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29 May 2020
Mexican national faces life for importing liquid methRead the Press Release
LAREDO, Texas – A 27-year-old resident of Reynosa, Tamaulipas, Mexico, has been charged with conspiracy and importation of meth, announced U.S. Attorney Ryan K. Patrick.
A federal grand jury sitting in Houston returned the two-count indictment again Luis Angel Burnias-Reyes today. Originally charged by criminal complaint March 19, he remains in custody. He is set to make his initial appearance before a U.S. magistrate judge in Laredo next week.
On Nov. 7, 2019, Burnias-Reyes allegedly entered the United States through a port of entry near McAllen utilizing a B1/B2 visa and driving a tractor-trailer. The charges allege he transported a large commercial tire inside the trailer that contained approximately 51 kilograms of liquid meth. He delivered the drug-laden tire in McAllen, according to the charges, and then returned to Mexico.
He was later arrested March 19 near Pharr after trying to re-enter the country at the port of entry. His visa was cancelled because of the arrest.
The estimated street value of the drugs is approximately $400,000.
If convicted, he faces a mandatory minimum of 10 years and up to life in federal prison on each count and a possible $10 million maximum fine.
Immigration and Customs Enforcement’s Homeland Security Investigations is conducted the investigation. Assistant U.S. Attorney Anthony J. Evans is prosecuting the case.
An indictment is a formal accusation of criminal conduct, not evidence.
A defendant is presumed innocent unless convicted through due process of law.Mexican National Convicted of Conspiring to Distribute Cocaine and Money LaunderingRead the Press Release
LEXINGTON, Ky. - A Mexican National residing in Lexington was convicted today, by a federal jury sitting in Lexington, of two counts of conspiring to distribute cocaine and one count of conspiracy to commit money laundering.
After three hours of deliberations, following a three day-trial, the jury convicted 36-year-old Daniel Segura-Corro of conspiring to distribute five kilograms or more of cocaine, conspiring to distribute 500 grams or more of cocaine, and conspiring to commit money laundering.
According to testimony at trial, in early 2015, Segura-Corro engaged in an agreement with other individuals from Mexico to distribute more than five kilograms of cocaine in the Lexington area. In August of 2015, several search warrants were executed by the Lexington Police Department, recovering approximately $20,000 in cash and large quantities of cocaine, from his residence.
The evidence at trial established that Segura-Corro and other co-conspirators fled to Mexico, after the Lexington Police Department seized this cocaine. In mid-2018, the investigation led to several additional search warrants, where additional kilograms of cocaine were recovered. In July 2019, a search warrant was executed at Segura-Corro’s apartment, resulting in the seizure of more than $99,000 in drug proceeds. In the course of the investigation, $188,000 in drug proceeds and seven kilograms of cocaine were seized. Segura-Corro was sending thousands of dollars of drug proceeds, by wire transfer, to his hometown of Vera Cruz, Mexico. Segura-Cora was ordered to forfeit the $99,000 in drug proceeds.
Segura-Coro was indicted in February of 2020.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown Jr., Special Agent in Charge, FBI Louisville Field Division; and Chief Lawrence Weathers, Lexington Police Department, jointly announced the conviction.
The investigation was conducted by FBI and the Lexington Police Department. The United States was represented in the case by Assistant U.S. Attorney Roger W. West.
Segura-Coro will appear for sentencing on September 4, 2020. He faces a mandatory minimum of 10 years, up to a maximum of life in prison. However, the Court must consider the U.S. Sentencing Guidelines and the applicable federal statutes before imposing a sentence.
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Member of Rochester Drug Trafficking Organization Pleads Guilty to Murdering A Rival Drug DealerRead the Press Release
CONTACT: Barbara Burns
PHONE: (716) 843-5817
FAX #: (716) 551-3051ROCHESTER, N.Y. - U.S. Attorney James P. Kennedy, Jr. announced today that Jonathan Cruz-Carmona, a/k/a Tapon, a/k/a Eneno, 29, of Rochester, NY, pleaded guilty before Chief U.S. District Judge Frank P. Geraci, Jr. to murder with a firearm in furtherance of drug trafficking crime. The charge carries a mandatory minimum penalty of 10 years in prison, a maximum of life, and a $250,000 fine.
Assistant U.S. Attorneys Katelyn M. Hartford, Cassie M. Kocher, and Robert A. Marangola, who are handling the case, stated that between 2015 and January 29, 2018, the defendant was a member of a Rochester drug trafficking organization run by co-defendant Carlos Javier Figueroa. The organization was responsible for selling cocaine and heroin in Rochester in the areas of Clinton Avenue, Burbank Street, LaForce Street, and Conkey Avenue. Carmona packaged, sold, and distributed quantities of cocaine and heroin, and acted as an enforcer to protect the interests of the organization.
On September 12, 2016, the defendant observed Walter Ross, a rival drug dealer, in the area of Clinton Avenue and Burbank Street in Rochester. Carmona had previously warned Ross not to sell drugs in that neighborhood because it was part of the Figueroa organization’s territory. At the direction of Carlos Javier Figueroa, the defendant approached the car Ross was sitting in at the corner of Clinton Avenue and Burbank Street, and shot several times through the window, striking and killing Ross.
Charges remain pending against Carlos Javier Figueroa. 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.
The plea is the result of an investigation by the Bureau of Alcohol, Tobacco, Firearms and Explosives, under the direction of Special Agent-in-Charge John B. Devito; the Rochester Police Department, under the direction of Chief La’Ron Singletary; the Monroe County Sheriff’s Office, under the direction of Sheriff Todd Baxter; the Monroe County District Attorney’s Office, under the direction of District Attorney Sandra Doorley; the Greece Police Department, under the direction of Chief Patrick Phelan; and U.S. Border Patrol, under the direction of Patrol Agent-in-Charge Eduardo Payan.
Sentencing is scheduled for September 8, 2020, at 10:00 a.m. before Judge Geraci.
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McKeesport Felon Charged with Illegally Possessing AmmunitionRead the Press Release
PITTSBURGH, PA- A resident of McKeesport, PA, has been indicted by a federal grand jury in Pittsburgh on a charge of violating federal firearms laws, United States Attorney Scott W. Brady announced today.
The one-count Indictment, returned on May 19 and unsealed on May 28, named Raymont Bentley, 27, as the sole defendant.
According to Indictment presented to the court, on March 8 2020, Bentley possessed ammunition, after having been convicted of crimes punishable by more than one year in prison. Federal law prohibits anyone who has been convicted of a crime punishable by a term of imprisonment exceeding one year from possessing a firearm or ammunition.
The law provides for a maximum total sentence of 10 years in prison, a fine of $250,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. The defendant remains incarcerated pending the resolution of the case.
Assistant United States Attorney Brian M. Czarnecki is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives and the McKeesport Police Department conducted the investigation leading to the Indictment in this case. The case was brought as part of Project Safe Neighborhoods. Project Safe Neighborhoods (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.
An indictment is an accusation. A defendant is presumed innocent unless and until proven guilty.
Man from Albuquerque sentenced to 24 months in federal prison for assaulting federal employeeRead the Press Release
ALBUQUERQUE, N.M. – Ethan Guido, 31, of Albuquerque, New Mexico was sentenced in federal court on May 27 in Albuquerque to 24 months in prison for assault upon a federal employee involving use of a deadly weapon and assault upon a federal employee involving physical contact.
Guido pleaded guilty to these offenses on Aug. 20, 2019. According to Guido’s plea agreement, he walked into a United States Postal Office with returned mail for insufficient postage in Bernalillo County, New Mexico on May 29, 2019. As postal service members attempted to explain the reason for the returned mail, Guido became angry and was asked to leave. Guido then walked up to the postal service member as he walked out of the building and rammed him with his chest, knocking the postal service member to the ground. Guido then proceeded to drive away from the parking lot, reversed his car, hit the postal service member and sped away.
The United States Postal Inspection Service investigated this case. Assistant U.S. Attorneys Eva Mae Fontanez and Niki Tapia-Brito prosecuted the case.
Man Indicted for COVID-19 Related Loan FraudRead the Press Release
NEWPORT NEWS, Va. – A federal grand jury returned an indictment today charging a Norfolk man with submitting fraudulent disaster-related loan applications in connection with the COVID-19 outbreak that resulted in the disbursement of over $190,000 in proceeds.
“The COVID-19 pandemic continues to affect our communities in innumerable ways,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The CARES Act provides emergency relief to help mitigate some of those effects. Fraud targeting CARES Act benefits unjustly diverts these resources away from the people and businesses who most need them. EDVA remains steadfastly committed to prosecuting those who seek to exploit this crisis for their own personal gain.”
According to the indictment, from at least March 2020 to May 2020, Joseph Cherry II, 39, allegedly engaged in a scheme to fraudulently obtain disaster-related loan benefits in the form of United States Small Business Administration (SBA) sponsored Economic Injury Disaster (EIDL) loans and a Paycheck Protection Program (PPP) loan. These SBA programs, initiated and expanded under The CARES Act, are designed to provide support for small businesses for expenses related to the COVID-19 outbreak.
“Providing false statements to gain access to SBA’s programs will be aggressively investigated by our office,” said Hannibal “Mike” Ware, Inspector General of the U.S. Small Business Administration. “SBA OIG and its law enforcement partners are poised to root out fraud in SBA’s programs and bring wrongdoers to justice. I want to thank the U.S. Attorney’s Office and our law enforcement partners for their dedication and pursuit of justice.”
This kind of fraud reaches deep into the community by diverting critical funds intended to help struggling businesses survive and help people hold onto their livelihoods. It is unconscionable that anyone would attempt to steal from the community using the CARES Act to line their own pockets during this national crisis. The FBI is committed to rooting out this kind of fraud to help ensure these critical funds go where they are needed most. Anyone with information on CARES Act and other COVID-19 related fraud is asked to submit a tip to the FBI at tips.fbi.gov.”
According to the indictment, Cherry, who was serving a term of federal supervised release, allegedly submitted applications for these loans that contained false statements and misrepresentations related to his income, employment, claimed business entities and prior criminal record. The indictment alleges that Cherry fraudulently obtained proceeds of over $190,000 in April 2020. Further, in a few day period, Cherry converted to cash or a cashier’s check approximately $140,000 of these proceeds.
“The immediacy with which the Deputy Marshals responded in making this arrest should send a clear message to those intending to misuse the financial resources our government is providing to those trying to recover from the ongoing pandemic,” said Nick E. Proffitt, U.S. Marshal for the Eastern District of Virginia. “The public should take comfort in knowing that even in this difficult COVID-19 environment, Deputy United States Marshals are at work each and every day to help ensure the community is safe, and justice is served.”
Cherry is charged in a 10-count indictment with charges of wire fraud, theft of government property, false statements to the small business administration, and money laundering. If convicted, he faces statutory maximums ranging from 10 to 30 years in prison on each count. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
“Unfortunately, during these uncertain times, individuals fraudulently take advantage of programs meant to help those in need,” said Kelly R. Jackson, the IRS-CI Special Agent in Charge. “We will prioritize investigations of these shameless perpetrators and work with our law enforcement partners to bring these individuals to justice.”
The Department of Justice remains vigilant in detecting, investigating, and prosecuting wrongdoing related to the COVID-19 pandemic. Under the leadership of Attorney General William Barr, U.S. Attorneys appointed Coronavirus Fraud Coordinators to work with federal, state, local and tribal law enforcement partners to protect the public from scammers who are attempting to prey upon fears. The Department is also committed to preventing hoarding and price gouging for critical supplies during this crisis. To address this, Attorney General Barr created the COVID-19 Hoarding and Price Gouging Task Force. If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at [email protected]. Members of the public in the Eastern District of Virginia are also encouraged to call 804-819-5416, or email [email protected] to reach their local Coronavirus Fraud Coordinator.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Nick E. Proffitt, U.S. Marshal for the Eastern District of Virginia; Hannibal “Mike” Ware, Inspector General of the Small Business Administration (SBA); Martin Culbreth, Special Agent in Charge of the FBI’s Norfolk Field Office; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement. Assistant U.S. Attorney Brian Samuels is prosecuting the case.
The Norfolk Police Department Special Operations Team provided significant assistance with the arrest to the U.S. Marshals Fugitive Task Force.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:20-cr-27.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Local woman charged federally with shooting Columbus police officer, participating in drug conspiracyRead the Press Release
COLUMBUS, Ohio – The woman accused of shooting a Columbus police officer during a search warrant on Chelford Drive yesterday morning allegedly told her incarcerated son in a jail call that she would shoot anyone who entered her home, whether law enforcement or civilian.
According to an affidavit sworn-out this morning in support of the federal criminal complaint, Rita Gray, 68, told son Eric Gray in May 2019, “If you break any door in I’ma be standing in that hallway…I don’t care nothing about you hollerin’ police because a robber could be police.”
“I’ll be standing right there in that hallway ready to blast. I’ll stand right around my corner there and blast however many shots I got,” Rita Gray added.
The affidavit alleges that on May 28, 2020, Gray shot and seriously wounded 53-year-old Columbus Police Officer Russ Weiner while Weiner participated in executing a narcotics-related search warrant at Gray’s residence.
According to the court document, agents and officers knocked on the door of the residence and announced their presence. After the knock and announce went unanswered, agents and officers made entry into the residence.
Upon entering the residence, law enforcement executing the warrant took on gunfire from Gray, who was present in the vicinity of an interior hallway. Gray was apprehended shortly thereafter, with two semiautomatic Glock manufactured pistols in close proximity.
In January 2020, state and federal law enforcement began an investigation into suspected drug trafficking, including irregular financial activity that is suspected of being related to money laundering and narcotics trafficking, involving Eric Gray, among others. That investigation remains ongoing.
Rita Gray is charged with conspiring to possess with intent to distribute methamphetamine and oxycodone, possession with intent to distribute oxycodone, and discharging a firearm in furtherance of a drug trafficking crime. If convicted on all counts, she faces at least 20 years and up to life in prison. Gray will appear via videoconferencing today at 1:30pm for an initial appearance before U.S. Magistrate Judge Chelsey Vascura.
David M. DeVillers, United States Attorney for the Southern District of Ohio; Columbus Police Chief Thomas Quinlan; Jonathan McPherson, Special Agent in Charge, U.S. Bureau of Alcohol, Tobacco, Firearms & Explosives (ATF); Bryant Jackson, Special Agent in Charge, Internal Revenue Service – Criminal Investigation (IRS-CI); Ohio Attorney General Dave Yost’s Bureau of Criminal Investigation (BCI) and Franklin County Prosecutor Ron O’Brien announced the charges. Assistant United States Attorneys S. Courter Shimeall and Salvador Dominguez are representing the United States in this case.
A criminal complaint merely contains allegations, and the defendant is presumed innocent unless proven guilty in a court of law.
