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8 July 2020
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.
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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.
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.
Acting Manhattan U.S. Attorney Announces Charges Against Nurse Practitioner for Illegally Distributing Oxycodone from Bronx ClinicRead the Press Release
Audrey Strauss, the Acting United States Attorney for the Southern District of New York, Raymond P. Donovan, the Special Agent-in-Charge of the New York Field Division of the Drug Enforcement Administration (“DEA”), and Dermot Shea, Commissioner of the New York City Police Department (“NYPD”), announced today the unsealing of a criminal Complaint in Manhattan federal court charging PURIFICACION CRISTOBAL, a nurse practitioner who operated a medical clinic in the Bronx, New York, with illegally distributing large quantities of oxycodone. CRISTOBAL was taken into custody this morning and is expected to be presented before Magistrate Judge Sarah Netburn later today.
Acting U.S. Attorney Audrey Strauss said: “As alleged, Purificacion Cristobal wrote prescriptions for highly addictive and potentially lethal opioids not based on medical necessity but on the payment of cash ‘gratuities’ by the ‘patients.’”
DEA Special Agent-in-Charge Raymond P. Donovan said: “This investigation reiterates that drug traffickers can hide in plain sight, as was allegedly done by Purificacion Cristobal, a nurse practitioner who worked at a medical clinic in the Bronx. Allegedly, Cristobal enabled opioid users by writing hundreds of unnecessary prescriptions, putting tens of thousands of oxycodone tablets into unsupervised hands. Law enforcement is committed to identifying drug traffickers at all levels to keep our communities safe from the dangers of drug abuse, drug addiction, and drug-related violence.”
NYPD Commissioner Dermot Shea said: “These charges represent an alleged betrayal of medicine and the law for an illegal profit. They highlight law enforcement’s ongoing commitment to investigate and prosecute anyone charged with illegally peddling opioids.”
According to the allegations in the Complaint unsealed today in Manhattan federal court:[[1]]
Since June 2019, PURIFICACION CRISTOBAL has illicitly diverted large quantities of oxycodone, unlawfully writing numerous prescriptions resulting in the distribution of tens of thousands of oxycodone pills to individuals she knew had no legitimate medical need for the pills. In exchange for these prescriptions, CRISTOBAL and her staff at the Bronx clinic received cash payments or “gratuities” from the purported patients.
As alleged in the Complaint, CRISTOBAL, a certified nurse practitioner, operated a medical clinic in the Bronx. Despite being certified to practice in psychiatry, family medicine, and pediatrics, CRISTOBAL regularly wrote more than 100 prescriptions for oxycodone per month, including prescriptions for some of the staff in her practice. In total, from January 2019 to June 2020, CRISTOBAL wrote over 1,700 prescriptions for oxycodone, accounting for over 140,000 oxycodone tablets.
As detailed in the allegations set forth in the Complaint, CRISTOBAL performed little to no physical examination on purported patients receiving oxycodone prescriptions. For example, on one occasion, without having performed any examination, CRISTOBAL asked a patient to choose which prescription drugs the patient preferred. On another occasion, CRISTOBAL prescribed oxycodone after confirming it was the patient’s “favorite” drug. CRISTOBAL even sometimes wrote prescriptions for oxycodone when the patients did not ever enter the clinic for a visit, so long as they paid the cash fees due for the illicit oxycodone.
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PURIFICACION CRISTOBAL, 73, of Lyndhurst, New Jersey, is charged with one count of participating in a conspiracy to illicitly distribute narcotics, which carries a maximum sentence of 20 years in prison. The maximum potential penalty is prescribed by Congress and is provided here for informational purposes only, as any sentencing of the defendant would be determined by the judge.
Ms. Strauss praised the outstanding investigative work of the DEA’s New York Tactical Diversion Squad, which comprises agents and officers from the DEA, the NYPD, the New York State Police, New York State Department of Financial Services, New York National Guard, New York City Department of Investigation, and New York State Department of Health Bureau of Narcotics Enforcement.
This case is being handled by the Office’s Narcotics Unit. Assistant United States Attorneys Jun Xiang and Kyle A. Wirshba are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint, and the description of the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
7 July 2020
Woman from Farmington, New Mexico sentenced to 110 months in federal prison for running over federal officerRead the Press Release
ALBUQUERQUE, N.M. – Nakrista Saiz, 33, of Farmington, New Mexico was sentenced in federal court in Albuquerque today to 110 months in prison for assault on a federal officer involving use of a deadly weapon and infliction of bodily injury.
According to Saiz’s plea agreement, she committed these offenses on Aug. 27, 2018 in San Juan County, New Mexico. Saiz was driving a car with her husband in the passenger seat. Deputies from the U.S. Marshals Service and San Juan County Sheriff’s Office tried to pull her car over to arrest her and her husband on warrants. The deputies got out of their car, drew their guns and ordered Saiz and her husband to get out of their vehicle. Saiz disobeyed the deputies’ orders and assaulted the deputies. She rammed their car head-on and ran over the deputy marshal’s leg while trying to drive away. The deputy needed treatment at the hospital for his injuries, including knee and back pain, scratches and sore ribs.
Saiz must also serve a three-year supervised release term after completing her sentence.
The United States Marshal Service and San Juan County Sheriff’s Office investigated this case. Assistant U.S. Attorney Sammy Hurtado prosecuted the case.
Westlake man sentenced for illegal slaughter and discharge of animalsRead the Press Release
Justin Herdman, U.S. Attorney for the Northern District of Ohio, announced today that Amin M. Salem, age 61, of Westlake, was sentenced to 33-months imprisonment after entering a plea of guilty to money laundering, unpermitted discharged into a waterway of the United States, and the slaughter of animals for commercial use without a permit on December 17, 2019. According to court documents, Amin Salem operated an unregulated slaughterhouse in Elyria and polluted a stream by dumping animal blood and other fluids. Salem then laundered the profits from the illegal slaughterhouse operation at Cleveland-area gas stations.
"Salem's blatant disregard for the rules and regulations governing our food and water supply put the health of countless people at risk, all so he could make a quick profit," said U.S. Attorney Justin Herdman. "These actions, combined with his admitted money laundering activities, all show that Salem's sentenced was earned and justified."
“Amin Salem attempted to conceal the profits from the illegal sale of lamb through his legitimate gas station bank accounts, but the financial expertise of IRS Criminal Investigation and the joint investigative efforts of our federal, state and local counterparts unraveled this money laundering scheme,” said Bryant Jackson, Special Agent in Charge, IRS Criminal Investigation, Cincinnati Field Office.
“The defendants blatantly disregarded environmental laws by discharging animal waste directly into a local stream,” said Special Agent in Charge Jennifer Lynn of EPA’s criminal investigation program in Ohio. “This sentencing demonstrates that EPA and its law enforcement partners will not tolerate actions that endanger communities and natural resources.”
According to the indictment, from September 2014 through March 2016, Salem owned two properties in Elyria, Ohio where he, and others, slaughtered animals for commercial sale and personal consumption without any licenses or permits. As part of the slaughterhouse operation, Salem discharged blood and other bodily fluids into Engle Ditch, a waterway that emptied into Beaver Creek and Lake Eire. In total, Salem slaughtered at least 400 lambs or goats weighing approximately 25,000 pounds.
From October 2010 through March 2016, Salem owned several Cleveland area gas stations where he sold his adulterated and uninspected meat. Proceeds from the sales of the meat were deposited into gas station bank accounts in an attempt to conceal their source and further facilitate the illegal slaughtering operation. In total, over $695,000 was deposited into the banks accounts for the gas station located at 3934 West 117th Street in Cleveland, Ohio, with approximately $88,000 coming from the illegal sale of meat.
Also indicted in this matter were Mohamed Salem (Amin Salem's son), age 34, of Westlake and Zahran Al-Qadan, age 57, of Cleveland. Al-Qadan was sentenced to two years of probation, the first four months as home confinement. Mohamed Salem is awaiting sentencing.
This case was investigated by the FBI, IRS-Criminal Investigations, USDA-OIG, USDA-FSIS, EPA-CID, Ohio Investigative Unit, Ohio Department of Taxation, Ohio Department of Agriculture, BCI, Ohio EPA, Lorain County Sheriff's Office, Guernsey County Sheriff's Department, Cleveland Division of Police, Westlake Police Department and Strongsville Police Department.
This case was prosecuted by Assistant U.S. Attorneys Duncan Brown and Brad Beeson.
Volga Man Sentenced to Probation for Disturbing Protected Wetlands of the United StatesRead the Press Release
United States Attorney Ron Parsons announced that U.S. District Judge Karen E. Schreier sentenced a Volga, South Dakota, man convicted of Disturbing Protected Wetlands of the United States on July 6, 2020.
