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Thursday 20 February 2020
Former Vallejo Elementary School Teacher Sentenced to 10 Years in Prison for Attempted Enticement of a MinorRead the Press Release
SACRAMENTO, Calif. — Andrew Stephen Lund, 38, of Vallejo, was sentenced today by United States District Judge Troy L. Nunley to 10 years in prison for attempted online enticement of a minor to engage in sexual activity, U.S. Attorney McGregor W. Scott announced.
According to court documents, in April 2018, Lund engaged in online sexual chats with a person whom he believed to be a 14-year-old girl, but who was in fact an undercover agent. Lund was an elementary school teacher in Vallejo at the time he attempted to entice the minor.
“Teachers hold a special position of trust in our communities, and we are committed to keeping our children safe by investigating and prosecuting those who try to sexually exploit them,” said U.S. Attorney Scott.
“Our communities expect their children to be kept safe from the sexual exploitation by online predators. Homeland Security Investigations will use every tool available to aggressively track down anyone who seeks to harm children,” said Tatum King, the Special Agent in Charge of the Homeland Security Investigations San Francisco Field Office.
This case was the product of an investigation by the Homeland Security Investigations and the Silicon Valley Internet Crimes Against Children Task Force. Assistant U.S. Attorney Amy Schuller Hitchcock is prosecuting the case.
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 the United States Attorneys’ Offices and the Criminal Division’s Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute those who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc. Click on the “resources” tab for information about internet safety education.
Former Technology Company Employee Indicted for Scheme to Steal from Former EmployerRead the Press Release
SAN FRANCISCO – A federal grand jury indicted Kush Ghanshyam Patel for mail fraud in connection with an alleged scheme to defraud his former employer, announced United States Attorney David L. Anderson and United States Secret Service Special Agent in Charge Thomas C. Edwards.
According to the indictment, Patel, 28, of San Francisco, Calif., worked as an event coordinator from 2013 to 2016 at a streaming-video company headquartered in San Francisco. During his time at the company, and continuing for two years afterward, Patel engaged in a scheme to steal from his former employer. In 2014, the company’s Corporate Controller authorized Patel to make a single purchase with the company’s corporate credit card for a company marketing event. Beginning around March 2015, however, Patel started making additional unauthorized purchases. As alleged in the indictment, Patel used the corporate card to make a number of fraudulent purchases, including roundtrip international airline tickets to Milan, Italy, and high-end Air Jordan and Yeezy footwear. Patel’s unauthorized purchases allegedly continued until about August 2018—years after he left the company in 2016. According to information presented to the court at Patel’s initial appearance, the proceeds from Patel’s fraudulent scheme totaled more than $350,000.
The indictment, filed on January 9, 2020, charges Patel with two counts of mail fraud, in violation of 18 U.S.C. § 1341.
Patel was arrested in Munster, Ind. on January 30, 2020, and made his initial federal court appearance on February 14, 2018, in San Francisco. Patel was released on $100,000 bond. Patel’s next appearance is scheduled for March 31, 2020, before the Honorable William Alsup, United States District Judge.
An indictment merely alleges that crimes have been committed, and all defendants are presumed innocent until proven guilty beyond a reasonable doubt. If convicted, Patel faces a maximum sentence of 20 years in prison and a fine of $250,000, plus restitution, for each count of mail fraud. However, any sentence following conviction would be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorney Abraham Fine is prosecuting the case with the assistance Margoth Turcios. The prosecution is the result of an investigation by the United States Secret Service.
Former Substitute Teacher Sentenced for Possession of Child PornographyRead 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 Jeffrey Maciejewski, 26, of Penn Yan, NY, who was convicted of possession of child pornography involving prepubescent minors, was sentenced to serve 24 months in prison and five years supervised release by Chief U.S. District Judge Frank P. Geraci, Jr. The defendant will also be required to register as a sex offender, and was ordered to pay $15,000 in restitution to the victims who were depicted in the images that he possessed.
Assistant U.S. Attorney, Kyle Rossi, who handled the case, stated that in May 2018, the Los Angeles office of the FBI executed a federal search warrant at a residence in Solvang, California. Special agents seized a number of electronic items containing child pornography. A resident at that address admitted to using social networking sites such as Kik and Live.me to trade child pornography with others via the Internet. Based on that information, investigators identified several individuals, including the defendant, who were actively involved in the child pornography trade.
The information was sent to the Corning Office of the FBI, who, with the assistance of the Penn Yan Police Department, identified Maciejewski as a substitute teacher for the Penn Yan Central School District. Special agents acted quickly to obtain search warrants and locate Maciejewski, who was ultimately interviewed at the school district’s offices. During the interview, the defendant confessed that he in fact traded child pornography using social networking sites, including a cloud storage service, “Mega,” which is located in New Zealand.
With the help of the New Zealand Department of Internal Affairs, investigators obtained the contents of Maciejewski’s Mega account, which contained hundreds of images and videos of child pornography. The defendant’s electronic devices were also forensically examined. In total, Maciejewski possessed more than 600 images and videos of child pornography, some of which depicted the sexual abuse of infants and toddlers.
The sentencing is the result of an investigation by the Corning Office of the Federal Bureau of Investigation, Buffalo Division, under the direction of Special Agent-in-Charge Gary Loeffert; the Penn Yan Police Department, under the direction of Chief Thomas Dunham; and the New Zealand Department of Internal Affairs.
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Former President of Cecil Bank Facing Federal Indictment for A Bank Fraud Conspiracy, Receiving A Bribe, and Making False Statements in Bank Records and to Bank ExaminersRead the Press Release
Baltimore, Maryland – A federal grand jury has indicted the former President and Chief Executive Officer of Cecil Bank, Mary Beyer Halsey, age 59, of Rising Sun, Maryland, on the federal charges of conspiracy to commit bank fraud, bank fraud, receipt of a bribe by a bank official, false statement in bank records, and false statement to a bank examiner, in connection with an alleged straw purchase of a home in Rising Sun, Maryland, upon which Cecil Bank had foreclosed. The indictment was returned on February 13, 2020, and was unsealed at her initial appearance today.
The indictment was announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Mark P. Higgins of Federal Housing Finance Agency, Office of Inspector General (FHFA-OIG), Mid-Atlantic Region; Inspector General Jay N. Lerner of Federal Deposit Insurance Corporation, Office of Inspector General (FDIC/OIG); Special Inspector General Christy Goldsmith Romero for the Troubled Asset Relief Program (SIGTARP); and Inspector General Hannibal “Mike” Ware of the Small Business Administration, Office of Inspector General (SBA/OIG).
“TARP bailed out banks to stabilize financial institutions, and SIGTARP is charged with investigating fraud in banks while the bank was in TARP,” said Special Inspector General Christy Goldsmith Romero. “Bankers that break the law to personally enrich themselves will be investigated, caught, and prosecuted. I thank U.S. Attorney Robert K. Hur and his team for standing with SIGTARP in the fight against TARP-related crime.”
Cecil Bank, located in Elkton, Maryland, had received $11,560,000 in federal taxpayer funds in 2008, under the Capital Purchase Program, as part of the Troubled Asset Relief Program. On April 20, 2011, Cecil Bank initiated the foreclosure of a single-family house located at 127 Ebenezer Church Road in Rising Sun. Later that year, Cecil Bank ordered an exterior-only appraisal of the property the showed a market value of $263,000. On September 10, 2012, Cecil Bank ordered a full appraisal of the property that showed a market value of $295,000.
According to the six-count indictment, from 2012 to 2013, Halsey conspired with Daniel Whitehurst, an employee of a real estate development company that did business in Maryland, to defraud Cecil Bank and another bank to purchase a home through false pretenses, representations and promises. Specifically, the indictment alleges that Halsey agreed to help Whitehurst to obtain a $650,000 line of credit from Cecil Bank, in exchange for Whitehurst agreeing to serve as the straw purchaser of 127 Ebenezer on behalf of Halsey.
The indictment alleges: that Halsey provided Whitehurst with her personal e-mail address, so that they could communicate about the plans to purchase 127 Ebenezer; Halsey and Whitehurst understated the physical condition of the property; and that they used inappropriate residential properties as comparables to justify the sale price of $150,000 for the property, which was less than its fair market value. Halsey sought authorization from Cecil Bank’s Board of Directors to sell 127 Ebenezer to Whitehurst, but allegedly did not disclose her personal interest in the property, nor Whitehurst’s role as her nominee to acquire the property on her behalf.
Specifically, the indictment alleges that on March 28, 2012, Halsey and Whitehurst met at a restaurant in Cecil County and Halsey agreed to review Whitehurst’s request for a $650,000 personal line of credit from Cecil Bank in return for Whitehurst agreeing to secretly buy 127 Ebenezer on Halsey’s behalf. On May 9, 2012, the indictment alleges that Halsey participated in a loan committee meeting at Cecil Bank that considered and approved a $650,000 line for credit for Whitehurst.
As detailed in the indictment, on May 23, 2012, Whitehurst e-mailed Cecil Bank his offer to purchase 127 Ebenezer for $145,000, which has previously been approved by Halsey. On the same day, during a meeting of the Cecil Bank Board of Directors, Halsey advised the Board that Whitehurst had made a purchase offer of $140,000 for 127 Ebenezer, $5,000 less the actual offer, and further noted that the property had “structural deficiencies and will require significant repairs.” The Board authorized Halsey to “negotiate the best price.” Thereafter, Whitehurst submitted a contract for him to purchase 127 Ebenezer from Cecil Bank for $150,000, which Halsey signed on August 17, 2012 on behalf of Cecil Bank.
According to the indictment, in October 2012, Whitehurst applied for and obtained a $100,000 loan from another bank to purchase 127 Ebenezer, fraudulently claiming that he was purchasing the property for himself. The indictment alleges that Halsey subsequently wired $75,000 to Whitehurst’s bank account prior to the settlement of 127 Ebenezer to cover the cost of the down payment as well as closing costs and upgrades to the property that Halsey directed Whitehurst to arrange. On November 21, 2012, the settlement of 127 Ebenezer was held with Halsey representing Cecil Bank as the seller, and Whitehurst as the purported purchaser, selling the property to Whitehurst for $150,000. In December 2012, in response to a question from a bank examiner for the Federal Reserve Bank of Richmond inquiring about the sale of the property to Whitehurst, Halsey falsely stated that she was “not totally familiar with [that] property” and that the bank had difficulty marketing the property and had not listed it with a realtor because of “issues with the county over the bonds outstanding.”
Finally, the indictment alleges that Halsey and Whitehurst exchanged e-mails concerning money Halsey owed Whitehurst for improving and maintaining 127 Ebenezer, including the monthly mortgage payment and loan fees on the $100,000 loan he had secured from Rosedale Federal to purchase the property for Halsey. Halsey allegedly issued three checks to Whitehurst totaling $60,000 in response to Whitehurst’s request.
If convicted, Halsey faces a maximum sentence of 30 years in federal prison for each offense (all 6 counts have maximum sentence of 30 years): 1 Count of Conspiracy to commit bank fraud; 2 Counts of Bank Fraud; 1 Count of Receipt of Bribe by Bank Official; 1 Count of False Statement in Records; and 1 Count of False Statement to a Bank Examiner. 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. At today’s initial appearance in U.S. District Court in Baltimore, U.S. Magistrate Judge Thomas DiGirolamo ordered that Halsey be released pending trial under the supervision of U.S. Pretrial Services.
An indictment is not a finding of guilt. An individual charged by indictment is presumed innocent unless and until proven guilty at some later criminal proceedings.
Daniel Whitehurst, age 35, of Bel Air, Maryland, pleaded guilty under seal to mail fraud on April 6, 2018. His guilty plea was also unsealed today. Whitehurst faces a maximum sentence of 30 years in federal prison for conspiracy to commit bank fraud. U.S. District Judge Deborah K. Chasanow has not scheduled a date for sentencing.
United States Attorney Robert K. Hur commended the FHFA-OIG, Mid-Atlantic Region; FDIC/OIG; SIGTARP; and SBA/OIG for their work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Martin J. Clarke and Harry M. Gruber, who are prosecuting the case.
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Former Head of Airline Sentenced to Prison for FraudRead the Press Release
NEWPORT NEWS, Va. – A Suffolk man was sentenced today to two years in prison for fraud in connection with the failure of People Express Airlines in 2014 and the filing of a false income tax return.
According to court documents, Michael Morisi, 59, was the former president of People Express Airlines, Inc. (PEX), which engaged in failed start-up operations at the Newport News/Williamsburg International Airport. Morisi led the push to get PEX operational, despite a failed track record of obtaining private investments and significant outstanding liabilities. A switch to a focus on the public commitment of funds led to PEX obtaining a $5 million loan from TowneBank that was guaranteed by the Peninsula Airport Commission (PAC). The loan was funded in June 2014. Within a month, PEX had drawn down nearly the entire loan amount. PEX operated for approximately three months before suspending service due. In the aftermath of the suspension of operations, various creditors sought repayment from PEX in 2014 and 2015.
At the same time, Morisi opened new bank accounts to receive insurance proceeds and avoid the seizure of funds. Morisi provided false representations to creditors (including the PAC, which paid over $4 million to satisfy the TowneBank loan) claiming that no funds were available. He made large purported back salary payments to himself and other executives in lieu of paying creditors. When the first bank account was made subject to a state tax lien, Morisi moved accounts again so that he could receive and divert additional insurance proceeds. He also filed false tax returns for three years omitting income and failed to file returns for two additional years.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Kelly R. Jackson, Special Agent in Charge, Washington, D.C. Field Office, IRS-Criminal Investigation (IRS-CI); and Colonel Gary T. Settle, Superintendent of Virginia State Police, made the announcement after sentencing by U.S. District Judge Arenda Wright Allen. Assistant U.S. Attorneys Lisa R. McKeel and Brain J. Samuels 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. 4:19-cr-044.
Former Deputy Sheriff in Colfax County sentenced to 87 months in federal prison for drug trafficking and theft of government propertyRead the Press Release
ALBUQUERQUE, N.M. – The Honorable Judith C. Herrera, Senior United States District Judge, sentenced Vidal Sandoval, 50, of Cimarron, New Mexico, to 87 months in federal prison today for drug trafficking and theft of government property committed while Sandoval was a deputy sheriff in Colfax County, New Mexico.
In announcing the sentence, United States Attorney John C. Anderson said, “The defendant’s offenses represent a profound breach of a sacred public trust. The people of Colfax County entrusted defendant with the authority to enforce the laws and the responsibility to keep the public safe. The defendant turned around and used this authority to foster and facilitate the very type of crime he was sworn to prevent. In a day and age when service as a law enforcement officer is more challenging than ever, we will and we must ensure the integrity of law enforcement by holding accountable those few officers who betray the public trust for their personal gain.”
“When law enforcement officers betray the communities they swore to protect, it overshadows the heroic work the majority of police, deputies, and agents perform on a daily basis,” said Special Agent in Charge James C. Langenberg of the FBI’s Albuquerque Division. “The FBI, working with partners like the New Mexico State Police and Colfax County Sheriff's Office, will pursue anyone who dishonors the badge and puts the public at risk.”
“I am proud of the role we played in identifying this defendant’s criminal behavior and holding him accountable,” said Tim Johnson, Chief of the New Mexico State Police. “His actions were an egregious violation of public trust. Thorough investigation and continuing cooperation between agencies again yielded just results.”