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KY Federal-State Law Enforcement Combatting Growing Threat of Child Exploitation During COVID PandemicRead the Press Release
LOUISVILLE, Ky. – The United States Attorney’s Office, Homeland Security Investigations (HSI), Federal Bureau of Investigation (FBI), United States Secret Service, and the Kentucky Office of the Attorney General are asking the public to continue to be alert as state, local, and federal law enforcement combat significant amounts of child exploitation in Kentucky during the COVID pandemic.
U.S. Attorney Russell Coleman; Kentucky Attorney General Daniel Cameron; Jerry C. Templet Jr., Special Agent in Charge of Homeland Security Investigations Nashville; Robert Brown, Special Agent in Charge of the FBI Louisville Field Office; Ralph Gerdes, Acting Special Agent in Charge Louisville Secret Service made the announcement today in an effort to protect Kentucky’s young people.
“The threat to our kids is very real and growing during this pandemic,” said U.S. Attorney Russell Coleman. “In Kentucky though, I could not be more proud of how law enforcement is working with a singularity of purpose across multiple agencies to protect our most vulnerable.”
“The responsibility to protect our children falls on all of us, and the cooperation and partnership among state and federal agencies is unprecedented,” said Attorney General Cameron. “At every level, we have a shared commitment to ending child exploitation and aggressively pursuing predators, and I am grateful for the dedication of our law enforcement community to seek justice on behalf of Kentucky’s children.”
Reports of child exploitation have increased significantly around the globe during the COVID-19 pandemic, and the FBI has received over 195 reports of incidents throughout the United States and in other countries in which a video teleconferencing participant was able to broadcast a video depicting child sexual abuse material (CSAM). The FBI considers this activity to be a violent crime, as every time child sexual abuse material is viewed, the depicted child is revictimized. Furthermore, anyone who inadvertently sees child sexual abuse material depicted during a virtual event is potentially a victim, as well.
Parents should be aware of several signs that may indicate their child is in danger. Including:
- Turning away from family and friends
- Receiving gifts through mail – from someone you don’t know
- Making calls to unknown numbers
- Taking extra steps to conceal online activity
- Having online friends they don’t know in real life
- Hiding their activity online
- Being overly protective of their devices
Some of the recent charged cases of child exploitation include cases investigated by the Kentucky law enforcement agencies listed above and tireless effort from numerous additional state and local partners. The Kentucky State Police has also been a critical partner in these cases as a foundational part of the Internet Crimes Against Children (ICAC) Task Force.
- Thomas Matthew Follmer, 48, of Louisville, Kentucky, was charged April 20, 2020, for attempting to entice a minor to engage in sexual activity. The attempted enticement charge carries a mandatory minimum of 10 years’ imprisonment, maximum potential sentence of life in prison, a maximum fine of $250,000.00, followed by no less than 5 years and could be up to a life term of Supervised Release.
- Barrett Lawrence, 37, of Franklin, Kentucky, was charged on May 8, 2020, with attempted receipt of child pornography, accessing with intent to view child pornography, receipt of child pornography, and possession of child pornography. Due to a prior conviction for the attempted rape of a three-year-old, Lawrence faces enhanced penalties. The combined mandatory minimum sentence is 15 years and potential maximum sentence is 120 years in prison, followed by no less than 5 years and could be up to a life term of Supervised Release. The maximum potential fine is $1,000,000.00.
- Chase Bowman-Raines, 23, of Morganton, North Carolina, who resides at Fort Campbell, charged on April 21, 2020, with possession and distribution of child pornography. He faces not less than 5 years and no more than 20 years for distribution of child pornography; and not more than 20 years for possession of child pornography. The charges also carry terms of at least five years and could be up to any number of years, including life, of supervised release.
- Shasta Maria Coiles, 38, of Lewisport, Kentucky, was charged March 26, 2020, with two counts of production of child pornography and one count of distribution of child pornography. If convicted at trial, faces not less than 15 years and not more than 40 years for distribution of child pornography; and not less than 10 years and not more than 20 years for possession of child pornography.
- Matthew Lyons, 33, of Elizabethtown, Kentucky, was charged in late April for sex trafficking of a child, attempted production of child pornography, attempted online enticement, distribution and possession of child pornography. If convicted at trial, and due to his prior conviction, Lyons faces not less than 25 years and not more than 50 years in prison for production of child pornography; not less than 10 years and not more than life for the attempted enticement and sex trafficking of a child; not less than 15 years and not more than 40 years for distribution of child pornography; and not less than 10 years and not more than 20 years for possession of child pornography. The charges also carry terms of at least five years and could be up to any number of years, including life, of supervised release.
- The United States Attorney’s Office for the Western District of Kentucky worked closely with the United States Attorney’s Office for the District of South Carolina leading to the arrest of Nathan Branham, 39, of Cheraw, South Carolina. The Criminal Complaint charged Branham with online enticement of a 13-year-old Louisville girl and transfer of obscene material to a minor. The combined penalties include a 10-year mandatory minimum term of imprisonment, maximum potential sentence of life, a $250,000.00 fine and Supervised Release of five years up to life.
There is no parole in the federal criminal justice system.
A federal complaint is a written statement of the essential facts of the offense charged and must be made under oath before a United States Magistrate Judge. The charge set forth in a complaint is merely an accusation and the defendant is presumed innocent until proven guilty.
Online child exploitation materials can be reported with the National Center for Missing & Exploited Children (NCMEC) at 1-800-843-5678 or online at www.cybertipline.org.
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Justice Department Sues Gloucester County Company for Fraud in Connection with New Jersey Turnpike Extension ProjectRead the Press Release
NEWARK, N.J. – The Justice Department today sued a Gloucesster County construction company for allegedly defrauding the United States by falsely claiming credit for using disadvantaged business entities, U.S. Attorney Craig Carpenito announced.
C. Abbonizio Contractors Inc., a company based in Sewell, New Jersey, allegedly defrauded the government by claiming to use disadvantaged entities when those entities were not actually used to perform work.
Companies performing federally funded work on New Jersey transportation projects sponsored by the New Jersey Department of Transportation (NJDOT) are required to utilize disadvantaged business entities (DBE) for a specified percentage of the work, and are required to certify their use of these entities.
According to the complaint filed today in U.S. District Court:
Abbonizio Contractors obtained a $39 million subcontract from PKF Mark III, the prime contractor on the Direct Connection Project, a federally funded reconfiguration of the interchanges of Routes I-295, I-76, and Route 42 in Camden County. PKF Mark III was required to perform 15 percent of the work with DBE contractors, and Abbonizio Contractors assumed that requirement as part of its subcontract. Abbonizio Contractors and its president, Peter Abbonizio, improperly claimed credit for using DBE to perform work on the project by reporting to PKF Mark III the use of DBE that did not actually perform work. The scheme involved hiring DBE not to perform work, but merely to fraudulently invoice work as their own that was actually performed by other companies, in violation of the contract and federal regulations.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Transportation, Office of Inspector General under the direction of Acting Inspector General Howard R. Elliot, and agents of the Port Authority of New York and New Jersey, Office of the Inspector General under Acting Inspector General Michael Farbiarz, with the investigation leading to the filing of this civil fraud complaint.
The government is represented by Assistant U.S. Attorney Mark C. Orlowski of the U.S. Attorney’s Government Fraud Unit in Newark.
Informational: Federal Court arraignmentsRead the Press Release
The U.S. Attorney’s Office announced that the following persons were arraigned or appeared this week before U.S. Magistrate judges on indictments handed down by the Grand Jury or on criminal complaints. The charging documents are merely accusations and defendants are presumed innocent until proven guilty:
Appearing in Missoula before U.S. Magistrate Judge Kathleen L. DeSoto on a criminal complaint on May 26 was:
Oscar Noe Celio Luna, 32, of Bakersfield, CA, on charges of conspiracy to possess with intent to distribute methamphetamine and possession with intent to distribute meth. If convicted of the most serious crime, Luna faces a minimum mandatory 10 years to life in prison, a $10 million fine and at least five years of supervised release. Luna was detained pending further proceedings. The Montana Division of Criminal Investigation, Missouri River Drug Task Force, Homeland Security Investigations and Helena Police Department investigated the case. Pacer case reference. 20-8.
If the above cases are of interest to your media organization and the community it serves, we encourage you to monitor its progress regularly 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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Husband and Wife Working at University Arrested for Wire Fraud Involving Department of Energy GrantRead the Press Release
OKLAHOMA CITY – Shaorong Liu ("Liu") and Juan Lu ("Lu"), both of Norman, have been arrested and charged with conspiracy to commit wire fraud, announced U.S. Attorney Timothy J. Downing.
According to an affidavit in support of a criminal complaint, Liu and Lu are employed at the University of Oklahoma Department of Chemistry and Biochemistry. Liu and Lu also controlled a company, MicroChem Solutions (MCS). Through MCS, they applied for and received federal grant monies from the Department of Energy. The mission of the grant program was to support scientific excellence and technological innovation through the investment of federal research funds in critical American priorities to build a strong national economy. The affidavit alleges Liu and Lu spent this grant money on matters unrelated to the purpose of the grant funding, including on personal expenses.
Today, Liu and Lu made an initial appearance before U.S. Magistrate Judge Suzanne Mitchell in Oklahoma City. If found guilty, Liu and Lu face a maximum penalty of twenty years in prison.
This case is a result of an investigation by the Department of Energy Office of Inspector General, the National Science Foundation Office of Inspector General, and the Federal Bureau of Investigation Oklahoma City Field Office. Assistant U.S. Attorneys Will Farrior and Matt Dillon are prosecuting the case.
The public is reminded that these charges are merely an allegation and that both defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt.
Reference is made to public filings for more information. To download a photo of U.S. Attorney Downing, click here.
Harvey Woman Pleads in Credit Card Fraud ConspiracyRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that KEYIRA GABLE, age 33, a resident of Harvey, Louisiana, pleaded guilty May 28, 2020 before U.S. District Judge Barry W. Ashe to conspiracy to commit access device fraud and aggravated identity theft.
According to court documents, GABLE and the other defendants engaged in a scheme to obtain merchandise and cash from stores through fraud. The defendants obtained stolen credit and debit card information, encoded it onto cards, and then used that information to purchase items at stores. The defendants would then return the items at a different store of the same chain, but they would deceive store workers in order to have the chargeback credited to their own own bank accounts. Court documents also detail how, in June 2017, GABLE was arrested by Slidell Police Department officers at a Kay Jewelers store while attempting to conduct a fraudulent transaction using stolen identification and stolen credit card information.
GABLE pleaded guilty to conspiracy to commit access device fraud, for which she faces a maximum penalty of five years of imprisonment. GABLE also pleaded guilty to aggravated identity theft, which carries a mandatory two years of imprisonment to be served consecutively with any other sentence. Both counts also carry a maximum of fine of up to $250,000.00, or twice the gross gain or gross loss caused by this scheme. Sentencing is set for September 3, 2020, before Judge Ashe.
U.S. Attorney Strasser praised the agencies that contributed to this conviction, which represents a coordinated effort of federal and state law enforcement authorities within the Louisiana Financial Crimes Task Force. The Task Force includes representatives from the U.S. Secret Service, U.S. Postal Inspection Service, Louisiana Attorney General’s Office, Jefferson Parish Sheriff’s Office, New Orleans Police Department, Slidell Police Department, Covington Police Department, Hammond Police Department, Kenner Police Department, Louisiana State Police, Mandeville Police Department, St. Bernard Parish Sheriff’s Office, St. John The Baptist Sheriff’s Office, St. Tammany Parish Sheriff’s Office, Tangipahoa Parish Sheriff’s Office, St. Tammany Parish District Attorney’s Office, Homeland Security Investigations, U.S. State Department, Internal Revenue Service, Social Security Administration-Office of Inspector General, and the Defense Criminal Investigative Service. U.S. Attorney Strasser also thanked the Franklin (TN) Police Department, the Mobile Police Department, the Gulfport Police Department, the Minnetonka (MN) Police Department, the Jefferson Parish District Attorney’s Office, and the Orleans Parish District Attorney’s Office for their assistance. Assistant United States Attorneys Matthew R. Payne and K. Paige O’Hale are in charge of the prosecution.
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Georgia Woman Pleads Guilty to COVID-19 Related Federal Offense for Selling Unregistered Pesticides on eBayRead the Press Release
A Georgia woman who sold an unregistered pesticide, which she claimed protected against viruses such as COVID-19, has pleaded guilty to violating the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA).
Rong Sun, aka Vicky Sun, 34, of Fayetteville, Georgia, pleaded guilty today before U.S. Magistrate Judge John K. Larkins III. Sentencing has been scheduled for June 29 before Judge Larkins III.
“Registration under FIFRA helps ensure that pesticides sold in the U.S. work and are safe for humans. The trafficking in snake-oil remedies outside of FIFRA is a criminal act and anyone who does so, especially during this pandemic, will find federal law enforcement ready to stop them,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “The U.S. Department of Justice will not stand by while criminal conduct risks people’s health and safety.”
“We will act quickly and decisively to protect the health of our community,” said U.S. Attorney Byung J. “BJay” Pak of the Northern District of Georgia. “As Georgia and the country battle a global pandemic, we need safe and effective treatments, not ones that threaten the health of our citizens.”
“This case shows that consumers need to be cautious of products that make unsubstantiated claims of controlling viruses,” said U.S. Environmental Protection Agency (EPA) Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and our law enforcement partners continue to work to stop the sale of these illegal products. Consumers can help protect themselves by visiting epa.gov/coronavirus for a list of approved products.”
“Playing on people’s fears during this pandemic by offering false hope and the empty promise of protection is not only dangerous, it’s also reprehensible and illegal,” said acting Special Agent in Charge Robert Hammer, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI and its partners are working diligently to investigate and arrest those criminals that are trying to take advantage of Americans during this pandemic.”
“A large part of the U.S. Postal Inspection Service mission is to ensure public trust in the mail,” said Tommy D. Coke, Inspector in Charge of the U.S. Postal Inspection Service (USPIS) Atlanta Division. “When individuals challenge that mission, Postal Inspectors will aggressively investigate those seeking to deceive during this crisis for their own financial gain.”
According to the charges and other information presented in court, the defendant sold an unregistered pesticide, “Toamit Virus Shut Out,” through eBay, claiming that it would help protect individuals from viruses. Marketed as “Virus Shut Out” and “Stop The Virus,” the pesticide took the form of a card-shaped device to be worn around the user’s neck. The eBay listing depicted the removal of viruses by wearing the “Virus Shut Out” and “Stop The Virus” product. Additionally, the listing stated that “its main ingredient is ClO2, which is a new generation of widely effective and powerful fungicide recognized internationally at present. Bacteria and viruses can be lifted up within 1 meter of the wearer’s body, just like a portable air cleaner with its own protective cover.” It also stated that “[i]n extraordinary times, access to public places and confined spaces will be protected by one more layer and have one more layer of safety protection effect, thus reducing the risks and probability of infection and transmission.”
