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3 March 2020
Rochester Man Going Back to Prison for A Decade 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 Justin Channell, 32, of Rochester, NY, who was convicted of possession of child pornography involving prepubescent minors, was sentenced to serve 10 years in prison and 15 years of supervised release by U.S. District Judge Charles J. Siragusa. The defendant will also be required to register as a sex offender.
Assistant U.S. Attorney Meghan K. McGuire, who handled the case, stated that in 2011, the defendant was convicted of possession of child pornography and sentenced to serve 12 months in prison followed by 15 years of supervised release.
In April 2019, Channell was serving his term of supervised release when a United States Probation Officer discovered that he was viewing images and videos of child pornography on his mobile phone. The Federal Bureau of Investigation Child Exploitation Task Force was alerted. As a result, the FBI forensically examined the defendant’s phone and ultimately discovered hundreds of images and several videos of child pornography, including some images and videos that depicted prepubescent minors and sadistic and masochistic conduct.
The sentencing is the result of an investigation by the Federal Bureau of Investigation Child Exploitation Task Force, under the direction of Special Agent-in-Charge Gary Loeffert.
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Rochester Man and Woman Sentenced to Prison for Methamphetamine DistributionRead the Press Release
United States Attorney Erica H. MacDonald today announced the sentencing of STEVEN ALLEN LINDQUIST, 30, to 204 months in prison for conspiring to distribute methamphetamine. LINDQUIST, who pleaded guilty on October 31, 2019, was sentenced today before Judge Patrick J. Schiltz in U.S. District Court in Minneapolis, Minnesota. On February 18, 2020, LINDQUIST’s co-defendant, TIFFANY MARIE GAUTHIER, 24, was sentenced to 60 months in prison for conspiring to distribute methamphetamine.
According to the defendants’ guilty pleas and documents filed in court, on April 2, 2019, LINDQUIST was stopped by law enforcement for driving without a license. LINDQUIST was arrested with $10,000 in cash and approximately 6.5 grams of methamphetamine in his pocket. Law enforcement conducted a search of LINDQUIST’s vehicle and found another $7,920 in cash, approximately 13 grams of methamphetamine, hydrocodone, oxycodone, alprazolam, clonazepam, MDMA, and marijuana, which are all controlled substances under federal law.
According to the defendants’ guilty pleas and documents filed in court, between late April and early May 2019, law enforcement tracked a vehicle that was rented and driven by GAUTHIER from Arizona to Minnesota. On May 2, 2019, law enforcement obtained a search warrant for the vehicle and seized approximately 55 pounds of methamphetamine that was concealed in the fuel tank. GAUTHIER had assisted LINDQUIST in obtaining the drugs from a supplier in Arizona, and then intended to deliver the drug-laden vehicle to LINDQUIST who, in turn, intended to distribute the methamphetamine to customers throughout Minnesota. On May 29, 2019, law enforcement received a tip that LINDQUIST was selling drugs at the Black Bear Casino in Carlton County, Minnesota. Law enforcement conducted a search of the defendant's vehicle and seized approximately 615 grams of methamphetamine from a backpack which also contained mail addressed to LINDQUIST.
This case was the result of an investigation conducted by the DEA, the Goodhue County Sheriff’s Office, the Olmsted County Sheriff’s Office, and other members of the Southeast Minnesota Violent Crime Enforcement Team (VCET).
This case was prosecuted by Assistant U.S. Attorney Thomas M. Hollenhorst.
Defendant Information:
STEVEN ALLEN LINDQUIST, 30
Rochester, Minn.
Convicted:
- Conspiracy to distribute methamphetamine, 1 count
Sentenced:
- 204 months in prison
- 5 years of supervised release
TIFFANY MARIE GAUTHIER, 24
Rochester, Minn.
Convicted:
- Conspiracy to distribute methamphetamine, 1 count
Sentenced:
- 60 months in prison
- Two years of supervised release
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United States Attorney’s Office, District of Minnesota: (612) 664-5600
RI Man Sentenced to 20 Years in Prison for Producing, Possessing Child PornographyRead the Press Release
PROVIDENCE – A former North Providence and Pawtucket resident arrested twice for sharing child pornography online, and who was found to be in possession of more than 11,400 images and videos of child pornography, including a video he produced that depicts him sexually assaulting a minor female, was sentenced today to 20 years in federal prison.
Robert Barrie, 41, was arrested by members of the Rhode Island State Police Internet Crimes Against Children (ICAC) task force in May 2015 and in July 2017, after investigators discovered him sharing child pornography through online peer-to-peer networks.
On May 7, 2015, members of the ICAC task force executed a court-authorized search of Barrie’s then North Providence residence, and seized several electronic devices containing child pornography. Barrie was charged in Rhode Island state court with possession of child pornography. He was re-arrested about three weeks later when, during a forensic review of the digital devices seized from Barrie, investigators discovered videos that depict Barrie sexually assaulting a minor female.
Barrie was re-arrested and arraigned in Rhode Island state court on child molestation charges. He was subsequently released on bail.
In July 2017, ICAC investigators observed peer-to-peer Internet traffic of child pornography files being shared from an IP address in Pawtucket. When investigators arrived at the Pawtucket residence, they learned it was the residence of Robert Barrie. Barrie was arrested after the electronic devices in his possession were found to contain child pornography.
Barrie pleaded guilty in federal court on April 9, 2019, to charges of production of child pornography and possession of child pornography.
At sentencing today, U.S. District Court Judge William E. Smith sentenced Barrie to 240 months in federal prison to be followed by 25 years supervised release, announced United States Attorney Aaron L. Weisman, Superintendent of the Rhode Island State Police Colonel James M. Manni, and Homeland Security Investigations Acting Special Agent in Charge Jason Molina.
This Project Safe Childhood case was prosecuted by Assistant U.S. Attorney John P. McAdams.
The Rhode Island ICAC Task Force is comprised of members of the Rhode Island State Police Computer Crimes Unit along with detectives from the Warwick, Cranston, Newport, East Providence, Pawtucket, Bristol, North Kingstown, and Woonsocket Police Departments, and Homeland Security Investigations agents.
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Previously Convicted Felon Sentenced to 33 Months in Federal Prison for Illegal Possession of a FirearmRead the Press Release
Greenbelt, Maryland – U.S. District Judge George J. Hazel sentenced Alonzo Darnell Wood, age 39, of Washington, D.C., yesterday to 33 months in federal prison, followed by three years of supervised release, for being a felon in possession of a firearm.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Timothy Jones of the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) Baltimore Field Division.
According to court documents, Wood was attempting to enter a Maryland casino when a casino security officer observed a blue folded knife near his waist band. The security officer advised Wood that the knife was not permitted in the casino and instructed Wood to put the knife in his car. As Wood walked away, the security officer and a police officer noticed a strong odor emanating from Wood.
A short time later, Wood returned to the same security podium and the security officer asked Wood to present identification. When Wood began to reach into his pockets, the security officer asked Wood to open his jacket, which was completely zipped up. The police officer searched Wood to check for weapons and recovered a fully-loaded .40-caliber handgun from Wood’s waistband. Wood was placed under arrest. A subsequent search of Wood resulted in the discovery of 2.5 ounces of PCP in a glass bottle, two grams of marijuana, and the blue folded knife. Wood was prohibited from possessing a firearm of ammunition due to previous felony drug convictions.
This case is part of Project Safe Neighborhoods (PSN), a program bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. PSN, the centerpiece of the Department of Justice’s violent crime reduction efforts, is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
This case is also part of Project Guardian, the Department of Justice’s signature initiative to reduce gun violence and enforce federal firearms laws. Initiated by the Attorney General in the fall of 2019, Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities. For more information about Project Guardian, please see: https://www.justice.gov/projectguardian.
United States Attorney Robert K. Hur commended the ATF for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorneys Dwight Draughon and Catherine Dick, who prosecuted the case.
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Pittsburgh Man Pleads Guilty to Drug and Firearms Charges in South Side Gang CaseRead the Press Release
PITTSBURGH - A former resident of Pittsburgh, Pennsylvania, pleaded guilty in federal court to charges related to narcotics trafficking and firearms possession in connection with a large-scale investigation conducted by the Greater Pittsburgh Safe Streets Task Force, United States Attorney Scott W. Brady announced today.
Latone Dunbar, 25 pleaded guilty to one count of conspiracy to distribute and possess with intent to distribute heroin before United States District Judge William S. Stickman IV. He also pleaded guilty to possession with intent to distribute heroin, as well as possession of a firearm in furtherance of a drug-trafficking crime. Mr. Dunbar is one of 37 defendants charged in the Indictment.
In connection with the guilty plea, the court was advised that in 2017, the Greater Pittsburgh Safe Streets Task Force initiated an investigation primarily targeting the Darccide/Smash 44, or DS44, neighborhood gang, and its drug-trafficking activity, in and around the South Side area of Pittsburgh. As part of this large-scale narcotics and firearms investigation, in February of 2019, the United States received authorization to conduct a federal wire investigation, which continued through June of 2019.
Intercepted communications demonstrated that Dunbar purchased distribution-level quantities of heroin from co-conspirator Ronald Williams, and re-sold the heroin to other customers. The court was further informed that during a search of Dunbar’s residence on March 8, 2019, the Pittsburgh Bureau of Police found a Highpoint rifle and approximately 4 grams of heroin stamped "DOPE."
Judge Stickman scheduled sentencing for August 5, 2020 at 10:30 a.m. The law provides for a total sentence of up to life imprisonment, a fine of $4,500,000, or both. Under the Federal Sentencing Guidelines, the actual sentence imposed is based upon the seriousness of the offense and the prior criminal history, if any, of the defendant. Mr. Dunbar remains in custody pending the sentencing hearing.
Assistant United States Attorney Christy C. Wiegand is prosecuting this case on behalf of the government.
The Federal Bureau of Investigation led the multi-agency investigation of this case, which also included the Bureau of Alcohol Tobacco Firearms and Explosives, Allegheny County Adult Probation, Allegheny County Police Department, Allegheny County Sheriff’s Office, Pennsylvania Attorney General’s Office Bureau of Narcotics, Pittsburgh Bureau of Police, and the Wilkinsburg
Police Department. Other assisting agencies include the Green Tree Police Department, New YorkCityPolice Department,Mount Oliver Police Department, Pennsylvania State Police, Yonkers Police Department,United States MarshalsFugitive Task Force, and the United States Postal InspectionService.
The investigation was funded by the federal Organized Crime Drug Enforcement Task ForceProgram (OCDETF).The OCDETF program supplies critical federal funding and coordination thatallows federal and state agencies to work togetherto successfully identify, investigate,and prosecutemajor interstate and international drug traffickingorganizations and other criminal enterprises.
Part-owner and chief financial officer of Ayudando Guardians sentenced to 20 years in prison for $11 million financial fraud schemeRead the Press Release
ALBUQUERQUE, N.M. – A federal judge in Santa Fe, New Mexico sentenced Sharon A. Moore, 64, of Albuquerque to 20 years in federal prison on March 2 for conspiracy and other financial crimes committed in connection with the operation of Ayudando Guardians, Inc., a non-profit corporation based in Albuquerque that previously provided guardianship, conservatorship, and financial management to hundreds of people with special needs. Meanwhile, the judge issued bench warrants for Susan K. Harris, 73, and William S. Harris, 58, of Albuquerque after they failed to appear with Moore for their scheduled sentencing hearing.
U.S. District Judge Martha Vázquez sentenced Moore to a term of 240 months in prison followed by a 3-year term of supervised release. Judge Vazquez also ordered Moore to pay the entire amount of stolen funds as restitution to the victims.
Moore pleaded guilty on July 9, 2019, and Susan Harris pleaded guilty on July 11, 2019. In their plea agreements, Harris and Moore admitted to conspiracy, mail fraud, aggravated identity theft, money laundering, and conspiracy to commit money laundering. Susan Harris was the 95% owner of Ayudando and acted as president; Moore was a 5% owner and acted as chief financial officer of Ayudando. They engaged in a decade-long pattern of sophisticated criminal conduct from November 2006 to July 2017. This included unlawfully transferring money from client accounts to a comingled account without any client-based justification as part of the fraud scheme and money laundering conspiracy. Susan Harris and Sharon Moore wrote and endorsed numerous checks, often of more than $10,000, from these comingled accounts to themselves, family members, cash, and other parties where payment would benefit their families. The stolen funds were used to fund a luxury lifestyle and were used to purchase homes, vehicles, luxury RVs and cruises, as well as a private box at “the Pit” at the University of New Mexico. The stolen funds were also utilized to pay off more than $4.4 million in American Express charges incurred by the defendants and their families.
In order to conceal the fraud scheme, Moore created and sent forged and fraudulent reports to the Veterans Administration for fiduciary clients. She falsified bank statements and annual reports to disguise the theft of money from client accounts. Susan Harris also took acts to maintain Ayudando’s appearance of legitimacy, including submitting a proposal to the New Mexico Office of Guardianship which contained numerous false representations, including a false claim that another defendant was a nationally certified guardian at the time of the submission.