Sandoval pleaded guilty on July 13, 2016, to one count of attempted possession with intent to distribute cocaine and two counts of theft of government property. Sandoval did not enter into a plea agreement with the prosecution. According to public court records and statements made in court, Sandoval was employed as a deputy sheriff when he committed the charged offenses. He received training in how to properly handle evidence. Sandoval knew he was forbidden to keep money and other property he seized while executing his official duties.
While on duty on Dec. 15, 2014, Sandoval stole money from two motorists whom he believed to be drug traffickers transporting the proceeds from the sale of illegal drugs. After Sandoval found $8,000 in cash in the motorists’ vehicle during a traffic stop, he called a friend, Leon Herrera, and enlisted Herrera to tell the motorists that Herrera was a law enforcement officer. At the conclusion of the traffic stop, Sandoval retained $7,500 for his personal use and did not turn it into the sheriff’s department. He returned $500 to the motorists. Sandoval later learned that the cash belonged to the FBI and that the two motorists whom he suspected of being drug traffickers were actually undercover officers.
On Feb. 28, 2015, Sandoval accepted $10,000 in cash to escort a load of illegal drugs through Colfax County into Colorado. Sandoval traveled to Wagon Mound, New Mexico in his patrol car and while wearing his uniform, where he met a motorist whom he believed to be a drug trafficker. Sandoval accepted $5,000 from the motorist. During their conversation, the motorist displayed a box containing cocaine and Sandoval understood that the motorist was going to Colorado with the intention of selling the cocaine. After instructing the motorist to drive a few car lengths behind him, Sandoval drove through Colfax County and into Colorado, where he again met with the motorist and received another $5,000. Sandoval retained the $10,000 for his personal use instead of turning it into the Colfax County Sheriff’s Department. Sandoval later learned that the $10,000 belonged to the FBI and that the motorist whom he suspected of being a drug trafficker was actually an undercover officer. Sandoval also learned that the box displayed by the undercover officer contained two kilograms of cocaine and three kilograms of “sham” cocaine.
Sandoval must serve four years of supervised release following his term of imprisonment. He must also forfeit $19,500 in proceeds from his crimes.
The FBI investigated this case with the New Mexico State Police. Assistant U.S. Attorney Sean J. Sullivan prosecuted the case.
Former Delaware State University Officer Sentenced to 15 Months' Incarceration in Federal Bribery CaseRead the Press Release
WILMINGTON, Del. – David C. Weiss, United States Attorney for the District of Delaware, announced today that Crystal Martin, former Associate Registrar at Delaware State University, was sentenced to 15 months’ incarceration today by the Honorable Richard G. Andrews, United States District Judge for the District of Delaware.
According to court documents and statements made in open court, between 2013 and 2017, Martin accepted bribes from co-defendant Stephen Williams in order to change the registration status of hundreds of out-of-state students, falsely qualifying them for in-state tuition. Using forged residency documents prepared by her co-conspirator, Martin’s actions allowed these students to pay reduced tuition, when in fact, she knew these students should be paying the higher rate for out-of-state residents. The out-of-state students paid Williams for this fraudulent service, who in turn paid Martin, and during the scheme Martin personally collected thousands of dollars in bribe payments. The loss to Delaware State University in reduced tuition payments during this four-year-period exceeded $3 million.
U.S. Attorney Weiss stated, “The citizens of Delaware depend on public officials to perform their work honestly and to put the public interest first. The defendant did the opposite when she accepted bribe after bribe to change the registration status of out-of-state students and deprive a public institution of millions of dollars. How much she personally profited matters little. She sold out Delaware State University and the people of Delaware. With the help of our dedicated law enforcement partners, my office will continue to prosecute individuals who violate the public trust.”
“We look to our University leaders to stand for integrity and fairness, but the defendant violated that trust when she took part in this scheme to steal from the taxpayers of Delaware,” said Jennifer Boone, special agent in charge of the Baltimore Division of the FBI. “Today’s sentence shows those actions have severe consequences and the FBI stands ready to hold accountable anyone who abuses the system for their own personal gain.”
"With today’s action, the two people who perpetrated this fraud scam not only against Delaware State University but America’s taxpayers have now been sentenced and held accountable for their fraudulent actions,” said Geoffrey Wood, Special Agent in Charge of the U.S. Department of Education Office of Inspector General’s Eastern Regional Office. “I am proud of the contribution of OIG Special Agents and our law enforcement partners for their work in the case and commitment to protecting Federal education funds from such abuse.”
This case was investigated by the FBI Baltimore Division’s Wilmington Office, the United States Department of Education, and Delaware State Police, with assistance from the Delaware Attorney General’s Office. The case is being prosecuted by Assistant U.S. Attorneys Whitney C. Cloud and Laura D. Hatcher.
Former DIA Employee Pleads Guilty to Leaking Classified National Defense Information to JournalistsRead the Press Release
An employee of the Defense Intelligence Agency (DIA) pleaded guilty today to charges related to his disclosure of classified national defense information (NDI) to two journalists in 2018 and 2019.
“Frese violated the trust placed in him by the American people when he disclosed sensitive national security information for personal gain,” said Assistant Attorney General for National Security John C. Demers. “He alerted our country’s adversaries to sensitive national defense information, putting the nation’s security at risk. The government takes these breaches seriously and will use all the resources at our disposal to apprehend and prosecute those who jeopardize the safety of this country and its citizens.”
“Henry Kyle Frese was entrusted with Top Secret information related to the national defense of our country,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Frese violated that trust, the oath he swore to uphold, and engaged in felonious conduct at the expense of our country. This case should serve as a clear reminder to all of those similarly entrusted with National Defense Information that unilaterally disclosing such information for personal gain, or that of others, is not selfless or heroic, it is criminal.”
“Mr. Frese violated his sworn oath to protect the American people and uphold the Constitution of the United States by using his access to the United States’ most sensitive information and steal state secrets for nothing more than personal gain,” said Robert Wells, Acting Assistant Director of the FBI's Counterintelligence Division. “The men and women of the FBI who investigated this case swore the same oath but unlike Mr. Frese, they chose to uphold it. I am proud of the work they did to hold Mr. Frese accountable for his actions.”
"By disseminating the same classified information he had pledged to protect, Henry Kyle Frese put the US and our national defense equities in danger," said Timothy R. Slater, Assistant Director in Charge of the FBI's Washington Field Office. "The US Government and the American public depend on trusted government employees to keep such information out of the hands of our adversaries, who could use it to cause us harm. The FBI's counterintelligence mission is to protect our country's information and secrets in order to safeguard our future; and the men and women of the FBI will continue to work hard to preserve that information."
According to court documents, Henry Kyle Frese, 31, of Alexandria, was employed by DIA as a counterterrorism analyst from February 2018 to October 2019, and held a Top Secret//Sensitive Compartmented Information security clearance. United States government agencies have confirmed that in the spring and summer of 2018, News Outlet 1 published eight articles, all authored by the same journalist (Journalist 1) that contained classified NDI that related to the capabilities of certain foreign countries’ weapons systems. These articles contained classified intelligence from five intelligence reports (the Compromised Intelligence Reports) made available to appropriately cleared recipients in the first half of 2018. The topic of all of these initial five Compromised Intelligence Reports – foreign countries’ weapons systems – was outside the scope of Frese’s job duties as an analyst covering CT topics. The media articles, and the intelligence reporting from which they were derived, both contained information that is classified up to the TS//SCI level, indicating that its unauthorized disclosure could reasonably be expected to result in exceptionally grave damage to the national security. The intelligence reporting was marked as such.
According to court documents, Frese and Journalist 1 lived together at the same residential address from January 2018 to November 2018. Throughout 2018 and 2019, Frese and Journalist 1 “followed” each other on Twitter, and on at least two occasions Frese re-Tweeted Journalist 1’s Tweets announcing the publications of articles containing NDI classified at the Top Secret level.
In or about April of 2018, Journalist 1 introduced Frese to a second journalist (Journalist 2). Subsequently, Frese began texting and speaking with Journalist 2 by telephone. Between mid-2018 and late September 2019, Frese orally transmitted NDI classified at the Top Secret level to Journalist 1 on 12 separate occasions, and orally transmitted NDI classified at the Secret level to Journalist 1 on at least four occasions. Frese knew the information was classified at the Secret and Top Secret levels because the intelligence products from which he had learned the classified information had visible classification markings as to the classification level of the information, and the intelligence products accessed by Frese were stored on secure, classified government information systems.
In relation to one of the 12 times Frese orally transmitted Top Secret NDI to Journalist 1, in or about mid-April to early May 2018, Frese accessed an intelligence report unrelated to his job duties on multiple occasions, which contained NDI classified at the Top Secret//SCI level (Intelligence Report l). A week after Frese accessed Intelligence Report 1 for the second time, Frese received an April 27, 2018 Twitter Direct Message (DM) from Journalist 1 asking whether Frese would be willing to speak with Journalist 2. Frese stated that he was “down” to help Journalist 2 if it helped Journalist 1 “progress.” During the same April 27, 2018, Twitter exchange, Journalist 1 indicated that a certain United States military official told Journalist 2 that the official was not aware of the subject matter discussed in Intelligence Report 1. Frese characterized the official’s denial as “weird” and commented on the source of information contained within Intelligence Report 1.
Several days after the April 27, 2018, Twitter exchange, Frese searched on a classified United States government computer system for terms related to the topics contained in Intelligence Report 1. A few hours after searching for terms related to the topic of Intelligence Report l, Frese spoke by telephone with Journalist 1, and several hours later he spoke by telephone with Journalist 2. Immediately after the call with Journalist 2, Journalist 1 called Frese. During at least one of the calls with Journalist 1 and Journalist 2, Frese orally passed Top Secret NDI derived from Intelligence Report 1. Approximately 30 minutes after Frese spoke with the two journalists, Journalist 1 published an article (Article 1) which contained Top Secret NDI, orally communicated by Frese and derived from Intelligence Report 1 classified at the Top Secret//SCI level.
On at least 30 separate occasions in 2018, Frese conducted searches on classified government systems for information regarding the classified topics he discussed with Journalists 1 and 2. On multiple occasions in 2018 and 2019, Frese conducted searches on classified government systems because of specific requests for information from Journalists 1 and 2.
Additionally, between early 2018 and October 2019, Frese communicated with an employee of an overseas CT consulting group (Consultant 1) via social media. On at least two occasions, Frese transmitted classified NDI related to CT topics to Consultant 1, using a social media site’s direct messaging feature.
Frese pleaded guilty to the willful transmission of Top Secret national defense information, and faces a maximum penalty of 10 years in prison when sentenced on June 18, 2020, at 9:30 am. 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.
Assistant U.S. Attorneys Neil Hammerstrom and Danya E. Atiyeh, and Trial Attorney Jennifer Kennedy Gellie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
Former DIA Employee Pleads Guilty to Leaking Classified Information to JournalistsRead the Press Release
WASHINGTON – A former employee of the Defense Intelligence Agency (DIA) pleaded guilty today to charges related to his disclosure of classified national defense information (NDI) to two journalists in 2018 and 2019.
“Henry Kyle Frese was entrusted with Top Secret information related to the national defense of our country,” said G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia. “Frese violated that trust, the oath he swore to uphold, and engaged in felonious conduct at the expense of our country. This case should serve as a clear reminder to all of those similarly entrusted with National Defense Information that unilaterally disclosing such information for personal gain, or that of others, is not selfless or heroic, it is criminal.”
“Frese violated the trust placed in him by the American people when he disclosed sensitive national security information for personal gain,” said Assistant Attorney General for National Security John C. Demers. “He alerted our country’s adversaries to sensitive national defense information, putting the nation’s security at risk. The government takes these breaches seriously and will use all the resources at our disposal to apprehend and prosecute those who jeopardize the safety of this country and its citizens.”
“Mr. Frese violated his sworn oath to protect the American people and uphold the Constitution of the United States by using his access to the United States’ most sensitive information and steal state secrets for nothing more than personal gain,” said Robert Wells, Acting Assistant Director of the FBI's Counterintelligence Division. “The men and women of the FBI who investigated this case swore the same oath but unlike Mr. Frese, they chose to uphold it. I am proud of the work they did to hold Mr. Frese accountable for his actions.”
“By disseminating the same classified information he had pledged to protect, Henry Kyle Frese put the US and our national defense equities in danger,” said Timothy R. Slater, Assistant Director in Charge of the FBI's Washington Field Office. “The US Government and the American public depend on trusted government employees to keep such information out of the hands of our adversaries, who could use it to cause us harm. The FBI's counterintelligence mission is to protect our country's information and secrets in order to safeguard our future; and the men and women of the FBI will continue to work hard to preserve that information.”
According to court documents, Henry Kyle Frese, 31, of Alexandria, was employed by DIA as a counterterrorism analyst from February 2018 to October 2019, and held a Top Secret//Sensitive Compartmented Information security clearance. United States government agencies have confirmed that in the spring and summer of 2018, News Outlet 1 published eight articles, all authored by the same journalist (Journalist 1) that contained classified NDI that related to the capabilities of certain foreign countries’ weapons systems. These articles contained classified intelligence from five intelligence reports (the Compromised Intelligence Reports) made available to appropriately cleared recipients in the first half of 2018. The topic of all of these initial five Compromised Intelligence Reports – foreign countries’ weapons systems – was outside the scope of Frese’s job duties as an analyst covering CT topics. The media articles, and the intelligence reporting from which they were derived, both contained information that is classified up to the TS//SCI level, indicating that its unauthorized disclosure could reasonably be expected to result in exceptionally grave damage to the national security. The intelligence reporting was marked as such.
According to court documents, Frese and Journalist 1 lived together at the same residential address from January 2018 to November 2018. Throughout 2018 and 2019, Frese and Journalist 1 “followed” each other on Twitter, and on at least two occasions Frese re-Tweeted Journalist 1’s Tweets announcing the publications of articles containing NDI classified at the Top Secret level.
In or about April of 2018, Journalist 1 introduced Frese to a second journalist (Journalist 2). Subsequently, Frese began texting and speaking with Journalist 2 by telephone. Between mid-2018 and late September 2019, Frese orally transmitted NDI classified at the Top Secret level to Journalist 1 on 12 separate occasions, and orally transmitted NDI classified at the Secret level to Journalist 1 on at least four occasions. Frese knew the information was classified at the Secret and Top Secret levels because the intelligence products from which he had learned the classified information had visible classification markings as to the classification level of the information, and the intelligence products accessed by Frese were stored on secure, classified government information systems.
In relation to one of the 12 times Frese orally transmitted Top Secret NDI to Journalist 1, in or about mid-April to early May 2018, Frese accessed an intelligence report unrelated to his job duties on multiple occasions, which contained NDI classified at the Top Secret//SCI level (Intelligence Report l). A week after Frese accessed Intelligence Report 1 for the second time, Frese received an April 27, 2018 Twitter Direct Message (DM) from Journalist 1 asking whether Frese would be willing to speak with Journalist 2. Frese stated that he was “down” to help Journalist 2 if it helped Journalist 1 “progress.” During the same April 27, 2018, Twitter exchange, Journalist 1 indicated that a certain United States military official told Journalist 2 that the official was not aware of the subject matter discussed in Intelligence Report 1. Frese characterized the official’s denial as “weird” and commented on the source of information contained within Intelligence Report 1.
