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Thursday 26 March 2020
Parker Man Sentenced to Prison for Assault with Intent to Commit MurderRead the Press Release
PHOENIX – On March 2, 2020, Michael Jay Ameelyenah, 28, of Parker, Ariz., was sentenced by U.S. District Judge Diane J. Humetewa to 100 months in prison, followed by a term of three years of supervised release. Ameelyenah previously pleaded guilty to assault with intent to commit murder.
On March 29, 2019, Ameelyenah stabbed the victim multiple times, causing the victim to sustain life-threatening injuries. Ameelyenah committed the assault on the Colorado River Indian Tribes Indian Reservation and both Ameelyenah and the victim are members of the Colorado River Indian Tribes.
The Federal Bureau of Investigation and the Colorado River Indian Tribes Police Department conducted the investigation in this case. Assistant U.S. Attorney Christina J. Reid-Moore, District of Arizona, Phoenix, handled the prosecution.
CASE NUMBER: CR-19-00779-PHX-DJH
RELEASE NUMBER: 2020-034_Ameelyenah# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.Nicolás Maduro Moros and 14 Current and Former Venezuelan Officials Charged with Narco-Terrorism, Corruption, Drug Trafficking and Other Criminal ChargesRead the Press Release
For additional information and documents please visit: Documents Related to the March 26, 2020 Press Conference
Former President of Venezuela Nicolás Maduro Moros, Venezuela’s vice president for the economy, Venezuela’s Minister of Defense, and Venezuela’s Chief Supreme Court Justice are among those charged in New York City; Washington, DC; and Miami, along with current and former Venezuelan government officials as well as two Fuerzas Armadas Revolucionarias de Colombia (FARC) leaders, announced U.S. Attorney General William P. Barr, U.S. Attorney Geoffrey S. Berman of the Southern District of New York, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Acting Administrator Uttam Dhillon of the U.S. Drug Enforcement Administration (DEA) and Acting Executive Associate Director Alysa D. Erichs of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI).
“The Venezuelan regime, once led by Nicolás Maduro Moros, remains plagued by criminality and corruption,” said Attorney General Barr. “For more than 20 years, Maduro and a number of high-ranking colleagues allegedly conspired with the FARC, causing tons of cocaine to enter and devastate American communities. Today’s announcement is focused on rooting out the extensive corruption within the Venezuelan government – a system constructed and controlled to enrich those at the highest levels of the government. The United States will not allow these corrupt Venezuelan officials to use the U.S. banking system to move their illicit proceeds from South America nor further their criminal schemes.”
“Today we announce criminal charges against Nicolás Maduro Moros for running, together with his top lieutenants, a narco-terrorism partnership with the FARC for the past 20 years,” said U.S. Attorney Geoffrey S. Berman. “The scope and magnitude of the drug trafficking alleged was made possible only because Maduro and others corrupted the institutions of Venezuela and provided political and military protection for the rampant narco-terrorism crimes described in our charges. As alleged, Maduro and the other defendants expressly intended to flood the United States with cocaine in order to undermine the health and wellbeing of our nation. Maduro very deliberately deployed cocaine as a weapon. While Maduro and other cartel members held lofty titles in Venezuela’s political and military leadership, the conduct described in the Indictment wasn’t statecraft or service to the Venezuelan people. As alleged, the defendants betrayed the Venezuelan people and corrupted Venezuelan institutions to line their pockets with drug money.”
“Over the last decade, corrupt Venezuelan government officials have systematically looted Venezuela of billions of dollars,” said U.S. Attorney Ariana Fajardo Orshan. “Far too often, these corrupt officials and their co-conspirators have used South Florida banks and real estate to conceal and perpetuate their illegal activity. As the recent charges show, Venezuelan corruption and money laundering in South Florida extends to even the highest levels of Venezuela’s judicial system. In the last couple of years, the US Attorney’s Office in South Florida and its federal law enforcement partners have united to bring dozens of criminal charges against high-level regime officials and co-conspirators resulting in seizures of approximately $450 million dollars.”
“These indictments expose the devastating systemic corruption at the highest levels of Nicolas Maduro’s regime,” said DEA Acting Administrator Uttam Dhillon. “These officials repeatedly and knowingly betrayed the people of Venezuela, conspiring, for personal gain, with drug traffickers and designated foreign terrorist organizations like the FARC. Today’s actions send a clear message to corrupt officials everywhere that no one is above the law or beyond the reach of U.S. law enforcement. The Department of Justice and the Drug Enforcement Administration will continue to protect the American people from ruthless drug traffickers – no matter who they are or where they live.”
“The collaborative nature of this investigation is representative of the ongoing work HSI and international law enforcement agencies perform each day, often behind the scenes and unknown to the public, to make our communities safer and free from corruption,” said HSI’s Acting Executive Associate Director Alysa D. Erichs. “Today’s announcement highlights HSI’s global reach and commitment to aggressively identify, target and investigate individuals who violate U.S. laws, exploit financial systems, and hide behind cryptocurrency to further their illicit criminal activity. Let this indictment be a reminder that no one is above the law - not even powerful political officials.”
A four-count superseding indictment unsealed today in the Southern District of New York (SDNY) charges Nicolás Maduro Moros, 57; Diosdado Cabello Rondón, 56, head of Venezuela’s National Constituent Assembly; Hugo Armando Carvajal Barrios aka “El Pollo,” 59, former director of military intelligence; Clíver Antonio Alcalá Cordones, 58, former General in the Venezuelan armed forces; Luciano Marín Arango aka “Ivan Marquez,” 64, a member of the FARC’s Secretariat, which is the FARC’s highest leadership body; and Seuxis Paucis Hernández Solarte aka “Jesús Santrich,” 53, a member of the FARC’s Central High Command, which is the FARC’s second-highest leadership body. The case is pending before U.S. District Judge Alvin K. Hellerstein.
The U.S. Department of State, through its Narcotics Rewards Program, is offering rewards of up to $15 million for information leading to the arrest and/or conviction of Maduro Moros, up to $10 million for information leading to the arrest and/or conviction of Cabello Rondón, Carvajal Barrios, and Alcalá Cordones, and up to $5 million for information leading to the arrest and/or conviction of Marín Arango.
Maduro Moros, Cabello Rondón, Carvajal Barrios, Alcalá Cordones, Marín Arango, and Hernández Solarte have each been charged with: (1) participating in a narco-terrorism conspiracy, which carries a 20-year mandatory minimum sentence and a maximum of life in prison; (2) conspiring to import cocaine into the United States, which carries a 10-year mandatory minimum sentence and a maximum of life in prison; (3) using and carrying machine guns and destructive devices during and in relation to, and possessing machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine-importation conspiracies, which carries a 30-year mandatory minimum sentence and a maximum of life in prison; and (4) conspiring to use and carry machine guns and destructive devices during and in relation to, and to possess machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine-importation conspiracies, which carries a maximum sentence of life in prison. The potential mandatory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
According to the allegations contained in the superseding indictment, other court filings, and statements made during court proceedings:
Since at least 1999, Maduro Moros, Cabello Rondón, Carvajal Barrios and Alcalá Cordones, acted as leaders and managers of the Cártel de Los Soles, or “Cartel of the Suns.” The Cartel’s name refers to the sun insignias affixed to the uniforms of high-ranking Venezuelan military officials. Maduro Moros and the other charged Cartel members abused the Venezuelan people and corrupted the legitimate institutions of Venezuela—including parts of the military, intelligence apparatus, legislature, and the judiciary—to facilitate the importation of tons of cocaine into the United States. The Cártel de Los Soles sought to not only enrich its members and enhance their power, but also to “flood” the United States with cocaine and inflict the drug’s harmful and addictive effects on users in the United States.
Marín Arango and Hernández Solarte are leaders of the FARC. Beginning in approximately 1999, while the FARC was purporting to negotiate toward peace with the Colombian government, FARC leaders agreed with leaders of the Cártel de Los Soles to relocate some of the FARC’s operations to Venezuela under the protection of the Cartel. Thereafter, the FARC and the Cártel de Los Soles dispatched processed cocaine from Venezuela to the United States via transshipment points in the Caribbean and Central America, such as Honduras. By approximately 2004, the U.S. Department of State estimated that 250 or more tons of cocaine were transiting Venezuela per year. The maritime shipments were shipped north from Venezuela’s coastline using go-fast vessels, fishing boats, and container ships. Air shipments were often dispatched from clandestine airstrips, typically made of dirt or grass, concentrated in the Apure State. According to the U.S. Department of State, approximately 75 unauthorized flights suspected of drug-trafficking activities entered Honduran airspace in 2010 alone, using what is known as the “air bridge” cocaine route between Venezuela and Honduras.
In his role as a leader of the Cártel de Los Soles, Maduro Moros negotiated multi-ton shipments of FARC-produced cocaine; directed that the Cártel de Los Soles provide military-grade weapons to the FARC; coordinated foreign affairs with Honduras and other countries to facilitate large-scale drug trafficking; and solicited assistance from FARC leadership in training an unsanctioned militia group that functioned, in essence, as an armed forces unit for the Cártel de Los Soles.
DEA’s Special Operations Division Bilateral Investigations Unit, New York Strike Force, and Miami Field Division conducted the investigation. This case is being handled by the U.S. Attorney’s Office for the Southern District of New York’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Amanda L. Houle, Matthew J. Laroche, Jason A. Richman, and Kyle A. Wirshba are in charge of the prosecution.
* * *
An indictment unsealed today in the District of Columbia charges Vladimir Padrino Lopez, 56, Minister of Defense of Venezuela. The indictment alleges that from March 2014 until May 2019, Padrino Lopez conspired with others to distribute cocaine on board an aircraft registered in the United States.
Padrino Lopez, who holds the rank of General in the Venezuelan armed forces, held the authority for interdicting aircraft, many of which are registered in the United States, suspected of being used to traffic drugs from Venezuela to countries in Central America. On numerous occasions, Padrino Lopez ordered or authorized the Venezuelan military to force suspected trafficking aircraft to land or to shoot down the aircraft. However, Padrino Lopez allowed for other aircraft whose drug trafficking coordinators paid bribes to him to safely transit Venezuelan airspace.
On Sept. 25, 2018, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) included Padrino Lopez on its Specially Designated Nationals List. Pursuant to the Foreign Narcotics Kingpin Designation Act, this means that his assets are blocked and U.S. persons are generally prohibited from having financial transactions with him.
The DEA Orlando District Office led the investigation, which was supported by the Organized Crime Drug Enforcement Task Force program and the Criminal Division’s Office of Enforcement Operations. Acting Deputy Chief Charles Miracle and Trial Attorneys Michael Christin and Kirt Marsh of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case.
* * *
Maikel Jose Moreno Perez, 54, current Chief Justice of the Venezuelan Supreme Court, was charged via a criminal complaint in the Southern District of Florida with conspiracy to commit money laundering and money laundering in connection with the alleged corrupt receipt or intended receipt of tens of millions of dollars and bribes to illegally fix dozens of civil and criminal cases in Venezuela.
The complaint alleges, for example, that the defendant authorized a seizure and sale of a General Motors auto plant with an estimated value of $100 million in exchange for a personal percentage of the proceeds. Similarly, the complaint alleges that the defendant received bribes to authorize the dismissal of charges or release against Venezuelans, including one charged in a multibillion-dollar fraud scheme against the Venezuelan state-owned oil company.
According to the criminal complaint, in or around October 2014, Moreno Perez told U.S. authorities in a visa application that he earned the equivalent of about $12,000 per year from his work in Venezuela. From 2012 to 2016, the defendant’s U.S. bank records show approximately $3 million in inflows to the defendant’s accounts, primarily from large round-dollar transfers from shell corporations with foreign bank accounts linked to Co-Conspirator 1, who is a former criminal defense attorney in Venezuela that currently controls a media company in Venezuela.
As set out in the criminal complaint, the defendant’s bank records allegedly show that from 2012 to 2016, the defendant spent approximately $3 million, primarily in the geographical area of South Florida. For example, bank records allegedly show that Moreno Perez spent about $1 million for a private aircraft and private pilot, more than $600,000 in credit or debit card purchases at stores primarily in South Florida (including tens of thousands of dollars at luxury stores in Bal Harbor, such as Prada and Salvatore Ferragamo), about $50,000 in payments to a luxury watch repair store in Aventura, and approximately $40,000 in payments to a Venezuelan beauty pageant director.
HSI’s Miami Field Office conducted the investigation. Assistant U.S. Attorney Michael N. Berger of the Southern District of Florida is in charge of the prosecution.
* * *
A separate superseding indictment unsealed today in the Southern District of New York charges Tareck Zaidan El Aissami Maddah, 45, Venezuela’s vice president for the economy, Joselit Ramirez Camacho, 33, Venezuela’s superintendent of cryptocurrency (Sunacrip), and Samark Lopez Bello, 45, a Venezuelan businessman, with a series of crimes relating to efforts to evade sanctions imposed by OFAC against Maduro Moros, El Aissami Maddah, and Lopez Bello.
The indictment alleges that from February 2017 until March 2019, El Aissami Maddah and Ramirez Camacho worked with U.S. persons and U.S.-based entities to provide private flight services for the benefit of Maduro’s 2018 presidential campaign, in violation of OFAC’s sanctions targeting Maduro after he organized elections for the illegitimate National Constituent Assembly that Cabello Rondon now leads.
The U.S. Department of State, through its Narcotics Rewards Program, is offering a reward of up to $10 million for information leading to the arrest and/or conviction of El Aissami Maddah.
HSI’s New York Field Office conducted the investigation. This case is being handled by the U.S. Attorney’s Office for the Southern District of New York’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Sam Adelsberg and Amanda L. Houle are in charge of the prosecution.
* * *
Other individuals charged in separate indictments include:
- Luis Motta Dominguez, 67, Former Minister of Energy, was charged in the Southern District of Florida for his alleged role in laundering the proceeds of violations of the Foreign Corrupt Practices Act (FCPA) in connection with his alleged receipt of bribes to award Corpoelec business to U.S.-based companies;
- Nestor Reverol Torres, 55, former General Director of Venezuela’s La Oficina Nacional Antidrogas (ONA) and former commander of Venezuela’s National Guard and Edylberto Jose Molina Molina, 57, former Sub-Director of Venezuela’s ONA and currently Venezuela’s military attaché to Germany, were charged in the Eastern District of New York with participating in an international cocaine distribution conspiracy where they allegedly assisted narcotics traffickers in importing cocaine into the United States;
- Vassyly Kotosky Villarroel Ramirez aka “Mauro” and “Angel,” 47, a former captain in the Venezuelan Guardia Nacional, was charged in a third superseding indictment in the Eastern District of New York with participating in an international cocaine distribution conspiracy between Jan. 1, 2004, and Dec. 1, 2009;
- Rafael Antonio Villasana Fernandez, 48, a former officer in the Venezuelan Guardia Nacional, was charged in the Eastern District of New York with participating in an international cocaine distribution conspiracy between Jan. 1, 2004, and Dec. 1, 2009. According to court documents, Kotosky and Villasana allegedly used official government vehicles to transport more than seven metric tons of cocaine from the Colombian border to various airports and seaports in Venezuela for ultimate importation into the United States;
- Nervis Gerardo Villalobos Cardenas, 52, former Vice Minister of Energy of Venezuela, was charged in a 20-count indictment in the Southern District of Texas with conspiracy to commit money laundering, money laundering and conspiracy to violate the Foreign Corrupt Practices Act (FCPA) for his alleged role in an international money laundering scheme involving bribes paid by the owners of U.S.-based companies to Venezuelan government officials to corruptly secure energy contracts and payment priority on outstanding invoices; and
- Oscar Rafael Colmenarez Villalobos, 51, former Venezuelan Air Force Officer, charged in the District of Arizona with violations of the Arms Export Control Act. He allegedly conspired with others, including individuals associated with an aviation company in Arizona, to smuggle from the United States to Venezuela T-76 military aircraft engines used on OV-10 Bronco aircraft to individuals in Venezuela and allegedly made false and misleading statements on shipping and export control documents to conceal the prohibited activities and transactions from detection of the U.S. government.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The Criminal Division’s Office of International Affairs and Office of Enforcement Operations provided valuable assistance.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
Nicolás Maduro Moros and 14 Current and Former Venezuelan Officials Charged with Narco-Terrorism, Corruption, Drug Trafficking and Other Criminal ChargesRead the Press Release
Maduro and Other High Ranking Venezuelan Officials Allegedly Partnered With the FARC to Use Cocaine as a Weapon to “Flood” the United States
WASHINGTON – Former President of Venezuela Nicolás Maduro Moros, Venezuela’s vice president for the economy, Venezuela’s Minister of Defense, and Venezuela’s Chief Supreme Court Justice are among those charged in New York City; Washington, DC; and Miami, along with current and former Venezuelan government officials as well as two Fuerzas Armadas Revolucionarias de Colombia (FARC) leaders, announced U.S. Attorney General William P. Barr, U.S. Attorney Geoffrey S. Berman of the Southern District of New York, U.S. Attorney Ariana Fajardo Orshan of the Southern District of Florida, Assistant Attorney General Brian A. Benczkowski of the Justice Department’s Criminal Division, Acting Administrator Uttam Dhillon of the U.S. Drug Enforcement Administration (DEA) and Acting Executive Associate Director Alysa D. Erichs of U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI).
“The Venezuelan regime, once led by Nicolás Maduro Moros, remains plagued by criminality and corruption,” said Attorney General Barr. “For more than 20 years, Maduro and a number of high-ranking colleagues allegedly conspired with the FARC, causing tons of cocaine to enter and devastate American communities. Today’s announcement is focused on rooting out the extensive corruption within the Venezuelan government – a system constructed and controlled to enrich those at the highest levels of the government. The United States will not allow these corrupt Venezuelan officials to use the U.S. banking system to move their illicit proceeds from South America nor further their criminal schemes.”
“Today we announce criminal charges against Nicolás Maduro Moros for running, together with his top lieutenants, a narco-terrorism partnership with the FARC for the past 20 years,” said U.S. Attorney Geoffrey S. Berman. “The scope and magnitude of the drug trafficking alleged was made possible only because Maduro and others corrupted the institutions of Venezuela and provided political and military protection for the rampant narco-terrorism crimes described in our charges. As alleged, Maduro and the other defendants expressly intended to flood the United States with cocaine in order to undermine the health and wellbeing of our nation. Maduro very deliberately deployed cocaine as a weapon. While Maduro and other cartel members held lofty titles in Venezuela’s political and military leadership, the conduct described in the Indictment wasn’t statecraft or service to the Venezuelan people. As alleged, the defendants betrayed the Venezuelan people and corrupted Venezuelan institutions to line their pockets with drug money.”
“Over the last decade, corrupt Venezuelan government officials have systematically looted Venezuela of billions of dollars,” said U.S. Attorney Ariana Fajardo Orshan. “Far too often, these corrupt officials and their co-conspirators have used South Florida banks and real estate to conceal and perpetuate their illegal activity. As the recent charges show, Venezuelan corruption and money laundering in South Florida extends to even the highest levels of Venezuela’s judicial system. In the last couple of years, the US Attorney’s Office in South Florida and its federal law enforcement partners have united to bring dozens of criminal charges against high-level regime officials and co-conspirators resulting in seizures of approximately $450 million dollars.”
“These indictments expose the devastating systemic corruption at the highest levels of Nicolas Maduro’s regime,” said DEA Acting Administrator Uttam Dhillon. “These officials repeatedly and knowingly betrayed the people of Venezuela, conspiring, for personal gain, with drug traffickers and designated foreign terrorist organizations like the FARC. Today’s actions send a clear message to corrupt officials everywhere that no one is above the law or beyond the reach of U.S. law enforcement. The Department of Justice and the Drug Enforcement Administration will continue to protect the American people from ruthless drug traffickers – no matter who they are or where they live.”
