Latest Records
Newest first across public DOJ and U.S. Attorney press releases.
Thursday 5 March 2020
Toledo man charged with possessing a firearm after prior felony and domestic violence convictionsRead the Press Release
Terrell Moses, 36, of Toledo, Ohio was indicted on one count of felon in possession of a firearm and one count of possession of a firearm by a person with a prior misdemeanor of domestic violence conviction.
On January 20, 2020, Moses allegedly possessed a Glock, Model 17, nine caliber semi-automatic pistol after previously being convicted of burglary in the Lucas County Common Pleas Court and misdemeanor domestic violence in the Toledo Municipal Court.
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal records, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
The investigation was conducted by the Bureau of Alcohol, Tobacco and Firearms. The case is being prosecuted by Assistant United States Attorneys Deyana Unis and Matthew Simko.
Three Correction Officers Arrested for Taking Bribes to Smuggle Drugs and Other Contraband into Private JailRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Guido Modano, Special Agent in Charge of the New York Field Office of the Department of Justice Office of the Inspector General (“DOJ OIG”), announced today the unsealing of a Complaint in Manhattan federal court charging corrections officers JERMAINE HARMON, a/k/a “Mel,” KHARI FAISON, a/k/a “Country,” and COMPTON RICHMOND, a/k/a “Rich,” with taking bribes in exchange for smuggling contraband into a private detention facility in Queens, New York, which houses federal inmates pursuant to a contract with the United States Marshals Service (the “Jail”).
Manhattan U.S. Attorney Geoffrey S. Berman said: “As alleged, these correction officers abused the power entrusted to them and compromised the safety of the very institution they swore to protect by taking bribes in exchange for smuggling contraband to the inmates in their custody. We remain committed to rooting out corruption anywhere it takes hold – from the halls of power to the corridors of our correctional facilities.”
DOJ OIG Special Agent in Charge Guido Modano said: “The public relies on Correctional Officers to maintain order and uphold the law. Instead, these three Correctional Officers allegedly accepted bribes for smuggling drugs and cell phones into the jail, endangering their fellow Correctional Officers, staff, inmates and the public, and also jeopardizing the security of the jail facility.”
According to the allegations in the Complaint[1] unsealed today in Manhattan federal court:
HARMON, FAISON, and RICHMOND were all, at relevant times, correction officers at the Jail. As alleged, HARMON, FAISON, and RICHMOND took bribes from numerous inmates housed at the Jail in exchange for smuggling contraband to those inmates, including marijuana and, in HARMON and FAISON’s case, smokeable synthetic cannabinoids (“K2”). The bribes were funneled to HARMON, FAISON, and RICHMOND by non-incarcerated friends and relatives of the inmates either in cash or via a cellphone payment application. For example, on at least four occasions in 2019, HARMON is alleged to have received bribes from an inmate (“Inmate-1”) in exchange for smuggling marijuana and cigarettes into the Jail. HARMON warned Inmate-1 to “stay low” and “be careful” and offered Inmate-1 marijuana to assault inmates whom HARMON believed to be providing information about him, but Inmate-1 declined. On multiple occasions in 2019, HARMON took bribes from another inmate (“Inmate-2”) in exchange for smuggling marijuana, K2, and cigarettes into the Jail. On at least four occasions in 2019, FAISON is alleged to have accepted bribes from two inmates (“Inmate-8” and “Inmate-9”) in exchange for smuggling marijuana, K2, cigarettes, and a cellphone into the Jail. On at least two occasions in 2019, RICHMOND is alleged to have taken bribes from one of the same inmates who bribed FAISON (Inmate-9) in exchange for smuggling contraband, including marijuana, into the Jail. As alleged, in most instances, RICHMOND, HARMON, and FAISON obtained the contraband, including marijuana and K2, from non-incarcerated associates of the inmates; those non-incarcerated associates also paid cash bribes, either in person or via mobile applications, to RICHMOND, HARMON, and FAISON.
* * *
JERMAINE HARMON, 32, of Brooklyn, New York, KHARI FAISON, 26, of Brooklyn, New York, and COMPTON RICHMOND, 24, of Staten Island, New York, each have been charged in the Complaint with one count of conspiracy to commit bribery and to introduce contraband into prison, which carries a maximum prison term of five years, and one count of bribery, which carries a maximum prison term of 15 years.
Mr. Berman praised the investigative work of the DOJ Office of Inspector General in this investigation.
This case is being handled by the Office’s Public Corruption Unit. Assistant U.S. Attorneys Maurene Comey and Jessica Lonergan are in charge of the prosecution.
The charges contained in the Complaint are merely accusations, and the defendants are presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein constitute only allegations, and every fact described should be treated as an allegation.
Texas Man Sentenced to 7 Years in Federal Prison for Receipt of Child PornographyRead the Press Release
Fayetteville, Arkansas – David Clay Fowlkes, Acting United States Attorney for the Western District of Arkansas, announced today that Eric Eugene Portier, age 45, of Dallas, Texas, was sentenced today to 84 months in federal prison followed by fifteen years of supervised release on one count of Receipt of Child Pornography. The Honorable Timothy L. Brooks presided over the sentencing hearing in the United States District Court in Fayetteville.
According to court records in September of 2017, Investigators with Homeland Security identified Portier, through his IP address, as an individual who was making multiple files of child pornography available for download while he was living in Centerton, Arkansas. Investigators executed a federal search warrant on his residence. Through an analysis of his devices, investigators found Portier to have received and possessed over one thousand images of child pornography and several videos of child pornography. Portier was arrested in Texas, where he had moved, and brought back to face federal charges in 2019.
Portier was indicted in June of 2019 and entered a guilty plea in November of 2019.
This case was investigated by Homeland Security and officers assigned to the Internet Crimes Against Children (ICAC) Task Force in Northwest Arkansas. Assistant United States Attorney Ben Wulff prosecuted the case for the United States.
Tennessee Man Ordered Removed to Germany Based on Service as Concentration Camp Guard During WWIIRead the Press Release
A U.S. Immigration Judge in Memphis, Tennessee, has issued a removal order against a German citizen and Tennessee resident, on the basis of his service in Nazi Germany in 1945 as an armed guard of concentration camp prisoners in the Neuengamme Concentration Camp system (Neuengamme).
After a two-day trial, a U.S. Immigration Judge issued an opinion finding Friedrich Karl Berger removable under the 1978 Holtzman Amendment to the Immigration and Nationality Act because his “willing service as an armed guard of prisoners at a concentration camp where persecution took place” constituted assistance in Nazi-sponsored persecution. The court found that Berger served at a Neuengamme sub-camp near Meppen, Germany, and that the prisoners there included “Jews, Poles, Russians, Danes, Dutch, Latvians, French, Italians, and political opponents” of the Nazis. The largest groups of prisoners were Russian, Dutch and Polish civilians.
The court found that Meppen prisoners were held during the winter of 1945 in “atrocious” conditions and were exploited for outdoor forced labor, working, as at other Nazi camps, “to the point of exhaustion and death.” The court further found, and Berger admitted, that he guarded prisoners to prevent them from escaping during their dawn-to-dusk workday, and on their way to the worksites and also on their way back to the subcamp in the evening.
At the end of March 1945, with the advance of British and Canadian forces, the Nazis abandoned Meppen. The court found that Berger helped guard the prisoners during their forcible evacuation to the Neuengamme main camp – a nearly two-week trip under inhumane conditions, which claimed the lives of some 70 prisoners. The decision also cited Berger’s admission that he never requested a transfer from concentration camp guard service and that he continues to receive a pension from Germany based on his employment in Germany, “including his wartime service.”
“Berger was part of the SS machinery of oppression that kept concentration camp prisoners in atrocious conditions of confinement,” said Assistant Attorney General Brian A. Benczkowski of the Department of Justice’s Criminal Division. “This ruling shows the Department's continued commitment to obtaining a measure of justice, however late, for the victims of wartime Nazi persecution.”
“This case is but one example of U.S. Immigration and Customs Enforcement’s commitment to ensuring that the United States will not serve as a safe haven for human rights violators and war criminals,” said Assistant Director David C. Shaw of U.S Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), National Security Investigations Division, who oversees the Human Rights Violators and War Crimes Center. “We will continue to pursue these types of cases so that justice may be served.”
In 1946, British occupation authorities in Germany charged SS Obersturmführer Hans Griem, who had headed the Meppen sub-camps, and other Meppen personnel with war crimes for “ill-treatment and murder of Allied nationals.” Although Griem escaped before trial, the British court tried and convicted the three remaining defendants of war crimes in 1947.
The removal case was jointly tried by Eli Rosenbaum, HRSP Director of Human Rights Enforcement and Policy, HRSP Senior Trial Attorney Susan Masling and ICE New Orleans, Office of the Principal Legal Advisor (Memphis), with assistance from HRSP Chief Historian Jeffrey S. Richter. The investigation was initiated by the HRSP and was conducted in partnership with HSI’s Nashville SAC office.
Since the 1979 inception of the Justice Department’s program to detect, investigate, and remove Nazi persecutors, it has won cases against 109 individuals. Over the past 30 years, the Justice Department has won more cases against persons who participated in Nazi persecution than have the law enforcement authorities of all the other countries in the world combined. HRSP’s case against Berger was part of its ongoing efforts to identify, investigate and prosecute individuals who engaged in genocide, torture, war crimes, recruitment or use of child soldiers, female genital mutilation, and other serious human rights violations. HRSP attorneys prosecuted the first torture case brought in the United States and have successfully prosecuted criminal cases against perpetrators of human rights violations in Guatemala, Ethiopia, Liberia, Cuba, and the former Yugoslavia, among others.
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.
Tennessee Man Ordered Removed to Germany Based on Service as Concentration Camp Guard During WWIIRead the Press Release
WASHINGTON – A U.S. Immigration Judge in Memphis, Tennessee, has issued a removal order against a German citizen and Tennessee resident, on the basis of his service in Nazi Germany in 1945 as an armed guard of concentration camp prisoners in the Neuengamme Concentration Camp system (Neuengamme).
After a two-day trial, a U.S. Immigration Judge issued an opinion finding Friedrich Karl Berger removable under the 1978 Holtzman Amendment to the Immigration and Nationality Act because his “willing service as an armed guard of prisoners at a concentration camp where persecution took place” constituted assistance in Nazi-sponsored persecution. The court found that Berger served at a Neuengamme sub-camp near Meppen, Germany, and that the prisoners there included “Jews, Poles, Russians, Danes, Dutch, Latvians, French, Italians, and political opponents” of the Nazis. The largest groups of prisoners were Russian, Dutch and Polish civilians.
The court found that Meppen prisoners were held during the winter of 1945 in “atrocious” conditions and were exploited for outdoor forced labor, working, as at other Nazi camps, “to the point of exhaustion and death.” The court further found, and Berger admitted, that he guarded prisoners to prevent them from escaping during their dawn-to-dusk workday, and on their way to the worksites and also on their way back to the subcamp in the evening.
At the end of March 1945, with the advance of British and Canadian forces, the Nazis abandoned Meppen. The court found that Berger helped guard the prisoners during their forcible evacuation to the Neuengamme main camp – a nearly two-week trip under inhumane conditions, which claimed the lives of some 70 prisoners. The decision also cited Berger’s admission that he never requested a transfer from concentration camp guard service and that he continues to receive a pension from Germany based on his employment in Germany, “including his wartime service.”
“Berger was part of the SS machinery of oppression that kept concentration camp prisoners in atrocious conditions of confinement,” said Assistant Attorney General Brian A. Benczkowski of the Department of Justice’s Criminal Division. “This ruling shows the Department's continued commitment to obtaining a measure of justice, however late, for the victims of wartime Nazi persecution.”