Several days after the April 27, 2018, Twitter exchange, Frese searched on a classified United States government computer system for terms related to the topics contained in Intelligence Report 1. A few hours after searching for terms related to the topic of Intelligence Report l, Frese spoke by telephone with Journalist 1, and several hours later he spoke by telephone with Journalist 2. Immediately after the call with Journalist 2, Journalist 1 called Frese. During at least one of the calls with Journalist 1 and Journalist 2, Frese orally passed Top Secret NDI derived from Intelligence Report 1. Approximately 30 minutes after Frese spoke with the two journalists, Journalist 1 published an article (Article 1) which contained Top Secret NDI, orally communicated by Frese and derived from Intelligence Report 1 classified at the Top Secret//SCI level.
On at least 30 separate occasions in 2018, Frese conducted searches on classified government systems for information regarding the classified topics he discussed with Journalists 1 and 2. On multiple occasions in 2018 and 2019, Frese conducted searches on classified government systems because of specific requests for information from Journalists 1 and 2.
Additionally, between early 2018 and October 2019, Frese communicated with an employee of an overseas CT consulting group (Consultant 1) via social media. On at least two occasions, Frese transmitted classified NDI related to CT topics to Consultant 1, using a social media site’s direct messaging feature.
Frese pleaded guilty to the willful transmission of Top Secret national defense information, and faces a maximum penalty of 10 years in prison when sentenced on June 18, 2020, at 9:30 am. 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.
Assistant U.S. Attorneys Neil Hammerstrom and Danya E. Atiyeh, and Trial Attorney Jennifer Kennedy Gellie of the National Security Division’s Counterintelligence and Export Control Section are prosecuting the case.
Former Chief Executive Officer of SEMAC Sentenced for Wire Fraud in Connection with His Theft of over $3.4 Million from SEMACRead the Press Release
Anthony Vespa, 55, was sentenced yesterday to 36 months in prison after having pleaded guilty to charges of Wire Fraud in connection with his employment as CEO of Southeast Michigan Accountable Care (SEMAC) announced United States Attorney Matthew Schneider
Schneider was joined in the announcement by Steven D’Antuono, Special Agent in Charge of the Detroit, Michigan office of the Federal Bureau of Investigation (FBI).
The Honorable David M. Lawson sentenced Anthony Vespa to serve 36 months in federal prison following his conviction for Wire Fraud by stealing $3,445,545.44 of SEMAC’s money. Following his release from prison, Vespa will serve a two year term of supervised release and was also ordered to pay restitution and forfeiture in the amount of $3,445,545.44 for the money he stole from SEMAC.
During the scheme to defraud, Anthony Vespa was employed as the executive director of SEMAC. SEMAC was founded in 2010 as an Accountable Care Organization and was a physician led network of physicians who partnered with Medicare to provide and improve healthcare for patients.
Included in SEMAC’s contract with Medicare was an agreement that SEMAC physicians would participate in Medicare’s shared savings program. This program provided a yearly payment to SEMAC physicians representing a percentage of the total amount SEMAC saved Medicare that year. The payment from Medicare to SEMAC for the calendar year 2016 was $3,947,000 paid on October 23, 2017. The vast majority of the money illegally taken by Vespa came from this payment.
Anthony Vespa’s scheme to defraud was uncovered during the summer of 2017 when an audit of SEMAC’s checking account was conducted and misappropriated funds were discovered. Vespa was terminated in August 2017, but in September 2017, without SEMAC’s knowledge or authority, he opened a new account for SEMAC. The new account information was communicated to Medicare and used by Medicare to transfer the 2016 shared savings bonus to SEMAC. All of this took place without SEMAC’s approval or knowledge. As soon as the Medicare bonus was deposited into his account Vespa wrote checks, wire transferred money out of the account and used most of the funds for his own benefit.
United States Attorney Matthew Schneider commended the outstanding work of the FBI in conducting a comprehensive criminal investigation into this scheme to defraud.
“Medicare’s shared savings program is intended to promote the effective delivery of medical services by rewarding physicians who provide excellent patient care in the most efficient way possible. The public has a right to trust that the tax dollars they pay to support Medicare programs are used for their intended purpose. This prosecution serves as a warning that we will relentlessly pursue anyone who steals Medicare funds for their own personal use.”
“The defendant had a fiduciary responsibility to safeguard the funds of the victims' who trusted him to that task. Even after his scheme to defraud was uncovered, the defendant continued his deceitful scheme to defraud which makes it even more reprehensible,” said FBI Special Agent in Charge D’Antuono. “Today’s sentence should send a clear message that the FBI will vigorously pursue those who seek to lie, cheat, and steal from our hardworking citizens.”
This case was investigated by special agents of the FBI and prosecuted by Assistant United States Attorney Karen Reynolds.
Former Camden County Deputy Sentenced for Child PornographyRead the Press Release
JEFFERSON CITY, Mo. – A former Camden County, Missouri, sheriff’s deputy was sentenced in federal court today for receiving child pornography.
Leonard Jerome Wilson, 41, formerly of Camdenton, Missouri, was sentenced by U.S. District Judge Stephen R. Bough to eight years in federal prison without parole. The court also sentenced Wilson to serve 10 years of supervised release following incarceration.
Under the terms of his plea agreement, Wilson was required to surrender his peace officer license and enter guilty pleas in two related state cases.
Wilson, who pleaded guilty on Oct. 17, 2019, was employed as a Camden County sheriff’s deputy at the time of the offenses. During an internal investigation for allegations of sexual misconduct and behavior while he was both on and off duty, deputies obtained a tablet and two cell phones used by Wilson. One cell phone contained a MicroSD card with 18 images of child pornography and 49 images of child erotica. All of the images were of infant, toddler, and prepubescent children.
This case was prosecuted by Assistant U.S. Attorneys Ashley S. Turner and Aaron M. Maness. It was investigated by the Camden County, Mo., Sheriff’s Department, the Missouri State Technical Assistance Team and Immigration and Customs Enforcement's (ICE) Homeland Security Investigations (HSI).
Project Safe Childhood
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 the United States Attorneys' Offices and the Criminal Division's Child Exploitation and Obscenity Section, Project Safe Childhood marshals federal, state, and local resources to locate, apprehend, and prosecute individuals who sexually exploit children, and to identify and rescue victims. For more information about Project Safe Childhood, please visit www.usdoj.gov/psc . For more information about Internet safety education, please visit www.usdoj.gov/psc and click on the tab "resources."Florida Man Sentenced for Conspiracy to Re-Sell Diverted Pharmaceutical Products and Wire FraudRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that DAVID RODRIGUEZ, age 49, a resident of Miami, Florida, was sentenced on Wednesday, February 19, 2020, after pleading guilty to conspiracy to commit theft of medical products and conspiracy to commit wire fraud.
RODRIGUEZ was sentenced to 36 months imprisonment with credit for time served, supervised release for a term of 3 years, and a $200.00 special assessment. RODRIGUEZ was also ordered to pay restitution in the amount of $203,000.
According to court documents, beginning sometime prior to December 2012, RODRIGUEZ and others conspired to use Marea Distributors and Logistics, LLC, in Louisiana and Marea Distributors, LLC, in Florida to re-sell fraudulently diverted pharmaceuticals. Working together, the defendants would collect dispensed drugs of known and unknown origin, counterfeit drugs, expired drugs, and drugs not authorized for resale and then fraudulently reintroduce them into the pre-retail, wholesale market for eventual sale under false pretenses to pharmacies and end users. As part of the conspiracy, the defendants created false invoices and documents of origin that were transmitted by wire to their customers.
U.S. Attorney Strasser praised the work of the United States Drug Enforcement Administration, Internal Revenue Service, Food and Drug Administration, and the Miami Dade Police Department, in investigating this matter. The case was prosecuted by Assistant United States Attorneys Theodore R. Carter, III, and David Haller.
Fitchburg Man Charged in Fentanyl and Crack Cocaine ConspiracyRead the Press Release
BOSTON – A Fitchburg man was arrested yesterday and charged in federal court in Boston with participating in a fentanyl and crack cocaine trafficking conspiracy.
Alberto Nunez, 45, was charged with one count of conspiracy to distribute and possess with intent to distribute fentanyl and cocaine base, commonly known as crack cocaine. Following an initial appearance in federal court in Boston, Nunez was detained pending a detention hearing set for Feb. 26, 2020.
According to court documents, Nunez conspired with others to distribute and possess with intent to distribute both fentanyl and cocaine base between approximately November 2019 through February 2020, in Worcester County and elsewhere in Massachusetts.
The charge of conspiracy to distribute fentanyl or cocaine base provides for a sentence of up to 20 years in prison, at least three years of supervised release and a fine of up to $1 million. Sentences are imposed by a federal district court judge based upon the U.S. Sentencing Guidelines and other statutory factors.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; Commissioner Carol Mici of the Massachusetts Department of Correction; and Colonel Christopher Mason, Superintendent of the Massachusetts State Police made the announcement today. The Fitchburg and Lunenburg Police Departments also provided valuable assistance with the investigation. Assistant U.S. Attorney Alathea Porter of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The details contained in the charging documents are allegations. The defendants are presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
Federal Jury Convicts Terry Lee Gilbreath on Production of Child PornographyRead the Press Release
Knoxville, Tenn. – On February 19, 2020, following a two-day trial, Terry Lee Gilbreath, 57, of Madisonville, Tennessee, was convicted by a jury on two counts of production of child pornography in the United States District Court.
Sentencing is set for June 16, 2020, at 2:00p.m., in United States District Court at Knoxville. Terry Lee Gilbreath faces a sentence of 15 to 30 years in prison, a lifetime of supervision and placement on the sex offender registry.
The evidence presented at trial proved the defendant befriended an eight-year-old girl at a yard sale, drove her home, and immediately inserted himself into the lives of her vulnerable family. The proof further showed that within a month, the defendant videoed and photographed his sexual molestation of the eight-year-old child.
“Cases such as this offend the sensibilities of all decent persons. The perpetrators are reprehensible for their victimization of vulnerable and innocent children,” said United States Attorney J. Douglas Overbey. “Those who use and abuse our children for pornographic purposes and the gratification of their sexual perversions will be prosecuted to the full extent of the law and deserve the harshest of punishments.
Law enforcement agencies taking part in the joint investigation which led to indictment and subsequent conviction of Terry Lee Gilbreath included Homeland Security Investigations (HSI), Knoxville Police Department Internet Crimes Against Children Unit, Madisonville Police Department and Monroe County Sheriff’s office.
Assistant U.S. Attorney Jennifer Kolman represented the United States.
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Federal Indictment Charges Charlotte Man with Sex Trafficking A Minor and Child PornographyRead the Press Release
CHARLOTTE, N.C. – A bill of indictment was unsealed in federal court today, charging Bryan Lee Ragon, 43, of Charlotte, with sex trafficking of a minor, production of child pornography, transportation of a minor, and receipt of child pornography, announced Andrew Murray, U.S. Attorney for the Western District of North Carolina. The indictment was returned by a grand jury sitting in Charlotte on Tuesday, February 18, 2020, and was unsealed following Ragon’s arrest this morning.
Ronnie Martinez, Special Agent in Charge of U.S. Immigration and Customs Enforcement’s (ICE) Homeland Security Investigations (HSI) in Charlotte, and Robert Schurmeier, Director of the North Carolina State Bureau of Investigation, join U.S. Attorney Murray in making today’s announcement.
The criminal indictment charges Ragon with allegedly sex trafficking a minor in the Western District of North Carolina, Wisconsin, and elsewhere, from December 16, 2015, to December 31, 2015. The indictment also alleges that in December 2015, Ragon knowingly produced a visual depiction of the minor engaging in sexually explicit conduct, and that he knowingly transported the minor across state lines for the purpose of engaging in illegal sexual activity. The indictment further alleges that, in December 2015, Ragon received material containing child pornography.
Ragon had his initial appearance in federal court in Charlotte before U.S. Magistrate Judge David C. Keesler and remains in federal custody. Ragon’s next court hearing has been scheduled for Tuesday, February 25, 2020, at 11:35 a.m.
The sex trafficking of a minor charge carries a mandatory minimum penalty of 10 years and a maximum of life in prison. The production of child pornography charge carries a mandatory minimum penalty of 15 years and a maximum of 30 years in prison. The transportation of a minor charge carries a mandatory minimum penalty of 10 years and a maximum of life in prison. The receipt of child pornography charge carries a mandatory minimum of five years and a maximum of 20 years in prison.
The charges contained in the indictment are allegations. The defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt in a court of law.
In making today’s announcement, U.S. Attorney Murray commended HSI and SBI for their investigation of this case, which led to the federal charges, and thanked the Charlotte-Mecklenburg Police Department for their assistance with Ragon’s arrest today. U.S. Attorney Murray also thanked the Wisconsin Department of Justice Division of Criminal Investigation for their invaluable assistance and the U.S. Attorney’s Office for the Western District of Wisconsin for their continued cooperation and coordination.
Assistant U.S. Attorney Emily Wasserman, of the U.S. Attorney’s office in Charlotte, is handling the prosecution.
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.
Drug Traffickers Glorified in Narco Ballad Sentenced to 37 Years in Federal PrisonRead the Press Release
Two drug traffickers from Michoacán, Mexico were sentenced to a combined 37 years in federal prison today after prosecutors admitted into evidence a song glorifying their criminal lifestyle, announced U.S. Attorney for the Northern District of Texas Erin Nealy Cox.
Felix Giovanni Ruiz Mendoza, 27, pleaded guilty in November 2018 to conspiracy to possess with intent to distribute methamphetamine and was sentenced today by U.S. District Judge Sam A. Lindsay to 18 years imprisonment. His younger brother, coconspirator Gustavo Ruiz Mendoza, 24, pleaded guilty in January 2019 to the same charge and was sentenced today to 19 years imprisonment.
The brothers, who were in the United States illegally at the time of their arrests, were found in control of more than 90 kilograms of meth with a wholesale value of approximately $500,000 in June 2018.
In plea papers, the Ruiz Mendozas admitted they conspired to prepare and deal drugs out of two residences in Balch Springs, Texas. The elder brother admits that he used one property as a “methamphetamine conversion lab” and the other as a meth distribution house, and that some of the money he made from dealing was sent to Mexico to cover importation fees.
At the sentencing hearing today, prosecutors played a narco corrido, a narrative ballad used by the cartels to glorify their violent criminal lifestyle. The song, Guiovani Ruiz (listen here), is written from the perspective of the elder Mr. Ruiz Menodza, and details the law enforcement raid of his meth house and ensuing imprisonment:
“The FBI, SWAT, police and other government dogs fell upon me,” the song says in Spanish. “I will pay them for my crime.”Experts at the sentencing testified that the band – which is not accused of criminal activity – likely had to get permission from the at least one of the cartels in control of the area around Michoacán in order to write and perform the piece, which the drug traffickers used as propaganda glamorizing their way of life. (Cartel control of Michoacán has shifted back and forth over the years between La Familia Michoacán, Los Caballeros Templarios, Los Viagras, and Cartel Nueva Generación de Jalisco, or CJNG.)
The Federal Bureau of Investigation’s Dallas Field Office, the Dallas Police Department, Balch Springs Police Department, and IRS - Criminal Investigation conducted the investigation. Assistant U.S. Attorney George Leal prosecuted both cases.
The cases are part of an Organized Crime Drug Task Force (OCDETF) investigation. The OCDETF program was established in 1982 to attack and reduce the supply of illegal drugs entering the United States and to diminish violence and other criminal activity associated with the drug trade. The OCDETF program works with federal, state, and local law enforcement agencies to identify, disrupt, and dismantle, drug traffickers and drug trafficking networks.
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Dorchester Man Sentenced for Federal Narcotics and Firearms ChargesRead the Press Release
BOSTON – A Dorchester man was sentenced today in federal court in Boston for his role in a wide-ranging operation that distributed heroin and fentanyl throughout Cape Cod.
