found here https://cops.usdoj.gov/pdf/2020AwardDocs/cpdmicrogrants/Award_List.pdf. To learn more about CPD Microgrants, please visit https://cops.usdoj.gov/cpdmicrogrants. For additional information about the COPS Office, please visit www.cops.usdoj.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
# # # #Couple sentenced for multiple fraudsRead the Press Release
COLUMBUS, Ohio – A Pickerington couple have been sentenced for conspiring to defraud multiple federal programs by committing student-aid fraud, tax-return fraud, and Medicaid and SNAP fraud. They caused a total loss of more than half a million dollars.
Damien M. Johnson, 40, was sentenced to 51 months in prison and was ordered to pay $219,976 in restitution to the U.S. Department of Education, $149,824 to the IRS and $87,404 to the Fairfield County Department of Job and Family Services on one count of conspiracy to commit student loan fraud and theft of government funds, and $73,120 to an individual victim on one count of bank fraud.
On March 5, 2020, Kisha C. Hollins-Johnson, 42, was sentenced to 28 months in prison, three years of supervised release, of which 12 months is to be served in home confinement, and was ordered to pay restitution in the amount of $219,976 to the U.S. Department of Education, $149,824 to the IRS and $87,404 to the Fairfield County Department of Job and Family Services on one count of conspiring to commit student loan fraud and theft of government funds, one count of committing student loan fraud, one count of making a false statement to HUD, one count of witness tampering and two counts of theft of government money.
According to court documents, from at least 2011 through 2017, the defendants recruited more than five people to provide their personal information to apply for college admissions at Columbus State Community College.
All of the students fraudulently enrolled in online classes at the college. Hollins-Johnson submitted false financial aid forms for the students and completed coursework for all of the students. Hollins-Johnson enrolled the students in the same courses and chose the same or similar topics for their papers.
When Johnson was not making satisfactory academic progress, Hollins-Johnson created fake documents, including medical records, for use in an academic appeals process in order for Johnson to remain eligible to receive financial aid. She fabricated a letter purporting to be from a doctor that claimed Johnson had sickle cell anemia. The doctor did not write the note, and in fact was a gynecologist.
In total, the U.S. Department of Education issued nearly $220,000 to Columbus State and as refunds to the defendants. Any amount of student loan above the cost of tuition and fees was given to the defendants.
Johnson also committed bank fraud by obtaining seven checks totaling at least $73,000 from an 87-year-old victim who had dementia. He met the victim going door-to-door, making sales pitches to get customers to switch their energy supplier to his employer. He called the victim’s bank, impersonating the victim, to request transfers of funds. Johnson used the money on a variety of personal transactions, including $7,150 at a pawnshop, $1,798 at Gucci, $1,558 at Louis Vuitton, $1,182 in payments to vehicle dealers and $2,500 at a law firm.
Hollins-Johnson submitted false tax returns by claiming fake defendants and educational credits, and submitting fictitious W-2s. Johnson contacted the IRS pretending to be at least one of the other taxpayers and delivered portions of the tax refunds to other individuals.
The couple also fraudulently obtained SNAP food stamp benefits by claiming they were each single when they were married. As part of the conspiracy, Hollins-Johnson submitted false letters verifying Johnson’s employment for food stamp eligibility.
In 2014, Hollins-Johnson submitted an application for a $200,000 home loan insured by the FHA. When she submitted the loan application, she used fabricated employment documents that stated she worked for the State of Ohio. Additionally, she fabricated a form the mortgage company sent to a person they believed was a Human Relations Manager to verify employment.
After investigators searched the defendants’ residence, they engaged in witness tampering. Hollins-Johnson engaged in a scheme that involved creating a fake Facebook account in the victim’s name. The scheme also involved using an app that allows users to change their caller ID and apply a voice changer feature to call a witness in the case, pretending to be from the Licking County Clerk of Courts. Johnson set up an in-person meeting with the witness, where Hollins-Johnson instructed the witness not to talk with law enforcement.
David M. DeVillers, United States Attorney for the Southern District of Ohio; Bryant Johnson, Special Agent in Charge, Internal Revenue Service (IRS) Criminal Investigation; Brad Geary, Special Agent in Charge, U.S. Department of Housing and Urban Development Office of Inspector General; John F. Woolly, Special Agent in Charge, U.S. Department of Education Office of Inspector General; and officials with the Fairfield County Job & Family Services Fraud and Benefit Recovery division announced the sentence handed down today by U.S. District Judge U.S. District Judge Edmund A. Sargus, Jr. Assistant United States Attorney Peter K. Glenn-Applegate is representing the United States in this case.