Kevin Jay Mast, age 63, was sentenced to 1 year unsupervised probation, a $100 fine, and $10 to the Federal Crime Victims Fund. Mast was also ordered to comply with the restoration of the protected wetlands on his land.
Mast was indicted for Disturbing Protected Wetlands of the United States by a federal grand jury on September 6, 2017. A jury convicted him of the violation on January 18, 2018.
However, Mast appealed the conviction to the Eighth Circuit Court of Appeals. The appellate court agreed with Mast, and the case was remanded for trial. Following a court trial on February 5, 2020, Mast was found guilty on May 21, 2020.
On January 19, 1973, an easement was voluntarily sold to the United States for waterfowl management rights. The easement prohibited the drainage of any wetland areas on the property. In 2010, U.S. Fish and Wildlife notified Mast that his plan to install drain tile conflicted with the protected wetlands and would not be permitted. Despite the warning, Mast installed the drain tile in the fall of 2013. Judge Schreier’s verdict concluded that Mast disturbed, injured, and destroyed the wetland areas protected by the easement, and did not have the authority and permission of the United States of America.
This case was investigated by the U.S. Fish and Wildlife Service and prosecuted by Assistant U.S. Attorney Jeffrey C. Clapper.
Virginia Defense Contractor Facing Federal Indictment in Maryland for Selling Chinese-Made Body Armor and Related Goods to Federal AgenciesRead the Press Release
Greenbelt, Maryland – A federal grand jury in Maryland has returned an indictment charging Arthur Morgan, age 67, of Lorton, Virginia, with federal wire fraud charges, in connection with federal contracts to provide helmets, body armor, and other items to military and other federal entities. The indictment was returned on July 6, 2020.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Eric D. Radwick of the General Services Administration (GSA) Office of Inspector General; Special Agent in Charge Ashan Benedict of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Washington Field Division; Special Agent in Charge John A. Salazar, Naval Criminal Investigative Service; and Special Agent in Charge Marc A. Meyer of the U.S. Department of State Office of Inspector General.
According to the indictment, Morgan is the Chief Executive Officer of Surveillance Equipment Group Inc. (SEG) and its relevant division, SEG Armor, both of which Morgan managed from Lorton, Virginia . The GSA enters into government-wide contracts with commercial firms to provide supplies and services that are available for use by federal agencies worldwide. All GSA contracts are subject to the Trade Agreements Act (TAA), which requires that all products listed on GSA contracts must be manufactured or “substantially transformed” in a “designated country.” China is not a designated country under the TAA. Contractors were not allowed, under these contracts, to supply products that did not comply with the TAA. Any such products would have been disqualified from eligibility under the contract. Further, a contractor’s failure to certify that its products complied with the TAA would have disqualified the contractor from eligibility for the contract. A contractor who falsely certified that a product was TAA compliant could not lawfully seek payment from the United States for that product.
The indictment alleges that Morgan falsely certified that the ballistic vests, helmets, riot gear, and other items he offered for sale were from designated countries, specifically, Hong Kong and the United States. The indictment alleges that while representing that none of SEG’s products offered to federal agencies under the relevant contract were manufactured in China, Morgan knowingly provided products that Morgan knew had been manufactured in China, in violation of the TAA and the contract. SEG received multiple federal government orders under the contract between 2003 and 2019. According to the indictment, between September 15, 2014 and August 29, 2019, approximately six federal government agencies placed at least 11 orders for ballistic and other law enforcement/security equipment from SEG—which SEG sourced from China in violation of the TAA, as part of the scheme to defraud— totaling approximately $658,866.92.
For example, the U.S. Navy placed an order with SEG for helmets, and Morgan had a series of e-mail communications with Navy contracting personnel in Indian Head, Maryland, including concerning SEG’s inability to meet the agreed-upon delivery schedule. The indictment alleges that in his e-mails, Morgan falsely advised the Navy contracting personnel that SEG had a factory in southern Virginia, that the helmets for the order “were in production” there, and that the delays were due to a backorder of materials needed for the helmets. The helmets that Morgan provided under the U.S. Navy order allegedly originated from China before Morgan sent them to the Navy, in violation of the TAA and the contract. Specifically, the indictment alleges that these products were manufactured by Chinese Company 1, from which Morgan knowingly ordered them.
On February 16, 2016, and March 10, 2016, the Defense Finance and Accounting Service paid SEG $127,069.60 and $191,990.28, respectively, for the U.S. Navy order. For all of the orders, federal government agencies paid SEG at least approximately $488,976.92.
If convicted, Morgan faces a maximum sentence of 20 years in federal prison for each of two counts of wire fraud. 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.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
United States Attorney Robert K. Hur commended the GSA OIG, the State Department OIG, the ATF, and the NCIS for their work in the investigation, and recognized the Army Major Procurement Fraud Unit, the Defense Criminal Investigative Service, Homeland Security Investigations, the FBI, the Air Force Office of Special Investigations, and the Coast Guard Investigative Service for their assistance. Mr. Hur thanked Assistant U.S. Attorney Elizabeth Wright, who is prosecuting the case.
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University Park, Illinois Man Sentenced to 153 Months ImprisonmentRead the Press Release
HAMMOND – Bernard Anthony Graham, age 27, of University Park, Illinois, was sentenced by U.S. District Court Senior Judge James T. Moody upon his plea of guilty to assaulting a federal officer and for discharging a firearm during crime of violence, announced United States Attorney Thomas L. Kirsch, II.
“My Office is dedicated to working with our federal, state and local law enforcement partners to bring offenders like this to justice,” said U.S. Attorney Thomas L. Kirsch II. “Law enforcement officers put their lives on the line every day to bring criminals to justice. Their work is extraordinarily dangerous, and we are grateful for it. A law enforcement officer was shot and multiple lives were affected by reckless criminal actions that won’t be tolerated and will be aggressively prosecuted.”
“The sentence imposed today reflects the seriousness of this crime while also providing closure for the law enforcement community,” commented ATF Special Agent in Charge Kristen deTineo Chicago Field Division. “Each and every day, law enforcement risks their safety while protecting the communities they serve, and we thank the United States Attorney’s office for their continued partnership in the fight against violent criminals.”
According to documents in this case, on June 7, 2018, in Gary, Indiana, the defendant, co-defendant Blake King, and Raymon Truitt pretended to sell guns to customers but they really planned to rob the customers. The defendant’s role in the robbery was to provide security as Raymon Truitt negotiated with the customers and King presented the “buyers” with a bag supposedly containing firearms but actually only contained pots and pans. While this was occurring, Raymon Truitt utilized a firearm to rob the buyers, who were in fact ATF federal law enforcement agents, of $1,550 of United States currency. During this robbery, Truitt and Graham both opened fire on the agents, and an ATF agent was shot, placing his life in jeopardy.
Blake King was previously sentenced to 120 months imprisonment in December 2019. Raymon Truitt is deceased.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives with the assistance of Lake County High Intensity Drug Trafficking Area officers and agents, the Indiana State Police, and the Lake County Prosecutor’s Office. The case was prosecuted by Assistant United States Attorneys Thomas McGrath, Thomas Mahoney, and Nicholas Padilla.
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United States Citizen Charged with Violating the Kingpin ActRead the Press Release
A complaint was unsealed yesterday in the Eastern District of New York charging Bryant Espinoza Aguilar, the stepson of Sinaloa Cartel leader and notorious fugitive Rafael Caro Quintero, with conspiring to commit violations of the Kingpin Act, an economic sanctions program against narcotics traffickers that is administered and enforced by the Office of Foreign Assets Control (OFAC) of the United States Department of Treasury. Specifically, Espinoza is charged with assisting Caro Quintero and his common law wife by putting their assets in his own name, thereby violating OFAC’s prohibition on United States Citizens from conducting financial transactions with specially designated narcotics traffickers.
The complaint was announced by Richard P. Donoghue, United States Attorney for the Eastern District of New York; Timothy J. Shea, Acting Administrator, Drug Enforcement Administration (DEA); Peter C. Fitzhugh, Special Agent-in-Charge, Homeland Security Investigations, New York Field Office (HSI); Dermot F. Shea, Commissioner, New York City Police Department (NYPD); and Keith M. Corlett, Superintendent, New York State Police (NYSP), announced the charge.
According to court filings, OFAC designated Caro Quintero as a specially designated narcotics trafficker in 2000, and designated Caro Quintero’s wife as a specially designated narcotics trafficker in 2016. The OFAC designations stem from Caro Quintero’s criminal history as the leader of the Caro Quintero drug trafficking organization, a faction of the Mexican organized crime syndicate known as the Sinaloa Cartel. Between January 1980 and January 2017, Caro Quintero led a continuing criminal enterprise responsible for importing into the United States and distributing massive amounts of illegal narcotics and conspiring to murder persons who posed a threat to his narcotics enterprise. The murder conspiracy includes Caro Quintero’s kidnapping and murder of DEA Special Agent Enrique “Kiki” Camarena in Guadalajara, Jalisco, Mexico in February 1985.