James Ramirez, 57, was sentenced by U.S. District Court Judge William G. Young to 66 months in prison and five years of supervised release. The Court also ordered forfeiture of Ramirez’s Boston condominium, his Ford F-150 truck and a money judgment of $250,000. In November 2017, Ramirez pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute cocaine and 400 grams or more of fentanyl as well as possession of a firearm by a convicted felon.
Ramirez was one of four defendants arrested as part of a drug ring that shipped large quantities of fentanyl, cocaine and heroin from Boston to Cape Cod, where it was then redistributed. Ramirez and alleged co-defendant Kelvin Chalas, a/k/a Jose Solivan, supplied drugs to Alex and Kevin Fraga, brothers located on Cape Cod. On Aug. 16, 2017, Kevin and Alex Fraga were arrested by federal investigators after large quantities of fentanyl, heroin and cocaine were seized. Approximately one week later, Chalas and Ramirez were arrested, and law enforcement seized fentanyl pills and powdered fentanyl from a drug stash house in Dorchester, Ramirez’s home in Dorchester, and a safety deposit box at Santander Bank in Dorchester, where officers investigators also seized a pistol.
Alex Fraga was sentenced to 131 months in prison and Kevin Fraga was sentenced to 45 months in prison. Chala’s case remains pending and he is presumed innocent until proven guilty beyond a reasonable doubt in a court of law.
United States Attorney Andrew E. Lelling; Brian D. Boyle, Special Agent in Charge of the Drug Enforcement Administration, New England Field Division; Colonel Christopher Mason, Superintendent of the Massachusetts State Police; Kelly D. Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; Kristina O’Connell, Special Agent in Charge of the Internal Revenue Service’s Criminal Investigation in Boston; and Cape and Islands District Attorney Michael O’Keefe made the announcement today. The Brewster, Harwich, Sandwich, Mashpee, Chatham, Yarmouth, and Barnstable Police Departments and the Barnstable County Sheriff’s Department provided assistance with the investigation. Assistant U.S. Attorneys Alathea Porter, and Philip Cheng of Lelling’s Criminal Division prosecuted the case.
Dominican National Sentenced for Fentanyl Trafficking and Aggravated Identity TheftRead the Press Release
BOSTON – A Dominican national was sentenced today in federal court in Boston for fentanyl trafficking and using the Social Security number of a U.S. citizen to obtain a driver’s license.
Santo Patricio Lugo Santos, 43, was sentenced by U.S. District Court Judge Richard G. Stearns to 72 months in prison. Lugo Santos will be subject to deportation upon completion of his sentence. In October 2019, Lugo Santos pleaded guilty to two counts of distribution of and possession with intent to distribute more than 40 grams of fentanyl, one count of false representation of a Social Security number, and one count of aggravated identity theft. Lugo Santos has been in custody since his arrest on Feb. 14, 2019.
According to charging documents, Lugo Santos made two sales of fentanyl to a cooperating witness in October 2016 and January 2017. Additionally, in July 2018, he used the Social Security number of a U.S. citizen to obtain a Massachusetts driver’s license.
United States Attorney Andrew E. Lelling and Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division, made the announcement today. The case was investigated by the OCDETF Strike Force with assistance from the Suffolk County Sheriff’s Office and the Boston Police Department. Assistant U.S. Attorney Stephen W. Hassink of Lelling’s Narcotics and Money Laundering Unit is prosecuting the case.
The operation was conducted by a multi-agency task force through the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership between federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt and dismantle the most serious drug trafficking, weapons trafficking and money laundering organizations, and those primarily responsible for the nation’s illegal drug supply. More information on the OCDETF program is available here: https://www.justice.gov/ocdetf/about-ocdetf.
Dallas Felon Sentenced for Federal Firearms ViolationsRead the Press Release
TYLER, Texas – A 46-year-old Dallas man has been sentenced to federal prison for firearms violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Steven Ray Breckenridge pleaded guilty on Oct. 7, 2019, to being a felon in possession of a firearm and was sentenced to 51 months in federal prison today by U.S. District Judge Jeremy D. Kernodle.
According to information presented in court, on June 19, 2019, Breckenridge was stopped in Canton, Texas by law enforcement. A search of the vehicle was conducted as Breckenridge had an active warrant. During the search, officers located a pistol. Further investigation revealed Breckenridge was a convicted felon, having been previously convicted of eight felonies. It is a violation of federal law for a convicted felon to own or possess a firearm or ammunition. Breckenridge was indicted by a federal grand jury on Aug. 21, 2019, and charged with federal firearms violations.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence, deterring illegal possession of guns, ammunition and body armor, and improving the safety of residents in the Eastern District of Texas. Participants in the initiative include community members and organizations as well as federal, state and local law enforcement agencies.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms, and Explosives and the Van Zandt County Sheriff’s Office and prosecuted by Assistant U.S. Attorney Frank Coan.
DEA announces launch of Operation Crystal ShieldRead the Press Release
NEW ORLEANS – Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced the DEA will direct enforcement resources to methamphetamine "transportation hubs" — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and St. Louis. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds from FY 2017 to FY 2019. During the same time frame, the number of DEA arrests related to methamphetamine rose nearly twenty percent.
"For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away," said Acting Administrator Dhillon. "With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads."
DEA New Orleans Field Division Special Agent in Charge Brad L. Byerley said, "Methamphetamine destroys lives and is one of the primary drivers of violence across the nation, including here in our four-state region. Operation Crystal Shield will build on DEA’s ongoing
efforts to hold meth dealers accountable. We will continue to seize their profits, shut down their distribution networks, and put dealers where they belong – behind bars. By continuing to target local distribution networks in this transportation hub, DEA and our federal, state and local law enforcement partners are working to reduce violent crime and improve the quality of life for the citizens in our area and beyond."
"Methamphetamine is a treacherous drug and this enforcement operation demonstrates the arduous work of our law enforcement partners in their efforts to weaken its destructive impact on our communities," said Peter G. Strasser, United States Attorney for the Eastern District of Louisiana. "Our Office remains committed to employing all available resources to combat this menace. We, along with the DEA New Orleans Division, state and local law enforcement partners will continue to vigorously pursue the investigation and prosecution of these important cases and continue working together to make our communities safer."
The DEA New Orleans Field Division, which covers Louisiana, Mississippi, Alabama, and Arkansas, is seeing a significant increase in the amount of methamphetamine seized, up 58 percent in the last year. As a transportation hub, we are committed to using all our enforcement resources to attack this problem. Specifically, we are enhancing our interdiction efforts, which target transportation hub facilities utilized by the drug trafficking networks. Further, we have assigned additional personnel, to include more Task Force Officers, to focus on interdiction investigations.
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
Parents and children are encouraged to educate themselves about the dangers of drugs by visiting DEA’s interactive websites at www.JustThinkTwice.com , www.GetSmartAboutDrugs.com and www.dea.gov .
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DEA Announces Launch of Operation Crystal ShieldRead the Press Release
Attorney General William P. Barr and Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced that the DEA will direct enforcement resources to methamphetamine “transportation hubs” — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and St. Louis. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
“While meth is not a new drug, it has seen a troubling resurgence over the past few years,” said Attorney General William P. Barr. “Manufactured mostly in Mexican labs and smuggled into the United States across the southwest border, meth is a drug that is both cheap and potent, creating a deadly combination. Just as the Trump Administration has acted swiftly to stem the tide of opioid fatalities, it will use every weapon in its arsenal – such as the DEA’s Operation Crystal Shield - to stop dangerous methamphetamine from reaching American neighborhoods and harming American families.”
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. From FY 2017 to FY 2019, DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds. During the same time frame, the number of DEA arrests related to methamphetamine rose nearly twenty percent.
“For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away,” said Acting Administrator Dhillon. “With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads.”
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
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.
DEA Announces Launch of Operation Crystal ShieldRead the Press Release
ST. LOUIS – Drug Enforcement Administration Acting Administrator Uttam Dhillon today announced that the DEA will direct enforcement resources to methamphetamine “transportation hubs” — areas where methamphetamine is often trafficked in bulk and then distributed across the country. While continuing to focus on stopping drugs being smuggled across the border, DEA’s Operation Crystal Shield will ramp up enforcement to block their further distribution into America’s neighborhoods.
DEA has identified eight major methamphetamine transportation hubs where these efforts will be concentrated: Atlanta, Dallas, El Paso, Houston, Los Angeles, New Orleans, Phoenix, and the St. Louis Division. Together, these DEA Field Divisions accounted for more than 75 percent of methamphetamine seized in the U.S. in 2019.
Operation Crystal Shield builds on existing DEA initiatives that target major drug trafficking networks, including the Mexican cartels that are responsible for the overwhelming majority of methamphetamine trafficked into and within the United States. From fiscal year 2017 to 2019, DEA domestic seizures of methamphetamine increased 127 percent from 49,507 pounds to 112,146 pounds. The St. Louis Division seizures were up 56 percent from fiscal year 2018 to 2019. During the same timeframe, the number of DEA arrests related to methamphetamine rose nearly 20 percent.
“For decades, methamphetamine has been a leading cause of violence and addiction – a drug threat that has never gone away,” said Acting Administrator Dhillon. “With a 22 percent increase in methamphetamine-related overdose deaths, now is the time to act, and DEA is leading the way with a surge of interdiction efforts and resources, targeting regional transportation hubs throughout the United States. By reducing the supply of meth, we reduce the violence, addiction, and death it spreads.”
The DEA St. Louis Division covers the entire states of Missouri, Kansas and the southern portion of Illinois, which encompasses hundreds of miles of interstate roadways. “These roadways are routinely utilized by drug trafficking organizations to transport methamphetamine and other deadly drugs into Missouri and Kansas,” said Special Agent in Charge William J. Callahan. “Operation Crystal Shield will allow our DEA agents and law enforcement partners the opportunity to strengthen our enforcement strategies in an effort to interdict drugs and disrupt drug trafficking organizations causing harm to the citizens of our region.”
Special Agent in Charge Callahan added, “The DEA seeks to hold methamphetamine drug traffickers accountable through multi-jurisdictional investigations which target all facets of the drug trafficking organizations, and bring them to justice by United States Attorneys in our area of operation.”
“Methamphetamine is by far the most prevalent illegal drug being sold on the streets of our community, and therefore warrants a focused plan of attack,” said U.S. Attorney Tim Garrison. “Meth trafficking makes up more than 60 percent of the federal drug cases we prosecute in the Western District of Missouri. Operation Crystal Shield provides a strategy to stanch the flow of methamphetamine being smuggled into our state by the Mexican cartels. If we can reduce the supply of methamphetamine, we can reduce the violence and other criminal activity associated with drug trafficking.”
“Methamphetamine use has historically been extremely prevalent in the Midwest. After successful legislation restricting access to precursors, we have seen an uptick in the production and distribution of methamphetamine from Mexico. Because St. Louis has become a transportation hub city for this activity, the U.S. Attorney’s Office for the Eastern District of Missouri remains committed to partnering with DEA to combat the flow of this dangerous drug,” said U.S. Attorney Jeff Jensen.
Virtually all methamphetamine in the United States comes through major ports of entry along the Southwest Border and is transported by tractor trailers and personal vehicles along the nation’s highways to major transfer centers around the country. It is often found in poly-drug loads, alongside cocaine, heroin, and fentanyl.
Columbus man sentenced for role in cocaine and heroin distribution operationRead the Press Release
WHEELING, WEST VIRGINIA – Brandon Suel, of Columbus, Ohio, was sentenced today to 21 months incarceration for his role in a cocaine and heroin distribution operation, U.S. Attorney Bill Powell announced.
Suel, age 31, pled guilty to one count of “Aiding and Abetting the Distribution of Cocaine Base within 1,000 feet of a Protected Location” in July 2019. Suel admitted to selling cocaine near Jensen Playground on Wheeling Island in May 2018.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The investigation was led by the Ohio County Drug & Violent Crimes Task Force, a HIDTA-funded initiative. The task force is comprised of the Drug Enforcement Administration, West Virginia State Police, the Ohio County Sheriff’s Office, and the Wheeling Police Department. Those assisting in the arrests are the United States Marshal Service; Marshall County Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Martins Ferry, Ohio Police Department; and the Columbus, Ohio Police Department.
U.S. District Judge John Preston Bailey presided.
Columbus man sentenced for role in cocaine and heroin distribution operationRead the Press Release
WHEELING, WEST VIRGINIA – Joshua Ford, of Columbus, Ohio, was sentenced today to 21 months incarceration for his role in a cocaine and heroin distribution operation, U.S. Attorney Bill Powell announced.
Ford, also known as “Fatboy,” age 30, pled guilty to one count of “Aiding and Abetting the Distribution of Cocaine Base within 1,000 feet of a Protected Location” in June 2019. Ford admitted to selling cocaine near Jensen Playground on Wheeling Island in May 2018.
Assistant U.S. Attorney Stephen L. Vogrin prosecuted the case on behalf of the government. The investigation was led by the Ohio County Drug & Violent Crimes Task Force, a HIDTA-funded initiative. The task force is comprised of the Drug Enforcement Administration, West Virginia State Police, the Ohio County Sheriff’s Office, and the Wheeling Police Department. Those assisting in the arrests are the United States Marshal Service; Marshall County Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Hancock-Brooke-Weirton Drug & Violent Crimes Task Force, a HIDTA-funded initiative; the Martins Ferry, Ohio Police Department; and the Columbus, Ohio Police Department.
U.S. District Judge John Preston Bailey presided.
Columbia Man Sentenced to 15 Years for Illegal FirearmRead the Press Release
JEFFERSON CITY, Mo. – A Columbia, Missouri, man was sentenced in federal court today for illegally possessing a firearm.
Samuel Ernest Haley III, 46, was sentenced by U.S. District Judge Stephen R. Bough to 15 years in federal prison without parole. Haley was sentenced as an armed career criminal due to his prior felony convictions.
On Oct. 21, 2019, Haley pleaded guilty to being a felon in possession of a firearm.
Haley, driving a 2018 Toyota Corolla, was stopped by Columbia police officers on April 4, 2018, after he merged off Interstate 70 onto the Lake of the Woods Road exit without using his turn signal. As officers were questioning Haley outside his car, he jumped into the driver’s seat and attempted to drive off. As Haley attempted to put the car in drive with his foot on the gas pedal, an officer struggled with him to shut off the car. Another officer deployed his Taser on Haley in order to gain compliance and take him into custody. After several cycles of the Taser, Haley began to comply with the officers’ commands. He was placed in handcuffs and removed from the car.
When officers searched Haley’s car, they found a loaded KAHR Arms CW45 semi-automatic handgun. They also found a soft zipper case that contained approximately 1.56 grams of crack cocaine.
Under federal law, it is illegal for anyone who has been convicted of a felony to be in possession of any firearm or ammunition. Haley has two prior felony convictions for assault, and prior felony convictions for armed criminal action and possession with intent to distribute a controlled substance.
According to court documents, over the course of Haley’s life, he has shot three different people on three different occasions, including his own daughter. In 2016, Haley was charged with driving a moving truck through the front wall of his former paramour’s home (because he was upset she was sleeping with another man) while her teenage daughter was asleep upstairs. Haley has been convicted of a litany of violent and dangerous domestic violence offenses, as well as a host of other crimes including property offenses and resisting arrest. Following Haley’s arrest and detention in this case, according to court documents, he has been involved in four fights with other inmates and assaulted a corrections officer.