“This case is but one example of U.S. Immigration and Customs Enforcement’s commitment to ensuring that the United States will not serve as a safe haven for human rights violators and war criminals,” said Assistant Director David C. Shaw of U.S Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI), National Security Investigations Division, who oversees the Human Rights Violators and War Crimes Center. “We will continue to pursue these types of cases so that justice may be served.”
In 1946, British occupation authorities in Germany charged SS Obersturmführer Hans Griem, who had headed the Meppen sub-camps, and other Meppen personnel with war crimes for “ill-treatment and murder of Allied nationals.” Although Griem escaped before trial, the British court tried and convicted the three remaining defendants of war crimes in 1947.
The removal case was jointly tried by Eli Rosenbaum, HRSP Director of Human Rights Enforcement and Policy, HRSP Senior Trial Attorney Susan Masling and ICE New Orleans, Office of the Principal Legal Advisor (Memphis), with assistance from HRSP Chief Historian Jeffrey S. Richter. The investigation was initiated by the HRSP and was conducted in partnership with HSI’s Nashville SAC office.
Since the 1979 inception of the Justice Department’s program to detect, investigate, and remove Nazi persecutors, it has won cases against 109 individuals. Over the past 30 years, the Justice Department has won more cases against persons who participated in Nazi persecution than have the law enforcement authorities of all the other countries in the world combined. HRSP’s case against Berger was part of its ongoing efforts to identify, investigate and prosecute individuals who engaged in genocide, torture, war crimes, recruitment or use of child soldiers, female genital mutilation, and other serious human rights violations. HRSP attorneys prosecuted the first torture case brought in the United States and have successfully prosecuted criminal cases against perpetrators of human rights violations in Guatemala, Ethiopia, Liberia, Cuba, and the former Yugoslavia, among others.
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.
Tax fraud: preparer convicted of filing more than $300K in fraudulent returnsRead the Press Release
CORPUS CHRISTI, Texas – A tax preparer has admitted her guilt for tax crimes involving fraudulent customer returns that happened over a four-year period, announced U.S. Attorney Ryan K. Patrick.
Jeanneth Iliana Escobedo was in the business of preparing income tax returns for clients under the name of BizTax, which began its business in Brownsville and later added offices in Harlingen and Corpus Christi.
Today, she pleaded guilty to one count of willfully aiding and assisting in the preparation of a false income tax return. That return included excessive deductions for medical expenses, unreimbursed employee expenses and other expenses. The false claims increased her refund to $15,405, more than what she was supposed to receive.
As part of the plea, she also admitted to claiming similar false items on income tax returns for other clients during income tax years 2010 through 2014 and to helping other BizTax tax preparers doing the same for their customers.
Escobedo admitted the total intended tax loss was approximately $342,000.
U.S. District Judge Nelva Gonzales Ramos will impose sentencing June 10. At that time, she faces up to three years in federal prison. She has agreed to pay the IRS $150,000 in restitution.
She was permitted to remain on bond pending that hearing.
IRS – Criminal Investigation conducted the investigation. Assistant U.S. Attorney Charles J. Escher is prosecuting the case.
Tattoo Shop Owner Pleads Guilty to Distributing Heroin and Methamphetamine on the DarknetRead the Press Release
SACRAMENTO, Calif. —Jason Keith Arnold, 46, of Chandler, Arizona, pleaded guilty today to conspiracy to distribute heroin and methamphetamine, U.S. Attorney McGregor W. Scott announced.
According to court documents, Arnold, along with co-defendants David White, 50, and Alicia McCoy, 31, both of Chandler, operated the vendor accounts “TheSickness” and “SicknessVersion2” on Dream Marketplace, through which they conducted more than 3,000 transactions for heroin and methamphetamine to customers throughout the country. Dream Marketplace was a website on the darknet that allowed individuals to sell narcotics and other illegal goods and services. Arnold and his co-conspirators mailed heroin inside Haribo Gold gummy bear packages from post offices in the Chandler region. Some of these packages were mailed to locations in the Eastern District of California.
Arnold is scheduled to be sentenced on May 11 by U.S. District Judge Morrison C. England Jr. Arnold faces a mandatory minimum sentence of 10 years in prison, a maximum statutory penalty of life in prison, and a fine of up to $10 million. The actual sentence, however, will be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables.
Charges against White and McCoy are pending. The charges are only allegations; the defendants are presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is the product of investigations by the Northern California Illicit Digital Economy (NCIDE) task force, which is composed of the Federal Bureau of Investigation, Homeland Security Investigations, the Drug Enforcement Administration, and the United States Postal Inspection Service. Assistant U.S. Attorneys Grant B. Rabenn and Paul Hemesath are prosecuting the case.
This case was brought in conjunction with the Joint Criminal Opioid Darknet Enforcement (J‑CODE) Team. Established within the FBI’s Hi-Tech Organized Crime Unit, J-CODE is a U.S. Government initiative announced in January 2018, aimed at targeting drug trafficking, especially fentanyl and other opioids, on the darknet. Building on the work initiated with the takedowns of Silk Road and AlphaBay, the FBI’s J-CODE team brings together agents, analysts, and professional staff with expertise in drugs, gangs, health care fraud, and more, and our federal, state, and local law enforcement partners from across the U.S. Government, to focus on disrupting the sale of drugs via the darknet and dismantling criminal enterprises that facilitate this trafficking.
Two Women Sentenced to over 20 Years in Prison for Armed Robberies of Taxi Cab Drivers and Gas Station Employees in MilwaukeeRead the Press Release
Matthew D. Krueger, United States Attorney for the Eastern District of Wisconsin, announced that two women and one man were sentenced to prison for their involvement in several armed robberies of taxi cab drivers and two gas stations in Milwaukee in August 2018.
On March 5, 2020, United State District Court Judge J.P. Stadtmueller sentenced Nickie Foster to 25 years in prison to be followed by five years of supervised release. Foster was convicted of committing four armed robberies of taxi cab drivers and an armed robbery at the Petro Mart gas station on Chase Avenue in Milwaukee, during which Foster shot the gas station employee in the head, causing life-threatening injury.
On October 31, 2019, Judge Stadtmueller sentenced Marquel Johnson to 28 years in prison to be followed by five years of supervised release. Johnson was convicted of committing five armed robberies of taxi cab drivers, the armed robbery of the Petro Mart, and an armed robbery of a BP gas station in downtown Milwaukee.
On December 19, 2019, Judge Stadtmeuller sentenced Martell Ford to 114 months (9 years, 6 months) in prison to be followed by three years of supervised release. Ford was convicted of committing one armed robbery of a taxi cab driver and aiding and abetting the BP gas station robbery.
With respect to the taxi cab robberies, on August 22 and August 23, 2018, Foster was the passenger in several taxi cabs when she brandished a firearm and demanded money and other items from the drivers. During the course of these robberies, Foster pointed a silver handgun at the taxi cab drivers, and, on one occasion, discharged the firearm after leaving the taxi cab. During the Petro Mart gas station robbery on August 23, 2018, Foster entered the Petro Mart with Marquel Johnson.
Foster brandished a silver handgun and proceeded to shoot the gas station employee in the head. Foster then emptied the cash from the register while Johnson took possession of the firearm and pointed it toward the gas station employee, who was on the ground. On August 25, 2018, Johnson and Martell Ford entered the BP gas station. Johnson pointed a silver handgun at the clerk and demanded money. The clerk locked the doors to the store, trapping Johnson in the store. Eventually, Johnson was able to exit the store. Later that day, after engaging in a vehicle pursuit with law enforcement, Johnson was arrested. Police officers recovered a silver handgun from Johnson when she was arrested.
This case was investigated by the FBI’s Milwaukee Area Violent Crimes Task Force and the Milwaukee Police Department. This case was prosecuted by Assistant United States Attorney Margaret B. Honrath.
# # # #
St. Albans Man Sentenced for Receipt of Child PornographyRead the Press Release
The Office of the United States Attorney for the District of Vermont stated that on March 4, 2020, Ryan Billado, 28, of St. Albans, Vermont, was sentenced in United States District Court in Rutland, Vermont, to serve 96 months in prison after his guilty plea to one count of receipt of child pornography. Chief U.S. District Judge Geoffrey W. Crawford also ordered Billado to serve a ten (10) year term of supervised release, and to pay a $100 special assessment.
According to court records and proceedings, the Vermont Internet Crimes Against Children Task Force (the ICAC) received a CyberTip from the National Center for Missing and Exploited Children (NCMEC). The CyberTip was generated after Facebook reported that child pornography had been sent between two users. One of the users appeared to be a minor who sent self-produced images of child pornography to another user. Through investigation by the ICAC and special agents with Homeland Security Investigations, law enforcement determined that the recipient of the images of child pornography was Ryan Billado. Through investigation, which included execution of several search warrants for Billado’s residence, digital media, and online accounts, law enforcement learned that Billado communicated with a 15-year-old girl, convinced her to send him sexually explicit photos of herself, and that Billado travelled to another state and had sex with this child. Billado also possessed images of child pornography that did not involve this minor victim.
U.S. Attorney Nolan commended the efforts of the Vermont Internet Crimes Against Children Task Force and Homeland Security Investigations.
Assistant U.S. Attorney Barbara A. Masterson handled the prosecution of Billado. Assistant Federal Public Defender Elizabeth Quinn represented Billado.
U.S. Attorney Nolan noted that this prosecution is part of the U.S. Department of Justice's Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the U.S. Attorney's Offices, Project Safe Childhood marshals federal, state and local resources to better locate, apprehend, and prosecute individuals who exploit children via the Internet, as well as identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
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
Southern California Man Accused of Health Care FraudRead the Press Release
PORTLAND, Ore.—A southern California man who owned and operated local compounding pharmacies has been indicted by a federal grand jury on allegations that he submitted dozens of fraudulent patient attestations in support of reimbursement claims to CVS Caremark, a national pharmacy benefit manager.
Matthew Hogan Peters, 36, of Dana Point, California, made an initial appearance today in federal court before U.S. Magistrate Judge Stacie F. Beckerman. The court unsealed a two-count indictment charging Peters with health care fraud and aggravated identity theft.
According to the indictment, Peters owned and operated Professional Center 205 Pharmacy and Portland Professional Pharmacy, compounding pharmacies located in Southeast Portland. The pharmacies filled prescriptions for, among other things, compounded pain creams, a lucrative line of products. Private and federal healthcare insurance programs reimburse compounding pharmacies for such creams at rates far higher than comparable over-the-counter or bulk-manufactured medications.
CVS Caremark administered prescription drug benefits for many patients the pharmacies served. From April 1, 2014, through May 15, 2015, Peters sought reimbursements of more than $3.4 million from CVS Caremark, which in turn paid him nearly $1.69 million. In mid-2015, CVS Caremark audited Professional Center Pharmacy’s claims for reimbursement and identified approximately 185 claims that lacked records proving customers’ receipt of medications.
Facing possible suspension from CVS Caremark’s network, Peters submitted documentation to explain the discrepancies identified in the audit. This documentation included 41 written attestations, each purporting to bear the electronic signature of an individual patient, confirming that the patient received the prescription in question. Peters is alleged to have created each of their electronic signatures himself.
Peters was released pending a four-day jury trial scheduled for May 5, 2020, before Chief U.S. District Court Judge Marco A. Hernandez.
This case was investigated by the FBI, the Offices of Inspectors General for the Departments of Health and Human Services and Labor, the United States Postal Service Office of Inspector General, the United States Postal Inspection Service, and the Defense Criminal Investigative Service. It is being prosecuted by Ryan W. Bounds and Seth D. Uram, Assistant U.S. Attorneys, and Elizabeth Ballard Colgrove, Special Assistant U.S. Attorney, for the District of Oregon.
An indictment is only an accusation of a crime, and a defendant is presumed innocent unless and until proven guilty.
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.