William Harris pleaded guilty on June 25, 2019. In his plea agreement, he admitted to acting in concert with his co-defendants to cheat the United States government out of money and property. William Harris admitted that he knew that Moore was siphoning payments to clients from the Department of Veterans Affairs and Social Security Administration and using the money to benefit herself, Susan Harris, and their co-conspirators. William Harris specifically admitted receiving, endorsing, and depositing dozens of checks drawn on Ayudando accounts for his own personal benefit.
William Harris also admitted to his involvement in a money laundering scheme. He acknowledged using an Ayudando corporate credit card for personal expenses, knowing that it would be paid for with client money. He admitted his role in a loan application for the stated purpose of expanding the Ayudando business with the actual intent of using the money to “pay back” clients whose money they took without authorization.
The Complex Assets Unit of the U.S. Marshals Service is continuing to work to locate assets and funds that can be seized and returned to victims through the forfeiture and restitution process. Additionally, the VA and SSA are working to provide reimbursement of stolen government benefits to those Ayudando clients that received benefits from those agencies, consistent with federal law and regulations.
Fugitives: Photos of the fugitives, Susan K. Harris and William S. Harris, are attached to this press release. Individuals with information about the whereabouts of Susan K. Harris and William S. Harris should contact the U.S. Marshals Service at (505) 462-2300.
A fourth defendant, Craig M. Young, who is the son of Susan and William Harris, pleaded guilty on November 12, 2019, to conspiracy and conspiracy to commit money laundering. He is currently out of custody awaiting sentencing at a future date. In light of Susan and William Harris’ fugitive status, Judge Vázquez added electronic monitoring to Craig Young’s conditions of release.
The Albuquerque offices of the FBI and IRS Criminal Investigation conducted the investigation, which resulted in the charges in the indictment, and are leading the continuing investigation. The Complex Assets Unit and the Albuquerque office of the USMS, the Criminal Investigations Division of the Department of Veterans Affairs Office of Inspector General, and the Dallas Field Division of the Social Security Administration Office of Inspector General are assisting in the investigation. Assistant U.S. Attorneys Jeremy Peña and Brandon L. Fyffe are prosecuting the case.
Owenton Man Sentenced to 108 Months for Distributing Child PornographyRead the Press Release
FRANKFORT, Ky. – An Owenton, Kentucky, man, Patrick Voegele, 35, was sentenced in federal court on Tuesday, to 108 months in prison, by U.S. District Judge Gregory Van Tatenhove, for distributing child pornography using the internet.
According to Voegele’s plea agreement, in January 2018, KSP was investigating CyberTip reports involving the distribution of child pornography via Skype. Law enforcement officers traced the IP address to Voegele. Voegele admitted using Skype to upload both still images and videos of child pornography. A forensic investigation of Voegele’s devices revealed 2,748 images and 709 videos of child pornography. Voegele also admitted to knowingly distributing child pornography.
Voegele pleaded guilty to the charge in October 2019.
Under federal law, Voegele must serve 85 percent of his prison sentence and will be under the supervision of the U.S. Probation Office for 20 years.
Robert M. Duncan, Jr., United States Attorney for the Eastern District of Kentucky; Steven L. Igyarto, Resident Agent in Charge, Department of Homeland Security - Homeland Security Investigations; and Rodney Brewer, Commissioner of the Kentucky State Police, jointly made the announcement.
The investigation was directed by the DHS-HIS and KSP-Electronic Crime Branch. The United States was represented by Assistant U.S. Attorney David Marye.
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.
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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O.C. Man Arrested on Charges of Traveling Out of State to Engage in Illicit Sexual Acts with Minors and Producing Child PornographyRead the Press Release
SANTA ANA, California – An Orange County man surrendered to federal law enforcement today to face criminal charges that he traveled out of state to engage in illicit sexual conduct and produce child pornography, including with one victim who was 6 years old.
Daniel Seibert, 28, of Lake Forest, was taken into custody this morning by special agents with Homeland Security Investigations. He is expected to make his initial appearance tomorrow afternoon in United States District Court in Santa Ana.
Seibert has agreed to plead guilty to a three-count information charging him with production of child pornography, travel with intent to engage in illicit sexual conduct, and use of a facility of interstate commerce to induce a minor to engage in criminal sexual activity.
According to his plea agreement, between March 29, 2019 and April 2, 2019, Seibert traveled from California to Michigan to engage in illicit sexual conduct with a victim who was 6 years old. The victim’s mother attempted to render the victim unconscious by using over-the-counter drugs before having Seibert engage in sex acts with the victim, according to court documents. Images later recovered during a search depicted his abuse of the victim. The victim’s mother is facing multiple child sexual abuse charges in Oregon state court.
Seibert also admitted to traveling to Utah in December 2018 and again in May 2019 to engage in illicit sexual conduct with a 14-year-old victim that he had met on the Internet.
Law enforcement also found more than 180 images and 19 videos of child exploitation images found during the November 2019 search of his residence.
Once Seibert pleads guilty to the three child exploitation charges, he will face a statutory maximum sentence of 75 years in federal prison.
This case was investigated by Homeland Security Investigations.
This matter is being prosecuted by Assistant United States Attorneys Daniel H. Ahn and Jake D. Nare of the Santa Ana Branch Office.
Norwich Man on Federal Supervised Release Charged with Threatening to Kill WomanRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, and Kelly D. Brady, Special Agent in Charge, ATF Boston Field Division, today announced that DANIEL SCOTT, 31, of Norwich, has been charged in a federal criminal complaint with making threatening communications.
As alleged in the complaint, on March 2, 2020, law enforcement received information from a woman in the Bronx, New York, that Scott had made threatening calls and sent threatening texts to her after she had communicated to Scott that she was not interested in having a romantic relationship with him. Texts and voicemails reviewed by investigators contained specific threats to harm the victim. One text included a promise by Scott that, on March 2, he would travel to the gym where she was employed and “…shoot tha whole gym up an end all of us….”
On the afternoon of March 2, Scott appeared at the victim’s workplace in the Bronx. The victim called 9-1-1 and Scott was arrested by the New York Police Department. Scott is currently detained in New York on domestic violence-related charges.
It is alleged that Scott has two prior federal convictions for narcotics distribution offenses, and he is currently on federal supervised release.
The charge of making threatening communications carries a maximum term of imprisonment of five years.
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
This investigation is being conducted by the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) with the assistance of the New York Police Department. The case is being prosecuted by Assistant U.S. Attorney Douglas P. Morabito.
North County Property Owner Charged in “Crack-House” Indictment; Feds Seek Forfeiture of Multi-Acre CompoundRead the Press Release
For Further Information, Contact:
Assistant U.S. Attorneys Kevin Mokhtari (619) 546-8402 and David J. Rawls (619) 546-7966
SAN DIEGO – Federal prosecutors unsealed an indictment in San Diego today charging the owner of a large residential compound in Vista with maintaining a drug-involved premises. The indictment seeks criminal forfeiture of the multi-acre property, which is located at 725 Poinsettia Avenue.
Early this morning, members of the North County Regional Gang Task Force, the FBI SWAT team and other law enforcement agencies raided the property and arrested the owner, defendant Sean Terrence Sheeter, who is charged in the indictment. Sheeter was released and ordered to appear in federal court in San Diego on Friday at 2:00 pm before U.S. Magistrate Judge Linda Lopez.
The federal indictment is the result of a multi-year investigation led by the North County Regional Gang Task Force, which is spearheaded by the FBI and the San Diego Sheriff’s Department. The investigation involved months of federal wiretaps, multiple undercover drug buys, and surveillance that led investigators to learn about the criminal activity on the property.
More Photos
This investigation initially focused on North County gang members and associates who were believed to be importing methamphetamine and heroin from Mexico and distributing the drugs in the North County area. As the investigation continued, authorities learned that many of the targets were living at and operating from the Poinsettia Avenue property. According to a search warrant unsealed today, Sheeter, who also lives at the property, allowed gang members, drug dealers and users to stay at the property.
According to the search warrant unsealed today, law enforcement activity at the property has been pervasive. Between January 1, 2017 and February 25, 2020, there have been 53 separate calls for service or other calls to the San Diego Sheriff’s Department pertaining to the property. The calls included reports for stolen vehicles, thefts, disturbance calls, burglary, grand theft, armed suspicious persons, vandalism and a threat with a weapon. During the same time period, there have been approximately 22 arrests and 7 citations issued at the property. The majority of the arrests relate to possession of controlled substances or stolen vehicles, but include several arrests related to firearms in the possession of felons or other prohibited persons.
“We allege that this property is a drug-laden haven for violent felons, gang members, drug dealers and drug users,” said U.S. Attorney Robert Brewer. “This neighborhood, and the streets of San Diego County, are safer today because of the hard work and dedication of the North County Regional Gang Task Force and prosecutors Kevin Mokhtari and David Rawls, who are responsible for these indictments.”
“Today’s operation brings the conclusion of a long-term investigation led by our North County Regional Gang Task Force. This group of dedicated agents and officers work hard making the streets of North County safer for the community to live and work,” said FBI Special Agent in Charge Scott Brunner. “The dangerous activity involving heroin, methamphetamine, firearms, and other illegal activity at the so called 'Heroin House' has been shut down.”
“It's not unreasonable to expect our neighbors to be law abiding citizens,” said Sheriff’s Captain Justin White. “Unfortunately, Mr. Sheeter allegedly felt he was above the law with little regard for his neighbors and how illegal activity would affect everyone’s quality of life. The San Diego County Sheriff's Department is grateful for the hard work and cooperation of the North County Regional Gang Task Force and the U.S. Attorney’s Office to bring about positive change in this Vista neighborhood.”
For further information on the original investigation that led to today’s action, please see https://www.justice.gov/usao-sdca/pr/thirty-seven-gang-members-charged-crackdown-north-county-heroin-methamphetamine-and.
This case is the result of the ongoing efforts by the Organized Crime Drug Enforcement Task Force (OCDETF), a partnership that brings together the combined expertise and unique abilities of federal, state and local law enforcement agencies. The principal mission of the OCDETF program is to identify, disrupt, dismantle and prosecute high-level members of drug trafficking, weapons trafficking and money laundering organizations and enterprises.
This case was handled by Assistant U.S. Attorneys Kevin Mokhtari and David J. Rawls.
Indictment - Sheeter
WarrantDEFENDANT Case Number 20CR0656-JLS
Sean Terrence Sheeter Vista, California.
SUMMARY OF CHARGES
Maintaining a Drug-Involved Premises – Title 21, U.S.C., Section 856(a)(2)
Criminal Forfeiture – Title 21, U.S.C., Section 853Maximum Penalty: Twenty years in prison and $500,000 fine
AGENCIES
Federal Bureau of Investigation
San Diego Sheriff’s Department
United States Marshals Service
Bureau of Alcohol, Tobacco, Firearms and Explosives
Homeland Security Investigations
Drug Enforcement Administration
Carlsbad Police Department
Oceanside Police Department
Escondido Police Department
California Department of Corrections and Rehabilitation
California Highway Patrol
Department of Justice, Organized Crime and Drug Enforcement Task Force (OCDETF)
Department of Justice, Office of Enforcement Operations
North Carolina Nail Salon Owner Charged with Forced Labor of an EmployeeRead the Press Release
CHARLOTTE, N.C. –Thuy Tien Luong, 36, was charged on March 3, 2020, in an indictment with one count of forced labor, announced Assistant Attorney General Eric Dreiband for Civil Rights and U.S. Attorney R. Andrew Murray for the Western District of North Carolina.
According to the allegations set forth in the indictment, between late 2017 and June 26, 2018, the defendant forced the victim, whom she employed as a nail technician, to provide labor and services at her salon by means of force and threats of force to the victim. The indictment further alleges that the defendant obtained the victim’s services through means of serious harm and threats of serious harm, means of abuse and threatened abuse of law and legal process, and by means of a scheme, plan and pattern to cause the victim to believe that if she did not perform such labor and services, she would suffer serious harm.
“Human trafficking is our generation’s form of physical and psychological captivity. It is modern day slavery. These vile acts involve fundamental violations of our rights and the perpetrators must be stopped,” said Eric Dreiband, Assistant Attorney General for Civil Rights.
“Forced labor deprives victims their basic human rights and strips away their dignity. Labor trafficking schemes are deplorable and do not have place in modern society. My Office remains committed to combatting all forms of human trafficking and holding perpetrators accountable for their criminal actions,” said U.S. Attorney Murray.
“Traffickers treat human beings as commodities. They use force, fraud or coercion to prey on people’s vulnerabilities,” said Homeland Security Investigations (HSI) Charlotte Special Agent in Charge Ronnie Martinez. “HSI special agents will continue to focus their efforts on eradicating this heinous crime; no one should be subject to human trafficking.”
An indictment is merely an accusation, and the defendant is presumed innocent unless proven guilty. If convicted of forced labor, the defendant faces a sentence of up to 20 years in prison, as well as mandatory restitution.