This case was prosecuted by Special Assistant U.S. Attorney Aaron M. Jolly. It was investigated by the Columbia, Mo., Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives.
Project Safe Neighborhoods
The U.S. Attorney’s Office is partnering with federal, state, and local law enforcement to specifically identify criminals responsible for significant violent crime in the Western District of Missouri. A centerpiece of this effort is Project Safe Neighborhoods, a program that brings together all levels of law enforcement to reduce violent crime and make neighborhoods safer for everyone. Project Safe Neighborhoods is an evidence-based program that identifies the most pressing violent crime problems in the community and develops comprehensive solutions to address them. As part of this strategy, Project Safe Neighborhoods focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.Citizen of El Salvador Pleads Guilty to Illegally Reentering U.S.Read the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that MARIO ANTONIO HERRERA, also known as Antonio Morales, 36, a citizen of El Salvador last residing in East Hartford, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to illegally reentering the U.S. after being deported.
According to court documents and statements made in court, on March 26, 2010, Herrera was deported from the U.S. to El Salvador. Herrera’s removal followed his conviction in Manchester Superior Court in July 2008 for assault in the second degree. Herrera’s criminal history also includes Connecticut convictions for carrying a dangerous weapon, reckless endangerment, and other offenses.
On July 1, 2019, Herrera, using the name Antonio Morales, was arrested by the East Hartford Police Department and charged with disorderly conduct and interfering/resisting arrest.
Herrera has been detained since his arrest. Judge Meyer scheduled sentencing for May 14, 2020, at which time Herrera faces a maximum term of imprisonment of 10 years.
This matter is being investigated by the U.S. Department of Homeland Security, Immigration and Customs Enforcement. The case is being prosecuted by Assistant U.S. Attorney Deborah R. Slater.
Cedar Rapids Man Sentenced to Federal Prison for Selling MethRead the Press Release
A man who possessed or distributed over a kilogram of methamphetamine was sentenced on February 19, 2020, to more than twelve years in federal prison.
Nicholas John Gruner, age 38, from Cedar Rapids, Iowa, received the prison term after an October 29, 2019 guilty plea to one count of possession with intent to distribute a controlled substance.
At the guilty plea, Gruner admitted that he distributed more than 220 grams of methamphetamine to an individual cooperating with law enforcement on the morning of August 13, 2019. In the afternoon of August 13, 2019, law enforcement conducted a traffic stop on Gruner’s vehicle and they seized more than 220 grams of methamphetamine. During a later search of Gruner’s apartment, law enforcement seized more than 580 grams of methamphetamine, a rifle, ammunition, and other items indicative of drug distribution.
Gruner was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. He must also serve a five-year term of supervised release after the prison term. There is no parole in the federal system.
Gruner is being held in the United States Marshal’s custody until he can be transported to a federal prison.
The case was prosecuted by Special Assistant United States Attorney Dillan Edwards and was investigated by the Drug Enforcement Administration (DEA) Task Force consisting of the DEA; the Linn County Sheriff's Office; the Cedar Rapids Police Department; the Marion Police Department; and the Iowa Division of Narcotics Enforcement.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-85.
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Bus Driver Pleads Guilty to Child Enticement OffenseRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that JOSE MANUEL SANTOS, 37, of Bridgeport, pleaded guilty today before U.S. District Judge Jeffrey A. Meyer in New Haven to enticing a minor to engage in illegal sexual activity.
According to court documents and statements made in court, Santos was employed as a bus/van driver in Connecticut with responsibilities that included transporting children going to and from a middle school in Wallingford. In October 2018, law enforcement received information that Santos was sexually soliciting a 13-year-old girl who was a passenger on his route. Analysis of the minor victim’s cell phone revealed more than 200 text messages or calls between Santos and the victim, a sexually explicit photo of Santos that Santos sent to the minor victim, and multiple messages in which Santos coerced the victim to send him a sexually explicit photo of her.
Santos has been detained since his arrest on November 2, 2018. After his arrest, Santos communicated with others in an attempt to prevent the minor victim from testifying against him.
Judge Meyer scheduled sentencing for May 21, 2020, at which time Santos faces a mandatory minimum term of imprisonment of 10 years and a maximum term of life imprisonment.
This matter is being investigated by U.S. Immigration and Customs Enforcement’s Homeland Security Investigations (HSI), the Federal Bureau of Investigation and Connecticut Department of Correction. The case is being prosecuted by Assistant U.S. Attorneys Nancy V. Gifford and Brian P. Leaming.
This prosecution is part of the U.S. Department of Justice’s Project Safe Childhood Initiative, which is aimed at protecting children from sexual abuse and exploitation. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
To report cases of child exploitation, please visit www.cybertipline.com.
Biotech Company Investor Sentenced for Securities FraudRead the Press Release
BOSTON – An investor in PixarBio Corp., a Boston-based biotech company, was sentenced today on securities fraud charges in connection with a scheme to defraud investors and manipulate the company’s shares.
M. Jay Herod, 52, of Cambridge, was sentenced by U.S. Senior District Court Judge Douglas P. Woodlock to six months in prison, three years of supervised release with 400 hours of community service per year, and ordered to pay forfeiture/restitution of $120,000. In February 2020, Herod pleaded guilty to one count of securities fraud and one count of obstruction of an agency proceeding and agreed to cooperate with the government. In April 2018, Herod was charged with co-defendant Frank Reynolds, the former chief executive officer of PixarBio. Reynolds was convicted by a federal jury in October 2019, and sentenced earlier this week to seven years in prison.
Herod admitted that, beginning in or about December 2016, he engaged in manipulative trades in PixarBio stock that were intended to simulate market demand for the stock and thereby artificially inflate its price and trading volume. The trades included overlapping orders to buy and sell PixarBio shares at the same price per share (a manipulative technique known as “matched trading”), as well as small purchases submitted shortly before the market closed that were intended to boost the closing price (a technique known as “marking the close”). Herod admitted to sharing the proceeds of his trading with Reynolds and PixarBio itself.
Herod also admitted that, between January 2017 and September 2017, he made materially false statements to the Securities and Exchange Commission (SEC) and provided a back-dated document to the SEC, with the intent to obstruct the SEC’s investigation of trading in PixarBio shares.
United States Attorney Andrew E. Lelling; Joseph R. Bonavolonta, Special Agent in Charge of the Federal Bureau of Investigation, Boston Field Division; and Carl W. Hoecker, Inspector General of the U.S. Securities and Exchange Commission Office of Inspector General, made the announcement today. Assistant U.S. Attorneys Sara Miron Bloom and Leslie A. Wright of Lelling’s Securities and Financial Fraud Unit prosecuted the case.
Billerica, Massachusetts Man Sentenced to 15 Months for Being a Felon in Possession of a Firearm and AmmunitionRead the Press Release
CONCORD - Ricardo Jacques Pierre, 29, of Billerica, Massachusetts, was sentenced to 15 months in federal prison for being a felon in possession of a firearm and ammunition, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on April 14, 2019, the Pelham Police Department received a complaint of an erratic driver. Law enforcement officers stopped the vehicle. A strong odor of marijuana was coming from the vehicle.
Pierre was identified as the operator, owner, and sole occupant of the vehicle. The police executed a search warrant on the vehicle and found a Smith & Wesson, Model 66-2 .375 Magnum caliber firearm and ammunition.
Pierre is a convicted felon and prohibited from possessing firearms and ammunition.
“If we are going to prevent violent crime, we must keep firearms out of the hands of convicted felons,” said U.S. Attorney Murray. “We will strive to maintain public safety by working with our law enforcement partners to identify and prosecute criminals who possess firearms unlawfully.”
“This sentencing demonstrates the outstanding partnership between ATF and the Pelham Police Department as well as the commitment we share to work together to interdict illegal firearms and arrest the criminals that compromise the safety of our communities” Kelly D. Brady, Special Agent in Charge.
This matter was investigated by the Alcohol, tobacco, Firearms and Explosives and the Pelham Police Department. The case is being prosecuted by Assistant U.S. Attorney Debra M. Walsh.
The case is part of ATF’s Project Safe Neighborhoods initiative, which is a federally-funded program intended to reduce gun violence through law enforcement training, public education, and aggressive law enforcement efforts to investigate and prosecute gun-related crimes.
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Berkeley County man admits to child pornography chargeRead the Press Release
MARTINSBURG, WEST VIRGINIA – Jeffrey Allen Johnson, of Martinsburg, West Virginia, has admitted to having child pornography, U.S. Attorney Bill Powell announced.
Johnson, age 50, pled guilty to one count of “Possession of Child Pornography.” Johnson admitted to having more than 600 images of child pornography in May 2019 in Berkeley County.
Johnson faces up to 20 years incarceration and a fine of up to $250,000. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
This case is prosecuted as part of Project Safe Childhood, a nationwide initiative designed to protect children from online exploitation and abuse. Led by the United States Attorneys’ 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 http://www.justice.gov/psc/.
Assistant U.S. Attorney Kimberley D. Crockett is prosecuting the case on behalf of the government. The West Virginia State Police investigated.
U.S. Magistrate Judge Robert W. Trumble presided.
Bay Area Resident Pleads Guilty to Wire Fraud and Embezzlement from Employee Pension PlanRead the Press Release
SAN FRANCISCO – William Ace Remas pleaded guilty in federal court in San Francisco to wire fraud and embezzlement charges related to the misappropriation of funds from an ERISA pension plan over which he presided as trustee, announced United States Attorney David L. Anderson and U.S. Department of Labor, Employee Benefits Security Administration, San Francisco Regional Director Klaus Placke. The guilty plea was accepted by the Honorable Vince Chhabria, U.S. District Judge.
A federal grand jury indicted Remas, 79, of Larkspur, Calif., on April 30, 2019. Remas was charged with four counts of wire fraud, in violation of 18 U.S.C. § 1343, and two counts of theft or embezzlement from an employee pension benefit plan, in violation of 18 U.S.C. § 664. Remas pled guilty to all counts.
According to the indictment, in 1994, Remas formed a pension plan for the employees of his companies, and as the sole trustee, Remas had the ability to disburse funds from the plan accounts. The indictment alleges that, between approximately January 2013 and April 2016, Remas unlawfully transferred plan funds totaling $550,542.88—nearly all of the assets held in the plan accounts—to his personal bank account. The indictment further alleges that Remas made these transfers without the knowledge of the plan participants and that he concealed his actions by, among other things, failing to inform plan participants that he had fraudulently initiated payments from the plan to himself.
Judge Chhabria scheduled a status conference regarding Remas’s sentencing for April 21, 2020. The maximum statutory penalty for each wire fraud count is 20 years in prison and a fine of $250,000, plus restitution. The maximum statutory penalty for each theft or embezzlement count is five years in prison and a fine of $250,000, plus restitution. However, any sentence will be imposed by the court only after consideration of the U.S. Sentencing Guidelines and the federal statute governing the imposition of a sentence, 18 U.S.C. § 3553.
Assistant U.S. Attorneys Jason Kleinwaks and Michael Rodriguez are prosecuting the case with the assistance of Morgan Byrne. The prosecution is the result of an investigation by the U.S. Department of Labor, Employee Benefits Security Administration.
Bank Robber Who Escaped from Custody Admits to Rochester Bank RobberiesRead 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 Michael Matzen, 39, of Rochester, NY, pleaded guilty to escaping from federal custody and to two counts of bank robbery before Chief U.S. District Judge Frank P. Geraci, Jr. The charges carry a maximum penalty of 20 years in prison and a $250,000 fine.
Assistant U.S. Attorney Sean C. Eldridge, who is handling the case, stated that Matzen was previously sentenced to serve 57 months in prison in the Northern District of New York for two separate bank robberies. On July 26, 2019, the defendant was designated by the Bureau of Prisons to serve the last several months of that sentence at the Residential Reentry Center in Rochester. On August 30, 2019, Matzen was given permission to temporarily leave the facility until 8:00pm that evening. However, he absconded and did not return to the center to complete serving his sentence.
On September 3, 2019, four days after absconding, Matzen robbed the Canandaigua National Bank at 210 Alexander Street in Rochester. The defendant entered the bank wearing a hoodie, dark sunglasses, and a bandana that covered most of his face, and handed a teller a note that demanded money. The teller complied and Matzen fled the bank.
On September 19, 2019, Matzen robbed the Key Bank at 1185 University Avenue in Rochester. The defendant entered the bank and handed a teller a note that stated “Give me all big bills, 50-100’s, no GPS or dye pack, top & bottom drawers, all will be OK for you all.” The teller complied and, as Matzen attempted to flee the bank, he was tackled and detained by two bank customers who held the defendant down until police officers arrived.
The plea is the result of an investigation by the Federal Bureau of Investigation’s Rochester Area Major Crimes Task Force, under the direction of Special Agent in Charge Gary Loeffert; the Rochester Police Department, under the direction of Chief La’Ron D. Singletary; and the United States Marshals Service, under the direction of Marshal Charles Salina.
Matzen’s sentencing is scheduled for May 22, 2020, at 2:00 p.m. before Chief Judge Geraci.
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Auburn and Leeds Residents Sentenced for Fentanyl TraffickingRead the Press Release
Portland, Maine: Two Maine men were sentenced today in federal court in Portland for fentanyl trafficking offenses, U.S. Attorney Halsey B. Frank announced.
U.S. District Judge George Z. Singal sentenced Kevin Camp, 42, of Auburn, and Frank Lynch, 34, of Leeds, to six years and five years in prison, respectively. Judge Singal sentenced both men to three years of supervised release following their prison terms. Camp pleaded guilty on October 17, 2019, and Lynch pleaded guilty on October 28, 2019.
According to court records and the evidence introduced at the sentencing hearing, on January 26, 2019, Lynch obtained fentanyl from Camp and distributed it to another person. The recipient of the fentanyl ingested it and died. On January 27, 2019, law enforcement officers seized additional fentanyl intended for distribution from Camp’s person and from his residence.
The Auburn Police Department investigated the case.
Altoona School Superintendent Charged with Sex Trafficking & Producing Child PornographyRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, and Wisconsin Attorney General Josh Kaul announced today the unsealing of an indictment charging an Altoona man with sex trafficking of a minor and production of child pornography. Daniel Peggs, 32, was charged in an indictment returned by a federal grand jury sitting in Madison on February 12, 2020. The indictment was unsealed today following Peggs’ arrest. Peggs is the Superintendent of the Altoona School District.
The indictment alleges that from October 2015 through May 2016, Peggs recruited and maintained an individual knowing that the individual was a minor and would be caused to engage in a commercial sex act. The indictment also alleges that in December 2015, Peggs used the minor to engage in sexually explicit conduct for the purpose of producing a visual depiction of the conduct. Specifically, the indictment alleges that Peggs used an iPhone to produce a video of the child pornography.
According to United States Attorney Blader, the conduct Peggs is charged with does not involve a student from the Altoona School District.
Peggs was arrested today in Altoona. He will be brought to Madison for an initial appearance before Magistrate Judge Stephen L. Crocker in U.S. District Court at 1:30 p.m.
If convicted, Peggs faces a mandatory minimum penalty of 10 years and a maximum of life in federal prison on the sex trafficking a minor charge. The production of child pornography charge carries a mandatory minimum penalty of 15 years and a maximum of 30 years.
The charges against Peggs are the result of an investigation by the Wisconsin Department of Justice Division of Criminal Investigation, U.S. Immigration and Customs Enforcement’s Homeland Security Investigations, and the North Carolina State Bureau of Investigation. The Altoona Police Department assisted during Peggs’ arrest today. Assistant U.S. Attorney Julie Pfluger is handling the prosecution.