Under FIFRA, the EPA regulates the production, sale, distribution and use of pesticides in the United States. A pesticide is any substance intended for preventing, destroying, repelling, or mitigating any pest, which includes viruses. Pesticides must be registered with the EPA. Toamit Virus Shut Out was not registered, and it is illegal to distribute or sell unregistered pesticides. Sun imported the pesticide from Japan and later sold it to individuals around the United States.
The EPA has taken steps to block the importation and sale of Toamit Virus Shut Out in the United States: https://www.epa.gov/newsreleases/epa-administrator-wheeler-talks-retailers-and-third-party-marketplace-platforms-discuss and https://www.epa.gov/newsreleases/us-epa-acts-protect-public-unregistered-virus-shut-out-product-imported-honolulu-and.
This case is being investigated by the EPA-Criminal Investigation Division, HSI, and USPIS.
Senior Counsel Krishna Dighe of the Environment and Natural Resources Division’s Environmental Crimes Section and Assistant U.S. Attorney Christopher J. Huber, Deputy Chief of Complex Frauds, are prosecuting the case.
If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at www.justice.gov/DisasterComplaintForm.
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.
Fort Dodge Man to Federal Prison for Illegal Possession of a FirearmRead the Press Release
A man who illegally possessed a firearm was sentenced May 28, 2020, to more than 4 years in federal prison.
Xavier Rhone, 23, from Fort Dodge, Iowa, received the prison term after a November 25, 2019, guilty plea to possession of a firearm by a felon. Rhone was previously convicted of going armed with intent, in the Iowa District Court for Webster County, on or about August 3, 2015.
Evidence at the plea and sentencing hearings showed that on August 25, 2018, in Fort Dodge, Iowa, law enforcement officers conducted a traffic stop of a vehicle of which Rhone was a passenger. During an inventory of the vehicle, officers located a backpack that contained a handgun. Officers sent the handgun and backpack to the DCI Laboratory to be tested in order to determine the owner of the firearm. The Laboratory Report determined that the DNA on the handgun matched Rhone’s DNA. It was also determined that the firearm had previously been stolen. Evidence in this case further showed, that Rhone used or possessed the firearm in connection with the felony offenses of Carrying Weapons, in violation of Iowa Code § 724.4(1), and Robbery, First Degree, in violation of Iowa Code §§ 711.1 and 711.2.
Rhone was sentenced in Sioux City by United States District Court Chief Judge Leonard T. Strand. Rhone was sentenced to 56 months’ and 18 days’ imprisonment. He must also serve a 3-year term of supervised release after the prison term. There is no parole in the federal system. Rhone is being held in the United States Marshal’s custody until he can be transported to a federal prison.
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. For more information about Project Guardian, please see /media/1122011/dl?inline.
The case was prosecuted by Assistant United States Attorney Mikala Steenholdt and investigated by the Fort Dodge Police Department, Bureau of Alcohol, Tobacco, Firearms and Explosives, and Iowa Division of Criminalistics Laboratory.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-3003. Follow us on Twitter @USAO_NDIA.
Former Velda City Treasurer Sentenced to Federal Prison for Stealing $400,000 in City Funds, and Stealing $150,000 from a CharityRead the Press Release
St. Louis, MO –Venita Sedodo, 32, of St. Charles, Missouri, was sentenced to 40 months in prison for wire fraud related to her former position as Treasurer of Velda City, Missouri, and mail fraud related to her former position as Trust Secretary for the Travelers Protective Association of America, Scholarship Trust for the Hearing Impaired. She appeared in federal court today before U.S. District Judge Stephen R. Clark, Sr. who also ordered Sedodo to pay $552,443.83 in restitution to the victims.
According to court documents and statements made in court, Sedodo served as the Treasurer for Velda City, Missouri. From November, 2015 through October, 2018, Sedodo schemed to steal approximately $400,000 from the city. During that time, Sedodo issued approximately 90 unauthorized Velda City checks to herself, which she deposited into several of her personal bank accounts. Sedodo spent the stolen funds on personal items and services such as clothing, automobile payments, as well as making numerous cash withdrawals. Sedodo also issued unauthorized Velda City checks directly to a number of businesses to pay for personal items and services. Further, Sedodo made numerous unauthorized ACH wire transmissions of funds from Velda City bank accounts to pay for personal items and services at businesses such as BMW, Neiman Marcus, Saks Fifth Avenue, and Commerce Bank to pay off charges on her personal credit cards. Altogether, Sedodo’s fraud scheme netted her approximately $400,000 in funds stolen from Velda City.
Sedodo was also employed as the Trust Secretary for the Travelers Protective Association of America, Scholarship Trust for the Hearing Impaired (“TPA Scholarship Trust”). This is a charitable organization which provides financial aid to individuals with deafness or hearing deficiencies. From June, 2014, through January, 2019, Sedodo submitted false and fraudulent grant applications for her family members and friends to the charity’s Board of Trustees. These grant applications falsely claimed that the individual applicants suffered from deafness or hearing impairment, and Sedodo created and submitted along with the applications false audiograms and audiological evaluations. Sedodo did not advise the Board of Trustees that the individual applicants were her family members and friends. Once the Board of Trustees unwittingly approved the grant applications, Sedodo processed and issued checks to the individual applicants, who then cashed the checks and split the proceeds with Sedodo. None of the grant funds were used for legitimate health care or treatment related to deafness or hearing impairment, but were used by Sedodo and her family and friends for their own personal use and expenses. The charity was unable to fund many legitimate grant applications during the period of Sedodo’s criminal scheme due to the lack of funds as a result of Sedodo’s conduct. Sedodo obtained approximately $156,100 from TPA Scholarship Trust through her fraudulent scheme.
The Federal Bureau of Investigation investigated this case, with the assistance of the Velda City Police Department. The Board of Trustees for the Travelers Protective Association, Scholarship Trust for the Hearing Impaired also provided substantial assistance and cooperation during the investigation. Assistant U.S. Attorney Hal Goldsmith handled the case for the U.S. Attorney’s Office.
Former RI Attorney Sentenced for Stealing Deceased Man's PensionsRead the Press Release
PROVIDENCE, RI – A former Providence attorney who fraudulently collected nearly a quarter of a million dollars in pension funds in the name of a former client for nearly twelve years following the man’s death was sentenced today to12 months and a day in federal prison to be followed by 6 months home confinement.
Oleg Nikolyszyn, 65, previously admitted to the Court that from December 2003 through September 2015, he collected monthly pension payments totaling $234,586 in the name of a former City of Providence employee and a member of the Laborers’ International Union of North America (LIUNA).
According to information presented to the Court, in May 2000, the former City of Providence employee hired Nikolyszyn as his attorney and executed a power of attorney that authorized Nikolyszyn to take certain acts on his behalf. Those actions included receiving pension benefits owed him and signing and depositing checks payable to him.
Nikolyszyn admitted to the Court that he continued to receive monthly pension payments in his client’s name for nearly twelve years following the man’s death in Poland on November 12, 2003. Nikolyszyn admitted to depositing the funds into a bank account in the name of both himself and his former client, and then transferring the money into his and his family’s personal bank account for their own personal use.
Nikolyszyn fraudulently collected $173,597 in payments from the City of Providence Employee’s Retirement System and $60,989 from the LIUNA Pension Fund in the name of his former client.
According to court documents, when the matter was referred to the Rhode Island Office of Disciplinary Counsel, Nikolyszyn represented to Bar Counsel that he had travelled annually to Poland and delivered the money in bulk cash payments to a nephew of his deceased client. Bank records proved that information to be demonstrably false.
Nikolyszyn, who pleaded guilty on January 3, 2020, to two counts of mail fraud and one count of theft from an employee benefit pension fund, was sentenced today by U.S. District Court Judge William E. Smith to 12 months and one day in federal prison to be followed by one year supervised release, the first six months of supervised release to be served in home confinement with electronic monitoring.
Nikolyszyn’s sentence is announced by United States Attorney Aaron L. Weisman; Michael C. Mikulka, Special Agent in Charge of the New York Region for the U.S. Department of Labor, Office of Investigations - Labor Racketeering and Fraud; Carol S. Hamilton, Acting Regional Director for the U.S. Department of Labor, Employee Benefits Security Administration; Superintendent of the Rhode Island State Police Colonel James M. Manni; and Homeland Security Investigations Acting Special Agent in Charge Jason Molina.
The case was prosecuted by Assistant U.S. Attorney Denise M. Barton.
United States Attorney Aaron L. Weisman acknowledges and thanks the Rhode Island Supreme Court Office of Disciplinary Counsel and the Rhode Island Department of the Attorney General for their assistance in the investigation of this matter.
Oleg Nikolyszyn was suspended from the practice of law in Rhode Island by the Rhode Island Supreme Court on December 1, 2016, following an investigation by the Office of Disciplinary Counsel. He was disbarred on an Order issued on January 23, 2020, retroactive to December 1, 2016.
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Former Pittsburgh Man Pleads Guilty to Narcotics ChargesRead the Press Release
PITTSBURGH, Pa. – A former resident of Pittsburgh, Pennsylvania pleaded guilty in federal court to federal narcotics charges, United States Attorney Scott W. Brady announced today.
Erick McCoy, age 25, pleaded guilty before United States District Court Nora Barry Fischer to one count of conspiracy to possess with the intent to distribute and distribute heroin and fentanyl and one count of possession with intent to distribute and distribution of heroin and fentanyl.
In connection with the guilty plea, the court was advised that between August 2016 and June 12, 2017, Erick McCoy, conspired to possess with the intent to distribute and distribute heroin and fentanyl.
In furtherance of that conspiracy, on June 12, 2017, McCoy was a passenger in a car while attempting to deliver fentanyl and heroin to a prospective drug customer when stopped by Pittsburgh Bureau of Police Officers and FBI Agents at a car wash in the City of Pittsburgh. During the car stop, McCoy fled from the vehicle, but was quickly apprehended after being tackled by a City of Pittsburgh Bureau of Police narcotics detective. Officers then recovered a large quantity of a heroin and fentanyl mixture in McCoy’s pockets and down his pants. Officers also recovered a large sum of US currency from McCoy.
The law provides for a maximum total sentence of 30 years in prison, a fine of $3,000,000 or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. McCoy has been detained since his initial appearance in federal court and will remain detained pending sentencing. Co-defendant Antoine Johnson was sentenced to 12 months in federal prison in December of 2018. Co-defendant and leader of the conspiracy, Kimn Booth, was sentenced to 120 months in prison in October of 2019.
Assistant United States Attorney Timothy M. Lanni is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation – Western District of Pennsylvania Opiate Task Force conducted the investigation leading to the guilty plea in this case. This Task Force is comprised of FBI Special Agents and state and local Task Force Officers, including officers from the Pittsburgh Bureau of Police, Allegheny County Sherriff’s Department, Allegheny County Police, Port Authority Police, Munhall Police Department, Stowe-Rox Police Department, and Pennsylvania Attorney General’s Office.
Florida Woman Sentenced for Attempting to Provide Material Support to ISISRead the Press Release
Fort Myers, Florida – U.S. District Judge Sheri Polster Chappell today sentenced Alison Marie Sheppard, a/k/a “Aiisha Abdullah,” (35, Punta Gorda) to 5 years and 10 months in federal prison for attempting to provide material support to ISIS, a designated foreign terrorist organization. The court also sentenced Sheppard to a term of 15 years supervised release.
Sheppard had pleaded guilty on May 17, 2019.
According to court documents, from approximately January 2017 until July 18, 2017, Sheppard knowingly attempted to provide material support and resources to the Islamic State, also known as ISIS, by purchasing and shipping 10 cellphones that she intended for ISIS to use to detonate improvised explosive devices.
Beginning in early 2016, Sheppard used Facebook and social media applications to network and find like-minded individuals who supported a Salafi jihadist mindset and ISIS, and she posted videos that she had created to her YouTube channel to instruct her online friends. Sheppard also posted the videos on social media sites in support of her beliefs. Many of these videos broadcasted the teachings of Islamist extremists who supported violent jihad. Among her postings supporting ISIS in social media accounts, Sheppard published screenshots of an online ISIS magazine that contained articles glorifying terrorist acts committed by ISIS members.
Sheppard also used social media applications to engage in encrypted communications with individuals she believed were supporters of ISIS. One of those individuals was someone Sheppard believed had later traveled to the Middle East to join ISIS. Sheppard sent that person an ISIS e-book detailing how ISIS members travel in and out of Syria, including operational security measures to assist foreign fighters in evading detection in their pursuit to join ISIS. That individual was later apprehended by the FBI and began cooperating with federal law enforcement. Sheppard also began communicating with two other individuals who she believed were ISIS supporters, but who were, in fact, undercover law enforcement officers. During one of those conversations, Sheppard told the undercover officer that she had sworn allegiance to Abu Omar al-Baghdadi, the now-deceased former leader of ISIS.
In June 2017, while engaging in online social media conversations with the cooperating individual and the two undercover law enforcement officers, Sheppard offered to purchase and ship cellphones that ISIS could use to detonate improvised explosive devices. Later, in July 2017, Sheppard purchased 10 cellphones from five stores in Punta Gorda, Port Charlotte, and Rotonda West, Florida. She arranged to have the phones mailed to one of the undercover officers, believing that they would be forwarded to the Middle East and that ISIS would use them as timers for “pressure cooker” bombs.
This case was investigated by the Federal Bureau of Investigation and the New York Police Department Intelligence Section. It was prosecuted by Assistant United States Attorney Jeffrey F. Michelland, Assistant United States Attorney Jesus M. Casas, and Trial Attorney David C. Smith of the National Security Division’s Counterterrorism Section.
Federal Arson, Firearm, and Drug Trafficking Charges Stemming from Fire at Okaloosa County Sheriff's OfficeRead the Press Release
PENSACOLA, FLORIDA – United States Attorney Lawrence Keefe, of the Northern District of Florida, and Okaloosa County Sheriff Larry Ashley announced today that a federal indictment has been unsealed against Tony M. Streeter, 46, and Betty J. Jackson (a/k/a Betty Joe Streeter), 50, both of
Fort Walton Beach. The indictment alleges that Streeter distributed, and possessed with intent to distribute, methamphetamine on multiple occasions in August 2019. The indictment also alleges that
Streeter, a multi-convicted drug trafficking felon as alleged in the indictment, possessed a firearm during the same time frame. It is alleged that these crimes led to conspiratorial acts at the vehicle impound lot of the Okaloosa County Sheriff’s Office on or about September 3, 2019, which resulted in the malicious burning of a vehicle related to Streeter within said lot. Another defendant, William Sims, has already pled guilty to his role in the federal arson charges. These three defendants, who are charged with the planning and execution of the alleged arson conspiracy, are all now in federal custody.“Individuals who feel enabled to attack a law enforcement agency present an extreme threat to our communities,” said Sheriff Ashley. “With the arrest of the suspects and the steadfast support of our federal partners and U.S. Attorney Larry Keefe, we are sending a clear message that these individuals will be pursued, apprehended, and ultimately held accountable.”