The case is being investigated by the Department of Homeland Security, Homeland Security Investigations with assistance from the Davidson Police Department and Charlotte-Mecklenburg Police Department. It is being prosecuted by Assistant United States Attorney Kimlani M. Ford for the Western District of North Carolina and Trial Attorney Maryam Zhuravitsky for the Civil Rights Division’s Human Trafficking Prosecution Unit.
New Orleans Man Pleads Guilty to Firearms OffenseRead the Press Release
NEW ORLEANS – U.S. Attorney Peter G. Strasser announced that STERLING ADAMS, age 48, of New Orleans, pleaded guilty on February 27, 2020, to being in possession of a firearm after being convicted of a misdemeanor crime of domestic violence, in violation of 18 U.S.C. §§ 922(g)(9) and 924(a)(2).
According to the court records, between July 3, 2014 and January 31, 2015, STERLING ADAMS possessed a Smith and Wesson .40 caliber firearm after having previously been convicted of a domestic-violence related misdemeanor offense.
ADAMS faces a sentence of up to 10 years of imprisonment, a fine of up to $250,000, up to 3 years of supervised release, and a $100 mandatory special assessment.
U.S. Attorney Strasser praised the work of the Bureau of Alcohol, Tobacco, Firearms and Explosives and the New Orleans Police Department in investigating this case.
Assistant United States Attorney Jonathan L. Shih is in charge of the prosecution.
Project Safe Neighborhoods (PSN) is the centerpiece of the Department of Justice’s violent crime reduction efforts. PSN is an evidence-based program proven to be effective at reducing violent crime. Through PSN, a broad spectrum of stakeholders work together to identify the most pressing violent crime problems in the community and develop comprehensive solutions to address them. As part of this strategy, PSN focuses enforcement efforts on the most violent offenders and partners with locally based prevention and reentry programs for lasting reductions in crime.
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NDTX Round-Up for March 3Read the Press Release
SENTENCING - SHERMAN LAKEITH ROSS
On February 24, Sherman Lakeith Ross, 45, was sentenced to 11 years and 5 months for possession with the intent to distribute heroin and aiding and abetting. Ross and his coconspirators used cell phones to communicate about their drug enterprise, and these communications were intercepted by the police. Law enforcement seized the drugs distributed from multiple customers, and after confirming that it was heroin, arrested Ross while he was in his probation officer’s office. This case was investigated by the Drug Enforcement Administration and prosecuted by AUSA John Kull.
SENTENCING – NEFTALI ABONZA
On February 26, Neftali Abonza, 30, was sentenced to 4 years and 2 months for conspiracy to commit money laundering. Abonza and his codefendants were involved in a conspiracy to distribute methamphetamine in both Texas and Florida. The coconspirators would smuggle cash in bulk and use bank funnel accounts to profit from the proceeds. Abonza was arrested when attempting to deliver two kilograms of methamphetamine. He faces up to 20 years in federal custody. This case was investigated by the Drug Enforcement Administration and was prosecuted by AUSA Myra Boehm.
SENTENCING – HELEN KIM
On March 2, Helen Kim, 59, was sentenced to 3 years and 10 months in federal prison for racketeering. Kim was apprehended by law enforcement in November, after a sting operation at a Dallas hotel liberated a number of foreign-born commercial sex workers. She agreed to accept over $40,000 in exchange for providing illicit sex services to a group of out of town “businessmen” partying at a local hotel. These “businessmen” were actually undercover law enforcement officers. Kim admitted that she employed more than 10 commercial sex workers, many of whom lived at the brothels to to cater to customers at all times of the day and night. This case was investigated by the Dallas Police Department, the Texas Department of Public Safety, and Homeland Security Investigations and is prosecuted by AUSA Ryan Raybould and AUSA Cara Foos Pierce. Click here to learn more about this case.
Mother of San Bernardino Shooter Agrees to Plead Guilty to Destroying Evidence Related to Her Son’s 2015 Terrorist AttackRead the Press Release
RIVERSIDE, California – The mother of Syed Rizwan Farook, the male shooter in 2015 San Bernardino terrorist attack, has agreed to plead guilty to a federal criminal charge of intending to impede a federal criminal investigation by shredding a map her son generated in connection with the attack.
Rafia Sultana Shareef, a.k.a. Rafia Farook, 66, of Corona, has agreed to plead guilty to a one-count information charging her with alteration, destruction, and mutilation of records. The criminal information and related plea agreement were filed Monday in United States District Court in Riverside, and the documents became publicly available today.
Shareef is scheduled to make her initial appearance in federal court in Riverside on March 16.
According to her plea agreement, on December 2, 2015, Shareef was living at a Redlands residence she shared with her son and his wife, Tashfeen Malik, and her grandchild. At approximately 8 a.m. on that day, Farook and Malik left the family home and left their infant child with Shareef, falsely telling her that they were going to a medical appointment.
Instead, Farook and Malik drove a black SUV that Farook had rented a few days earlier to the Inland Regional Center (IRC) in San Bernardino. Farook entered the IRC alone, while Malik waited inside the SUV, which was parked at the IRC parking lot. Farook placed a bag containing a bomb in a conference room where his coworkers were holding an event. After some time, Farook and Malik left the IRC, then returned at approximately 10:58 a.m. dressed in black tactical gear.
Approaching the IRC on foot from the exterior, Farook and Malik opened fire using high-powered firearms on individuals outside and inside the venue, killing 14 people and wounding at least 22 others. At approximately 11:01 a.m., Farook and Malik departed the IRC and began driving around San Bernardino. A few hours later, Farook and Malik engaged in a firefight with law enforcement officers that resulted in the wounding of one policeman and their own deaths.
Sometime between 11:43 a.m. and 3:06 p.m., while Shareef was still at her home, she learned that law enforcement had identified her son as a suspect in the IRC attack, the plea agreement states. In the presence of family members that afternoon, Shareef expressed her belief that her son and daughter-in-law had perpetrated the IRC attack, according to the plea agreement.
Prior to leaving the family home with her infant grandchild at 3:41 p.m., Shareef went into her son’s bedroom, grabbed at least one document that appeared to be a map, and fed it into a shredder, according to the plea agreement. Shareef admitted that she knew her son had produced the document, and she believed it was directly related to his planning of the IRC attack.
Once she pleads guilty to the felony charge, Shareef will face a maximum statutory sentence of 20 years in federal prison, but the plea agreement contemplates a sentence of no more than 18 months.
This matter was investigated by the FBI. This case stems from the broader investigation of the San Bernardino attack by members of the Inland Empire Joint Terrorism Task Force, which includes the FBI; the San Bernardino Police Department; the San Bernardino County Sheriff’s Department; the Bureau of Alcohol, Tobacco, Firearms and Explosives; Homeland Security Investigations; the Riverside County Sheriff’s Department; the San Bernardino County District Attorney’s Office; the Chino Police Department; the Redlands Police Department; the Ontario Police Department; the Corona Police Department; and the Riverside Police Department.
The case against Shareef is being prosecuted by Assistant United States Attorneys Christopher D. Grigg, Chief of the Terrorism and Export Crimes Section; Melanie Sartoris of the General Crimes Section; and Julius J. Nam of the Criminal Appeals Section. Justice Department Trial Attorneys Alicia Cook and C. Alexandria Bogle of the National Security Division’s Counterterrorism Section provided substantial support.
Montana law enforcement leaders to head Rocky Mountain High Intensity Drug Trafficking Area Executive BoardRead the Press Release
BILLINGS – U.S. Attorney Kurt Alme and Montana Department of Justice’s Division of Criminal Investigation Administrator Bryan Lockerby have been appointed to head the Rocky Mountain High Intensity Drug Trafficking Area (RMHIDTA) Executive Board.
Administrator Lockerby is the chairman, and U.S. Attorney Alme is the vice chair. Alme will serve as chairman next year. Alme, Lockerby and Billings Police Chief Rich St. John also serve as the Montana Executive Subcommittee for the RMHIDTA.
The RMHIDTA, based in Denver, CO, brings together federal, state, local and tribal law enforcement to target large drug-trafficking organizations. Montana, along with Colorado, Utah and Wyoming are part of the RMHIDTA. The White House Office of National Drug Control Policy oversees 29 HIDTA programs nationwide.
RMHIDTA’s Executive Board is responsible for identifying major threats, developing strategies to address those threats and allocating funds to the various drug task forces that have HIDTA designation. The Executive Board also is responsible for policy and procedures, assuring annual fiscal and operational audits are completed and that HIDTA task forces meet expectations.
“It’s an honor to be selected to lead the four Rocky Mountain states during such a critical time,” Lockerby said. “State borders mean little to drug traffickers and so interagency cooperation on regional strategies is the best way to disrupt illicit drug operations. As a task force our goal is to provide law enforcement professionals in the Rocky Mountains states with tools that will help them do their critical work.”
RMHIDTA Director Tom Gorman praised Montana’s leadership and law enforcement community. “I’m from the East Coast and did 30 years of law enforcement in California. I have learned a great deal about relationships in Montana’s criminal justice system. They are highly motivated and work well together,” Gorman said.
“I can’t say enough about U.S. Attorney Alme, DCI Administrator Lockerby and Billings Police Chief Rich St. John for their support, guidance and always striving to make things better. Honestly, they can be a pain but always for the right reason, and that is to make our program more effective and efficient. They keep staff hopping and on their toes, which is a good thing,” Gorman said.
“Meth and other drugs are causing violent crime and many other serious problems,” U.S. Attorney Alme said. “Along with effective prevention and treatment, we need to remove these dangerous dealers from our communities. I am honored to work with Administrator Lockerby, Director Gorman and all the men and women of the task forces who work hard every day to keep these poisons out of our communities.”
Montana plays a major role in the program, with five HIDTA task forces, a Montana Highway Patrol Criminal Interdiction program and a prevention and treatment component of drug policy. Montana’s law enforcement also participates in the leadership of the program. For the past 10 years, a key committee that manages budgets and allocation of funds has been chaired by Chief St. John and more recently by Administrator Lockerby.
MHIDTA manages 23 multi-agency drug task forces, four criminal interdiction programs, training, intelligence and management initiatives. This includes 10 federal, 15 state and 109 local agencies with a total of more than 500 full-time sworn personnel and 50 support personnel, including analysts. These task forces annually average dismantling or disrupting more than 100 international, multi-state or local drug-trafficking organizations.
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Monongalia County man indicted on firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Brian Cutright, of Morgantown, West Virginia, was indicted today on firearms charges, U.S. Attorney Bill Powell announced.
Cutright, age 40, is charged with one count of “Unlawful Possession of Firearm” and one count of “Possession of Unregistered Firearm.” Cutright, prohibited from having a firearm because he is a user of controlled substances, is accused of having a .25 caliber pistol, a .45 caliber pistol, two .22 caliber rifles, a .40 S&W rifle, and two 12-guage shotguns in July 2018 in Monongalia County.
Cutright faces up to 10 years incarceration and a fine of up to $250,000 for each count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives, the Greater Harrison Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Monongalia County man indicted on firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Reynaldo Millan, of Morgantown, West Virginia, was indicted today on firearms charges, U.S. Attorney Bill Powell announced.
Millan, age 29, is charged with one count of “Possession of a Firearm by a Person Under Felony Indictment” and one count of “Unlawful Possession of Firearm.” Millan, prohibited from having a firearm because of a felony indictment in Monongalia County and being a user of controlled substances, is accused of having a .223/5.56mm rile and a .38 caliber revolver in December 2018 in Monongalia County.
Millan faces up to five years incarceration and a fine of up to $250,000 for the possession under felony indictment charge, and faces up to 10 years incarceration and a fine of up to $250,000 for the unlawful possession charge. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Sarah E. Wagner is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Monongalia County man indicted on drug chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Lance McClendon, of Morgantown, West Virginia, was indicted today on drug charges, U.S. Attorney Bill Powell announced.
McClendon, age 45, is charged one count of “Maintaining Drug-Involved Premises” and one count of “Possession with Intent to Distribute Methamphetamine.” McClendon is accused of maintaining a home in Monongalia County for the purpose of distributing methamphetamine and cocaine. He is also accused of having methamphetamine in September 2019 in Monongalia County.
McClendon faces up to 20 years incarceration and a fine of up to $500,000 for the maintaining a drug house charge and faces up to 20 years incarceration and a fine of up to $1,000,000 for the meth count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, and the West Virginia Probation Office investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Monongalia County man indicted on drug and firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Clay Westbrook, of Morgantown, West Virginia, was indicted today on drug and firearms charges, U.S. Attorney Bill Powell announced.
Westbrook, age 38, is charged with two counts of “Distribution of Methamphetamine,” one count of “Distribution of Cocaine Base,” one count of “Possession with Intent to Distribute Methamphetamine,” and one count of “Unlawful Possession of Firearm.” Westbrook is accused of distributing methamphetamine and cocaine base in November and December 2019 in Monongalia County. Westbrook, prohibited from having a firearm because of prior felony convictions, is also accused of having a .380 caliber pistol in December 2019 in Monongalia County.