Smith County Man Guilty of Federal Drug Trafficking ViolationsRead the Press Release
TYLER, Texas – A 29-year-old Tyler, Texas, man has pleaded guilty to federal drug trafficking crimes in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Victor Hernandez, Jr., pleaded guilty to possession with intent to distribute methamphetamine before U.S. Magistrate Judge K. Nicole Mitchell on March 5, 2020.
According to information presented in court, on July 26, 2019, Hernandez distributed approximately 25 grams of methamphetamine to another person for $400 in an undercover transaction. During a later search of his residence, officers discovered ammunition. Hernandez admitted to being responsible for the distribution of between 20 and 35 grams of methamphetamine.
Under federal statutes, Hernandez faces up to 40 years in federal prison at sentencing. The statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was investigated by the Federal Bureau of Investigation, the Smith County Sheriff’s Office, and the Tyler Police Department and prosecuted by Assistant U.S. Attorney Alan Jackson.
Seventy-Five Year Old Man Pleads Guilty to Possessing Child PornographyRead the Press Release
Fort Lauderdale, Florida – Today before a federal judge, Frank Richard Beyer (a/k/a “Rick Beyer”), 75, of Fort Lauderdale, Florida, pled guilty to possessing child pornography that included images of boys under age 12 engaged in sex acts and exposing their genitals.
Ariana Fajardo Orshan, U.S. Attorney for the Southern District of Florida, and George L. Piro, Special Agent in Charge, Federal Bureau of Investigation (FBI), Miami Field Office, made the announcement.
According to court records, law enforcement received multiple cyber tips that an on-line user had uploaded child pornography to internet platforms. The cybertips included an email address that led law enforcement officers to Beyer. On November 20, 2019, officers executed a search warrant at Beyer’s home. During the search, law enforcement found external digital storage devices that contained multiple images and videos of children (some under age 12) engaging in explicit sexual conduct with other children or adults.
Beyer’s sentencing is scheduled for May 18, 2020, at 10:00 a.m. before United States District Judge Rodolfo Ruiz in Fort Lauderdale, Florida. Beyer faces up to 20 years in prison.
U.S. Attorney Fajardo Orshan commended the investigative efforts of the FBI, Broward County Sheriff’s Office, and Homeland Security Investigations. Assistant U.S. Attorney Ajay Alexander is prosecuting this case.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse, launched in May 2006 by the Department of Justice. Led by U.S. Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
Related court documents and information may be found on the website of the District Court for the Southern District of Florida at www.flsd.uscourts.gov or at http://pacer.flsd.uscourts.gov.
Seventh Defendant Sentenced in Conspiracy to Distribute Fentanyl in Northern KentuckyRead the Press Release
COVINGTON, Ky. – A Cincinnati, Ohio man, Edvey L. Belton, 32, was sentenced in federal court on Thursday, to 216 months in prison, by U.S. District Judge David L. Bunning, for conspiracy to distribute 400 grams or more of a substance containing fentanyl.
According to his plea agreement and other court documents, Belton conspired with Elmer Toler, Virgil Blake Daugherty, Michael Leonhardt, Lauren Smith, Natisha Sanford, Britni Ettleman, and others to distribute more than a kilogram of fentanyl between June 2018 and December 2018. Belton agreed that he supplied the fentanyl that was ultimately distributed by the members of the conspiracy and that he carried a firearm while participating in the conspiracy. Belton was previously convicted for Trafficking in Heroin from Ohio in 2011.
Belton is the last defendant to be sentenced in this conspiracy. The sentencings for six other defendants are as follows:
- Lauren Smith- 42 months and 3 years of supervised release
- Michael Leonhardt- 50 months and 5 years of supervised release
- Britni Ettleman- 60 months and 4 years of supervised release
- Natisha Sanford- 78 months and 5 months of supervised release
- Virgil Blake Daugherty- 96 months and 5 years of supervised release
- Elmer Wayne Toler- 138 months and 8 years of supervised release
Under federal law, Belton and his co-defendants must serve 85 percent of their prison sentence. Belton will be under the supervision of the U.S. Probation Office for 10 years after completion of his prison term.
“Our Office is committed, along with our law enforcement partners, to holding accountable those individuals who distribute fentanyl and other lethal poisons in our neighborhoods. The defendants, through their conspiracy to distribute fentanyl, helped further addictions and spread misery in Covington and throughout Northern Kentucky,” said Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky. “The lengthy sentences imposed underscore the seriousness of the crimes committed and should send a clear message – if you are caught distributing deadly drugs in the Eastern District of Kentucky you will face significant prison time for your criminal conduct.”
U.S. Attorney Duncan; James Robert Brown, Special Agent in Charge for FBI, Louisville Field Division, and Rob Nader, Chief of the Covington Police Department, jointly made the announcement.
The investigation was directed by the FBI and the Covington Police Department. The United States was represented by Assistant U.S. Attorney Tony Bracke.
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.
— END —
Sentencing and Guilty Plea in Two "Operation End Game" Child Sexual Exploitation CasesRead the Press Release
MACON, Ga. — Two defendants arrested during “Operation End Game,” a multi-agency effort targeting and arresting adult perpetrators seeking sex with children, made appearances in federal court Wednesday, said Charlie Peeler, the U.S. Attorney for the Middle District of Georgia. Andrew Leo Schafer, 53, of Winder, Georgia previously pleaded guilty to one count of use of facilities in interstate and foreign commerce to transmit information about a minor and was sentenced by U.S. District Judge C. Ashley Royal on March 4, 2020 to 46 months in prison and ten years of supervised release. Schafer is currently in federal custody, and once he finishes serving his sentence, he will be required to register as a sex offender and undergo computer and phone monitoring. Fredrick Lamar Smith, 28, of Royston, Georgia entered a guilty plea to one count of use of facilities in interstate and foreign commerce to transmit information about a minor and faces a maximum five years’ imprisonment, a $250,000 fine and at least three years supervised release. Smith remains in federal custody and will be sentenced in Athens, Georgia on June 3, 2020. There is no parole in the federal system.
“These cases are about protecting children. The defendants both made explicit attempts to have sex with a person they believed was a 14-year-old child, but was in actuality an undercover officer working to stop child sex predators. This office will continue to criminally prosecute adults who seek sexual gratification from children,” said U.S. Attorney Charlie Peeler. “I want to thank our law enforcement partners for their collective efforts to stop would-be child predators from harming young children.”
“Operation End Game did exactly what it was tasked to do: Put an end to criminal attempts of predators to irreversibly harm young children,” said Debbie Garner, GBI Special Agent in Charge and Commander of the Georgia Internet Crimes Against Children (ICAC) Task Force. “The GBI and the Georgia ICAC Task Force will work tirelessly with our partners to protect our children against those who seek to harm them.”
“This sentencing and guilty plea are indicative of the FBI’s commitment, along with our federal, state and local partners, to prosecute anyone who would seek sexual gratification from taking advantage of children,” said Chris Hacker, Special Agent in Charge of FBI Atlanta. “Our message to these predators is you cannot hide behind the ‘anonymity’ of the internet.”
“Operation End Game” was a three-day proactive effort centered in Athens, Georgia in July 2019 to arrest adults communicating with children on-line and then traveling to meet them for the purpose of having sex. The cases were investigated by the U.S. Attorney’s Office for the Middle District of Georgia, the Georgia Internet Crimes Against Children (ICAC) Task Force, the Georgia Bureau of Investigation’s Child Exploitation and Computer Crimes Unit (CEACC), the Athens-Clarke County Police Department (ACCPD), the FBI, and the Athens-Clarke County District Attorney’s Office. Assistant U.S. Attorney Lyndie Freeman is prosecuting the case for the Government. Questions can be directed to Pamela Lightsey, Public Information Officer, United States Attorney’s Office, at (478) 621-2603 or Melissa Hodges, Public Affairs Director (Contractor), United States Attorney’s Office, at (478) 765-2362. The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at https://www.justice.gov/history.
San Fernando Valley Woman Sentenced to over 3 Years in Prison for Running $11.5 Million Sleep Study Scam Bilking UPS and CostcoRead the Press Release
LOS ANGELES – The former owner of a Studio City medical clinic was sentenced today to 37 months in federal prison for causing more than $11.5 million in bills to be submitted to health care benefit programs for unnecessary – and sometimes nonexistent – sleep studies, primarily for employees of United Parcel Service, Inc., and Costco Wholesale Corp.
Anna Vishnevsky, 52, of Valley Village, was sentenced by United States District Judge George H. Wu, who also ordered her to pay $2,747,071 in restitution.
Vishnevsky, who owned Atlas Diagnostic Services, Inc., pleaded guilty in November 2018 to one count of health care fraud.
From March 2014 until June 2016, Vishnevsky participated in a scheme to defraud health care benefit plans. Vishnevsky and others working at her direction recruited patients to participate in sleep study testing at Atlas by offering them cash. She also offered them additional cash if they brought in other sleep study participants, including their co-workers and relatives.
Vishnevsky recruited patients, knowing that no doctor had prescribed sleep study testing for them and regardless of whether the testing was medically necessary or appropriate. Vishnevsky did not score or interpret the data from the testing or send it to anyone who could score or interpret it, which is necessary for diagnosis and treatment.
She submitted insurance claims for sleep study testing performed on the recruited patients, listing physicians that had never treated the patients. She also billed not only for the one night of sleep study testing that the patients had purportedly undergone – regardless of medical necessity – but also for an additional, consecutive night of sleep study testing that was never performed.
In total, Vishnevsky submitted more than $11.5 million in fraudulent insurance claims to health care benefit plans. She received approximately $3 million on those claims, of which $2,747,071 is still outstanding.
“(Vishnevsky’s) criminal activity victimized not only the plans, but also plan participants recruited into the scheme, as many of them have been required to pay back fraudulent insurance claims submitted using their names (on penalty of losing their health insurance),” prosecutors wrote in their sentencing memorandum.
A co-defendant, Eddie Hernandez, 46, of Torrance, pleaded guilty in November 2018 to one count of health care fraud and is serving a 30-month federal prison sentence in this case. Hernandez was a UPS driver who helped Vishnevsky recruit people to participate in the fraudulent sleep studies.
The United States Department of Labor - Employee Benefits Security Administration, the Department of Labor - Office of Inspector General, the FBI, and the Office of Personnel Management - Office of Inspector General investigated this matter.
This case was prosecuted by Assistant United States Attorney Kerry L. Quinn of the Major Frauds Section.
Riverton Man Indicted on Charges of Preparing, Filing False Tax Returns to Claim Higher Refunds for HimselfRead the Press Release
SPRINGFIELD, Ill. – A federal grand jury has indicted a Riverton, Ill., man, Jason Hines, 47, of the 100 block of E. Menard St., for allegedly preparing and filing false tax returns for approximately 20 clients for tax years 2015 and 2016. The indictment alleges that Hines diverted approximately $106,033 in false federal refund claims to his personal use without his clients’ knowledge.
During the time of the alleged scheme, from February 2016 to April 2017, Hines was a paid tax preparer for clients. The indictment alleges that Hines submitted false claims on clients’ tax returns to claim higher refunds. Hines allegedly gave some clients a ‘preview’ copy of their return with lower refunds and then prepared and filed higher refund claims with the IRS. To claim the higher refunds, Hines allegedly falsely reported losses associated with the sale of business vehicles, false business income and expense amounts, and falsely claimed education credits. Hines then diverted a significant amount of the refund to bank accounts he controlled and used the funds for himself.
Hines is also charged with wire fraud related to returns filed with the Illinois Department of Revenue that were likewise false. The false claims caused the Illinois returns to be false in reporting the amount of the taxpayers’ federal adjusted gross income and Illinois taxable income. As a result, Hines caused a loss of approximately $30,440 to the Illinois Department of Revenue.