“The collaborative nature of this investigation is representative of the ongoing work HSI and international law enforcement agencies perform each day, often behind the scenes and unknown to the public, to make our communities safer and free from corruption,” said HSI’s Acting Executive Associate Director Alysa D. Erichs. “Today’s announcement highlights HSI’s global reach and commitment to aggressively identify, target and investigate individuals who violate U.S. laws, exploit financial systems, and hide behind cryptocurrency to further their illicit criminal activity. Let this indictment be a reminder that no one is above the law - not even powerful political officials.”
A four-count superseding indictment unsealed today in the Southern District of New York (SDNY) charges Nicolás Maduro Moros, 57; Diosdado Cabello Rondón, 56, head of Venezuela’s National Constituent Assembly; Hugo Armando Carvajal Barrios aka “El Pollo,” 59, former director of military intelligence; Clíver Antonio Alcalá Cordones, 58, former General in the Venezuelan armed forces; Luciano Marín Arango aka “Ivan Marquez,” 64, a member of the FARC’s Secretariat, which is the FARC’s highest leadership body; and Seuxis Paucis Hernández Solarte aka “Jesús Santrich,” 53, a member of the FARC’s Central High Command, which is the FARC’s second-highest leadership body. The case is pending before U.S. District Judge Alvin K. Hellerstein.
The U.S. Department of State, through its Narcotics Rewards Program, is offering rewards of up to $15 million for information leading to the arrest and/or conviction of Maduro Moros, up to $10 million for information leading to the arrest and/or conviction of Cabello Rondón, Carvajal Barrios, and Alcalá Cordones, and up to $5 million for information leading to the arrest and/or conviction of Marín Arango.
Maduro Moros, Cabello Rondón, Carvajal Barrios, Alcalá Cordones, Marín Arango, and Hernández Solarte have each been charged with: (1) participating in a narco-terrorism conspiracy, which carries a 20-year mandatory minimum sentence and a maximum of life in prison; (2) conspiring to import cocaine into the United States, which carries a 10-year mandatory minimum sentence and a maximum of life in prison; (3) using and carrying machine guns and destructive devices during and in relation to, and possessing machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine-importation conspiracies, which carries a 30-year mandatory minimum sentence and a maximum of life in prison; and (4) conspiring to use and carry machine guns and destructive devices during and in relation to, and to possess machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine-importation conspiracies, which carries a maximum sentence of life in prison. The potential mandatory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
According to the allegations contained in the superseding indictment, other court filings, and statements made during court proceedings:
Since at least 1999, Maduro Moros, Cabello Rondón, Carvajal Barrios and Alcalá Cordones, acted as leaders and managers of the Cártel de Los Soles, or “Cartel of the Suns.” The Cartel’s name refers to the sun insignias affixed to the uniforms of high-ranking Venezuelan military officials. Maduro Moros and the other charged Cartel members abused the Venezuelan people and corrupted the legitimate institutions of Venezuela—including parts of the military, intelligence apparatus, legislature, and the judiciary—to facilitate the importation of tons of cocaine into the United States. The Cártel de Los Soles sought to not only enrich its members and enhance their power, but also to “flood” the United States with cocaine and inflict the drug’s harmful and addictive effects on users in the United States.
Marín Arango and Hernández Solarte are leaders of the FARC. Beginning in approximately 1999, while the FARC was purporting to negotiate toward peace with the Colombian government, FARC leaders agreed with leaders of the Cártel de Los Soles to relocate some of the FARC’s operations to Venezuela under the protection of the Cartel. Thereafter, the FARC and the Cártel de Los Soles dispatched processed cocaine from Venezuela to the United States via transshipment points in the Caribbean and Central America, such as Honduras. By approximately 2004, the U.S. Department of State estimated that 250 or more tons of cocaine were transiting Venezuela per year. The maritime shipments were shipped north from Venezuela’s coastline using go-fast vessels, fishing boats, and container ships. Air shipments were often dispatched from clandestine airstrips, typically made of dirt or grass, concentrated in the Apure State. According to the U.S. Department of State, approximately 75 unauthorized flights suspected of drug-trafficking activities entered Honduran airspace in 2010 alone, using what is known as the “air bridge” cocaine route between Venezuela and Honduras.
In his role as a leader of the Cártel de Los Soles, Maduro Moros negotiated multi-ton shipments of FARC-produced cocaine; directed that the Cártel de Los Soles provide military-grade weapons to the FARC; coordinated foreign affairs with Honduras and other countries to facilitate large-scale drug trafficking; and solicited assistance from FARC leadership in training an unsanctioned militia group that functioned, in essence, as an armed forces unit for the Cártel de Los Soles.
DEA’s Special Operations Division Bilateral Investigations Unit, New York Strike Force, and Miami Field Division conducted the investigation. This case is being handled by the U.S. Attorney’s Office for the Southern District of New York’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Amanda L. Houle, Matthew J. Laroche, Jason A. Richman, and Kyle A. Wirshba are in charge of the prosecution.
* * *
An indictment unsealed today in the District of Columbia charges Vladimir Padrino Lopez, 56, Minister of Defense of Venezuela. The indictment alleges that from March 2014 until May 2019, Padrino Lopez conspired with others to distribute cocaine on board an aircraft registered in the United States.
Padrino Lopez, who holds the rank of General in the Venezuelan armed forces, held the authority for interdicting aircraft, many of which are registered in the United States, suspected of being used to traffic drugs from Venezuela to countries in Central America. On numerous occasions, Padrino Lopez ordered or authorized the Venezuelan military to force suspected trafficking aircraft to land or to shoot down the aircraft. However, Padrino Lopez allowed for other aircraft whose drug trafficking coordinators paid bribes to him to safely transit Venezuelan airspace.
On Sept. 25, 2018, the U.S. Department of the Treasury’s Office of Foreign Assets Control (OFAC) included Padrino Lopez on its Specially Designated Nationals List. Pursuant to the Foreign Narcotics Kingpin Designation Act, this means that his assets are blocked and U.S. persons are generally prohibited from having financial transactions with him.
The DEA Orlando District Office led the investigation, which was supported by the Organized Crime Drug Enforcement Task Force program and the Criminal Division’s Office of Enforcement Operations. Acting Deputy Chief Charles Miracle and Trial Attorneys Michael Christin and Kirt Marsh of the Criminal Division’s Narcotic and Dangerous Drug Section are prosecuting the case.
* * *
Maikel Jose Moreno Perez, 54, current Chief Justice of the Venezuelan Supreme Court, was charged via a criminal complaint in the Southern District of Florida with conspiracy to commit money laundering and money laundering in connection with the alleged corrupt receipt or intended receipt of tens of millions of dollars and bribes to illegally fix dozens of civil and criminal cases in Venezuela.
The complaint alleges, for example, that the defendant authorized a seizure and sale of a General Motors auto plant with an estimated value of $100 million in exchange for a personal percentage of the proceeds. Similarly, the complaint alleges that the defendant received bribes to authorize the dismissal of charges or release against Venezuelans, including one charged in a multibillion-dollar fraud scheme against the Venezuelan state-owned oil company.
According to the criminal complaint, in or around October 2014, Moreno Perez told U.S. authorities in a visa application that he earned the equivalent of about $12,000 per year from his work in Venezuela. From 2012 to 2016, the defendant’s U.S. bank records show approximately $3 million in inflows to the defendant’s accounts, primarily from large round-dollar transfers from shell corporations with foreign bank accounts linked to Co-Conspirator 1, who is a former criminal defense attorney in Venezuela that currently controls a media company in Venezuela.
As set out in the criminal complaint, the defendant’s bank records allegedly show that from 2012 to 2016, the defendant spent approximately $3 million, primarily in the geographical area of South Florida. For example, bank records allegedly show that Moreno Perez spent about $1 million for a private aircraft and private pilot, more than $600,000 in credit or debit card purchases at stores primarily in South Florida (including tens of thousands of dollars at luxury stores in Bal Harbor, such as Prada and Salvatore Ferragamo), about $50,000 in payments to a luxury watch repair store in Aventura, and approximately $40,000 in payments to a Venezuelan beauty pageant director.
HSI’s Miami Field Office conducted the investigation. Assistant U.S. Attorney Michael N. Berger of the Southern District of Florida is in charge of the prosecution.
* * *
A separate superseding indictment unsealed today in the Southern District of New York charges Tareck Zaidan El Aissami Maddah, 45, Venezuela’s vice president for the economy, Joselit Ramirez Camacho, 33, Venezuela’s superintendent of cryptocurrency (Sunacrip), and Samark Lopez Bello, 45, a Venezuelan businessman, with a series of crimes relating to efforts to evade sanctions imposed by OFAC against Maduro Moros, El Aissami Maddah, and Lopez Bello.
The indictment alleges that from February 2017 until March 2019, El Aissami Maddah and Ramirez Camacho worked with U.S. persons and U.S.-based entities to provide private flight services for the benefit of Maduro’s 2018 presidential campaign, in violation of OFAC’s sanctions targeting Maduro after he organized elections for the illegitimate National Constituent Assembly that Cabello Rondon now leads.
The U.S. Department of State, through its Narcotics Rewards Program, is offering a reward of up to $10 million for information leading to the arrest and/or conviction of El Aissami Maddah.
HSI’s New York Field Office conducted the investigation. This case is being handled by the U.S. Attorney’s Office for the Southern District of New York’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Sam Adelsberg and Amanda L. Houle are in charge of the prosecution.
* * *
Other individuals charged in separate indictments include:
- Luis Motta Dominguez, 67, Former Minister of Energy, was charged in the Southern District of Florida for his alleged role in laundering the proceeds of violations of the Foreign Corrupt Practices Act (FCPA) in connection with his alleged receipt of bribes to award Corpoelec business to U.S.-based companies;
- Nestor Reverol Torres, 55, former General Director of Venezuela’s La Oficina Nacional Antidrogas (ONA) and former commander of Venezuela’s National Guard and Edylberto Jose Molina Molina, 57, former Sub-Director of Venezuela’s ONA and currently Venezuela’s military attaché to Germany, were charged in the Eastern District of New York with participating in an international cocaine distribution conspiracy where they allegedly assisted narcotics traffickers in importing cocaine into the United States;
- Vassyly Kotosky Villarroel Ramirez aka “Mauro” and “Angel,” 47, a former captain in the Venezuelan Guardia Nacional, was charged in a third superseding indictment in the Eastern District of New York with participating in an international cocaine distribution conspiracy between Jan. 1, 2004, and Dec. 1, 2009;
- Rafael Antonio Villasana Fernandez, 48, a former officer in the Venezuelan Guardia Nacional, was charged in the Eastern District of New York with participating in an international cocaine distribution conspiracy between Jan. 1, 2004, and Dec. 1, 2009. According to court documents, Kotosky and Villasana allegedly used official government vehicles to transport more than seven metric tons of cocaine from the Colombian border to various airports and seaports in Venezuela for ultimate importation into the United States;
- Nervis Gerardo Villalobos Cardenas, 52, former Vice Minister of Energy of Venezuela, was charged in a 20-count indictment in the Southern District of Texas with conspiracy to commit money laundering, money laundering and conspiracy to violate the Foreign Corrupt Practices Act (FCPA) for his alleged role in an international money laundering scheme involving bribes paid by the owners of U.S.-based companies to Venezuelan government officials to corruptly secure energy contracts and payment priority on outstanding invoices; and
- Oscar Rafael Colmenarez Villalobos, 51, former Venezuelan Air Force Officer, charged in the District of Arizona with violations of the Arms Export Control Act. He allegedly conspired with others, including individuals associated with an aviation company in Arizona, to smuggle from the United States to Venezuela T-76 military aircraft engines used on OV-10 Bronco aircraft to individuals in Venezuela and allegedly made false and misleading statements on shipping and export control documents to conceal the prohibited activities and transactions from detection of the U.S. government.
An indictment is merely an allegation and all defendants are presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
The Criminal Division’s Office of International Affairs and Office of Enforcement Operations provided valuable assistance.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
NDTX Round-Up: March 13-19Read the Press Release
GUILTY PLEA – TRACY MIRANDA
On March 16, Tracy Miranda, 19, plead guilty to aiding and abetting foreign travel in aid of racketeering. In 2019, a group of Mexican drug traffickers were importing methamphetamine in crystal and power form into the United States. One of the importers was Eduardo Ruiz-Mendoza. Ruiz-Mendoza directed Miranda to travel to McAllen to pick up methamphetamine which was concealed in audio speaker boxes after it was smuggled into the United States. Miranda picked up the speaker boxes which contained the methamphetamine then gave them to a DEA cooperating individual. Miranda faces up to five years in federal custody. This case was investigated by the DEA. Assistant U.S. Attorney Suzanna Etessam is prosecuting this case.
GULITY PLEA – JONATHAN KELLY SCOTT
On March 17, Jonathan Kelly Scott, 33, plead guilty to felon in possession of a firearm and possession with the intent to distribute a controlled substance containing methamphetamine. During execution of a search warrant, Scott ran by foot from Dallas from the rear of the house where he was located through several neighbors’ yards. Scott was followed and filmed from above by Dallas Police helicopter until he was arrested. In the house, officers recovered numerous firearms, methamphetamine, phencyclidine, cocaine, heroin, and alprazolam. Prior to this arrest, Scott had been convicted of three felony drug crimes. Scott faces up to life in federal custody. The case was investigated by the ATF and the Dallas Police Department. Assistant U.S. Attorney John Boyle is prosecuting the case.
SENTENTENCING – PAUL AUSTIN JONES
On March 19, Paul Austin Jones, 39, was sentenced to 720 months in federal custody after pleading guilty to two counts of sexual exploitation of children. In October 2018, Jones contacted and offered to pay Rita Rose Everett, a local escort, for the opportunity to engage in sexual acts with her approximately and her eleven month old daughter. Jones met Everett in a Tarrant County hotel and used his cell phone to film sexually explicit conduct with Everett and the minor. In February 2019, Jones again created another sexually explicit video in which he filmed himself performing sex acts on a twenty-two month old toddler. This case was investigated by HSI and North Richland Hills Police Department. Assistant U.S. Aisha Saleem is prosecuting the case.
Monmouth County Man Charged with Producing and Distributing Child PornographyRead the Press Release
NEWARK, N.J. – A Monmouth County, New Jersey, man is scheduled to appear before a U.S. Magistrate Judge today for allegedly producing and distributing images of himself sexually assaulting a child, U.S. Attorney Craig Carpenito announced today.
Christian Importuna, 24, of Englishtown, New Jersey, is charged by complaint with one count of production of child pornography and one count of distribution of child pornography. He will make his initial appearance today by telephone conference before U.S. Magistrate Judge Cathy L. Waldor. Importuna was arrested at his home this morning by special agents of the FBI.
According to documents filed in this case and statements made in court:
Importuna produced at least two videos that showed him sexually assaulting a child. The videos came to the attention of law enforcement officials on March 24, 2020, when Importuna attempted to trade images of child pornography with an undercover law enforcement officer on an internet-based application. Law enforcement initially linked the videos to Importuna through business records indicating that they were sent from his Englishtown residence. The investigation further linked Importuna to the production of the images through physical identifiers that were visible in the subject videos.
The charge of production of child pornography, carries a mandatory minimum penalty of 15 years in prison, a maximum potential penalty of 30 years in prison, and a $250,000 fine. The charge of distribution of child pornography, carries a mandatory minimum of five years in prison, a maximum of 20 years in prison, and a $250,000 fine.
U.S. Attorney Carpenito credited FBI Newark's Child Exploitation and Human Trafficking Task Force, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to these charges. He also thanked the New Jersey Regional Computer Forensics Lab, Monmouth County Prosecutor's Office, and Englishtown Police Department, for their assistance with the investigation.
The government is represented by Assistant U.S. Attorney Shawn Barnes of the U.S. Attorney’s Office’s Organized Crime/Drug Enforcement Task Force Unit in Newark.
The charges and allegations in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Mission Man Sentenced for Assaulting a Federal OfficerRead the Press Release
United States Attorney Ron Parsons announced that a Mission, South Dakota, man convicted of Assaulting, Resisting, and Impeding a Federal Officer was sentenced on March 24, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Cameron Fanning, age 21, was sentenced to time served through May 25, 2020, equal to approximately 12 months, in federal prison, 3 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Fanning was indicted by a federal grand jury on August 13, 2019. He pled guilty on December 18, 2019.
The conviction stemmed from an incident that occurred on July 25, 2019, in Todd County, South Dakota. On that date, a Rosebud Sioux Tribe Law Enforcement Services (RSTLES) officer encountered Fanning at a convenience store in Rosebud, South Dakota, and arrested him on an outstanding warrant. Fanning, who was seated in the driver seat of a vehicle, refused to comply and drove away. In the process of doing so, he struck the RSTLES officer’s vehicle and another parked vehicle. Fanning subsequently led RSTLES officers on a high-speed pursuit through Todd County, which ended with Fanning’s apprehension near Mission.
This case was investigated by the Rosebud Sioux Tribe Law Enforcement Services and the Federal Bureau of Investigation. Assistant U.S. Attorney Kirk Albertson prosecuted the case.
Fanning was immediately turned over to the custody of the U.S. Marshals Service.
Member of the Mescalero Apache Tribe pleads guilty to federal charge of assault by stranglingRead the Press Release
ALBUQUERQUE, N.M. – Stephen C. Waites Jr., 32, of Mescalero, New Mexico pleaded guilty in federal court in Las Cruces, New Mexico on March 24 to assault on an intimate partner by strangling.
A grand jury previously indicted Waites for this offense on Aug. 28, 2018. In his plea agreement, Waites admitted punching and strangling his girlfriend at their home on the Mescalero Apache Reservation in Indian Country on July 26, 2018. Both Waites and the victim are enrolled members of the Mescalero Apache Tribe.
Waites is currently in custody awaiting sentencing. He faces a sentence of 37 up to 10 years in prison.
The FBI and the Bureau of Indian Affairs investigated this case. Assistant U.S. Attorney Maria Y. Armijo is prosecuting the case.
Manhattan U.S. Attorney Announces Narco-Terrorism Charges Against Nicolas Maduro, Current and Former Venezuelan Officials, and Farc LeadershipRead the Press Release
William Barr, the Attorney General of the United States, Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Brian Benczkowski, Assistant Attorney General for the Criminal Division of the Department of Justice, Uttam Dhillon, Acting Administrator of the United States Drug Enforcement Administration (“DEA”), and Alysa D. Erichs, U.S. Immigration and Customs Enforcement’s Acting Executive Associate Director for Homeland Security Investigations (“HSI”), announced the unsealing of two separate indictments charging current and former Venezuelan officials and FARC leadership. One Superseding Indictment includes narco-terrorism, drug trafficking, and weapons charges against NICOLÁS MADURO MOROS, Diosdado CABELLO RONDÓN, HUGO ARMANDO CARVAJAL BARRIOS, a/k/a “El Pollo,” CLÍVER ANTONIO ALCALÁ CORDONES, LUCIANO MARÍN ARANGO, a/k/a “Ivan Marquez,” and SEUXIS PAUCIS HERNÁNDEZ SOLARTE, a/k/a “Jesús Santrich.” The other Superseding Indictment alleges violations of the International Emergency Economic Powers Act (“IEEPA”) and the Foreign Narcotics Kingpin Designation Act (“Kingpin Act”), and a related conspiracy to defraud the U.S. Department of the Treasury, the Office of Foreign Assets Control (“OFAC”), against TARECK ZAIDAN EL AISSAMI MADDAH, JOSELIT RAMIREZ CAMACHO, and SAMARK LOPEZ BELLO. The charges are contained in separate Superseding Indictments unsealed today in Manhattan federal court. Both cases are pending before U.S. District Judge Alvin K. Hellerstein.