Westbrook faces up to 20 years incarceration and a fine of up to $1,000,000 for each of the drug counts, and faces up to 10 years incarceration and a fine of up to $250,000 for the firearms count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the Mon Metro Drug & Violent Crimes Task Force, a HIDTA-funded initiative, investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Mobile Man Sentenced to Nearly 10 Years on Drug and Gun ChargesRead the Press Release
United States Attorney Richard W. Moore of the Southern District of Alabama announced that Tykeif Lashawn Dunn, 43, of Mobile, Alabama was sentenced today for possession with intent to distribute methamphetamine, and carrying a firearm in relation to a drug trafficking felony. Court documents showed that Dunn sold methamphetamine to a confidential informant on several occasions, after which the Mobile County Sheriff’s Office executed a search warrant at his residence. Dunn was arrested on state charges and bonded out. Within about two weeks, Dunn was again caught distributing methamphetamine. A sheriff’s deputy stopped him on Highway 158 in Mobile County and discovered additional methamphetamine in his vehicle. Dunn entered a guilty plea to the two federal charges in September of 2019.
United States District Court Judge William H. Steele imposed a total sentence of 228 months imprisonment, consisting of 168 months on the drug count, and 60 months on the gun count, to run consecutively to each other. Dunn was ordered to serve five years of supervised release when he completes his custody sentence. During that period of supervision, Dunn will undergo testing and treatment for drug abuse. Dunn was also ordered to pay $200 in special assessments, but no fine was imposed. In addition, the firearm Dunn illegally possessed was ordered forfeited to the United States.
The case was investigated by the Mobile County Sheriff’s Office, and the Department of Homeland Security Investigations. It was prosecuted in the United States Attorney’s Office by Assistant United States Attorney Gloria Bedwell.
Mexican man admits to importing $73K worth of meth to USRead the Press Release
LAREDO, Texas – A 30-year-old citizen of Nuevo Laredo, Tamaulipas, Mexico, has pleaded guilty to conspiring to import 10.5 kilograms of meth into the United States, announced U.S. Attorney Ryan K. Patrick.
On Dec. 10, 2019, J. Guadalupe Martinez-Montelongo drove an SUV to the Juarez-Lincoln International Bridge in Laredo. There, a K-9 alerted to the possible presence of narcotics within the vehicle’s doors. Following a subsequent X-ray examination, authorities located 21 bundles stuffed behind the door panels which tested positive for meth.
The drugs weighed approximately 23 pounds and have a street value of over $73,000.
U.S. District Judge Marina Garcia Marmolejo will impose sentencing June 17 at 10 a.m. At that time, Martinez-Montelongo faces up to life in federal prison. He has been and will remain in custody pending that hearing.
The Drug Enforcement Administration conducted the investigation with the assistance of Customs and Border Protection. Assistant U.S. Attorney Paul A. Harrison is prosecuting the case.
Mexican Woman Who Used a Fraudulent Social Security Card to Get a Job Sentenced to PrisonRead the Press Release
A woman who used a false identification document and someone else’s social security number was sentenced today to six months in federal prison.
Maria Morales-Martinez, age 39, a citizen of Mexico illegally present in the United States and residing in Postville, Iowa, received the prison term after a November 26, 2019, jury verdict finding her guilty of one count of unlawful use of an identification document and one count of misuse of a social security number.
Evidence at trial showed that Morales-Martinez used the name, date of birth and Social Security number of another person when completing employment paperwork in August 2016 at a business in Postville, Iowa. Specifically, Morales-Martinez presented the company with a fraudulent Minnesota ID card bearing her picture but the name and date of birth of another person. She also used a Social Security card bearing the name and social security number assigned to that other person when completing state and federal tax forms. Morales-Martinez admitted at trial that she used a second person’s name and social security number when employed at the company between 2010 and 2012, and the current alias name and social security number while employed at the company between August 2016 and December 2018. She also falsely claimed to be a United States citizen on the employment forms. Morales-Martinez was fired after the company discovered that Morales-Martinez was working using fraudulent documents.
Morales-Martinez was sentenced in Cedar Rapids by United States District Court Judge C.J. Williams. Morales-Martinez was sentenced to six months’ imprisonment. She must also serve a three-year term of supervised release after the prison term. There is no parole in the federal system.
Morales-Martinez is being held in the United States Marshal’s custody until she can be transported to a federal prison.
The case was prosecuted by Assistant United States Attorney Daniel C. Tvedt and investigated by the Department of Homeland Security, Homeland Security Investigations.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-CR-1013.
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Mexican National Admits His Role in Transporting Illegal AliensRead the Press Release
LAKE CHARLES, La. – Ezequiel Vega-Solano, a 22-year old Mexican national, previously residing in Foley, Alabama, pleaded guilty today to illegal alien transportation, announced U.S. Attorney David C. Joseph. Vega-Solano, originally from Sonora, Mexico, was in the United States as a Deferred Action for Childhood Arrivals (DACA) recipient.
On June 26, 2019, Vega-Solano was transporting three illegal aliens on Interstate 10 near Lake Charles when a Louisiana State trooper pulled his vehicle over for a traffic violation. The trooper contacted U.S. Border Patrol in Lake Charles for assistance with the three passengers in the vehicle. When Border Patrol agents arrived, they spoke with Vega-Solano, the driver of the vehicle, who claimed that he and the passengers had traveled to Houston to attend an event.
Border Patrol agents determined that the three passengers in the vehicle were in the United States illegally and arrested Vega-Solano for alien smuggling. Vega-Solano later admitted to the agents that he was aware the passengers were in the United States illegally. He had agreed to transport two of them from Houston back to Foley for $1,500.
Ivan Velasquez-Lopez, one of the passengers in the vehicle, had traveled with Vega-Solano from Foley to Houston. Velasquez-Lopez, a citizen of Mexico, pleaded guilty before U.S. District Judge James D. Cain Jr. on August 15, 2019, to re-entering the United States after previously being removed on three occasions. The other two passengers had no prior immigration history and were taken into custody for further immigration proceedings.
Judge Cain presided over the hearing today and scheduled sentencing for June 11, 2020. Vega-Solano faces up to 10 years in prison, a $250,000 fine, and three years of supervised release. On June 27, 2019, United States Citizenship and Immigration Services issued a notice terminating Vega-Solano’s DACA status.
United States Border Patrol and Louisiana State Police conducted the investigation. Assistant U.S. Attorney David J. Ayo is prosecuting the case.
The year 2020 marks the 150th anniversary of the Department of Justice. Learn more about the history of our agency at www.Justice.gov/Celebrating150Years.
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Member of Navajo Nation sentenced to probation for unlawfully shooting elk in Indian CountryRead the Press Release
ALBUQUERQUE, N.M. – Calvin Toledo, 49, of Cuba, New Mexico pleaded guilty in federal court in Albuquerque today to unlawful taking and transporting wildlife in violation of Indian tribal law. He was sentenced to one year of probation.
According to his plea agreement, Toledo, an enrolled member of the Navajo Nation, admitted to hunting without a permit within the exterior boundaries of the Navajo Nation on Feb. 1, 2016. Toledo admitted to shooting and killing an elk and moving it from one location to another despite not having a permit from the Navajo Nation Department of Fish and Wildlife. Toledo admitted knowing his conduct violated the federal Lacey Act and Indian Tribal law.
The U.S Fish and Wildlife Service investigated this case with assistance from Navajo Nation and the New Mexico Department of Game and Fish. Assistant U.S. Attorney David P. Cowen prosecuted the case.
Marion County man indicted on firearms chargeRead the Press Release
CLARKSBURG, WEST VIRGINIA – Jonathan David Cochran, of Barrackville, West Virginia, was indicted today on a firearms charge, U.S. Attorney Bill Powell announced.
Cochran, age 25, is charged with one count of “Unlawful Possession of Firearm.” Cochran, prohibited from having a firearm because of a prior felony conviction, is accused of having a .380 caliber pistol in December 2019 in Marion County.
Cochran faces up to 10 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.
Assistant U.S. Attorney Sarah E. Wagner is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the West Virginia Probation and Parole Office investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Manchester Man Pleads Guilty to Methamphetamine TraffickingRead the Press Release
CONCORD - James Gadwah, 52, of Manchester, pleaded guilty in federal court to methamphetamine trafficking, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, Gadwah sold methamphetamine to a cooperating individual on three separate occasions in June of 2019. Gadwah was arrested on June 27, 2019, and officers searched his vehicle. In the vehicle, officers found over 60 grams of methamphetamine.
Gadwah is scheduled to be sentenced on June 9, 2020.
“Methamphetamine is a dangerous drug that is appearing with alarming frequency in New Hampshire,” said U.S. Attorney Murray. “I am grateful to the Concord Police for stopping this individual from continuing to sell this dangerous substance. In order to protect the public, we are committed to working with all of our law enforcement partners to identify and prosecute those who distribute methamphetamine and other dangerous drugs.”
This matter was investigated by the Concord Police Department. The case is being prosecuted by Assistant U.S. Attorney Anna Krasinski.
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Manchester Man Pleads Guilty to Drug TraffickingRead the Press Release
CONCORD - Michael Jones, 47, of Manchester, pleaded guilty in federal court to drug trafficking, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, from March 18, 2019 until April 19, 2019, a cooperating individual, at the direction of Manchester Police Department detectives, arranged on three occasions to buy methamphetamine from Jones.
Jones is scheduled to be sentenced on June 8, 2020.
“Drug trafficking continues present a significant risk to public health and safety,” said U.S. Attorney Murray. “In order to combat this threat, we will continue to work closely with the Manchester Police Department and our other law enforcement partners to identify and prosecute those who threaten the community by selling drugs.”
This matter was investigated by the Manchester Police Department. The case is being prosecuted by Assistant U.S. Attorney Joachim Barth.
This case is part of Operation Synthetic Opioid Surge (S.O.S.). In July of 2018, Attorney General Jeff Sessions announced the creation of S.O.S., which is being implemented in the District of New Hampshire and nine other federal districts. The goal of S.O.S. is to combat the large number of overdoses and deaths associated with fentanyl and other synthetic opioids. In New Hampshire, the U.S. Attorney’s Office is focusing its efforts on prosecuting synthetic opioid trafficking cases arising in Hillsborough County, which includes Manchester and Nashua.
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Manchester Man Pleads Guilty to Aiding and Abetting Making a False Statement During the Attempted Acquisition of a FirearmRead the Press Release
CONCORD - Jacob Dionne, 22, of Manchester, pleaded guilty in federal court to aiding and abetting the making of a false statement during the attempted acquisition of a firearm, United States Attorney Scott W. Murray announced today.
According to court documents and statements made in court, on September 11, 2017, a federally licensed firearms dealer located in Hooksett contacted ATF agents about a possible straw purchase by a female. The store did not go through with the sale and described the vehicle that the female left in. ATF agents subsequently observed the vehicle on Hooksett Road in Hooksett. Dionne was one of the people in the vehicle.
The female admitted that Dionne asked her to buy a firearm, and stated that he offered to pay her $200 and fill her gas tank for making the purchase. The female agreed to purchase a firearm and Dionne gave her his credit card to make the purchase. While at the licensed firearms dealer, evidence showed Dionne spoke to the female and pointed to the handgun display. The female admitted that she completed paperwork and falsely stated that she was buying the firearm for herself. In fact, she was purchasing the firearm for Dionne.
Dionne was prohibited from acquiring firearms at the time of the attempted purchase.
Dionne is scheduled to be sentenced on June 12, 2020.
“Federal firearms laws exist in order to keep firearms out of the hands of criminals and those who cannot lawfully possess guns,” said U.S. Attorney Murray. “Those who seek to evade federal law by lying in order to purchase guns, or by getting others to do so, will be identified and prosecuted. Enforcing these laws will help to reduce crime and keep our community safe.”
This matter was investigated by the Alcohol, Tobacco, Firearms and Explosives and the Manchester 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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Man Pleads Guilty to Multiple Child Exploitation OffensesRead the Press Release
ALEXANDRIA, Va. – A Vienna man pleaded guilty today to multiple charges related to his possession of images of child sexual abuse and attempted transfer of obscene material to minors.
According to court documents, in 2005, Alan Tabish, 36, met a 15-year-old girl online. Tabish picked up the minor girl from her parents’ residence, and drove her to his home, where he provided her with alcohol and then recorded images and videos of himself engaging in sexual conduct with her. The victim reported the incident in 2019, which led law enforcement to discover the images and videos on a computer hard drive in Tabish’s home. Additional online chats were recovered from this hard drive in which Tabish sent sexually explicit images of himself to individuals who identified themselves as minor girls.
Tabish pleaded guilty to possession of child pornography and the attempted transfer of obscene material to minors and faces a sentence of 7 to 12 years in prison when sentenced on June 23. A federal district court judge will determine any sentence after taking into account the U.S. Sentencing Guidelines and other statutory factors.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Child Exploitation and Obscenity Section (CEOS), Project Safe Childhood marshals federal, state, and local resources to better locate, apprehend, and prosecute individuals who exploit children via the internet, as well as to identify and rescue victims. For more information about Project Safe Childhood, please visit www.justice.gov/psc.