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Combating CARES Act Fraud: Ensuring Economic Relief for Americans Through Law Enforcement EffortsRead the Press Release
Opinion Editorial by Stephen J. Cox, United States Attorney
Published in the Texas Lawyer
July 8, 2020
https://www.law.com/texaslawyer/2020/07/07/combating-cares-act-fraud-ensuring-economic-relief-for-americans-through-law-enforcement-efforts/
Millions of Americans and small businesses are suffering the economic effects caused by the COVID-19 pandemic. In response, Congress passed the Coronavirus Aid, Relief, and Economic Security (“CARES”) Act. This historic legislation, which included over $2 trillion in emergency financial assistance, was designed to provide immediate help for small businesses, healthcare providers, and individuals.
The CARES Act includes the Paycheck Protection Program (“PPP”), which provides nearly $650 billion in loans to small businesses, as well as Economic Impact Payments (“EIPs”) to provide relief to individual taxpayers and families. The CARES Act also included other programs to help small and medium-sized businesses, and assistance to hospitals and other healthcare providers on the front lines of the coronavirus response.
This federal response to the current crisis is vital to the economy, but like many good federal programs, there is risk of fraud. For example, the PPP requires borrowers to make certain certifications regarding their eligibility and the use of the funds, but some borrowers make misrepresentations in bad faith. When fraudsters unlawfully take money to which they are not entitled, they deplete the program and divert funds from those who need it most. The Department of Justice (“DOJ”) is committed to pursuing wrongdoing related to COVID-19, including these fraudulent schemes. The U.S. Attorney’s Office for the Eastern District of Texas (“EDTX”) shares this priority and will deploy all criminal and civil enforcement tools available to combat such misconduct.
In the few short months since passage of the CARES Act, we have initiated multiple criminal actions and investigations. We are pursuing individuals who used stolen identities to obtain EIPs. We also have partnered with the DOJ’s Criminal Division to charge several individuals who, as alleged, knowingly provided false information to obtain millions of dollars in PPP loans. In one case, rather than using PPP funds for purposes authorized by the CARES Act, the funds were allegedly used to purchase luxury vehicles and to fund personal investment accounts. In addition to criminal efforts, we are looking to the False Claims Act (“FCA”), a powerful civil statute that allows the United States to recoup money that has been lost due to fraud. The FCA allows the government to obtain treble damages and civil penalties from those who defraud federal programs, such as the CARES Act.
We will be vigorous in our enforcement efforts. Even so, we recognize that some businesses have voiced concerns about increasingly complicated program rules and regulations creating traps not only for the unwary, but for the many companies that sought assistance in good faith. For example, some have predicted False Claims Act litigation based on inadvertent foot faults or regulatory defects—a risk that could increase with additional disclosures of funding recipients, investigative reporting, and public criticism. Rest assured that we will be careful not to discourage legitimate businesses from accessing the important financial resources that Congress made available through the CARES Act. We will not punish companies that accessed stimulus funds in good faith compliance with the rules. Nor, will we seek out applicants who made technical mistakes in processing paperwork or honestly misunderstood regulatory or certification requirements. Our focus is on fraud.
So, what can the public do? Simply put, if you see something, say something. Report borrowers who knowingly provided false information in loan applications, individuals who unlawfully obtained EIPs, and those who knowingly misused CARES Act funds. We are working with banks and other financial institutions to help identify potential fraudsters. But we also need the public’s assistance. If you know of, or suspect, fraud related to the CARES Act, please contact the National Disaster Fraud Hotline at (866) 720-5721.
The EDTX and our law enforcement partners are ready to take on those who attempt to illegally profit from the coronavirus pandemic. And we need your help to wage this fight.
Stephen J. Cox is the 39th U.S. attorney for the Eastern District of Texas (EDTX). As the chief federal law enforcement officer in EDTX, Cox supervises the prosecution of all federal crimes and the litigation of all civil matters in which the United States has an interest. As U.S. attorney, Cox leads a staff of over 120 prosecutors, civil litigators, and support personnel located in Beaumont, Plano, Tyler, Sherman, Lufkin, and Texarkana.