On August 9, 2013, a Mexican tribunal ruled that Caro Quintero could be released from custody because he had been tried improperly in a federal tribunal, rather than a state tribunal. The Mexican tribunal’s finding was later overturned, but Caro Quintero remains at large as a fugitive from Mexican and U.S. justice.
The complaint charges Espinoza Aguilar transferred property owned by his mother into his own name and bribed a public official to change the name of the property’s owner on public registry documents to protect the property from being restrained as a result his mother’s OFAC designation.
“As alleged, the defendant acted as a straw man to protect property purchased with the illicit, blood-stained proceeds of his stepfather’s drug trafficking empire from being seized by the government,” stated United States Attorney Donoghue. “This Office and our partners at the Drug Enforcement Administration are using every legal measure at our disposal to hold accountable those enablers of Caro Quintero and bring them to justice.” Mr. Donoghue expressed his grateful appreciation to the DEA’s Raleigh Division Office for its assistance on the case.
“On February 7, 1985, DEA was forever changed when Special Agent Enrique “Kiki” Camarena was kidnapped, tortured, and murdered in Guadalajara, Mexico,” stated DEA Acting Administrator Shea. “We will never forget his sacrifice and remain steadfast in our pursuit of the man responsible for his death, Rafael Caro Quintero, and those that continue to protect and enable his criminal activities. Let today’s action be a clear message to Caro Quintero, his family, and his criminal associates — we will stop at nothing in our pursuit for justice for SA Camarena.”
“While his stepfather, a Sinaloa Cartel leader, was specially designated by OFAC as a narcotics trafficker twenty years ago, Espinoza Aguilar is alleged to have violated the Kingpin Act by transferring his stepfather’s assets into his name, seeking to evade the sanctions program,” stated HSI Special Agent-in-Charge Fitzhugh. “HSI’s partnership with the DEA and its Strike Force is one in which collaboration is key, and will continue to focus on arresting those who pursue ways to circumvent the law and hide their criminal acts.”
“I commend the dedicated teamwork of the New York Strike Force which was instrumental in working to bring this suspect to justice. This defendant attempted to protect and hide the profits of dangerous narcotics that were our communities, profits made at the expense of the safety of our communities. We will continue to be vigilant in working together with our law enforcement partners to keep our neighborhoods safe, to keep harmful narcotics off our streets and those who commit these types of crimes, or protect those who do, are held accountable,” stated NYSP Superintendent Corlett.
“This case is another example of our joint responsibilities to eradicate international drug trafficking. Our NYPD detectives, and state and local partners, stop at nothing to stem the flow of illegal narcotics,” stated NYPD Commissioner Shea.
The investigation was led by the New York Strike Force, a crime-fighting unit comprising federal, state and local law enforcement agencies supported by the Organized Crime Drug Enforcement Task Force and the New York/New Jersey High Intensity Drug Trafficking Area. The Strike Force is based at the DEA’s New York Division and includes agents and officers of the DEA, New York City Police Department, New York State Police, Homeland Security Investigations, U.S. Internal Revenue Service Criminal Investigation Division, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Customs and Border Protection, U.S. Secret Service, U.S. Marshals Service, New York National Guard, Clarkstown Police Department, U.S. Coast Guard, Port Washington Police Department and New York State Department of Corrections and Community Supervision.
The charges in the complaint are allegations, and the defendant is presumed innocent unless and until proven guilty.
The government’s case is being handled by the Office’s International Narcotics and Money Laundering Section. Assistant United States Attorneys Gina M. Parlovecchio, Michael Robotti and Erin Reid are in charge of the prosecution.
The Defendant:
BRYANT ESPINOZA AGUILAR
Age: 30
United States and MexicoE.D.N.Y. Docket No. 20-MJ-458
United States Attorney and the Internal Revenue Service Remind Taxpayers of Upcoming Filing Deadline and to Remain Vigilant for FraudRead the Press Release
U.S. Attorney Ron Parsons, District of South Dakota, and Acting Special Agent in Charge Adam Steiner, IRS Criminal Investigation, St. Louis Field Office, are reminding taxpayers that the tax filing and payment deadline is July 15, and to continue to be on the lookout for scam artists.
Parsons and Steiner made the announcement today to urge people who owe taxes, even if they have a filing extension, to carefully review their situation and pay what they can by July 15 to avoid penalties and interest.
Due to COVID-19, the original filing deadline and tax payment due date for 2019 was postponed from April 15 to July 15. For people facing hardships, including those affected by COVID-19, who cannot pay in full, the IRS has several options available on IRS.gov/payments.
“Taxpayers who are unable to pay their taxes in full should act as quickly as possible since interest and penalties can rapidly accumulate when more time passes,” warned Steiner. “You must pay the taxes you owe by July 15.”
In addition, Parsons and Steiner reminded taxpayers that scammers are hard at work looking for ways to steal your personal information and your money. Stay alert! The IRS will not contact you by phone, email or social media to ask for personal information. It is a scam.
“Please make sure to file your taxes on time and never share your personal or financial information with anyone you do not know and trust,” said U.S. Attorney Parsons.
“IRS Criminal Investigation and the U.S. Attorney’s Office are focusing on bringing to justice criminals that use taxpayer’s personal information as an opportunity to commit a crime, especially those looking to prey on vulnerable taxpayers,” said Steiner.
For official information, go directly and solely to IRS.gov
U.S. Attorney Birge Announces Project Safe Neighborhoods Funding to Promote Violence Prevention and Community Policing in West MichiganRead the Press Release
Local Law Enforcement and Communities Working Together to Stop Violent Crime and Make Their Neighborhoods Safer
GRAND RAPIDS, MICHIGAN –United States Attorney Andrew Birge announced today that the Department of Justice has allocated a total of over $192,082 to the Western District of Michigan Project Safe Neighborhoods (PSN) grant for the year 2020. The goal of the PSN program is to reduce and prevent violent crime by supporting a combination of community-based prevention programs and evidence-based law enforcement efforts in areas identified as the most at-risk through data collection and analysis.
A committee of local prosecutors and law enforcement chiefs from Battle Creek, Benton Harbor, Kalamazoo, Grand Rapids, Lansing, and Muskegon/Muskegon Heights choose how to allocate the funds. The committee has focused on funding programs where law enforcement works with community members and non-governmental organizations to prevent violence, build strong community/law enforcement relations, and provide alternative opportunities and activities for those who might otherwise engage in violence. For example, last year the PSN grant funded an advocate to assist victims of violence and their families to navigate the justice system in Battle Creek; a community outreach worker to intercede with violent offenders on behalf of Kalamazoo’s innovative Group Violence Intervention program; and a series of midnight basketball tournaments in which Lansing Police Department members play alongside community members to help build positive relationships.
“With their choices on how to allocate the grant money, the committee of law enforcement leaders embrace a holistic, community partnership-building approach to reducing violent crime,” commented U.S. Attorney Birge.
The United States Attorney’s Office for the Western District of Michigan is committed to supporting local law enforcement, community organizations, and residents to reduce violent crime in our district. Senior Vice President Annette Chapman, of the Battle Creek Community Foundation, is the fiscal agent for the Western District of Michigan’s Project Safe Neighborhoods grant. Her dedication to the grant’s strategy, management, and community stakeholders is essential to the success of this program.
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Two Charged with Knowingly Selling Stolen MerchandiseRead the Press Release
JOHNSTOWN, Pa. - Two residents of Windber and Johnstown, Pa., were indicted by a federal grand jury in Johnstown on charges of conspiracy and interstate transportation of stolen property, United States Attorney Scott W. Brady announced today.
The Indictment named Bradley J. Charlton, 37, of Windber, Pa., and John P. Stuart, 38, of Johnstown, Pa.
According to the Indictment presented to the court, from Aug. 1, 2016, to Oct. 3, 2018, the named defendants conspired with one another, and with others, to commit certain offenses against the United States, that is, to unlawfully transport, transmit and transfer in interstate commerce goods, wares and merchandise knowing the same to have been stolen, converted, and taken by fraud.
It was part of the conspiracy that the defendants operated a retail plea market "Value-It" in Richland Township between 2016 and 2018. It was further part of the conspiracy that customers would bring stolen new merchandise to Value-It for purchase by the defendants. It was further part of the conspiracy that the defendants would purchase the stolen new merchandise, knowing it had been stolen. It was further part of the conspiracy that the stolen merchandise that had been purchased from the customers by Value-It was thereafter sold by Value-It at the store or over the Internet on websites such as Ebay. It was further part of the conspiracy that Value-It would receive monetary payments for the stolen merchandise that had been sold over the Internet.