G. Zachary Terwilliger, U.S. Attorney for the Eastern District of Virginia; Timothy M. Dunham, Special Agent in Charge, Criminal Division, FBI Washington Field Office; and Colonel Edwin C. Roessler Jr., Fairfax County Chief of Police, made the announcement after U.S. District Judge Rossie D. Alston, Jr. accepted the plea. Special Assistant U.S. Attorney William G. Clayman is prosecuting the case.
This matter was investigated jointly by the FBI Washington Field Office’s Child Exploitation and Human Trafficking Task Force and the Fairfax County Police Department. The task force is charged with identifying and investigating child predators and those individuals and criminal enterprises engaged in human trafficking.
Assistance in the prosecution has been provided by former Assistant U.S. Attorney Whitney Dougherty Russell.
A copy of this press release is located on the website of the U.S. Attorney’s Office for the Eastern District of Virginia. Related court documents and information are located on the website of the District Court for the Eastern District of Virginia or on PACER by searching for Case No. 1:20-cr-045.
Man Charged with Distributing Fentanyl in BristolRead the Press Release
John H. Durham, United States Attorney for the District of Connecticut, announced that ELKIE CRUMP, also known as “40,” 37, was arrested today on a federal criminal complaint charging him with possession with intent to distribute, and distribution of, fentanyl.
As alleged in the complaint, Crump formerly resided on Davis Drive in Bristol and currently resides in West Hartford as a condition of his state parole. In December 2019, the DEA’s New Haven Tactical Diversion Squad and Bristol Police Department began an investigation into Crump after receiving information that Crump was distributing fentanyl in and around Bristol. On three occasions in January and February 2020, investigators conducted controlled purchases of fentanyl from Crump.
Crump was arrested this morning in West Hartford. It is alleged that he possessed a distribution quantity of fentanyl at the time of his arrest.
Crump appeared this afternoon before U.S. Magistrate Judge Robert A. Richardson in Hartford and was ordered detained.
U.S. Attorney Durham stressed that a complaint is only a charge and is not evidence of guilt. Charges are only allegations and a defendant is presumed innocent unless and until proven guilty beyond a reasonable doubt.
The DEA Tactical Diversion Squad includes officers from the Bristol, Hamden, Meriden, New Britain, West Haven and Watertown Police Departments.
This case is being prosecuted by Assistant U.S. Attorney Conor Reardon.
Justice Department Announces Crimes Against Elderly InitiativesRead the Press Release
MADISON, WIS. – Scott C. Blader, United States Attorney for the Western District of Wisconsin, joined Attorney General William P. Barr today in announcing two initiatives to protect the elderly.
National Elder Fraud Hotline
The first initiative is the launch of a National Elder Fraud Hotline for seniors who may be victims of financial fraud.
The Hotline will be staffed by experienced case managers who can provide personalized support to callers. Case managers will assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll free number is 833-FRAUD-11 (833-372-8311).
“Americans are fed up with the constant barrage of scams that maliciously target the elderly and other vulnerable citizens,” said Attorney General William P. Barr. “This year, the Department of Justice prosecuted more than 400 defendants, whose schemes totaled more than a billion dollars. I want to thank the men and women of the Department’s Consumer Protection Branch, which coordinated this effort, and all those in the U.S. Attorneys’ Offices and Criminal Division who worked tirelessly to bring these cases. The Department is committed to stopping the full range of criminal activities that exploit America’s seniors.”
“Crimes against the elderly target some of the most vulnerable individuals in our communities,” said United States Attorney Blader. “My office will continue to work with our local, state, and federal law enforcement partners to bring those who prey on the elderly to justice.”
The following are examples of elder fraud cases recently prosecuted in the Western District of Wisconsin:
Emmanuel Odiah, 33, a Nigerian national, has pleaded guilty to conspiring with others to launder the proceeds of a romance fraud scheme that involved primarily senior citizen victims, including one in Wisconsin. Other individuals, operating overseas, created fake profiles on internet dating services, gained the trust of the victims, and convinced the victims to transfer money to bank accounts maintained by Odiah in the United States under two fake identities. Odiah will be sentenced on April 7. He faces a maximum penalty of 20 years in federal prison.
Jamie Smith owned and operated two precious metals brokerages houses in Hudson, Wisconsin, and during the operation of these businesses, he offered to appraise coins, buy them, trade them, or sell them for his clients. Instead, he defrauded them by selling their coins and using the funds to pay his monthly mortgage and utilities, to make ATM cash withdrawals, and to make purchases at grocery stores, liquor stores, bars, hotels, and fast food restaurants. FBI agents identified 46 victims in this case, and the loss amount was over $1.24 million. Many of Smith’s victims were elderly and the stolen coins represented significant portions of their retirement assets. In December 2019, Smith was sentenced to 54 months in federal prison.
Patrick O’Connor, a real estate developer and licensed real estate agent in Waunakee, Wisconsin, solicited funds from individuals for investment in an online brokerage account, projecting an average annual return over 20%. Instead, he used investors’ funds for his personal expenses. To perpetuate the fraud, O’Connor provided investors with fictitious account statements that showed the investors’ supposed year-to-date profits and their supposed current portfolio balance. Even after being interviewed by an IRS criminal investigator, O’Connor continued to solicit investments and convinced two investors to provide him with over $1.7 million. In total, O’Connor convinced six investors to invest over $12 million with him. At his sentencing in July 2019, the judge called O’Connor’s scheme “predatory” and that his decision to take more money from investors after being interviewed by law enforcement was “morally bankrupt.” O’Connor was sentenced to 84 months in federal prison.
National Nursing Home Initiative
U.S. Attorney Blader also joins with Attorney General Barr in announcing today the Department of Justice’s National Nursing Home Initiative, which will coordinate and enhance civil and criminal efforts to pursue nursing homes that provide grossly substandard care to their residents.
“Millions of seniors count on nursing homes to provide them with quality care, and to treat them with dignity and respect when they are most vulnerable,” said Attorney General William P. Barr. “Yet, all too often, we have found nursing home owners or operators who put profits over patients, leading to instances of gross abuse and neglect. This national initiative will bring to justice those owners and operators who have profited at the expense of their residents, and help to ensure residents receive the care to which they are entitled.”
A number of factors in identifying the most problematic nursing homes are considered, including facilities that consistently fail to provide adequate nursing staff to care for their residents, fail to adhere to basic protocols of hygiene and infection control, fail to provide their residents with enough food to eat, withhold pain medication, or use physical or chemical restraints to restrain or otherwise sedate their residents.
The National Elder Fraud Hotline and the National Nursing Home Initiative reflect the Justice Department’s commitment to protecting our nation’s seniors. The department’s Elder Justice Initiative in conjunction with the U.S. Attorneys’ Offices coordinate investigative and enforcement efforts against nursing homes and other long-term care entities that deliver grossly substandard care to Medicare and Medicaid beneficiaries, and the investigation and prosecution of those who defraud the elderly. The Initiative and the U.S. Attorneys’ Offices also support the efforts of state and local prosecutors, law enforcement, and other elder justice professionals to combat elder abuse, neglect and financial exploitation, with the development of training, resources, and information. Learn more about the Justice Department’s Elder Justice Initiative at www.justice.gov/elderjustice/.
Jury convicts “high priest” for transporting illegal aliens in the back of his BuickRead the Press Release
CORPUS CHRISTI – A federal jury sitting in Corpus Christi has convicted a 59-year-old Mission man for smuggling two illegal aliens within the United States, announced U.S. Attorney Ryan K. Patrick.
The jury deliberated for approximately one hour before convicting Emiliano Espinoza-Guajardo following a two-day trial.
During trial, the jury heard that on Oct. 15, 2019, Espinoza-Guajardo drove a Buick Rendezvous to the Border Patrol (BP) checkpoint near Falfurrias. When authorities approached his vehicle for an immigration inspection, he displayed signs of nervousness. Law enforcement requested and received consent to open the back door of vehicle, at which time they discovered two men on the floorboard of the backseat attempting to conceal themselves.
Both men were found to be illegally present in the United States.
The jury heard from both men who had each identified Espinoza-Guajardo as the driver. They testified that Espinoza-Guajardo instructed them to remain quiet and hide before arriving at the checkpoint. One of the individuals stated that he also gave Espinoza-Guajardo his Ecuadorian passport for safe keeping.
The defense attempted to convince the jury Espinoza-Guajardo did not know the people he was driving were illegally present in the United States. He also claimed to be a high priest who could do no wrong. They did not believe his claims and found him guilty as charged.
Senior U.S. District Judge Hayden Head presided over the trial and set sentencing for June 10. At that time, Espinoza-Guajardo faces up to five years in prison and a possible $250,000 maximum fine.
Espinoza-Guajardo has been and will remain in custody pending transfer to a U.S. Bureau of Prisons facility to be determined in the near future.
United States Border Patrol conducted the investigation. Assistant U.S. Attorneys Jeremy Carl Fugate and Barbara De Pena are prosecuting the case.
Jefferson County Felon Convicted of Firearms ViolationsRead the Press Release
BEAUMONT, Texas – A 32-year-old Beaumont, Texas, man has been convicted of federal violations in the Eastern District of Texas, announced U.S. Attorney Joseph D. Brown today.
Larry Young, Jr., was found guilty of being a felon in possession of a firearm following a two-day trial before U.S. District Judge Marcia A. Crone. The jury returned their verdict in the afternoon on Tuesday, March 3, 2020.
According to information presented in court, on Jan. 17, 2019, law enforcement officers executed a search warrant at a home where Young was residing. Inside the residence, officers discovered several firearms, including one which had been reported as stolen, a ballistic vest, and numerous rounds of ammunition. Further investigation revealed Young had been convicted of multiple felonies and as a convicted felon, prohibited from owning or possessing firearms or ammunition. Young was indicted by a federal grand jury on June 5, 2019, and charged with firearms violations.
Under federal statutes, Young faces up to 10 years in federal prison at sentencing. The maximum statutory sentence prescribed by Congress is provided here for information purposes, as the sentencing will be determined by the court based on the advisory sentencing guidelines and other statutory factors. A sentencing hearing will be scheduled after the completion of a presentence investigation by the U.S. Probation Office.
This case was prosecuted as part of the Project Safe Neighborhoods Initiative. Project Safe Neighborhoods is aimed at reducing gun and gang violence; deterring illegal possession of firearms, 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 Beaumont Police Department and the Bureau of Alcohol, Tobacco, Firearms and Explosives and prosecuted by Assistant U.S. Attorneys Russell E. James and Rachel Grove.
Jackson Woman Pleads Guilty Under Project EJECT to Transferring a Firearm to a Convicted FelonRead the Press Release
Jackson, Miss. – Tonya Danielle Ham, 36, pled guilty today before U.S. District Judge Carlton W. Reeves to transferring a firearm to a convicted felon, announced U.S. Attorney Mike Hurst and FBI Special Agent in Charge Michelle A. Sutphin.
On September,14, 2018, Tonya Ham, knowing her husband Wilmer Ham was a convicted felon, transferred a firearm to him that he dropped when he assaulted a Jackson Police Officer at a convenience store at 2:00 o’clock in the morning. Ms. Ham purchased two firearms previously, one in 2017, and one in 2018. The second firearm was possessed by her husband later that same day when he was detained by the store clerk who recognized him from the earlier encounter.
In August 2019, Wilmer Ham was charged in a federal criminal indictment with two counts of possession of a firearm by a convicted felon. He pled guilty and was sentenced by Judge Reeves on February 24, 2020, to 60 months in federal prison, followed by three years of supervised release, and fined $1500.
Tonya Ham will be sentenced by Judge Reeves on June 3, 2020, and faces a maximum penalty of 10 years in prison and a $250,000 fine.
The case was investigated by the Federal Bureau of Investigation and the Jackson Police Department. It was prosecuted by Assistant U.S. Attorney Keesha Middleton and Special Assistant U.S. Attorney Joshua Paul Fortenberry.
This case is part of Project EJECT, an initiative by the U.S. Attorney’s Office for the Southern District of Mississippi under the U.S. Department of Justice’s Project Safe Neighborhoods (PSN) and Project Guardian. EJECT is a holistic, multi-disciplinary approach to fighting and reducing violent crime through prosecution, prevention, re-entry and awareness. EJECT stands for “Empower Justice Expel Crime Together.” PSN is bringing together all levels of law enforcement and the communities they serve to reduce violent crime and make our neighborhoods safer for everyone. Project Guardian draws upon the Department’s past successful programs to reduce gun violence; enhances coordination of federal, state, local, and tribal authorities in investigating and prosecuting gun crimes; improves information-sharing by the Bureau of Alcohol, Tobacco, Firearms and Explosives when a prohibited individual attempts to purchase a firearm and is denied by the National Instant Criminal Background Check System (NICS), to include taking appropriate actions when a prospective purchaser is denied by the NICS for mental health reasons; and ensures that federal resources are directed at the criminals posing the greatest threat to our communities.