Child Exploitation Offender Sentenced to 14 Years in Federal PrisonRead the Press Release
Spokane – William D. Hyslop, United States Attorney for the Eastern District of Washington, announced that Jesus “Chewy” Rodriguez, age 28, of Kennewick, Washington, was sentenced today after having pleaded guilty on March 9, 2020, to Receipt of Child Pornography. Senior United States District Judge Wm. Fremming Nielsen sentenced Rodriguez to a 14-year term of imprisonment, to be followed by 20 years of court supervision after he is released from federal prison. This federal case is Rodriguez’s second conviction for sex with a minor girl; he was previously sentenced to 21 months in Benton County for similar conduct.
According to information disclosed during court proceedings, Rodriguez’s child exploitation conduct far exceeded downloading images of child pornography from the Internet. He used social media to reach out to more than a dozen young women and girls, some as young as 12 years old. He requested that minor girls take and send him pornographic images of themselves, and he tried to meet up with them for sex. On at least two separate occasions, Rodriguez successfully met up with a 14-year-old girl, and then a 15-year-old girl, to engage in illicit sexual conduct with them in exchange for a cell phone and marijuana. While he was engaging in sex with the 14-year-old girl in his truck, Rodriguez was in possession of a firearm in the truck.
United States Attorney Hyslop said, “The sentence imposed today sends a strong message to anyone who may try to exploit children for sexual gratification. It is a priority of the United States Attorney’s Office for the Eastern District of Washington to prosecute anyone who traffics in child pornography or meets up with minors in person for sex. These crimes will be actively investigated by federal, state and local law enforcement officers. I commend the outstanding investigative efforts by the Yakima Resident Office of the FBI in this case.”
This case was pursued as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the United States Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals, who sexually exploit children, and to identify and rescue victims. The Project Safe Childhood Initiative (“PSC”) has five major components:
· Integrated federal, state, and local efforts to investigate and prosecute child exploitation cases, and to identify and rescue children;
· Participation of PSC partners in coordinated national initiatives;
· Increased federal enforcement in child pornography and enticement cases;
· Training of federal, state, and local law enforcement agents; and
· Community awareness and educational programs.
For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. For information about internet safety education, please visit www.usdoj.gov/psc and click on the tab “resources.”
This case was investigated by the Yakima Resident Office of the Federal Bureau of Investigation and Special Agent Jennifer Terami. This case was prosecuted by David M. Herzog, an Assistant United States Attorney for the Eastern District of Washington.
California Man Sentenced to 54 Months in PrisonRead the Press Release
SOUTH BEND – Antonio Henderson, age 30, of San Bernardino, California, was sentenced by United States District Court Judge Damon Leichty upon his plea of guilty to interstate transportation in aid of racketeering, announced United States Attorney Thomas L. Kirsch II.
Mr. Henderson was sentenced to 54 months in prison followed by 2 years of supervised release.
According to documents in this case, a car loaded with methamphetamine in California was placed on a transport and shipped to Illinois. Mr. Henderson flew to Chicago, picked up the car and drove to it to South Bend, intending to deliver the car and its illegal drug cargo to another person. Henderson was arrested before making the intended delivery.
This case was investigated by the Drug Enforcement Administration. The case was prosecuted by Assistant U.S. Attorney Frank Schaffer.
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California Man Pleads Guilty to Wire Fraud in Connection to a Scheme to Steal Cash from Bank Accounts Through ATM WithdrawalsRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Dennis Busch, 40, of Costa Mesa, California, pled guilty yesterday afternoon to wire fraud, in connection with a scheme to use altered debit cards to steal cash from Capital One bank accounts.
According to court documents, Busch used altered, re-encoded Capital One debit cards to make cash withdrawals from Capital One ATMs in the Shreveport and Bossier City area. From September 24, 2018 to October 8, 2018, Busch withdrew $33,838 from the bank accounts of numerous Capital One account holders. From August 13, 2019 to August 22, 2019, Busch withdrew $28,207 from Capital One bank accounts. During this time, he attempted to withdraw approximately $44,634 over numerous additional transactions, but was denied by the bank. Busch obtained the information of the Shreveport residents while he resided in California, and then traveled to the Shreveport area to commit the fraud. Throughout the scheme, Busch withdrew, or attempted to withdraw, approximately $106,679 in total.
Chief U.S. District Judge S. Maurice Hicks Jr., presided over the hearing and set sentencing for October 20, 2020. Busch faces up to 20 years in prison, a $250,000 fine, and up to three years of supervised release.
The United States Secret Service is investigating the case. Assistant U.S. Attorney Cadesby B. Cooper is prosecuting the case.