The U.S. Clerk of the Court will issue a summons to Hines to appear in federal court in Springfield for arraignment.
Assistant U.S. Attorney Timothy A. Bass is representing the government in the prosecution. The IRS, Criminal Investigation Division, and the Illinois Department of Revenue conducted the investigation.
If convicted, the maximum statutory penalty for aiding in preparation and filing of a false federal tax return is up to three years in prison; for wire fraud the maximum penalty is up to 20 years in prison.
Members of the public are reminded that an indictment is merely an accusation; the defendant is presumed innocent unless proven guilty.
Repeat Federal Defendant to Serve 20 Years in Prison for Possession of Methamphetamine with Intent to DistributeRead the Press Release
ROCK ISLAND, Ill. – A former Manito, Ill., man, Jonathan Edward Rakestraw, 36, has been sentenced to 20 years in federal prison. On Feb. 28, 2020, Chief U.S. District Judge Sara Darrow sentenced Rakestraw to 15 years in prison for possession with intent to distribute methamphetamine in Schuyler County, Ill., in September 2018. Rakestraw was found to have approximately 118 grams of ice methamphetamine in his possession. On Oct. 2, 2019, Rakestraw pleaded guilty.
In addition, Judge Darrow revoked Rakestraw’s supervised release in his prior federal case and sentenced him to five years in prison to be served consecutive to the 15-year term. Rakestraw was previously prosecuted and sentenced to 78 months in prison in the Central District of Illinois for conspiracy to manufacture and distribute methamphetamine in Tazewell County.
The case was investigated by the Schuyler County Sheriff’s Office; Illinois State Police; and the Drug Enforcement Administration. Assistant U.S. Attorney Alyssa A. Raya represented the government in the case prosecution.
Previously Convicted Felon Sentenced for Illegally Selling FirearmsRead the Press Release
RICHMOND, Va. – A Richmond man was sentenced today to eight years in prison for possession of a firearm by a convicted felon.
“Under Attorney General Barr’s leadership, we are 100 percent committed to Project Guardian and keeping illegally trafficked firearms out of the hands of convicted felons and out of our communities,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “The trafficking of firearms poses a serious threat to public safety and the safety of our law enforcement partners. Simply put, convicted felons have forfeited their Second Amendment right to bear arms, and those who choose to illegally traffick firearms will be investigated, prosecuted, and held accountable for their actions.”
According to court documents, in August 2018, Shakil R. Bland, 30, a previously convicted felon, sold several firearms to an undercover agent with ATF. Bland sold two semi-automatic firearms and a 50-round drum magazine to an individual he believed was coming from out of state to purchase firearms. In October 2018, Bland also sold the same undercover agent an additional semi-automatic handgun and extended magazine.
“Anyone who is trafficking firearms poses a serious threat to the safety of every community those firearms pass through,” said Ashan M. Benedict, Special Agent in Charge of ATF’s Washington Field Division. “We are glad to see that these guns were taken off of the street and that this defendant is being held accountable for his dangerous actions. Now there is still more work to do and others like him to stop. Through Project Guardian and our partnerships with law enforcement and prosecutors, we will continue working tirelessly to disrupt and prevent firearms trafficking.”
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. Click here for more information about Project Guardian.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia, and Ashan M. Benedict, Special Agent in Charge of the ATF’s Washington Field Division, made the announcement after sentencing by U.S. District Judge M. Hannah Lauck. Assistant U.S. Attorney Heather H. Mansfield prosecuted the case.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 3:19-cr-079.
Pittsburgh Man Pleads Guilty to Possession of Heroin and FentanylRead the Press Release
PITTSBURGH, Pa. -- A resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court on Wednesday to a charge of violating federal drug laws, United States Attorney Scott W. Brady announced today.
Matthew Lacher, 40, pleaded guilty to one count of possession with intent to distribute heroin and fentanyl, before Senior United States District Judge Joy Flowers Conti.
In connection with the guilty plea, the court was advised that on July 27, 2018, the Allegheny County Police Department Narcotics Unit executed a search of Lacher’s residence, and recovered 70 bricks of heroin and fentanyl, a Masterpiece Arms semiautomatic handgun with a 30 round magazine, two digital scales, several packages of marijuana, and $1079.00 in United States currency.
Judge Conti scheduled sentencing for June 23, 2020, at 11:30 a.m. The law provides for a maximum total sentence of twenty years in prison, a fine of $1,000,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed would be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant. The defendant remains on bond pending sentencing.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The Allegheny County Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives conducted the investigation leading to the Indictment in this case.
Norwich Man Sentenced to 33 Months in Prison for Role in Southeastern Connecticut Drug RingRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that PRINCETAFARI VIDAL, also known as “Prince,” 38, of Norwich, was sentenced yesterday by U.S. District Judge Vanessa L. Bryant in Hartford to 33 months of imprisonment, followed by one year of supervised release, for his role in a southeastern Connecticut drug trafficking ring.
This matter stems from an investigation led by the Drug Enforcement Administration, Connecticut Statewide Narcotics Taskforce East, Connecticut Department of Correction and the New London, Waterford, City of Groton and Stonington Police Departments, into the distribution of narcotics and illegal possession of firearms in southeastern Connecticut. The investigation included court-authorized wiretaps and controlled purchases and seizures of heroin, cocaine and crack cocaine, and firearms. Vidal was intercepted on a wiretap discussing cocaine transactions with Royshawn Allgood, also known as “Boy Roy.” Vidal received cocaine from Allgood, and sometimes supplied cocaine to Allgood.
On March 5, 2019, a grand jury in Hartford returned an indictment charging Rodriguez, Allgood and 22 other individuals with various offenses. On August 6, 2019, a superseding indictment included charges against an additional two defendants.
Vidal has been detained since his arrest on June 4, 2019. On November 8, 2019, he pleaded guilty to using a telephone to commit a narcotics offense.
Allgood pleaded guilty to related charges and, on January 3, 2020, was sentenced to 71 months of imprisonment.
This investigation is being conducted by the Drug Enforcement Administration, Bureau of Alcohol, Tobacco, Firearms and Explosives, U.S. Marshals Service, Homeland Security Investigations, Connecticut Statewide Narcotics Taskforce East, Connecticut Department of Correction and the New London, Waterford, City of Groton, Stonington, Norwich, Old Saybrook and UConn Police Departments. The case is being prosecuted by Assistant U.S. Attorney Natasha M. Freismuth.
New Orleans Man Sentenced for Conspiracy to Commit Bank RobberyRead the Press Release
NEW ORLEANS – Peter G. Strasser announced that JOHN RUDOLPH, age 46, of New Orleans, was sentenced for conspiracy to commit bank robbery in violation of Title 18, United States Code, Section 371.
According to the court documents, JOHN RUDOLPH conspired with his co-defendant and nephew, AARON RUDOLPH, to rob the First Bank and Trust, in Hammond, Louisiana, of approximately $10,490.96.
U. S. District Court Judge Barry W. Ashe sentenced RUDOLPH to serve (60) months in prison, to be followed by (3) years of supervised release, and restitution to the First Bank and Trust in the amount of $10,496.00. Judge Ashe also imposed a $100.00 dollar special assessment fee.
U.S. Attorney Strasser praised the work of agents of the Federal Bureau of Investigation in investigating this matter. Assistant U.S. Attorney Maria M. Carboni is in charge of the prosecution.
New Haven Man Sentenced to 6 Years in Prison for Distributing Drugs, Including Fentanyl PillsRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, today announced that MUSA HILL, 47, of New Haven, was sentenced yesterday by U.S. District Judge Alvin W. Thompson in Hartford to 72 months of imprisonment, followed by four years of supervised release, for distributing cocaine, crack, heroin and counterfeit oxycodone pills containing fentanyl.
According to court documents and statements made in court, an investigation conducted by the DEA’s New Haven Tactical Diversion Squad revealed that Hill was obtaining cocaine from a source in the Bronx, New York, and heroin from a source in New Haven. He converted some of the cocaine he received into crack cocaine, and then sold the narcotics to customers and also provided narcotics to a co-defendant for distribution to a network of customers. During the investigation, law enforcement made controlled purchases of crack, heroin and hundreds of counterfeit oxycodone pills from Hill. The vast majority of the counterfeit pills contained fentanyl.
Hill has been detained since his arrest on June 25, 2019. On November 20, 2019, he pleaded guilty to conspiracy to possess with intent to distribute, and to distribute, controlled substances.
The DEA Tactical Diversion Squad includes officers from the Bristol, Hamden, Meriden, Monroe, New Britain, New Haven, Wallingford, Watertown and West Haven Police Departments. This case is being prosecuted by Assistant U.S. Attorney Jennifer R. Laraia.
Natchez Man Pleads Guilty under Project EJECT to Possessing a Machine GunRead the Press Release
Jackson, Miss – Jamarhi Raheem Lucas, 23, of Natchez, pled guilty today before Senior U.S. District Judge David C. Bramlette III to possessing a machine gun, announced U.S. Attorney Mike Hurst and Kurt Thielhorn, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms, and Explosives.
On September 22, 2018, Jamarhi Raheem Lucas, who was one of two men standing outside of a residence on Ouachita St. in Natchez, attempted to flee from law enforcement officers as they approached him. Officers detained him and while they were identifying him, they saw a short-barreled rifle that was fully automatic (machine gun) in the car that belonged to him. Officers seized the short-barreled machine gun.
On June 12, 2019, Lucas was charged in a federal indictment with possessing a machine gun and of possessing a machine gun not registered to him in the National Firearms Registration and Transfer Record.
Lucas will be sentenced by Judge Bramlette on June 4, 2020. He faces a statutory penalty of 10 years in prison and a $250,000 fine.
The case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and is being prosecuted by Assistant United States Attorneys Bert Carraway and Glenda Haynes.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Muskogee Man Pleads Guilty to Failure to Register as Sex OffenderRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that David William Wilcox, age 48, of Muskogee, Oklahoma, entered a guilty plea to Failure To Register As Sex Offender, in violation of Title 18, United States Code, Sections 2250(a)(1), 2250(a)(2)(B) and 2250(a)(3), punishable by not more than 10 years imprisonment, a fine up to $250,000.00, or both.
The Indictment alleged that from on or about October 21, 2018, until on or about September 16, 2019, in the Eastern District of Oklahoma, and elsewhere, the defendant, an individual required to register as a sex offender under the Sex Offender Registration and Notification Act, after having received a felony conviction from the State of North Dakota on or about January 27, 2014, for Felony Sexual Assault, traveled in interstate commerce and knowingly failed to register and update his registration as required by the Sex Offender Registration and Notification Act.
The charges arose from an investigation by the Muskogee Police Department and the United States Marshals Service.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Sarah McAmis represented the United States.
More Charges Brought Against Former Executive Director of NEAD and Former Chairman of the RHARead 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 a federal grand jury has returned a 27-count third superseding indictment charging George H. Moses, 50, of Rochester, NY, with 25 counts of conspiracy to commit wire fraud, wire fraud, mail fraud, federal program fraud, aggravated identity theft, and filing false tax returns. In addition, co-defendant Janis White, 58, also of Rochester, is charged in four counts with conspiracy to commit wire fraud, wire fraud, and obstruction of justice. The charges carry a maximum penalty of 20 years in prison, and a $250,000 fine.
Assistant U.S. Attorney Richard A. Resnick, who is handling the case, stated that in November 2019, Moses and White were charged in a 55-count second superseding indictment. In that indictment, Moses was charged with various schemes to defraud the Rochester Housing Charities (RHC), a scheme to defraud Quad A for Kids, and tax violations. White was charged along with Moses in connection with one of the schemes to defraud the RHC.