The U.S. Department of State, through its Narcotics Rewards Program, is offering rewards of up to $15 million for information leading to the arrest and/or conviction of MADURO MOROS, up to $10 million for information leading to the arrest and/or conviction of CABELLO RONDÓN, CARVAJAL BARRIOS, and ALCALÁ CORDONES, and up to $5 million for information leading to the arrest and/or conviction of MARÍN ARANGO. Anyone with information that may lead to the arrest and/or conviction of Maduro Moros, Cabello Rondón, Carvajal Barrios, or Marín Arango can email the DEA at [email protected], or message the DEA at 1-202-681-8187 using text messages, WhatsApp, or Signal.
The U.S. Department of State is also offering rewards of up to $10 million for information leading to the arrest and/or conviction of EL AISSAMI MADDAH. Anyone with information that may lead to the arrest and/or conviction of EL AISSAMI MADDAH can contact HSI 1-866-347-2423.
Attorney General William Barr said: “The Venezuelan regime, once led by Nicolás Maduro Moros, remains plagued by criminality and corruption. For more than 20 years, Maduro and a number of high-ranking colleagues allegedly conspired with the FARC, causing tons of cocaine to enter and devastate American communities. Today’s announcement is focused on rooting out the extensive corruption within the Venezuelan government – a system constructed and controlled to enrich those at the highest levels of the government. The United States will not allow these corrupt Venezuelan officials to use the U.S. banking system to move their illicit proceeds from South America nor further their criminal schemes.”
U.S. Attorney Geoffrey S. Berman said: “Today we announce criminal charges against Nicolas Maduro for running, together with his top lieutenants, a narco-terrorism partnership with the FARC for the past 20 years. The scope and magnitude of the drug trafficking alleged was made possible only because Maduro and others corrupted the institutions of Venezuela and provided political and military protection for the rampant narco-terrorism crimes described in our charges. As alleged, Maduro and the other defendants expressly intended to flood the United States with cocaine in order to undermine the health and wellbeing of our nation. Maduro very deliberately deployed cocaine as a weapon. While Maduro and other cartel members held lofty titles in Venezuela’s political and military leadership, the conduct described in the Indictment wasn’t statecraft or service to the Venezuelan people. As alleged, the defendants betrayed the Venezuelan people and corrupted Venezuelan institutions to line their pockets with drug money.”
DEA Acting Administrator Uttam Dhillon said: “These indictments expose the devastating systemic corruption at the highest levels of Nicolas Maduro’s regime. These officials repeatedly and knowingly betrayed the people of Venezuela, conspiring, for personal gain, with drug traffickers and designated foreign terrorist organizations like the FARC. Today’s actions send a clear message to corrupt officials everywhere that no one is above the law or beyond the reach of U.S. law enforcement. The Department of Justice and the Drug Enforcement Administration will continue to protect the American people from ruthless drug traffickers – no matter who they are or where they live.”
ICE Acting Executive Associate Director for HSI Alysa D. Erichs said: “The collaborative nature of this investigation is representative of the ongoing work HSI and international law enforcement agencies perform each day, often behind the scenes and unknown to the public, to make our communities safer and free from corruption. Today’s announcement highlights HSI’s global reach and commitment to aggressively identify, target and investigate individuals who violate U.S. laws, exploit financial systems, and hide behind cryptocurrency to further their illicit criminal activity. Let this indictment be a reminder that no one is above the law - not even powerful political officials.”
According to the allegations contained in the Superseding Indictment charging MADURO MOROs and others, other court filings, and statements made during court proceedings[1]:
Since at least 1999, MADURO MOROS, DIOSDADO CABELLO RONDÓN, HUGO CARVAJAL BARRIOS, a/k/a “El Pollo,” and CLÍVER ALCALÁ CORDONES, acted as leaders and managers of the Cártel de Los Soles, or “Cartel of the Suns.” The Cartel’s name refers to the sun insignias affixed to the uniforms of high-ranking Venezuelan military officials. MADURO MOROS and the other charged Cartel members abused the Venezuelan people and corrupted the legitimate institutions of Venezuela – including parts of the military, intelligence apparatus, legislature, and the judiciary – to facilitate the importation of tons of cocaine into the United States. The Cártel de Los Soles sought not only to enrich its members and enhance their power, but also to “flood” the United States with cocaine and inflict the drug’s harmful and addictive effects on users into the United States.
MARÍN ARANGO and HERNÁNDEZ SOLARTE are leaders of the FARC. Beginning in approximately 1999, while the FARC was purporting to negotiate toward peace with the Colombian government, FARC leaders agreed with leaders of the Cártel de Los Soles to relocate some of the FARC’s operations to Venezuela under the protection of the Cartel. Thereafter, the FARC and the Cártel de Los Soles dispatched processed cocaine from Venezuela to the United States via transshipment points in the Caribbean and Central America, such as Honduras. By approximately 2004, the United States Department of State estimated that 250 or more tons of cocaine were transiting Venezuela per year. The maritime shipments were shipped north from Venezuela’s coastline using go-fast vessels, fishing boats, and container ships. Air shipments were often dispatched from clandestine airstrips, typically made of dirt or grass, concentrated in the Apure State. According to the United States Department of State, approximately 75 unauthorized flights suspected of drug trafficking activities entered Honduran airspace in 2010 alone, using what is known as the “air bridge” cocaine route between Venezuela and Honduras.
In his role as a leader of the Cártel de Los Soles, MADURO MOROS negotiated multi-ton shipments of FARC-produced cocaine; directed that the Cártel de Los Soles provide military-grade weapons to the FARC; coordinated foreign affairs with Honduras and other countries to facilitate large-scale drug trafficking; and solicited assistance from FARC leadership in training an unsanctioned militia group that functioned, in essence, as an armed forces unit for the Cártel de Los Soles.
The Defendants
MADURO MOROS is the former president of Venezuela. He previously held a seat in the Venezuelan National Assembly between approximately 2000 and approximately 2006, acted as the Venezuelan foreign minister between approximately 2006 and approximately 2013, and acted as the vice president of Venezuela in approximately 2013. MADURO MOROS succeeded to the Venezuelan presidency after Hugo Chávez died in 2013 and, during his presidency, continued to participate in cocaine trafficking with the Cártel de Los Soles and the FARC. In approximately 2018, MADURO MOROS declared victory in a presidential election in Venezuela. In approximately 2019, the National Assembly of Venezuela invoked the Venezuelan constitution and declared that MADURO MOROS had usurped power and was not the president of Venezuela. Since approximately 2019, more than 50 countries, including the United States, have refused to recognize MADURO MOROS as Venezuela’s head of state and instead recognized Juan Guaidó as the interim president of Venezuela. In approximately January 2020, the U.S. State Department certified the authority of Guaidó, as the interim president of Venezuela, to receive and control property in accounts at the United States Federal Reserve maintained by the Venezuelan government and the Central Bank of Venezuela.
CABELLO RONDÓN is president of Venezuela’s National Constituent Assembly, and a member of the Venezuelan armed forces. CABELLO RONDÓN previously acted as chief of staff to Chávez in approximately 2001, vice president of Venezuela in approximately 2002, governor of Venezuela’s Miranda State between approximately 2004 and approximately 2008, and president of Venezuela’s National Assembly between approximately 2012 and approximately 2016.
CARVAJAL BARRIOS is a Venezuelan citizen and was the director of Venezuela’s military intelligence agency, which was known as the Dirección de Inteligencia Militar (“DIM”), between approximately 2004 and approximately 2011. In approximately April 2011, the United States Attorney’s Office for the Southern District of New York filed the original indictment in this case, charging CARVAJAL BARRIOS with drug trafficking, 11 Cr. 205 (AKH). Nonetheless, in approximately 2013, MADURO MOROS made CARVAJAL BARRIOS the director of the DIM for a second time. Between approximately January 2014 and approximately June 2014, CARVAJAL BARRIOS held the title of Venezuela’s consul general to Aruba. In approximately January 2016, despite being a fugitive on the above-described drug trafficking charges, CARVAJAL BARRIOS was elected to the Venezuelan National Assembly. As of today, CARVAJAL BARRIOS remains a fugitive on pending charges in underlying indictments in the Southern District of New York and subject to a lawful order of extradition issued by Spain in approximately 2019.
ALCALÁ CORDONES is a former general in the Venezuelan military.
MARÍN ARANGO joined the FARC in approximately 1985. In approximately 2006, the United States Attorney’s Office for the Southern District of New York filed a drug trafficking charge against 50 leaders of the FARC, including MARÍN ARANGO. As of today, MARÍN ARANGO is a fugitive on that charge and a member of the FARC’s Secretariat, which is the FARC’s highest leadership body.
HERNÁNDEZ SOLARTE joined the FARC in approximately 1991. As of today, HERNÁNDEZ SOLARTE is a member of the FARC’s Central High Command, which is the FARC’s second-highest leadership body. As described below, in approximately 2018, the United States Attorney’s Office for the Southern District of New York filed drug trafficking charges against HERNÁNDEZ SOLARTE. HERNÁNDEZ SOLARTE remains a fugitive on those charges.
* * *
MADURO MOROS, 57, CABELLO RONDÓN, 56, CARVAJAL BARRIOS, 59, ALCALÁ CORDONES, 58, MARÍN ARANGO, 64, and HERNÁNDEZ SOLARTE, 53, have each been charged with: (1) participating in a narco-terrorism conspiracy, which carries a 20-year mandatory minimum sentence and a maximum of life; (2) conspiring to import cocaine into the United States, which carries a 10-year mandatory minimum sentence and a maximum of life; (3) using and carrying machine guns and destructive devices during and in relation to, and possessing machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine importation conspiracies, which carries a 30-year mandatory minimum sentence and a maximum of life; and (4) conspiring to use and carry machine guns and destructive devices during and in relation to, and to possess machine guns and destructive devices in furtherance of, the narco-terrorism and cocaine importation conspiracies, which carries a maximum sentence of life. The potential mandatory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of the DEA’s Special Operations Division Bilateral Investigations Unit, New York Strike Force, and Miami Field Division, as well as the U.S. Department of Justice’s Office of International Affairs and the National Security Division’s Counterterrorism Section.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Amanda L. Houle, Matthew J. Laroche, Jason A. Richman, and Kyle A. Wirshba are in charge of the prosecution.
The charges in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
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A separate Superseding Indictment unsealed today in Manhattan federal court charges TARECK ZAIDAN EL AISSAMI MADDAH, Venezuela’s vice president for the economy, JOSELIT RAMIREZ CAMACHO, Venezuela’s superintendent of cryptocurrency (Sunacrip), and SAMARK LOPEZ BELLO, a Venezuelan businessman, with violations of IEEPA, the Kingpin Act, and other offenses related to efforts to evade sanctions imposed by OFAC against MADURO MOROS, EL AISSAMI MADDAH, and LOPEZ BELLO.
According to the allegations contained in the Superseding Indictment charging EL AISSAMI MADDAH and others, other court filings, and statements made during court proceedings[2]:
From February 2017 until March 2019, EL AISSAMI MADDAH and RAMIREZ CAMACHO worked with U.S. persons and U.S.-based entities to provide private flight services for the benefit of MADURO MOROS’s 2018 presidential campaign, in violation of OFAC’s sanctions targeting MADURO MOROS after he organized elections for the illegitimate National Constituent Assembly that CABELLO RONDÓN now leads.
* * *
EL AISSAMI MADDAH, 45, RAMIREZ CAMACHO, 33, and LOPEZ BELLO, 45, are charged with: (1) conspiracy to obstruct the lawful governmental functions of OFAC, which carries a maximum of 5 years’ imprisonment; (2) conspiracy to violate the Kingpin Act, which carries a maximum of 30 years’ imprisonment; and (3) four substantive violations of the Kingpin Act, each of which carries a maximum of 30 years’ imprisonment. EL AISSAMI MADDAH and RAMIREZ CAMACHO are also charged with: (4) conspiracy to violate IEEPA, which carries a maximum of 20 years’ imprisonment; and (5) conspiracy to commit money laundering, which carries a maximum of 20 years’ imprisonment. The potential mandatory minimum and maximum sentences in this case are prescribed by Congress and provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of HSI’s New York Field Office, as well as OFAC, the U.S. Department of Justice’s Office of International Affairs, and the Counterintelligence and Export Control Section of the Department of Justice’s National Security Division.
This case is also being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Sam Adelsberg and Amanda L. Houle are in charge of the prosecution.
The charges in the Superseding Indictment are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Superseding Indictment, and the description of the Superseding Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
[2] As the introductory phrase signifies, the entirety of the text of the Superseding Indictment, and the description of the Superseding Indictment set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Manchester Man Sentenced to 46 Months for Being A Felon in Possession of A Firearm and AmmunitionRead the Press Release
CONCORD - David Weekly, 24, of Manchester, was sentenced to 46 months in federal prison for unlawfully possessing a firearm and ammunition, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on January 2, 2019, a Manchester police officer stopped a vehicle for not having its lights turned on. The officer approached the vehicle and recognized Weekly from previous contacts.
When Weekly opened the side window, the officer noted a strong smell of freshly burnt marijuana. The officer also noted a bulge in Weekly’s waistband and asked Weekly to step out of the vehicle. As soon as Weekly stepped out of the vehicle, he admitted that he had a gun in his waist. The officer found a handgun and a loaded extended 31-round magazine in Weekly’s possession. As a convicted felon, Weekly is prohibited from possessing a firearm or ammunition.
The firearm had been reported stolen on August 23, 2018 in Manchester.
Weekly previously pleaded guilty on December 4, 2019.
“In order protect the public, it is vital to keep guns out of the hands of criminals,” said U.S. Attorney Murray. “Even as we battle the coronavirus, the law enforcement community is working together to keep the public safe from armed criminals. Thanks to the work of the Manchester Police Department and the ATF, this defendant will no longer present a danger to the community.”
“Today’s sentencing demonstrates the outstanding partnership between the Manchester Police Department and the ATF as well as the commitment we share to work together to interdict illegal firearms and the criminals that compromise the safety of our communities,” said Kelly D. Brady Special Agent in Charge, Boston Field Division.
“The Manchester Police Department is pleased with the sentencing of David Weekly,” said Chief Carlo Capano. “Weekly is an absolute danger to the public. City residents and the citizens of New Hampshire are much safer without him on the streets. I am very impressed with the work that Manchester Officers did, as well as our federal counterparts. The collaborative efforts helped make this successful resolution possible.”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Manchester Police Department. The case was prosecuted by Assistant U.S. Attorney Debra M Walsh.
The case is part of ATF’s Project Safe Neighborhoods initiative, which is a federally-funded program intended to reduce gun violence through law enforcement training, public education, and aggressive law enforcement efforts to investigate and prosecute gun-related crimes.
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Lead Defendant Pleads Guilty in Elder Fraud Scheme Targeting 80-Year Old Widow in Washington, UtahRead the Press Release
ST. GEORGE, UT – Frank Gene Powell, age 51, of Hurricane, Utah, the lead defendant in a significant federal elder fraud case targeting an 80-year-old widow in Washington, Utah, has reached a plea agreement with federal prosecutors.
Powell pleaded guilty to all six counts he was charged with in a superseding indictment, including conspiracy to commit wire fraud, money laundering, two counts of destruction of records in a federal investigation, concealment of a document or object in an attempt to impair the object’s integrity or availability for use in an official proceeding, and tampering with a witness.
Powell was on state parole at the time of his federal crimes after serving nearly 30 years in state prison for murder. While he was in prison, he received a 1-to-15 year sentence for sexually assaulting an inmate.
The plea agreement includes a stipulated sentence of 120 months in federal prison and an agreement that Powell will pay almost $274,000 in restitution to the victim of the fraud. The victim is identified as L.N. in court documents. The sentence and restitution are subject to the approval of the Court at sentencing. Powell will also forfeit two vehicles and faces a money judgment of $273,849.20. Sentencing for Frank Powell is set for May 20, 2020, at 2 p.m. before U.S. District Judge David Nuffer. The hearing will be in St. George.
“Powell is a career criminal who has fended off decades of rehabilitative attempts in the Utah state criminal justice system. He’s a convicted murderer and sexual predator, who has now turned his criminal efforts to elder fraud while on state parole,” U.S. Attorney for Utah John W. Huber said today. “With these guilty pleas, he stands convicted of unconscionable crimes against a senior member of the St. George community. A 10-year sentence is very appropriate in this case and will help ensure that Utah will not fall victim to his crimes again.”
As a part of his plea agreement, Frank Powell admitted that from around March 2019 and continuing until about Feb. 6, 2020, he conspired with others to devise a fraud scheme with the specific intent to obtain money or property by means of fraudulent representations or promises. He agreed with his codefendants to engage in a scheme to defraud L.N. by soliciting money and assets in exchange for false promises to perform work for L.N. He also admitted he engaged a fake romantic relationship with L.N. as a part of his scheme to defraud her.
He admitted that he purchased a 2019 GMC Sierra using money he received as a part of his scheme to defraud L.N. Using money derived from criminal conduct is money laundering. Several of the counts he pleaded guilty to relate to efforts he took to impede and obstruct the investigation of the case, including concealing cellular phones and money.
Powell also pleaded guilty to witness tampering admitting that in November 2019, he engaged in misleading conduct toward L.N. in an attempt to persuade her from communicating with law enforcement officers investigating the case. Through written correspondence and phone calls, Powell and his codefendant, Faye Renteria, age 42, of Hurricane, made misleading statements and attempted to persuade L.N. in an effort to help them avoid prosecution.
Frank Powell’s mother and codefendant, Gloria Jean Powell, age 74, of St. George, also has reached a plea agreement in the case. She pleaded guilty to one count of concealment of a document or object, admitting she concealed or attempted to conceal U.S. currency with the intent to impair an FBI investigation. She admitted she aided and abetted her son, Frank Powell, and her daughter, Angela McDuffie, age 53, of Lehi, in the conduct.
Sentencing for Gloria Jean Powell is set for May 6, 2020, at 4 p.m. in St. George before Judge Nuffer. Her plea agreement includes a stipulated sentence of three months in prison or credit for time served at the date of sentencing, whichever is further from her Feb. 4, 2020, arrest date. She also will forfeit a 2010 Toyota Venza as a part of the case resolution.
Eight defendants were charged in a 10-count superseding indictment returned in early February. The indictment alleges the defendants, who have family relationships, conspired to obtain money and assets from the victim in exchange for false promises to perform work on her property. To further advance the scheme, one of the defendants engaged in romance fraud by enticing the victim to enter into a romantic relationship. He used the romantic relationship to manipulate the victim into giving him money and assets.
The indictment includes one count of wire fraud conspiracy, five counts of money laundering conspiracy – spending, two counts of destruction or concealment of records and tangible objects in a federal investigation, one count of concealment of a document or object, and one count of tampering with a witness or victim.
In addition to Frank Gene Powell, Gloria Jean Powell, McDuffie, and Renteria, other defendants include Bubby Mern Shepherd, age 58, of Lodi, California, Terrence Quincy Powell, age 23, of St. George, Rocky James Powell Mott, age 40, of Hurricane, and Martell Taz Powell, age 25, of Cedar City.
Charges are pending against the remaining six defendants in the case. A change of plea hearing is set for Monday in St. George for Renteria.
Combatting elder abuse and financial fraud targeted at seniors is a key priority of the U.S. Department of Justice and the U.S. Attorney’s Office in Utah. Elder abuse is a serious crime against some of our nation’s most vulnerable citizens, affecting at least 10 percent of older Americans every year. Together with federal, state, local and tribal partners, the Department of Justice is committed to combatting all forms of elder abuse and financial exploitation through enforcement actions, training and resources, research, victim services, and public awareness. This holistic and robust response demonstrates the Department’s unwavering dedication to fighting for justice for older Americans.