“When offenders attack a law enforcement agency, they attack the individuals who protect us and help maintain law and order in our community,” said U.S. Attorney Keefe. “The U.S. Attorney’s
Office will use all of the resources at its disposal to vigorously pursue and prosecute those who commit these types of crimes.”The defendants appeared in the United States District Court in Pensacola yesterday and a detention hearing for both has been scheduled for Monday, June 1, 2020, at 11:00 a.m. at the Winston Arnow
Federal Courthouse in Pensacola. Assistant United States Attorney David L. Goldberg is prosecuting the case following a joint investigation by the Okaloosa County Sheriff’s Office, the Florida
Department of Law Enforcement, and the Bureau of Alcohol, Tobacco, Firearms, and Explosives.“These indictments highlight how strong law enforcement partnerships impact both violence and drug trafficking in our continued efforts to protect the public,” said ATF Special Agent in Charge
Daryl McCrary.An indictment is merely an allegation that a defendant has committed a violation of federal criminal law and is not evidence of guilt. All defendants are presumed innocent and entitled to a fair trial, during which it will be the government’s burden to prove guilt beyond a reasonable doubt at trial.
The United States Attorney’s Office for the Northern District of Florida is one of 94 offices that serve as the nation’s principal litigators under the direction of the Attorney General. To access public court documents online, please visit the U.S. District Court for the Northern District of
Florida website. For more information about the U.S. Attorney’s Office, Northern District of
Florida, visit http://www.justice.gov/usao/fln/index.html.Fayetteville woman pleads guilty to COVID-19 related federal offense for selling unregistered pesticides on eBayRead the Press Release
NEWNAN, Ga. - Rong Sun, who sold an unregistered pesticide as protection against viruses such as COVID-19, has pleaded guilty to violating the Federal Insecticide, Fungicide, and Rodenticide Act (FIFRA).
“We will act quickly and decisively to protect the health of our community,” said U.S. Attorney Byung J. “BJay” Pak. “As Georgia and the country battle a global pandemic, we need safe and effective treatments, not ones that threaten the health of our citizens.”
“Registration under FIFRA helps ensure that pesticides sold in the U.S. work and are safe for humans. The trafficking in snake-oil remedies outside of FIFRA is a criminal act and anyone who does so, especially during this pandemic, will find federal law enforcement ready to stop them,” said Assistant Attorney General Jeffrey Bossert Clark for the Justice Department’s Environment and Natural Resources Division. “The U.S. Department of Justice will not stand by while criminal conduct risks people’s health and safety.”
“This case shows that consumers need to be cautious of products that make unsubstantiated claims of controlling viruses,” said Environmental Protection Agency (EPA) Assistant Administrator for Enforcement and Compliance Assurance Susan Bodine. “EPA and our law enforcement partners continue to work to stop the sale of these illegal products. Consumers can help protect themselves by visiting epa.gov/coronavirus for a list of approved products.”
“Playing on people’s fears during this pandemic by offering false hope and the empty promise of protection is not only dangerous, it’s also reprehensible and illegal,” said acting Special Agent in Charge Robert Hammer, who oversees Homeland Security Investigations (HSI) operations in Georgia and Alabama. “HSI and its partners are working diligently to investigate and arrest those criminals that are trying to take advantage of Americans during this pandemic.”“A large part of the U.S. Postal Inspection Service mission is to ensure public trust in the mail,” said Tommy D. Coke, Inspector in Charge of the U.S. Postal Inspection Service Atlanta Division. “When individuals challenge that mission, Postal Inspectors will aggressively investigate those seeking to deceive during this crisis for their own financial gain.”
According to U.S. Attorney Pak, the charges and other information presented in court: The defendant sold an unregistered pesticide, Toamit Virus Shut Out, through eBay, claiming that it would help protect individuals from viruses. The pesticide was marketed as “Virus Shut Out” and “Stop The Virus.” The eBay listing depicted the removal of viruses by wearing the “Virus Shut Out” and “Stop The Virus” product. Additionally, the listing stated that “its main ingredient is ClO2, which is a new generation of widely effective and powerful fungicide recognized internationally at present. Bacteria and viruses can be lifted up within 1 meter of the wearer’s body, just like a portable air cleaner with its own protective cover.” It also stated that “In extraordinary times, access to public places and confined spaces will be protected by one more layer and have one more layer of safety protection effect, thus reducing the risks and probability of infection and transmission.”
The listing further claimed that Toamit is “Office and home essentials during viral infections reduce transmission risk by 90%.”Under FIFRA, the EPA regulates the production, sale, distribution and use of pesticides in the United States. A pesticide is any substance intended for preventing, destroying, repelling, or mitigating any pest. The term “pest” includes viruses. Pesticides are required to be registered with the EPA. Toamit Virus Shut Out was not registered and it is illegal to distribute or sell unregistered pesticides. Sun imported the pesticide from Japan and later sold it to individuals around the United States.
The EPA has taken steps to block the importation and sale of Toamit Virus Shut Out in the United States: https://www.epa.gov/newsreleases/epa-administrator-wheeler-talks-retailers-and-third-party-marketplace-platforms-discuss and https://www.epa.gov/newsreleases/us-epa-acts-protect-public-unregistered-virus-shut-out-product-imported-honolulu-and.The charges carry penalties of up to one year in prison and a $100,000 fine. In determining the actual sentence, the Court will consider the United States Sentencing Guidelines, which are not binding but provide appropriate sentencing ranges for most offenders.
Sentencing for Rong Sun, a/k/a Vicky Sun, 34, of Fayetteville, Georgia, is set for June 29, 2020 at 10:00 a.m., before U.S. Magistrate Judge John K. Larkins III.
This case is being investigated by the Environmental Protection Agency-Criminal Investigation Division, Homeland Security Investigations, and U.S. Postal Inspection Service.
Assistant U.S. Attorney Christopher J. Huber, Deputy Chief Complex Frauds, and Senior Counsel Krishna Dighe of the Environmental Crimes Section of the Justice Department’s Environment and Natural Resources Division are prosecuting the case.
This case is part of Georgia’s Coronavirus (COVID-19) Fraud Task Force, aimed at better protecting the citizens of Georgia from criminal fraud arising from the pandemic. Formed by Georgia’s leading state and federal prosecutors, the task force serves to open channels of communication between partner agencies and more rapidly share information about COVID-19 fraud, while ensuring each fraud complaint is reported to the appropriate prosecuting agency. The task force member agencies include the Office of the Governor of Georgia, the Office of the Attorney General of Georgia, the U.S. Attorney’s Office for the Northern District of Georgia, the U.S. Attorney’s Office for the Middle District of Georgia and the U.S. Attorney’s Office for the Southern District of Georgia. Georgia’s three U.S. Attorneys, the Attorney General of Georgia, and the Executive Counsel for the Governor’s Office serve on the task force. If you think you are a victim of a scam or attempted fraud involving COVID-19, contact the National Center for Disaster Fraud Hotline at 866-720-5721 or via email at www.justice.gov/DisasterComplaintForm.
For further information please contact the U.S. Attorney’s Public Affairs Office at [email protected] or (404) 581-6016. The Internet address for the U.S. Attorney’s Office for the Northern District of Georgia is http://www.justice.gov/usao-ndga.
East Bay Resident Ordered to Pay over $17,000 for Making False Statements to Gain Admittance for Military ServiceRead the Press Release
SAN FRANCISCO – Ross Anthony Farca was ordered to pay $17,832 in restitution for making false statements to a government agency, announced United States Attorney David L. Anderson and Federal Bureau of Investigation Special Agent in Charge John F. Bennett. The sentence was handed down by the Honorable Jon S. Tigar, U.S. District Judge.
Farca, 24, of Concord, pleaded guilty to the charge, without a plea agreement, on April 9, 2020. As part of the proceedings for pleading guilty, Farca acknowledged he falsely certified on an electronic questionnaire that he had not consulted with a health care professional about an emotional or mental health condition when in fact he had.
Additional facts about the case appear in other court filings, including a complaint filed November 19, 2019. According to the complaint, on June 22, 2017, Farca traveled to a U.S. Army Recruitment Center in Mountain View, Calif., where he completed and submitted an online background check application in his bid to join the U.S. Army. The background check application, also known as an SF-86, contains language specifically warning that falsifying or concealing a material fact on the application is a felony which may result in fines or imprisonment. In this case, the criminal complaint alleges that Farca nevertheless knowingly made false statements about his mental health when completing the form. Specifically, he affirmatively stated that he had not received mental health treatment when, in fact, Farca had been in regular contact with a psychiatrist since 2011. In addition, the complaint alleges Farca had received prescriptions for various medications and had received treatments to manage his mental disorders.
According to the complaint, Farca understood that because of his diagnosis, he needed a letter of clearance from a mental health professional before he would be qualified to enlist in the army. The complaint alleges that Farca requested a letter of clearance from both his psychiatrist and a caseworker familiar with his condition; both mental health professionals, however, denied Farca’s request for a clearance letter. The complaint further alleges that when Farca completed the SF-86, rather than admit he had been seeing a psychiatrist and that he was unable to obtain a letter clearing him for duty, Farca instead denied he had ever had counseling for his psychological or emotional health. According to the complaint, Farca reported to basic training on August 28, 2017, and was discharged October 3, 2017. The discharge paperwork cited "failed medical / physical / procurement standards" and noted, "erroneous enlistment; medical condition disqualifying for military service, with no medical waiver approved."
A federal grand jury indicted Farca on December 3, 2019, charging him with making a false statement, in violation of 18 U.S.C. § 1001(a). Farca pleaded guilty to the count.
In addition to the restitution order, Judge Tigar also sentenced the defendant to time served in jail—a period of more than six months as defendant has been in custody since his arrest on November 21, 2019—and a 3-year period of supervised release, to include special conditions restricting his computer usage. Defendant will be released from federal custody and transferred to the custody of Contra Costa County, to face additional pending charges.
The Office of the U.S. Attorney’s Special Prosecutions Section is prosecuting the case. The prosecution is the result of an investigation by the Federal Bureau of Investigation and the Concord Police Department.
Eagle Woman Sentenced to 37 Months for Health Care FraudRead the Press Release
BOISE - Karina Renee Moore, 48, of Eagle, was sentenced to 37 months in federal prison for health care fraud, U.S. Attorney Bart M. Davis announced today. U.S. District Judge B. Lynn Winmill also ordered Moore to serve three years of supervised release following her release from prison and to pay $611,860.86 in restitution. Moore pleaded guilty on January 7, 2020.
According to court records, from August 2007 to December 2016, Moore was employed as the office manager at a skilled nursing facility in Boise. The skilled nursing facility was originally Marquis Care of Shaw Mountain, but it was sold in May 2016 and renamed Shaw Mountain of Cascadia. On December 1, 2016, employees at Shaw Mountain of Cascadia called law enforcement after discovering checks showing that the defendant had embezzled $23,805.66. The resulting investigation revealed Moore had been defrauding the Shaw Mountain care facility since at least January 2010. Between January 2010 and December 2016, Moore defrauded health care programs and social security programs, resulting in a loss of $611,860.86.
Moore used multiple schemes to cover her fraud. She embezzled the residents’ private payments and social security payments, including from their resident trust accounts. She fraudulently billed Medicaid for services that were covered by other health care benefit programs, and failed to report payments to Medicaid, causing overpayments, which she then embezzled. Finally, Moore collected and misused the social security checks of a deceased resident.
This case was investigated by United States Department of Health and Human Services Office of Inspector General, Boise Police Department, and Social Security Administration Office of Inspector General.
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Department of Justice Files Statement of Interest in Support of Businesses Suffering from Arbitrary and Irrational Restrictions of Michigan Governor's COVID-19 OrdersRead the Press Release
The Department of Justice today filed a statement of interest in a Michigan federal court in support of a lawsuit filed by seven businesses challenging the restrictions imposed by Governor Gretchen Whitmer in response to the COVID-19 pandemic.
The statement of interest is part of Attorney General William P. Barr’s April 27, 2020 initiative directing Assistant Attorney General Eric Dreiband for the Civil Rights Division, and the U.S. Attorney for the Eastern District of Michigan, Matthew Schneider, to review state and local policies to ensure that civil liberties are protected during the COVID-19 pandemic.
In response to the COVID-19 pandemic, the Governor of Michigan has, over the past two months, issued over 100 executive orders that impose sweeping limitations on nearly all aspects of life for citizens of Michigan, significantly impairing in some instances their ability to maintain their economic livelihoods.
According to the lawsuit, the governor’s orders are arbitrary and discriminate against their businesses by treating them differently than other similarly situated businesses. Although the governor’s actions have required the plaintiffs to close or significantly restrict their businesses for over two months, the orders have allowed similar occupations to operate.
The plaintiffs include a real estate brokerage, a lawn and property maintenance company, an automotive glass exporter, an engine oil and auto parts distributor, a small jewelry store, a dental office, and an association of car washes. The plaintiffs brought their case in the Western District of Michigan.
“Our Constitution is enduring, and it is critically important that government comply fully with the Constitution in times of crisis,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “The Constitution permits appropriate state and local government restrictions to protect the health and safety of Americans, but it does not permit arbitrary limits that limit the right of all people in our country to be treated equally and fairly by the government.”
“While we appreciate the governor’s serious responsibility to safeguard public health through this pandemic, the Department of Justice has an obligation to call attention to the contours of the rights enshrined in the federal Constitution and to counsel against arbitrary restrictions on liberty,” said Andrew Birge, U.S. Attorney for the Western District of Michigan.
“I have no doubt about the governor’s good intentions, but the Executive Orders arbitrarily discriminate by allowing some businesses to operate while similar businesses must close or limit their operations—and if they refuse, they face fines and possible jail time,” said Matthew Schneider, U.S. Attorney for the Eastern District of Michigan, who, with Assistant Attorney General Dreiband, is overseeing the Justice Department’s effort to monitor state and local polices relating to the COVID-19 pandemic. “Under the Governor’s Orders, it’s ok to go to a hardware store and buy a jacket, but it’s a crime to go inside a clothing store and buy the identical jacket without making an appointment. That’s arbitrary. As important as it is that we stay safe during these challenging times, it is also important to remember that we do not abandon our freedoms and our dedication to the rule of law in times of emergency."
In its statement of interest, the United States explains that the facts alleged by the plaintiffs could amount to violations of the Commerce Clause and the Equal Protection Clause of the Constitution.
The federal case is Signature Sotheby’s International Realty, Inc., et al. v. Whitmer, No. 1:20-00360.