# # #
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
California Man Charged with Mailing Fentanyl Pills to PARead the Press Release
ERIE, Pa. – A former resident of California has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal drug laws, United States Attorney Scott W. Brady announced today.
The one-count Indictment named Victor Daniel Gutierrez, 47, as the sole defendant.
According to the Indictment presented to the court, between May 28, 2020 and June 8, 2020, Gutierrez conspired to possess with intent to distribute and distribute forty grams or more of a mixture and substance containing a detectable amount of fentanyl. The charge is based on an intercepted United States Mail parcel that Gutierrez shipped to Pennsylvania from California containing approximately 340 grams of fentanyl pills.
The law provides for a maximum total sentence of 40 years in prison, a fine of $5,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Paul S. Sellers is prosecuting this case on behalf of the government.
The United States Postal Inspection Service conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
California Felon Sentenced to Almost Five Years in Federal Prison for Possessing Handgun at Will Rogers AirportRead the Press Release
OKLAHOMA CITY – THOMAS LU NGUYEN, 36, of Rancho Cucamonga, California, has been sentenced to 57 months in prison for possessing a firearm after having been previously convicted of a felony, announced U.S. Attorney Timothy J. Downing.
On October 16, 2019, Nguyen was charged by indictment in Count 1 for being a felon in possession of firearm, and in Count 2 for entering an airport area in violation of security requirements. The indictment described the firearm as a 9mm semi-automatic handgun.
Today, Nguyen pled guilty to being a felon in possession of a firearm. U.S. District Judge David L. Russell then sentenced Nguyen to 57 months in prison on Count 1, along with three years of supervised release following Nguyen’s term of imprisonment. In announcing the sentence, Judge Russell noted Nguyen’s extensive criminal history and past violent conduct. Count 2 of the Indictment was dismissed in light of Nguyen’s plea to Count 1.
According to evidence presented at sentencing, on October 16, 2019, a TSA Agent discovered a 9mm semi-automatic handgun in Nguyen’s backpack while it was being screened before takeoff at Will Rogers World Airport prior to Nguyen’s scheduled flight to California.
This case is the result of an investigation by the Federal Bureau of Investigation, the Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Transportation Security Administration. Assistant U.S. Attorney David P. Petermann prosecuted the case.
Reference is made to court filings for further information. To download a photo of U.S. Attorney Downing, click here.
CEO of San Diego Startup Bilked over $1,500,000 from His CompanyRead the Press Release
NEWS RELEASE SUMMARY – July 8, 2020
SAN DIEGO – Jeffrey Fildey, founder and former CEO of San Diego startup GoFormz Inc. pleaded guilty today to stealing more than $1,500,000 from his own company for his personal benefit. According to public records, GoFormz Inc., founded in 2012, is a San Diego company that provides online mobile forms and reporting products.
According to Fildey’s plea agreement, beginning on or before September 30, 2015 and continuing through August 12, 2017, Fildey used various methods to defraud GoFormz. His deceptive ways included obtaining loans, supposedly on the company’s behalf, but then taking the funds for himself, putting personal expenditures on the GoFormz credit cards which the company then paid for, obtaining cash advances for himself on GoFormz credit cards, and simply stealing money directly from the company’s bank account.
As just one example, on September 1, 2016, Fildey obtained a business loan for GoFormz by misrepresenting the purpose of the loan. The loan was approved and on September 7, 2016, $146,250 was wired to GoFormz’s bank account. That same date, Fildey wired the entire amount to his personal bank account. Fildey used the funds for personal expenses while GoFormz made payments on the loan. Fildey took out a total of three unauthorized loans on behalf of GoFormz and each time transferred the funds to his personal bank account shortly after the loan funds were transferred to GoFormz. In addition to the loans, Fildey withdrew over $700,000 in cash from the GoFormz bank account for his personal use, and made over $2,600 in unauthorized purchases on the GoFormz corporate credit card.
“Defendant abused a position of trust to brazenly steal company assets, treating GoFormz Inc. as his own private slush fund,” said U.S. Attorney Robert S. Brewer. “Thanks to the dedicated work of our law enforcement partners at the FBI, he will be held fully accountable for his fraudulent misdeeds.”
“The FBI identified and disrupted this fraud perpetrated by Jeffrey Fildey," said Acting Special Agent in Charge Omer Meisel. “The FBI is committed to identifying and preventing fraud schemes that harm our financial and business sectors.”