Assistant U.S. Attorneys in Utah are prosecuting the case. The FBI is investigating the case. Agents with Utah Adult Probation and Parole have made signification contributions to the investigation.
Justice Department Requires Divestitures in Merger Between UTC and Raytheon to Address Vertical and Horizontal Antitrust ConcernsRead the Press Release
The Department of Justice announced today that it is requiring United Technologies Corporation (UTC) and Raytheon Company (Raytheon) to divest Raytheon’s military airborne radios business and UTC’s military global positioning systems (“GPS”) and large space-based optical systems businesses in order to proceed with their proposed merger. Without these divestitures, the merger would eliminate competition between two of the primary suppliers of military airborne radios and military GPS systems to the Department of Defense (DoD), and enable the merged firm to lessen competition for multiple components used in reconnaissance satellites sold to DoD and the wider U.S. intelligence community.
The department’s Antitrust Division filed a civil antitrust lawsuit today in the U.S. District Court for the District of Columbia to block the proposed merger. At the same time, the Antitrust Division filed a proposed settlement that, if approved by the court, would resolve the competitive harm alleged in the lawsuit.
“Today’s settlement protects the American taxpayer by preserving competition that leads to lower costs and higher innovation in critical military and defense products,” said Assistant Attorney General Makan Delrahim of the Antitrust Division. “The merger, as originally proposed, would have eliminated competition in the supply of military airborne radios and military GPS systems, and would have positioned the merged firm to harm rivals capable of making key components for reconnaissance satellites. These horizontal and vertical concerns are resolved by the Division’s structural remedy, which includes the divestiture of three separate business units.”
According to the department’s complaint, UTC and Raytheon are the only firms that develop, manufacture, and sell military airborne radios, which allow for secure voice, data, and video communications to and from aircraft, and are installed on every airplane and helicopter currently used by DoD. The department’s complaint also alleges that UTC and Raytheon are the only competitors for military GPS systems for aviation and maritime applications, and are two of the three competitors for military GPS systems for ground applications. Military GPS systems receive and process satellite signals, providing information regarding position, navigation, and timing. The complaint alleges that the merger would eliminate competition between UTC and Raytheon for all of these products, likely leading to higher prices, diminished innovation, lower quality, and less favorable contract terms.
The department’s complaint further alleges that UTC and Raytheon are among the few firms capable of producing several components for space-based electro-optical/infrared (EO/IR) reconnaissance satellites, which provide DoD and U.S. intelligence community customers with essential information, including early warning of missile launches. Specifically, UTC is one of only two companies able to build large space-based optical systems, and Raytheon is a leading supplier of detectors called focal plane arrays (FPAs). Raytheon is the only firm that produces FPAs that detect visible light, and one of two firms that produces FPAs that detect infrared light. Large space-based optical systems and FPAs are components of EO/IR reconnaissance satellite payloads – the system that carries out the mission of the satellite – which Raytheon also produces. According to the department’s complaint, the merged firm would have the ability and incentive to require EO/IR payload builders seeking to purchase Raytheon’s industry-leading FPAs to also purchase UTC’s large space-based optical systems, and could deny Raytheon’s EO/IR payload competitors access to UTC’s large space-based optical systems. As a result, the complaint alleges that the transaction likely would result in higher prices, less favorable contract terms, and diminished innovation for large space-based optical systems and EO/IR reconnaissance satellite payloads.
Under the terms of the proposed settlement, the parties must divest Raytheon’s military airborne radios business, including facilities in Fort Wayne, Indiana and Largo, Florida, and UTC’s military GPS business to BAE Systems, Inc. (BAE), or an alternate acquirer approved by the United States. BAE is the U.S. subsidiary of BAE Systems plc, an international defense, aerospace, and security company that provides a wide range of products and services for air, land, and naval forces. The proposed settlement further requires the parties to divest UTC’s optical systems business, including a facility in Danbury, Connecticut, to an acquirer to be approved by the United States.
The Antitrust Division and DoD worked closely throughout the course of the investigation. In addition, the Antitrust Division, the European Commission, and the Canadian Competition Bureau cooperated closely throughout the course of their respective investigations.
UTC, a Delaware corporation headquartered in Farmington, Connecticut, produces a wide range of products for the aerospace and defense industries. UTC had sales of approximately $77 billion in 2019.
Raytheon, a Delaware corporation headquartered in Waltham, Massachusetts, is one of the world’s largest defense manufacturers, with significant capabilities in radars and missiles. Raytheon had sales of approximately $29 billion in 2019.
As required by the Tunney Act, the proposed settlement, along with a competitive impact statement, will be published in the Federal Register. Any person may submit written comments concerning the proposed settlement during a 60-day comment period to Katrina Rouse, Chief, Defense, Industrials, and Aerospace Section, Antitrust Division, U.S. Department of Justice, 450 Fifth Street, N.W., Suite 8700, Washington, D.C. 20530. At the conclusion of the 60-day comment period, the U.S. District Court for the District of Columbia may enter the final judgment upon finding it is in the public interest.
Justice Department Protects Eastern District of Texas from COVID-19 FraudstersRead the Press Release
SHERMAN, Texas - On March 13, 2020, President Donald J. Trump declared the outbreak of COVID-19 (the coronavirus) in the United States to be a national emergency. Unfortunately, criminals and scammers are trying to take advantage of the crisis for their own profit. The U.S. Attorney’s Office for the Eastern District of Texas through its United States Attorney, Joseph D. Brown, has made it a top priority to detect, investigate, and prosecute anyone who attempts to exploit the anxiety and uncertainty surrounding the COVID-19 outbreak to defraud other people.
“The public needs to be careful during the coming weeks to not fall victim to criminals who will try to take advantage of this health crisis,” said United States Attorney Brown. “The Justice Department has made it a priority to stop scams and frauds, and we will move aggressively against anyone who does that. We encourage anyone who becomes aware of a potential fraud, to report it.”
Scammers have already devised numerous methods for defrauding people in connection with COVID-19. They are setting up websites, contacting people by phone and email, and posting disinformation on social media platforms. To report fraud, please contact:
- National Center for Disaster Fraud (NCDF):
Telephone hotline:1-866-720-5721
Email address: [email protected]
- Federal Bureau of Investigation (FBI):
- Submit a complaint online at https://tips.fbi.gov/
For cyber or internet related scams, submit your complaint at https://www.ic3.gov/default.aspx
Telephone: 1-800-CALL-FBI (225-5324)
- EDTX COVID-19 Fraud Coordinator, Assistant U.S. Attorney Frank Coan
Telephone: 903-590-1400
Some examples of scams linked to COVID-19 include:
- Treatment scams: Scammers are selling fake vaccines, medicines, tests, and cures for COVID-19.
- Supply scams: Scammers are claiming they have in-demand products, like cleaning, household, health, and medical supplies. When an order is placed, the scammer takes the money and never delivers the order.
- Charity scams: Scammers are fraudulently soliciting donations for non-existent charities to help people affected by the COVID-19 crisis. Scammers often use names that are similar to the names of real charities.
- Phishing scams: Scammers, posing as national and global health authorities such as the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending fake emails or texts to trick the recipient into sharing their personal information, including account numbers, Social Security numbers, or login IDs and passwords.
- App scams: Scammers are creating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and steal personal information.
- Provider scams: Scammers pretending to be doctors and hospitals that have treated a friend or relative for COVID-19 and demand payment for that treatment.
- Investment scams: Scammers are promoting the stock of small companies, which have limited publicly-available information, using false or misleading claims that the companies’ stock will increase dramatically due to the COVID-19 outbreak, such as claims that a company can prevent, detect, or cure COVID-19.
- Price gouging: Individuals and businesses selling essential goods, like hand sanitizer, for significantly higher prices than in a non-emergency setting.
The public can take the following steps to help protect against these scams:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use “cdc.com” or “cdc.org” instead of “cdc.gov.”
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
- Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device.
- Make sure that the anti-malware and anti-virus software on your computer is operating and up to date.
- Ignore social media and email offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you will not hear about it for the first time through an email, online ad, or unsolicited sales pitch.
- Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID-19 before giving. Remember, an organization may not be legitimate even if it uses words like “CDC” or “government” in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website (https://www.consumer.ftc.gov/features/how-donate-wisely-and-avoid-charity-scams).
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Do not send money through any of these channels.
- Be cautious of “investment opportunities” tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website (https://www.investor.gov/protect-your-investments/fraud/how-avoid-fraud/what-you-can-do-avoid-investment-fraud).
The United States Attorney’s Office also cautions against individuals or businesses that may have accumulated medical supplies or devices beyond what they reasonably need on a daily basis for the purpose of selling them in excess of prevailing market prices. It is illegal to acquire medical supplies and devices designated by the Secretary of Health and Human Services as scarce in order to hoard them or sell them for excessive prices. Although no items have yet been so designated, the process for such designation is underway, and it is anticipated that certain supplies will be designated in the near future.
This does not mean that the Justice Department will pursue regular Americans who are stocking up on the necessities of daily life or businesses acquiring materials reasonably needed for their own use. Similarly, no action will be taken against manufacturers or suppliers who are working with the government and health care providers to combat this crisis. However, bad actors who amass critical supplies either far beyond what they could use or for the purpose of profiteering will be aggressively pursued. Scarce medical supplies need to be going to hospitals for immediate use in care, not to warehouses for later overcharging.
For the most up to date information on the COVID-19 outbreak and the federal response, check https://www.cdc.gov/coronavirus/2019-ncov/index.html
- National Center for Disaster Fraud (NCDF):
Enfield Man Charged with Unlawfully Possessing A Firearm and AmmunitionRead the Press Release
CONCORD - Scotty Gonzalez, 28, of Enfield, was arrested on Wednesday for the unlawful possession of a firearm and ammunition, United States Attorney Scott W. Murray announced today.
According to a criminal complaint, Gonzalez is legally prohibited from possessing firearms due to a prior felony conviction and a prior conviction for a misdemeanor crime of domestic violence. On July 31, 2019, probation officers found Gonzalez in possession of a rifle and over 300 rounds of ammunition at his residence in Enfield.
Gonzalez was taken into federal custody on Wednesday and appeared before a federal magistrate judge by video. He was ordered detained pending further proceedings.
“Even as our state is dealing with issues related to the coronavirus pandemic, federal law must be enforced in order to ensure community safety,” said U.S. Attorney Murray. “Convicted felons and those who have committed crimes of domestic violence are prohibited from possessing firearms. In order to maintain public safety and prevent violent crime, we will continue to work with ATF to identify and prosecute those who unlawfully possess guns and ammunition.”
This matter was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives with assistant from New Hampshire Probation and Parole Officers. The case is being prosecuted by Assistant U.S. Attorney Anna Krasinski.
A criminal complaint is merely an allegation and a defendant is presumed innocent unless and until proven guilty.
This case is part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; 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.
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Dover Man Sentenced to More Than 12 Years in Prison for Meth Distribution:Read the Press Release
LITTLE ROCK—A Dover man was sentenced Monday for distribution of methamphetamine in connection with white supremacist groups in the Pope County area. Joseph Pridmore, 34, of Dardanelle, was sentenced to 150 months in federal prison by United States District Judge Brian S. Miller. Cody Hiland, United States Attorney for the Eastern District of Arkansas, announced today’s sentencing.
Judge Miller also sentenced Pridmore, who pleaded guilty in October 2019 to distribution of methamphetamine actual, to five years of supervised release following his term of imprisonment.
In 2016, local and federal agencies initiated a joint investigation to identify, infiltrate, and dismantle drug trafficking organizations in Russellville. Agents identified multiple individuals who were trafficking methamphetamine in the Pope County area. The investigation revealed that Pridmore obtained multi-ounce quantities of methamphetamine from sources in Russellville and distributed the meth in ounces or grams to various individuals in the area.
Pridmore is a self-professed member of White Aryan Resistance, a white supremacist group with similar core beliefs and rank structure as the New Aryan Empire (NAE), a white supremacist organization that began as a prison gang. According to charging documents in the case, “it is not uncommon for the two groups to collaborate and comingle to further their criminal objectives, including narcotics distribution.”
“Today’s lengthy sentence in Operation ‘To The Dirt’ is one of many more to come,” said Cody Hiland, United States Attorney for the Eastern District of Arkansas. “When members of these violent white supremacist organizations use their warped ideology to facilitate drug trafficking, it will result in a significant prison term. We will continue to investigate and prosecute methamphetamine distribution in this as well as other corrupt organizations.”
Pridmore was charged on October 3, 2017, in a federal indictment that charged 44 people from the Pope County area with numerous gun and drug violations. The case is named “To The Dirt,” a reference to the NAE slogan referring to the rule that members must remain in the NAE until they die.
After Daniel Adame of Dardanelle became the first defendant to plead guilty in “To The Dirt,” a federal grand jury returned a superseding indictment on February 5, 2019, which named 11 additional defendants and added charges for the defendants’ involvement in acts involving attempted murder, kidnapping, maiming, and conspiracy to distribute methamphetamine. Adame was sentenced in May 2019 to 262 months in prison, Britanny Conner was Sentenced in October 2019 to 120 months in prison, and Pridmore is the third defendant to be sentenced in the case.
The investigation included the Bureau of Alcohol, Tobacco, and Firearms, the Drug Enforcement Administration, and the Federal Bureau of Investigation, as well as the Pope County Sheriff’s Office and the Russellville Police Department.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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This news release, as well as additional information about the office of the
United States Attorney for the Eastern District of Arkansas, is available online at
https://www.justice.gov/edar
Twitter:
@EDARNEWS
Dorchester Man, Previously Indicted on Sex Trafficking Charges, Charged with Witness Tampering and Obstruction of JusticeRead the Press Release
BOSTON – A Dorchester man has been charged in federal court in Boston with witness tampering and obstructing justice.
Bruce “Arki” Brown, 41, was charged today by criminal complaint with witness tampering and obstruction of justice. Brown was previously charged federally with sex trafficking and is currently in jail awaiting trial.
According to the charging document, Brown used coded language in recorded jail calls and directed his three co-conspirators to assist him with contacting victims and witnesses in an attempt to influence their testimony related to the pending charges against him. Brown dubbed this scheme “Plan B.”
Brown was previously indicted on Feb. 13, 2020, with four counts of sex trafficking by force, fraud, or coercion; one count of sex trafficking of a minor by force, fraud and coercion; one count of transportation of a minor for purposes of prostitution; and one count of conspiracy to commit sex trafficking. According to the indictment, Brown engaged in the sex trafficking of four victims over a 15 year period beginning in June 2004 through approximately July 2019.
The charge of obstruction of justice carries a maximum penalty of up to years in prison, three years of supervised release and a fine up to $250,000. Witness tampering carries a maximum penalty of up to of 20 years in prison, three years of supervised release and a fine up to $250,000 or twice the gross gain or loss from the crime, whichever is greater. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division made the announcement today. The Boston Police Department and Newton Police Department also provided valuable assistance in the investigation.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
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Dominican National Pleads Guilty and is Sentenced on Charges of Illegal Reentry after DeportationRead the Press Release
BOSTON –A Dominican national pleaded guilty today in federal court in Boston to illegally reentering the United States after being deported.
Jhonny Dume-Patrocinio, 39, of Barnstable, pleaded guilty before U.S. District Court Judge Allison D. Burroughs who sentenced Dume-Patrocinio to “time-served,” approximately one month, to be followed by one year of supervised release. Dume-Patrocinio will be transferred into ICE custody and be placed into removal proceedings.
In May 2013, Dume-Patrocinio was encountered by ICE agents in Boston and determined to be illegally present in the United States. He was placed into removal proceedings and, on Oct. 1, 2013, deported to the Dominican Republic. Sometime after his removal, Dume-Patrocinio illegally reentered the United States, was arrested in Lynn and charged with distribution of heroin. Dume-Patrocinio appeared in Lynn District Court and posted bail. Immigration authorities were not notified that Dume-Patrocinio was released, despite a detainer being lodged. According to court records, Dume-Patrocinio failed to appear for a Nov. 8, 2017 pre-trial hearing in Lynn District Court. In February 2020, immigration authorities located and arrested Dume-Patrocinio, charging him with illegal reentry after deportation.
On the charge of illegal reentry after deportation, Dume-Patrocinio faces up to two years in prison to be followed by one year of supervised release. Dume-Patrocinio will also be subject to deportation following any sentence imposed.
United States Attorney Andrew E. Lelling and Marcos D. Charles, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit is prosecuting the case.
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Criminal Complaint Charges Two Women with Distribution of Controlled Substances Resulting in a Death, and an Overdose with Serious Bodily Harm, on the Menominee Indian ReservationRead the Press Release
Matthew D. Krueger, U.S. Attorney for the Eastern District of Wisconsin, announced today that Jacquelyn M. Grignon (age: 47) and Lottie A. Tucker (age: 37), both of Keshena, which is on the Menominee Indian Reservation have been charged in federal court by criminal complaint with distribution of controlled substances resulting in a death, and serious bodily injury. Both individuals face mandatory minimum 20-year prison sentences. Tucker also faces a charge of possession with intent to distribute controlled substances, which has a maximum sentence of 20 years in prison.
According to the criminal complaint, between March 20, 2020, and March 21, 2020, Tucker and Grignon distributed heroin to two males on the Menominee Indian Reservation. One male died as the result of his use of the drugs and the other, a minor, was revived from an overdose by responding emergency medical professionals. A subsequent search of Tucker’s residence revealed additional quantities of suspected heroin, methamphetamine, and cocaine in amounts consistent with distribution.
“The opioid crisis has stolen too many lives,” said United States Attorney Krueger. “That is why dealing lethal drugs results in serious penalties. We are committed to working with law enforcement at all levels, including our tribal partners, to stop the flow of these poisons.”
The Menominee Tribal Police Department, Wisconsin Department of Justice – Division of Criminal Investigation Native American Drug and Gang Initiative, and Federal Bureau of Investigation investigated the case. Assistant United States Attorney Andrew J. Maier is prosecuting the case.
The public is cautioned that a criminal complaint sets forth allegations of criminal conduct and is not evidence of guilt. The defendants are presumed innocent, and are entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
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Clay County Man Indicted for Armed Methamphetamine TraffickingRead the Press Release
LONDON, Ky. - Johnny Asher, 54, of Manchester, Kentucky, was indicted by a federal grand jury on Thursday, for possession with intent to distribute methamphetamine, possessing a firearm in furtherance of drug trafficking, and being a convicted felon in possession of a firearm.
The indictment alleges that, from October 6, 2019 to January 2020, Asher knowingly possessed and intended to distribute 500 grams or more of suspected methamphetamine, and he possessed a firearm in furtherance of his methamphetamine trafficking. The indictment also alleges Asher was a convicted felon and legally prohibited from possessing the firearm.
The investigation preceding the indictment was conducted by ATF, London Police Department, and Clay County Sheriff’s Department.
Asher’s next appearance before the United States District Court in London will be on a date determined by the court. The trial date has not yet been determined. If convicted, Asher faces a maximum prison sentence of life in prison. However, any sentence following conviction would be imposed by the court after consideration of the United States Sentencing Guidelines and the federal statute governing the imposition of sentences.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which government must prove guilt beyond a reasonable doubt.
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Cherry Creek Man Sentenced for Failure to RegisterRead the Press Release
United States Attorney Ron Parsons announced that a Cherry Creek, South Dakota, man convicted of Failure to Register as a Sex Offender was sentenced on March 25, 2020, by Chief Judge Roberto A. Lange, U.S. District Court.
Andre Marshall, age 35, was sentenced to time served, 5 years of supervised release, and a special assessment to the Federal Crime Victims Fund in the amount of $100.
Marshall was indicted by a federal grand jury on August 13, 2019. He pled guilty on January 13, 2020.
Between May 30, 2019, and June 13, 2019, Marshall, being a person required to register under the Sex Offender Registration and Notification Act and a sex offender by reason of conviction, knowingly failed to register and update his registration.