Department of Justice Files Statement of Interest Challenging the Constitutionality of Maine Governor’s COVID-19 Orders that Economically Harm Maine CampgroundsRead the Press Release
The Department of Justice today filed a statement of interest in a Maine federal court in support of a lawsuit filed by campgrounds in Maine—and New Hampshire residents who wish to enjoy them—challenging a measure by Governor Janet Mills in response to COVID‑19 that treats Maine residents more favorably than out-of-state residents when they seek to patronize campgrounds and RV parks within Maine.
The Statement of Interest is part of Attorney General William P. Barr’s April 27, 2020 initiative directing Assistant Attorney General Eric Dreiband for the Civil Rights Division, and the U.S. Attorney for the Eastern District of Michigan, Matthew Schneider, to review state and local policies to ensure that civil liberties are protected during the COVID-19 pandemic.
“The United States Constitution requires government to protect the privileges and immunities of all citizens in our nation,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “These privileges and immunities include the right of Americans to travel freely anywhere in our country, and state governments cannot limit the right of out-of-state Americans to travel to their state unless doing so is substantially related to protecting the public safety. The Department of Justice remains committed to defending the constitutional rights of all Americans no matter where they live. The department will continue to be especially vigilant of any infringement on the right to travel that unduly harms the ability of Americans to earn a living and support their families.”
In response to the COVID-19 pandemic, the Governor of Maine has issued Executive Orders that have continued to inflict significant economic harm on campground businesses. On April 3, 2020, the Governor required campground and RV parks to close and also compelled “any person, resident or non-resident, traveling into Maine” to “immediately self-quarantine for 14 days” unless that person was engaged in “essential services.” On April 29, the Governor issued another Executive Order, which incorporates a “Restarting Plan.” The Restarting Plan provides that the State’s “Campgrounds/RV parks” will be “[o]pen to Maine residents only on May 22” and “[o]pen to out-of-state residents who have completed quarantine guidelines on June 1.”
Maine’s self-quarantine requirement has contributed to the significant economic harm being suffered by campground businesses that rely on out-of-state patrons each summer for their income. For example, the yearly revenue for plaintiff Little Ossipee Campground, a small family business in Waterboro, Maine has fallen by over $90,000. Similarly, plaintiff Bayley’s Campground has received over 700 reservation cancellations, refunded over $150,000 in reservation fees, and lost over $260,000 in revenue.
These campgrounds, along with New Hampshire residents who wish to enjoy them, brought a constitutional challenge on May 15 against various aspects of the Governor’s Orders. According to plaintiffs, requiring only out-of-state residents to self-quarantine before patronizing campgrounds in Maine violates the federal constitutional right to interstate travel.
In its statement of interest, the United States explains that Maine’s quarantine requirement discriminates between Maine residents and out-of-state residents. This discrimination appears to be inadequately tailored to further public safety and therefore does not comply with the Constitution. Maine’s Executive Orders are imposing devastating economic costs on the plaintiff campgrounds with a requirement that is both overinclusive and underinclusive to meet its objective and for which Maine could use less restrictive means to advance its interest in protecting public safety.
The federal case is Bayley’s Campground, Inc, d/b/a Bayley’s Camping Resort, et al. v. Mills, Civil Action No.: 2:20-cv-00176-LEW
Department of Justice Files Statement of Interest in Support of Businesses Suffering from Arbitrary and Irrational Restrictons of Michigan Governor’s COVID-19 OrdersRead the Press Release
The Department of Justice today filed a statement of interest in a Michigan federal court in support of a lawsuit filed by seven businesses challenging the restrictions imposed by Governor Gretchen Whitmer in response to the COVID-19 pandemic.
The statement of interest is part of Attorney General William P. Barr’s April 27, 2020 initiative directing Assistant Attorney General Eric Dreiband for the Civil Rights Division, and the U.S. Attorney for the Eastern District of Michigan, Matthew Schneider, to review state and local policies to ensure that civil liberties are protected during the COVID-19 pandemic.
In response to the COVID-19 pandemic, the Governor of Michigan has, over the past two months, issued over 100 executive orders that impose sweeping limitations on nearly all aspects of life for citizens of Michigan, significantly impairing in some instances their ability to maintain their economic livelihoods.
According to the lawsuit, the governor’s orders are arbitrary and discriminate against their businesses by treating them differently than other similarly situated businesses. Although the governor’s actions have required the plaintiffs to close or significantly restrict their businesses for over two months, the orders have allowed similar occupations to operate.
The plaintiffs include a real estate brokerage, a lawn and property maintenance company, an automotive glass exporter, an engine oil and auto parts distributor, a small jewelry store, a dental office, and an association of car washes. The plaintiffs brought their case in the Western District of Michigan.
“Our Constitution is enduring, and it is critically important that government comply fully with the Constitution in times of crisis,” said Assistant Attorney General Eric Dreiband of the Civil Rights Division. “The Constitution permits appropriate state and local government restrictions to protect the health and safety of Americans, but it does not permit arbitrary limits that limit the right of all people in our country to be treated equally and fairly by the government.”
“While we appreciate the governor’s serious responsibility to safeguard public health through this pandemic, the Department of Justice has an obligation to call attention to the contours of the rights enshrined in the federal Constitution and to counsel against arbitrary restrictions on liberty,” said Andrew Birge, U.S. Attorney for the Western District of Michigan.
“I have no doubt about the governor’s good intentions, but the Executive Orders arbitrarily discriminate by allowing some businesses to operate while similar businesses must close or limit their operations—and if they refuse, they face fines and possible jail time,” said Matthew Schneider, U.S. Attorney for the Eastern District of Michigan, who, with Assistant Attorney General Dreiband, is overseeing the Justice Department’s effort to monitor state and local polices relating to the COVID-19 pandemic. “Under the Governor’s Orders, it’s ok to go to a hardware store and buy a jacket, but it’s a crime to go inside a clothing store and buy the identical jacket without making an appointment. That’s arbitrary. As important as it is that we stay safe during these challenging times, it is also important to remember that we do not abandon our freedoms and our dedication to the rule of law in times of emergency."
In its statement of interest, the United States explains that the facts alleged by the plaintiffs could amount to violations of the Commerce Clause and the Equal Protection Clause of the Constitution.
The federal case is Signature Sotheby’s International Realty, Inc., et al. v. Whitmer, No. 1:20-00360.
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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Cumberland County Man Charged with Illegal Possession of More Than Three Dozen FirearmsRead the Press Release
CAMDEN, N.J. – A New Jersey man with a prior felony conviction was charged today with unlawfully possessing dozens of firearms, including handguns, rifles, a silencer, ammunition, and high-capacity magazines, U.S. Attorney Craig Carpenito announced.
Darick Nollett, 30, of Heislerville, New Jersey, is charged by criminal complaint with one count of unlawfully possessing a firearm as a convicted felon, and one count of knowingly receiving and possessing a firearm that was not registered to him in the National Firearms Registration and Transfer Record. Nollett is expected to make his initial appearance by videoconference this afternoon before U.S. Magistrate Judge Joel Schneider in Camden federal court.
According to documents filed in this case:
Nollett used the Internet to purchase a device that, while marketed as a “fuel filter,” is known to law enforcement to be frequently purchased by individuals for use as a firearm silencer. Law enforcement officers executing a court-authorized search warrant of Nollett’s residence recovered the following, in addition to the silencer:
- A Remington 710 .270 caliber rifle;
- A Savage 93R17 .17 caliber rifle;
- An Aero Precision DTOM 15 rifle;
- A CMMG Inc. MK4 rifle;
- A Del-Ton DTI-15 rifle;
- An Aero Precision DTOM 15 rifle;
- A Keltec rifle;
- A Smith & Wesson .38 caliber revolver;
- A Ruger LCP .380 caliber semi-automatic pistol;
- A Colt Python .357 caliber revolver;
- A Taurus PT738 .380 caliber handgun;
- A Sig Sauer P226 .22 caliber handgun;
- A Glock 20 10mm handgun;
- A Heckler & Koch VP9 tactical pistol;
- A Smith & Wesson M&P40 .40 caliber handgun;
- A Springfield XD-40 .40 caliber handgun;
- A Springfield XD-45 .45 caliber handgun;
- A Taurus PT111 G2 9mm handgun;
- A Browning BPS 12 gauge shotgun;
- A Winchester Model 120 12 gauge shotgun;
- A Hatsan Arms Escort PS Magnum 12 gauge semi-automatic shotgun;
- A Remington 870 20 gauge shotgun;
- A Mossberg 500E .410 gauge shotgun;
- A Rossi 520 20 gauge shotgun;
- A New England Firearms Pardner SBI 12 gauge shotgun;
- A Fabrica Aguirre y Aranzabal JC Higgins Model 100 12 gauge shotgun;
- A Savage Model 720 12 gauge shotgun;
- A Springfield Armory Model 1896 rifle;
- A Ruger Model 10-22 .22 caliber rifle;
- A Remington 7615 Police .223 caliber rifle;
- A Winchester Model 1864 30 30 rifle; and
- A Mossberg 500 12 gauge shotgun;
In addition, law enforcement officers recovered an assembled AR-15 style rifle with scope that did not bear a serial number. Law enforcement officers also recovered unassembled parts for another AR-15 style rifle.
Each charge carries a maximum potential penalty of 10 years in prison and a $250,000 fine.
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 ensured that federal resources are directed at the criminals posing the greatest threat to our communities.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Homeland Security, Homeland Security Investigations (HSI), Cherry Hill office, under the direction of Newark Special Agent in Charge Jason Molina, special agents of the ATF Newark Field Division, under the direction of Special Agent in Charge Charlie J. Patterson, postal inspectors of the U.S. Postal Inspection Service, Philadelphia Division, under the direction of Inspector in Charge Damon E. Wood, officers of the New Jersey State Police, under the direction of Superintendent Col. Patrick J. Callahan, and the Cumberland County Prosecutor’s Office, under the direction of Prosecutor Jennifer Webb-McRae, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorney Daniel A. Friedman of the U.S. Attorney’s Office’s Criminal Division in Camden.
The charges and allegations in the complaint are merely accusations and the defendant is presumed innocent unless and until proven guilty.
Convicted Felon Indicted on Fentanyl Distribution ChargesRead the Press Release
NORFOLK, Va. – A federal grand jury returned an indictment late yesterday charging a Portsmouth man for his role fentanyl distribution conspiracy.
According to the indictment, Dujuan Lee, 38, allegedly bought multi-ounce quantities of fentanyl for $10,000 a week over the course of eight months. The DEA, in partnership with the Portsmouth Police Department, made a series of controlled purchases of fentanyl from Lee and arrested him in February. According to the indictment, Lee, a previously convicted felon, was allegedly in possession of drug packaging materials, razors, a digital scale, a sifter, cutting agent, approximately $3,090 in United States currency, a Taurus G2C 9mm firearm, approximately 19.4 grams of fentanyl, and approximately 70.9 grams of cocaine.
Lee is charged with conspiracy to manufacture, distribute, and possess with intent to manufacture and distribute Fentanyl and cocaine; seven counts of distributing fentanyl; possession with intent to distribute fentanyl; possession with intent to distribute cocaine; felon in possession of a firearm and ammunition; and possession of a firearm during and in relation to a drug trafficking crime.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Jesse R. Fong, Special Agent in Charge for the Drug Enforcement Administration’s (DEA) Washington Field Division, made the announcement. Assistant U.S. Attorney John F. Butler is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 2:20-cr-34.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Convicted Felon Indicted for Arson and Unlawful Possession of A Firearm After Discharging Handgun and Deliberately Setting Fire in Hotel RoomRead the Press Release
LAS VEGAS, Nev. — Eric Larsgaard, 29, of Las Vegas, was arraigned in federal court today on an indictment charging him for allegedly unlawfully possessing a firearm and deliberately setting fire in a hotel room, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Patrick Gorman for the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF).
Larsgaard has two prior criminal convictions in Clark County, including ownership or possession of a firearm by a prohibited person and unlawful possession of a controlled substance. A jury trial has been scheduled before U.S. District Judge Jennifer Dorsey on July 16, 2020.
According to allegations contained in the criminal complaint and indictment, on March 4, 2020, Las Vegas Metropolitan Police Department officers responded to Sam’s Town Hotel and Gambling Hall after the fire alarm in Larsgaard’s hotel room was activated. Hotel security found that he had barricaded the door with a dresser and mattress. Guests staying in the hotel room next to Larsgaard’s room had also called hotel security to report that they heard three gunshots coming from his room. For safety reasons, officers evacuated all guests on the floor. After unsuccessfully attempting to make contact with Larsgaard for approximately four hours, responding law enforcement officers forced entry into the room and took Larsgaard into custody.
Officers executed a search warrant and located in Larsgaard’s room a Ruger handgun that previously had been reported stolen. The firearm’s safety was off, and the hammer was cocked in the firing position. Several bullet holes were located in the room. Further, an arson investigator with the Clark County Fire Investigation Division observed at least four different locations of deliberate ignition within the room. The arson investigator also noted that the smoke alarms had been tampered with and removed from the wall.
If convicted, Larsgaard faces (a) a statutory maximum sentence of 10 years in prison and a $250,000 fine for the charge of felon in possession of a firearm, and (b) between five to 20 years in prison and a $250,000 fine for the charge of arson. In addition to imprisonment and fines, Larsgaard also faces a period of supervised release following any term of imprisonment imposed, restitution, and monetary penalties. The maximum statutory sentence is prescribed by Congress and is provided here for informational purposes only. If convicted of an offense, the sentencing of a defendant will be determined by the court based on the advisory Sentencing Guidelines and other statutory factors.
An indictment merely alleges that crimes have been committed. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
This case is the product of an investigation by ATF, the Las Vegas Metropolitan Police Department, and the Clark County Fire Investigation Division. Assistant U.S. Attorney Stephanie N. Ihler is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a nationwide program by the Department of Justice that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. The Department has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, the Department announced the reinvigoration of PSN. For more information about PSN, visit https://www.justice.gov/usao-nv/project-safe-neighborhoods-project-guardian.
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Colorado Man Charged with Loan Fraud Scheme Targeting TidewaterRead the Press Release
NEWPORT NEWS, Va. – A federal grand jury returned an indictment today charging a Colorado man with a loan fraud and identity theft scheme.
According to the indictment, Anthony Britton, 44, of Lakewood, participated in a scheme to use stolen identification information to obtain fraudulent personal and vehicle loans through Langley Federal Credit Union (LFCU). In 2015 and 2016, LFCU received numerous online membership and consumer loan applications in the names of stolen identities, and approved and issued the requested memberships and loans prior to determining that they had been sought using the stolen personal identifying information of others. LFCU disbursed loan proceeds via checks and transfers into the checking and savings accounts opened through these fraudulent applications. Vehicle loan proceeds were disbursed by checks made payable to individuals posing as vehicle sellers, while personal loan proceeds were disbursed to LFCU accounts opened in connection with the fraudulent loan applications and transferred to accounts of others, including Britton. The indictment alleges that conspirators then accessed and withdrew the fraudulently obtained loan proceeds and routed them to other accounts to the benefit of Britton.