Identical Twin Brothers Sentenced to Decades in Prison for Multiple Child Sex Exploitation and Child Pornography OffensesRead the Press Release
LAS VEGAS, Nev. – Identical twin brothers who admitted to child sex exploitation and child pornography offenses were sentenced on Monday to 30 and 25 years in prison, respectively, to be followed by a lifetime term of supervised release, announced U.S. Attorney Nicholas A. Trutanich for the District of Nevada and Special Agent in Charge Aaron C. Rouse for the FBI’s Las Vegas Division.
Justin Anthony Fisher and Joshua Ray Fisher, both 35, of Las Vegas, pleaded guilty to sexual exploitation of children, coercion and enticement, conspiracy to sexually exploit children, and distribution, possession, and receipt of child pornography. Additionally, Justin Fisher pleaded guilty to conspiracy to tamper with a victim. U.S. District Judge Andrew P. Gordon presided over Monday’s sentencing hearing. In addition to the terms of imprisonment and supervised release, the Fisher brothers agreed to pay full restitution to the victims of their crimes.
“The U.S. Attorney’s Office is honored to work alongside our law enforcement partners in bringing these two defendants to justice for their exploitation of underage victims,” said U.S. Attorney Trutanich. “The significant sentences that these defendants received appropriately reflect the devastating impact their crimes have had on their victims and our community.”
“Protecting the most vulnerable in our community is a high priority of the FBI,” said SAC Rouse. “I want to commend the members of our task force for their outstanding work in investigating these offenders and removing them from the community. The combined efforts of the task force exhibit the FBI’s commitment to our community and our partners.”
According to court documents:
- Justin Fisher. From 2015 to 2016, Justin Fisher sexually exploited a 14-year-old girl and a 15-year-old girl. He communicated with the 14-year-old girl over Kik, an instant messaging application, and sent her text messages about sexual topics. He lied to the underage victim about his age, convinced her that they were in a romantic relationship, and directed the victim to take nude photos of herself to send to him. In August 2016, Justin Fisher had sex with the victim and produced pornographic images of their sexual encounters. Later, he conspired to and attempted to stop the victim from cooperating with law enforcement. Justin Fisher also admitted to having sex with a 15-year-old girl and producing pornographic bondage photos of her. Justin Fisher shared the sexually explicit images of both underage victims with his brother, Joshua Fisher, and others over on the internet. Justin Fisher used the alias “Sol Castle” on Kik when targeting underage girls.
- Joshua Fisher. Joshua Fisher admitted to sexually exploiting a 14-year-old girl. The abuse began when the victim was 11 years old. Joshua Fisher admitted that he instructed her on how to pose during live chats so that he could take screenshots of her engaging in sexually explicit conduct. Joshua Fisher shared these images with his brother, Justin Fisher. When law enforcement arrested Justin Fisher, Joshua Fisher directed the underage victim to destroy evidence implicating him, and cancelled a trip to have sex with her. Joshua Fisher used the alias “Ray” when targeting underage girls.
Further, while in custody pending trial, the brothers conspired to have family members destroy evidence of their child sex exploitation. A concerned citizen’s call allowed law enforcement to retrieve additional electronic devices, which revealed at least 50 additional unidentified victims.
The case is the product of a joint investigation by the Internet Crimes Against Children/Child Exploitation Task Force, the Las Vegas Metropolitan Police Department, and the FBI. Assistant U.S. Attorneys Elham Roohani and Christopher Burton prosecuted the case.
If you have information regarding possible child sexual exploitation, any information regarding Justin and Joshua Fisher, aka “Sol Castle” and “Ray,” please make a report to the National Center for Missing and Exploited Children (NCMEC) by calling the 24-hour hotline at 1-800-THE-LOST (1-800-843-5678) or by making a report at www.cybertipline.com.
This case was brought as part of Project Safe Childhood, a nationwide initiative launched in May 2006 by the Department of Justice to combat the growing epidemic of child sexual exploitation and abuse. Led by U.S. Attorney’s Offices and the Department of Justice’s Child Exploitation and Obscenity Section, 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.
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Husband and Wife Plead Guilty to Social Security Fraud SchemeRead the Press Release
OAKLAND – Erick and Kimberly Dominguez pleaded guilty in federal court today to conspiracy to commit wire fraud in connection with their scheme to defraud the Social Security Administration (SSA), announced United States Attorney David L. Anderson and SSA Office of Inspector General Special Agent in Charge Robb Stickley. The plea was received by the Honorable Haywood S. Gilliam Jr., U.S. District Judge.
According to the defendants’ plea agreements, Kimberly Dominguez, 37, of Vallejo, Calif., was an employee at the SSA’s Oakland Teleservice Center. From September 2015 until October 2019, Ms. Dominguez used her employment at the SSA to divert Social Security direct deposit payments from recipients’ bank accounts to bank accounts that she controlled. After the diverted benefits were deposited, Erick Dominquez, 39, withdrew money from the accounts, primarily via ATM cash withdrawals. In two instances, Ms. Dominguez reinstated suspended Social Security benefits before diverting them. In total, Ms. Dominguez diverted at least $247,784.70 in Social Security payments from more than 30 recipients.
A federal grand jury indicted the defendants on November 7, 2019, charging them both with one count of conspiracy to commit wire fraud, in violation of 18 U.S.C. § 1349, and Ms. Dominguez with an additional seven counts of wire fraud, in violation of 18 U.S.C. § 1343. Both defendants pleaded guilty to the conspiracy count; and if Ms. Dominquez complies with her plea agreement, the additional charges against her will be dismissed at sentencing.
Judge Gilliam scheduled the defendants’ sentencing hearing for July 13, 2020, in Oakland, Calif. The maximum statutory penalty for conspiracy to commit wire fraud is twenty years’ imprisonment, a $250,000 fine, and a three-year term of supervised release. 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.
Special Assistant United States Attorney Christopher Vieira is prosecuting the case with the assistance of Marina Ponomarchuk. The prosecution is the result of an investigation by the SSA Office of the Inspector General with assistance from the FBI.
The defendants charged in this case are among the 400 defendants charged nationwide by federal prosecutors this year in connection with financial schemes that targeted or largely affected seniors.
Today Attorney General William P. Barr announced the launch of a National Elder Fraud Hotline, which will provide services to seniors who may be victims of financial fraud. The Hotline will be staffed by experienced case managers who can provide personalized support to callers. Case managers will assist callers with reporting the suspected fraud to relevant agencies and by providing resources and referrals to other appropriate services as needed. When applicable, case managers will complete a complaint form with the Federal Bureau of Investigation Internet Crime Complaint Center (IC3) for Internet-facilitated crimes and submit a consumer complaint to the Federal Trade Commission on behalf of the caller. The Hotline’s toll free number is 833-FRAUD-11 (833-372-8311).
Humboldt Woman Sentenced to 15 Years in Federal Prison for Meth ConvictionRead the Press Release
A woman who conspired to distribute methamphetamine was sentenced January 9, 2020, in federal court in Sioux City.
Wendy Jordison, 57, from Humboldt, Iowa, and previously Fort Dodge, Iowa, pled guilty on June 13, 2019, to one count of conspiracy to distribute methamphetamine and one count of possession with intent to distribute methamphetamine. Jordison was previously convicted of a serious felony drug offense in Iowa in 2000, on which she served state prison time until at least April of 2006.
At the plea hearing, Jordison admitted her involvement in a conspiracy that distributed at least three pounds of methamphetamine from June 2018 through January 2019. On four separate occasions in December 2018 and January 2019, Jordison distributed over 111 grams of pure methamphetamine to individuals cooperating with law enforcement. In January 2019, law enforcement executed a search warrant at Jordison’s residence and seized over 205 grams of pure methamphetamine along with other indicia of drug trafficking.
Jordison was sentenced in Sioux City before United States District Court Chief Judge Leonard T. Strand. Jordison remains in custody of the United States Marshal until she can be transported to a federal prison. Jordison was sentenced to 15 years’ imprisonment and must serve a 10-year term of supervised release following imprisonment.
The case was prosecuted by Assistant United States Attorney Shawn S. Wehde and was investigated by the Iowa Division of Narcotics Enforcement, Webster County Sheriff’s Office, Fort Dodge Police Department, Humboldt County Sheriff’s Office, Humboldt Police Department, and Iowa Division of Criminalistics Investigation.
Court file information at https://ecf.iand.uscourts.gov/cgi-bin/login.pl.
The case file number is 19-3009. Follow us on Twitter @USAO_NDIA.
Houston Bus Company Distributes More Than $90,000 to U.S. Workers Under Department of Justice SettlementRead the Press Release
The Department of Justice announced today that El Expreso Bus Company (El Expreso), based in Houston, Texas, has paid over $90,000 to eight U.S. workers pursuant to a May 29, 2019, settlement agreement.
The settlement resolved the Department’s claims that El Expreso discriminated against U.S. workers due to a hiring preference for temporary visa workers, in violation of the Immigration and Nationality Act (INA). This settlement is part of the Department’s Protecting U.S. Workers Initiative, which targets, investigates, and brings enforcement actions against companies that discriminate against U.S. workers because they prefer to hire foreign visa workers. Since the Initiative’s inception, employers have agreed to pay or have distributed a combined total of more than $1.1 million to U.S. workers and civil penalties to the United States.
“U.S. workers are the lifeblood of our economy, and we are gratified that these U.S. workers have now been compensated for the discrimination that they faced,” said Assistant Attorney General Eric Dreiband of the Justice Department's Civil Rights Division. “The Department of Justice will not tolerate employers abusing temporary visa programs to deny U.S. workers job opportunities.”
The Department’s investigation leading up to the settlement determined that El Expreso failed to consider applications from qualified U.S. workers for its temporary bus driver positions and then petitioned for H-2B visa workers to fill the positions, even though the H-2B visa program requires employers to recruit and hire available and qualified U.S. workers before they receive permission to hire temporary foreign workers. The INA generally prohibits employers from refusing to hire or consider U.S. workers because of their citizenship status.
Under the terms of the settlement, the Civil Rights Division identified victims of discrimination eligible for back-pay awards and determined the amount of those awards. The Department determined that eight U.S. workers were eligible to receive a total of $91,015.35 in back pay.
Under the Protecting U.S. Workers Initiative, the Civil Rights Division has opened dozens of investigations and reached settlement agreements with seven employers to address this type of discrimination. The Division has also increased its collaboration with other federal agencies to combat discrimination and abuse by employers using foreign visa workers.
The Division’s Immigrant and Employee Rights Section (IER) is responsible for enforcing the anti-discrimination provision of the INA. Among other things, the statute prohibits citizenship status and national origin discrimination in hiring, firing, or recruitment or referral for a fee; unfair documentary practices; and retaliation and intimidation.
More information about protections against unlawful citizenship status discrimination is available here. The public may also call IER’s worker hotline at 1-800-255-7688 (1-800-237-2515, TTY for hearing impaired); call IER’s employer hotline at 1-800-255-8155 (1-800-237-2515, TTY for hearing impaired); email [email protected]; or visit IER’s English and Spanish websites. The public is invited to attend a free webinar on March 19, 2020 discussing unlawful discrimination under the INA’s anti-discrimination provision. Subscribe to GovDelivery to receive updates from IER.
Applicants or employees who believe they were subjected to: discrimination based on their citizenship, immigration status, or national origin in hiring, firing, or recruitment or referral for a fee; discrimination in the employment eligibility verification process (Form I-9 and E-Verify) based on their citizenship, immigration status or national origin; or retaliation can file a charge or contact IER’s worker hotline for assistance.
Honduran Drug Trafficker Arrested in Florida on Drug Trafficking and Weapons ChargesRead the Press Release
Geoffrey S. Berman, the United States Attorney for the Southern District of New York, and Wendy Woolcock, Special Agent in Charge of the Special Operations Division of the U.S. Drug Enforcement Administration (“DEA”), announced today that GEOVANNY DANIEL FUENTES RAMIREZ was charged in Manhattan federal court with conspiring to import cocaine into the United States and related weapons offenses involving the use and possession of machineguns and destructive devices. DEA agents arrested FUENTES RAMIREZ on March 1, 2020, at Miami International Airport as he attempted to depart the United States, and was presented yesterday afternoon in Miami federal court.
Manhattan U.S. Attorney Geoffrey S. Berman said: “As alleged, Geovanny Daniel Fuentes Ramirez was, up until his arrest by the DEA two days ago, a prolific, powerful, and murderous cocaine trafficker in Honduras. As further alleged, Fuentes Ramirez paved the way for unimpeded shipment of multi-ton loads of cocaine by bribing police and a high-ranking Honduran politician, and reporting directly to Tony Hernandez, another co-conspirator in the scheme and himself a former Honduran congressman. Thanks to the DEA, a key player in the unholy alliance of Honduran officials and drug traffickers is now in custody and facing a possible life behind bars.”