This case was investigated by the U.S. Marshals Service. Assistant U.S. Attorney Jay Miller prosecuted the case. Marshall was released following sentencing.
Cherry Creek Man Indicted on Arson ChargeRead the Press Release
United States Attorney Ron Parsons announced that a Cherry Creek, South Dakota, man has been indicted by a federal grand jury for Arson.
Joshua Adams Hale, age 29, was indicted on March 9, 2020. He waived his personal appearance on March 26, 2020, and pled not guilty to the Indictment.
The maximum penalty upon conviction is 25 years in federal prison and/or a $250,000 fine, 4 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered.
The Indictment alleges that on January 9, 2020, at Cherry Creek, in Ziebach County, South Dakota, Hale willfully and maliciously set fire to and burned a building, namely, the Church of Jesus Christ of Latter-Day Saints chapel. The chapel was completely destroyed by the fire.
The charge is merely an accusation and Hale is presumed innocent until and unless proven guilty.
The investigation is being conducted by the Cheyenne River Sioux Tribe Law Enforcement Services and the Bureau of Alcohol, Tobacco, Firearms and Explosives. Assistant U.S. Attorney Cameron J. Cook is prosecuting the case.
Hale was remanded to the custody of the U.S. Marshals Service pending trial. A trial date has not been set.
Critical Mission of Justice Department ContinuesRead the Press Release
U.S. Attorney Drew H. Wrigley Urges North Dakota Residents To Remain Vigilant of Fraud Schemes & False Information
BISMARCK – U.S. Attorney Drew H. Wrigley of the District of North Dakota, announced today that the critical mission of the Justice Department is continuing during the COVID-19 crisis.
"Beginning in the initial hours of alarm, my office rapidly transitioned to telework capabilities, and we remain committed to our role in ensuring the safety and security of the people of North Dakota during these challenging times," said U.S. Attorney Drew Wrigley. "All across America, as here in North Dakota, Justice Department representatives are maintaining cooperation and coordination with our local, state and tribal law enforcement partners to safeguard our communities, region and nation."
To protect public safety, the U.S. Attorney’s Office will continue to charge and prosecute criminal cases, including national security matters, violent offenders, and all criminal conduct related to the current pandemic. There have been reports of individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud, reports of phishing emails from entities posing as the World Health Organization or the Centers for Disease Control and Prevention (CDC), and reports of malware being inserted into mobile apps designed to track the spread of the virus. Any such criminal conduct occurring in the District of North Dakota will be prosecuted to the fullest extent of the law. Report suspected fraud schemes related to COVID-19 (the Coronavirus) by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF e-mail address [email protected].
The U.S. Attorney’s Office is working closely with the courts and United States Marshals Service to ensure that every appropriate precaution is being taken to ensure the health of those who are called before the court.
CEO, CFO, President, and Owner of Sober Homes Network “Serenity Ranch Recovery” Convicted in $38 Million Fraud Scheme after Six-Week TrialRead the Press Release
Fort Lauderdale, Florida -- Sebastian Ahmed, 42, of Delray Beach, Florida, has been convicted of conspiracy to commit health care fraud and wire fraud, five counts of health care fraud, conspiracy to commit money laundering, and eleven counts of money laundering. As part of the scheme, the conspirators exploited vulnerable drug addicts, the majority of whom were 18 to 26 years ago; falsified paperwork; and entered into various kickback arrangements, all in order to receive millions of dollars of falsely and fraudulently obtained funds for their own personal use and benefit. As demonstrated by the trial record, of all the conspirators, no one profited more than Sebastian Ahmed, who netted more than $2.8 million in less than three years.
On Monday, March 23, 2020, following a six-week jury trial, Ahmed was found guilty of one count of conspiracy to commit health care fraud and wire fraud, ten counts of health care fraud, one count of conspiracy to commit money laundering, and eleven counts of money laundering, in case number 19-cr-60200-MORENO(COHN)(s).
Sentencing is scheduled for August 6, 2020 before United States District Judge James I. Cohn in Fort Lauderdale. As to the health care fraud and wire fraud conspiracy and money laundering conspiracy counts, the defendant faces a statutory maximum of 20 years as to each count. As to each of the health care fraud and money laundering counts, the defendant faces an additional maximum statutory sentence of 10 years’ imprisonment.
Ariana Fajardo Orshan, United States Attorney for the Southern District of Florida, George L. Piro, Special Agent in Charge, Federal Bureau of Investigation, and Omar Perez Aybar, Special Agent in Charge, U.S. Department of Health and Human Services-Office of Inspector General made the announcement.
The government’s theory of prosecution advanced in opening statement and closing arguments was that Sebastian Ahmed was the CEO, president and CFO of the two substance abuse treatment centers: Jacob’s Well and Medí MD; and the medical health clinic, Arnica Health, all of which he operated under the umbrella of Serenity Treatment Center, Serenity Living, and “Serenity Ranch Recovery” in Davie, Florida. Ahmed operated the three clinics from in or around June 2016 through May 2019. He employed his brother, Al a/k/a “Ali” Ahmed as the COO. Testimony revealed that Al Ahmed had previously declared bankruptcy having been found liable in a civil suit brought by his former employer, Kaplan University, for stealing confidential lead information from Kaplan.
The government emphasized at trial that defendant (1) engaged in illegal billing to private insurance plans through Jacob’s Well prior to the clinic being certified by DCF in February 9, 2017; (2) provided unlawful inducements to the approximately 500 patients consisting of free airline travel, housing, vapes, manicures, cash, and failure to collect patient responsibilities for co-pays and deductibles; and (3) billed for medically unnecessary therapeutic services consisting of therapy and urine analyses, the former having not been provided but billed by defendant’s substance abuse clinics. The patients were also permitted to reside in co-ed housing in which destructive sexual relationships, not conducive to real addiction treatment, formed – sometimes between the staff and patients, according to the testimony and evidence.
According to court documents and evidence presented at trial, the patients consisted of young adults in their twenties who primarily were addicted to opioids and other drugs of abuse. Many of the patients were permitted to remain on their parents’ private insurance plans up to age 26.
The patients resided in a series of so-called sober homes maintained by defendant in Davie, Southwest Ranches, Hollywood and Pompano. None of these homes were certified by DCF as approved community housing for persons engaged in a substance abuse treatment program.
Former Serenity employees including co-defendants Mauren Morel and Hector Alvarez, both Clinical Social Workers in the State of Florida, testified that they prepared fake progress notes to support fraudulent billing for daily group therapy sessions that patients did not attend. They testified that they did so at the defendant’s direction, and that claims were even submitted for dates when patients were not physically present.
Government expert witness Dr. Kelly Clark was a board certified addiction medicine specialist and clinical psychiatrist. She focused her career on issues of addictive disease. She testified that the manner in which Serenity’s medical providers prescribed buprenorphine and benzodiazepines to a drug abusing population was medically inappropriate and potentially dangerous. Patient-witnesses and the parent of a former patient likewise testified that Serenity caused their addictions to intensify rather than improve, and that multiple patients suffered overdoses and relapses that went unaddressed by the staff at Serenity. Indeed, the record showed that Sebastian Ahmed failed to report a single overdose incident to DCF as required by law, and that multiple patients were cycled back and forth between detox centers and Serenity without apparent improvement in their condition. Evidence that Serenity permitted and even procured addictive drugs for its patients was presented at trial, and medical records introduced as trial exhibits revealed that the doctors did not check the expensive urine screens that were being ordered until well after patients’ discharge. These urine screens revealed repeat positives for, among other drugs, methamphetamine, heroin, cocaine, and prescription narcotics.
From June 2016 through May 2019, the government attributed approximately $38 million in fraudulent billing submitted by defendant’s clinics which resulted in the reimbursement of over $6 million in payments.
Co-conspirators and former co-defendants Al a/k/a Ali Ahmed, the defendant’s brother; and Hector Alvarez and Mauren Morel, the clinical directors at two of the facilities, were also charged and pled guilty in connection with the fraud. Al a/k/a Ali Ahmed, who served as a Chief Operating Officer and co-owner of the facilities, was sentenced to ten years’ imprisonment. Hector Alvarez and Mauren Morel, both of whom testified at trial against Sebastian Ahmed, each received sentences of 32 months’ imprisonment. These three former co-defendants were sentenced by United States District Judge Federico A. Moreno prior to the trial.
Ms. Fajardo Orshan commended the investigative efforts of FBI and HHS-OIG. Support for the investigation was also provided by the Drug Enforcement Administration, Davie Police Department, Broward Sheriff’s Office, Palm Beach Sober Homes Task Force, and the Florida Department of Children and Families. The case is being prosecuted by Assistant U.S. Attorneys Christopher J. Clark and Lisa H. Miller. Assistant U.S. Attorneys Nicole Grosnoff and Peter Laserna are handling the asset forfeiture component of the case.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or on http://pacer.flsd.uscourts.gov.
Bradenton Man Sentenced to More Than Fifteen Years for Drug OffensesRead the Press Release
Tampa, Florida – U.S. District Judge Virginia M. Hernandez Covington has sentenced Ronde Yarrell (43, Bradenton) to 15 years and 8 months in federal prison for distributing heroin, fentanyl, and cocaine.
Yarrell had pleaded guilty on August 1, 2019.
According to court documents, between November 13, 2018, and January 4, 2019, Yarrell—a ten-time convicted felon—sold heroin, fentanyl, and cocaine to undercover officers on five different occasions. During the last drug sale, Yarrell sold an undercover officer six grams of heroin for $840. As a repeat offender, with prior convictions for bank robbery and possession of marijuana with intent to sell, manufacture, or deliver, Yarrell qualified as a career offender and was subject to enhanced penalties under federal law.
The case is part of the Middle District of Florida’s anti-opioid strategy to combat opioid trafficking and abuse. It was investigated by the Drug Enforcement Administration and the Manatee County Sheriff’s Office. It was prosecuted by Assistant United States Attorney David C. Waterman.
Billings man charged with sex, drug trafficking crimesRead the Press Release
BILLINGS—A Billings man accused of sex trafficking and drug distribution crimes was arraigned today on charges, U.S. Attorney Kurt Alme said.
Mario Juan Drake, 31, pleaded not guilty to six counts in a 25-count indictment charging four defendants. Co-defendants William Maurice Newkirk, Djavon Lamont King and Dejon Anthony Duncan have been arraigned and have pleaded not guilty.
The charging documents are merely accusations and defendants are presumed innocent until proven guilty.
Drake pleaded not guilty to sex trafficking of a minor, two counts of sex trafficking by force, fraud and coercion, possession with intent to distribute cocaine, distribution of cocaine and conspiracy to possess with intent to distribute cocaine. If convicted of the most serious crime, Drake faces a minimum mandatory 15 years to life in prison, a $250,000 fine and five years to life of supervised release.
U.S. Magistrate Judge Timothy J. Cavan presided. Drake was detained pending further proceedings.
The indictment alleges that from about 2018 through 2019, Drake became involved in the distribution of illegal narcotics and in commercial sex and sex trafficking of a minor in Billings and other Montana cities.
Assistant U.S. Attorneys Zeno Baucus and Bryan Dake are prosecuting the case, which was investigated by the FBI.
Pacer case reference. 20-25.
If the above case is of interest to your media organization and the community it serves, we encourage you to monitor its progress through the U.S. District Court calendar and the PACER system.
To establish a PACER account, which will allow you to review documents filed in the case, please go to, http://www.pacer.gov/register.html. To access the district court’s calendar, please go to https://ecf.mtd.uscourts.gov/cgi-bin/PublicCalendar.pl.
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Wednesday 25 March 2020
Woman from Deming, New Mexico charged with marijuana smugglingRead the Press Release
ALBUQUERQUE, N.M. – Nancy Edith Duarte-Lujan, 39, of Deming, New Mexico, appeared in federal court in Las Cruces, New Mexico today for an initial appearance on a criminal complaint charging her with conspiracy and possession with intent to distribute marijuana.
According to the criminal complaint, Duarte-Lujan allegedly tried to enter the United States on March 23 at the port of entry in Columbus, New Mexico with a large quantity of marijuana concealed in the spare tire, fenders, back seat and tailgate of the truck she was driving. U.S. Customs and Border Protection arrested Duarte-Lujan following an inspection of her vehicle.
Duarte-Lujan is currently in custody pending a detention hearing on March 30. She faces up to 20 years in prison if convicted of the charged offenses. A criminal complaint is only an accusation. A defendant is presumed innocent until proven guilty.
Homeland Security Investigations and U.S. Customs and Border Protection investigated this case. Assistant U.S. Attorney Brad Bartlett is prosecuting the case.
U.S. Attorney warns of coronavirus scams targeting vulnerable victimsRead the Press Release
SAVANNAH, Ga. – Scammers are seeking to exploit the evolving COVID-19 public health crisis by targeting populations most at risk of severe illness, and the U.S. Attorney’s Office for the Southern District of Georgia is urging the public to report suspected fraud schemes by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF at [email protected].
In coordination with the Department of Justice, Attorney General William Barr has directed U.S. Attorneys to prioritize the investigation and prosecution of Coronavirus fraud schemes. The NCDF Hotline can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes.
“Be on the lookout and report potential scams related to COVID-19,” said U.S. Attorney Bobby L. Christine. “Criminals are seeking to take advantage of the current health crisis and are targeting the most vulnerable amongst us. Our office is open for business and committed to working closely with our law enforcement partners to detect, investigate, and prosecute criminal conduct related to COVID-19. Don’t be swayed by fraudsters, and report anything suspicious.”
Some examples of these schemes include:
- Individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud.
- Phishing emails from entities posing as the World Health Organization (WHO) or the Centers for Disease Control and Prevention (CDC).
- Creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand. When consumers attempt to purchase these supplies, the fraudsters pocket the money and never provide the promised supplies.
- Malicious websites and apps that appear to share Coronavirus-related information to gain and lock access to your devices until payment is received.
- Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
- Soliciting donations to fake charities or crowdfunding sites.
- Medical providers obtaining patient information for COVID-19 testing and then using that information to fraudulently bill for other tests and procedures.
- Offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result.
In a memorandum to U.S. Attorneys issued March 19, Deputy Attorney General Jeffrey Rosen also directed each U.S. Attorney to appoint a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to the Coronavirus, direct the prosecution of Coronavirus-related crimes, and to conduct outreach and awareness activities. The Southern District of Georgia’s Coronavirus Fraud Coordinator is Assistant U.S. Attorney Patrick Schwedler.
The NCDF can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes. The NCDF coordinates complaints with 16 additional federal law enforcement agencies, as well as state Attorneys General and local authorities.
Here are some tips to help avoid COVID-19 scams:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Do not purchase test kits or items that purport to cure COVID-19 online.
- Do not click on links or reply to texts from unknown sources as these may download malware and viruses to computers or devices.
- Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating.
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes.
- Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.
- Be cautious of “investment opportunities” tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) websites. To find more about Department of Justice resources and information, please visit www.justice.gov/coronavirus.
U.S. Attorney announces more than $163 million available to fight addiction crisisRead the Press Release
Seattle – U.S. Attorney Brian T. Moran of the Western District of Washington, today announced that more than $163 million in Department of Justice grants is available to help communities address America’s addiction crisis.
“Sadly, even with our community focused on health amidst the COVID-19 crisis, those who struggle with addiction have no break from their disease,” said U.S. Attorney Brian Moran. “I hope state and local governments and non-profits will explore these federal funding opportunities and apply for the grants that can enhance their work with those suffering from addiction.”
“Our nation is facing the difficult challenge of curbing substance addiction, which threatens public safety and is among the Administration’s top domestic priorities,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “The Department of Justice is front and center in the fight to meet this challenge. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs designed to prevent overdose deaths and break the cycle of addiction and crime.
A number of funding opportunities that address the addiction crisis are currently open:
Adult Drug Court and Veterans Treatment Court Discretionary Grant Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17098
Total Available $1.75 million Deadline 5/14/2020
Comprehensive Opioid, Stimulant, and Substance Abuse Site-based Program
https://bja.ojp.gov/COSSAP20
Total Available $27 million Deadline 5/21/2020
Enhancing Community Responses to America's Addiction Crisis: Serving Our Youngest Crime Victims
https://www.ovc.gov/grants/pdftxt/fy-2020-enhancing-community-responses-to-drug-crisis.pdf
Total Available: $19 million Deadline: 5/4/2020
Family Drug Court Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17090
Total Available $18.2 million Deadline 4/8/2020 (Extended)
Harold Rogers Prescription Drug Monitoring Program
https://bja.ojp.gov/funding/opportunities/bja-2020-17754
Total Available $28.1 Deadline 5/5/2020
Juvenile Drug Treatment Court Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17051
Total Available $7.2 million Deadline 4/13/2020 (Extended)
Mentoring Opportunities for Youth Initiative
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-16930
Total Available $48 million Deadline 4/13/2020
Opioid Affected Youth Initiative
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17352
Total Available $9 million Deadline 4/20/2020
Research and Evaluation on Drugs and Crime https://nij.ojp.gov/funding/opportunities/nij-2020-17275
Total Available $1 million Deadline 4/20/2020
Residential Substance Abuse Treatment for State Prisoners
https://bja.ojp.gov/RSAT20
Total Available $4.5 million Deadline 4/6/2020
For more information regarding all OJP funding opportunities, visit https://www.ojp.gov/funding/explore/current-funding-opportunities
U.S. Attorney Urges the Public to Report Suspected COVID-19 FraudRead the Press Release
Hagatña, Guam – United States Attorney Shawn N. Anderson for the Districts of Guam and the Northern Mariana Islands today urged the public to report suspected fraud schemes related to COVID-19 (the Coronavirus) by calling the National Center for Disaster Fraud (NCDF) hotline (1-866-720-5721) or to the NCDF e-mail address [email protected].
In coordination with the Department of Justice, Attorney General William P. Barr has directed U.S. Attorneys to prioritize the investigation and prosecution of Coronavirus fraud schemes.
Some examples of these schemes include:
- Individuals and businesses selling fake cures for COVID-19 online and engaging in other forms of fraud.
- Phishing emails from entities posing as the World Health Organization or the Centers for Disease Control and Prevention.
- Malicious websites and apps that appear to share Coronavirus-related information to gain and lock access to your devices until payment is received.
- Seeking donations fraudulently for illegitimate or non-existent charitable organizations.
- Medical providers obtaining patient information for COVID-19 testing and then using that information to fraudulently bill for other tests and procedures.
In a memorandum to U.S. Attorneys issued March 19, Deputy Attorney General Jeffrey Rosen also directed each U.S. Attorney to appoint a Coronavirus Fraud Coordinator to serve as the legal counsel for the federal judicial district on matters relating to the Coronavirus, direct the prosecution of Coronavirus-related crimes, and to conduct outreach and awareness activities. The Districts of Guam and the Northern Mariana Islands Coronavirus Fraud Coordinator is Mikel Schwab, Assistant U.S. Attorney.
The NCDF can receive and enter complaints into a centralized system that can be accessed by all U.S. Attorneys, as well as Justice Department litigating and law enforcement components to identify, investigate and prosecute fraud schemes. The NCDF coordinates complaints with 16 additional federal law enforcement agencies, as well as state Attorneys General and local authorities.
To find more about Department of Justice resources and information, please visit www.justice.gov/coronavirus.
U.S. Attorney Matt Martin Announces More Than $65 Million Available to Fight Human Trafficking and Help Trafficking VictimsRead the Press Release
Greensboro, N.C. – U.S. Attorney Matthew G.T. Martin of the Middle District of North Carolina today announced that more than $65 million in Department of Justice grants is available to help communities combat human trafficking and serve adults and children who are victimized in trafficking operations. “We are pleased to be able to have this channel of funding for our local partners to help us attack the evil of human trafficking,” said U.S. Attorney Martin.