Britton is charged in a 10 count indictment with conspiracy to commit bank fraud and charges of bank fraud and aggravated identity theft. If convicted, he faces a maximum penalty of 30 years on the bank fraud charges and a mandatory consecutive term of two years on the aggravated identity theft charges. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Peter R. Rendina, Inspector in Charge of the Washington Division of the U.S. Postal Inspection Service, made the announcement. Assistant U.S. Attorney Brian Samuels is prosecuting the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 4:20-cr-28.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Charles City Nurse Anesthetist Sentenced to Nearly Three Years in Federal Prison for Drug Tampering and Diversion SchemeRead the Press Release
A Charles City nurse anesthetist who secretly tampered with vials of fentanyl in a hospital’s surgery and birthing centers was sentenced today to nearly three years in federal prison.
Christopher Scott West, age 46, from Charles City, Iowa, received the prison term after an August 1, 2019 guilty plea to one count of tampering with a consumer product and one count of acquiring and attempting to acquire a controlled substance by means of misrepresentation, fraud, deception, and subterfuge.
At the guilty plea and other hearings in the case, the evidence showed that, beginning in 2017, West was a certified nurse anesthetist (CRNA) at a hospital in Charles City. From February 2018 through September 7, 2018, West used his State of Iowa nursing licenses to gain access to two controlled substances, fentanyl and sufentanil, at the hospital. The fentanyl and sufentanil was intended for patients at the hospital, but West used them himself. In order to avoid getting caught, West perforated tamper-proof paper around the vials, carefully opened the vials, replaced the drugs in the vials with saline, glued the vials shut, and placed the vials back in the hospital’s secure dispensaries in the surgery and birthing centers.
The hospital discovered West’s scheme on September 7, 2018, when a hospital visitor discovered West passed out in a public bathroom. West had a rubber tourniquet and empty and full vials of propofol, another drug used in anesthesia, in his coat pocket. After the hospital declined West’s request to keep his drug theft scheme “internal,” West told the hospital’s pharmacist that she needed to remove vials of what were supposed to contain narcotics in the surgery center because hedid not want those adulterated narcotics used on patients. The pharmacist found tampered vials of fentanyl in the surgery center. However, over the ensuing weekend, the pharmacist also checked the hospital’s birthing center. The pharmacist also found tampered vials in the birthing center, too. In total, the hospital discovered 28 tampered vials of fentanyl and 15 tampered vials of sufentanil in the hospital’s secure dispensaries.
On September 9, 2018, West admitted to the hospital’s surgeon that West had administered three different forms of anesthesia to a young patient in part so that he would have narcotics left over for his personal use. The patient suffered complications from his surgery and required an extra day in the hospital and intermittent catheterizations. A subsequent review of other procedures West allegedly performed revealed that West had purported to use fentanyl consistently in colonoscopies and cataract surgeries as early as December 2017. A prior review of West’s obstetrics patients in 2018 revealed that one in four of West’s spinal anesthesia patients received narcotics that were insufficient to reduce labor pain, such that the women giving birth also required general anesthesia.
West was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. West was sentenced to 34 months’ imprisonment and fined $15,000. He was ordered to make $31,998.34 in restitution to the hospital and ordered to pay $3,158.18 in costs of prosecution. He must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system. The district court also ordered West to forfeit his two State of Iowa nursing licenses to the United States because defendant used those licenses to further his drug diversion scheme.
“Medical professionals have an obligation to care for some of the most vulnerable members of our society,” said United States Attorney Peter Deegan. “By his selfish actions, Mr. West took advantage of his trusted position at his local community hospital. He endangered the health and very lives of patients at the hospital. This sentence sends a clear message that such dangerous behavior will not be tolerated.”
“The FDA oversees the U.S. drug supply to ensure that it is safe and effective, and those who knowingly tamper with medicines put patients’ health at risk,” said Special Agent in Charge Charles L. Grinstead, FDA Office of Criminal Investigations Kansas City Field Office. “We will continue to protect the public health and bring to justice health care professionals who take advantage of their unique position and compromise their patients’ health and comfort by tampering with needed drugs.”
West was released on the bond previously set and is to surrender to the United States Marshal on a date yet to be set. The case was prosecuted by Assistant United States Attorney Tim Vavricek and investigated by the Food and Drug Administration, Office of Criminal Investigations, the Iowa Division of Narcotics Enforcement, and the Charles City Police Department.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-2013.
Follow us on Twitter @USAO_NDIA.
Birmingham Man Indicted for Gas Station RobberyRead the Press Release
BIRMINGHAM, Ala. – A federal grand jury yesterday indicted a Birmingham man in connection to an armed robbery of a Shell gas station, announced U.S. Attorney Jay E. Town and Federal Bureau of Investigation Special Agent in Charge Johnnie Sharp, Jr.
A two-count indictment filed in U.S. District Court charges Dennis Dewayne Dothard, 37, with one count of Hobbs Act Robbery and one count of carrying and brandishing a firearm during and in relation to a violent crime.
“The FBI once again showed its investigative prowess in swiftly investigating and solving this crime,” Town said. “We also offer our gratitude to our local law enforcement partners for smartly apprehending the defendant.”
The Hobbs Act prohibits actual or attempted robbery that affects interstate commerce and that involves the taking of property from another person by means of actual or threatened force or violence. The maximum penalty for Hobbs Act robbery is 20 years in prison.
Brandishing a firearm during and in relation to a violent crime carries a mandatory seven years in prison per count, to be served consecutively to any other sentence imposed for the crime.
FBI investigated the cases along with the Alabama Law Enforcement Agency, Jefferson County Sheriff’s Office and Hoover Police Department. Assistant U.S. Attorney Kevin Sanchez is prosecuting the case.
An indictment is merely an allegation and the defendant is presumed innocent until proven guilty beyond a reasonable doubt.
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.
Bangor Awarded over $65,000 to Address COVID-19 PandemicRead the Press Release
Portland, Maine: United States Attorney Halsey B. Frank announced that the Department of Justice’s Office of Justice Programs (OJP) has awarded $65,825 to the City of Bangor to address the public safety challenges posed by the outbreak of COVID-19.
OJP awarded the grant as part of $850 million available under the Coronavirus Emergency Supplemental Funding program, authorized by the stimulus legislation President Trump signed in March. This program allows eligible state, local and tribal governments to apply immediately for these critical funds. Since the program’s launch in early April, OJP has awarded over $661 million to 963 state, local and tribal agencies and organizations. Eleven Maine jurisdictions have received a total of over $4 million. A list of all awards can be found here.
“My hope is that this grant will help Bangor combat the coronavirus that has so disrupted our lives,” U.S. Attorney Frank said in announcing the grant.
The Coronavirus Aid, Relief and Economic Security, or CARES, Act gives jurisdictions considerable latitude in the use of funds for dealing with COVID-19. Potential uses include hiring personnel, paying overtime, purchasing protective equipment and distributing resources to hard-hit areas. Funds may also be used to help correctional facilities cover costs related to COVID-19, including, but not limited to, sanitation, contagion prevention and measures designed to address the related medical needs of inmates, detainees and correctional personnel.
Today is the deadline for jurisdictions to apply for grants. OJP will fund successful applicants on a rolling basis as it receives applications. Grantees may apply the funds retroactively to January 20, 2020, subject to federal rules.
Agencies that were eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for the emergency funding. A complete list of eligible jurisdictions and their allocations is available at https://bja.ojp.gov/program/fy20-cesf-allocations. More information is at https://bja.ojp.gov/funding/opportunities/bja-2020-18553.
OJP, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information is at www.ojp.gov.
Attorney General William P. Barr's Statement on the Death of Mr. George FloydRead the Press Release
Attorney General William P. Barr has issued the following statement:
“The video images of the incident that ended with the death of Mr. Floyd, while in custody of Minneapolis police officers, were harrowing to watch and deeply disturbing. The state prosecutor has been in the process of determining whether any criminal charges are appropriate under state law. On a separate and parallel track, the Department of Justice, including the FBI, are conducting an independent investigation to determine whether any federal civil rights laws were violated. Both state and federal officers are working diligently and collaboratively to ensure that any available evidence relevant to these decisions is obtained as quickly as possible. Under our system, charging decisions must be, and will be, based on the law and facts. This process is proceeding quickly. As is the typical practice, the state’s charging decisions will be made first. I am confident justice will be served.”
Amarillo Convenience Store Owner Sentenced to More Than 12 Years for Drug TraffickingRead the Press Release
An Amarillo convenience store owner and drug trafficker was sentenced to 151 months in federal prison for his role in distributing synthetic cannabinoids, also known as “K-2” or “spice,” announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Phouphet Sayasane, 43, a.k.a. “Phet” pleaded guilty in December 2019 to distributing and possessing with intent to distribute a controlled substance.
According to court documents, Sayasane owned and or assisted in operating a network of convenience stores and “smoke shops” around the Amarillo area where he and co-defendants sold illegal synthetic cannabinoids.
According to the DEA, “K-2” and “spice” are two of the many street names for synthetic cannabinoids which are human-made, mind-altering chemicals developed to mimic the effects of delta9-tetrahydrocannabinol (THC), the main active ingredient of marijuana. Synthetic cannabinoids – which can cause increased heart rate, seizures, vomiting, agitation, hallucinations, and other symptoms – are typically marketed in rectangular, heat-sealed packets with brightly colored wording and street names to add appeal.
Sayasane, and co-defendants, Paul Vang, 46, Krystal Vang, 43, Danny Vorasane, 31, Terry Morgan, 57, and Andrew Rodriguez, 35, most commonly sold synthetic cannabinoids to customers in one-gram and five-gram packages, often labelled as “aroma therapy.”
In plea papers, Sayasane admitted to supplying bulk amounts of “K-2” directly to other convenience stores and “smoke shops” in Amarillo including those of Paul Vang and Krystal Vang.
Through the network of convenience stores, Sayasane illegally distributed in excess of three kilograms of K-2 into the Amarillo community.
Other co-defendants also received the following sentences for their involvement: Paul Vang, 51 months, Krystal Vang, 46 months, Danny Vorasane, 37 months, Terry Morgan, 27 months, and Andrew Rodriguez, probation.
This investigation was led by the Drug Enforcement Administration, with the assistance of Homeland Security Investigations, the Amarillo Police Department, the Potter County Sheriff’s Office, the Randall County Sheriff’s Office, and the Texas Department of Public Safety. Assistant U.S. Attorney Sean Long is prosecuting this case. U.S. District Judge Matthew Kacsmaryk handed down the sentence.
28 May 2020
U.S. Attorney warns public of COVID-19 contact tracing fraudsRead the Press Release
BILLINGS—U.S. Attorney Kurt Alme today warned Montanans to be aware of COVID-19 contact tracing scams in which someone steals personal identifying information while posing as a government or health care representative.
The Department of Justice is getting reports that contact tracing fraud is an emerging nationwide scam. Contact tracing is a process to help stop the spread of the coronavirus by identifying people who have come into contact with someone who has tested positive for COVID-19 and instructing them to quarantine and monitor symptoms.
"Don't be fooled by imposter tracers. Scammers calling or texting and saying, 'I'm with the health department and I need your Social Security number or bank account information…' have been effective at stealing personal identification information. A legitimate contact tracer will not ask for money or information like your Social Security number or bank account number. During this time, stay healthy and keep your money safe," U.S. Attorney Alme said.
For more information about COVID-19 contact tracing scams and tips to protect yourself from identity theft and financial fraud, visit the Federal Trade Commission at: https://www.consumer.ftc.gov/blog/2020/05/covid-19-contact-tracing-text-message-scams.
To report COVID-19 related frauds, contact the National Center for Disaster Fraud at 866-720-5721 or [email protected].
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U.S. Attorney J. Douglas Overbey Announces $36,299 Award to Address COVID-19 Pandemic in TennesseeRead the Press Release
Knoxville, Tenn. – U.S. Attorney J. Douglas Overbey of the Eastern District of Tennessee today announced that the Washington County Sheriff’s Office received $36,299 in Department of Justice grants to respond to the public safety challenges posed by the outbreak of COVID-19.
The grant is available under the Coronavirus Emergency Supplemental Funding program, authorized by the recent stimulus legislation signed by President Trump. Other jurisdictions can determine if they are eligible for funds and may apply immediately by visiting this website. The Justice Department is moving quickly, awarding grants on a rolling basis and aiming to have funds available for drawdown as soon as possible after receiving applications.
“As this country continues to fight COVID-19, our office remains committed to deterring, investigating, and prosecuting those who seek to take advantage of the COVID-19 pandemic. This funding will help many of the communities struggling in these trying times and provide some much-needed relief to our district,” said U.S. Attorney Overbey.
“The outbreak of COVID-19 and the public health emergency it created are sobering reminders that even the most routine duties performed by our nation’s public safety officials carry potentially grave risks,” said Katharine T. Sullivan, Principal Deputy Assistant Attorney General for the Office of Justice Programs. “These funds will provide hard-hit communities with critical resources to help mitigate the impact of this crisis and give added protection to the brave professionals charged with keeping citizens safe.”
The law gives jurisdictions considerable latitude using these funds for dealing with COVID-19. Potential uses include hiring personnel, paying overtime, purchasing protective equipment, distributing resources to hard-hit areas and addressing inmates’ medical needs.
Agencies eligible for the fiscal year 2019 State and Local Edward Byrne Memorial Justice Assistance Grant Program are candidates for the emergency funding. Local units of government and tribes will receive direct awards separately according to their jurisdictions’ allocations.
The Office of Justice Programs, directed by Principal Deputy Assistant Attorney General Katharine T. Sullivan, provides federal leadership, grants, training, technical assistance and other resources to improve the nation’s capacity to prevent and reduce crime, assist victims and enhance the rule of law by strengthening the criminal and juvenile justice systems. More information about OJP and its components can be found at www.ojp.gov.
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U.S. Attorney Hosts Roundtable on Human Trafficking in Northern Va.Read the Press Release
ALEXANDRIA, Va. – United States Attorney G. Zachary Terwilliger today hosted a virtual law enforcement roundtable aimed at combatting human trafficking in Northern Virginia.
“Human trafficking is modern day slavery,” said Terwilliger. “As someone who personally investigated and prosecuted these cases earlier in my career, there is no more just prosecution than holding accountable those who would sell, sexually and physically exploit, and ultimately discard a human being.”
The roundtable included law enforcement partners from the U.S. Attorney’s Office; FBI; U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI); Department of Labor, Office of Inspector General; and Department of State, Diplomatic Security Service.