Fildey admitted in his plea agreement that as a result of his fraud, GoFormz lost $1,544,147. Fildey is next scheduled to appear before U.S. District Court Judge Larry Burns for sentencing on November 9, 2020.
U.S. Attorney Brewer commended AUSA Michelle Wasserman for her work prosecuting this matter.
DEFENDANT Case Number 20cr1917-LAB
Jeffrey Fildey Age: 56 Las Vegas, NV
SUMMARY OF CHARGES
Wire Fraud – Title 18, U.S.C., Section 1343
Maximum penalty: 20 years’ imprisonment and $250,000 fine or twice the gross gain or loss from the offense, whichever is greater
AGENCY
Federal Bureau of Investigation
Brooklyn Man Charged with Attempted Hobbs Act Robbery of Pharmacy and Stabbing EmployeeRead the Press Release
Rayvaughn Williams was arrested today on a criminal complaint filed in federal court in Brooklyn charging him with the attempted robbery of the Canarsie Plaza Pharmacy in Brooklyn during which an employee of the pharmacy was repeatedly stabbed. Vaughn’s initial appearance is scheduled for this afternoon via video conference before United States Magistrate Judge Roanne L. Mann.
Richard P. Donoghue, United States Attorney for the Eastern District of New York, John B. DeVito, Special Agent in Charge, Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF), and Dermot F. Shea, Commissioner, New York City Police Department (NYPD), announced the arrest and charges.
As detailed in the complaint, on August 12, 2019, Williams entered the pharmacy and claimed he was there to pick up a prescription. When the employee could not find a record of the prescription, Williams removed a knife from a plastic bag he was carrying and demanded money. When the employee tried but failed to open the register, Williams vaulted over the counter and stabbed the employee repeatedly. The employee was seriously wounded but survived the attack, which was recorded on the pharmacy’s security cameras.
“As alleged, Williams brutally stabbed a victim who had offered no resistance to the attempted robbery of the pharmacy,” stated United States Attorney Donoghue. “Such wanton disregard for life will not be tolerated and will be prosecuted to the full extent of the law. I commend the ATF Special Agents and the NYPD detectives for their outstanding investigative work that led to the identification and arrest of the defendant.”
“This defendant, as alleged, not only attempted to rob a pharmacy servicing the Brooklyn community, but repeatedly stabbed an employee, causing serious injury. Thanks to the tireless work of the men and women of the ATF/NYPD Robbery Task Force, he no longer poses a threat to public safety. I would like to thank the United States Attorney’s Office for their work in prosecuting this case,” stated ATF Special Agent-in-Charge DeVito.
“Our joint work in this case has led to the arrest of a violent robbery suspect. This collaborative law enforcement effort shows our relentless commitment to justice,” stated NYPD Commissioner Shea.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty. If convicted, the defendant faces up to 20 years in prison.
The government’s case is being handled by the Office’s General Crimes Section. Assistant United States Attorney Robert M. Pollack is in charge of the prosecution.
The Defendant:
RAYVAUGHN WILLIAMS
Age: 24
Brooklyn, New YorkE.D.N.Y. Docket No.: 20-MJ-507
Bookmaker to forfeit $600k and pay $200k as restitution for running illegal gambling operation, laundering proceeds and filing false income tax returnRead the Press Release
Justin Herdman, U.S. Attorney for the Northern District of Ohio, announced today that Ryan Driscoll, age 48, of Aurora, was sentenced to three years of probation and ordered to forfeit $628,950.00 in cash seized during a search warrant and pay $208,693.00 to the IRS as restitution after entering a plea of guilty on January 15, 2020, to running an illegal sports gambling business with others, laundering the proceeds and filing a false income tax return.
“Not only did this individual try to enrich himself illegally, but he also attempted to avoid paying taxes on these ill-gotten proceeds in order to further profit and conceal his crimes,” said U.S. Attorney Justin Herdman. “This substantial forfeiture and restitution reflect the nature and great lengths that Driscoll went to avoid paying his duly owed income taxes.”
“Individuals are required to pay taxes on all sources of income, even income earned from illegal gambling,” said Bryant Jackson, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office. “Ryan Driscoll also attempted to launder the profits from his offshore illegal gambling business, but the IRS followed the money trail, which was vital to dismantling his criminal conduct.”
According to court documents, from July 2015 to August 2019, Driscoll operated as a bookmaker for his clients and provided them with access to offshore sports gambling websites. The websites allowed Driscoll’s clients to place bets on sporting events and track wins and losses and monies due. Driscoll paid out winnings and collected losses locally. During this time, Driscoll concealed the fact that the majority of his income came from the illegal gambling business and hid the proceeds as large bundles of cash in $10,000 increments in his home.