Assistant U.S. Maureen Sheehan-Balchon is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Laurel Highlands Resident Agency, the Cambria County Detective Bureau, and the Richland Township Police Department conducted the investigation leading to the Indictment in this case.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Tulsa Man Sentenced to 235 Months in Federal Prison for Sex TraffickingRead the Press Release
A man convicted of sex trafficking a woman and obstructing the resulting investigation was sentenced today in U.S. District Court, announced U.S. Attorney Trent Shores.
U.S. District Judge Claire V. Eagan sentenced Ramar Travelle Palms, 31, of Tulsa, to 235 months in federal prison to be followed by 10 years of supervised release. The Court further ordered the defendant to pay restitution in the amount of $33,899.94, which is the approximate amount that Palms profited from trafficking the victim. Upon release from prison, Palms will be required to register as a sex offender.
“Ramar Palms targeted, isolated, degraded, and trafficked a female victim. But she found her voice and courageously testified against him at trial,” said U.S. Attorney Trent Shores. “Prosecuting sex traffickers remains a priority for my office, and a sentence of nearly 20 years in federal prison should send a strong message of deterrence.”
During her victim impact statement, the victim spoke of the mental and physical abuse she endured under Palms' control. “I want to make it clear that not only was my voice taken from me, but my choices, my right to be the very best mother I had always been before and should have been able to continue to be, my safety, my sense of security, and myself,” she said. “I’ve never in my life met anyone so good at what he loves to do, and that is to prey on the vulnerable.”
In January 2020, a jury convicted Palms of the sex trafficking through the use of force, fraud and coercion; attempted obstruction of sex trafficking enforcement; and transporting an individual for prostitution.
During Palms’ four-day trial, the United States showed that he trafficked the victim in Tulsa, Oklahoma City, Dallas, and Houston. Palms forced the victim to advertise on prostitution websites and book hotel rooms in her name, particularly in areas that were closer to higher paying, wealthier johns. He provided the money to advertise and book the rooms but did not allow his name to be associated with the activity in an effort to distance himself legally from the activity.
During the trial, Tulsa Police officer testified that he originally met the victim in November 2018 in Tulsa. The Vice officer answered an online advertisement for a “$100 Quick Visit” with the victim, which indicates a short prostitution visit. When the officer arrived, he noticed Palms at the bottom of the stairs watching him enter the hotel. Once with the victim, the officer identified himself and the two discussed the trafficking operation. The victim revealed that she did not willingly participate in prostitution.
The United States argued that the victim did not simply enter into a mutual agreement with Palms to participate in the sex trade as the defense contended. Prosecutors showed that Palms bragged about making money from selling women. They argued that Palms controlled the victim, the trafficking operations and the money he received from exploiting the victim. They stated that Palms was a “finesse pimp” who used charm to gain the victim’s trust and affection. Then later he began to use control, fear and violence to force and keep the victim in a life of prostitution. The victim described how Palms abused her, often strangling, beating, or holding a knife to her throat, when he was angry or she did not produce enough money.
Palms will remain in the custody of the U.S. Marshals Service until transfer to a U.S. Bureau of Prisons facility.
The Tulsa Police Department conducted the investigation. Assistant U.S. Attorneys Christopher Nassar and Edward Snow prosecuted the case.
Three Plead Guilty in Heroin Trafficking RingRead the Press Release
PITTSBURGH - Three Pittsburgh residents pleaded guilty in federal court to violating federal narcotics laws, United States Attorney Scott W. Brady announced today.
Corey Barlow, 22, of Pittsburgh, Pennsylvania; Leigh Fiumara, 43, of Pittsburgh, Pennsylvania; and Jennifer Blumling, 32, of Pitcairn, Pennsylvania pleaded guilty to one count before United States District Judge William S. Stickman, IV.
In connection with the guilty plea, the court was advised that Barlow, Fiumara, and Blumling conspired to distribute and possessed with intent to distribute heroin from September of 2018 through October of 2019. In 2018 the Federal Bureau of Investigation began investigating a heroin trafficking organization operating throughout the greater Pittsburgh area of which Barlow, Fiumara, and Blumling were members. Beginning in February of 2019 and continuing through September of 2019, the FBI initiated a Title III wiretap investigation into the organization. Barlow, Fiumara, and Blumling were intercepted communicating with their codefendants about acquiring quantities of heroin, prices of heroin, and the purity of the heroin. Through extensive physical and electronic surveillance, Barlow, Fiumara, and Blumling were observed meeting with their co-conspirators to conduct heroin transactions.
Judge Stickman scheduled sentencing for Barlow, Fiumara, and Blumling on November 17, 2020 at 10:30 a.m.; November 18, 2020 at 10:30 a.m.; and November 19, 2020 at 10:30 a.m., respectively. The law provides for a maximum total sentence of not more than 20 years in prison, a fine not to exceed $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Mark V. Gurzo is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation, Homeland Security Investigations, the Allegheny County Police Department, the Stowe Township Police Department, the Pittsburgh Bureau of Police, the Office of the Attorney General, the Allegheny County Sheriff's Office, the North Versailles Police Department, the Allegheny County Port Authority Police Department, the Munhall Police Department, and the Pennsylvania State Police conducted the investigation leading to the prosecution of Barlow, Fiumara, and Blumling.
This case is part of the Organized Crime Drug Enforcement Task Force program, known as OCDETF. OCDETF was established in 1982 to support comprehensive investigations and prosecutions of major drug trafficking and money laundering organizations. It is the keystone of the drug reduction strategy of the Department of Justice. By combining the resources and expertise of federal agencies and their state and local law enforcement partners, OCDETF identifies, disrupts, and dismantles the most serious drug trafficking, money laundering, and transnational criminal organizations.
Southbridge Man Arrested on Federal Drug ChargeRead the Press Release
BOSTON – A Southbridge man was arrested and charged today in connection with attempting to receive a kilogram of cocaine through the mail.
Revel Rivera, 42, was arrested yesterday afternoon and charged by criminal complaint with attempted possession with intent to distribute 500 grams or more of cocaine. Rivera will make an initial appearance before U.S. Magistrate Judge David H. Hennessy this afternoon.
According to the charging documents, law enforcement learned of a mail package suspected to contain illegal drugs destined for Rivera’s residence. After obtaining a warrant, federal agents opened the package and found approximately one kilogram of cocaine hidden inside. The agents removed the cocaine, resealed the package, and conducted a controlled delivery to Rivera’s residence on High Street in Southbridge. Federal agents arrested Rivera after he took possession of the sealed package and drove away from his residence.
The charge of attempted possession with intent to distribute 500 grams or more of cocaine provides for a mandatory minimum sentence of five years and up to 40 years in prison, at least four years of supervised release and a fine of up to $5 million. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, Boston Field Division; Joseph W. Cronin, Postal Inspector in Charge of the U.S. Postal Inspection Service, Boston Division; and Southbridge Police Chief Shane Woodson made the announcement today. Assistant U.S. Attorney Danial Bennett of Lelling’s Worcester Branch Office is prosecuting the case.
The details contained in the charging documents are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Shreveport Felon Sentenced for Unlawful Firearm PossessionRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced today that Kevin James Bell, 27, of Shreveport, was sentenced by Chief U.S. District Judge S. Maurice Hicks Jr., to two and a half years in federal prison followed by three years of supervised release for possession of a firearm by a convicted felon.
On February 13, 2018, an officer with the Shreveport Police Department responded to a call about an incident at a Shreveport apartment and came into contact with Bell. During the encounter with Bell, the officer observed a firearm in his waistband. Bell was arrested, and the officers seized the .22 caliber E15 Herbert Schmidt revolver. As part of his plea on May 21, 2020, Bell admitted that at the time he possessed the firearm, he knew that he had been previously convicted of three felonies. Under federal law, a convicted felon is not allowed to possess firearms or ammunition.
Bell was convicted of simple burglary in 2013, and simple burglary of an inhabited dwelling in 2014. In 2017, he was convicted of simple criminal damage to property.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Shreveport Police Department investigated the case. Assistant U.S. Attorney Brian C. Flanagan prosecuted the case.
This case was brought as part of the Project Safe Neighborhoods (PSN) initiative. PSN is a program that has been historically successful in bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. PSN plays a major role in the Department of Justice’s violent crime reduction strategy. 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. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Seventh Former eBay Employee Charged in Aggressive Cyberstalking CampaignRead the Press Release
BOSTON – A seventh former employee of eBay, Inc. has been charged with participating in a cyberstalking campaign targeting a Natick, Mass. couple who published a newsletter that eBay executives viewed as critical of the company.