While all the conduct in the second superseding indictment is still included in the third superseding indictment, the new indictment includes additional allegations against Moses in connection with his role as the Executive Director of the North East Area Development Association (NEAD) and its subsidiary Freedom Community Enterprises, Inc., in Rochester. NEAD is a not-for-profit neighborhood organization governed by a volunteer board of directors, which worked with city officials and agencies to revitalize and stabilize the Sector 8 neighborhood in the northeast quadrant of Rochester.
The third superseding indictment alleges that Moses used funds belonging to NEAD and Freedom Community Enterprises to purchase personal items for himself and others. For example, Moses improperly used NEAD or Freedom funds to purchase, among other things, a Carnival cruise vacation, spa services on a Royal Caribbean cruise, four firearms, a family YMCA membership, a NRA membership, essential oils and other health products, products for a multilevel marketing business, dental expenses, tickets to a New York Knicks basketball game at Madison Square Garden, repairs and items for his personal vehicle, amusement park accommodations, immigration services for a friend, travel related expenses, and a Netflix subscription.
The third superseding indictment also charges Moses with using funds belonging to Freedom Community Enterprises to purchase a time share in Florida for approximately $20,000, and then using funds that Freedom Community Enterprises received from a grant from the City of Rochester to reimburse Freedom for Moses’ purchase of the time share.
The third superseding indictment is the result of an investigation by the Federal Bureau of Investigation, Rochester Office, under the direction of Special Agent-in-Charge Gary Loeffert; the Department of Housing and Urban Development, Office of Inspector General, under the direction of Special Agent-in-Charge Brad Geary; and the Internal Revenue Service, Criminal Investigations Division, under the direction of Jonathan D. Larsen, Special Agent-in-Charge, New York Field Office.
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.
# # # #
Montgomery County Personal Injury Attorney Sentenced to Five Years in Prison and Ordered to Pay $3.4 Million in Restitution for Stealing Clients and Collecting Bogus Referral Fees and CostsRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Neil I. Mittin, 64, of Huntingdon Valley, PA was sentenced to five years in prison and ordered to pay $3.4 million in restitution by Senior United States District Court Judge Michael M. Baylson for his scheme to steal numerous personal injury cases and other legal matters from his law firm between 2008 and 2018.
The defendant pleaded guilty to mail fraud in September 2019. He worked for approximately 38 years as an associate for a Philadelphia, Pennsylvania law firm (“the Law Firm”). The Law Firm specialized in representing plaintiffs in personal injury and other types of legal matters. From 2008 through 2018, Mittin engaged in a scheme to steal numerous personal injury and other legal matters from the Law Firm by secretly referring them to outside attorneys.
The Law Firm clients did not ask him to refer their matters to outside attorneys and often did not know or understand what Mittin was doing. The defendant concealed his conduct from the Law Firm by closing the files for those matters and making it appear in the records of the Law Firm that there was no settlement or resolution and that the cases were not viable.
Following the fraudulent referrals, the outside attorneys to whom Mittin referred these matters attempted to resolve them with a settlement or a trial. If the matter was resolved successfully, the attorneys paid Mittin a referral fee, on average, of between 33 and 40 percent of the contingency fees obtained by the attorneys. The attorneys also paid Mittin a reimbursement amount for the costs that the Law Firm incurred before Mittin referred the cases out. The defendant illegally pocketed these referral payments and reimbursement costs and did not disclose to the Law Firm that the matters were resolved in this fashion.
The personal injury cases and other legal matters that the defendant referred to other lawyers generated approximately $10,800,000 in financial recoveries for the Law Firm’s former clients. As a result of this scheme, Mittin defrauded the Law Firm of approximately $4,200,000 in legal fees and costs, including the share of those fees and costs that he obtained from the outside lawyers.
“As officers of the court, attorneys are expected to uphold the law, but Mittin did just the opposite,” said U.S. Attorney McSwain. “He siphoned millions of dollars away from his firm for nearly a decade by stealing clients, covering his tracks, and lining his pockets with bogus referral fees and reimbursements for costs he never incurred. Today, he has been held accountable for his actions, and rightly so.”
“Neil Mittin diverted millions of dollars of business from his longtime employer, a firm where he worked for more than half his life,” said Tara A. McMahon, Acting Special Agent in Charge of the FBI’s Philadelphia Division. “He cheated his colleagues, misled and poached his clients, and pocketed the proceeds in the form of referral fees. He’ll now be held to account for this decade-long, multimillion-dollar fraud.”
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Deputy United States Attorney Louis D. Lappen.
Modesto Man Indicted for Methamphetamine Trafficking and Firearm OffenseRead the Press Release
FRESNO, Calif. — A federal grand jury returned a two-count indictment today against Jason Allen Celes, 37, of Modesto, charging him with possession with intent to distribute methamphetamine and being a felon in possession of a firearm, U.S. Attorney McGregor W. Scott announced.
According to court documents, Celes was arrested in Modesto in possession of methamphetamine packaged for sale and a loaded firearm with an “auto-sear” device attached to it. Auto-sear devices are used to convert semi-automatic firearms to fire as fully automatic machine guns. Celes is a convicted felon prohibited from possessing firearms or ammunition.
This case is the product of an investigation by the Central Valley Gang Impact Task Force, the Federal Bureau of Investigation, the California Department of Corrections, and the Modesto Police Department. Assistant United States Attorney Katherine E. Schuh is prosecuting the case.
If convicted, Celes faces a mandatory minimum penalty of five years in prison, a maximum statutory penalty of life in prison and a fine up to $5 million. Any sentence, however, would be determined at the discretion of the court after consideration of any applicable statutory factors and the Federal Sentencing Guidelines, which take into account a number of variables. The charges are only allegations; the defendant is presumed innocent until and unless proven guilty beyond a reasonable doubt.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of the Department’s renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally based strategies to reduce violent crime. To learn more about Project Safe Neighborhoods, go to www.justice.gov/psn.
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 www.justice.gov/projectguardian.
Minneapolis Man Charged with Making Threatening Communications Through University’s Incident Reporting SystemRead the Press Release
United States Attorney Erica H. MacDonald today announced a federal criminal complaint charging JEFFREY COLIN PURDY, 28, with making threatening communications. PURDY made his initial appearance yesterday before Magistrate Judge Hildy Bowbeer in U.S. District Court in St. Paul, Minnesota. PURDY was ordered to remain in custody pending a formal detention hearing, which is scheduled for Monday, March 9, 2020.
According to the allegations in the complaint, on September 15, 2017, the Mankato Department of Public Safety received a complaint from an individual stating that she had been receiving harassing emails from PURDY, a former classmate from Minnesota State University, Mankato (“Mankato State”). While attending Mankato State, the victim declined repeated romantic advances from PURDY and eventually blocked PURDY from her cellular telephone and social media accounts. From August 30, 2017, through February 21, 2020, PURDY used Mankato State’s Silent Witness Report, an anonymous incident reporting tool, to make frequent, violent threats against the victim. An IP address used to make one of the Silent Witness Reports was traced back to PURDY. On February 29, 2020, during an interview at the Mankato Department of Public Safety, PURDY admitted to sending all the Silent Witness Reports.
This case is the result of an investigation conducted by the FBI and the Mankato Department of Public Safety, with assistance from the Blue Earth County Attorney’s Office.
Assistant U.S. Attorney Emily A. Polachek is prosecuting the case.
Defendant Information:
JEFFREY COLIN PURDY, 28
Minneapolis, Minn.
Charges:
- Threatening communications, 1 count
###
Additional news available on our website.
Follow us on Twitter and Facebook.
United States Attorney’s Office, District of Minnesota: (612) 664-5600
The charges contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Maumee man indicted for threatening a mass shooting in IllinoisRead the Press Release
Ryan James Gagnet, 22, was indicted by a federal grand jury for transmitting a threatening interstate communication. The indictment alleges that on February 5, 2020, Gagnet wrote online, “Hi. It’s going to be even more scary tomorrow. Because I’m going to be on the news. Commit a mass shooting. In shorewood Illoinis.”
As set out in court filings and proceedings, Gagnet used an online chat platform Omegle to post anonymous threats about committing a mass shooting in Shorewood, Illinois. He admitted “wearing a mask” and “telling people . . . that there may be a mass shooting at some point. . . . then I would just see how ah their frightened reactions.” Gagnet also indicated there would be disturbing searches on his electronic devices.
“Every person in this country deserves to feel safe in their community,” stated U.S. Attorney Justin Herdman. “Any alleged threat to conduct a mass shooting will result in swift law enforcement action and appropriate federal charges. I am proud of the quick response by our office and the Federal Bureau of Investigation.”
“Any post that threatens the lives of others will receive a prompt law enforcement response,” said FBI Special Agent in Charge Eric Smith. “Citizens need to be able to go about their everyday lives without the fear of being a victim of a mass shooting. Law enforcement will continue to collaborate and utilize all necessary resources to protect others, it is our number one priority.”
An indictment is only a charge and is not evidence of guilt. A defendant is entitled to a fair trial in which it will be the government’s burden to prove guilt beyond a reasonable doubt.
If convicted, the defendant’s sentence will be determined by the Court after review of factors unique to this case, including the defendant’s prior criminal record, if any, the defendant’s role in the offense and the characteristics of the violation. In all cases, the sentence will not exceed the statutory maximum and in most cases it will be less than the maximum.
This case was investigated by the FBI Joint Terrorism Task Force and is being prosecuted by Assistant U.S. Attorney Michael Freeman.
Maui Man Sentenced to over Six Years in Prison for Illegal Possession of FirearmsRead the Press Release
HONOLULU, Hawaii – Ikaika Reinhardt, 38, of Maui County, was sentenced today in federal court by Chief United States District Judge J. Michael Seabright to 75 months of imprisonment, and five years of supervised release for receipt of firearms while under indictment and possession of firearms in furtherance of a drug trafficking crime.
US Attorney for the District of Hawaii Kenji M. Price announced that, according to court documents and information presented in court, on March 7, 2019, Reinhardt traded methamphetamine for two stolen firearms while he was under indictment for state felonies. In addition, Reinhardt illegally possessed two other firearms, one of which was semiautomatic that had a large capacity magazine loaded with ammunition.
The case was investigated by the Maui Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives investigated the case. It was prosecuted by Assistant U.S. Attorney Darren W.K. Ching.
This prosecution is part of Project Safe Neighborhoods (PSN), a program that brings together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. The Department of Justice reinvigorated PSN in 2017 as part of its renewed focus on targeting violent criminals, directing all U.S. Attorney’s Offices to work in partnership with federal, state, local, and tribal law enforcement and the local community to develop effective, locally-based strategies to reduce violent crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the ATF when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. The United States Attorney’s Office has prosecuted this case with support from the following Project Guardian partners: the ATF and the MPD. For more information about Project Guardian, please click here.
Man from Albuquerque charged with assault on a federal officer with a deadly weaponRead the Press Release
ALBUQUERQUE, N.M. – Daniel Montoya, 31, of Albuquerque, appeared in federal court in Albuquerque on Feb. 26 for a detention hearing on a criminal complaint charging him with assault on a federal officer with a deadly weapon and use of a firearm in a crime of violence.
According to the criminal complaint, police officers approached Montoya as he walked down the street in Albuquerque on Jan. 23. The officers wanted to take Montoya into custody for his suspected involvement in a shooting earlier that day. Montoya allegedly resisted the officers’ commands, pointed a pistol at two federal officers, and fired shots in their direction. An officer returned fire. Montoya then fled the area on foot while shooting more rounds at the officers chasing him. A team of other officers responded to the area and eventually apprehended Montoya, who was shot in the neck during the incident.
Montoya is currently in custody awaiting trial. He faces up to 20 years in prison for assault on a federal officer and a consecutive sentence of 10 years to life in prison for using a firearm during a crime of violence. Charges in criminal complaints are merely accusations. A defendant is presumed innocent unless found guilty beyond a reasonable doubt.