DEA Special Agent in Charge Wendy Woolcock said: “The arrest of Geovanny Daniel Fuentes Ramirez is yet another example of DEA’s perseverance to bring to justice criminal associates of corrupt Honduran public officials and law enforcement officers who enabled the trafficking of massive amounts of cocaine headed to the United States. These corrupt arrangements resulted in horrible violence in Honduras and beyond. The DEA will continue to aggressively pursue and bring to justice those who participated in these activities, threatened the rule of law, and operated with complete disregard for human life for their financial gain.”
According to the allegations contained in the Complaint[1] charging FUENTES RAMIREZ, evidence presented at the October 2019 trial of Juan Antonio Hernandez Alvarado in the Southern District of New York, and statements in open court during the prosecution of Hernandez Alvarado:
Between approximately 2004 and 2020, multiple drug trafficking organizations in Honduras and elsewhere worked together, and with support from certain prominent public and private individuals, including Honduran politicians and law enforcement officials, to receive multi-ton loads of cocaine sent to Honduras from, among other places, Colombia via air and maritime routes, and to transport the drugs westward in Honduras toward the border with Guatemala and eventually to the United States. For protection from law enforcement interference, and in order to facilitate the safe passage through Honduras of multi-ton loads of cocaine, FUENTES RAMIREZ and other drug traffickers paid bribes to Honduran public officials, including certain members of the Honduran National Police and the Honduran National Congress. For example, following an October 2019 trial in the Southern District of New York, former Honduran congressman Juan Antonio Hernandez Alvarado was convicted of drug trafficking, weapons, and false statements charges related to his role in this scheme. Hernandez Alvarado is scheduled to be sentenced by U.S. District Judge P. Kevin Castel on April 15, 2020.
Beginning in or about 2009, FUENTES RAMIREZ and others established and operated a cocaine laboratory in the Cortés Department of Honduras, where they produced hundreds of kilograms of cocaine each month. FUENTES RAMIREZ worked with others to receive cocaine shipments and transport cocaine that he produced, including using planes that landed and departed from a clandestine airstrip that he operated near the Cortés Department. In order to protect these large quantities of cocaine and his foothold as a large-scale drug trafficker in Honduras, FUENTES RAMIREZ and his workers used firearms, including 9 millimeter handguns, AK-47 assault rifles, and AR-15 assault rifles, and resorted to significant acts of violence, including murder. In or about 2012, for example, after FUENTES RAMIREZ’s cocaine laboratory was raided by law enforcement, FUENTES RAMIREZ participated in the stabbing murder of a law enforcement official who FUENTES RAMIREZ believed to have been involved in the investigation of the laboratory.
In or about 2013, FUENTES RAMIREZ paid at least approximately $25,000 to a high-ranking Honduran official referred to in the Complaint as “CC-4,” in exchange for protection from further interventions by law enforcement targeting FUENTES RAMIREZ and his drug trafficking activities. Around the time of the bribe, during a series of meetings between FUENTES RAMIREZ, CC-4, and others, CC-4 expressed interest in access to FUENTES RAMIREZ’s cocaine laboratory because of its proximity to a major commercial shipping port, agreed to facilitate the use of Honduran armed forces personnel as security for FUENTES RAMIREZ’s drug trafficking activities, and instructed FUENTES RAMIREZ to report directly to Juan Antonio Hernandez Alvarado for subsequent drug trafficking activities.
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The Complaint charges FUENTES RAMIREZ, 50, with: (1) conspiring to import cocaine into the United States, (2) using and carrying machine guns and destructive devices during and in relation to, and possessing machine guns and destructive devices in furtherance of, the cocaine importation conspiracy; and (3) conspiring to use and carry machine guns and destructive devices during and in relation to, and to possess machine guns and destructive devices in furtherance of, the cocaine importation conspiracy. If convicted, FUENTES RAMIREZ faces a mandatory minimum sentence of 10 years in prison and a maximum term of life in prison on Count One, a mandatory minimum sentence of 30 years in prison and a maximum term of life in prison on Count Two, a maximum term of life in prison on Count Three.
Mr. Berman praised the outstanding investigative work of the DEA’s Special Operations Division Bilateral Investigations Unit and Strike Force.
This case is being handled by the Office’s Terrorism and International Narcotics Unit. Assistant U.S. Attorneys Amanda L. Houle, Matthew J. Laroche, Jason A. Richman, and Elinor L. Tarlow are in charge of the prosecution.
The charges in the Complaint are merely accusations, and FUENTES RAMIREZ is presumed innocent unless and until proven guilty.
[1] As the introductory phrase signifies, the entirety of the text of the Complaint and the description of the Complaint set forth herein, constitute only allegations, and every fact described should be treated as an allegation.
Hoboken Woman Arrested for Embezzling Hundreds of Thousands of Dollars from Non-ProfitRead the Press Release
NEWARK, N.J. – A Hudson County, New Jersey, woman was arrested today for allegedly embezzling hundreds of thousands of dollars from a non-profit corporation dedicated to providing affordable housing to residents of Englewood, New Jersey, U.S. Attorney Craig Carpenito announced.
Yezenia Castillo, 44, of Hoboken, New Jersey, is charged by complaint with four counts of wire fraud. She is scheduled to appear this afternoon before U.S. Magistrate Judge Joseph A. Dickson in Newark federal court.
According to documents filed in this case and statements made in court:
From May 2015 to August 2016 Castillo used her position as the accountant for the non-profit company to issue unauthorized checks made payable to herself or entities she controlled. She forged the signature of the president of the company’s board of directors on those checks, representing to the company that the payments were for legitimate business expenses, including tax payments to be made on behalf of the company. A review of bank records during this period did not identify tax payments made by Castillo to the IRS or the State of New Jersey on behalf of the company.
The counts of wire fraud each carry a maximum potential penalty of 20 years in prison and $250,000 fine, or twice the gross gain or loss from the offense.
U.S. Attorney Carpenito credited special agents of the U.S. Department of Housing and Urban Development, Office of the Inspector General, under the direction of Special Agent in Charge Christina Scaringi, and special agents of the FBI, under the direction of Special Agent in Charge Gregory W. Ehrie in Newark, with the investigation leading to today’s charges.
The government is represented by Assistant U.S. Attorneys Vijay Dewan and Sammi Malek of the U.S. Attorney’s Office Economic Crimes Unit.
The charges and allegations contained in the complaint are merely accusations, and the defendant is presumed innocent unless and until proven guilty.
Hobart Resident Sentenced to 50 Months in Federal Prison for Selling Drugs via the “Dark Web;” Forfeits $1.5 millionRead the Press Release
United States Attorney Matthew D. Krueger for the Eastern District of Wisconsin, announced that on today’s date, Christopher D. Bania, (age: 27) of Hobart, Wisconsin, was sentenced to 50 months in federal prison for possession with the intent to distribute controlled substances.
According to the plea agreement, Bania sold narcotics including MDMA (“Ecstasy”), cocaine, DMT, ketamine, LSD, MDA, methaqualone, marijuana, and a variety of other controlled substances. To make his sales Bania utilized dark web marketplaces, including Dream Market, Zion, Wall Street, Hansa, Trade Route, and Alpha Bay. Alpha Bay and Hansa were shut down by law enforcement in July of 2017.
The dark web is a part of the internet that is unreachable by traditional search engines and web browsers. Websites on the dark web have complex web addresses generated by a computer algorithm and must be accessed using special software that is capable of connecting to “The Onion Router” network, or “TOR” for short. The TOR network is encrypted and routes internet traffic dynamically through a series of computers around the world, concealing the true Internet Protocol (IP) addresses of the computers accessing the network and thereby making internet use virtually anonymous. This perceived anonymity has led to a proliferation of criminal activity on dark web marketplaces, where users can find vendors, like Bania, offering illegal goods and services for sale.
In handing down his sentence, Senior U.S. District Judge William C. Griesbach noted that despite Bania’s lack of a prior criminal record, his involvement in the community, and the outpouring of support from friends and family who packed the courtroom, his was a “crime of significant magnitude” that required a substantial prison sentence. Judge Griesbach also noted while Bania was himself a user of controlled substances, his activities on the dark web functioned primarily as a “money making enterprise.”
“This four-plus year sentence for a first-time offender sends a clear warning about the seriousness of drug trafficking on the dark web,” said United States Attorney Krueger. “Just because one deals narcotics from home does not mean one can escape the law. I commend the outstanding work of the multiple federal, state, and local law enforcement agencies that investigated this case and brought it to conclusion.”
In addition to the prison sentence, Bania was ordered to forfeit cash and cryptocurrency valued at approximately $1.5 million. Following his prison sentence, he will spend 3 years on supervised release.
This case was a joint investigation of the U.S. Customs and Border Patrol, U.S. Postal Inspection Service, U.S. Drug Enforcement Administration, Wisconsin Department of Justice – Division of Criminal Investigation, the Brown County Drug Task Force, the Hobart/Lawrence Police Department, and the Oneida Police Department. It was prosecuted by Assistant United States Attorneys Scott J. Campbell, Benjamin W. Proctor, and Daniel R. Humble.
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Harrison County man indicted on drug and firearms chargesRead the Press Release
CLARKSBURG, WEST VIRGINIA – Frank Horner, III, of Clarksburg, West Virginia, was indicted today on drug and firearms charges, U.S. Attorney Bill Powell announced.
Horner, age 27, is charged with one count of “Possession with Intent to Distribute Methamphetamine” and one count of “Unlawful Possession of Firearm.” Horner is accused of having methamphetamine in October 2019 in Harrison County. Horner, prohibited from having a firearm because of a prior felony conviction, is also accused of having a .22LR caliber semi-automatic pistol in October 2019 in Harrison County.
Horner faces up to 20 years incarceration and a fine of up to $1,000,000 for the drug count, and faces up to 10 years incarceration and a fine of up to $250,000 for the firearms count. Under the Federal Sentencing Guidelines, the actual sentence imposed will be based upon the seriousness of the offenses and the prior criminal history, if any, of the defendant.
Assistant U.S. Attorney Zelda E. Wesley is prosecuting the case on behalf of the government. The Bureau of Alcohol, Tobacco, Firearms and Explosives and the U.S. Probation Office investigated.
An indictment is merely an accusation. A defendant is presumed innocent unless and until proven guilty.
Haitian National Sentenced to 21 Years in Prison for Sex TraffickingRead the Press Release
BOSTON – A Haitian national was sentenced today in federal court in Boston for sex trafficking four victims out of his residences in Dracut and Malden.
Reginald Abraham, 51, who previously resided in Dracut, was sentenced by U.S. District Judge William G. Young to 21 years and 10 months in prison and 15 years of supervised release. He was also ordered to pay $728,000 in restitution to the four victims. Abraham will face deportation proceedings upon completion of his sentence.
In July 2019, Abraham was convicted by a federal jury of four counts of sex trafficking by force, fraud, or coercion. He was charged and arrested on Sept. 6, 2017, and has been in federal custody since.
Law enforcement began investigating Abraham in January 2017 after learning about his trafficking operations from several victims. Abraham approached his victims, usually through social media, and began communicating with them in an effort to convince them to live with him. He eventually picked up his victims, all from Maine, and drove them to his residence in Malden, and later Dracut. After arriving at his home, Abraham forced the women into prostitution throughout New England. He maintained his control over these victims through the use of physical violence, threats, rape, and giving and withholding drugs, including heroin and crack cocaine. Abraham trafficked the victims from 2012 through 2016.
United States Attorney Andrew E. Lelling and Jason Molina, Acting Special Agent in Charge of the Homeland Security Investigations in Boston, made the announcement today. Valuable assistance was provided by the Portland (Maine) Office of the Federal Bureau of Investigation and the Dracut and Portland Police Departments. Assistant U.S. Attorneys Leah B. Foley and Stephen W. Hassink of Lelling’s Civil Rights Enforcement Team prosecuted case.
Glendale Man Who Schemed to Impersonate Dentists to Swindle Banks Out of $2.1 Million Sentenced to over 3 Years in Federal PrisonRead the Press Release
LOS ANGELES – A Glendale man who defrauded banks out of $2.1 million by conspiring to steal the identities of at least 11 dentists, opening sham dentist offices, and filing fraudulent claims to banks that offer lines of credit to dentists – was sentenced today to 37 months in federal prison.
Ararat Yesayan, 39, was sentenced by United States District Judge Dolly M. Gee, who also ordered him to pay $2,019,738 in restitution, and who described Yesayan’s crimes as “outrageous.”
Yesayan pleaded guilty in May 2019 to one count of conspiracy to commit bank fraud.
From October 2010 until March 2014, Yesayan and his co-conspirators impersonated dentists by stealing personal identifying information, including dental license numbers. Yesayan and others acquired commercial office space to open what looked like real dental offices in the names of victim dentists, according to his plea agreement.
Yesayan and others then submitted change of address requests to the Dental Board of California with the addresses of the newly opened sham dental office addresses so they would receive mail intended for the impersonated dentists. Using the victim dentists’ names, Yesayan and others applied for lines of credit offered by banks to dentists and, upon approval, submitted numerous fraudulent dental claims in the names of fake patients for procedures that were never performed.