In 2019, Driscoll made a payment for membership at “The Mayfield Sand Ridge Club” country club using the proceeds from the illegal gambling business. This transaction was designed to conceal and disguise the nature and source of the illegal funds. Between 2014 and 2017, Driscoll also deposited approximately $167,827.00 in cash into his personal bank accounts and used an additional $197,879.00 in cash and money orders to make payments on vehicles and his country club membership.
For the tax years 2014 through 2017, Driscoll underreported his income by approximately $825,323.00, which resulted in additional tax due and owing of approximately $208,693.00. In 2018, Driscoll knowingly submitted a false income tax return that grossly underreported his income and failed to disclose proceeds made from the illegal gambling business.
This case was investigated by the IRS-Criminal Investigation and U.S. Secret Service. This case was prosecuted by Assistant U.S. Attorneys Alex A. Abreu, Robert E. Buford and James L. Morford and former U.S. Attorney Carmen E. Henderson.
Blasdell Man Sentenced to Decade in Prison for Possession of Child PornographyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051BUFFALO, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Robert Michalewski, 55, of Blasdell, NY, who was convicted of possession of child pornography involving prepubescent minors, after having sustained a conviction for child sexual abuse, was sentenced to serve 10 years in prison, and 5 years of supervised release, by U.S. District Judge Richard J. Arcara.
Assistant U.S. Attorney Meghan A. Tokash, who is handling the case, stated that, after receiving a tip of suspected child pornography from the National Center for Missing and Exploited Children (NCMEC), Homeland Security Investigations (HSI) traced the suspected child pornography to the defendant. On May 24, 2019, investigators executed a search warrant at Michalewski's residence on South Park Avenue in Blasdell. Several items were seized, including a desktop computer, cell phone, laptop computers, external hard drives, DVDs, thumb drives, internal hard drives, VHS tapes, and literature. An initial examination of some of the electronics recovered suspected images and videos of child pornography. Some of the images depicted prepubescent minors and acts of violence. Michalewski was previously convicted in February 2018 of Possession of a Sexual Performance by a Child in Erie County Court and sentenced to a conditional discharge, which remains pending.
The sentence is the result of an investigation by Homeland Security Investigations, Child Exploitation Unit, under the direction of Special Agent-in-Charge Kevin Kelly.# # # #
Attorney General William P. Barr Announces Launch of Operation LegendRead the Press Release
Today, Attorney General William P. Barr announced the launch of Operation Legend, a sustained, systematic and coordinated law enforcement initiative across all federal law enforcement agencies working in conjunction with state and local law enforcement officials to fight the sudden surge of violent crime, beginning in Kansas City, MO. Operation Legend was created as a result of President Trump’s promise to assist America’s cities that are plagued by recent violence.
Operation Legend is named after four-year-old LeGend Taliferro, who was shot and killed while he slept early in the morning of June 29 in Kansas City, the latest in a string violence to plague Kansas City in recent weeks. Kansas City has already reached 100 homicides this year, a 40 percent increase from last year.
“President Trump has made clear: the federal government stands ready and willing to assist any of our state and local law enforcement partners across the nation responding to violent crime. Operation Legend will combine federal and local resources to combat the disturbing uptick in violence by surging federal agents and other federal assets into cities like Kansas City, a city currently experiencing its worst homicide rate in its history,” said Attorney General Barr. “The Department’s Operation Legend is named in honor of one of Kansas City’s youngest victims, four-year old LeGend Taliferro who was shot in the face while sleeping in his bed. LeGend’s death is a horrifying reminder that violent crime left unchecked is a threat to us all and cannot be allowed to continue.”
As part of Operation Legend, Attorney General Barr directed federal agents from the FBI, U.S. Marshal Service, DEA and ATF to surge resources to Kansas City in the coming weeks to help state and local officials fight the surge of violent crime. They will be working alongside state and local law enforcement agencies. Department of Justice assets will include over 100 FBI agents, U.S. Marshals, DEA agents, and ATF agents.
In addition, Timothy A. Garrison, U.S. Attorney for the Western District of Missouri will be surging additional resources from his office to ensure he is able to handle an anticipated increase in prosecutions.