“Our nation is facing difficult challenges, none more pressing than the scourge of human trafficking. Human traffickers pose a dire threat to public safety and countering this threat remains one of the Administration’s top domestic priorities,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “The Department of Justice is front and center in the fight against this insidious crime. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs that support human trafficking task forces and services for human trafficking survivors.
A number of funding opportunities are currently open, with several more opening in the near future.
- Missing and Exploited Children Training and Technical Assistance Program
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17351
Total Available $1.8 million. Deadline 4/6/2020 (Extended)
- Multidisciplinary Task Force Program to Combat Human Trafficking
Total Available $22 million. Opens week of 3/16/2020
- Preventing Trafficking of Girls
Total Available $1.7 million. Opens week of 3/16/2020
- Research and Evaluation on Trafficking in Persons
https://nij.ojp.gov/funding/opportunities/nij-2020-17324
Total Available $2.5 million. Deadline 4/20/2020
- Services for Victims of Human Trafficking
Total Available $16.5 million. Opens week of 3/16/2020
- Specialized Training and Technical Assistance on Housing for Victims of Human Trafficking
Total Available $2 million. Opens week of 3/16/2020
- Human Trafficking Training and Technical Assistance Program
Total Available $5 million. Opens week of 3/16/2020
- Improving Outcomes for Child and Youth Victims of Human Trafficking
Total Available $6 million. Opens week of 3/16/2020
- Integrated Services for Minor Victims of Labor Trafficking
Total Available $8 million. Opens week of 3/16/2020
For more information regarding all OJP funding opportunities, visit https://www.ojp.gov/funding/explore/current-funding-opportunities
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U.S. Attorney Announces More Than $83 Million Available to Support School SafetyRead the Press Release
NEWARK, N.J. – U.S. Attorney Craig Carpenito today announced that more than $83 million in Department of Justice grants is available to help communities improve school security and protect students, faculty and staff from threats of violence.
“The funding opportunities we are announcing will help with research into the causes of school violence and the effectiveness of approaches to dealing with it,” U.S. Attorney Carpenito said. “It will also provide resources that can be used to develop support services for children exposed to violence in their homes, schools, and communities, and for violent crime reduction strategies that focus on violent juvenile offenders.”
“School violence is no longer an abstract threat but has become a tragic reality in too many of America’s communities. Moving to meet this challenge is among the Administration’s top domestic priorities,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “The Department of Justice is front and center in the fight to meet this challenge. OJP is making historic amounts of grant funding available to ensure that our communities have access to innovative and diverse solutions.”
The funding is available through OJP, the federal government’s leading source of public safety funding and crime victim assistance in state, local and tribal jurisdictions. OJP’s programs support a wide array of activities and services, including programs designed to tighten school security and improve the reporting of threats.
A number of funding opportunities for school safety are currently open, with another opening in the near future:
Research and Evaluation on School Safety
https://nij.ojp.gov/funding/opportunities/nij-2020-17308
Total Available $5 million Deadline 4/13/2020
STOP Act School Violence Program (FY20)
https://nij.ojp.gov/funding/opportunities/nij-2020-17308
Total Available $71.4 million Deadline 4/13/2020
Strategies to Support Children Exposed to Violence
https://ojjdp.ojp.gov/funding/opportunities/ojjdp-2020-17926
Total Available $7 million Deadline 4/27/2020
For more information regarding all OJP funding opportunities, visit: https://www.ojp.gov/funding/explore/current-funding-opportunities.
Three Aliens Indicted on Illegal Reentry Charges, Visa Fraud, and False Representation of a Social Security Number, and Aggravated Identity TheftRead the Press Release
RALEIGH – Robert J. Higdon, Jr., United States Attorney for the Eastern District of North Carolina announces that a federal grand jury in Wilmington has returned indictments charging MAURICIO HERNANDEZ-RAMIREZ, age 37, of Mexico, and OMAR HERNANDEZ-ALAVEZ, age 30, of Mexico with Illegal Reentry of a Deported Alien.
Additionally, the grand jury returned an indictment charging SANTOS MILENY TORRES-DIAZ, age 31, of Honduras, with Illegal Reentry, Visa Fraud, False Representation of a Social Security Number, and Aggravated Identity Theft.
If convicted of illegal reentry, HERNANDEZ-RAMIREZ, previously deported and found in Wake County, would face maximum penalties of two years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of illegal reentry subsequent to a felony conviction, HERNANDEZ-ALAVEZ, previously deported nine times and found in Wake County, would face maximum penalties of ten years’ imprisonment, a $250,000 fine, and a term of supervised release following any term of imprisonment.
If convicted of illegal reentry, visa fraud, false representation of a social security number, and aggravated identity theft, TORRES-DIAZ would face maximum penalties of 24 years imprisonment, a $1,000,000 fine, and a term of supervised release following any term of imprisonment.
The charges and allegations contained in the indictments are merely accusations. The defendants are presumed innocent unless and until proven guilty in a court of law.
ICE’s Enforcement and Removal Operations and Homeland Security Investigations are investigating the cases.
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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.
Texas Cajun Restaurant Owner Pleads Guilty to Employing Illegal WorkersRead the Press Release
A Big Spring restauranteur has pleaded guilty to employing undocumented immigrants, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Voum Chhuon, 45, owner of Texas Cajun in Big Spring, Texas, pleaded guilty to harboring illegal aliens and unlawful employment of illegal aliens before U.S. Magistrate Judge John Parker on March 19.
According to plea papers, Chhuon admits he employed illegal labor for his personal financial gain.
Department of Homeland Security (HSI) received a tip from the Howard County Sherriff’s Office that Chhuon was employing illegal aliens at the Texas Cajun. After investigation, HSI agents learned that Chhuon that was paying individuals in his kitchen in cash while the waiters were paid by paycheck.
Officers with the Big Spring Police Department and the Howard County Sherriff’s Office conducted a traffic stop of two Texas Cajun cooks, Simon Hernandez-Bautitsta and Justino Antonio-Martinez. ICE officers determined that Antonio-Martinez and Hernandez-Bautitsta were in the United States illegally and subject for removal.
During interviews with Antonio-Martinez and Hernandez-Bautitsta, they stated that Chhuon knew they were in the United States illegally and not authorized to work. Both men were paid in cash once per week and lived with Chhuon in his residence in Big Spring.
While owning the Texas Cajun, Chhuon unlawfully hired Sergio Martinez-Martinez, Julio Esteban Perez-Florez, Jose Manuel Castillo-Hernandez, Sergio Ramiro Avila-Perez, Simon Hernandez Bautitsta, Justino Antonio Martinez, Lazaro Zepeda-Rocha, and Primitivo Hernandez-Amezquita without filling out any paperwork or requesting any documentation as to legality of residence in the United States or to work.
Once unlawfully hired, Chhuon would provide the illegal aliens room and board at his Big Spring residence and transportation to the Texas Cajun.
From March 2015 until his arrest, Chhuon made a total revenue of $2,985,631 for a monthly average of approximately $82,000 by operating the restaurant with illegal labor. HSI forensic accountants determined Chhuon transferred $137,801 from his Texas Cajun business account to pay off a personal mortgage on a residence located in Pearland, Texas.
Chhuon is facing up to 10 years in federal prison and a $250,000 fine. Homeland Security Investigations conducted the investigation. Assistant U.S. Attorney Stephen Rancourt is prosecuting the case.
Tampa Man Arrested for Distributing Heroin and Fentanyl, Causing DeathRead the Press Release
Tampa, Florida – United States Attorney Maria Chapa Lopez announces the unsealing of a criminal complaint and arrest charging Isaiah Reed (30, Tampa) with conspiracy to distribute and possess with intent to distribute a mixture and substance containing a detectable amount of heroin and fentanyl. If convicted, he faces a maximum penalty of life imprisonment.
According to the
criminal complaint , on September 19, 2019, Reed sold a victim a controlled substance that contained fentanyl. The victim injected the substance, became unresponsive, and died. The Hillsborough County Medical Examiner’s Office determined that the victim suffered an accidental death caused by the combined effects of fentanyl, methamphetamine, and heroin.A criminal complaint is merely a formal charge that a defendant has committed one or more violations of federal criminal law, and every defendant is presumed innocent unless, and until, proven guilty.
The case is part of the Middle District of Florida’s anti-opioid strategy to combat opioid trafficking and abuse. It was investigated by the Hillsborough County Sheriff’s Office and Homeland Security Investigations. It will be prosecuted by Assistant United States Attorney Diego F. Novaes.
Southland Man Arrested on Federal Charges Alleging Fraudulent Investment Scheme Featuring Bogus Claims of COVID-19 CureRead the Press Release
LOS ANGELES – Special agents with the FBI this evening arrested a Southern California man on a federal fraud charge alleging he solicited investments in a company he claimed would be used to market pills that would prevent coronavirus infections and an injectable cure for those already suffering from COVID-19.
Keith Lawrence Middlebrook, 53 – who is associated with several addresses, including residences in Westwood, Newport Beach and Murrieta – was arrested pursuant to a criminal complaint filed late this afternoon in United States District Court in Los Angeles. The complaint charges Middlebrook with one count of attempted wire fraud, a felony offense that carries a statutory maximum penalty of 20 years in federal prison.
The complaint alleges that Middlebrook claimed to have personally developed a “patent-pending cure” and a treatment that prevents coronavirus infection, even though every major health authority has warned that there is no specific antiviral treatment for COVID-19 and no vaccine to prevent coronavirus infection.
Middlebrook was arrested during a meeting in which he delivered pills – purportedly the treatment that prevents coronavirus infection – to an undercover agent who was posing as an investor.
Middlebrook fraudulently solicited funds with promises of massive profits for a company he called Quantum Prevention CV Inc. (QP20), and he falsely claimed to at least one potential investor that Earvin “Magic” Johnson was a member of the board of directors, according to the affidavit in support of the complaint. Mr. Johnson confirmed to investigators that he knew nothing about Middlebrook’s company.
QP20, according to Middlebrook, would mass produce the pills he claimed would prevent COVID-19. Upon receipt of investor funds, Middlebrook would issue shares in both QP20 and Quantum Cure CV 2020 (QC20), another alleged corporation Middlebrook claimed would market the serum that could cure COVID-19 patients within two to three days, the complaint alleges.
In communications with a cooperating witness, Middlebrook said, “I have Developed the Cure for the Coronavirus COVID-19…*LA Patient tested Positive for Coronavirus got up and walked out 51 hours after my Injection,” according to the affidavit. In the same text message, Middlebrook also wrote, “Investors who come in at ground level say $1M will parachute with $200M - $300M…Conservative Minimum.”
“During these difficult days, scams like this are using blatant lies to prey upon our fears and weaknesses,” said United States Attorney Nick Hanna. “While this may be the first federal criminal case in the nation stemming from the pandemic, it certainly will not be the last. I again am urging everyone to be extremely wary of outlandish medical claims and false promises of immense profits. And to those who perpetrate these schemes, know that federal authorities are out in force to protect all Americans, and we will move aggressively against anyone seeking to cheat the public during this critical time.”
“There’s a particular opportunistic cruelty in seeking to profit based on the fear and helplessness of others,” said Paul Delacourt, the Assistant Director in Charge of the FBI’s Los Angeles Field Office. “As the country reacts to the current crisis, and while many suffer from losing a loved one or losing their livelihood, the last thing Americans need are con-artists who hawk miracle cures they know are not tested, guaranteed, nor approved. The FBI is using a variety of tools to identify anyone who exploits the current crisis through investment frauds or a variety of cyber schemes – and is proactively warning investors to thoroughly research any salesperson or any product claiming to save lives, before losing their money, or creating false hope.”
Middlebrook will be held in federal custody until his initial court appearance, which is expected to be Thursday afternoon in United States District Court in downtown Los Angeles.
In a video posted eight days ago to his Instagram account, Middlebrook stated that he had created the cure for COVID-19, and he showed viewers a syringe with a clear liquid and described how his cure worked, according to the affidavit. Accompanying the video is text that reads, in part:
Yes I have Developed the Cure for the Coronavirus COVID-19. After 6 Weeks of Intense Focus and Development (and very little sleep). I am currently going into Mass Production. … The CDC, WHO and Mainstream Media have created a Pandemonium environment. To answer this (just because it’s what I do) I have created a Coronavirus Prevention Pill” (After 3 Days of taking it the person is Immune to the Virus and STAYS immune as long as they continue taking it once a day it the morning) and also the COVID-19 Formula Vaccine Cure to Satisfy the Physiological and Phycological Need at large.
The affidavit states that as of March 24 the video had been viewed more than 633,000 times.
In another Instagram video that was viewed more than 1 million times over approximately three days, Middlebrook shows a pill he says prevents him from contracting COVID-19 and “states that if he took the pill and walked into the Staples Center filled with COVID-19 positive individuals, he could not contract the virus,” according to the criminal complaint.
The affidavit focuses on communications – both written and over the phone – between Middlebrook and two people he thought were potential investors, the cooperating witness and an undercover FBI agent. Middlebrook made a series of claims and promises to the undercover agent, including guaranteeing that a $300,000 investment would yield $30 million, a promise that was secured “by a current $10 billion offer from an unnamed buyer in Dubai,” according to the affidavit.
A criminal complaint contains allegations that a defendant has committed a crime. Every defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
The ongoing investigation in this matter is being conducted by the FBI.
This case is being prosecuted by Assistant United States Attorneys Valerie Makarewicz and James Hughes of the Major Frauds Section.
Sioux City Man Pleads Guilty to Distribution of Methamphetamine and Possessing a Gun During a Drug Trafficking CrimeRead the Press Release
A Sioux City man who distributed approximately 4 pounds of methamphetamine from his residence pled guilty today, March 25, 2020, in federal court in Sioux City.
Carlos Jose Gomez, age 37, from Sioux City, Iowa was convicted of conspiracy to distribute methamphetamine and possession of a firearm during a drug trafficking crime.
Law enforcement executed a search warrant on Gomez’s property where they seized approximately 5 grams of methamphetamine, a loaded handgun, and $1,000 in cash belonging to Gomez. In a plea agreement, Gomez admitted to selling nearly 4 pounds of “ice” methamphetamine from December of 2019 through March 4, 2020. Gomez also admitted to knowingly possessing a gun in furtherance of selling methamphetamine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Gomez remains in custody of the United States Marshal pending sentencing. For Count 1, Gomez faces a mandatory minimum sentence of 10 years’ imprisonment and a possible maximum sentence of life imprisonment, a $10,000,000 fine, and 5 years up to life of supervised release following any imprisonment. For Count 2, Gomez faces a mandatory minimum sentence of 5 years’ imprisonment and a possible maximum sentence of life imprisonment, or both without the possibility of parole, a $250,000 fine, and 5 years of supervised release following any imprisonment.
The case is being prosecuted by Assistant United States Attorney Ron Timmons and was investigated by Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-CR-4024.
Follow us on Twitter @USAO_NDIA.
Sells Man Sentenced to Prison for Sexal Abuse of Two MinorsRead the Press Release
TUCSON, Ariz. – On February 18, Tracy Antonio, 25, of Sells, Ariz., was sentenced by U.S. Senior District Judge Raner C. Collins to 37 months of imprisonment, to be followed by a lifetime term of supervised release. Antonio must also register as a sex offender and follow sex offender conditions while on supervised release. Antonio previously pleaded guilty to two counts of sexual abuse of a minor.
Between November 12, 2015 and March 23, 2017, Antonio engaged in sexual intercourse with two victims, who were both less than 16 years old at the time. The crimes occurred near Sells, Ariz., on the Tohono O’odham Nation Reservation. Antonio is an enrolled member of the Tohono O’odham Nation, as were both victims.
Tohono O’odham Police Department and the Federal Bureau of Investigation conducted the investigation. Assistant U.S. Attorneys Erica Seger and Frances Kreamer Hope, District of Arizona, Tucson, prosecuted the case against Antonio.
CASE NUMBER: CR-18-01903-RCC-JR
RELEASE NUMBER: 2020-033_Antonio# # #
For more information on the U.S. Attorney’s Office, District of Arizona, visit http://www.justice.gov/usao/az/
Follow the U.S. Attorney’s Office, District of Arizona, on Twitter @USAO_AZ for the latest news.PokerStars Founder Pleads GuiltyRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that ISAI SCHEINBERG, the founder and former executive of PokerStars, an online poker company, pled guilty today to running a multimillion-dollar unlawful internet gambling business. SCHEINBERG pled guilty before U.S. Magistrate Judge Sarah L. Cave.
Manhattan U.S. Attorney Geoffrey S. Berman said: “Ten years ago, this Office charged 11 defendants who operated, or provided fraudulent payment processing services to, three of the largest online poker companies then operating in the United States – PokerStars, Full Tilt Poker, and Absolute Poker – with operating illegal gambling businesses and other crimes. As Isai Scheinberg’s guilty plea today shows, the passage of time will not undermine this Office’s commitment to holding accountable individuals who violate U.S. law.”
As alleged in the Indictment filed in March 2011 in Manhattan federal court, PokerStars was founded in approximately 2001, with headquarters in the Isle of Man. PokerStars offered online poker games to players around the world, including in New York, New York. SCHEINBERG was PokerStars’ founder and principal. On October 13, 2006, the United States enacted the Unlawful Internet Gambling Enforcement Act (“UIGEA”), making it a federal crime for gambling businesses to “knowingly accept” most forms of payment “in connection with the participation of another person in unlawful Internet gambling.” With the enactment of UIGEA, leading internet gambling businesses – including the leading internet poker company doing business in the United States at that time – terminated their United States operations. However, PokerStars, along with Full Tilt Poker and Absolute Poker, continued illegally to make internet poker available to U.S. customers through March 2011.
In pleading guilty today, SCHEINBERG admitted that he knew operating a business that offered internet poker to New Yorkers violated state law, and that it was the clear position of the U.S. government that offering online poker in the United States violated federal law. Nonetheless, Scheinberg decided to continue running his multimillion-dollar online poker business in the United States.
In 2012, PokerStars and its related companies (the “PokerStars Companies”) agreed to settle a civil forfeiture and civil money laundering action brought by the Office. That settlement involved, among other things, the PokerStars Companies forfeiting $547 million to the United States and assuming approximately $184 million in foreign player liabilities of another online poker company subject to the settlement. Additionally, in June 2013, Mark Scheinberg, ISAI SCHEINBERG’s son, agreed to forfeit to the United States an additional $50 million of distributions he received from the operation of the PokerStars Companies.
* * *
SCHEINBERG, 73, a dual Canadian and Israeli national, was arrested in Switzerland on June 7, 2019, based on the U.S. charges. In early October 2019, SCHEINBERG was ordered to be extradited to the United States by the Swiss Federal Office of Justice, a decision he initially appealed. SCHEINBERG subsequently withdrew his appeal and surrendered to U.S. federal agents on January 17, 2020. He was arraigned before United States Magistrate Judge Katharine H. Parker on the same day.
SCHEINBERG pled guilty to one count of operating an illegal gambling business, in violation of 18 U.S.C. § 1955. SCHEINBERG faces a maximum sentence of five years in prison. He is scheduled to be sentenced by United States District Judge Lewis A. Kaplan on a date to be determined.
The maximum sentence in this case is prescribed by Congress and is provided here for informational purposes only, as any sentence for the defendant will be determined by the judge.
Mr. Berman thanked the Federal Bureau of Investigation and Homeland Security Investigations for their outstanding work and perseverance in the investigation and prosecution of this case, and Swiss authorities and the Department of Justice Criminal Division’s Office of International Affairs for their assistance with SCHEINBERG’s arrest and extradition proceedings.
With SCHEINBERG’s guilty plea, all 11 defendants – including Raymond Bitar, Scott Tom, Brent Beckley, Nelson Burtnick, Paul Tate, Ryan Lang, Bradley Franzen, Ira Rubin, Chad Elie, and John Campos – originally charged in the Indictment have now pled guilty. All but SCHEINBERG have been sentenced.