The FBI investigated this case jointly with the Albuquerque Police Department as part of Operation Relentless Pursuit, a Department of Justice initiative aimed at combating violent crime in seven of America’s most violent cities, including Albuquerque, through a stream of federal resources. Assistant U.S Attorneys Jon K. Stanford and Alexander M. Uballez are prosecuting the case.
Man That Travelled from Indiana to Wisconsin to Engage in Sexual Activity with 14 Year-old Pleads GuiltyRead the Press Release
United States Attorney Matthew D. Krueger of the Eastern District of Wisconsin, announced that Tommy Lee Jenkins (age: 32) formerly a resident of Oshkosh, Wisconsin, entered a guilty plea to a charge of attempted child enticement before Senior District Judge William C. Griesbach.
According to court documents, starting on October 1, 2019, Jenkins, who in September of 2019 moved from Oshkosh to Whitestown, Indiana, began exchanging instant messages with “Kylee” whom he believed to be a 14 year-old girl living in Neenah, Wisconsin. Jenkins began demanding sexually explicit photographs from “Kylee” and making plans to engage in sexual activity with the minor. When his numerous requests for “Kylee” to join him in Indiana were rebuffed, Jenkins walked and hitchhiked the 351-mile trek from Whitestown, Indiana to Neenah, Wisconsin. Along the way, Jenkins continued to engage “Kylee” in sexually explicit conversations and updated her as to his current location.
“Kylee” was, in fact, a Winnebago County Sheriff’s Deputy assigned to the Internet Crimes Against Children (“ICAC”) Task Force. Upon his arrival in Winnebago County, sheriff’s deputies and a Special Agent with the Federal Bureau of Investigation placed Jenkins under arrest.
Jenkins faces a mandatory minimum sentence of ten years and up to a lifetime of imprisonment when he is sentenced on May 27, 2020.
This case was investigated by the Winnebago County Sheriff’s Office with the assistance of the Green Bay office of the Federal Bureau of Investigation. It is being prosecuted by Assistant United States Attorneys Julie F. Stewart and Daniel R. Humble.
This case was brought as part of Project Safe Childhood, a nationwide initiative to combat the growing epidemic of child sexual exploitation and abuse launched in May 2006, by the U.S. Department of Justice. Led by U.S. Attorneys’ Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood, marshals, federal, state and local resources to better locate, apprehend and prosecute individuals who exploit children via the Internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.projectsafechildhood.gov.
# # # #
Man Sentenced to Ten Years in Prison for Attempted Sexual Enticement of MinorsRead the Press Release
HONOLULU, Hawaii – Michael David Kirk, 31, a former Navy sailor, was sentenced today in federal court by Chief United States District Judge J. Michael Seabright to 120 months in prison and 15 years of supervised release for attempted sexual enticement of three minor females on a social media application. As part of his sentence, he will also pay a $5,000 special assessment under the Justice for Victims of Trafficking Act of 2015. Kirk will also be required to register as a sex offender. He pled guilty to this crime on November 13, 2019.
U.S. Attorney for the District of Hawaii Kenji M. Price announced that, according to court documents and information presented in court, in March 2019, Kirk corresponded on a social media application with an individual whom he believed was a woman, and arranged a meeting so that he could engage in sexual activity with her three young children, ages 6, 9, and 11 years old. Kirk was later identified and arrested.
The case was investigated by the Federal Bureau of Investigation and Attorney General’s Internet Crimes Against Children Task Force. It was prosecuted by Assistant U.S. Attorney Morgan Early.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and CEOS, Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
Man Sentenced to 71 Months for Violating the Federal Gun Control ActRead the Press Release
NEW ORLEANS, LOUISIANA – On March 3, 2020, United States District Judge Greg Guidry sentenced WAYNE ELFER, JR., to seventy-one months in the Bureau of Prisons for being a felon in possession of a firearm, in violation of the Federal Gun Control Act, announced U.S. Attorney Peter G. Strasser.
ELFER was charged on May 23, 2019 in a one-count indictment with possessing a Ruger, Model P94, .40 caliber semi-automatic handgun, bearing serial number 341-63469; a Rossi, Model 38 Special, .38 caliber revolver, with an obliterated serial number; and twenty-two .38 Special ammunitions while being a convicted felon. ELFER will serve (71) months in prison to be followed by (3) years of supervised release and a $100.00 special assessment.
This case was brought as part of Project Safe Neighborhoods (PSN), which 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.
U. S. Attorney Peter Strasser praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives. The prosecution is being handled by Assistant United States Attorney Melissa Bücher.
Man Indicted for Producing Images of Child Sexual AbuseRead the Press Release
ALEXANDRIA, Va. – A federal grand jury returned an indictment today charging a Bluemont man with producing and distributing child pornography.
According to the indictment, Kevin Hewlett, 35, allegedly filmed himself engaging in sex acts with a minor female whom he met when working as a farrier for her horses. Court documents further allege that Hewlett later sent that video to the minor over a social media application.
Hewlett is charged with production of child pornography and distributing or attempting to distribute child pornography. If convicted, he faces a mandatory minimum penalty of 15 years in prison. Actual sentences for federal crimes are typically less than the maximum penalties. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Michael L. Chapman, Loudoun County Sheriff made the announcement. Assistant U.S. Attorney Nathaniel Smith, III, and Special Assistant U.S. Attorney Gwendelynn Bills are prosecuting the case.
This matter was investigated by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force, which is charged with identifying and investigating child predators and those individuals and criminal enterprises engaged in Human Trafficking.
FBI encourages anyone who believes they have any additional information relating to this defendant to contact the FBI at 1-800-CALL-FBI or https://www.fbi.gov/tips.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-64.
An indictment is merely an accusation. The defendant is presumed innocent until proven guilty.
Man from India with Student Visa Pleads Guilty to Sexual Enticement of A MinorRead 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 Sachin Aji Bhaskar, 23, of India, pleaded guilty before Senior U.S. District Judge William M. Skretny to sexual enticement of a minor. The charge carries a minimum penalty of 10 years in prison, a maximum penalty of life in prison, a fine of $250,000, or both.
Assistant U.S. Attorney Russell T. Ippolito, Jr., who handled the case, stated that the defendant communicated by text and email with an 11 year old girl for the purpose of engaging in sexual activity. Through those communications, Bhaskar enticed the victim to engage in sexual activity with him on August 11, 2018.
The plea is the result of an investigation by the Federal Bureau of Investigation, under the direction of Special Agent-in-Charge Gary Loeffert, and the Cheektowaga Police Department, under the direction of Chief Michael Sliwinski.
Sentencing is scheduled for June 17, 2020, at 1:00 p.m. before Judge Skretny.
# # # #
Los Angeles, California Man Pleads Guilty to Methamphetamine DistributionRead the Press Release
MUSKOGEE, OKLAHOMA – The United States Attorney’s Office for the Eastern District of Oklahoma announced that Edward Shontel Beattie, age 47, of Los Angeles, California, entered a guilty plea to Possession With Intent To Distribute Methamphetamine, in violation of Title 21, United States Code, Sections 841(a)(1) and 841(b)(1)(A), punishable by not less than 10 years and not more than life imprisonment, a fine up to $10,000,000.00, or both.
The Indictment alleged that on or about August 5, 2019, in the Eastern District of Oklahoma, the defendant, did knowingly and intentionally possess with intent to distribute 500 grams or more of a mixture or substance containing a detectable amount of methamphetamine, a Schedule II controlled substance.
The charges arose from an investigation by the Oklahoma Highway Patrol and the Drug Enforcement Administration.
The Honorable Kimberly E. West, U.S. Magistrate Judge in the United States District Court for the Eastern District of Oklahoma, in Muskogee, accepted the plea and ordered the completion of a presentence investigation report.
Assistant United States Attorney Jarrod Leaman represented the United States.
Lodge Pole man sentenced for assaulting girlfriendRead the Press Release
GREAT FALLS—A Lodge Pole man convicted at trial for assaulting his girlfriend on the Fort Belknap Indian Reservation was sentenced today to 21 months in prison and three years of supervised release, U.S. Attorney Kurt Alme said.
A jury found Jeremy Davis Wing, 40, guilty of domestic abuse by habitual offender.
U.S. District Judge Brian M. Morris presided.
During a trial in November, the prosecution presented evidence that Wing physically assaulted his girlfriend on May 19, 2018 and into the next day. Wing and the victim were living together at the time of the assault. The two were drinking alcohol with another man and woman when the couple argued. Wing became violent with the victim and also told the woman to beat up on the victim. Both Wing and the woman assaulted the victim. At trial, the parties stipulated that Wing had at least two prior separate domestic assault convictions.
Assistant U.S. Attorneys Jared Cobell and Kalah Paisley prosecuted the case, which was investigated by the FBI and Fort Belknap Law Enforcement Services.
XXX
Local Businessman Sentenced to 17 Months for Bribery Scheme Involving Former St. Louis County Executive Steve StengerRead the Press Release
St. Louis, MO –John Rallo, 54, formerly of St. Louis County, was sentenced to 17 months in prison for his involvement in a bribery scheme with Former St. Louis County Executive Steve Stenger. Rallo appeared in federal court this morning before U.S. District Judge E. Richard Webber.
According to court documents, beginning in October 2014 and continuing through December 31, 2018, former St. Louis County Executive Steve Stenger schemed to defraud and deprive the citizens of St. Louis County of their right to his honest and faithful services, and the honest and faithful services of former CEO of the St. Louis Economic Development Partnership, Sheila Sweeney, through a pay to play bribery scheme. The purpose of the scheme was for Stenger to secretly use his official position to enrich himself through soliciting and accepting campaign contributions from businessman John Rallo and other individuals in exchange for favorable official action in the awarding of contracts and grants through St. Louis County and the St. Louis Economic Development Partnership.
Stenger, in exchange for campaign donations and several fundraising events hosted by John Rallo, took official action to insure that Rallo and his company, Cardinal Insurance, obtained insurance contracts through St. Louis County during 2015 and 2016. Further, Stenger took official action to insure that John Rallo and his company, Cardinal Creative Consulting, obtained a sham 2016 consulting contract in the amount of $130,000 through the St. Louis County Port Authority. Additionally, Stenger took official action to insure that John Rallo and his company, Wellston Holdings, LLC, obtained land contracts for two industrial properties in Wellston, Missouri which were held by the Land Clearance for Redevelopment Authority of St. Louis County during 2016 and 2017. Rallo, Stenger, and Sweeney took steps to hide, conceal and cover up the illegal bribery scheme, including making false public statements.
Rallo pled guilty in July 2019 to three counts of Honest Services Mail Fraud/Bribery.
The Federal Bureau of Investigation and the Postal Inspection Service investigated this case with the assistance of the Internal Revenue Service Criminal Investigations. Assistant U.S. Attorney Hal Goldsmith is handling the case for the U.S. Attorney’s Office.
Lexington Man Sentenced to 68 Months for Trafficking Crack CocaineRead the Press Release
FRANKFORT, Ky. - A Lexington, Kentucky man, Devaun Laquis Robertson, 27, was sentenced in federal court on Wednesday, to 68 months in prison, by U.S. District Judge Greg VanTatenhove, for possession with intent to distribute crack cocaine.
According to his plea agreement, at the time of the offense, Robertson was on probation for Trafficking in a Controlled Substance First Degree. As part of his parole conditions, Robertson was subject to home visits from law enforcement. Robertson admitted that on March 20, 2019, Lexington Police, and officers from the State Probation and Parole, were conducting a home visit and found 39.4 grams of crack cocaine and a digital scale with residue.