Philip Cooke, 55, of San Jose, Calif., a former police captain in Santa Clara, Calif., and a supervisor of security operations at eBay’s European and Asian offices, was charged by Information with conspiracy to commit cyberstalking and conspiracy to tamper with witnesses. Cooke will appear in federal court in Boston at a later date.
According to charging documents, Cooke conspired with six other former eBay employees: David Harville, 48, of New York City; James Baugh, 45, of San Jose, Calif.; Stephanie Popp, 32, of San Jose, Calif.; Stephanie Stockwell, 26, of Redwood City, Calif.; Veronica Zea, 26, of San Jose, Calif.; and Brian Gilbert, 51, of San Jose, Calif. Harville and Baugh were charged on June 15, 2020, with conspiracy to commit cyberstalking and conspiracy to tamper with witnesses. The charging documents identified Cooke as “Supervisor 1.” A previously filed Information charging Gilbert, Popp, Stockwell, and Zea with the same offenses was also unsealed on June 15, 2020.
According to the charging documents, the victims of the cyberstalking campaign were a Natick couple who are the editor and publisher of an online newsletter that covers ecommerce companies, including eBay. Members of eBay’s executive leadership team followed the newsletter’s posts, often taking issue with its content and the anonymous comments underneath the editor’s stories.
It is alleged that in August 2019, the defendants allegedly executed a three-part harassment campaign. Among other things, several of the defendants ordered anonymous and disturbing deliveries to the victims’ home, including a preserved fetal pig, a bloody pig Halloween mask, a funeral wreath, a book on surviving the loss of a spouse, and pornography – the last of these addressed to the newsletter’s publisher but sent to his neighbors’ homes.
As part of the second phase of the campaign, some of the defendants allegedly sent private Twitter messages and public tweets criticizing the newsletter’s content and threatening to visit the victims in Natick. The charging documents allege that Cooke, Baugh, Gilbert, and Popp planned these messages to become increasingly disturbing, culminating with “doxing” the victims (i.e., publishing their home address). It is alleged that the same group intended then to have Gilbert, a former Santa Clara police captain, approach the victims with an offer to help stop the harassment that the defendants were secretly causing, in an effort to promote good will towards eBay, generate more favorable coverage in the newsletter, and identify the individuals behind the anonymous comments.
The third phase of the campaign allegedly involved covertly surveilling the victims in their home and community. The victims spotted the surveillance, however, and notified the Natick police, who began to investigate.
Aware that the police were investigating, the defendants allegedly sought to interfere with the investigation by lying to the police about eBay’s involvement while pretending to offer the company’s assistance with the harassment, as well as by lying to eBay’s lawyers about their involvement. For example, it is alleged that Cooke and several of the other defendants discussed the possibility of presenting Natick Police with a false investigative lead to keep the police from discovering video evidence that could link some of the deliveries to eBay employees. As the police and eBay’s lawyers continued to investigate, the defendants allegedly deleted digital evidence that showed their involvement, further obstructing what had by then become a federal investigation.
The charges of conspiracy to commit cyberstalking and conspiracy to tamper with witnesses each carry a sentence of up to five years in prison, three years of supervised release, a fine of up to $250,000 and restitution. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Natick Chief of Police James G. Hicks made the announcement today. eBay provided valuable assistance and cooperation with the federal investigation. Assistant U.S. Attorneys Seth B. Kosto and David J. D’Addio of Lelling’s Securities, Financial and Cyber Fraud Unit are prosecuting the case.
The details contained in charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Seven Arrested, Facing Federal Charges After Weekend Riots at Hatfield Federal Courthouse (Photo)Read the Press Release
PORTLAND, Ore.—U.S. Attorney Billy J. Williams announced today that seven people have been arrested and face federal charges for their roles in weekend riots at the Mark O. Hatfield U.S. Courthouse in Portland.
According to court documents, since May 26, 2020, protests in downtown Portland have regularly been followed by nightly criminal activity including assaults on law enforcement officers, destruction of property, looting, arson, and vandalism.
Rowan Olsen, 19, of Portland, is charged with disorderly conduct, creating a hazard on federal property, and failing to obey a lawful order; Shant Singh Ahuja, 28, of Oceanside, California, is charged with destruction of federal property; and Andrew Steven Faulkner, 24, of Beaverton, Oregon; Gretchen Margaret Blank, 29, of Seattle, Washington; Christopher Fellini, 31, of Portland; Cody Porter, 28, of Portland; and Taimane Jame Teo, 24, of Eugene, Oregon, are charged with assaulting federal officers.
The Hatfield Federal Courthouse has been a repeated target of vandalism, sustaining extensive damage. U.S. Marshals Service deputies and officers from the Federal Protective Service, Homeland Security Investigations, and U.S. Customs and Border Protection working to protect the courthouse have been subjected to threats; aerial fireworks including mortars; high intensity lasers targeting officers’ eyes; thrown rocks, bottles, and balloons filled with paint from demonstrators while performing their duties.
On July 2-3, 2020, Olsen is accused of using his body to push on and hold a glass door at the Hatfield Courthouse closed, preventing officers from exiting the building and causing the door to shatter. With the door broken, a mortar firework entered the courthouse, detonating near the officers. The officers used shields and their bodies to block the open doorway for approximately six hours until demonstrators dispersed.
On July 4, 2020, Ahuja is accused of willfully destroying a closed-circuit video camera mounted on the exterior of the Hatfield Courthouse.
On July 5, 2020, Blank is accused of assaulting a federal officer with a shield while the officer was attempting to arrest another protestor.
On July 5-6, 2020, Faulkner, Fellini, Porter, and Teo are accused of assaulting federal officers with high intensity lasers. At the time of his arrest, Faulkner also possessed a sheathed machete.
All seven defendants made their first appearances in federal court on July 6, 2020 and were released pending trial.
A criminal complaint is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
These cases are being investigated jointly by the U.S. Marshals Service; FBI; U.S. Bureau of Alcohol, Tobacco, Firearms, and Explosives; Federal Protective Service; U.S. Customs and Border Protection; and Homeland Security Investigations.
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.
Glass courthouse door broken by Olsen Pyrotechnic mortar exploding in courthouse lobby after glass door was broken by Olsen Fellini possessions seized during arrest Front of shield used by Blank to assault federal officer Back of shield use by Blank to assault federal officerRapid City Man Indicted on Cocaine, Marijuana, and Firearm ChargesRead the Press Release
United States Attorney Ron Parsons announced that a Rapid City, South Dakota, man has been indicted by a federal grand jury for Conspiracy to Distribute Cocaine and Marijuana, and Possession of a Firearm by a Prohibited Person.
Michael Kearney, age 28, was indicted on March 9, 2020. He appeared before U.S. Magistrate Judge Mark A. Moreno on July 2, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is up to 20 years in federal prison and/or a $1,000,000 fine, up to a lifetime of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that beginning on or about the 1st day of January 2017, through the 1st day of March 2018, Kearney knowingly and intentionally, combined, conspired, confederated, and agreed with persons known and unknown, to knowingly and intentionally distribute and possess with intent to distribute cocaine and marijuana. Further, on July 23, 2017, Kearney, knowing he was an unlawful user of and addicted to a controlled substance, knowingly possessed a firearm.
The charges are merely accusations and Kearney is presumed innocent until and unless proven guilty.
Drug trafficking is an inherently violent activity. Firearms are tools of the trade for drug dealers. It is common to find drug traffickers armed with guns in order to protect their illegal drug product and cash, and enforce their illegal operations.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and local communities to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
The investigation is being conducted by the Northern Plains Safe Trails Drug Enforcement Task Force, the Rosebud Sioux Tribe Law Enforcement Services, and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Meghan N. Dilges is prosecuting the case.
Kearney was released on bond pending trial. A trial date has not been set.
Raleigh Man Sentenced to More Than 10 Years for Fiddle Stix RobberyRead the Press Release
GREENVILLE, N.C. – A Raleigh man was sentenced today to 130 months’ imprisonment for robbing the Fiddle Stix Convenience Store located on Capital Boulevard in Raleigh and for illegally possessing a firearm in furtherance of his robbery.
According to court documents, Ramadhan Jaabir Justice, 25, was named in a three-count Indictment filed in the Eastern District of North Carolina on October 2, 2019. The Indictment charged Hobbs Act Robbery, Brandishing a Firearm in Furtherance of a Crime of Violence and Possession of a Firearm by a Convicted Felon. On January 13, 2020, the defendant pled guilty to Hobbs Act Robbery and Brandishing a Firearm in Furtherance of a Crime of Violence.