This matter is being handled by the Office’s Complex Frauds and Cybercrime Unit. Assistant U.S. Attorneys Olga Zverovich, Sarah Lai, and Jason Cowley are in charge of the prosecution.
Mexican National faces federal marijuana smuggling charges in New MexicoRead the Press Release
ALBUQUERQUE, N.M. – Jose Angel Frias-Mendoza, 45, of Chihuahua City, Mexico appeared in federal court in Las Cruces, New Mexico on March 23 for an initial appearance on a criminal complaint charging him with possession with intent to distribute and importation of marijuana.
According to the criminal complaint, Frias-Mendoza allegedly tried to enter the United States on March 20 at the port of entry in Santa Teresa, New Mexico with 88 bundles (approximately 67.5 pounds) of marijuana hidden in the dashboard, roof, and fuel tank of the vehicle he was driving. U.S. Customs and Border Protection officers inspected the vehicle and located the hidden contraband, according to the complaint.
Frias-Mendoza is currently in custody pending a detention hearing on March 26. He faces up to five years in prison for possession with intent to distribute marijuana and five years in prison for importation of marijuana. A criminal complaint is only an accusation. A defendant is presumed innocent until proven guilty.
Homeland Security Investigations and U.S. Customs and Border Protection investigated this case. Assistant U.S. Attorney Dustin C. Segovia is prosecuting the case.
Man and Woman Arrested, Charged with Selling Heroin Which May Have Led to the Deaths of Two IndividualsRead 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 Jonathan DiPirro, a/k/a JD, 29, of Depew, NY, and Sarah Szymanski, 28, of Cheektowaga, NY, were arrested and charged by criminal complaint with conspiracy to distribute heroin. The charge carries a maximum penalty of 20 years in prison, and a $1,000,000 fine.
Assistant U.S. Attorney Brendan T. Cullinane, who is handling the case, stated that according to the complaint, in October of 2019, the Lancaster Police Department, Drug Enforcement Administration, and the New York State Police Violent Gang Narcotics Enforcement Team began investigating the drug dealing activities of the defendants, who were identified as individuals who sold heroin and fentanyl in the Western New York area.
On November 2, 2019, Lancaster Police Officers, the Bowmansville Fire Company, and the Lancaster Volunteer Ambulance Corporation, responded to an emergency call at a residence in Lancaster. When first responders arrived, they discovered an individual identified as J.L. deceased. Next to J.L., officers observed a hypodermic needle containing a small amount of liquid or blood. A few days later, on November 4, 2019, officers took custody of an eyeglasses case that contained an amount of suspected controlled substances and the hypodermic needle. Testing by the Erie County Central Police Services Forensics Laboratory confirmed that the powdered substance contained a mixture of acetyl fentanyl, fentanyl, and cocaine. On February 11, 2020, the Erie County Medical Examiner's Office issued a death certificate listing the cause of death as “[a]cute mixed drug intoxication,” and identifying fentanyl and acetyl fentanyl as two of the drugs in J.L's system at that time that contributed to the drug intoxication.
Subsequent investigation determined that DiPirro was the individual J.L. contacted by cell phone, using calls, text messages, and Facebook Messenger, to purchase heroin or fentanyl. Specifically, between September 2019 and November 2, 2019, the date of his overdose death, J.L. contacted DiPirro continually using these lines of communication. During that time, J.L. overdosed from heroin and/or fentanyl on three known occasions. J.L. survived the first two overdoses, but died as a result of the third overdose.
On March 4, 2020, the Cheektowaga Police Department responded to an emergency call at a residence in Cheektowaga involving an overdose of an individual. When officers arrived, they found an individual, identified as S.L., unresponsive. Officers administered two doses of Narcan but could not revive S.L. Officers also administered cardiopulmonary resuscitation and transported S.L. to St. Joseph's Hospital. Medical personnel ultimately pronounced S.L. dead.
The investigation into S.L.'s fatal overdose revealed text messages and voice calls exchanged between S.L. and DiPirro on the date of S.L.'s death. The cause of S.L.’s death is pending.
Since February of 2020, members of DEA, Lancaster Police, New York State Police, and Depew Police have conducted three controlled purchases of suspected heroin from DiPirro and Sarah Szymanski.
“Notwithstanding the current pandemic, my Office, with all of our partners in law enforcement, will not hesitate to take action to protect the public from those who bring harm to our community,” stated U.S. Attorney Kennedy. “In this case, that harm was in the form of lethal opiates. What is particularly troubling is the fact that in January 2020, Ms. Szymanski was arrested on 3 occasions—by the Cheektowaga Police Department, the Lancaster Police Department, and the Erie County Sheriff’s Office—during one 24 hour period. Despite those arrests, she was permitted to remain at liberty, allowing her and her co-defendant to peddle this deadly poison. If that is not conclusive proof that New York State’s bail reform law as currently drafted makes our community less safe, then I don’t know what is.”
DiPirro and Szymanski made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder and are being held pending detention hearings.
The complaint is the result of an investigation by the Lancaster Police Department, under the direction of Chief William J. Karn, Jr.; the Depew Police Department, under the direction of Chief Jerome Miller; the Cheektowaga Police Department, under the direction of Chief Michael Sliwinski; the New York State Police Violent Gang Narcotics Enforcement Team, under the direction of Major James Hall; and the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan.
The fact that a defendant has been charged with a crime is merely an accusation and the defendant is presumed innocent until and unless proven guilty.
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Four Reservation Residents Indicted on Kidnapping and Assault ChargesRead the Press Release
United States Attorney Mark A. Klaassen announced today that Ashley Rose Yellowbear, age 27, Samuel Harold Friday, age 37, Kristen Jade Antelope, age 26, and Rusty Tso Tabaho, Sr. age 27, all residents of the Wind River Indian Reservation, were indicted by a federal grand jury on March 18, 2020, for Kidnapping and Aiding and Abetting. Yellowbear and Friday were also indicted for Assault with a Deadly Weapon with Intent to do Bodily Harm. Klaassen stated “Even in times of crisis, we must continue to enforce the law and protect our communities. Violent crime is a top priority for my office and we are working to address violence in Indian country and across Wyoming. These efforts require partnerships at every level to effectively investigate and prosecute these crimes.”
The Indictment alleges that on or about January 1, 2020, the defendants knowingly and unlawfully kidnapped a woman and a man for the purpose of assault and intimidating them to prevent reporting these acts. According to the charges, the defendants knowingly aided and abetted each other in committing the kidnapping offense. The Indictment further alleges that Yellowbear and Friday each assaulted one of the victims with a dangerous weapon, a tire-iron.
The maximum penalty upon conviction for kidnapping and aiding and abetting is up to life in federal prison and/or a $250,000 fine, 5 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution may also be ordered. The maximum penalty upon conviction for assault with a deadly weapon is up to ten years in federal prison and/or a $250,000 fine, 3 years of supervised release, and $100 to the Federal Crime Victims Fund. Restitution to the victims may be ordered.
All defendants had their initial appearance before Chief United States District Court Judge Scott W. Skavdahl on March 25, 2020. Judge Skavdahl remanded the defendants to the custody of the U.S. Marshals Service pending a detention and arraignment hearing scheduled for March 30, 2020. A trial date has not yet been set.
The charges are merely accusations and the defendants are presumed innocent unless and until proven guilty.
The investigation is being conducted by the Federal Bureau of Investigation, with the assistance of the Bureau of Indian Affairs, Wind River Police Department.
Four Poughkeepsie Individuals Charged in White Plains Federal Court with Narcotics OffensesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, Ray Donovan, Special Agent in Charge of the New York Division of the U.S. Drug Enforcement Administration (“DEA”), Keith M. Corlett, Superintendent of the New York State Police (“NYSP”), and Thomas Pape, Chief of Police for the City of Poughkeepsie, announced charges today against MICHAEL NICHOLAS, a/k/a “Pop,” DARREN PARKER, a/k/a “Born,” REGINA CUMMINGS, a/k/a “Gina,” and JAQUON DANCY, a/k/a “Wiz,” with various narcotics-related offenses. During search warrant operations of NICHOLAS’s residence in Poughkeepsie, New York, law enforcement recovered approximately 15 kilograms of narcotics, including powder cocaine, heroin, crack cocaine, and approximately 1.5 kilograms of substances containing fentanyl. Three firearms were also recovered from NICHOLAS’s residence.
Manhattan U.S. Attorney Geoffrey S. Berman said: “As alleged, these defendants trafficked in large amounts of fentanyl and other narcotics in and around Dutchess County. Fentanyl is one of the leading causes of overdose deaths and it has devastated communities across Dutchess County and the Southern District of New York. I commend our law enforcement partners in stopping those who allegedly traffic in fentanyl and other narcotics.”
DEA Special Agent in Charge Ray Donovan said: “The fact that these individuals are facing charges today demonstrates the degree of danger their alleged drug trafficking was to the City of Poughkeepsie. I commend our law enforcement partners who continue to keep our cities safe.”
NYSP Superintendent Keith M. Corlett said: “Once again, excellent police work by our federal, state and local departments has dismantled an alleged drug operation, put four allegedly dangerous individuals behind bars and seized drugs, cash and weapons. As alleged, these dealers were selling and transporting fentanyl, heroin and crack cocaine throughout the Poughkeepsie area. I applaud the hard work of the members involved in this investigation and together we will continue the fight to keep drugs off our streets.”
As alleged in the Indictments unsealed today and statements made in Court proceedings[1]:
From at least September 2018 till February 2020, MICHAEL NICHOLAS and DARREN PARKER conspired to distribute 400 grams or more of mixtures and substances containing fentanyl.
In addition, from at least January 2020 up to and including March 2020, NICHOLAS and REGINA CUMMINGS conspired to distribute 28 grams or more of crack cocaine.
Finally, in March 2020, JAQUON DANCY conspired with others to distribute 40 grams or more mixtures and substances containing fentanyl.
The defendants were arrested early this morning. Law enforcement recovered approximately 15 kilograms of narcotics and three firearms during search operations.
* * *
NICHOLAS, 33, of Poughkeepsie, New York, is charged with one count of conspiring to distribute 400 grams or more of mixtures and substances containing fentanyl, which carries a mandatory minimum of 10 years in prison and a maximum sentence of life in prison. He is also charged with one count of conspiring to distribute 28 grams or more of crack cocaine, which carries a maximum sentence of 40 years in prison.
PARKER, 51, of Poughkeepsie, New York, is charged with one count of conspiring to distribute 400 grams or more of mixtures and substances containing fentanyl, which carries a mandatory minimum of 10 years in prison and a maximum sentence of life in prison.
CUMMINGS, 51, is charged with one count of conspiring to distribute 28 grams or more of crack cocaine, which carries a mandatory minimum of five years in prison and a maximum sentence of 40 years in prison.
DANCY, 25, is charged with one count of conspiring to distribute 40 grams or more of mixtures and substances containing fentanyl, which carries a mandatory minimum of five years in prison and a maximum sentence of 40 years in prison.
The maximum potential sentences in this case are prescribed by Congress and are provided here for informational purposes only, as any sentencing of the defendants will be determined by the judge.
Mr. Berman praised the outstanding investigative work of the DEA, the NYSP, and the City of Poughkeepsie Police Department.
This case is being handled by the Office’s White Plains Division. Assistant United States Attorney Shiva H. Logarajah is in charge of the prosecution.
The charges contained in the Indictments are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the texts of the Indictments and the descriptions of the Indictments set forth below constitute only allegations, and every fact described should be treated as an allegation.
Federal and State Officials Launch Kentucky Coronavirus Fraud Task ForceRead the Press Release
LEXINGTON, Ky. – In response to the increased threat of fraud presented by the coronavirus, federal and state law enforcement leaders from Kentucky announced today the formation of the Kentucky Coronavirus Fraud Task Force.
The Kentucky Coronavirus Fraud Task Force is a joint federal and state partnership coordinated by Assistant United States Attorneys from both the Eastern and Western Districts of Kentucky, in partnership with experienced fraud investigators from the Federal Bureau of Investigation (FBI) and the Kentucky Attorney General’s Office. The mission of the task force is to identify, investigate, and prosecute fraud related to the ongoing coronavirus pandemic impacting Kentuckians.
“Kentucky law enforcement is united in the fight against those who seek to profit from fear during the COVID-19 national emergency,” said Robert M. Duncan, Jr. U.S. Attorney for the Eastern District of Kentucky. “Federal prosecutors in Kentucky are working closely with the FBI and the Kentucky Attorney General’s Office to identify individuals engaging in COVID-19 fraud, preying on vulnerable populations and the extraordinary anxiety caused by this public health crisis. Together, we remain committed to protecting our fellow Kentuckians from fraudsters and these truly despicable schemes.”
“We will not allow thieves to profit from fear,” said U.S. Attorney Russell Coleman. “Kentuckians should be confident that their state and federal law enforcement is steadfastly working as one to prevent those who would use this virus to exploit our families.”
"FBI Louisville stands ready to investigate scams surrounding the COVID-19 crisis. The last thing the American people need, in the middle of this pandemic, is criminals trying to exploit them for their financial gain,” said Special Agent in Charge Robert Brown, FBI Louisville Field Office. “In starting this task force, FBI Louisville and its partners share a commitment to protect the American people in spite of these unprecedented circumstances."
“Those who try to capitalize on this health crisis by taking advantage of our citizens will be prosecuted to the fullest extent of the law,” said Kentucky Attorney General Daniel Cameron. “This unified effort between our office and our federal partners should signal to fraudsters that we will take aggressive action against them for targeting Kentuckians during this pandemic.”
The task force will review and investigate credible leads of fraud associated with the coronavirus pandemic, regardless of the loss amount, focusing on schemes to exploit vulnerable populations, including the elderly and concerned citizens, and schemes that endanger health and safety. Federal prosecutors from the Eastern and Western Districts of Kentucky will meet and confer with the FBI and Office of the Kentucky Attorney General on a regular basis to prioritize cases and surge resources where needed.
In the Eastern District of Kentucky, Assistant U.S. Attorney Paul McCaffrey is serving as the COVID-19 Fraud Coordinator. Assistant United States Attorney David Weiser is serving as the COVID-19 Fraud Coordinator for the Western District of Kentucky.
As our nation continues to face the spread of COVID-19, the critical mission of the U.S. Department of Justice must and will continue, as we work together to safeguard our public health system, protect the safety and security of the citizens of Kentucky, and reassure the public that law enforcement is enduring to meet its mission. The Department of Justice will be a nationwide partner in bringing aggressive action against scams, hoarding, and price gouging for critical medical supplies.
Some examples of COVID-19 scams include:
- Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
- Supply scams: Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.
- Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
- Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19.
- Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
- App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
- Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as "research reports," make predictions of a specific "target price," and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.
- Price Gouging scams: When sellers and/or retailers sell or rent an item for a price “which is grossly in excess of the price prior to the declaration” per KRS 367.374. Goods and services included in this prohibition include consumer food items; goods or services used for emergency cleanup; emergency supplies; medical supplies; home heating oil; building materials; housing; transportation, freight, and storage services; and gasoline or other motor fuels.
- Other scams include fraudsters claiming to work for the government or banks/credit cards and offering assistance for student loan relief, foreclosure or eviction relief, unemployment assistance, debt relief, and direct financial assistance, like government checks.
U.S. Attorney Coleman, U.S. Attorney Duncan and Attorney General Cameron urge everyone, especially those most at risk of serious illness, to avoid these and similar scams by taking the following steps:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use "cdc.com" or "cdc.org" instead of "cdc.gov."
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
- Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device.
- Make sure the anti-malware and anti-virus software on your computer is operating and up to date.
- Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
- Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID- 19 before giving. Remember, an organization may not be legitimate even if it uses words like "CDC" or "government" in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website.
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.
- Be cautious of "investment opportunities" tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
- For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) websites.
If you believe you have been a target or victim of a scam or fraud, please report it to the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at [email protected]
Kentuckians wishing to report online scams and fraud can contact the Federal Bureau of Investigation at https://www.ic3.gov/default.aspx
To file a price gouging complaint, visit ag.ky.gov/pricegouging or call the Consumer Protection Hotline at 1-888-432-9257.
####
Federal and State Officials Launch Kentucky Coronavirus Fraud Task ForceRead the Press Release
LOUISVILLE, Ky. – In response to the increased threat of fraud presented by the coronavirus, federal and state law enforcement leaders from Kentucky announced today the formation of the Kentucky Coronavirus Fraud Task Force.
The Kentucky Coronavirus Fraud Task Force is a joint federal and state partnership coordinated by Assistant United States Attorneys from both the Eastern and Western Districts of Kentucky, in partnership with experienced fraud investigators from the Federal Bureau of Investigation (FBI) and the Kentucky Attorney General’s Office. The mission of the task force is to identify, investigate, and prosecute fraud related to the ongoing coronavirus pandemic impacting Kentuckians.
“We will not allow thieves to profit from fear,” said Western District of Kentucky U.S. Attorney Russell Coleman. “Kentuckians should be confident that their state and federal law enforcement is steadfastly working as one to prevent those who would use this virus to exploit our families.”
“Kentucky law enforcement is united in the fight against those who seek to profit from fear during the COVID-19 national emergency,” said Robert M. Duncan, Jr. U.S. Attorney for the Eastern District of Kentucky. “Federal prosecutors in Kentucky are working closely with the FBI and the Kentucky Attorney General’s Office to identify individuals engaging in COVID-19 fraud, preying on vulnerable populations and the extraordinary anxiety caused by this public health crisis. Together, we remain committed to protecting our fellow Kentuckians from fraudsters and these truly despicable schemes.”
"FBI Louisville stands ready to investigate scams surrounding the COVID-19 crisis. The last thing the American people need, in the middle of this pandemic, is criminals trying to exploit them for their financial gain,” said Special Agent in Charge Robert Brown, FBI Louisville Field Office. “In starting this task force, FBI Louisville and its partners share a commitment to protect the American people in spite of these unprecedented circumstances."
“Those who try to capitalize on this health crisis by taking advantage of our citizens will be prosecuted to the fullest extent of the law,” said Kentucky Attorney General Daniel Cameron. “This unified effort between our office and our federal partners should signal to fraudsters that we will take aggressive action against them for targeting Kentuckians during this pandemic.”
The task force will review and investigate credible leads of fraud associated with the coronavirus pandemic, regardless of the loss amount, focusing on schemes to exploit vulnerable populations, including the elderly and concerned citizens, and schemes that endanger health and safety. Federal prosecutors from the Eastern and Western Districts of Kentucky will meet and confer with the FBI and Office of the Kentucky Attorney General on a regular basis to prioritize cases and surge resources where needed.
In the Eastern District of Kentucky, Assistant U.S. Attorney Paul McCaffrey is serving as the COVID-19 Fraud Coordinator. Assistant United States Attorney David Weiser is serving as the COVID-19 Fraud Coordinator for the Western District of Kentucky.
As our nation continues to face the spread of COVID-19, the critical mission of the U.S. Department of Justice must and will continue, as we work together to safeguard our public health system, protect the safety and security of the citizens of Kentucky, and reassure the public that law enforcement is enduring to meet its mission. The Department of Justice will be a nationwide partner in bringing aggressive action against scams, hoarding, and price gouging for critical medical supplies.
Some examples of COVID-19 scams include:
- Treatment scams: Scammers are offering to sell fake cures, vaccines, and advice on unproven treatments for COVID-19.
- Supply scams: Scammers are creating fake shops, websites, social media accounts, and email addresses claiming to sell medical supplies currently in high demand, such as surgical masks. When consumers attempt to purchase supplies through these channels, fraudsters pocket the money and never provide the promised supplies.