Under federal law, Robertson must serve 85 percent of his prison sentence and will be under the supervision of the U.S. Probation Office for five years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; James Robert Brown, Special Agent in Charge for FBI, Louisville Field Division; Commissioner Kathleen Keeney, Kentucky Department of Corrections; and Chief Lawrence Weathers, Lexington Police Department, jointly made the announcement.
The investigation was directed by the Lexington Police Department. The United States was represented by Assistant U.S. Attorney Cynthia Rieker.
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.
— END —
Levittown Man Convicted at Trial of Firearm and Narcotics OffensesRead the Press Release
PHILADELPHIA – United States Attorney William M. McSwain announced that Dennis D. Davis, 34, of Levittown, PA was convicted today at trial of one count of possession of a firearm by a convicted felon and one count of possession with intent to distribute a controlled substance. The trial took place before United States District Judge Mitchell S. Goldberg.
Davis was arrested after a dramatic car chase in July 2017. The defendant refused to pull over for Middletown Township Police, and a pursuit ensued. Davis continued to flee at a high speed and caused a crash at a busy intersection near the border of Middletown and Bristol Townships. He pulled his damaged vehicle into a parking lot and fled on foot. As he fled from police officers, Davis discarded a purse containing a firearm, drug paraphernalia, and crack cocaine. Police officers eventually caught Davis and took him into custody. The officers recovered the purse and its contents and also found over $1,000 in cash in the defendant’s car.
The government presented evidence at trial that included the physical evidence recovered at the scene, fingerprints from the gun, civilian eyewitnesses, and several law enforcement witnesses who participated in the chase and the defendant’s arrest.
“Firearms and drugs in the hands of convicted felons like Davis undeniably pose a serious threat to our community” said U.S. Attorney McSwain. “Davis further endangered the community by refusing to comply with officers’ lawful commands and causing an unnecessary high speed chase and subsequent crash. Luckily, no innocent civilians were hurt or killed and Davis has now been held accountable for his criminal conduct. We remain steadfast in our commitment to working with our federal partners to clear the streets of illegal firearms and drugs and to protect the public.”
The case was investigated by the Federal Bureau of Investigation, and is being prosecuted by Assistant United States Attorneys Michael J. Rinaldi and Melanie Babb Wilmoth.
Kirbyville Man Sentenced to 24 Years for Meth ConspiracyRead the Press Release
SPRINGFIELD, Mo. – A Kirbyville, Missouri, man was sentenced in federal court today for his role in a conspiracy to distribute large quantities of methamphetamine in southwest Missouri.
Brent A. Tribble, 30, was sentenced by U.S. District Judge Roseann Ketchmark to 24 years in federal prison without parole.
On Sept. 16, 2019, Tribble pleaded guilty to participating in a conspiracy to distribute methamphetamine in southwest Missouri and in the Lebanon, Missouri, area from March 1, 2018, to Jan. 22, 2019. According to court documents, Neal A. Norles, 30, of Blue Springs, Missouri, supplied methamphetamine to Stephan D. Samons, 30, of Camdenton, Missouri, who in turn, supplied methamphetamine to both Tribble and April E. Luke, 31, of Springfield, Missouri.
Tribble was a passenger in a vehicle driven by Luke, which was stopped by a Missouri State Highway Patrol trooper on June 24, 2018. The trooper searched the vehicle and found a zippered bag that contained 469.9 grams of 98 percent pure methamphetamine. Inside a black backpack, the trooper found a Taurus 9mm semi-automatic pistol, an SCCY 9mm semi-automatic pistol, a Connecticut Valley Arms .50-caliber black-powder rifle (without a serial number, shortened and converted to use either a .410-gauge shotgun cartridge or a .44-caliber pistol cartridge), ammunition, Tribble’s debit card, and 3.5 grams of methamphetamine. Tribble admitted that the methamphetamine and firearms were his.
During the course of the investigation, troopers seized nearly 2.4 kilograms of methamphetamine from a Dodge Charger in which Norles was a passenger during a traffic stop on Interstate 44 in Newton County, Missouri, on Jan. 22, 2019, while Norles was returning from a trip to Los Angeles, California.
Tribble is the first defendant sentenced in this case. Co-defendants Norles, Samons, and Luke have pleaded guilty and await sentencing.
This case is being prosecuted by Assistant U.S. Attorney Nhan D. Nguyen. It was investigated by the Drug Enforcement Administration, the Missouri State Highway Patrol, and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Katy, Texas Man Indicted for Trafficking Drugs Through BeaumontRead the Press Release
BEAUMONT, Texas – A 38-year-old Katy, Texas man has been indicted for federal drug trafficking and firearms violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Paul Andrew Cabiro was indicted by a federal grand jury on March 4, 2020 and charged with possession with intent to distribute LSD, methamphetamine, cocaine, heroin, and fentanyl and possession of a firearm in furtherance of a drug trafficking offense.
According to the indictment, Feb. 21, 2020, Cabiro was stopped for a traffic violation on Interstate-10in Beaumont. During the stop, a narcotics canine alerted on the vehicle. Inside the vehicle, officers discovered 480 dosage units of LSD, approximately 48.2 grams of methamphetamine., approximately 48 grams of cocaine, approximately 53.2 grams of “China White” heroin, and approximately 68.4 grams of “tar” heroin, two firearms and over $10,000 cash.
If convicted, Cabiro faces up to life in federal prison.
This case is being investigated by the U.S. Drug Enforcement Administration and the Jefferson County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Christopher T. Rapp.
A grand jury indictment is not evidence of guilt. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Kalispell woman sentenced for meth dealingRead the Press Release
MISSOULA—A Kalispell woman who admitted bringing methamphetamine from Washington to distribute in Montana was sentenced today to one year and one day in prison and five years of supervised release, U.S. Attorney Kurt Alme said.
Carly Deann Halcro, 36, pleaded guilty in November to possession with intent to distribute meth.
U.S. District Judge Donald W. Molloy presided.
In court records filed in the case, the prosecution said law enforcement received information in April 2018 that Halcro was traveling to Washington to get multiple pounds of meth for redistribution. Halcro traveled to Spokane in June 2018. Law enforcement got a search warrant for Halcro’s vehicle, conducted a traffic stop when she returned to Montana and found about one pound of pure meth in the vehicle. One pound of meth is the equivalent of about 3,624 doses.
Halcro admitted in an interview that she had been receiving pound quantities of meth from a source of supply.
Assistant U.S. Attorney Cyndee Peterson prosecuted the case, which was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives, the Drug Enforcement Administration and the Lincoln County Sheriff’s Office.
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.
XXX
Justice Department Settles Lawsuit Alleging Disability-Based Discrimination by Developer and Franchisor of 32 Condominium Properties in OhioRead the Press Release
The Justice Department announced today that an Ohio developer and a franchisor of multifamily properties have agreed to settle a federal lawsuit alleging that they violated the Fair Housing Act (FHA) by designing and constructing 32 multifamily properties in Ohio that are inaccessible to persons with disabilities.
“For more than a quarter century, federal law has required multifamily housing complexes to be built with accessible features,” said Assistant Attorney General Eric Dreiband for the Civil Rights Division. “This lawsuit is part of the Department of Justice’s continuing efforts to ensure that those who actively participate in the development of multifamily housing fulfill their responsibilities to ensure that the properties are accessible for persons with disabilities as required by the Fair Housing Act.”
“The purpose of the Fair Housing Act is to advance equal opportunity in housing and end discrimination,” said U.S. Attorney David DeViller for the Southern District of Ohio. “This office is committed to vigorously enforcing the Act. Developers in the Southern District of Ohio will either live up to their obligations under the law, or we will go to court to require that they do so.”
Today’s settlement, pending court approval, resolves a lawsuit the Department filed in October 2019 in the Southern District of Ohio. It alleges that Ohio developer Epcon Communities, LLP and its related entity, Epcon Communities Franchising, Inc., violated the FHA when they designed and constructed the 32 condominium properties in Ohio with steps and other features that made them inaccessible to persons with disabilities.
This matter originated with a complaint filed with the Department of Housing and Urban Development (HUD) by the Fair Housing Advocates Association, a fair housing organization in Akron, Ohio. HUD then initiated its own complaint and, after completing an investigation, determined that the Defendants had violated the FHA and referred the matter to the Department of Justice.
“When architects and developers fail to design and construct housing consistent with Fair Housing Act requirements, it’s the same as the property having a sign that reads, ‘no wheelchairs allowed,’” said Anna María Farías, HUD’s Assistant Secretary for Fair Housing and Equal Opportunity. “HUD will continue working with the Justice Department to take appropriate action to ensure that persons with disabilities, some of our most vulnerable citizens, have the type of housing that meets their needs.”
Under the terms of the settlement, Epcon Communities, Inc. and Epcon Communities Franchising, Inc. must pay up to $2,200,000 to correct inaccessible features in the common areas of the properties and within the individual units. The corrections that defendants must make to the common areas include: removing steps; replacing steeply-sloped walkways; adding accessible routes from units to amenities such as the clubhouse and swimming pool; and providing accessible parking. The defendants must also offer to pay current owners to correct certain inaccessible features within condominium units, including those found in bathrooms and kitchens. Additionally, they must establish a $300,000 settlement fund for people who suffered harm due to the lack of accessible features at the 32 Ohio properties, pay a civil penalty of $51,303 to the United States, and ensure that any future housing they design or construct complies with the FHA. Defendants also must pay $40,000 in damages to the Fair Housing Advocates Association, which filed the discrimination complaint with HUD that initiated this case.
Persons who lived at or sought to live at one of the properties listed below who were denied housing or otherwise harmed because the complex was not accessible may be entitled to monetary compensation through today’s settlement. Such persons can contact the Justice Department toll-free at 1-800-896-7743 mailbox #994 or by email at [email protected].
The properties at issue are:
- Cobblestone at the Preserve, New Albany, Ohio
- Courtyards at Seldom Seen, Powell, Ohio
- Fountainview at Parkway, Grove City, Ohio
- Village at North Falls, Delaware, Ohio
- Villas at Canterbury Woods, Westerville, Ohio
- Villas at Glenealy, 6315 Donegan Way, Dublin, Ohio
- Villas at Maple Creek, Westerville, Ohio
- Villas at Woodcutter, Powell, Ohio
- Windsor Bridge at the Preserve, New Albany, Ohio
- Woods at Hayden Run, Hilliard, Ohio
- Woods at Sugar Run, New Albany, Ohio
- Ballymeade Village, Beavercreek, Ohio
- Bridgewater, Mansfield, Ohio
- Fairway Villas at Catawba Island Club, Port Clinton, Ohio
- Fairways at Boulder Creek, Streetsboro, Ohio
- Quarry Lakes at Amherst, Ohio
- Reddington Village, Newark, Ohio
- Sanctuary at Plum Brook, Huron, Ohio
- Springfield Ridge, Poland, Ohio
- Village of Colonial Woods, Mount Vernon, Ohio
- Village at Riverwalk, Lima, Ohio
- Villages of River Oaks, Heath, Ohio
- Villas at Beavercreek, Beavercreek, Ohio
- Villas at Benchrock, Tipp City, Ohio
- Villas at Charleston Lake, Canal Winchester, Ohio
- Villas at Foor Farms, Pataskala, Ohio
- Villas in Hamilton West, Hamilton, Ohio
- Villas at Milnor Crossing, Pickerington, Ohio
- Villas at Park Place, West Chester, Ohio
- Wellington Place, Zanesville, Ohio
- Woodland Run, Columbiana, Ohio
- Woods on Wilkens, Mason, Ohio
The Fair Housing Act prohibits discrimination in housing based on disability, race, color, religion, national origin, sex and familial status. Among other things, the Fair Housing Act requires all multifamily housing constructed after March 12, 1991, to have basic accessibility features, including accessible routes without steps to all ground-floor units.