Once the claims were approved, money was wired to Yesayan-controlled bank accounts. The victim lenders included Citibank and GE Capital Retail Finance Bank (now Synchrony Bank), who suffered losses of at least $2.1 million.
A second defendant in this case – Varooj Arakelian, 49, of Glendale – is scheduled to go on trial on June 23. Charges against a third defendant – Artin Sarkissians, 42, also of Glendale – are pending.
The FBI investigated this matter.
This case was prosecuted by Assistant United States Attorney Julia S. Choe of the Cyber and Intellectual Property Crimes Section.
Framingham Man Pleads Guilty to Illegally Possessing Ammunition After Domestic Violence ConvictionRead the Press Release
BOSTON – A Framingham man, who was previously convicted of a domestic violence misdemeanor, pleaded guilty today in federal court in Boston in connection with illegally selling ammunition.
Julien King, 26, pleaded guilty to one count of possession of ammunition after a domestic violence conviction before U.S. District Judge William G. Young, who scheduled sentencing for June 23, 2020. King was indicted in September 2019.
On March 29, 2019, in Framingham, King sold a .22 caliber bolt-action rifle and 45 pieces of .22 caliber ammunition to a confidential informant in exchange for $120. The sale was captured by recording. Due to a 2017 conviction of assault and battery on a family or household member, King was prohibited from possessing a firearm or ammunition.
The charge provides for a sentence of up to 10 years in prison, three years of supervised release and a fine $250,000. Sentences are imposed by a federal district court judge based on the United States Sentencing Guidelines and other statutory factors.
United States Attorney Andrew E. Lelling; Kelly Brady, Special Agent in Charge of the Bureau of Alcohol, Tobacco, Firearms and Explosives, Boston Field Division; and Framingham Police Acting Chief Steven Trask made the announcement today. Assistant U.S. Attorney Suzanne Sullivan Jacobus of Lelling’s Major Crimes Unit is prosecuting the case.
Former Virginia Tax Preparer Sentenced to Prison for Filing False ReturnsRead the Press Release
A former tax return preparer in Roanoke, Virginia, was sentenced to 12 months and one day in prison today, announced Principal Deputy Assistant Attorney General Richard E. Zuckerman of the Justice Department’s Tax Division and U.S. Attorney Thomas T. Cullen for the Western District of Virginia.
According to documents and information provided to the court, Pierre owned and operated JP Tax Services LLC, a tax return preparation business in Roanoke, Virginia. From 2013 through 2014, Pierre falsified clients tax returns by fraudulently claiming residential energy credits, fuel tax credits, and itemized deductions, in order to inflate his clients’ refunds. Pierre also fraudulently claimed the fuel tax credit on his own 2013 tax return.
In addition to the term of prison imposed, U.S. District Judge Urbanski ordered Pierre to serve one year of supervised release and pay $25,495 in restitution to the United States.
Principal Deputy Assistant Attorney General Zuckerman and U.S. Attorney Cullen thanked special agents of IRS-Criminal Investigation, who conducted the investigation, and Tax Division Trial Attorneys Lauren Archer and Kevin Schneider, and Assistant U.S. Attorney Charlene R. Day, who prosecuted the case.
Additional information about the Tax Division and its enforcement efforts may be found on the division’s website.
Former VA Podiatry Chief Sentenced to 6.5 Years in Prison for Health Care Fraud SchemeRead the Press Release
SACRAMENTO, Calif. — Anthony Lazzarino, 69, former Chief of Podiatry for the Veterans Affairs’ (VA) Northern California Health Care System, was sentenced today by U.S. District Judge John A. Mendez to six years and six months in prison for health care fraud and conspiracy to commit wire fraud, U.S. Attorney McGregor W. Scott announced.
According to court documents and evidence presented at trial, between March 2008 and Feb. 2015, Lazzarino and Peter Wong, 62, founder and former CEO of Sunrise Shoes and Pedorthic Service Corporation, engaged in a scheme to defraud the VA by billing for custom work and services that were prescribed but not supplied in shoes delivered to veterans. In addition, they and Wong’s former employee Jai Aing Chen agreed to make materially false statements to the VA regarding where shoes were manufactured, in the course of applying for a national contract worth over $11 million per year. A federal jury found Wong and Lazzarino guilty of health care fraud and conspiracy to commit wire fraud on May 17, 2019. Chen separately pleaded guilty on Dec. 6, 2016.
This case was the product of an investigation by the Department of Veterans Affairs Office of Inspector General, Department of Veterans Affairs Police Service, Homeland Security Investigations, and Federal Bureau of Investigation. Assistant U.S. Attorney Lee S. Bickley prosecuted the case.
Judge Mendez sentenced Wong to five years in prison on Dec. 17, 2019. Judge Mendez sentenced Chen to one year and one day in prison on Aug. 6, 2019.
Former Pierce County Housing Authority Finance Director indicted for wire fraudRead the Press Release
Seattle – A federal grand jury returned a four-count indictment charging former housing authority executive COVA CAMPBELL, aka Cova Hunter with four counts of wire fraud, announced U.S. Attorney Brian T. Moran. According to the indictment, between March 2016 and July 2019, CAMPBELL defrauded the Pierce County Housing Authority (PCHA) of $6.9 million. CAMPBELL allegedly used her authority as the organization’s Finance Director to divert public money fraudulently to her own bank accounts.
“This was a lengthy and sophisticated scheme involving millions of public dollars, interstate wires and falsified records,” said U.S. Attorney Brian T. Moran. “At a time when we are scrambling to fund housing for those who are unsheltered, it is appalling that this money went to pay for cars, vacations, home remodeling, and purchases from gaming websites.”
According to the indictment, CAMPBELL initiated wire transfers of as much as $500,000 from Pierce County Housing Authority accounts to her own bank accounts. One of the transfers was in connection with the purchase of land in Oklahoma. CAMBELL also prepared and submitted false invoices to PCHA and made them appear they were from an outside vendor. PCHA paid the invoices, and the money went into CAMPBELL’s bank accounts. CAMPBELL also misused the PCHA credit card by charging her personal expenses. CAMPBELL covered up her fraud by labeling these fraudulent charges as “investments,” “insurance,” or “maintenance” in the PCHA accounting records.
“Ms. Campbell was entrusted by the people of Pierce County to make decisions based on their best interests. Instead, she betrayed that trust by enriching herself at their expense,” said Raymond Duda, Special Agent in Charge FBI – Seattle.
“Housing and Urban Development –Office of Inspector General (HUD-OIG) will continue to safeguard HUD funds designated for those citizens most at need and will actively pursue those who betray the public trust by using their positions for private gain,” said Scott J. Tanchak, Special Agent in Charge for the Pacific Northwest..
The Washington State Auditor’s Office uncovered the financial irregularities, and CAMPBELL’s employment was terminated by the Housing Authority on August 8, 2019.
CAMPBELL was arrested yesterday in Redbird, Oklahoma. She had her initial appearance before a judge in Muskogee, Oklahoma. She was released and directed to report to U.S. District Court in Tacoma.
The charges contained in the indictment are only allegations. A person is presumed innocent unless and until he or she is proven guilty beyond a reasonable doubt in a court of law.
The case is being investigated by the FBI and HUD-OIG. The case is being prosecuted by Assistant United States Attorney Brian Werner.
campbell_indictment.pdf campbell_indictment.pdfFormer Hampstead Bookkeeper Sentenced to Almost Four Years in Federal Prison for a Scheme to Embezzle Almost $1 Million from Her EmployerRead the Press Release
Baltimore, Maryland – U.S. District Judge Ellen L. Hollander today sentenced Lisa Fore, age 48, of Hampstead, Maryland, to 45 months in federal prison, followed by three years of supervised release, for mail fraud and aggravated identity theft related to a scheme to embezzle almost $1 million from her employers. Judge Hollander also scheduled a hearing on April 20, 2020, at 10:00 a.m. concerning the requested restitution.
The sentence was announced by United States Attorney for the District of Maryland Robert K. Hur and Special Agent in Charge Jennifer C. Boone of the Federal Bureau of Investigation, Baltimore Field Office.
“Less than a year after she was hired, Lisa Fore began embezzling from the family-owned company for which she worked and from the family themselves. She continued the embezzlement scheme for at least 16 years, taking advantage of the relationships she cultivated for her own purposes,” said U.S. Attorney Robert K. Hur. “Now Lisa Fore will have almost four years in federal prison to reflect on her betrayal of trust. Let this sentence serve as a warning to others who might be tempted to abuse their position for personal gain.”
According to Fore’s plea agreement, beginning in 2001, Fore was employed as a bookkeeper for victims J.C., C.C., the Cirelli Company, and related entities. Beginning in at least 2002 and continuing until July 2018, Fore embezzled more than $996,193.02 from the Cirelli entities and victims J.C. and C.C.
As detailed in her plea agreement, Fore accomplished the scheme by various means, including forging the signature of J.C. on checks drawn from the personal accounts of J.C. and C.C., and from the accounts of the Cirelli entities; making electronic transfers of funds from the Cirelli accounts; and using credit cards for accounts associated with the Cirelli entities, all for her personal benefit. Fore used the embezzled funds to pay her personal credit card bills, property taxes on her home in Carroll County, Maryland, utility bills associated with her home, and taxes owed to the U.S. Department of Treasury. She also repeatedly used a company credit card to purchase items and services for her own benefit. including auto repairs for her and her family’s personal vehicles at a local auto repair shop.
Fore admitted that she concealed her scheme by creating fake bank statements and fake invoices from a legitimate vendor used by the Cirelli entities, and by inaccurately coding forged checks used to pay her personal expenses in the online accounting application used by the company, among other means. For example, Fore would code a forged check as payable to a frequently used vendor, when the check was in fact payable to one of her creditors.
On July 30, 2018, J.C. confronted Fore about suspicious charges on a company credit card. Fore acknowledged that she was responsible for the suspicious charges and her employment was terminated shortly thereafter.
United States Attorney Robert K. Hur praised the FBI for its work in the investigation. Mr. Hur thanked Assistant U.S. Attorney Paul A. Riley, who prosecuted the case.
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Final Defendant Sentenced to Federal Prison for Role in Interstate Identity Theft SchemeRead the Press Release
PORTLAND, Ore.—On Monday, March 2, 2020, Gary Peck, 44, of Clark County, Washington, was sentenced to 36 months in federal prison and 3 years’ supervised release for his role in a credit card fraud ring that operated in the greater Portland metropolitan area from February 2017 to February 2018.
Peck is the tenth and final defendant sentenced for crimes associated with the scheme. The scheme’s leader and organizer, Jonathan Dominic Coons, 41, of Vancouver, Washington, was sentenced on January 25, 2019, to 75 months in federal prison and three years’ supervised release.
According to court documents, to facilitate the scheme, Coons, Peck, and their co-conspirators manufactured more than 1,100 counterfeit credit and debit cards and used them throughout Oregon, Washington, and Idaho. To create the counterfeit cards, the group embossed stolen credit card and other identifying information on gift cards purchased or stolen from local stores. The majority of stolen information used by the group belonged to individuals residing in Canada and Australia.
The group used the counterfeit credit and debit cards to purchase various items including hotels, rental cars, and merchandise they would in turn sell online or trade for illegal narcotics. The group would organize “shopping” trips, working their way along Interstate 5 and stopping at various shopping centers to use the counterfeit cards. They structured these trips to maximize their use of the cards and avoid detection by law enforcement.
During the investigation, local law enforcement officers obtained and executed a search warrant on Peck and co-defendant Dawn Szabo’s shared residence. Like Peck, Szabo, 42, also of Clark County, had extensive involvement in the scheme and participated in many of the group’s “shopping” trips. Their residence was used as a flophouse where the co-conspirators planned the scheme, manufactured the counterfeit cards, and used drugs.
Sentenced defendants include:
- Jonathan Dominic Coons—75 months in prison and three years’ supervised release
- Mikayla Brewington, 26, of Clark County—54 months in prison and three years’ supervised release
- Samantha Rudd, 25, of Multnomah County, Oregon—54 months in prison and three years’ supervised release
- Dawn Szabo—52 months in prison and three years’ supervised release
- Bryce Sfetku, 30, of Clark County—48 months in prison and three years’ supervised release
- Sarah Epley, 42, of Multnomah County—36 months in prison and three years’ supervised release
- Courtney Foster, 36, of Multnomah County—36 months in prison and three years’ supervised release
- Gary Peck—36 months in prison and 3 years’ supervised release
- Kevin Leighty, 36, of Multnomah County—30 months in prison and three years’ supervised release
- Kimberly Patterson, 33, of Multnomah County—24 months in prison and three years’ supervised release
This case was investigated by the Vancouver Police Department with the assistance of Homeland Security Investigations (HSI), and prosecuted by Rachel K. Sowray and Scott E. Bradford, Assistant U.S. Attorneys for the District of Oregon.
If you or someone you know believes you have been the victim of an identity theft crime, please contact HSI at (866) 347-2423. You can also submit a tip online by visiting: www.ice.gov/webform/hsi-tip-form.
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.