- Provider scams: Scammers are also contacting people by phone and email, pretending to be doctors and hospitals that have treated a friend or relative for COVID-19, and demanding payment for that treatment.
- Charity scams: Scammers are soliciting donations for individuals, groups, and areas affected by COVID-19.
- Phishing scams: Scammers posing as national and global health authorities, including the World Health Organization (WHO) and the Centers for Disease Control and Prevention (CDC), are sending phishing emails designed to trick recipients into downloading malware or providing personal identifying and financial information.
- App scams: Scammers are also creating and manipulating mobile apps designed to track the spread of COVID-19 to insert malware that will compromise users’ devices and personal information.
- Investment scams: Scammers are offering online promotions on various platforms, including social media, claiming that the products or services of publicly traded companies can prevent, detect, or cure COVID-19, and that the stock of these companies will dramatically increase in value as a result. These promotions are often styled as "research reports," make predictions of a specific "target price," and relate to microcap stocks, or low-priced stocks issued by the smallest of companies with limited publicly available information.
- Price Gouging scams: When sellers and/or retailers sell or rent an item for a price “which is grossly in excess of the price prior to the declaration” per KRS 367.374. Goods and services included in this prohibition include consumer food items; goods or services used for emergency cleanup; emergency supplies; medical supplies; home heating oil; building materials; housing; transportation, freight, and storage services; and gasoline or other motor fuels.
- Other scams include fraudsters claiming to work for the government or banks/credit cards and offering assistance for student loan relief, foreclosure or eviction relief, unemployment assistance, debt relief, and direct financial assistance, like government checks.
U.S. Attorney Coleman, U.S. Attorney Duncan and Attorney General Cameron urge everyone, especially those most at risk of serious illness, to avoid these and similar scams by taking the following steps:
- Independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19.
- Check the websites and email addresses offering information, products, or services related to COVID-19. Be aware that scammers often employ addresses that differ only slightly from those belonging to the entities they are impersonating. For example, they might use "cdc.com" or "cdc.org" instead of "cdc.gov."
- Be wary of unsolicited emails offering information, supplies, or treatment for COVID-19 or requesting your personal information for medical purposes. Legitimate health authorities will not contact the general public this way.
- Do not click on links or open email attachments from unknown or unverified sources. Doing so could download a virus onto your computer or device.
- Make sure the anti-malware and anti-virus software on your computer is operating and up to date.
- Ignore offers for a COVID-19 vaccine, cure, or treatment. Remember, if there is a medical breakthrough, you won’t hear about it for the first time through an email, online ad, or unsolicited sales pitch.
- Check online reviews of any company offering COVID-19 products or supplies. Avoid companies whose customers have complained about not receiving items.
- Research any charities or crowdfunding sites soliciting donations in connection with COVID- 19 before giving. Remember, an organization may not be legitimate even if it uses words like "CDC" or "government" in its name or has reputable looking seals or logos on its materials. For online resources on donating wisely, visit the Federal Trade Commission (FTC) website.
- Be wary of any business, charity, or individual requesting payments or donations in cash, by wire transfer, gift card, or through the mail. Don’t send money through any of these channels.
- Be cautious of "investment opportunities" tied to COVID-19, especially those based on claims that a small company’s products or services can help stop the virus. If you decide to invest, carefully research the investment beforehand. For information on how to avoid investment fraud, visit the U.S. Securities and Exchange Commission (SEC) website.
- For the most up-to-date information on COVID-19, visit the Centers for Disease Control and Prevention (CDC) and World Health Organization (WHO) websites.
If you believe you have been a target or victim of a scam or fraud, please report it to the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at [email protected]
Kentuckians wishing to report online scams and fraud can contact the Federal Bureau of Investigation at https://www.ic3.gov/default.aspx
To file a price gouging complaint, visit ag.ky.gov/pricegouging or call the Consumer Protection Hotline at 1-888-432-9257.
Ecuadorian National Sentenced for Illegal Reentry after DeportationRead the Press Release
BOSTON – An Ecuadorian national was sentenced today in federal court in Boston for illegally reentering the United States after being deported.
Luis Ricardo Aucacama-Calle was sentenced by Chief U.S. District Court Judge F. Dennis Saylor IV to “time-served” (approximately 13 months) to be followed by one year of supervised release. Aucacama-Calle, who pleaded guilty in November 2019, is now subject to removal proceedings.
In February 2019, Aucacama-Calle was encountered by immigration officials at the Barnstable House of Corrections. At that time, Aucacama-Calle was serving a one year sentence imposed by the Barnstable District Court for operating under the influence of alcohol. Aucacama-Calle was interviewed, admitted his alienage and two previous removals (2015 and 2016). His fingerprints were obtained to confirm his identity. Upon completion of his state sentence, Aucacama-Calle was transferred into federal custody where he has remained.
United States Attorney Andrew E. Lelling and Marcos D. Charles, Acting Field Office Director, Boston, U.S. Immigration and Customs Enforcement’s Enforcement and Removal Operations, made the announcement today. Assistant U.S. Attorney Kenneth G. Shine of Lelling’s Major Crimes Unit prosecuted the case.
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Chemical Importer and Exporter in Bethlehem Agrees to Pay $450,000 to Resolve Allegations it Failed to Notify the Drug Enforcement Administration of Certain Shipments of ChemicalsRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that Ungerer & Company, a privately-owned company in the flavor and fragrance business operating in Bethlehem, PA, has agreed to pay $450,000 and to commit to remedial measures to resolve allegations that it failed to make required notifications to the Drug Enforcement Administration (DEA) about certain international shipments of listed chemicals that can be used to manufacture illicit controlled substances.
Federal law and regulations require companies registered with the DEA to notify the agency when it imports or exports certain chemicals that can be used to manufacture illicit controlled substances. Those chemicals include anthranilic acid and benzaldehyde, which can be used to manufacture methamphetamine. A company that imports and exports such “listed” chemicals is generally required to notify the DEA of the shipments, the type of chemical, and the amount shipped. After the shipment is completed, the company is generally required to once again notify the DEA of those details to account for any cancellations or changes, and to ensure the agency has accurate information on the shipments that have occurred.
According to the allegations in the settlement, the DEA conducted scheduled investigations of Ungerer and as a result of one of those scheduled investigations, the DEA found violations of the reporting obligations that apply after completion of the shipments, notified Ungerer of the violations, educated company representatives on the requirements, and issued letters of admonition. But when the DEA conducted the next scheduled investigation, the settlement alleges that the DEA found that, between January 2013 and the present, Ungerer had imported and exported listed chemicals on a number of occasions and failed to provide information to the DEA on the date and quantity actually imported and exported within 30 days after certain transactions. There are no allegations in the settlement that the chemicals were diverted for illicit purposes.
In addition to the $450,000 payment, Ungerer has entered into a three-year administrative agreement with the DEA under which it has committed to implement certain remedial measures. For example, the agreement requires Ungerer to submit certain delinquent forms on its shipments, requires Ungerer to implement a system and train its employees to ensure that these issues do not arise again, and requires Ungerer to submit quarterly certifications to the DEA that it is fully compliant with these reporting obligations.
“While there are legitimate reasons to ship these listed chemicals to international customers, it is critical that the DEA has the information it needs to track the shipments and prevent diversion of the chemicals for illicit production of controlled substances,” said U.S. Attorney McSwain. “This settlement shows how important it is for companies and individuals to uphold their responsibilities and comply with the reporting requirements, which are designed to protect the residents of the Eastern District and beyond.”
“Ungerer & Company has an obligation as a DEA registrant to notify the agency of international shipments of listed chemicals. If illegally diverted, listed chemicals can be used to manufacture dangerous drugs such as illicit fentanyl and methamphetamine,” said Jonathan A. Wilson, Special Agent in Charge of the Drug Enforcement Administration’s (DEA) Philadelphia Field Division. “The vast majority of listed chemicals are used for legitimate reasons. However, part of the DEA’s mission in protecting the public is ensuring that the distribution of these chemicals is properly reported and tracked.”
This investigation was conducted with the Philadelphia Field Division of the DEA and the Import/Export and Chemical Section in the DEA’s Diversion Control Division. For the United States Attorney’s Office, Assistant United States Attorney Anthony D. Scicchitano handled the investigation and settlement.
The claims resolved by the settlement are allegations only; there has been no determination of liability.
California Man Pleads Guilty to Violating Federal Firearms LawRead the Press Release
A man who was prohibited from possessing a firearm pled guilty March 17, 2020, in federal court in Sioux City.
Meher Aboolian, 32, from Glendale, California, was convicted of possession of a firearm by a prohibited person. Aboolian was previously convicted of the following crimes which prohibit him from possessing firearms: Burglary, on or about January 15, 2008; False Checks, on or about May 8, 2008; and Felony Possession of a Controlled Substance for Sale, on or about December 22, 2016, all in the State of California, Los Angeles County Court.
At the plea hearing, evidence showed that on November 3, 2019, the vehicle Aboolian was driving was stopped by law enforcement. During a search of Aboolian, officers found, concealed under Aboolian’s hat, drug paraphernalia and pills for which Aboolian did not have a prescription. A search of the vehicle revealed additional drug paraphernalia, and items to mask the smell of illegal narcotics. Officers also located a stolen gun, namely a Smith & Wesson Model 669, 9mm pistol, with no visible serial number, and a loaded magazine.
Sentencing before United States District Court Chief Judge Leonard T. Strand will be set after a presentence report is prepared. Aboolian remains in custody of the United States Marshal pending sentencing. Aboolian faces a possible maximum sentence of 10 years’ imprisonment, a $250,000 fine, and not more than 3 years of supervised release following any imprisonment.
This case was brought as part of Project Safe Neighborhoods (PSN). PSN is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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. The United States Attorney’s Office has prosecuted this case with support from Project Guardian partners. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case is being prosecuted by Special Assistant United States Attorney Patrick T. Greenwood and was investigated by Tri-State Drug Task Force based in Sioux City, Iowa, that consists of law enforcement personnel from the Drug Enforcement Administration; Sioux City, Iowa, Police Department; Homeland Security Investigations; Woodbury County Sheriff’s Office; South Sioux City, Nebraska, Police Department; Nebraska State Patrol; Iowa National Guard; Iowa Division of Narcotics Enforcement; United States Marshals Service; South Dakota Division of Criminal Investigation; and Woodbury County Attorney’s Office.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 20-4003. Follow us on Twitter @USAO_NDIA.
Buffalo Man Pleads Guilty to Cocaine ConspiracyRead 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 Keith Cooley, 22, of Buffalo, NY, pleaded guilty before U.S. District Judge John L. Sinatra, Jr. to conspiracy to distribute 28 grams or more of crack cocaine. The charge carries a mandatory minimum penalty of five years in prison, a maximum of 40 years, and a $5,000,000 fine.
Assistant U.S. Attorney Charles J. Volkert, who is handling the case, stated that between March and May 16, 2019, the defendant conspired with others to distribute crack cocaine in the Silver Creek area.
Between April 3 and May 9, 2019, investigators conducted six controlled purchases of crack cocaine from either the defendant or a co-defendant. On May 16, 2019, investigators executed a search warrant at an apartment on Central Avenue in Silver Creek. They recovered digital scales containing cocaine residue, a small amount of illegal narcotics, and approximately $700. Cooley was arrested at the scene.The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert; Homeland Security Investigations, under the direction of Special Agent-in-Charge Kevin Kelly; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; the Southern Tier Regional Drug Task Force, under the direction of Cattaraugus County Sheriff's Office Lieutenant Ronald Lott; the Evans Police Department, under the direction of Chief Douglas J. Czora; and the New York State Police, under the direction of Major James Hall.
Sentencing is scheduled for July 14, 2020, before Judge Sinatra.
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Armed robber admits guilt in bar heist that left good-Samaritan soldier woundedRead the Press Release
SAVANNAH, GA: A Savannah man has admitted taking part in the March 2019 robbery of a bar that left a U.S. Army serviceman wounded.
Anthony Curtis Raife, 24, pled guilty to Possessing a Short-Barreled Shotgun in Furtherance of a Violent Crime in U.S. District Court, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. The charge carries penalty of a minimum of 10 years in prison and of up to life in prison, followed by a period of supervised release. There is no parole in the federal system.
“Violent criminals have no place in our community except behind bars,” said U.S. Attorney Christine. “It’s fortunate that the good Samaritan who attempted to intervene in this robbery has recovered, and that his actions and those of our law enforcement partners helped take this violent criminal off the street.”
According to court documents and testimony, Raife and another man robbed the Brewer’s Sports Pub and Grill on Ogeechee Road on March 24, 2019. Both were armed. Raife carried a short-barreled shotgun that he pointed at patrons during the robbery. A bar customer, who was an active-duty U.S. Army serviceman, witnessed the robbery and helped other patrons escape. The serviceman then went unarmed to the rear of the store and punched Raife in the face, knocking the gun out of Raife’s hands. In response, the serviceman was shot by the other robber. Both robbers then fled; the soldier was treated and recovered.
Raife was located and arrested.
Anyone with information concerning the robbery is encouraged to call the FBI at 912-790-3100 or the Chatham County Police Department Tip Line at 912-650-6161.
“This case exemplifies the danger posed to innocent people when criminals use weapons to commit crimes in places of business,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “We are fortunate that a brave soldier did not lose his life because of this brazen act of violence. We are also grateful for his actions and the actions of our local law enforcement partners who were instrumental in bringing this suspect to justice.”
“From the moment our first responding officers arrived on the scene until Mr. Raife was captured, the members of the Chatham County Police Department worked tirelessly to bring him to justice,” said Chatham County Police Chief Jeffrey Hadley. “Like every case we investigate, this was a team effort between officers who responded and secured the scene, forensic officers who meticulously gathered physical evidence, and detectives who investigated numerous leads until Mr. Raife was apprehended. I’m very proud of our efforts, and proud that are streets are safer with Mr. Raife behind bars.”
The case was investigated by the FBI and the Chatham County Police Department, and prosecuted for the United States by the U.S. Attorney’s Office for the Southern District of Georgia.
AG Shapiro and U.S. Attorney Brady Joint Op-Ed on Protecting Consumers with New COVID19 Fraud Task ForceRead the Press Release
During these difficult times, the last thing the people of Pennsylvania need are individuals, retailers, or wholesalers taking advantage of them. Gouging prices of household essentials or scamming people out of money for "at home" coronavirus kits that don’t exist isn’t just a disgusting practice – it is illegal.
In response to the COVID-19 pandemic, we created a first-in-the-nation operation – the Western Pennsylvania COVID-19 Fraud Task Force – to protect western Pennsylvanians from fraud related to this crisis. We are bringing together federal and state resources to stop fraudsters from profiting off misinformation in this uncertain time.
The breadth of fraud and scams we are seeing requires a similarly broad law enforcement coalition to respond. We have assembled a team that combines the necessary expertise and resources from critical federal and state partners.
Some of the scams we anticipate, or are already seeing include: individuals selling fake vaccines or cures for COVID-19; websites selling fake supplies, including face masks and medical equipment; individuals spoofing the phone numbers of health organizations who demand payment over the phone; and individuals requesting donations for fake charities.
We ask you to report any instances of these scams to our Task Force. We will share your reports with the appropriate agencies across state and federal governments and pool our resources to hold bad actors accountable. Our goal is to protect you by investigating jointly and taking action decisively.
Already, the Office of Attorney General has received nearly 2,000 complaints about price gouging, including many instances in western Pennsylvania:
A drug store in Monroeville was charging $21 for a 12-roll pack of toilet paper; a grocery store in Robinson Township charging $51.33 for a pack of toilet paper; and a grocery store in Pittsburgh increased its prices on a 12-roll pack of Charmin to $19.39. This is disgraceful.
Other scams have been reported to the U.S. Attorney’s Office: a physician marketing unapproved COVID-19 test kits for $49; fraudsters getting seniors’ social security numbers by posing as Medicare representatives; and fraudulent emails with malicious links that download malware to steal banking and other sensitive personal information.
Our goals are clear. First, we want each of you to receive consistent and timely information about scams to protect you and your loved ones against current or potentially active efforts. To do that, we will provide clear and consistent warnings about COVID-19 fraud, including counterfeit goods, fake remedies, malicious websites and apps, and disingenuous charities. We will keep you informed about what we are seeing, and we will give you practical tips to protect yourself.
Second, we plan to quickly and efficiently combat scam operations to bring justice to individuals who have already been affected, and prevent the spread of a scam’s misinformation and harm. Whether criminally or civilly, we must stop those who seek to exploit this crisis. We will shut down websites, send out cease-and-desists letters, seize counterfeit goods, and ensure that these individuals are held accountable for their crimes.
If you see anything that resembles these scams, call 888-C19-WDPA (219-9372) or email us at [email protected] or [email protected]. We will investigate every report and take legal action if necessary to serve justice.
We are here to protect and serve, but there are also steps you can take to protect yourself. When trying to identify a scam: independently verify the identity of any company, charity, or individual that contacts you regarding COVID-19. Check the websites and email addresses of the entity offering information, products or related services. The Centers for Disease Control and Prevention’s website is www.cdc.gov but scammers will use "cdc.com" or some other similar address.
Ignore any claims of a vaccine or cure that come from an email, phone call, or unsolicited contact. If a vaccine is announced, you will hear about it from legitimate news sources and government agencies. Additionally, visit the U.S. Securities and Exchange Commission (https://www.sec.gov/) to verify offers from any company that contacts you about potential investment opportunities related to COVID-19.
Please remember that government agencies will not call you to ask for your social security number, financial information or any direct payment. Until you verify, do not give out such information over the phone or email. Rest assured: during these difficult times our agencies remain on the job and vigilant. Through this joint Western Pennsylvania COVID-19 Task Force, we are bringing together state and federal resources to more effectively combat those seeking to exploit Pennsylvanians. This is a time to band together, not give in to unlawful greed.
We ask you to report any price-gouging, scam, or other COVID-19-related fraud to our Task Force. Call our dedicated hotline at 888-C19-WDPA (219-9372) or email us at [email protected] or [email protected]. Outside of Pennsylvania, report to the National Center for Disaster Fraud Hotline: 866-720-5721 or [email protected].
Tuesday 24 March 2020
U.S. Attorneys Justin Herdman and David DeVillers, Ohio Attorney General and Pharmacy Board issue joint statement regarding State of Ohio Board of Pharmacy ruleRead the Press Release
On Sunday, March 22, the State of Ohio Board of Pharmacy held an emergency Sunday session in order to issue a rule prohibiting pharmacists from dispensing chloroquine or hydroxychloroquine for COVID-19 unless a person has tested positive for the virus or is otherwise approved by the pharmacy board’s executive director.
Today, U.S. Attorneys Justin Herdman and David DeVillers, Ohio Attorney General David Yost and the State of Ohio Board of Pharmacy, issued a joint statement confirming that they are aware of the allegations leading to the Board of Pharmacy order and declared a joint commitment to investigating any violations of state or federal law committed by any individuals or entities, including healthcare professionals.
“These are extraordinary times for the world, our nation, and the great state of Ohio. While we are seeing the absolute best of our healthcare professionals as they help to address the COVID-19 crisis, we will remain vigilant to address any self-serving behavior by any member of the medical community. Be assured that we will do our due diligence in holding accountable anyone who may be prescribing outside a legitimate medical purpose. Where we find doctors or others who are abusing their professional licenses to help themselves or associates, we will move swiftly to identify and prosecute any wrongdoing that is a violation of federal or state law. We are committed to pursuing all remedies to address misconduct associated with the allegations leading to the Board of Pharmacy action, including seeking criminal penalties where appropriate.”
On March 22, 2020, Governor Mike DeWine authorized the State of Ohio Board of Pharmacy to file emergency rule 4729-5-30.2 of the Administrative Code.
Read the rule here:
Requirements for Dispensing or Selling Chloroquine and Hydroxychloroquine Update 7.30.2020