LeGend Taliferro, a four-year-old boy who was shot and killed on June 29th in Kansas City, MO.Armed Drug Trafficker Pleads GuiltyRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Alton Dunn, 30 of Rochester, pleaded guilty today before United States District Judge David G. Larimer to the felony charges of possession with intent to distribute marijuana and possession of a firearm and ammunition by a felon. The drug charge carries a maximum possible penalty of five years imprisonment, and a fine of $250,000 or both. The firearm charge carries a maximum prison term of 10 years, and a fine of $250,000, or both.
Assistant U.S. Attorney Charles Moynihan, who is handling the case, stated that Dunn was arrested on July 31, 2018, after officers from the Rochester Police Department, who were patrolling the area of Child Street in the City of Rochester, saw a Lincoln Navigator with a license plate cover obscuring the vehicle’s license plate. Officers pulled the Navigator to the side of the road, approached it and identified Dunn, who had been convicted of Robbery in the Second Degree in 2007, as the driver. They also learned he did not have a valid driver’s license. After ordering him to step from the Navigator, officers searched Dunn and found a small plastic vial of marijuana in his pocket. The officers could also smell marijuana coming from inside the Navigator. They searched the vehicle and found a loaded semiautomatic handgun, with a defaced serial number, in the front passenger door. Officers also recovered a bag containing 2 vials of marijuana in the center console of the Navigator. In the rear seats, officers discovered a bag from which they recovered 39 plastic vials, each containing marijuana. In the bag, officers also found a champagne case which contained more marijuana. Dunn admitted that he intended to distribute the marijuana.
The matter was brought by the United States Attorney’s Office as part of its Project Safe Neighborhoods (PSN) initiative. PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.The plea is the result of an investigation by the Rochester Police Department, under the direction of Chief La’Ron Singletary, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives, under the direction of Special Agent-in-Charge John B. Devito.
Sentencing is scheduled for September 16, 2020, at 2:00 PM before the Hon. David G. Larimer.
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American Man Charged with Exploiting Children in LaosRead the Press Release
An American citizen was arrested and charged yesterday in connection with exploiting teenage boys in Laos.
Acting Assistant Attorney General Brian C. Rabbitt for the Justice Department’s Criminal Division, U.S. Attorney Andrew E. Lelling for the District of Massachusetts and Special Agent in Charge Joseph R. Bonavolonta of the FBI’s Boston Field Division made the announcement.
Michael Sebastian, 52, was charged by criminal complaint with engaging in illicit sexual conduct in foreign places and sex trafficking of children. Sebastian was arrested yesterday in Lynn, Massachusetts, where he has been living with his mother. Following an initial appearance in federal court in Boston today, Sebastian was detained pending a detention and probable cause hearing scheduled for July 13, 2020.
According to the charging documents, Sebastian has been living in Laos, where he teaches English to Laotian youth. During at least the past two years, Sebastian provided housing to at least three boys, aged 13 through 18, to whom he taught English. In lieu of paying rent to live with him, Sebastian allegedly allowed the boys to pay off their rent by performing chores. According to allegations in the complaint, these chores included giving Sebastian massages – which, in turn, included masturbating Sebastian.
The charges in the complaint are allegations, and the defendants are presumed innocent unless and until proven guilty.
Trial Attorney Leslie Fisher with the Criminal Division’s Child Exploitation and Obscenity Section (CEOS) and Assistant U.S. Attorney Anne Paruti for the District of Massachusetts are prosecuting the case.
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 the U.S. Attorneys’ Offices and the CEOS, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
American Man Charged with Exploiting Children in LaosRead the Press Release
BOSTON – An American man was arrested and charged yesterday in connection with exploiting teenage boys in Laos.
Michael Sebastian, 52, was charged by criminal complaint with engaging in illicit sexual conduct in foreign places and sex trafficking of children. Sebastian was arrested yesterday in Lynn, where he has been living with his mother. Following an initial appearance in federal court in Boston today, Sebastian was detained pending a detention and probable cause hearing scheduled for July 13, 2020.
According to the charging documents, Sebastian has been living in Laos, where he teaches English to Laotian youth. During at least the past two years, Sebastian provided housing to at least three boys, aged 13-18, to whom he taught English. In lieu of paying rent to live with him, Sebastian allegedly allowed the boys to pay off their rent by performing chores. According to the complaint, these chores included giving Sebastian massages – which, in turn, included masturbating Sebastian.