More information about the Civil Rights Division and the laws it enforces is available at www.usdoj.gov/crt. Individuals who believe that they have been victims of housing discrimination may call the Justice Department at 1-800-896-7743, e-mail the Justice Department at [email protected], or contact the U.S. Department of Housing and Urban Development at 1-800-669-9777 or through its website at https://www.hud.gov/program_offices/fair_housing_equal_opp/online-complaint.
Jefferson County Men Indicted for Beaumont CarjackingRead the Press Release
BEAUMONT, Texas – Two Beaumont men have been indicted for federal violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Thaddiaus Joseph Thomas, 34, and Tremaurice Arthur Randall, 24, were indicted by a federal grand jury on March 4, 2020 and charged with conspiracy to commit carjacking, carjacking, possession of a firearm during a crime of violence, and possession of a firearm by a prohibited person.
According to the indictment, on Dec. 21, 2019, Thomas and Randall traveled to the Excellent Carwash located at 5010 Haden Road in Beaumont, Texas, wearing masks, where they approached a man who was sitting in the driver’s seat of his 2003 Dodge Ram pickup truck. Thomas pointed a pistol at the man and Randall ordered him to “give it up” before Randall and Thomas then pulled the man out of his truck and threw him on the ground. Thomas then hit the man's head with the pistol and fired one shot toward his feet. Randall and Thomas then entered the pickup truck and drove away.
If convicted, Thomas and Randall each face up to 20 years in federal prison.
This case is being investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and the Beaumont Police Department and prosecuted by Assistant U.S. Attorney John B. Ross.
A grand jury indictment is not evidence of guilt. A defendant is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
Insurance Company Owner Sentenced to Prison for Tax EvasionRead the Press Release
PITTSBURGH, Pa - A resident of Pittsburgh has been sentenced in federal court to two-and-a-half years (30 months) in prison and fined $10,000 on his conviction of tax evasion, United States Attorney Scott W. Brady announced today.
United States District Judge Cathy Bissoon imposed the sentence on Robert Rionda, Jr., of Pittsburgh, Pennsylvania.
According to information presented to the court, Rionda solely owned and operated Arms Insurance Group, Inc. (Arms Inc.), a subchapter S corporation, from 2002 through May 2014. In October 2011, the Collection Division of the Internal Revenue Service opened a case on Mr. Rionda for unpaid income taxes for the 2009, 2010 and 2011 tax years. In May 2012, after several attempts to receive payments from Mr. Rionda, the IRS levied his personal bank accounts for the unpaid 2009 and 2010 taxes. The defendant responded to the levies by directing the controller/bookkeeper of Arms Inc. to do several things:
• Stop issuing salary checks to Mr. Rionda and his wife;
• Stop using his personal checking accounts altogether; and
• Start paying all of his personal bills from the company's bank accounts rather than from his personal bank accounts (note – some personal bills were being paid out of the company accounts prior to the levies).
Over the next several years, Rionda continued to file apparently accurate corporate returns on behalf of Arms Inc., as well as personal income tax returns, but he only made minimal payments to the IRS for the personal income taxes he owed, and he took the actions described above to evade collection of his taxes.
Rionda sold Arms Inc. to his son over time, starting in May 2014, and he stayed on as a part owner of the son’s new business, Arms Insurance Group, LLC (Arms LLC), through May 20, 2017. After the sale of the business on May 22, 2014, Arms LLC began making payments by check to Rionda that represented monthly payments on a promissory note, rent payments, and owner draw payments to Rionda. From July 25, 2014 to December 28, 2015, Rionda deposited some of these checks to two bank accounts at PNC Bank and an account at Citizens Bank, all of which were maintained in the name of Arms Inc. his old business which was no longer active, rather than depositing them to a personal account in his own name.
Despite receiving very large distributions from Arms Inc. and Arms LLC, Rionda chose not to make substantial payments towards his taxes. Rionda did, however, make payments towards his personal mortgage, a mortgage on a business property, his credit cards, and his utility bills. In addition, Rionda also transferred millions of dollars - at least $2.7 million of his own funds - to an associate, Joseph Duva, as a purported investment.
The parties stipulate that the total criminal tax loss, including assessed interest and penalties, is $1,539,117.00.
Prior to imposing sentence, Judge Bissoon stated that Rionda engaged in "a sophisticated scheme to direct monies elsewhere and evade collection" of his taxes by the IRS.
Assistant United States Attorneys Stephen R. Kaufman and Mary M. Houghton prosecuted this case on behalf of the government.
United States Attorney Brady commended the Internal Revenue Service – Criminal Investigation for the investigation leading to the successful prosecution of Rionda.
Indictments Returned in Local Investigations of Crop Insurance FraudRead the Press Release
LEXINGTON, Ky. – In two separate indictments, a former Kentucky-based tobacco warehouse owner and two tobacco producers were indicted Thursday, and charged with engaging in a variety of crop insurance fraud and money laundering schemes.
Roger Wilson, former owner of Clay’s Tobacco Warehouse and Ag Wood, Inc., both in Mt. Sterling, Kentucky, was indicted Thursday with one count of conspiracy to defraud the United States by committing crop insurance fraud and one count of conspiracy to commit money laundering.
As charged in his indictment, Wilson agreed with others to assist numerous producers in the Central Kentucky area to conceal their tobacco production, for the purpose of filing false crop insurance claims. Wilson allegedly assisted farmers in obtaining fake tobacco purchase documentation and fake tobacco grade sheets, which the farmers would use to submit false claims of loss on their tobacco insurance policies. Wilson is also alleged to have assisted these farmers in laundering the proceeds from the crop sales they hid, using the fake documentation he helped to provide.
Separately, John D. and Kevin C. Watkins, farmers in Nicholas County and elsewhere, were charged with one count of conspiracy to defraud the United States by committing crop insurance fraud on their federal tobacco insurance policies, one count of conspiracy to commit mail and wire fraud connected to their claims of loss on their private Crop-Hail tobacco insurance policies, and one count of conspiracy to commit money laundering. John D. Watkins was also charged with four counts of crop insurance fraud, for policies in Crop Years 2011, 2012, 2013, and 2014.
As charged in this indictment, John D. Watkins underreported the amount of tobacco he produced over these four years, when he claimed damage to his tobacco crop in claims of loss on his federal tobacco insurance policies. The indictment further alleges that John. D. and Kevin C. Watkins conspired together to do the same for tobacco insurance policies in Kevin Watkins’s name. The indictment also alleges that John D. and Kevin C. Watkins presented false documentation in support of claims of loss on the private Crop Hail policies in their individual names as well as the policy in their business’s name, High Point Farms. Finally, the indictment charges that John D. and Kevin C. Watkins conspired together to launder the proceeds of their crop insurance scheme, through Clay’s Tobacco Warehouse.
John D. Watkins, and Kevin C. Watkins are set to appear for their initial appearances and arraignments on March 17 at 2 p.m. Wilson's first appearance and arraignment will be on March 17 at 2:30 p.m. All three face up to 5 years imprisonment for each count of conspiracy to defraud and up to 20 years for each count of money laundering conspiracy and wire fraud conspiracy. Additionally, John D. Watkins faces up to 30 years for each count of crop insurance fraud. However, any sentence following a conviction would be imposed by the Court, after its consideration of the U.S. Sentencing Guidelines and the federal sentencing statutes.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky, Jason M. Williams, Special Agent in Charge, United States Department of Agriculture Office of Inspector General; James Robert Brown, Jr., Special Agent in Charge, Federal Bureau of Investigation; Bryant Jackson, Special Agent in Charge, Internal Revenue Service-Criminal Investigation; and Willie Skeens, Director, Kentucky Department of Insurance Fraud Investigation Division, jointly made the announcement.
The investigations were conducted by the United States Department of Agriculture Office of Inspector General, United States Department of Agriculture Risk Management Agency, Federal Bureau of Investigation, Internal Revenue Service-Criminal Investigation, and Kentucky Department of Insurance. The United States is represented by Assistant United States Attorneys Erin Roth and Kathryn Anderson.
Any indictment is an accusation only. A defendant is presumed innocent and is entitled to a fair trial at which the government must prove guilt beyond a reasonable doubt.
-END-
Houston Man Sentenced in Beaumont Gas Pump Skimming SchemeRead the Press Release
BEAUMONT, Texas –A 36-year-old Houston man has been sentenced to prison for federal violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Carlos Garcia pleaded guilty on July 11, 2019, to conspiracy to commit access device (credit card) fraud and was sentenced to 18 months in federal prison by U.S. District Judge Thad Heartfield on March 5, 2020.
According to information presented in court, on Nov. 10, 2017, law enforcement officers responded to a suspicious activity call at the Gator’s convenience store located at 2890 Dowlen Road in Beaumont, Texas. Upon arrival, the officers located Garcia and Alfredo Angel Almaguer-Almira, along with a red Dodge truck next to a gas pump at the store. The door of the truck was open revealing a credit card skimming device consisting of a computer chip and two connector wires. There was wet caulk around the door frame and on the floorboard of the truck was a caulk gun and a screwdriver. A search of Garcia revealed he had a set of universal gas pump keys in his pocket. Forensic analysis of the skimming device found 258 credit card account numbers had been recorded without authorization, many of the numbers identified as belonging to Beaumont residents and businesses who frequently used the gasoline pumps. Bank records showed that the available credit on the 258 accounts totaled approximately $1.2 million.
Garcia and Almaguer-Almira were indicted by a federal grand jury on Oct. 3, 2019. Almaguer-Almira pleaded guilty and was sentenced to 10 months in federal prison on Jan. 9, 2020.
This case was investigated by the U.S. Secret Service and the Beaumont Police Department and prosecuted by the Assistant U.S. Attorney Robert L. Rawls.
Grand Jury Indicts Kansas Man Who Fled from TroopersRead the Press Release
TOPEKA, KAN. – A federal grand jury indicted an Olathe man Wednesday on charges of drug trafficking, U.S. Attorney Stephen McAllister said.
Dustin Schultz-Bergin, 40, Olathe, Kan., is charged with one count of possession with intent to distribute methamphetamine and one count of unlawful possession of a firearm by a felon.
According to documents filed in federal court, on Jan. 23, 2020, Kansas Highway Patrol troopers attempted to arrest Schultz-Bergin at Matfield Green service area on the Kansas Turnpike. He fled in a Nissan Altima and troopers stopped the car about 10 miles north of the service area. Schultz-Bergin was armed and troopers shot at him after he got out of the car and ran into a field. Troopers stopped him with the help of a police dog.
The Drug Enforcement Administration recovered more than 7 pounds of methamphetamine from the car and a .380-caliber handgun.
If convicted, he could face not less than 10 years in federal prison and a fine up to $10 million on the methamphetamine charge and up to 10 years and a fine up to $250,000 on the firearm charge. The Drug Enforcement Administration and the Kansas Highway Patrol investigated. Special U.S. Assistant U.S. Attorney Michelle McFarlane is prosecuting
OTHER INDICTMENTS
Matthew Joseph Gammill, 41, Lawrence, Kan., is charged with one count of possession of child pornography. The crime is alleged to have occurred Feb. 24, 2020, in Lawrence.
If convicted, he could face up to 20 years in federal prison and a fine up to $250,000. The FBI investigated. Assistant U.S. Attorney Stephen Hunting is prosecuting.
Carlos Alberto Pesina-Velasquez, who is not a U.S. citizen and who has been living in Greenleaf, Kan., is charged with one count of visa fraud and one count of unlawful possession of a firearm. The crimes are alleged to have occurred Feb. 1, 2020, in Greenleaf.
If convicted, he could face a penalty of up to 10 years and a fine up to $250,000 on each count. The Department of Homeland Security investigated. Assistant U.S. Attorney Jared Maag is prosecuting.
In all cases, defendants are presumed innocent until and unless proven guilty. The indictments merely contain allegations of criminal conduct.