In the early morning hours on March 6, 2019, the Raleigh Police Department (RPD) responded to an armed robbery call at the Fiddle Stix Convenience Store located on Capital Boulevard. Upon their arrival, RPD detectives met with the store clerk (victim) and learned that two individuals entered the store. One male went to the restroom while the second male remained in the store area. While both men were in the store, the victim exited the enclosed cash register area and proceeded to the restroom. Upon the victim’s return to the enclosed cash register area, one of the individuals, later identified as Justice, lowered a black mask over his head, brandished a pistol, and prevented the victim from entering the secured enclosed area.
According to the victim, Justice and the second unknown individual asked where the money was kept, and he told them. The victim was forced into the back office and was told to sit on the floor in the corner of the back office until Justice and his partner left the store. A review of the surveillance footage confirmed that Justice possessed a handgun during the robbery. An inventory of the money taken during the robbery confirmed that $3,291.00 was taken from the store.
Robert J. Higdon, Jr., U.S. Attorney for the Eastern District of North Carolina made the announcement after sentencing by Senior U.S. District Judge Malcolm J. Howard. The Bureau of Alcohol, Tobacco, Firearms & Explosives, and the Raleigh Police Department (RPD) investigated the case and Assistant U.S. Attorney Daniel W. Smith prosecuted the case.
Related court documents and information are located on the website of the U.S. District Court for the Eastern District of North Carolina or on PACER by searching for Case No. 5:19-cr-00406-H.
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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
President’s Commission on Law Enforcement and the Administration of Justice Holds Hearing on Accreditation and Community EngagementRead the Press Release
Last week, the President’s Commission on Law Enforcement and the Administration of Justice continued its series of hearings on community engagement and held a hearing on accreditation. The hearings were conducted via teleconference and featured expert witnesses who provided testimony and answered questions from the commissioners.
On Tuesday, June 30, 2020, the commission received testimony from Dean Register, Director of the Florida Department of Law Enforcement; Walton County (Fla.) Sheriff Michael Adkinson; Brentwood (Tenn.) Police Chief Jeff Hughes; Tim Bourgeois, Executive Director of the Michigan Commission on Law Enforcement Standards; and Colorado Springs (Colo.) Police Chief Vince Niski.
The panelists discussed accreditation and standards in law enforcement. Testimonies focused on the value of accreditation and the impact it has on enhancing law enforcement and building trust in communities, what it takes to develop a successful accreditation program, the differences between state and national models, and the need for credentialing bodies to involve law enforcement practitioners and other subject matter experts to develop and maintain accreditation standards.
On Wednesday, July 1, 2020, the commission received testimony from Dr. Lorie Fridell, Professor in the Department of Criminology at the University of South Florida; Clearwater (Fla.) Police Chief Daniel Slaughter; and Dr. David Klinger, Professor of Criminology & Criminal Justice at the University of Missouri-St. Louis.
The panel focused on interactions and relationships between communities and law enforcement. Testimony delved into the importance of implicit bias training, the impact implicit bias has on harming relationships between communities and law enforcement, and the need for a culture shift across the nation in order for law enforcement at all levels to perform in the safest way possible.
On Thursday, July 2, 2020, the commission received testimony from Sean Sheppard, Founder of Game Changer, and Luann P. Pannell, Ph.D., Director of Police Training and Education for the Los Angeles Police Department.
The panel focused on community engagement and respect for law enforcement. Mr. Sheppard discussed his organization’s model of using community residents to help train law enforcement in community policing and interpersonal communication. Dr. Pannell discussed the importance of adapting training to meet modern needs. For instance, she testified: “There seems to be misinformation that the number of hours of training equates to the significance or the outcome of training, and that’s just not true. It’s the quality and caliber of the training that will matter most when it comes to optimal performance in the field. For every training hour we receive, we should be questioning if it is teaching them to master and replicate the same skills in the field.”
For more information on the commission, please visit: https://www.justice.gov/ag/presidential-commission-law-enforcement-and-administration-justice
Audio recordings and transcripts of the hearings will be posted online once available.
Pennsylvania man admits to bank fraudRead the Press Release
WHEELING, WEST VIRGINIA – Randall Joseph Smail, of Jeannette, Pennsylvania, has admitted to bank fraud, U.S. Attorney Bill Powell announced.
Smail, age 23, pled guilty today to one count of “Bank Fraud.” Smail defrauded Pendleton Community Bank of approximately $552,533. Smail created a fictitious account statement from Kraken Bitcoin Exchange, showing he had $640,000,000 in Bitcoin currency that he produced when applying for a loan from the bank, knowing he did not own any Bitcoin currency. He also produced other fictitious paperwork, showing $10,000,000 in another bank that he transferred from his cryptocurrency account, all of which he knew was false. He used these false documents to defraud the bank.
Smail faces up to 30 years of incarceration and a fine of up to $1,000,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Danae Demasi-Lemon is prosecuting the case on behalf of the government. The West Virginia State Police investigated.
U.S. Magistrate Judge James P. Mazzone presided.
Owner of Virginia Company Pleads Guilty to $2.8 Million Medicaid FraudRead the Press Release
RICHMOND, Va. – A Texas woman pleaded guilty today to defrauding the Virginia Medicaid Program out of more than $2.8 million.
According to court documents, Katrina Lynch, 39, of Cypress, owned and operated A Tender Heart, LLC, a company based in Midlothian. A Tender Heart was enrolled with the Virginia Medicaid Program as a Service Facilitator, a Medicaid provider that ensures Medicaid recipients receive needed and required services. Between 2011 and 2018, Lynch routinely submitted bills to Medicaid for services that her company never provided. For example, Lynch submitted bills to Medicaid for services supposedly provided to Medicaid recipients that had died, recipients that were hospitalized, recipients that transferred to other Service Facilitators, and recipients that had not been visited by any company employees for months.
Lynch pleaded guilty to one count of health care fraud, and faces a maximum penalty of 20 years in prison when sentenced on December 1. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Mark R. Herring, Attorney General of Virginia; and David W. Archey, Special Agent in Charge of the FBI’s Richmond Field Office, made the announcement after U.S. District Judge David J. Novak accepted the plea. Assistant U.S. Attorney Katherine Lee Martin 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. 3:19-cr-174.
Orange County Man Indicted on Charges that He Stole Boeing Employees’ Identities, Siphoned Money from Their Retirement PlanRead the Press Release
LOS ANGELES – A federal grand jury today indicted an Orange County man on charges that he fraudulently obtained access to Boeing employees’ retirement accounts and siphoned their money by making hundreds of thousands of dollars’ worth of fraudulent money transfers to himself.
Hoa Vo, 30, whose aliases include “Hoa Thanh Tran Vo” and “Andy Vo,” of Santa Ana, is charged with three counts of bank fraud and one count of aggravated identity theft.
According to the indictment, from January 2019 to June 2019, Vo obtained the personal identifying information of Boeing employees, along with information about their retirement accounts, known as Voluntary Investment Plan (VIP) accounts. Vo then allegedly made fraudulent withdrawal requests for checks and electronic money transfers totaling hundreds of thousands of dollars from the VIP accounts of various Boeing employees.
Knowing that notifications and checks related to these fraudulent requests would be mailed out, Vo placed holds on the Boeing employees’ mail with the United States Postal Service, the indictment further alleges. Once the mail was held, Vo allegedly intercepted the mail by presenting to a postal employee a fraudulent California driver’s license with a Boeing employee’s personal identifying information, and a fraudulent note purportedly written or signed by the Boeing employee authorizing Vo to pick up the employee’s mail.
Vo allegedly then deposited the stolen checks into a bank account that had been fraudulently opened in a Boeing employee’s name. Vo also cashed checks written to himself from the fraudulently opened bank account by using the Boeing employee’s forged signature, and endorsed the checks himself, according to the indictment.
In total, Vo attempted to obtain approximately $783,328 from Boeing employees’ VIP accounts, and actually obtained approximately $360,847, the indictment alleges.
An indictment contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
If convicted of all charges, Vo would face a statutory maximum sentence of 92 years in federal prison.
This matter was investigated by the United States Secret Service, the Huntington Beach Police Department, the Irvine Police Department, and the Westminster Police Department.
This case is being prosecuted by Assistant United States Attorney Daniel S. Lim of the Santa Ana Branch Office.
Navajo woman sentenced to 33 months in federal prison for conspiracy to distribute heroin in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Savannah Secatero, 37, of Alamo, New Mexico was sentenced today in federal court in Albuquerque to 33 months in prison followed by 3 years of supervised release for conspiracy to distribute heroin.