Morris Parker, Assistant U.S. Attorney and Chief of the Major Crimes Unit at EDVA, led the discussion of EDVA’s strategic plan on human trafficking, which primarily focuses on: 1) The identification of human trafficking victims; 2) Identification and prosecution of human traffickers; and, 3) Improving intelligence, information sharing, and coordination amongst law enforcement to ensure that we are rescuing victims, disrupting trafficking schemes, and holding traffickers accountable as quickly as possible.
The discussion of the strategic plan was followed by a presentation on trends in human trafficking investigations led by Assistant U.S. Attorney Maureen C. Cain, EDVA’s Human Trafficking Coordinator and Chair of the Law Enforcement Committee for the Northern Virginia Human Trafficking Task Force. A leading expert, Cain was honored in 2019 with the Top Prosecutor Award by Women in Federal Law Enforcement Foundation for her work in combatting human trafficking.
Specific trends in human trafficking that were discussed included: Law enforcement focus on repeat runaways who are particularly vulnerable and susceptible to human trafficking; targeting of runaway girls by MS-13, and multiple reports to law enforcement of MS-13 sex trafficking young girls and beating them with baseball bats; law enforcement focus on the demand side of human trafficking on the internet, including law enforcement undercover operations involving the advertising of sex with minor victims.
The day concluded with a presentation by Cain and Assistant U.S. Attorney Raizza Ty, EDVA’s Border Security Coordinator, on some of the challenges of forced labor investigations including; identification of particular industries that are susceptible to labor trafficking, such as farming and service-related industries; educating law enforcement to recognize forced labor indicators; victims are often foreign nationals in the country on a work visa, and traffickers have control of the victim’s passport, and use it to control the victim.
Combatting human trafficking, primarily juvenile sex trafficking, has been a priority for EDVA for the last decade. Terwilliger, in his previous capacity as an Assistant U.S. Attorney, was part of an original human trafficking group that specifically targeted and dismantled MS-13 juvenile sex trafficking conspiracies. He also served as an adjunct professor at George Washington University’s Elliott School of International Affairs where he taught an advanced course on human trafficking. Terwilliger currently serves as a member of the Law Enforcement Advisory Committee for the world renowned National Center for Missing and Exploited Children (NCMEC). This prior experience has informed Terwilliger and EDVA’s continued prioritization of combatting human trafficking in EDVA.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia.
Two KC Men Indicted for Bank Robbery ConspiracyRead the Press Release
KANSAS CITY, Mo. – Two Kansas City, Missouri, men have been indicted by a federal grand jury for their roles in a conspiracy to rob two banks.
Desmand W. McDaniel, 27, and Joshua J. Parker, 28, were charged in a three-count indictment returned by a federal grand jury on Wednesday, May 27. The indictment replaces a federal criminal complaint that was filed against McDaniel and Parker on March 12, 2020.
The federal indictment alleges that McDaniel and Parker participated in a conspiracy to commit bank robberies from Feb. 3 to March 11, 2020. The indictment also charges McDaniel and Parker together in two counts of bank robbery.
McDaniel and Parker allegedly stole $11,026 from First Federal Bank of Kansas City, 9330 E. Gregory Boulevard, Raytown, Missouri, on Feb. 22, 2020.
McDaniel and Parker allegedly stole $10,085 from First Federal Bank of Kansas City, 3500 S. Noland Road, Independence, Missouri, on March 11, 2020. According to an affidavit filed in support of the original criminal complaint, each of the men approached a teller station and demanded cash. McDaniel allegedly approached a teller and demanded, “Give me all of your money.” The teller said she was afraid and complied with his demands; she told investigators he was “aggressive” and told her to “hurry up.” Parker allegedly approached another teller and told her to “hand over the money.” He held his hand in his pocket, which made her believe he may have a gun. She turned over the money from her teller drawer. McDaniel and Parker then ran out of the bank.
An eyewitness at the intersection of 35th Street and Noland Road noticed McDaniel and Parker run out of First Federal Bank, dropping money while they ran, and believed the bank was being robbed. The eyewitness saw them get into a black GMC SUV; the eyewitness started following them and called 911 to report the suspicious activity. McDaniel, who was driving the vehicle, led police officers on a high-speed pursuit through Independence, Raytown, Kansas City, Mo., and Kansas City, Kansas. Multiple police agencies became involved, including a Kansas City, Mo., police helicopter. McDaniel and Parker traveled in excess of 100 miles per hour, weaving into oncoming traffic. Their vehicle died near the 7-Eleven convenience store at the intersection of 95th Street and Antioch Road in Overland Park, Kansas. McDaniel and Parker fled from the vehicle but were apprehended and arrested after a foot chase.
The charges contained in this indictment are simply accusations, and not evidence of guilt. Evidence supporting the charges must be presented to a federal trial jury, whose duty is to determine guilt or innocence.
This case is being prosecuted by Assistant U.S. Attorney Emily A. Morgan. It was investigated by the FBI, the Independence, Mo., Police Department, the Kansas City, Mo., Police Department, the Overland Park, Kan., Police Department, the Raytown, Mo., Police Department, and the Grandview, Mo., Police Department.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
Tomato Plant Corporation Sentenced in O’Neill Harboring CaseRead the Press Release
United States Attorney Joe Kelly announced that O’Neill Ventures, Inc., a tomato greenhouse and packing plant located in O’Neill, Nebraska, was sentenced on Wednesday, May 27, 2020 for their role in a conspiracy to harbor undocumented aliens with Juan Pablo Sanchez-Delgado. Chief United States District Judge John M. Gerrard handed down the sentence. The corporation was sentenced to a fine of $400,000 due immediately. The maximum fine authorized by law for this offense is $500,000. The ordered fine exceeded the recommended sentencing guidelines range of $70,000 to $140,000. Chief Judge Gerrard found that the higher fine amount was warranted due to the conditions at the tomato plant for its workers. In addition, the corporation must allow Homeland Security Investigations to conduct reviews and inspections of their labor practices and hiring processes during a probationary term as outlined in the agreement.
On August 8, 2018, agents and officers with Immigration and Customs Enforcement executed a search warrant at O’Neill Ventures, Inc., and found that undocumented alien workers comprised approximately 70% of the company’s work force on that date.
This case was investigated by Immigration and Customs Enforcement and Homeland Security Investigations.
Thirteen Individuals Charged for Their Involvement in Six Fatal Opioid Overdoses Across Hillsborough, Pasco, and Pinellas CountiesRead the Press Release
Tampa, FL – United States Attorney Maria Chapa Lopez announces the return of six indictments and one arrest pursuant to a criminal complaint charging 13 individuals for their roles in six fatal opioid overdoses. The indictments also notify the defendants that the United States intends to forfeit any assets that are alleged to be traceable proceeds of the offense. The indictments were returned on May 20 and 27, 2020. The arrest pursuant to the criminal complaint took place on March 30, 2020.
INDICTMENT 1
Name
Age, Residence
Charges and Maximum Penalties
Jared Collins
26, Wesley Chapel
Possession with the intent to distribute and distribution of fentanyl resulting in death; possession with the intent to distribute and distribution of fentanyl.
Minimum mandatory term of 20 years, up to life, in federal prison for the conduct resulting in death; and a maximum of 20 years in federal prison for the other offense.
INDICTMENT 2
Kimberly Fleer
27, Seffner
Possession with the intent to distribute and distribution of fentanyl and heroin resulting in death; distribution and possession with the intent to distribute heroin and fentanyl.
Minimum mandatory term of 20 years, up to life, in federal prison for the conduct resulting in death; and a maximum of 20 years in federal prison for the other counts.
INDICTMENT 3
Justin Lebarron
27, New Port Richey
Conspiracy to distribute fentanyl and methamphetamine resulting in death; distribution and possession with the intent to distribute fentanyl and methamphetamine resulting in death; possession with the intent to distribute fentanyl; maintaining a drug premise.
Mandatory term of 20 years, up to life, in federal prison for the counts alleging death and a maximum of 20 years in federal prison for the remaining counts.
Brittney Smith
29, New Port Richey
Conspiracy to distribute fentanyl and methamphetamine resulting in death; distribution and possession with the intent to distribute fentanyl and methamphetamine resulting in death; maintaining a drug premise.
Minimum mandatory term of 20 years, up to life, in federal prison for the counts alleging death and a maximum of 20 years in federal prison for the remaining count.
Vincent Sanchez
34, New Port Richey
One count of being an accessory after the fact to a drug conspiracy and drug distribution resulting in death.
Maximum penalty of 15 years in federal prison.
Michael Phelps
44, Port Richey
One count of being an accessory after the fact to a drug conspiracy and drug distribution resulting in death.
Maximum penalty of 15 years in federal prison.
Krystin Horner
31, Port Richey
One count of being an accessory after the fact to a drug conspiracy and drug distribution resulting in death.
Maximum penalty of 15 years in federal prison.
INDICTMENT 4
Thomas Lynch
57, Riverview
Conspiracy to distribute fentanyl and heroin resulting in death; distribution and possession with the intent to distribute fentanyl and heroin resulting in death; possession with the intent to distribute and distribution of heroin and fentanyl.
Minimum mandatory term of 20 years, up to life, in federal prison for the conspiracy; and a maximum of 20 years in federal prison for the other counts.
Shawn Ryno
31, Riverview
Conspiracy to distribute fentanyl and heroin resulting in death; distribution and possession with intent to distribute fentanyl and heroin resulting in death.
Minimum mandatory term of 20 years, up to life, in federal prison for both counts.
Christina O’Brien
36, Riverview
Conspiracy to distribute fentanyl and heroin resulting in death; distribution and possession with the intent to distribute fentanyl and heroin resulting in death.
Minimum mandatory term of 20 years, up to life, in federal prison for both counts.
INDICTMENT 5
Isaiah Reed
31, Tampa
Distribution and possession with the intent to distribute fentanyl and heroin.
Maximum term of 20 years in federal prison.
INDICTMENT 6
Jarran Riley
34, Clearwater
Distribution and possession with the intent to distribute fentanyl and heroin resulting in death; possession with the intent to distribute and distribution of fentanyl and cocaine.
Minimum mandatory term of 20 years, up to life, in federal prison for the conduct resulting in death; and a maximum of 20 years in federal prison for the other counts.
ARRESTED BY CRIMINAL COMPLAINT
Jack Rice
35, St. Petersburg
Possession with the intent to distribute fentanyl, cocaine, and methamphetamine; possession of a firearm by a convicted felon.
Maximum term of 20 years in federal prison.
An indictment 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 cases against Collins (Indictment 1), Lebarron et al (Indictment 3), Rice (Criminal Complaint), and Riley (Indictment 6) were investigated by the Drug Enforcement Administration, the United States Secret Service, the Pinellas County Sheriff’s Office, the Pasco Sheriff’s Office, the Clearwater Police Department, the Pinellas Park Police Department, and the St. Petersburg Police Department as part of an Organized Crime Drug Enforcement Task Force (OCDETF) investigation. The principal mission of the OCDETF program is to identify, disrupt, and dismantle the most serious drug trafficking and money laundering organizations and those primarily responsible for the nation’s drug supply.
The cases against Fleer (Indictment 2), Lynch et al (Indictment 4), and Reed (Indictment 5) were investigated by Homeland Security Investigations and the Hillsborough County Sheriff’s Office as part of the Middle District of Florida’s anti-opioid strategy to combat opioid trafficking and abuse.
All cases will be prosecuted by Assistant United States Attorneys Dan Baeza and Diego Novaes.
The United States Attorney’s Office for the Western District of Texas Redoubles Its Efforts to Combat Sexual Harassment in Housing During the COVID-19 PandemicRead the Press Release
U.S. Attorney John F. Bash is asking that anyone who has witnessed or is a victim of sexual harassment at the hands of an owner, property manager, maintenance worker or any other individual who has control over housing to report that conduct to the Department of Justice. The U.S. Attorney’s Office for the Western District of Texas will work closely with state and local partners to identify incidents of sexual harassment in housing.
“I am proud that the Department of Justice has prioritized the fight against sexual harassment in housing. My office will act aggressively against such violations of federal law and fundamental decency,” stated U.S. Attorney Bash.
The COVID-19 pandemic has impacted the ability of many people to pay their rent on time and has increased the lack of home security. The Justice Department has received reports that housing providers are trying to take advantage of the crisis to sexually harass tenants. Sexual harassment in housing is illegal and the Department of Justice is prepared to investigate such allegations and pursue, where appropriate, law enforcement measures.
The Department of Justice's Home Sexual Harassment Initiative is an effort to combat sexual harassment in housing led by the Civil Rights Division, in collaboration with federal prosecutors across the country. The Initiative aims to address sexual harassment by homeowners, property managers, maintenance workers, lenders, or others who control housing.
Since its launch in 2017, the Initiative has filed lawsuits across the country, alleging a pattern or practice of sexual harassment in housing and has recovered millions of dollars in damages for victims of harassment. Justice Department investigations often reveal cases of sexual harassment that have persisted for years. Many individuals do not know that being harassed by a housing provider may be a violation of federal laws or that the Department of Justice could help.
Through the Civil Rights Division and Federal Prosecutors' Offices, the Department of Justice enforces the Fair Housing Act, which prohibits discrimination in housing based on race, skin color, religion, sex, family status, national origin, or disability. Sexual harassment is a form of sex discrimination that the Act prohibits. The Department encourages anyone who has been sexually harassed in the home or who knows someone who has been sexually harassed to contact the Civil Rights Division by telephone at (844) 380-6178 or by email to [email protected].
Individuals who believe they have been victims of discrimination may also contact the nearest U.S. Attorney’s Office for the Western District of Texas by calling: San Antonio—(210) 384-7100; Austin—(512) 916-5858; El Paso—(915) 534-6884; Midland—(432) 686-4110; Del Rio—(830) 703-2025; Alpine—(432) 837-7332; or Waco—(254) 750-1580. A complaint alleging sexual harassment or housing discrimination may also be filed with the Department of Housing and Urban Development (HUD) through the HUD website (https://www.hud.gov/program_offices/fair_housing_equal_opp/online-complaint) or by calling (800) 669-9777.
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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.
Rogersville Man Sentenced to 15 Years on Methamphetamine and Firearm ChargesRead the Press Release
Greeneville, Tenn. – On May 26, 2020, Anthony Dwayne Sensabaugh, 33, currently of Rogersville, was sentenced by the Honorable Clifton L. Corker, in the United States District Court for the Eastern District of Tennessee at Greeneville.
Sensabaugh pleaded guilty to possession with the intent to distribute methamphetamine and possession of a firearm in furtherance of a drug trafficking crime. Sensabaugh was sentenced to 180 months in prison, followed by five years of supervised release.