This investigation was a part of Project Safe Childhood, a nationwide initiative to combat child sexual exploitation and abuse. 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.
For additional information about human trafficking, please visit the U.S. Department of Justice at www.justice.gov/humantrafficking or the Wisconsin Department of Justice at www.doj.state.wi.us/ocvs/human-trafficking.
You are advised that a charge is merely an accusation and that a defendant is presumed innocent until and unless proven guilty.
52 Month Prison Sentence for Illegal Alien Who Injured Georgia Deputy While Fleeing ArrestRead the Press Release
ALBANY, Ga. – A Mexican national with prior convictions for illegal reentry into the United States and transporting illegal aliens, and who injured an officer during his 2019 arrest, was sentenced to 52 months in prison for illegal reentry and violation of supervised release, announced Charles “Charlie” Peeler, the U.S. Attorney for the Middle District of Georgia. Pedro Santos-Garcia, 42, of Mexico, was sentenced by U.S. District Judge Louis Sands on Thursday, February 20, 2020 after Santos-Garcia entered a guilty plea on July 30, 2019 to one count of illegal reentry. The indictment shows the defendant was found unlawfully in the United States in Cook County, Georgia, on or about April 29, 2019, after previously being deported and removed from the United States on or about April 19, 2017, April 7, 2011, February 20, 2009, June 5, 2008, September 12, 2006, June 12, 2006, June 12, 2003 and December 13, 2002. Santos-Garcia was sentenced on both the new illegal reentry charge as well as a revocation for violation of his supervised release from a prior federal felony conviction for illegal reentry. There is no parole in the federal system.
Santos-Garcia was found to have violated his supervised release on April 29, 2019, when deputies with the Cook County Sheriff’s Office in Adel, Georgia arrested the defendant for driving and obstruction offenses. At the time of the defendant’s arrest, he gave officers false identifying data, pushed the arresting officer’s hands away, fled across a multi-lane interstate highway, crossed multiple lanes of traffic, jumped the concrete median and crossed to the other side of the interstate. Deputies pursued the defendant across the highway, putting themselves at substantial risk of death or serious physical injury. When apprehended, the defendant also took a deputy’s taser. During the struggle, one deputy suffered a broken wrist. Immigration officials investigated and determined the defendant, a citizen of Mexico, was in the United States illegally, had a final order of removal, and had numerous prior removals. On May 3, 2019, Cook County officials transferred the defendant to the custody of immigration officials.
“I want to thank our law enforcement partners across the Middle District of Georgia who put their lives on the line protecting us every day. I want to especially commend the Cook County Sheriff’s Office for their service and bravery in this case,” said U.S. Attorney Peeler. “This case illustrates that there is good reason to enforce immigration laws in the United States, and it is especially important to enforce our immigration laws when an offender is committing other crimes while in the United States illegally. This is about protecting the public, and dangerous criminals, illegal or legal, must be prevented from harming our communities.”
“This sentence should serve as a reminder that there are significant consequences for those who choose to reenter the country illegally, after being ordered removed,” said Thomas P. Giles, acting Field Office Director for U.S. Immigration and Customs Enforcement (ICE) and Enforcement Removal Operations (ERO) Atlanta. “ERO officers will continue to pursue criminal aliens seeking to circumvent U.S. laws.”
This case was investigated by the Cook County Sheriff’s Office and U.S. Immigration and Customs Enforcement, Enforcement and Removal Operations. Assistant U.S. Attorney Amy Helmick prosecuted 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.
Wednesday 19 February 2020
York Man Sentenced to Five Years' Imprisonment for Firearm OffenseRead the Press Release
HARRISBURG – The United States Attorney’s Office for the Middle District of Pennsylvania announced that on February 12, 2020, U.S. District Court Judge Sylvia H. Rambo sentenced Jose David Santiago-Curet, age 23, of York, Pennsylvania, to five years’ imprisonment followed by five years on supervised release for possessing a firearm in furtherance of drug trafficking.
According to U.S. Attorney David J. Freed, Santiago-Curet pleaded guilty to possession of a firearm in furtherance of drug trafficking on July 8, 2019. Following a traffic stop in York, a 9mm SR-9C handgun, a bag of heroin (2.51 grams), and a scale were found in a vehicle occupied by Santiago-Curet on June 30, 2018.
The matter was investigated by the York Police Department and the Bureau of Alcohol, Tobacco, Firearms, and Explosives. Assistant U.S. Attorney Scott R. Ford is prosecuting the case.
This case was brought as part of Project Safe Neighborhoods (PSN), a program that has been historically successful in bringing together all levels of law enforcement to reduce violent crime and make our neighborhoods safer for everyone. Attorney General Jeff Sessions has made turning the tide of rising violent crime in America a top priority. In October 2017, as part of a series of actions to address this crime trend, Attorney General Sessions announced the reinvigoration of PSN and directed all U.S. Attorney’s Offices to develop a district crime reduction strategy that incorporates the lessons learned since PSN launched in 2001.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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YMCA of Middle Tennessee Settles Complaint Alleging Violation of the Americans with Disabilities ActRead the Press Release
NASHVILLE, Tenn. – February 19, 2020 – The YMCA of Middle Tennessee has agreed to adopt a written non-discrimination statement and institute policies to resolve Americans with Disabilities Act (ADA) allegations, announced Don Cochran, U.S. Attorney for the Middle District of Tennessee. The policies will provide a system by which children with disabilities, including Autism Spectrum Disorder (ASD), are afforded program modifications and/or auxiliary aids that will enable them to participate in YMCA’s after school programs.
The settlement resolves allegations made by the father of a child with ASD who was denied participation in the YMCA’s after school program on the basis of the child’s disability-related behavior. The complainant alleged that the YMCA failed to secure an aid for the child and asked the child not to participate in the program. As part of the settlement, YMCA has adopted a non-discrimination statement and specific written policies that require reasonable modifications, including hiring auxiliary aids if necessary, in order to provide its childcare services to children with disabilities. A designated individual from the organization will be responsible for ensuring compliance with the new policies.
Assistant U.S. Attorney Dean S. Atyia handled this matter on behalf of the United States.
2020 marks the 30th Anniversary of the Americans with Disabilities Act. The Justice Department plays a central role in advancing the nation’s goal of equal opportunity, full participation, independent living, and economic self-sufficiency for people with disabilities. The Justice Department will continue to use its enforcement and technical assistance tools to eliminate unlawful discrimination against individuals with disabilities.
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Waynesburg Man Illegally Possessed 2 Loaded Firearms, Cocaine and HeroinRead the Press Release
PITTSBURGH –A former resident of Greene County, Pennsylvania, pleaded guilty in federal court to violations of the federal narcotics and firearms laws, United States Attorney Scott W. Brady announced today.
Julius Maurice Hurt, 34, of Waynesburg, pleaded guilty to possession with intent to distribute quantities of heroin and cocaine, and possession of firearms in furtherance of that drug trafficking crime, before Senior United States District Judge Nora Barry Fischer.
In connection with the guilty plea, the court was advised that in the early morning hours of May 3, 2017, Waynesburg Borough Police Officers were dispatched to the area in and around the Greene County Courthouse based on 911 calls that an individual, later determined to be Julius Hurt, was observed carrying firearms. The responding officers located Hurt in that area and found him in possession of two loaded firearms (a .45 caliber Colt pistol and a 9mm Smith & Wesson pistol). On his person, police found quantities of cocaine and heroin, both of which are scheduled controlled substances. In a residence associated with the Defendant, which was searched by the Pennsylvania State Police, troopers found drug paraphernalia commonly used to package heroin and cocaine for further distribution. In connection with his plea, Hurt admitted to possessing the quantities of heroin and cocaine intending to distribute them, and that he possessed the firearms in furtherance of that drug trafficking crime.
Judge Fischer scheduled sentencing for July 29, 2020, at 9:00 a.m. The Court continued Hurt’s detention pending sentencing. The law provides for a total sentence of not less than five years and up to life in prison, a fine not to exceed of $1,250,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant United States Attorney Jerome A. Moschetta is prosecuting this case on behalf of the government.
The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Pennsylvania State Police, and the Waynesburg Borough Police Department conducted the investigation that led to the prosecution of Hurt.
Virginia Man Sentenced to 24 Years in Prison for Killing Autistic Man and Home Health Aide in Northeast WashingtonRead the Press Release
WASHINGTON – Davon Payton, 29, of Alexandria Virginia, was sentenced today in the Superior Court of the District of Columbia by the Honorable Craig Iscoe to a period of twenty- four years of incarceration followed by five years of supervised release. Payton pled guilty on November 22, 2019, to two counts of second-degree murder while armed, one count of attempted robbery while armed, and an unrelated count of arson announced Timothy J. Shea, United States Attorney for the District of Columbia.
On October 9, 2019, at approximately 9:49 p.m., Payton entered the victims’ home under the guise of using the restroom. When he exited the restroom, he pulled out a firearm and attempted to rob the homeowner. In the process, he fatally shot the homeowner’s autistic grandson and his home health aide who, during the robbery, had attempted to flee with the other occupants of the home. Both victims were unarmed. About a month prior to the shooting, Payton was captured on surveillance footage at the Exxon Service Station and 7/11 Convenience Store, located in the area of 4665 and 4675 South Capitol St. SW, igniting a gas pump fuel nozzle with a lighter before fleeing the scene.
In announcing the sentence, United States Attorney Shea commended the work of those from the Metropolitan Police Department, the Bureau of Alcohol, Tobacco and Firearms Washington Field Office and the D.C. Fire and EMS who investigated the homicide and arson cases. He also acknowledged the efforts of those who worked on the case from the United States Attorney’s Office, including Paralegal Specialist Lornce Applewhite, Supervisory Victim/Witness Advocate Jennifer Allen, and Victim/Witness Program Specialist Lesley Slade.
Finally, U.S. Attorney Shea commended the efforts of Assistant U.S. Attorneys Lindsey Merikas and Sitara Witanachchi who assisted in investigating the cases and bringing them to a prompt and just resolution.
Village of Northport Agrees to Settle Federal Complaint by Complying with Clean Water Act RequirementsRead the Press Release
Richard P. Donoghue, United States Attorney for the Eastern District of New York, and Peter D. Lopez, Regional Administrator of the United States Environmental Protection Agency, Region 2 (EPA), announced today that the United States filed suit under the Clean Water Act (CWA) against the Village of Northport, New York (Northport) to address illegal and persistent discharges of pollutants and for failure to comply with the municipal separate storm sewer system (MS4) permit and EPA’s administrative orders that required Northport to prevent pollutants discharged from its sewer system from entering the waters of the United States. The parties agreed to enter into a Consent Decree, which was also filed today with the court, and it requires Northport to conduct inspections and sampling of its outfalls, and to implement rehabilitation work to eliminate any illicit discharges. The Consent Decree also requires Northport to pay civil penalties of $125,000. The State of New York is a plaintiff in this matter and a party to the Consent Decree. Following a 30-day public comment period, the United States will review any comments and, if appropriate, ask the court to enter the Consent Decree.
The lawsuit and Consent Decree were filed in the United States District Court for the Eastern District of New York, in Central Islip, New York.
“The United States brought this action to ensure that Northport meets its obligation to protect water quality by developing and enforcing a program to eliminate the discharge of unpermitted pollutants from its storm sewer system,” stated United States Attorney Donoghue. “Specifically, the resolution of this case is designed to prevent pollutants, such as raw sewage travelling through Northport’s storm sewers, from discharging into Northport Harbor and Northport Bay, which flow into the Long Island Sound. This Office is committed to vigorously enforcing the CWA against parties who discharge pollutants into the waters of the United States.”
“When not properly managed, storm water often carries pollution and sediment into local waterways that can impair streams, lakes and beaches,” stated EPA Regional Administrator Lopez. “Before Northport began to take steps several years ago to address these issues, storm water from Northport impaired local waterways and there were instances of beach closings due to contamination in Northport Harbor. EPA takes these violations seriously, and the Village has come a long way to protect their valuable natural resources and improve the community’s quality of life.”
Northport owns and operates an MS4 permitted storm sewer system that comprises numerous catch basins in which storm water is collected and discharged through connecting pipe segments to 19 outfalls. Northport’s outfalls discharge into Northport Harbor and Northport Bay and flow into the Long Island Sound. As alleged in the complaint, following inspections by EPA in 2011, EPA determined that Northport’s storm sewer system discharged illicit contaminants, including raw sewage, into Northport Harbor. To address these discharges, Northport and EPA entered into three administrative orders from 2012 through 2013 to bring Northport into compliance with the CWA and the MS4 permit. The administrative orders required Northport to complete rehabilitation projects, inspection and sampling. In addition, Northport’s MS4 permit required it to implement and enforce a program to detect and eliminate illicit discharge flowing into its storm sewer system. The deadlines in EPA’s orders and the MS4 permit were not achieved, resulting in today’s lawsuit. The Consent Decree will require Northport to comply with the CWA, preventing future illicit sewage discharges into waters of the United States.
The civil negotiations and settlement were handled by the Office’s Civil Division. Assistant United States Attorney Deborah B. Zwany is in charge of this matter, working with Phyllis Kaplan Feinmark and Kara Murphy, Regional Counsel’s Office, U.S. EPA Region 2, Douglas McKenna, Chief of the Water Compliance Branch, U.S. EPA Region 2, Justine Modigliani, P.E. Chief of the Clean Water Act Compliance Section, U.S. EPA Region 2 and Katherine Green, Physical Scientist, Clean Water Act Compliance Section, U.S. EPA Region 2.
United States Attorney’s Office Hosts Annual Office Awards CeremonyRead the Press Release
Jackson, Miss. - Yesterday, U.S. Attorney Mike Hurst recognized members of the U.S. Attorney’s Office for the Southern District of Mississippi and its partners with the presentation of the Southern District’s annual awards for outstanding performance in 2019.
"We have some of the hardest working, most dedicated public servants in government service, and these awards reflect the truly best of the best. Because of their tenacity and commitment to our state and our communities, taxpayer money has been recovered, criminals have been captured and held accountable, and our neighborhoods are safer today. I am proud of their work and the difference they are making in people’s lives," said U.S. Attorney Hurst.
James B. Tucker Award for Superior Prosecutorial Service in Criminal Justice
This award is named for James B .Tucker, the first person to serve as Chief of the Criminal Division in the Southern District. Mr. Tucker distinguished himself in his position and gained a national reputation as a tough but judicious prosecutor throughout the state and throughout the U.S. Department of Justice. The award is presented each year to the Criminal Assistant United States Attorney having demonstrated superior prosecutorial service in the Criminal Division throughout the year.
The 2019 recipient of the James B. Tucker Award is Assistant United States Attorney Andrew Eichner.
AUSA Eichner joined our office in November 2018, and made an immediate and significant impact in his very first year. In FY 2019 alone, he presented forty-one indictments to the grand jury, ranging from gun cases, computer crimes and mail theft, to immigration and violent crime cases. Sixteen of those indictments were generated from AUSA Eichner’s work spearheading Project EJECT in Hattiesburg, which demands coordination with no fewer than three federal agencies, two local law enforcement agencies and two district attorneys’ offices. In addition to his courtroom work, AUSA Eichner authored two appeals and still had time to volunteer in the Hattiesburg area by speaking to a group of kids at the Hattiesburg YMCA about the benefits of staying in school and out of trouble. His work has drawn the attention and praise of police officers, district attorneys, and many others. He is always a team player and never hesitates to assist other AUSAs in trial or covering court appearances. AUSA Eichner’s positive attitude, good-natured spirit, unrelenting grit, unwavering character, impressive intellect and professional accomplishments in 2019 have all earned him this year’s Tucker Award.