Secatero previously pled guilty to this offense on Dec. 11, 2019. According to her plea agreement, Secatero admitted receiving weekly shipments of heroin at her home on the Navajo Nation Alamo Reservation from August to December 2017. Secatero sold the heroin locally. On Dec. 18, 2017, Secatero possessed a handgun, drug ledger, and drug packaging at her residence while waiting for more heroin to arrive.
The Federal Bureau of Investigation and the Navajo Nation Police Department investigated this case. Assistant U.S. Attorney David P. Cowen prosecuted the case.
Muskogee Man Pleads Guilty to Methamphetamine Distribution and Firearms Possession in Furtherance of Drug TraffickingRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Brent Allen Haire, age 42, of Muskogee, Oklahoma entered a guilty plea to Possession With Intent To Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(B), punishable by not less than 5 years and not more than 40 years imprisonment, a fine up to $5,000,000.00, or both; to Possession Of Firearms In Furtherance Of Drug Trafficking Crime, in violation of Title 18, United States Code, Section 924(c), punishable by not less than 5 years to run consecutive to any other term of imprisonment imposed, a fine up to $250,000.00, or both; and to Felon In Possession Of Firearms, in violation of Title 18, United States Code, Sections 922(g)(1) and 924(a)(2), punishable by not more than 10 years imprisonment, a fine up to $250,000.00, or both.
The Indictment alleged that on or about February 24, 2020, in the Eastern District of Oklahoma, the defendant, did knowingly and intentionally possess with intent to distribute 50 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The Indictment further alleged that on or about February 24, 2020, in the Eastern District of Oklahoma, the defendant, did knowingly possess firearms in the furtherance of a drug trafficking crime for which he may be prosecuted in a court of the United States, that is, Possession with Intent to Distribute Methamphetamine as alleged in Count One.
The Indictment further alleged that on or about February 24, 2020, in the Eastern District of Oklahoma, the defendant, having been convicted of a crime punishable by imprisonment for a term exceeding one year, and knowing of said conviction, did knowingly possess in and affecting commerce, firearms which had been shipped and transported in interstate commerce.
The charges arose from an investigation by the Muskogee Police Department and the Drug Enforcement Administration.
The Honorable Steven P. Shreder, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Nalani Ching represented the United States at the change of plea hearing.
Montana Psychiatrist Sentenced for Unlawful Possession of an OpioidRead the Press Release
Helena—A Montana psychiatrist who admitted to unlawfully prescribing and abusing an opioid was sentenced today to five years of probation and ordered to pay a fine of $4,000, U.S. Attorney Kurt Alme said. In addition, as part of his sentence the psychiatrist cannot prescribe any controlled substance during his five years of probation.
Richard E. Mitchell, 35, pleaded guilty in March to unlawful possession of a controlled substance.
U.S. District Judge Sam E. Haddon presided.
In court documents filed in the case, the prosecution said that Mitchell is a physician who was previously employed as a psychiatrist at the VA Medical Center at Fort Harrison near Helena. On April 24, 2019, Mitchell wrote a prescription for Norco, which contains the opioid Hydrocodone and is a controlled substance, for a woman who was not a patient of the VA Medical Center. Mitchell was with the woman at the pharmacy when she filled the prescription, where the pharmacist recognized Mitchell and noted his unusual behavior. After obtaining the prescription, Mitchell and the woman later crushed some of the opioid pills and snorted them.
Law enforcement was notified by the pharmacist who filled the opioid prescription of Mitchell’s erratic behavior while at the pharmacy. When questioned by law enforcement, Mitchell admitted that he was in a romantic relationship with the woman and that they had crushed and snorted some pills containing Hydrocodone.
Assistant U.S. Attorney Michael A. Kakuk and former Assistant U.S. Attorney Megan Dishong prosecuted the case, which was investigated by the Department of Veterans Affairs and the Drug Enforcement Administration.
Middlesex County Man Charged with Stealing and Altering U.S. Treasury CheckRead the Press Release
NEWARK, N.J. – A Middlesex County, New Jersey, man has been charged with bank fraud, theft, and identity theft U.S. Attorney Craig Carpenito announced today.
Bernard Lopez, 40, of Sayreville, New Jersey, is charged by complaint with one count of bank fraud, one count of theft of government funds, and one count of aggravated identity theft. He was arrested on July 6, 2020, appeared today by teleconference before U.S. Magistrate Judge Lauren F. Louis in the Southern District of Florida, and is expected to appear by videoconference before U.S. Magistrate Judge Leda Dunn Wettre later this week.
According to the documents filed in this case and statements made in court:
On Oct. 5, 2019, Lopez used a victim’s Social Security number and business documents pertaining to a sham business that he had created to open a fraudulent bank account in that business’ name. Lopez then fraudulently obtained a U.S. Treasury check, which was fraudulently altered to be made payable to the sham business in the amount of $211,887 and deposited it into the account. Lopez then either withdraw or transfer the stolen proceeds from the fraudulent business bank account before anyone could detect the fraud.
The bank fraud charge carries a maximum penalty of 30 years in prison and a fine of the greatest of $1 million or twice the gain derived from, or loss caused by, the offense. The theft of government funds charge carries a maximum penalty of 10 years in prison and a fine of the greatest of $250,000 or twice the gain derived from, or loss caused by, the offense. The aggravated identity theft charge carries a mandatory term of imprisonment of two years, which must run consecutively to any other term of imprisonment imposed.
U.S. Attorney Carpenito credited special agents and task force officers of the U.S. Department of the Treasury-Office of Inspector General, under the direction of Assistant Inspector General for Investigations Sally D. Luttrell, with the investigation leading to the charges. He also thanked the U.S. Department of Homeland Security, Homeland Security Investigations, under the direction of Special Agent in Charge Jason J. Molina, for assistance in the investigation.
The government is represented by Assistant U.S. Attorney Perry Farhat of the Government Fraud Unit of the U.S. Attorney’s Office’s Criminal Division in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Mexican man convicted of importing over two tons of marijuanaRead the Press Release
LAREDO, Texas – A 30-year-old resident of Nuevo Laredo, Tamaulipas, Mexico, faces up to life in prison after admitting to conspiracy to import and importing more than 1,000 kilograms of marijuana, announced U.S. Attorney Ryan K. Patrick.
Ruben Maldonado-Espino drove a semi-truck and trailer through the World Trade Bridge near Laredo on May 7. Authorities conducted an x-ray examination of the vehicle which revealed anomalies in the trailer.
Law enforcement began to open the doors, at which time Maldonado-Espino admitted he knew drugs were in the trailer. He claimed a Mexican drug cartel was holding his wife hostage and forced him to smuggle the narcotics.
However, authorities contacted his wife who appeared to be calm and not under distress. Maldonado-Espino eventually admitted the story was a lie he was told to give to law enforcement.
The 198 bundles of marijuana found in the trailer weighed approximately 4,601 pounds with an estimated street value of $875,000.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing Oct. 28. At that time, Maldonado-Espino faces a minimum of 10 years and up to life in federal prison. He has been and will remain in custody pending that hearing.
Immigration and Customs Enforcement’s Homeland Security Investigations conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul Harrison is prosecuting the case.
Many Resident Pleads Guilty to Possession of a Firearm in Furtherance of a Drug Trafficking CrimeRead the Press Release
SHREVEPORT, La. – United States Attorney David C. Joseph announced that Octavius White, 26, of Many, Louisiana, pled guilty today before U.S. Magistrate Mark L. Hornsby, to possession of a firearm in furtherance of a drug trafficking crime.
On November 16, 2016, officers with the Many Police Department arrested Octavius White on outstanding warrants. When the officers approached the vehicle where White was sitting in the passenger seat, they notified him of the warrants and placed him under arrest. Officers found ten individually wrapped smaller bags of a white rock powder-like substance, five individually wrapped smaller bags of marijuana, $373 in cash, and a digital scale in White’s pockets. Also, during a search of the vehicle officers retrieved a loaded 9mm XD-9 Springfield Armory pistol from under the seat where White was sitting. The white rock powder-like substance was tested and determined to be 19.03 grams of a mixture containing methamphetamine; the suspected marijuana was confirmed to be 11.97 grams.
White faces up to five years in prison, up to five years of supervised release, a $250,000 fine, as well as forfeiture of the firearm related to this offense.
The Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and Many Police Department conducted the investigation. Assistant U.S. Attorney Tennille Gilreath is prosecuting the case.
This case was brought as part of the Project Safe Neighborhoods (PSN) initiative. PSN is a program that has been historically successful in bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make neighborhoods safer for everyone. PSN plays a major role in the Department of Justice’s violent crime reduction strategy. 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. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Man from San Fidel, New Mexico sentenced to 12 years in federal prison for sexually abusing child in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Horacio Benjamin Trujillo, 42, of San Fidel, New Mexico was sentenced on July 7 in federal court in Albuquerque to 12 years in prison for sexually abusing a child under the age of 12 in Indian Country.