In 2017, the Third Judicial District’s Drug Task Force (DTF) made controlled purchases of methamphetamine and heroin from Sensabaugh. As a result, the DTF and Hawkins County Sheriff’s Office executed a search warrant on Sensabaugh’s residence. During the authorized search, law enforcement officers were able to recover 17.93 grams of heroin, 14.12 grams of a cocaine-base substance, 14.83 grams of cocaine, 52.24 grams of methamphetamine, 33.36 grams of marijuana, and a loaded .25 caliber pistol.
On February 4, 2019, deputies of the Hawkins County Sheriff’s Office arrested Sensabaugh for another offense. During an interview, Sensabaugh admitted to the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) agents and Hawkins County Sheriff’s Office that he frequently made purchases of methamphetamine in actual quantities of four to eight ounces weekly prior to the search warrant executed back in 2017.
“Our office fully supports our law enforcement partners’ investigative efforts to address the resurgence of heroin and other drugs within our region. The U.S. Attorney’s Office will continue to prosecute individuals involved in the illegal drug and weapon activities that continue to plague our state,” said U.S. Attorney J. Douglas Overbey.
“Utilizing two of the DOJ’s national strategies to prevent crime, Project Guardian and Project Safe Neighborhood, this joint collaboration between local, state, and federal partners helped to ensure there is one less gun on the streets that can be used to perpetuate criminal activity. This focused investigation and future investigations like it will have a lasting impact within our community,” ATF Acting Special Agent in Charge Frank Haera stated.
“This is a great example of local and federal law enforcement agencies working closely to eradicate dangerous drug dealers out of our communities. The drug dealer’s residence was located across the street from a middle school, which jeopardized the safety and well-being of school staff and its students,” said Sheriff Ronnie Lawson of the Hawkins County Sheriff’s Office.
The criminal indictment resulted from an investigation by the Hawkins County Sheriff’s Office, the Third Judicial District’s Drug Task Force, and ATF.
Assistant U.S. Attorney Todd Martin represented the United States in court.
This case was brought as part of Project Safe Neighborhoods (“PSN”), a comprehensive national strategy that creates local partnerships with law enforcement agencies to effectively enforce existing gun laws. It provides more options to prosecutors, allowing them to utilize local, state, and federal laws to ensure that criminals who commit gun crime face tough sentences. PSN gives each federal district the flexibility it needs to focus on individual challenges that a specific community faces.
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, please visit this site: https://www.justice.gov/projectguardian.
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Piggly Wiggly in Lafayette, Tennessee Settles Americans with Disabilities Act ComplaintRead the Press Release
NASHVILLE, Tenn –May 28, 2020 - A Piggly Wiggly grocery store in Lafayette, Tennessee and its proprietor have agreed to adopt written non-discrimination policies and to pay a monetary amount to a disabled woman to resolve allegations that they violated the Americans with Disabilities Act (ADA), announced Don Cochran, United States Attorney for the Middle District of Tennessee.
The settlement resolves allegations made by a disabled woman attempting to shop at her local Piggly Wiggly store. According to the complaint, the woman, with the assistance of her service animal, and her family, were shopping for groceries when the store’s proprietor ordered her out of the store. When the woman and her family attempted to explain her service animal’s protected status under the ADA, the proprietor called the police.
As a result of this investigation, Piggly Wiggly has adopted written ADA policies that require all employees to be trained regarding the rights of disabled individuals utilizing service animals. Piggly Wiggly is required to post its new policies so that they are accessible to the public and the store is subject to audit to ensure compliance with the settlement.
This case is a product of the United States Attorney’s Office’s continued commitment to protecting rights guaranteed under the ADA.
Assistant United States Attorney Dean S. Atyia handled this matter on behalf of the United States.
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Niskayuna Man Pleads Guilty to Stealing Trade Secrets from GERead the Press Release
ALBANY, NEW YORK – Yang Sui, age 42, of Niskayuna, New York, pled guilty today to stealing trade secrets belonging to the General Electric Company.
The announcement was made by Assistant Attorney General for National Security John C. Demers; United States Attorney Grant C. Jaquith; and Thomas F. Relford, Special Agent in Charge of the Albany Field Office of the Federal Bureau of Investigation (FBI).
As part of his guilty plea, Sui admitted that between 2015 and 2017, he stole multiple electronic files pertaining to the research, design, and manufacture of silicon carbide MOSFETs (metal-oxide semiconductor field-effect transistors). Silicon carbide MOSFETs are used in a variety of GE’s parts and products, including aviation equipment and wind turbines.
United States District Judge Mae A. D’Agostino will sentence Sui on September 22, 2020. Sui faces up to 10 years in prison, a maximum fine of $250,000 or up to twice the value of the pecuniary gain to him from the crime, and up to 3 years of supervised release. A sentence is imposed by a judge based on the particular statute the defendant is charged with violating, the U.S. Sentencing Guidelines, and other factors.
This case was investigated by the FBI, and is being prosecuted by Assistant U.S. Attorney Rick Belliss and National Security Division Trial Attorney Matthew Chang.
Niagara Falls Man Arrested on Multiple Charges Including Possession of Ecstasy and A FirearmRead 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 Verquan Jackson, 32, of Niagara Falls, NY, was arrested and charged by criminal complaint with possessing with intent to distribute MDMA, a/k/a Ecstasy, possession of a firearm in furtherance of a drug trafficking crime, and maintaining a premises for drug use and distribution. The charges carry a maximum penalty of 25 years in prison and a $1,000,000 fine.
Assistant U.S. Attorney Charles E. Watkins, Jr., who is handling the case, stated that according to the complaint, on February 13, 2020, the United States Postal Inspection Service was notified about a box that was shipped from California to Niagara Falls breaking open during transit. Inside the box, which was addressed to Jackson at his 65th Street residence, were approximately 41 lbs. of 2 oz. individual narcotics distribution baggies.
Subsequently, on April 8 and May 19, 2020, search warrants were executed on packages addressed to the defendant’s residence but in the names of B. Jackson and Jane Brown. One package contained approximately 695 grams of suspected marijuana and paraphernalia. The other package contained approximately 652 grams of multicolored pills containing MDMA and fentanyl.
On May 21, 2020, the package containing the MDMA was delivered to Jackson’s residence. A short time later, investigators executed a search warrant inside the residence. They recovered a 9mm firearm; five digital scales; a box of plastic sandwich baggies; clear plastic bags containing a tan powdery substance; designer drug packaging bags; and multiple clear plastic bags containing suspected marijuana.
Jackson made an initial appearance before U.S. Magistrate Judge H. Kenneth Schroeder and was released on conditions.The criminal complaint is the culmination of an investigation by the United States Postal Inspection Service, under the direction of Inspector-in-Charge Joseph W. Cronin of the Boston Division; the Drug Enforcement Administration, under the direction of Special Agent-in-Charge Ray Donovan, New York Field Division; and the Niagara Falls Police Department, under the direction of Superintendent Thomas Licata.
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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Middlebrook Man Sentenced on Drug Conspiracy ChargeRead the Press Release
HARRISONBURG, VIRGINIA – John William Hooser III, a Middlebrook, Va., man who conspired with others to distribute methamphetamine, was sentenced today in U.S. District Court in Harrisonburg to 60 months in federal prison. United States Attorney Thomas T. Cullen and Drug Enforcement Administration Special Agent in Charge Jesse Fong made the announcement today
In October 2019, Hooser, 33, pleaded guilty to one count of conspiracy to distribute 500 grams or more of methamphetamine, one count of possessing with the intent to distribute methamphetamine, and one count of being an unlawful user of a controlled substance illegally in possession of a firearm.
According to court documents, from May 2018 to August 2018, Hooser conspired with others to traffic methamphetamine from a source of supply in Oklahoma into the Western District of Virginia. Hooser has admitted to participating in transactions totaling approximately 658 grams of methamphetamine during the life of the drug distribution conspiracy.
The case was investigated by the Drug Enforcement Administration, Shenandoah County Sheriff’s Department, Augusta County Sheriff’s Department, and the Staunton Police Department. Assistant United States Attorney Jeb Terrien prosecuted the case for the United States.
Mexican Man Sentenced for Being Illegal Alien in Possession of a FirearmRead the Press Release
NEW ORLEANS, LOUISIANA – United States Attorney Peter G. Strasser announced that JUAN SANTOS PEREZ-ZAVALA, age 25, a native of Mexico, was sentenced by on May 26, 2020 on a one-count indictment which charged him with being an illegal alien in possession of a firearm, in violation of Title 18, United States Code, Section 922(g)(5)(A). ZAVALA was sentenced to credit for time served by U.S. District Judge Wendy B. Vitter. ZAVALA has been incarcerated since April 2019.
According to court documents, ZAVALA was an illegal alien in possession of a firearm on April 16, 2019, found in the Eastern District of Louisiana. Court documents also alleges he illegally possessed a Keltec model P11 9 millimeter pistol.
ZAVALA faced a maximum term of imprisonment of 10 years, a fine of $250,000, and three years of supervised release. He will be turned over to federal immigration authorities for deportation to Mexico.
U.S. Attorney Strasser praised the work of the United States Immigration and Customs Enforcement agency, the St. Tammany Parish Sheriff’s Office and 22nd Judicial District Attorney Warren Montgomery in investigating this matter. Assistant United States Attorney Carter K.D. Guice, Jr. is in charge of the prosecution.
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Meth trafficker from Utah sentenced to prisonRead the Press Release
MISSOULA—A Utah woman who had nearly two pounds of methamphetamine hidden on her body when arrested near Butte was sentenced today to four years in prison and five years of supervised release, U.S. Attorney Kurt Alme said.
Ebony Cherelle Tafoya, 31, of Midvale, Utah, pleaded guilty in January to possession with intent to distribute meth.
U.S. District Judge Dana L. Christensen presided.
The prosecution said in court documents that on Sept. 6, 2019, Tafoya was arrested outside of Butte. Law enforcement officers conducted a pat down search of Tafoya and found 520 grams, which is about 1.1 pounds, of meth in a belly band. Another 333 grams, or about three-quarters of a pound, was found hidden in Tafoya's bra and chest area at the Butte-Silver Bow Detention Center. The amount of meth seized was the equivalent of about 7,248 doses. Tafoya previously had distributed large quantities of meth to a confidential source in August 2019.
Assistant U.S. Attorney Tom Bartleson prosecuted the case, which was investigated by the Drug Enforcement Administration, the Russell Country Drug Task Force, the Montana Southwest Drug Task Force, the Montana Highway Patrol and the Montana Department of Corrections.
This case is part of Project Safe Neighborhoods, a U.S. Department of Justice initiative to reduce violent crime. According to the FBI’s Uniform Crime Reports, violent crime in Montana increased by 36% from 2013 to 2018. Through PSN, federal, tribal, state and local law enforcement partners in Montana focus on violent crime driven by methamphetamine trafficking, armed robbers, firearms offenses and violent offenders with outstanding warrants.
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Media Advisory: Press Availability to Announce Investigation and Prosecution of over Twenty Defendants for Trafficking HeroinRead the Press Release
CEDAR RAPIDS, IA – Opioids kill hundreds of Iowans every year. These dangerous drugs wreak havoc on lives and communities. Unfortunately, all too often, the use of an opioid such as heroin ends with an overdose because people do not know what they have or how dangerous it is.
On June 1, 2020, at 11:00 a.m., the United States District Court for the Northern District of Iowa will sentence Jarel Williams for his role in trafficking heroin. He will be the 22nd defendant sentenced over the last 20 months for their roles in distributing this dangerous drug. These prosecutions were the result of Operation Blue Devils, an investigation conducted by the Cedar Rapids Police Department and the Drug Enforcement Administration. Following the sentencing, the United States Attorney will issue a press release regarding the investigation and prosecutions. Additionally, United States Attorney Peter Deegan, CRPD Chief of Police Wayne Jerman, CRPD Lieutenant Bob Collins (commander of the narcotics unit), CRPD Officer Lindsay Powers (assigned to the Eastern Iowa Heroin Initiative), and DEA Resident Agent-in-Charge Russ Coulter will all be available for interviews regarding the investigation and prosecutions.
Event Details
When: June 1, 2020
Where: Cedar Rapids Federal Courthouse (United States Attorney’s Office), 111 7th Ave. SE
Time: Sentencing Hearing scheduled for 11:00 a.m. Interview availability after the conclusion of the sentencing hearing.
Please contact Tony Morfitt at [email protected] or 319-363-6333 to schedule interviews.
Follow us on Twitter @USAO_NDIA.
Manhattan Doctor Sentenced to Prison for Illegally Distributing Oxycodone and Other DrugsRead the Press Release
Geoffrey S. Berman, United States Attorney for the Southern District of New York, announced that JOSEPH OLIVIERI, a physician who practiced in Manhattan, was sentenced to 40 months in prison for participating in a scheme to illegally distribute oxycodone and other controlled substances. OLIVIERI previously pled guilty before U.S. District Judge Paul A. Crotty, who also imposed today’s sentence. Matthew Brady, OLIVIERI’s co-defendant, was previously sentenced to 36 months in prison for his role in the same scheme.
U.S. Attorney Geoffrey S. Berman said: “Joseph Olivieri hid behind his medical license to sell addictive, dangerous narcotics. In doing so, he violated his oath to practice medicine for the sole purpose of improving his patients’ health, and put peoples’ lives at risk to line his own pockets. He now will serve time in prison for his crimes.”
According to the Superseding Indictment, public court filings, and statements made during court proceedings:
OLIVIERI, a physician who practiced in New York, New York, participated in a five-year-long scheme to illegally distribute oxycodone and other controlled substances. OLIVIERI was one of the top 15 prescribers of opioids in New York State during much of the scheme. He prescribed over 250,000 pills of controlled substances, including highly addictive opioids such as oxycodone, oxymorphone, and morphine sulfate, to individuals he knew did not have a legitimate medical need for them. OLIVIERI was paid in cash for these prescriptions, often by other individuals, including co-defendant Brady, who arranged with OLIVIERI for individuals posing as “patients” to obtain the prescriptions from OLIVIERI, and then collected the pills for their unlawful re-sale. OLIVIERI deposited more than $1 million in cash into his bank accounts during the scheme.
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OLIVIERI, 73, of Scranton, Pennsylvania, pled guilty to one count of conspiracy to distribute controlled substances outside the scope of professional practice and not for a legitimate medical purpose. In addition to the prison term, OLIVIERI was sentenced to three years of supervised release and ordered to forfeit $500,000.
Brady, 35, of Staten Island, New York, pled guilty to one count of conspiracy to unlawfully distribute controlled substances. In addition to the prison term, Brady was sentenced to three years of supervised release and ordered to forfeit $100,000.
Mr. Berman praised the outstanding investigative work of the New York City Police Department, Homeland Security Investigations, the Federal Bureau of Investigation, and the Office of Inspector General of the United States Department of Health and Human Services.
The case is being handled by the Office’s Narcotics Unit. Assistant U.S. Attorneys Tara La Morte, Robert B. Sobelman, and Daniel C. Richenthal are in charge of the prosecution.