The charge of engaging in illicit sexual conduct in foreign places provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of up to $250,000. The charge of sex trafficking of children provides for a mandatory minimum sentence of 10 years and up to life in prison, five years of supervised release and a fine of up to $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Acting Assistant Attorney General for the Justice Department’s Criminal Division Brian C. Rabbitt; 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 Anne Paruti, Lelling’s Project Safe Childhood coordinator, and Leslie Fisher, a Trial Attorney in the Justice Department’s Child Exploitation and Obscenity Section, are prosecuting the case.
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 the U.S. Attorneys’ Offices and the DOJ’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who exploit children, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
American Contractor Pleads Guilty to Stealing Government Equipment on U.S. Military Base in AfghanistanRead the Press Release
WASHINGTON – An American military contractor pleaded guilty today to his role in a theft ring on a military installation in Kandahar, Afghanistan.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, and Special Inspector General for Afghanistan Reconstruction (SIGAR) John F. Sopko made the announcement.
Larry J. Green, 43, of Chesapeake, Virginia, pleaded guilty before U.S. Magistrate Judge Douglas E. Miller to one count of conspiracy to defraud the United States and commit theft of property of value to the United States worth over $300,000; one count of theft of property of value to the United States; and one count of aiding and abetting the submission of false statements. Sentencing is set for Nov. 19, 2020.
Green admitted that, between April 2015 and July 2015, he and others conspired to steal and did steal property of value to the United States including generators and a truck. Green negotiated the sale of the stolen property with a third-country national middleman, who facilitated the sale of the items to unknown persons off of the military installation in Kandahar, Afghanistan. In order to effectuate the theft of a truck, Green admitted that he drove the truck off the military installation.
Green also admitted that, in order to effectuate the theft of generators, he aided and abetted one of his co-conspirators, a security badging and escort pass supervisor, in creating false official documents to facilitate both the entry of unknown and unvetted Afghan nationals and their vehicles on to the military installation, and the removal of the stolen property from the installation. The falsified documents were used to deceive security officers and gate guards and compromised the security of U.S. military and civilian personnel on the military installation.
SIGAR investigated the case with help from Army Criminal Investigation Command (CID) and the 939th Military Police Detachment of the Indiana Army National Guard. Trial Attorneys Sasha N. Rutizer of the Criminal Division’s Human Rights and Special Prosecutions Section, Rosaleen O’Gara of the Criminal Division’s Public Integrity Section, and Assistant U.S. Attorney Joseph Kosky of the Eastern District of Virginia are prosecuting the case.
American Contractor Pleads Guilty to Stealing Government Equipment on U.S. Military Base in AfghanistanRead the Press Release
An American military contractor pleaded guilty today to his role in a theft ring on a military installation in Kandahar, Afghanistan.
Acting Assistant Attorney General Brian C. Rabbitt of the Justice Department’s Criminal Division, U.S. Attorney G. Zachary Terwilliger of the Eastern District of Virginia, and Special Inspector General for Afghanistan Reconstruction (SIGAR) John F. Sopko made the announcement.
Larry J. Green, 43, of Chesapeake, Virginia, pleaded guilty before U.S. Magistrate Judge Douglas E. Miller to one count of conspiracy to defraud the United States and commit theft of property of value to the United States worth over $300,000; one count of theft of property of value to the United States; and one count of aiding and abetting the submission of false statements. Sentencing is set for Nov. 19, 2020.
Green admitted that, between April 2015 and July 2015, he and others conspired to steal and did steal property of value to the United States including generators and a truck. Green negotiated the sale of the stolen property with a third-country national middleman, who facilitated the sale of the items to unknown persons off of the military installation in Kandahar, Afghanistan. In order to effectuate the theft of a truck, Green admitted that he drove the truck off the military installation.
Green also admitted that, in order to effectuate the theft of generators, he aided and abetted one of his co-conspirators, a security badging and escort pass supervisor, in creating false official documents to facilitate both the entry of unknown and unvetted Afghan nationals and their vehicles on to the military installation, and the removal of the stolen property from the installation. The falsified documents were used to deceive security officers and gate guards and compromised the security of U.S. military and civilian personnel on the military installation.
SIGAR investigated the case with help from Army Criminal Investigation Command (CID) and the 939th Military Police Detachment of the Indiana Army National Guard. Trial Attorneys Sasha N. Rutizer of the Criminal Division’s Human Rights and Special Prosecutions Section, Rosaleen O’Gara of the Criminal Division’s Public Integrity Section, and Assistant U.S. Attorney Joseph Kosky of the Eastern District of Virginia are prosecuting the case.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.