Daniel E. Lynn Award for Superior Litigation Service in Civil Litigation
This award is named for Daniel E. Lynn, the first person to serve as Chief of the Civil Division in the Southern District. Mr. Lynn set the highest standards of excellence through selfless competence, integrity, and professionalism. The award is presented each year to the Assistant United States Attorney having demonstrated the most superior litigation service affecting the Civil Division throughout the year.
The 2019 recipient of the Daniel E. Lynn Award is Assistant United States Attorney Tabitha Bandi.
Joining our office in July 2018, AUSA Bandi quickly became responsible for all bankruptcy matters in the District. In 2019, she reviewed hundreds of notices and filings and handled several bankruptcy cases and adversarial proceedings, which historically were handled by more experienced and senior attorneys in the Department of Justice. For example, in an adversarial proceeding in which the liquidating trustee for a bankrupt hospital sued the Department of Health and Human Services for almost $400,000, Tabitha’s legal maneuvers and tough negotiating convinced the trustee to settle the matter for less than 10%.
In addition to managing all bankruptcy matters in the District, AUSA Bandi handled several important and challenging defensive cases, including cases involving employment discrimination and tort actions. She was co-counsel in two cases involving government employees and government-owned vehicles, settling both cases for approximately half the amount demanded by the plaintiffs.
AUSA Bandi also worked on some sensitive matters in which opposing counsel sought certain records from federal agencies and testimony from federal witnesses. For instance, in one case, she moved to quash a trial subpoena seeking testimony and documents from a witness who used to work in the federal government, and, unbeknownst to the DOJ trial lawyers, had been cooperating with the plaintiff, a former federal employee who had been fired for misconduct.
In her first full year in the office, AUSA Bandi has already left an incredible impression on her colleagues. Her initiative and ability to work well with others, including agency counsel, several of whom have praised her collegiality and competence, reflect very well on herself, the Civil Division and our office as a whole.
PauletteWomack Support Staff Award for Superior Performance
This award was named in honor of Paulette Womack, a long-time, much-loved member of the office who served as Secretary to the first Criminal Division Chief and as the Victim Witness Coordinator for the Southern District. She performed her work with tenacity, persistence and professionalism. This award is presented each year to the Support Staff Employee having demonstrated the most superior efforts in support of the mission of the District, whether it be in the area of administration or legal support.
The 2019 recipient of the PauletteWomack Award is Paralegal Specialist Mary Margaret Buchanan.
Ms. Buchanan is the Paralegal Specialist in the Civil Division’s Financial Litigation Unit. She is currently performing tasks which were previously performed by four, long-time, experienced employees. Her current criminal caseload includes almost 2,700 collection cases valued at over $850 million. Her current civil caseload is almost 50 collection cases valued at $2.1 million. In Fiscal Year 2019, the Financial Litigation Unit opened 437 criminal collection cases (a 42% INCREASE from the previous fiscal year), and recovered $2,447,376.16 in criminal debt (a 8.92% INCREASE over the previous fiscal year) and $1,941,201.32 in civil debt.
Ms. Buchanan assisted with several significant civil cases. In her pre-trial and trial support role in a medical malpractice case, she assisted the trial lawyers by organizing, and analyzing medical records. In an employment discrimination case, she assisted the trial attorneys by summarizing and analyzing deposition transcripts and identifying those instances where the witnesses testified about other potential trial witnesses. Additionally, Ms. Buchanan continued to help transition the Office’s bankruptcy practice from a long-time, experienced attorney to newly-hired AUSAs. In that role, she drew upon her extensive bankruptcy and litigation experience and helped the attorneys by reviewing hundreds of bankruptcy filings, including notices and proofs of claim for agency clients.
Ms. Buchanan is a dedicated and dependable employee; she’s a smart contributor; and she is a straight-shooter—all characteristics that Paulette Womack exhibited in her career with the Department of Justice. She has done a masterful job running the Financial Litigation Unit despite losing personnel with decades of experience and almost doubling the number of criminal collection cases.
Donald R. Burkhalter Award for Exemplary Leadership
This award is named after long-time First Assistant United States Attorney Donald R. Burkhalter. This award seeks to recognize, via nomination throughout the office, the employee who has demonstrated extraordinary courage and leadership throughout the year, no matter their position in the office. The award seeks to honor those who lead from action, not a title, who exhibits a positive, upbeat attitude that encourages cooperation and teamwork, and who works tirelessly in advancing the mission and goals of the U.S. Attorney’s Office and the Department of Justice.
The 2019 recipient of the Donald R. Burkhalter Award for Exemplary Leadership is Grand Jury Coordinator Karen Coates.
Karen has been with our office since 2002 and has been our Grand Jury Coordinator since 2006. In 2019, Karen reviewed and processed approximately 591 indictments and informations, a record number for the District. She also served as legal assistant to several AUSAs. Even though she is not a "manager," Karen was selected by the supervising legal assistant and former criminal chief to "train" new hires in the office. Karen is also the face of the office when dealing with the clerk of court, and by all accounts, the clerk’s office staff enjoy working with Karen.
Because of her selflessness, her leadership, and her dedication to the mission of the office and DOJ, Karen is more than worthy to receive the 2019 Donald R. Burkhalter Award for Exemplary Leadership.
George L. Phillips Distinguished Community Support Award
This award is named for former U.S. Attorney George L. Phillips, who began his service as the youngest U.S. Attorney in the nation, went on to serve under three Presidents for 14 years, and is credited with creating DOJ’s Law Enforcement Coordinating Committee. This award seeks to recognize individuals outside the U.S. Attorney’s Office who have contributed significantly to the increased coordination of law enforcement, who have substantially advanced the goals and mission of the U.S. Attorney’s Office, and who have exhibited genuine, consistent support of law enforcement generally and the U.S. Attorney’s Office in particular.
The 2019 recipient of the George Phillips Award is Patricia Burchell.
From October 2010 to January 2020, Ms. Burchell was the District Attorney for the 12th Circuit Judicial District, covering Forrest and Perry Counties. Prior to becoming DA, she was an Assistant District Attorney in the 12th Judicial District for seven years. In addition to all of her work leading that office and prosecuting cases, Ms. Burchell pro-actively sought the advice and assistance from the FBI and other state and federal agencies to help rout out corruption she saw in her community. She was instrumental in providing information and assistance that led to the conviction of Forrest County Chief Deputy Sheriff Charles "Plukey" Bolton and his wife, as well as the convictions of other prominent corrupt Hattiesburg individuals such as the Rev. Kenneth Fairley, attorney Jon Lee, and accountant Carl Nicholson, just to name a few. In her time as District Attorney, she has been unwavering in cooperating, collaborating, and assisting this office and its AUSAs in prosecuting crime in Hattiesburg. Most recently, she has been one of
our office biggest supporters in Hattiesburg for the implementation of Project EJECT under DOJ’s Project Safe Neighborhoods initiative. Ms. Burchell also agreed to serve and still serves, even in retirement, on our office’s PSN Committee.
Ms. Burchell is most deserving of this award because her character and her work reflected that of George Phillips. She has a reputation throughout our state as someone you can trust and depend on, someone who always has your back, and someone who will always do the right thing, no matter what the cost.
Robert E. Hauberg Award for Distinguished Service
This award is named in honor of the achievements of former U.S. Attorney for the Southern District of Mississippi Robert E. Hauberg, the longest serving United States Attorney in the history of our nation. The Hauberg Award is presented annually by this District to an employee who has displayed superior achievement in their assigned duties and who has gone above and beyond the call of duty in some additional public service that makes a significant impact on the community.
The 2019 recipient of the Robert E. Hauberg Award is Assistant United States Attorney Candace Mayberry. AUSA Mayberry joined our office as a Criminal AUSA in 2016. From the moment she started, she was and always has been a team player. She prosecuted everything from murder to corruption of prison guards to hate crimes involving crossburnings to carjackings to civilly defending a national guardsman under the Uniformed Services Employment and Reemployment Rights Act. AUSA Mayberry was quickly designated as the Office’s Civil Rights AUSA, straddling the line and doing civil rights cases in both the Civil and Criminal Divisions.
In addition, after an AUSA left our office, AUSA Mayberry was tapped to be the Office’s PSN Coordinator, leading one of the office’s top initiatives – Project EJECT. In this role, she not only led the efforts on Project EJECT in Jackson, but also coordinated with other AUSAs assigned to EJECT sites throughout the District, and was responsible for dealing with Main Justice on reporting requirements and PSN grant awards. This latter responsibility involved setting up and managing a committee that would review and select grant awardees.
AUSA Mayberry has also been an advocate in her community, volunteering for Project EJECT’s Book buddy Program at Johnson Elementary, presenting the LEAD Program at various high schools and Boys and Girls Clubs throughout Jackson. She also coached the Callaway High School mock trial team in the State Bar’s annual high school mock trial competition (aided by Civil Chief Marc Perez). She has done all of this work with one of the best, most positive and contagious attitudes in the office, always upbeat, optimistic, collaborative, and encouraging of others.
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U.S. Trustee Program Ready to Implement the Small Business Reorganization Act of 2019Read the Press Release
The Department of Justice’s U.S. Trustee Program (USTP) is fully prepared to implement the Small Business Reorganization Act of 2019 (SBRA), which goes into effect today. The SBRA was passed by Congress and signed into law by President Trump last August.
“The SBRA represents an innovative effort to expedite and reduce the cost of bankruptcy for small business debtors to reorganize their debts and save their businesses,” said USTP Director Cliff White. “The USTP has spent the past six months preparing for its implementation and is committed to ensuring that the law is carried out as intended.”
Under the SBRA, small business debtors―defined as entities with less than about $2.7 million in debts that also meet other criteria―may voluntarily elect to proceed under a new subchapter V of chapter 11 of the Bankruptcy Code. Among other things, subchapter V imposes shorter deadlines for completing the bankruptcy process, allows for greater flexibility in negotiating restructuring plans with creditors, and provides for a private trustee who will work with the small business debtor and its creditors to facilitate the development of a consensual plan of reorganization.
According to Director White, the USTP’s role in these small business cases is to “appoint private trustees with business experience to serve as subchapter V trustees, minimize the need for costly litigation, and ensure compliance with the Bankruptcy Code and the expeditious resolution of cases.”
As part of the USTP’s intensive preparation to implement the SBRA, U.S. Trustees conducted a nationwide search for qualified candidates to serve as subchapter V trustees, ultimately selecting about 250 candidates from more than 3,000 applications. These trustees offer a diverse set of business, accounting, turn-around management, and legal skills. In addition, the USTP developed a comprehensive manual and handbook to guide staff and subchapter V trustees in carrying out their new SBRA responsibilities; provided extensive training to staff, subchapter V trustees, bankruptcy professionals, and others interested in the new law; and coordinated with the bankruptcy courts on administrative issues to ensure a successful implementation.
The USTP is the component of the Justice Department that protects the integrity of the bankruptcy system by overseeing case administration and litigating to enforce the bankruptcy laws. The Program has 21 regions and 90 field office locations covering 88 judicial districts. Learn more about the Program at https://www.justice.gov/ust.
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.
U.S. Attorney’s Office to Monitor Los Angeles County Vote Centers for Compliance with Americans with Disabilities ActRead the Press Release
LOS ANGELES – The U.S. Attorney’s Office will deploy personnel to monitor Los Angeles County vote centers for their compliance with federal accessibility law for people with physical disabilities during the February 22-to-March 3 election period.
The monitoring is part of the Justice Department’s Americans with Disabilities Act (ADA) Voting Initiative, which focuses on protecting the voting rights of individuals with disabilities. A hallmark of the ADA Voting Initiative is its collaboration with local officials to increase accessibility at polling places.
Through this initiative, the Justice Department has surveyed more than 1,600 polling places across the nation and has increased accessibility in more than three dozen jurisdictions.
Specifically, the United States Attorney’s Office will monitor Los Angeles County vote centers for their ADA compliance for people with mobility and vision disabilities.
Individuals who believe they might have been victims of discrimination in voting, including because of disability, may call the U.S. Attorney’s Office at (213) 894-2879, email [email protected], or complete and submit this form.
“Protecting the fundamental right to vote is essential to our democracy,” said United States Attorney Nick Hanna. “My office has pledged to ensure that all eligible voters may fully participate in the electoral process. Barriers to access must not undermine voting rights.”
This year marks the ADA’s 30th anniversary. The Department of Justice – including the U.S. Attorney’s Office – plays a central role in advancing the nation’s goal of equal opportunity, full participation, independent living, and economic self-sufficiency for people with disabilities. The Justice Department will continue to use its enforcement and technical assistance tools to eliminate unlawful discrimination against people with disabilities.
For more information about the ADA, please call the toll-free ADA Information Line at (800) 514-0301 or (800) 514-0383 (TDD), or access the ADA website at http://www.ada.gov.
U.S. Attorney’s Office Launches Review of District Polling Places for Compliance with the Americans with Disabilities Act Ahead of 2020 ElectionRead the Press Release
PHILADELPHIA – U.S. Attorney William M. McSwain announced that his Office has launched a review of all polling places in the Eastern District of Pennsylvania to determine if they are in compliance with the Americans with Disabilities Act (ADA) of 1990. The initiative is in accordance with the federal government’s congressionally-mandated responsibility to review compliance with the ADA; it is not in response to any specific complaint against a county or individual polling location.
As part of the review, election officials in Berks, Bucks, Chester, Delaware, Lancaster, Lehigh, Montgomery, Northampton, and Philadelphia counties are being asked to complete survey questions pertaining to polling place accessibility in their county. Investigators may then conduct on-site inspections to confirm survey responses and to evaluate compliance with federal ADA regulations. Counties found to be non-compliant will have the option of resolving issues informally, and if that effort fails, entering into a Voluntary Compliance Agreement with the government whereby they voluntarily agree to upgrade their facilities and address issues in order to meet ADA requirements before the November 2020 election. Counties found to be engaging in a pattern or practice of discrimination, or that fail to enter into Voluntary Compliance Agreements, may face a civil lawsuit brought by the government and/or be subject to penalties, including monetary penalties and civil fines.
The ADA prohibits discrimination on the basis of disability in all programs, activities, and services provided by public entities. The ADA requires that public entities provide voting facilities that are accessible to people with disabilities.
“People with disabilities who live in the Eastern District of Pennsylvania deserve equal access to polling places and we are committed to making sure that they have it,” said U.S. Attorney McSwain. “This year marks the 30th anniversary of the Americans with Disabilities Act, so there can be no doubt that counties have had more than enough time to ensure that their polling places provide full access to individuals with disabilities. We will take all reasonable steps within our power to ensure that any counties that fall short of compliance make the necessary changes in time for the 2020 election.”
Any citizen with polling place concerns in the Eastern District of Pennsylvania is encouraged to contact Assistant United States Attorney Jacqueline C. Romero, Civil Rights Coordinator, at 215-861-8200.
Two women sentenced for child pornographyRead the Press Release
SAVANNAH, GA: Two women have received hefty federal prison sentences for producing and distributing child pornography.
Melanie Smith, a/k/a “Melanie Small,” 30, of Rincon, Ga., was sentenced by U.S. District Court Judge Stan Baker to 360 months in federal prison and ordered to pay $3 million in restitution after pleading guilty to Production of Child Pornography, said Bobby L. Christine, U.S. Attorney for the Southern District of Georgia. A co-defendant, Holly Clayton, 34, of Port Wentworth, Ga., was sentenced to 144 months in prison after pleading guilty to Distribution of Child Pornography.