Trujillo pleaded guilty to this offense on Oct. 28, 2019. In his plea agreement, Trujillo admitted making the child victim touch his penis at Laguna/Acoma High School where Trujillo worked as a custodian. This abuse occurred between Aug. 13, 2015 and May 28, 2015. At the time of the abuse, the victim was between 10 and 11 years old. Trujillo is a non-Indian. The victim in an enrolled member of the Pueblo of Laguna.
The Bureau of Indian Affairs investigated this case with assistance from the Cibola County Sheriff’s Department. Assistant U.S. Attorney Allison Jaros prosecuted the case.
Man Indicted by Federal Grand Jury for Attempting to Burn Down Metropolitan Police Department StationRead the Press Release
WASHINGTON – Jerritt Jeremy Pace, 39, of Washington, D.C., was indicted today by a federal grand jury, charging him with multiple offenses related to his attempt to burn down a police precinct, announced Acting U.S. Attorney Michael R. Sherwin; Special Agent in Charge of the Washington Field Division of the U.S. Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Ashan M. Benedict; and Chief of the Metropolitan Police Department (MPD) Peter Newsham.
Pace was arrested on May 29, 2020. On June 11, 2020, Pace was charged by Criminal Complaint with receiving an explosive in interstate commerce, using an instrumentality of interstate commerce to threaten the use of explosives, and attempted arson. On June 12, 2020, the Honorable U.S. Magistrate Judge Robin M. Meriweather held Pace without bond pending trial. Today, a federal grand jury returned an Indictment against Pace charging him with three federal arson and explosives offenses.
The Criminal Complaint and Indictment stem from an incident on or about May 29, 2020, when Pace announced on social media his intent to burn down a police station. Pace encouraged rioting against law enforcement and suggested that his followers go to MPD’s Fourth District Station, located at 6001 Georgia Avenue N.W., Washington, D.C., to burn the station and “riot with the rest of the nation.” That morning, around 6 o’clock, Pace filled a plastic laundry detergent container with gasoline and a wick and ignited it in front of the Fourth District Station. Although the physical building remained unharmed and no one was injured, the container exploded and burned on the sidewalk. Pace was immediately apprehended by an off-duty detective and police officer.
Both the Criminal Complaint and the Indictment are formal accusations of criminal conduct, not evidence of guilt. A defendant is presumed innocent unless proven guilty. If convicted, Pace faces a maximum sentence of 10 years in prison for each count, a fine of up to $250,000, and three years of supervised release.
“While the United States Attorney’s Office for the District of Columbia acknowledges the First Amendment right of individuals to protest peacefully, conduct that poses a grave risk to law enforcement, peaceful protestors, and community members alike will be prosecuted,” said Acting U.S. Attorney Michael R. Sherwin. “The quick investigative efforts of ATF and MPD thwarted a dangerous person’s attempt to use a makeshift gasoline bomb to potentially cause – in addition to property damage – serious bodily harm or death to law enforcement officers and members of our community.”
“Today’s indictment is a testament to the dedicated investigative work of the ATF/DC Arson & Explosives Task Force, in partnership with the Metropolitan Police Department and DC Fire Department. Swift identification of violent offenders is key to stopping criminal acts that can destroy property, harm people, and take lives,” said ATF Washington Special Agent in Charge Ashan Benedict. “ATF will continue to work closely with our law enforcement partners to ensure the safety of our communities and the officers who serve them.”
In announcing the Indictment, Acting U.S. Attorney Sherwin, Special Agent in Charge Benedict, and Chief Newsham commended the work of those who investigated the case. Finally, they cited the efforts of those who worked on the case from the U.S. Attorney’s Office for the District of Columbia, including Assistant U.S. Attorneys James B. Nelson and Christopher A. Berridge, Paralegal Specialist Candace Battle, and Legal Assistants Peter Gaboton and Teesha Tobias.
Lynn Man Pleads Guilty to Money Laundering and Visa FraudRead the Press Release
BOSTON – A Lynn man pleaded guilty today in connection with money laundering and visa fraud.
Fortune Aikorogie, a/k/a Imuetinyan Aikorogie, a/k/a Fortune Aikoriogie, a/k/a Imuetinyan Aikoriogie, 33, pleaded guilty to one count of making a false statement to a bank, five counts of money laundering and one count of visa and passport fraud. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Oct. 14, 2020. In March 2019, Aikorogie was charged by indictment.
On Sept. 28, 2016, Aikorogie used a counterfeit Zimbabwean passport and U.S. visa bearing his photograph, but with the fictitious name “Tinashi Chipo,” to open an account at a branch of TD Bank in Dracut. Aikorogie had obtained the counterfeit documents from a friend in Africa to whom he had texted a photo of himself. Between Oct. 5 and Dec. 15, 2016, two women in Texas whom Aikorogie did not know wired a total of $75,500 into the Chipo account. They did so at the request of fraudsters who romanced them online. One victim was a 71-year old widow with advanced Parkinson’s disease and the other was a 78-year old retiree. Aikorogie withdrew the money from the Chipo account in cash and delivered it to men he did not know at the direction of his friend in Africa. A bank investigator became suspicious of the account activity and called the phone number on the Chipo account signature card. Aikorogie answered, pretending to be Tinashi Chipo, and claimed that the wired money was for his uncle’s construction business. The investigator told “Chipo” that the bank was going to close his account and to visit a branch. Aikorogie went to the Lawrence branch, where he was met by local police, who confiscated the counterfeit passport and visa.
The charge of making a false statement to a bank provides for a sentence of up to 30 years in prison, five years of supervised release and a fine of $1 million. The charge of money laundering provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $500,000. The charge of visa/passport fraud provides for a sentence of up to 10 years in prison, three years of supervised release and a $250,000 fine. Sentences are imposed by a federal district court judge based on the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; William B. Gannon, Special Agent in Charge of the U.S. State Department’s Diplomatic Security Service, Boston Field Office; and Lawrence Police Chief Roy P. Vasque made the announcement. Assistant U.S. Attorney Christine Wichers of Lelling’s Major Crimes Unit is prosecuting the case.
Leader of Boston Chapter of Latin Kings Pleads Guilty to Racketeering Conspiracy and Drug Conspiracy ChargesRead the Press Release
BOSTON – The former leader of the Boston-based Devon Street Kings Chapter of the Massachusetts Almighty Latin King and Queen Nation (“Latin Kings”) pleaded guilty today to racketeering charges.
Wilson Peguero, a/k/a “King Dubb,” 29, pleaded guilty to conspiracy to conduct enterprise affairs through a pattern of racketeering activity, more commonly referred to as RICO conspiracy. U.S. Senior District Court Judge Rya W. Zobel scheduled sentencing for Oct. 20, 2020. Wilson Peguero was arrested and charged in December 2019, at which time he was the leader of the Devon Street Kings, a Boston-based Chapter of the Latin Kings.
The Latin Kings are a violent criminal enterprise comprised of thousands of members across the United States. The Latin Kings adhere to a national manifesto, employ an internal judiciary and use a sophisticated system of communication to maintain the hierarchy of the organization. As alleged in court documents, the gang uses drug distribution to generate revenue, and engages in violence against witnesses and rival gangs to further its influence and to protect its turf.
In December 2019, a federal grand jury issued an indictment alleging racketeering conspiracy, drug conspiracy and firearms charges against 62 leaders, members and associates of the Latin Kings. Wilson Peguero is the second defendant to plead guilty in the case.
Named for its origin on Devon Street in Boston, the Devon Street Kings, or D5K Chapter of the Latin Kings, included approximately a dozen members who reported to Peguero, who served as “Inca” or the leader of the Chapter. The Devon Street Kings, in turn, reported to the Massachusetts State Leadership of the Latin Kings, providing information, structure, funds and other resources to further the Latin Kings goals and directives in the state. As described in the court documents, Peguero produced various music videos touting his allegiance to the Latin Kings, distribution of controlled substances, and threats against rival gang members. During the investigation, various meetings were covertly recorded in which Peguero and members of the Devon Street Kings discussed the business of the racketeering enterprise. Internally, Peguero was present during meetings where members were beaten and violence against rival gangs was discussed and decided upon.
The RICO conspiracy charge provides for a sentence of up to 20 years in prison, three years of supervised release and a fine of $250,000. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and New Bedford Police Chief Joseph C. Cordeiro made the announcement today. Valuable assistance was also provided by the FBI North Shore Gang Task Force and the Bristol County and Suffolk County District Attorney’s Offices. Assistant U.S. Attorney Philip A. Mallard and Mark Grady of Lelling’s Criminal Division are prosecuting the case.
The details contained in the charging documents are allegations. The remaining defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.