The defendants’ federal incarceration will be consecutive to any sentence they receive for pending state charges of child molestation. In addition, Smith must serve 20 years of supervised release after completion of her 30-year federal prison sentence, and Clayton must serve 15 years of supervised release after completion of her sentence. There is no parole in the federal system.
“The prison time meted out to these defendants will protect our community for decades, though it pales in comparison to the lifetime of pain these vulnerable victims likely will endure,” said U.S. Attorney Christine.
According to court documents and testimony, Smith produced sexually explicit photos of minor children, and Clayton distributed images and videos of child pornography to others. Related charges against a third defendant are pending.
“These predators have stolen the innocence of these children, forcing them to be re-victimized every time those horrific images are viewed,” said acting Special Agent in Charge Robert Hammer, who oversees HSI operations in Georgia and Alabama. “HSI Atlanta will continue to prioritize our investigations and work with our partners to protect our youth.”
The case was investigated by Homeland Security Investigations, the Savannah Police Department and the Effingham County Sheriff’s Office, and prosecuted for the United States by Assistant U.S. Attorney Marcela C. Mateo and Special Assistant U.S. Attorney Katelyn Semales.
Two Sentenced for Liberty County Federal ViolationsRead the Press Release
BEAUMONT, Texas – Two Texas men have been sentenced to federal prison for drug and gun violations in the Eastern District of Texas announced U.S. Attorney Joseph D. Brown today.
Tommy Joe Tomlin, 48, of Lubbock, pleaded guilty on Aug. 15, 2019, to possession with intent to distribute methamphetamine and possession of a firearm during a drug trafficking crime and was sentenced to 120 months in federal prison for the drug trafficking violation and 60 months for the firearms violation. Tomlin was sentenced today by U.S. District Judge Marcia A. Crone. Judge Crone ordered the sentences to run consecutively for a total of 180 months in federal prison.
Patrick Ray Glenn, 35, of San Antonio, pleaded guilty on July 31, 2019, to being a felon in possession of a firearm and was sentenced to 110 months in federal prison today by U.S. District Judge Marcia A. Crone.
According to information presented in court, in February 2019, Tomlin and Glenn, both convicted felons and members of the Aryan Brotherhood of Texas, were arrested in Cleveland, Texas following a drug transaction at an area hotel.
This case was investigated by the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorney Michelle S. Englade.
Two Poughkeepsie Men Sentenced for Selling Fentanyl That Led to the Deaths of at Least Four UsersRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, announced that FRANK MOSS, a/k/a “Jigga,” a Poughkeepsie drug dealer whose fentanyl led to the overdose deaths of two women, was sentenced to almost 22 years in prison, and ARNOLD MELENDEZ, a/k/a “Frankie,” another Poughkeepsie drug dealer whose fentanyl led to the overdose deaths of two men, was sentenced to almost 16 years in prison, following their pleas of guilty to conspiracy to distribute and possess with the intent to distribute fentanyl. MOSS and MELENDEZ were sentenced on January 29, 2020, by U.S. District Judge Kenneth M. Karas and U.S. District Judge Vincent L. Briccetti, respectively.
According to the allegations in the Information to which MOSS pled guilty, public court filings, and statements made in court:
Beginning in February 2017 – right after being released from prison – MOSS agreed with others to sell fentanyl. By August 2017, MOSS was selling mixtures of fentanyl with the stamp “Go Time.” However, he switched to selling fentanyl with the stamp “No Days Off.” MOSS knew that “No Days Off” contained pure fentanyl, even warning one of his co-conspirators. One of MOSS’s co-conspirators learned that people – including himself – were overdosing on “No Days Off” and warned MOSS that people were “falling out,” which is a street term for overdosing. MOSS replied, “That’s what the people want.”
Not having heeded the warning, MOSS continued to sell “No Days Off.” Two of his customers, Aracelis Batista and Julie Mach, overdosed and died in August 2017 as a result of using MOSS’s fentanyl.
According to the allegations in the Information to which MELENDEZ pled guilty, public court filings, and statements made in court:
Beginning no later than December 2017 – the month after his most recent release from prison – MELENDEZ began selling fentanyl to customers in Poughkeepsie, New York, some of which he misrepresented to be heroin. On multiple occasions, MELENDEZ’s customers told MELENDEZ that users of his drugs were overdosing, and MELENDEZ continued to sell fentanyl. On at least one occasion, one of MELENDEZ’s customers told MELENDEZ, in substance and in part, that “his sh*t was killing people,” and MELENDEZ responded, in substance and in part, that “I don’t give a sh*t, it’s not my problem.”
Several of MELENDEZ’s customers – whether direct customers or customers of others who purchased drugs from MELENDEZ – overdosed on MELENDEZ’s drugs, but survived after the administration of naloxone. Two indirect customers – that is, customers of others who purchased drugs from MELENDEZ – overdosed and died after taking MELENDEZ’s drugs.
The MELENDEZ and MOSS cases are unrelated.
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In addition to his prison term, MOSS was ordered to serve five years of supervised release, and to forfeit $50,000 in criminal proceeds.
In addition to his prison term, MELENDEZ was ordered to serve five years of supervised release, and to forfeit $20,395 in criminal proceeds, as well as his right to a loaded firearm found at the time of his arrest.
Mr. Berman thanked the Drug Enforcement Administration and the Dutchess County Drug Task Force – which consists of the Dutchess County Sheriff’s Office, the City of Beacon Police Department, the Town of East Fishkill Police Department, the City of Poughkeepsie Police Department, the Town of Poughkeepsie Police Department, and the Town of Hyde Park Police Department – for their outstanding work on the investigations. This case is being handled by the Office’s White Plains Division. Assistant United States Attorney Michael D. Maimin is in charge of the prosecutions.
Two MS-13 Members Each Sentenced to 25 Years in Federal Prison for Participating in A Violent Racketeering Conspiracy, Including A MurderRead the Press Release
Baltimore, Maryland – Chief U.S. District Judge James K. Bredar sentenced MS-13 gang members, Francisco Ramirez Pena, a/k/a Tepo and Advertencia, age 25, of Edgewater, Maryland, and Edwin Ruiz Urrutia, a/k/a Sylvestre, age 21, of Silver Spring, Maryland, to 25 years each in federal prison, followed by five years of supervised release, on a federal racketeering charge related to their participation in a violent racketeering conspiracy, specifically MS-13, including a murder. An MS-13 associate, Darvin Guerra Zacarias, a/k/a Chapin, age 27, of Silver Spring, was sentenced to 10 years in federal prison, followed by three years of supervised release, for his role in the conspiracy to murder Victim 18. Ruiz Urrutia and Guerra Zacarias were sentenced today and Ramirez Pena was sentenced yesterday.
The sentences were announced by United States Attorney for the District of Maryland Robert K. Hur; Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office; Special Agent in Charge John Eisert of Homeland Security Investigations (HSI) Baltimore Office; Chief Edward G. Hargis of the Frederick Police Department; Frederick County State’s Attorney J. Charles Smith, III; Chief Timothy J. Altomare of the Anne Arundel County Police Department; Anne Arundel County State’s Attorney Anne Colt Leitess; Chief Henry P. Stawinski III of the Prince George’s County Police Department; Prince George’s County State’s Attorney Aisha Braveboy; Chief Marcus Jones of the Montgomery County Police Department; and Montgomery County State’s Attorney John McCarthy.
“Federal, state, and local law enforcement will use all the tools at our disposal to arrest and prosecute MS-13 gang members who prey on our neighbors,” said U.S. Attorney Robert K. Hur. “We will not rest until we dismantle this organization and remove the criminals who terrorize our communities—including the Central American immigrant communities in Maryland. I urge anyone with information about MS-13’s criminal activities to call federal law enforcement. You can reach the FBI at 1-866-STP-MS13 or HSI at 1-866-DHS-2-ICE.”
“These sentences show that a membership in MS-13 usually ends where it should - behind bars for decades in a federal prison,” said Jennifer Boone, special agent in charge of the Baltimore Division of the FBI. “At the FBI, we are committed to staying in the fight until this plague is purged from our communities.”
“HSI is committed to investigating and disrupting the violence MS-13 perpetrates in our communities,” said John Eisert, Special Agent in Charge for HSI Baltimore.
MS-13 is a national and international gang composed primarily of immigrants or descendants from El Salvador and other Central American countries. Branches or “cliques” of MS-13, one of the largest street gangs in the United States, operate throughout Frederick County, Anne Arundel County, Prince George’s County, and Montgomery County, Maryland. From at least January 2017, Ramirez Pena, Ruiz Urrutia, and Guerra Zacarias were members and associates of the Fulton Locotes Salvatrucha clique of MS-13.
At all times of this conspiracy, members of MS-13 were expected to protect the name, reputation, and status of the gang from rival gang members and other persons. To protect the gang and to enhance its reputation, MS-13 members were expected to use any means necessary to force respect from those who showed disrespect, including acts of intimidation and violence. MS-13 had mottos consistent with its rules, beliefs, expectations and reputation including “mata, viola, controla,” which translates as, “kill, rape, control,” and “ver, oir y callar,” which means, “see nothing, hear nothing and say nothing.”
MS-13 members are required to commit acts of violence both to maintain membership and discipline within the gang, as well as against rival gang members. Participation in criminal activity by a member, particularly in violent acts directed at rival gangs or as directed by gang leadership, increase the respect accorded to that member, resulting in that member maintaining or increasing his position in the gang, and opens the door to a promotion to a leadership position. One of the principal rules of MS-13 is that its members must attack and kill rivals, often referred to as “chavalas,” whenever possible.
According to their plea agreements, Ramirez Pena, Ruiz Urrutia, and Guerra Zacarias conspired with other MS-13 members and associates to engage in racketeering activity, including a murder, conspiracies to commit murder, extortion, and drug trafficking, in order to further the interests of the gang.
Murder in Crownsville. In June 2017, MS-13 gang members believed that Victim 18 was an associate of the rival 18th Street gang. Guerra-Zacarias was present when gang members, including Ramirez Pena and Ruiz Urrutia, were talking about how to lure out Victim 18 in order to murder her. On the day of the murder, Guerra-Zacarias picked up MS-13 gang members, along with a female associate of the gang who was supposed to lure out Victim 18, and drove them to meet with Victim 18. The female got Victim 18 to enter Guerra-Zacarias’s car, at which point they drove to another location where Ramirez Pena and other MS-13 gang members entered the car and subdued Victim 18. Guerra-Zacarias then drove them all to a secluded area in Crownsville, Maryland, where other gang members, including Ruiz Urrutia had dug a grave and gathered weapons. Guerra-Zacarias dropped Victim 18 and the gang members off, then he and the female co-conspirator left. Victim 18 started screaming and gang members subdued her by choking her. Ramirez Pena, Ruiz Urrutia and other MS-13 gang members then dragged her to the site of the grave and all present attacked her with a machete and knives until she was dead. Victim 18’s body was then dismembered and buried in the grave.
In September 2017, investigators recovered Victim 18’s body from a clandestine grave in Crownsville, Maryland. The medical examiner found that the cause of death was homicide. The victim had suffered numerous blunt and sharp force traumas, her head had been severed, and her body cut into several pieces.
The murder of Victim 18 was intended to maintain and increase the status of MS-13 and allow members to maintain or increase their status within the gang.
Drug Distribution. As stated in their plea agreements, members of the Fulton clique, including Ramirez Pena and Ruiz Urrutia, also conspired to distribute marijuana. As a part of that conspiracy, gang members would obtain bulk quantities of marijuana and then break it up for distribution. At least a portion of the proceeds from the drug sales would go to the gang to further its objectives. It was reasonably foreseeable to the defendants that the conspiracy would distribute at least five kilograms of marijuana.
A total of 29 defendants have been charged in this case with participating in a racketeering conspiracy and/or other crimes related to their association with MS-13, including 18 defendants charged in the fifth superseding indictment filed on October 21, 2019. A total of 13 defendants have pleaded guilty to crimes related to their participation in MS-13 gang activities.
Anyone with information about MS-13 is encouraged to provide their tips to law enforcement. The FBI and Homeland Security Investigations both have nationwide tiplines that you can call to report what you know. You can reach the FBI at 1-866-STP-MS13 (1-866-787-6713), or you can call HSI at 1-866-DHS-2-ICE.
United States Attorney Robert K. Hur commended the FBI; HSI; the Frederick Police Department; the Anne Arundel, Montgomery, and Prince George’s County Police Departments; and the Anne Arundel, Frederick, Montgomery, and Prince George’s County State’s Attorneys for their work in the investigation, and recognized the Baltimore County Police Department for its assistance. Mr. Hur thanked Assistant U.S. Attorneys Kenneth S. Clark, Catherine K. Dick, and Matthew DellaBetta, who are prosecuting this Organized Crime Drug Enforcement Task Force case.
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Two Eastern Kentucky Men Sentenced for KidnappingRead the Press Release
LONDON, Ky. - Two men from Whitley and Laurel Counties were sentenced in federal court on Tuesday, by U.S. District Judge Claria Horn Boom, after previously pleading guilty to kidnapping charges.
Gene Jones II, 40, of East Bernstadt, Kentucky, was sentenced to 235 months, and Nigel Medlin, 28, of Rockholds, Ky., was sentenced to 220 months.
According to their plea agreements, on April 2, 2017, Medlin, Sean Fredrick, 33, a second defendant, and a third defendant, Eric Wayne Collins, 34, kidnapped three victims, for the purpose of assaulting one victim because of a missing truck. Medlin admitted to contacting the victim through Facebook Messenger and arranging a meeting in the Walmart parking lot in London, by pretending to buy methamphetamine. The three admitted to waiting on the victim, who arrived to the parking lot with two others. Medlin and others approached the three victims and instructed one to get in the backseat of the vehicle, then sitting on either side. They instructed one of the other victims to drive the vehicle down I-75, to Jones’ residence in Laurel County.
At Jones’ residence, Collins and Medlin took the victims to a house behind Jones’ house, where they tied and bound one victim. Collins, Fredrick, Jones, and Medlin all took turns physically assaulting the victim, breaking his jaw and hanging a metal logging chain around his neck; Collins then admitted to using pliers to pull several of his teeth. They also forced the victim to ingest the meth that he had brought to sell.
The four defendants told the victims that, if they went to the police or told anyone about what had happened, they would kill them.
Fredrick pleaded guilty in March 2019. Collins and Medlin pleaded guilty in July 2019. Jones pleaded guilty in August 2019. Fredrick is scheduled to be sentenced on April 14, 2020, and Collins is scheduled to be sentenced on May 12, 2020.
Under federal law, the defendants must serve 85 percent of their prison sentences 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, and Tommy Estevan, Acting Special Agent in Charge for ATF, jointly made the announcement.
The investigation was directed by the ATF. The United States was represented by Assistant U.S. Attorney Sam Dotson.
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.
This is another case prosecuted as part of the Department of Justice’s “Project Safe Neighborhoods” Program (PSN), which is a nationwide, crime reduction strategy aimed at decreasing violent crime in communities. It involves a comprehensive approach to public safety — one that includes investigating and prosecuting crimes, along with prevention and reentry efforts. In the Eastern District of Kentucky, U.S. Attorney Robert Duncan Jr., coordinates PSN efforts in cooperation with various federal, state, and local law enforcement officials.
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